GM Company-the Study On Service Marketing Strategies In Guangzhou’s Urban Villages

With the development of economy in recent years, the mobile communication market becomes saturated. In some highly-developed areas such as Guangdong, the mobile phone penetration rate is over 100 percent, and it seems that the mobile communication market becomes a red sea market. However, with its residents’ high mobility and consumption potential in mobile communication, urban village is a potentially important market for telecom operators.This paper consists of two parts, the case body and the case study.In the case body section, the author makes a description of mobile communication market of Guangzhou and Guangzhou’s urban village. What’s more, the author points out that there are four main problems of GM Company in its operation in the market of Guangzhou’s urban village, and the problems are the attrition of customers, the deterioration of word of mouth, lack of role of coordination, and over-reliance on resource.The case study section is divided into four parts. Firstly, the author gives a brief description on the paper’s background, methods and content. Secondly, the author describes STP theory and service marketing theory, which would be involved in the rest part of the paper. Thirdly, the author analyzes the market environment of GM Company, from the aspect of macro environment and competitive environment. Fourthly, after dividing Guangzhou’s urban village market into several segments, the author confirms traditional migrant and new generation migrant as target segments, and establishes ‘economic’ and ‘reasonable’ as GM’s position in these two targeted segments. Lastly, the author gives suggestions on service marketing strategy for GM, taking 7P as the theory framework.