Google Tops List of Competitive Media & Telecom Companies

Independent stock research firm, wRatings Corporation, has just revealed the results of their annual “Most Competitive Media & Telecom Study.”

 

 

The report indicates Google (News - Alert) as the number one Media Company in 2009 with a W Score of 91.8. Also, mention was also made that Embarq, a regional telecom provider that plans to merge with CenturyTel (News - Alert), as the number one telecom provider with a W Score of 82.3.

 

As per the research firm, a W-score of 100 indicates that the business has built the highest customer and economic advantages when compared to the 1,200-plus companies in the wRatings national coverage.

 

wRatings Annual Most Competitive Media & Telecom Study was sponsored by Capgemini (News - Alert) and clearly mentions that in contrast to other industries such as Retail & Consumer Goods, turnover in the Top 20 Media & Telecom list from 2008 is less severe.

 

Various reasons exist for the lack of change, but the sheer size of media companies and the large investments in capital required for telecom providers is helping to keep a ‘status quo’ in the competitive landscape, revealed the study. The lack of change also indicates how companies today are struggling to move away from stagnant business models, and break open new and innovative ways to monetize their business.

 

“While competition is everywhere now for media companies, few have figured out how to build a durable advantage beyond traditional means like economies of scale,” said Gary A. Williams, chief executive officer and founder of wRatings. “Yet, a few smaller companies that specialize in serving niche communities are finding ways to combine unique content with a fully controlled distribution channel. This blurs the line between media and telecom, and may relegate certain providers to mere commodities.”

 

Greg Jacobsen, Capgemini vice president and global leader Telecommunications, Media and Entertainment said that the company’s mission is to collaborate with its clients to harness the full opportunities offered by leading-edge information technology transformation.

 

Based in Washington DC, the wRatings Corporation was founded by Harvard Business Review and book author, Gary A. Williams. The 2009 edition of Most Competitive Media & Telecom companies indicates a breakdown of the top 20 in each industry, unveils critical trends in consumer expectations and pricing power, and spotlights several companies from the top 20.

 

The firm said that to arrive at the rankings, wRatings ask customers how well companies meet their expectations every quarter. The customer ratings are categorized by nine competitive moats, or barriers to entry companies create to prevent rivals from taking their customers and, ultimately, their profits. Each W Score is said to blend a company’s historical economic profit with its competitive scores.