Case Report: AT&T: Twenty Years of ChangeAT&T Case describes the story of a 130-year-old giant company, which served its customers in the telecommunications industry. From its founding by Graham Bell in 1875 to the decision to restructure in 2000, the company has had many key events to study from different strategic management perspectives. This article focuses mainly on external environmental issues and corporate-level strategies. Analysis versus Corporate-Level Strategy After the founding of the Bell Telephone Company in 1875, the company diversified its business through the acquisition of the Western Electric Company. With this vertical integration, BTC had the opportunity to create wealth while transferring its business expertise. Furthermore, the acquisition of numerous licenses has provided BTC with enormous market power. This horizontal integration has allowed BTC to create economies of scope and enable operational relationships. Another driving force of the company was Bell Laboratories, which continuously generated know-how and technology. The generated know-how and technology were key business competencies to be transferred to other divisions of BTC (first satellite, etc.). However, the company's monopoly status caused numerous lawsuits to be filed, which ultimately led to the divestment of the company. After the divestment of AT&T and the regional Bell operating companies, AT&T lost much of its market share and its customers, due to competition and the loss of its competitive advantage, namely the ability to reach with its cables and its bills every American home. As a result, since the company was still a huge cash-generating company, it decided to diversify into new industries. In fact he took over computer maker NCR, McCaw, some other… paper medium… struggling as AT&T expanded globally and faced government structures very different from those in the United States. Environmental analysis of the industryThe industry The environment has a more significant effect on the strategic actions of the company. Through the analysis of five forces, including the threat of entry, supplier power, buyer power, product substitutes, and rivalry intensity among competitors, AT&T must find its position in the industry. Mentioned before the company acts as a first mover in many segments of the industrial environment in which it competes. Having intense rivalry due to the rapidly developing high tech requirements of the environment and the research and development forces of leading companies, new entrants are discouraged. Late movers are generally less likely to compete and gain an advantage over companies like AT&T and its competitors.