Published: Thursday June 21, 2012 MYT 8:35:00 AM
RHB Research positive on Maxis’ new strategy, FV RM6.30
KUALA LUMPUR: RHB Research Institute is positive on Maxis' move to focus on key markets such as the immigrant, student and tourist segments and the Sabah and Sarawak region where growth is still attractive.
The research house said on Thursday it was also positive on its rationalisation of its international direct dialing (IDD) rates since last year to match competition, and also the move to strengthen its network in Sabah and Sarawak this year.
“We believe the move will help mitigate loss of market share to its competitors, a trend seen in the last several quarters. We note that Maxis lowered its IDD rates in March through the introduction of the Hotlink Bagus plan.
“However, the revision to IDD rates was to bring its pricing lower to match competition, and not to start an all-out price war. This helps to keep Maxis competitive, but minimise downside pressure on margins, we believe,” RHB Research said.