project vodafone group9

8/3/2019 Project Vodafone Group9

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Business ofTelecom

Project Report -

Vodafone

Submitted By:

Group 9:


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JagadeeswaraReddy S - NMP14

Sudipta Paul - NMP26


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Contents

Contents .....................................................................3

Vodafone History: ........................................................4

Vodafone Board: ..........................................................5

Vodafone Products and Services Portfolio: .................... 7

Vodafone Vision and Values: .................................... 9

Areas of Operations: .................................................. 10

Mobile Telecommunication Industry: ........................... 12

Telecom Industry global mobile Subscribers: .............. 12

PEST Analysis: ........................................................... 14

3G Spectrum: .............................................................17

SWOT Analysis of Vodafone: ....................................... 19Porters five forces analysis on Vodafone plc ............. 22

Balance Sheet and Income Statement Analysis : .......... 25

Influence of Technology on Vodafone: ......................... 30

Future Directions for Vodafone: .................................. 30

References: ............................................................... 32


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Vodafone History:

Vodafone Group is a public limited company incorporated inEngland. Vodafone is one of worlds leading mobile

telecommunicationscompany operating in Europe, Africa, Asia-

Pacific, the Middle East, and in United States through the companys

investments, subsidiaries and joint ventures. All of the mobile

subsidiaries in Vodafone group operate under the brand name

Vodafone. Being one of the leading mobile telecommunications

company operating across nations, Vodafone sustains its growth

with unique blend of products and services that it offers to its

customers. The name Vodafone was chosen by the company from

Voice Data FONEto reflect the provision of services offered by the

company.

In 1982, Racal granted UKs first mobile license and the first ever

call mobile was on 1st of January, since then its been Vodafone

achieving various milestones in the field of mobile

telecommunication.

In 1990, Vodafone Subscriber base reached 500,000.

In 1991, Vodafone and telecom Finland linked up to make the

worlds first international roaming call.

In 1993, Vodafone extended its market with license and

partnerships to Australia, Germany, South Africa, Greece and Fiji.

UKs first Vodafone plc emerged as the Vodafones commercial

GSM-digital service launched.In 1996, Vodafone launched UKs

first-ever contract free service(Vodafone prepay)

2000 the beginning of 21st century, Vodafone established

multimedia in to mobile communication in response to the

technical advancements and innovation includingGPRS,3G and

Wireless internet.

Vodafone currently operates in 25 countries and further operates in

42 countries with partner networks. According to the 2011 year end

registered mobile subscribers data, the Vodafone group companyhad nearly 350 million customer . The Vodafone group company had


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a total market capitalisation of approximately 93billion according

to the companys shares listed on London Stock Exchange and

NASDAQ stock market on March 2011.

Vodafone Board:

The Board is responsible for the overall conduct of the Groups

business and has the powers, authorities and duties vested in it as

per prelevant laws and Articles of Association of the company. The

Board:

Has final responsibility for the management, direction andperformance of businesses;

Is required to exercise objective judgment on all corporatematters independent from executive management;

Is accountable to shareholders for the proper conduct of thebusiness;

Is responsible for ensuring the effectiveness of and reportingon the system of corporate governance.

The organizational structure is as follows:


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The Board has a formal schedule of matters reserved to it for its

decision and these include:

Group strategy;

Major capital projects, acquisitions or divestments;

Annual budget and operating plan;

Group financial structure, including tax and treasury;

Annual and half-year financial results and shareholdercommunications;

System of internal control and risk management;

Senior management structure, responsibilities and successionplans.


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The Companys Board consists of 14 directors. In addition to the

Chairman, Sir John Bond, there were two executive directors and

eight non-executive directors. The Deputy Chairman, John

Buchanan, is the nominated senior independent director and his role

includes being available for approach or representation by directors

or significant shareholders who may feel inhibited by raising issueswith the Chairman. He is also responsible for conducting an annual

review of the performance of the Chairman and, in the event it

should be necessary, convening a meeting of the non-executive

directors.

The Company considers all of its present non-executive

directors to be fully independent. The Board is aware of the other

commitments of its directors and is satisfied that these do not

conflict with their duties as directors of the Company.

