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Vodafone – The Executive Summary Richard Marshall ECON 334
Introduction to Vodafone
The Company
· Vodafone was created 1982 as a subsidiary of Radical Electronics when they bid and won the private UK cellular license.
· Vodafone is the worlds largest mobile phone company by market share with 125. ...
· Vodafone operates in 16 countries and has equity interests in a further 10.
· Core brands:
o Vodafone – general brand for voice services.
o Vodafone LIVE! ...
o Vodafone Stores – retail chain. ...
Core Competencies
· Vodafone has a relatively low level of debt compared to its main competitors; France Telecom parent company of Orange has debts £80 billion making it the most indebted company in the world.
· Vodafone’s size gives it economies of scale, which pushes its costs down.
· Vodafone’s size also allows it to set standards; this was demonstrated when it signed a deal with Microsoft to develop payment methods for mobile Internet services. ...
Strategy
· Global expansion through acquisitions paid for with shares because Vodafone wanted to be the hunter not the hunted, for example:
o Airtouch was acquired for £43 billion to give Vodafone a presents in the US, it was also the world largest take over at the time. ...
· Re-branding of all global assets to Vodafone where they own over 50%. ...
· Vodafone’s new service Mobile Office is threaten by wi-fi services that allow customers to access to the internet at broadband speed in train stations, bar and cafes. ... Customers are able to keep their telephone number and move between networks very easily, so when a customer threatens to leave Vodafone will offer a free phone and free line rental, with the aim of keeping them.
Approximate Word count = 1298
Approximate Pages = 5.2
(250 words per page double spaced)
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