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Key Reasons For British Telecom’s Success Include:
Key reasons for success can be identified within the company’s ability to adapt to consumer needs. BT were quick to adapt to mobile telecoms when they were introduced and also invested in internet opportunities for the mainstream domestic and commercial markets, beginning with standard dial up connections and followed by mainstream broadband offers.
Whilst these adaptations to market products have retained a level of consumer success BT have also used mediums of acquisition and technological development to secure global growth for the business. BT looked to develop international connections through a merger with MCI. Although the potential merger with MCI in 1984 resulted in another organisation fulfilling the requirements and completing on the final deal BT left the situation with a settlement of $465million and netted further pre tax profits when they sold all concerns in MCI in 2000.
The unsuccessful merger with MCI left BT with a requirement for an overseas partner, this led to a relationship with AT&T. Unfortunately this partnership was also unsuccessful, although the deal was completed in full the partners were unable to work together and personal differences were cited when the merger broke up.
The venture was dissolved and the assets were split between the two parties, BT secured $400million and a portion of the worldwide communications shares whilst AT&T retained the US markets. One could suggest BT success has been equally distributed between the growth in domestic technology and products to retain a level of market share whilst for the overall business key acquisitions and mergers have resulted in large levels of profits for BT to provide growth and investment.
However in 2001 BT were identified as supporting large levels of debt which was attributed to the development and research of new

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