The non-executive directors are responsible for:

Bringing a wide range of skills and experience to the Group,including independent judgment on issues of strategy,performance, financial controls and systems of riskmanagement;

Constructively challenging the strategy proposed by the ChiefExecutive and executive directors;

Scrutinizing and challenging performance across the Groupsbusiness;

Assessing risk and the integrity of the financial information andcontrols of the Group;

Ensuring appropriate remuneration and succession planningarrangements are in place in relation to executive directorsand other senior executive roles.

The Board has established an Audit Committee, a Nominations

and Governance Committee and a Remuneration Committee, each

of which has formal terms of reference approved by the Board.

Vodafone Products and Services Portfolio:

Vodafone offers a range of products and services keeping in

mind the choice of customers and their needs, this means

ofcustomer understanding enables Vodafone to be on the right track


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to growth. Vodafone offers its products and services not only to

normal customer, but also to those who have disabilities and

impairment. Vodafone committed to provide its customers with user

friendly products and services unmatched by its competitors.

Vodafone achieves competitive advantage over its products and

services by adopting itself to new technologies at first. Vodafoneoffers its customers a variety of products and services.

Products portfolio

Pay as you go

Pay monthly

Mobile broadband

Fixed line broadband

Wired

Cordless

Top-ups

3G data cards

Smart phones

BlackBerry business phones

Services portfolio

3G service

GPRS

Vodafone live

Mobile Office

Voice

Entertainment

Games

Ringtones

Application


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Wallpapers

Chat

News & Updates

Downloads

Easy payments

Voice activated dialling system for people with restricted sight

problems

Text to speech software

Trained staff crew on customised stores

Vodafone live!

Vodafone Vision and Values:

Vodafone is a company that believes in its Vision and values

and relentless working by its values to reach the vision. Being a

telecommunication company that enables people to communicate

hassle free, Vodafone believes in listening to peoples their thoughts

and ideas would enable the company to sustain its competitive

advantage over its rivals.

Vodafone Values

Speed: Focussed on pace of the market, and coping up to

new

technologies.

Simplicity: Makes things simple for its customers,

partners and co-workers.

Trust: Being reliable and transparent to deal with.

Vodafone Vision

Vodafone understands the fact that it is never easy to predict the

future through identifying the footprints of the company in the past

therefore Vodafone perceives the companys future in understanding

data services and products offered to the customers according to

their needs. The extensive journey of Vodafone has already begun


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with 3rd generation mobile internet, mobile broadband, and fixed

broad band services by embracing new technologies.

To be a leader in the world of mobile communications

enriching customers lives by providing communication

solutions to business and communities in the modern world

Vodafone focuses on making mobile the primary source

of personal communication for individuals across the world

Vodafone has clear priorities to capture potential and

emerging markets through mobile telecommunication medium

and thus bringing socio-economic values in the prospect of

operational market

To work on the key areas including Global warming andclimate change

To develop sustainable products and services to attain

greater level of customer satisfaction.

Areas of Operations:

Vodafone Group Plc is the world's leading mobile

telecommunications company, with a significant presence in

Europe, the Middle East, Africa, Asia Pacific and the United

States through the Company's subsidiary undertakings, joint

ventures, associated undertakings and investments.

Its areas of operations include the following countries:

Albinia

Hungary

Portugal


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Australia

India

Qatar

Czech Republic

Ireland

Romania

Egypt

Italy

South Africa

Germany

Malta

Spain

Ghana

Netherlands

Turkey

Greece

New Zealand

United Kingdom

In addition to the above countries, Vodafone Group hasentered into arrangements with network operators in countrieswhere the Group does not hold an equity stake. Under theterms of these Partner Market Agreements, Vodafone and itspartner operators co-operate in the marketing of globalproducts and services with varying levels of brand association.


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Mobile Telecommunication Industry:

Mobile telecommunications industry plays an essential role in

the worlds economy, mobile phones are considered to be the key

device that enablesthe industry to portray its importance in worlds

economy. Mobile telecommunication industry through its various

innovations and technical advancements has met numerousmilestones in a very short period, than any other industry does.

