Sunday, March 31, 2019

SWOT analysis for Vodafone PLC

SWOT analysis for Vodafone PLCVodafone has created a very good dirt Image in the Customers Perception, Vodafone has its servicings close to the world and It is listed in the worlds wind 500 Brands and ranked 183 in the year 2006 and is published in Barron and withal ranked 86th place in the worlds 100 largest companies and the ranking of Vodafone came down to snatch 10 in the year 2010 for the top 100 brands listed and that is published by Millward Brown. According to Brand Finances A Global Brand position done in the year 2010 Vodafone is ranked the 7th Most worthful Brand.Best in Class Technology-Vodafone is equipped with the most go on Infrastructural Network round the globe which helps Vodafone de give wayr the most unsurpassed prime(a) of communication. on that point be oer 200.000 base stations for the piano tuner steer Transmission and the network traffic is slightly 700 billion minutes and over 90 pet bytes of data per year, and the peak download speed is aroun d 28.8 Mbps. This is ultimately serving the Vodafones customers to best wait ons in the securities industry. Vodafone came up with a b ar-ass Service in the year 2010 named as Vodafone 360 which is an ex stallent service for the customers who are wanting to be connected everywhere and this particular service is perfect for customers who want to access the latest information available on the internet by keeping their contacts in that.Vodafone 360 is connected to the latest updates from the touristy social networking sites, such as Face book, Msn and skype, so Vodafone 360 users can pillow update from their Fri abates and latest radicals.Vodafone was the First operator to Provide DRM- Free Bundles and has the largest digital music Subscriptions In Europe where are over 500,000 Customers.Global presence and diversification taxationVodafone has expanded its business in different separate of the world desire Europe, Middle East, Africa, Asia Pacific and the United States through the comp whatsoevers accessory undertakings and the investments as of FY2010, and Vodafone is the one best Worlds Leading International Mobile Telecommunications company. Vodafone has partners in to a greater extent than 40 Countries and has the equity interests over 30 countries Vodafone has a very good prominent foodstuff share in most countries around the world including Europe, The Middle East, Africa, Asia pacific and the United States and Vodafone to a fault has a change revenue base for instance in FY2010. Vodafone has its largest geographical securities industry and Germany Contributed 18% of the Total Geographic Revenue. And Italy is the second best revenue generator for Vodafone ie 13.5% and Spain with 12.7% and United Kingdom with 11.2% of share and Vodacom with 10% followed by India 7% in FY2010, The groups other Africa and Central Europe, and other Asia pacific and middle east trading operations accounted for 12, 8 and 7.5 percentage respectively. This in turn led Vodafone to be the largest winding telecommunications operators.Prominent market positionAt the end of 2009, Vodafone has a sizable market share in the European region with Italy, Romania Germany Spain and UK at 33.5, 33.1, 32, 31.2 and 23.4 percentages. Whereas, the market share in the eastern European country of Turkey is at 24.5%. It is has a truly international customer base of 347 million registered customers as of 30th June 2009. A sizeable portion of it comes from India where it has the largest and growing clientele. It is estimated that by 2010 Vodafones Indian customer base has the capability to grow up to 111million by the end of 2010 from the present 32 million subscribers. Vodafone subscribers and 85,000 employees have given it a market capitalization of 80.2 billion as of August 2010 and global alert market share of 7%.WeaknessMobile phone radiation therapyIt is express that the exposure of RF fields from the cell phone towers has dangerous wellness hazards. Som e research studies suggest that excessive cell phone wont could lead to cancer. This belief, however, remains a debatable issue. The local health government activity and the World Health Organization agree there is no bear witness on the same. The damage though has already been done. It is a problem face up by all telecom operators. Government authorities in many countries have already taken precautionary measure by pass cell phone usage in school and colleges, since pupils are more sensitive to RF fields. To a certain degree, the cell phone radiation concern slim downs the quantity of demand since a segment of the market allow have minimum usage.Legal ProceedingsConcerned over allegations of cell phone radiation that leave alone dent telecom industries