Turkcell Analysis

TURKCELL Strategic Analysis

B. STRATEGIC POSTURE

1. MISSION

To ensure the satisfaction of our subscribers, shareholders and employees by creating synergy with our partners while remaining a leading and trusted company.

2. OBJECTIVES

• To maintain leading position

• To achieve double digit growth in our subscriber base

• To sustain a balance between top and bottom line objectives

• Retention of valued subscribers

• To maintain technological leadership in Turkey by using cutting edge network infrastructure

• To be the Coca-Cola in GSM sector as awareness

• To meet the needs and expectations of our subscribers

On the regulatory front, the Telecommunications Authority recently provided an

indication that the granting of third generation (3G) licenses and topics such as

Mobile Number Portability (MNP), as well as the access of Mobile Virtual Network

Operators (MVNO) in our market, will be among their agenda items. Although there is

currently not enough clarity on the exact timing or the process by which the 3G

licenses will be awarded in Turkey, it is expected to take place sometime in 2006 as

per Telecommunications Authority’s statements. Currently, details of the MNP

regulation are yet to be published by the Telecommunications Authority clarifying

issues such as the method of portability and the management of related

infrastructure. The details of the regulation and business model that may be applied

to MVNO’s also remain unclear. Furthermore, a Draft Electronic Communication Law

is in progress and awaiting approval from the Parliament. In its current form, the draft

law grants expanded powers to the Telecommunication Authority and increases the

obligations of the operators.We will continue to monitor developments on the regulatory front closely.

3. STRATEGIES

• To provide differentiated services for different subscribers' needs and expectation

• To consider and prioritize the shareholders' expectations during the decision making process and to encourage entrepreneurship

• To drive the market in our targeted business domains proactively

• To ensure continuous trust and loyalty in the community by demonstrating social corporate responsibility

• To conduct effective, cost sensitive operations and timely executions

4. POLICIES

• To make US$350 million investments in infrastructure

• To continue “Better Value for Money” approach

• To use loyalty programs

• Churn prevention activities to retain current customers

• To concentrate on growth opportunities about young population in Turkey

• To continue with new service and product offerings

• To concentrate on domestic operations as the major focus and main revenue source

II. STRATEGIC MANAGERS

A.BOARD OF DIRECTORS

Board of Directors

Turkcell Board is composed of 7 members elected by the Annual General Meeting for maximum terms of three years.

The business affairs of our company are managed under the direction of the Board, which represents and is accountable to our shareholders. These responsibilities non-exhaustively include:

• Building the vision of the Company, approving of local and international business