Mobile telecommunication industry due to its increased demandand

through its constantly evolving nature serves almost all the

industries, sectors, business and individuals across nation.

Mobile telecommunicationindustry due to its increased demand, the

necessity to facilitate a no of industries and nations is also at a rise.

Therefore more and more of mobile telecommunication industries

have been started, understanding the potential growth of theindustry and to capture growing markets. There are over 600 mobile

operators operating worldwide and over 50 mobile operators have

over 10million subscribers each and still counting. The worlds

largest and leading individual mobile operator is china mobile with

customer base of over 500million; the UK-based Vodafone is the

worlds largest mobile operator group.

Telecom Industry global mobile Subscribers:

There are 4.7 billion mobile customers in 2011 across theglobe with growth of around 20% per annum over the last threeyears. The majority of customers are in emerging markets such asIndia and China. Vodafone is a leading company with a 7% share ofthe global market.


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Mobile customers (m)

Consumers are increasingly choosing to make voice calls over

mobile rather than fixed phones . As a result the number of mobile

users now far exceeds the number of fixed telephones.

Over the last three years mobile customer growth has been

strongest in emerging markets such as India and China. In contrast

growth has been more muted in developed regions such as Europe

which are relatively mature..

Mobile penetration

Global mobile penetration is around 70% and is generally higher in

more mature markets such as Europe and the United States but isgrowing most quickly in emerging markets such as India, China and

Africa.


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Looking forward the number of worldwide mobile phone users is

expected to continue to grow strongly. Most of this growth is

expected in emerging markets such as India, China and Africa where

mobile penetration is around 50% compared to about 130% in

mature markets such as Europe.

Developing countries are generally expected to deliver faster GDP

growth which combined with relatively little alternative fixed line

infrastructure is positive for mobile penetration growth prospects.

PEST Analysis:

The strategic position of a company can be analysed based on the

important factors that affects the internal and external factors of the

company. The PEST analysis focuses on the external environment of

the company and gives a complete analysis of the business, and

strategic position of the company (Vodafone plc).

Political Factors

Political factors influences the company as the business decisions

can be changed based on the rules set by the political forces.

Business can be affected by the legislation in terms of competition,

collusion, acquisitions and mergers, national laws etc.

Rules and Regulations: regulations to limited access tospectrum and tight control over licences for mobile phones,


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provides complications to the mobile industry. Apart from this

political pressure arises due to increase in the issue of

radiations that comes from mobile phones and limited usage

for children as well as other health issues concerned while

using mobile phones.

Infrastructure: To promote more facilities within the business

and for increased distribution of network availability, the

infrastructure of the company needs to be developed which

usually requires constructing more buildings that requires

authorization from government and statutory bodies to use

their property.

Health issues and concerns: The research towards the effects

of mobile phone usage is still in process, and there is no

definite public opinion on the issues concerned with usage of

mobile phone. Besides these, the technologies in mobile

phones are still developing.

Economical Factors

The economical factors can have critical impact on the business andits performance; the economic impact can have a direct impact on

business due its effect on supply and demand power. Economic

influences include costing, unemployment, increased competitors,

growth of economies and scale, etc.

Licence cost: Vodafone and other mobile service providers face

economic issues in the cases when there is increased cost for

acquiring licences for mobile phones.

Third generation cost: Telecommunication businesses faces severe

consequences in paying extreme price for acquiring 3G licences,

competition arises in bidding the price for licences and this results in

paying very high cost for obtaining the license for 3G. Added, to

provide good network coverage, the company need to build more

network stations which thereby require a lot of revenue.


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Calling cost: Due to increased competition, costs of calls have been

bought down as customer tends to focus more on low-priced

products where the demand will be more. Hence to meet the

increased demand the Vodafone was pulled out in situation to

reduce the cost of calls.

Socio-cultural Factors:

Socio-cultural factors include cultural

differences and the influence of

consumerism. The innovation of 3G

technology brings to society a better blend

of new series of contents and services.