revenues, operators like Vodafone and Verizon wireless have filed lawsuits against groups alleging various health consequences as a result of spry usage. Health risks have non been substantiated however, there is no guaran tee that the veritable or perceived risks of RF exposure leave not deflower Vodafones ability to retain or attract new subscribers, or reduce mobile usage or result in future litigation. The litigation may further affect Vodafones operations adversely than that of other telecom operators since Vodafones strategic focus is on mobile telecommunications.OpportunitiesIncreasing customers and emerging marketsThere has been a 20% offshoot in the telecom industry in the last three years with a 4.7 billion subscribers. Emerging markets like India, China, Turkey and South Africa have been improving performance with increasing revenue which contributes to the market share. In emerging markets mobile penetration is around 50% as compared to European market. Developing countries are expected to deliver straightaway GDP with little alternative fixed line nucleotide. Turkey in the fourth year had revenue growing 31.3%. Vodafone Indias revenue increase by 14.7%. Other Asia pacific regions a nd middle east service revenue increased by 9.8%.Mobile Transfer ServiceMobile coin enchant service is a value added service that provided through existing nucleotide with the help of other financial enterprises. It is a growing business with capacious opportunities especially when mobile customers are growing exponentially with an expected penetration of 5.4 billion by 2015. In the coming years mobile money transfer system go out become Vodafones important source of income.4G universe4G is all about improved high speed data transmission. The superscript ultra-broad band will improved internet connectivity and therefore better live streaming experience. Vodafone again will be using its own infrastructure to launch 4G.Growth of mobile publicizingThe increasing trend of mobile phone users, has led the industry to believe that the global mobile advertising market is expected to grow at a compounded yearbook growth rate of about 40% until 2014. This has been primarily because o f the new handsets that are compatible and improved internet connectivity. In 2008 Vodafone ran several hundred campaigns for global brands. A year later, mobile advertising was devoted to 18 in operation(p) markets. This potential market will be a major growth area for telecom players.ThreatsLegal RisksVodafones groups revenue comes from emerging or development countries since they have majority of its customers in such markets. In emerging markets however, political, regulatory, frugal and healthy systems are less predictable. This environment makes Vodafones investments vulnerable and any legal developments are beyond the control of the group. There is also the likelihood of not having achieved any returns in these markets.Increasing CompetitionThe exponential growth of new customers has been due to increased competition. The fierce competition has also led to declines in tariffs for mobile services and is expected to decrease further thereby causation drop in revenue. Compe tition has also led increase in subsidies for handsets. Licensing is also another concern that the telecom industry faces which may also lead to competition.Delayed TechnologyOne of the hallmarks of Vodafones success has been the innovative technologies which are provided by vendors. The group makes significant expenditure towards setting up new infrastructure for improved communications. These technologies however, do not guarantee that the common standards of precondition will be achieved. The technologies are developed according to anticipated schedules that will perform to the expectations of the vendor or their commercial importance. The poor performance from any vendor could result in additional expenditure or trim back profitability.Adverse Macroeconomic conditionsPoor economic conditions may lead to bring down spending by customers. They may purchase lower priced products and services from a competitor. Externalities like recession or global economic deterioration will on ly delay the purchasing necessity of the customer. Adverse macroeconomic conditions will only affect Vodafones sales income.Referenceshttp//www.vodafone.com/static/annual_report10/business/customers.htmlhttp//zprcnet.wwwwang.com/content/20103/1080835.shtmlhttp//www.vodafone.com/ leap out/investor_relations/vodafone_at_a_glance0.htmlhttp//en.wikipedia.org/wiki/Vodafonehttp//lawyers-law.com/indian-court-upholds-big-tax-bill-against-vodafone/Jobber, D. (2007) 5th edn. Principles and Practice of Marketing. Berkshire McGraw-Hill Education

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