This new technology of 3G will increase the

sales revenue of the company especially a

company like Vodafone will now be able to

offer wide range of mobile phones with latest technologies adopted

in 3G which will result in increased sales volume. In addition to this,

Vodafone adopts few responsibilities to protect the younger

generation of today against the inappropriate content usage and

access violation through gambling and unauthorized games.


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Technological Factors

The Increased technological

usage in mobile phones

created increased usage of

mobile phones among

consumers, in the beginningmobiles were used only for

speaking, after the discovery

SMS and other advanced

technologies in mobile

phones people have got

attractedfor mobile phones

not just for conversing but

also for other value added

services and features offered

by network service providers.

The latest technology like 3G, Bluetooth, Wireless and WAP, has

made human life very simple to get connect with people across the

world.

3G Spectrum:

3G offers more services like high speed internet browsing,

downloads, video streaming, video calls etc on your mobile apart

from the regular voice calls. The services may initially be a hole in

your pocket but as time goes all these might come at an affordable

price.

The 3G spectrum allocation in India began in April 2010 and 9

telecome operators like Bharti, Vodafone, Reliance, Tata, Idea,Aircel, Videocon, STel, Etilasat had participated in the bidding. Thegovernment has earned a amount of Rs.67719 Crores from thebidding of 3G spectrum.

Bharti Airtel being the highest bidder, it has spent around Rs.12000crores and bagged around 13 circles including Delhi, Karnataka,Mumbai, Andhra Pradesh, Tamil Nadu. Vodafone has bagged around9 circles, Tatas 9 circles, Reliance 13 circles, Aircel 13 circles, Ideacellular 11 circles and STel 3 circles, while videocon and Etilasat

failed to win the bid in even one circle.


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Finally the bidding for the 3G spectrum in India has ended after along round of bidding for around 50+ days. Indian government hasearned a big Rs.67719 crore rupees from this 3G bidding. Thedetails of this 3G bidding are as follows,

Bharti Airtel Won the bids in Delhi, Karnataka, Mumbai,

Andhra Pradesh, Tamil Nadu circles. Totally it has won the bidin 13 circles and has paid the govenment a price of Rs.12295crore.

Reliance Won bids in Delhi, Mumbai and other 12 circles. Ithas paid the government a price of Rs. 8585 crores.

Vodafone Won bids in Delhi, Mumbai & Tamilnadu, apart fromthese circles it has won the bids in other 7 circles and paid aamount of Rs. 11617 crores to the government.

Aircel It has won in Karnataka, Tamil nadu, Andhra Pradeshand other 10 circles. It has paid around Rs. 6499 crores to the

government. Tata Won the bids in Karnataka & other 8 circles. It has to

pay the government a amount of Rs. 5964 crores. Idea Cellular Apart from Andhra Pradesh it has won the bids

in other 10 circles and has paid Rs.5768 crores. S-Tel - It has won the bids in 3 circle which are worth Rs.337

crores.

Vodafone launched 3G services in Kerala. Actually Vodafone has not

won 3G spectrum in Kerala. Instead Vodafone has made an Intra

Circle Roaming (ICR) arrangement with Idea Cellular Kerala to bring

3G services to its subscribers in Kerala.As per this ICR arrangement

with Idea,Vodafone can also provide 3G service to its customers in

Kerala using the 3G spectrum of Idea.Initially Vodafone 3G services

will be available in following cities in Kerala Ernakulam, Aluva

,Calicut, Quilandy, Alleppey, Cherthala, Malappuram and Manjeri. Itwill be soon extended to other cities. Vodafone has got license to

launch 3G in nine circles in India namely- Delhi, Mumbai,

Maharashtra, Gujarat, Haryana, Kolkata,West Bengal, Uttar Pradesh

(East) and Tamil Nadu. Using Vodafone 3G customers can enjoy

High Speed Internet, Faster Downloads, Video Blogging, Mobile

Newspaper,HD Gaming, Live Streaming, Vodafone TV, Video Calling

etc.
http://here4mobile.in/2010/05/winners-of-3g-spectrum-in-india/http://here4mobile.in/2010/05/winners-of-3g-spectrum-in-india/


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SWOT Analysis of Vodafone:

The SWOT analysis that comes henceforth will provide the

company with detailed information of market situation at present

and Vodafone plcs competitive advantage over its competitors. This

report will use the SWOT analysis to analyse and evaluate the

Intrinsic and Extrinsic environment of Vodafone plc, stating to thatStrengths and Weakness will be considered as Intrinsic

environment of Vodafone plc where as Opportunities and Threats

will be considered as Extrinsic environment of Vodafone plc.

SWOT Analysis on Vodafone

Strengths:Weakness:

Omni presence Legal issues

Diversified Geographical existence Lack of R&D

Opportunities:Threats:

Third Generation 3GWrong

Strategies- effects

Trend of Mobile phones

Environmental hazards-effects

Fourth Generation 4GMobile phone usage rights


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Strengths The primary strength of Vodafone is its omnipresence and

Diversified geographical existence.

Vodafone widespread its brand by acquiring emerging marketsand retaining the Vodafone brand name to the existing brandwhile controlling the existing network and retaining theinternet value in each of the acquired markets

Choosing and Sponsoring the Famous events and sports games

for e.g. Ferrari Formula 1 team enables the company to portrayitself uniqueness and brand.

Due to the companys global presence, Vodafone self analysesexisting network and incorporates future technologies toenhances the companys ability to introduce productsconsidering both the pace of the market and stability of thegroup networks

Well trained customer relations crew members and time boundqueries handling specialists adds value to the Vodafones

group. The companys strategy in developing a globallyspecified group standard in customer relations managementensured awareness of its customer base and serve accordingto their preferences and thus enabling the company to developuser friendly products and services.

Vodafone plc has recorded a high operations margin in the lastfive years of at least 30% has been recorded.

Vodafone offers data services in which a customer can access

the internet using3Ga 3rd generation network that was rolledout in many markets in the beginning of the year 2000.

Weaknesses

Vodafone on expanding its brand and geographical existencehas invested some quite a huge amount on fixed tangibleassets in the past five years on an average has exceeded thedepreciation charge by 58% and represented a 50% ofoperating profits therefore there is a greater chance of thecompany meeting meet a cash shortage.


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Exploring new technology will require huge R&D andinfrastructural costs. If the company could not meet the profitson resourced project, the company will held under tremendouspressure in recovering the costs spent. On some occasionspent may never be recovered. In addition the companyspresent technologies will not be flexible to adopt new

technologies.

Vodafone as a telecommunications organisation is stillconsidered to be immature and receptive to legal issues whenthings change rapidly.

Opportunities

Third Generation3G Mobile Phones are considered to be a

key player in the product and services portfolio mobiletelecommunications industry as it will allow the users to accessthe internet much faster, with greater efficiency and hi-speeddata transmissions this effectiveness will also facilitatevideoconferencing through mobile Internet at broadbandspeeds, and restructure future multimedia messaging.

The trend of people change from time but in the case mobilephones from the time of mobile phones launched till thismoment, mobile phones remains to be a special devise amongindividuals. This is due to effective service offered by themobile operators attracting new technologies. There peopleacross the world hold at least one mobile phone for them, wecan even say mobile phones are considered to be a musthave device by people of developed countries. This enablesgreater opportunity for Vodafone to keep searching forpotential markets and increase the count of customers with itsextensive products and services.

Threats

Failure to build an effective model or technology would put thecompany under immense pressure and will lead to lose greateramount of money in shot.

Wrongly defined strategy would impose a false image on thecompanys brand name

Mobile telecomm industry is encompassed with no of rules andremains as a highly regulated industry. Mobiletelecommunications operating companies have to abide by therules made for political and socio-economic without

considering impacts of those rules in its organisationvalues.Examples of these rules would be licensing on certain or


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further mobile phones and operating infrastructure, Imposingpricing strategy on call rates and network rates.

If the use of mobile phones was restricted due to medical andenvironmental hazards reason, the entire mobile andtelecommunication industry would suffer.

Users wishing to change their network services provider mayexpect better service from Vodafone, failing to fulfil suchcustomer will lose customer trust on Vodafone.

Porters five forces analysis on Vodafone plc

Porters five forces model helps the organisation to itscompetitors in its industry, competitor analysis would enable

Vodafone plc to understand the various that makes its way inentering it to the potential market, the buying power of customer ina specified region or location, helps in identifying cost effectivesupplier in the location, product substitute helps Vodafone toidentify the substitutes of its products and services offered with localare technical advantage. These five forces will have a direct impacton Vodafones strategic competitiveness.

Competitive rivalryCompetition between mobile operators is very high as a

number of companies operate in a specified location, O2, Orange,Virgin, 3 and T-Mobile. Rivalry is high as when customers from othernetworks switches to Vodafoneand finds there is no brand loyalty i.e.difference in services offered other than price.

Buying power

Vodafones accounts on the number of customers disconnectthe service during one complete year enables Vodafone to know

about its customer and their expectations. Customers are providedwith a number of choices to choose from new packages, new phonesand new tariffs through newspaper, advertisements and masscommunication medium the internet.

Power of suppliers

Suppliers play a vital role in any industry and notably suppliersin the mobile telephone industry are too strong. Vodafone,Vodafone due to its omnipresence and geographical existencereducesthe cost and operates with greater margins than their

competitors. This ultimatelyallow Vodafone to attract increased pricefrom its suppliers and remain competitive than its competitors.


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Being the largest mobile operator in the mobile telephone industry,Vodafone has a greater advantage of holding suppliers costsdown,the companyssustains returnsat higher average.

Threat of substitutes

Vodafone faces a low threat of product substitutes. The

focused cost leadership strategy that Vodafone operates undermakes it difficult for a similar substitute to be produced at a lowerrate by their use of economies of scale, their buying power and theiruse of temporary price increases that come from suppliers that donot need to be passed on to the consumer.

Threat of entry

Even though the threat of new entrants is less for theVodafone operations, the company must reduce costs below theircompetitors. This can be achieved by maintaining high levels of

efficiency, Vodafone being the major supplier of mobile products andservices can reverse the trend set and make it harder for thecompetitors to make a potential entry.

Sustainable competitive advantage

Vodafone outruns its competitors through its unique andfocussed strategies, theseunique strategies enables Vodafone todevelop unique, differential products and services to its customers.

Vodafoneproducts andservices areacceptedworldwide as costeffective andvalue for money.Vodafoneachievesoperational

performance byenrichingcustomer valueenhancement.Vodafone due toits wide-spreadknowledge aboutvarious productsand services andthrough core

competency possess sustainable competitive advantage not onlyamong its rivals but also in entire mobile telecom industry.


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Balance Sheet and Income Statement Analysis :

Total liabilities of the company is $102,042,000 and it hashuge stock holder equity $140,346,00 lying with it. India and Chinaare the two emerging markets and there is lot of scope to increasetheir market share by going for acquisition of the small telecom

companies which is allowed as per the new Telecom policy of2011.The company has implemented differentiation strategy but it


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definitely requires sustainable advantages in order to continuouslyprovide unique values to its subscribers. A company can gaincompetitive advantages by creating more values than itscompetitors in the value chain.

Income Statement:

Analysis for the year 2011:

Group revenue increased 3.2% to 45.9 billion with a strong

result from emerging markets like India and China and signs

of renewed growth in some parts of Europe.

Adjusted operating profit rose 3.1% to 11.8 billion, supported


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by a good performance

Free cashflow of 7.0billion, reflecting consistent levels of

capital

expenditure and strong working capital performance.

Total dividends per share is 8.90 pence,up7.1% inline with

dividend

per share growth target. 6.8billion committed to share buy

backs.

There is lot of uncertainity in the telecom industry world wide

as the economic growth is not stable around the globe. Many of its

competitors are going for consolidation for better competitive

advantage and its to with stand the financial turmoil. Still vodafone

has performed well and It has give decent dividents to its share

holders.


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Subsidiaries:

Vodafone has lot of subsidiaries across the globe including in India

and China which are the emerging markets.List of the companies islisted below:


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Vodafone Essar Limited is the network operator in India with 59.9%

share holdings.


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Influence of Technology on Vodafone:

Vodafone provides its wide range of telecommunicationservices to people around the globe and provides access to peoplefor 24-hours a day. The economic development of a country issupported by the connectivity technology provided by thetelecommunication industries. Many families which live in rural andurban areas and people who live far away from their beloved onesget communicated through this mobile technology. People who dobusinesses even from small scale to large scale need mobile phonesas communication is a very important factor in business to developfurthermore.

The need for increased movement and security of money has beenrecognised by Vodafone which was shown by its partnership withSafaricom. As a result, Vodafone set up M-PESA technology, whichmeans Mobile Money working in funding with the Financial

Deepening Challenge Fund(FDCF). This M-PESA technology provideseasy and simple access for low-cost money transfer system. Thisprovides an ease of access for top-up technology and in returnVodafone gets a commission in smaller amount. This technology wasmade available in petrol stations, supermarkets, convenience stores,etc. This will help business to have a secure financial transactionand safe way for wage earners to send money to their home.

Future Directions for Vodafone:

Third Generation 3G Mobile Phones are considered to be akey player in the product and services portfolio mobile

telecommunications industry as it will allow the users to access the

internet much faster, with greater efficiency and hi-speed data

transmissions this effectiveness will also facilitate videoconferencing

through mobile Internet at broadband speeds, and restructure future

multimedia messaging.

The trend of people change from time but in the case mobile

phones from the time of mobile phones launched till this moment,

mobile phones remains to be a special devise among individuals.

This is due to effective service offered by the mobile operators

attracting new technologies. There people across the world hold at

least one mobile phone for them, we can even say mobile phones

are considered to be a must have device by people of developed

countries. This enables greater opportunity for Vodafone to keep


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searching for potential markets and increase the count of customers

with its extensive products and services.

Overall at present Vodafone holds strategically a good position

in mobile telecommunication industry in financial aspect andcommercial aspect, the only thing that bothers the Vodafone plc is

the European market. Since the future direction in the European

Union is still at stake due to the increased competition and decision

postponement on bidding for 4G technology.

Conclusion:

Vodafone achievessuccess through its strategic investments,constant innovation, and its focus on customer services. Vodafoneplc has taken various strategies like, branding, which hasaccomplished using value added services to cope up to the changingenvironment and customer needs. However, there are still anumber of problems lies behind Vodafone

E.g.,Extreme competition in the European market, the product lifecycle point and view for Vodafone is in a matured stage, and the factthat the Japanese and Germany market restricts Vodafones goal ofbeing a global leader.

As we all aware of Vodafone invested in 4G and high speed broadband market, with less concentration and far behind the trailingcompanies, since 4G is considered to be latest innovation intechnology and Vodafone was expected to be a frontrunner.Wherein the trailing companies such asO2, Skype and T-mobilesare

far beyond and have started targeting broad band users withfrontend 4G technology. Vodafone holds a large proportion ofmarket share in developed countries;However Vodafone must alsoneed to concentrate on developing countries also if they wish toremain global leader in the mobile telecom industry.

Bringing value to developing and developed countries has been themain motto of Vodafone. It is a clear picture that the recent years ofeconomy is experiencing a greater amount of growth with thegrowing impact of mobile technology in developed

markets.Customers are provided with added up value throughinnovative functions and features. The impact of technology and


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Vodafone together helps people to review the employmentopportunities and take advantage of them even when they are awayin their home towns and villages.

References:

http://www.vodafone.com

http://www.expertscolumn.com

http://www.here4mobile.in

http://www.in.finance.yahoo.com

http://uk.reuters.com/business/quotes/overview?symbol=VOD.L

http://www.knowyourmobile.com/blog/5967/vodafone_launches_musicstation_unlimited_download_service.html

http://www.ft.com/companies/telecoms

http://www.vodafone.com/start/investor_relations/strategy0.html

http://www.vodafone.co.uk

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project vodafone group9

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