SWOT Analysis Vodafone, telecommunication industry, stock market, market data, innovation, brand image, market coverage, Airtel, market shares, competitive advantage, new entrants
Vodafone is a British telecommunication company based in Newbury, in England. The company was created in 1984 as Racal Telecom by Ernest Harrison and Gerry Whent. In 1988, the brand entered the Stock market and became independent in 1991 and took the name Vodafone. The company has different products such as the fixed line phone, the digital television, the mobile phone, the internet television, the broadband, etc. The British brand has enough products to entertain its public. Vodafone has a strong presence in Asia, Europe and Africa.
[...] Technology and innovation are key elements for Vodafone to gain competitive advantage in this race. Threats -Rate fluctuation: the fact that the company operates in an international level make his business vulnerable to the fluctuations of different currencies. The vulnerability is also present when the political environments of the countries where Vodafone operates are unstable. -Innovative products: over the years, it has been proven that Vodafone provide his clients with new products based on the innovations from its competitors. The brand should work on its ability to come up with new products instead copying others. [...]
[...] Regions like Asia Pacific and Europe are where the company operates the most. Nevertheless, the brand is still present in Africa and Middle East. -Marketing: One of the strengths of Vodafone is the way it promotes itself. In fact, through marketing campaigns, the company makes itself known and gets massive market coverage. The company's marketing team is known for always coming up with brilliant strategies that capture the public's attention. The Zoozoo concept for example made the brand's Ads very popular. [...]
[...] It is a large group that has amazed millions of people for years to the extent that it created a certain trust with the clientele. Vodafone products and services are perceived as high quality ones. In figures for example, the brand's value was 28 billion USD in 2016. This shows how big and strong the company is. -Diversification of products and services: The Company doesn't only provide products to individuals, but also to professionals (enterprises). In one hand, it provides mobile services; on the other hand, it provides fixed services. So, Vodafone adapts its products according to the demand and category of customers. [...]
[...] This will allow Vodafone to increase its market shares and revenue. -Developing markets: Apart from rural areas, Vodafone should also focus on emerging regions like Africa, Middle East and Asia. These regions are developing and have needs of mobile services like ones proposed by Vodafone. The brand has to jump to this opportunity in order to reinforce its presence around the globe. -Dependence on cellular: Nowadays, living without a phone has become very difficult. This trend is an opportunity for Vodafone to acquire more customers. [...]
[...] Nevertheless, the company still has to improve this element because merging firms with different work culture remains difficult even for a big company like Vodafone. -Dropping clientele base: Since 2013, the brand's subscriber base dropped considerably in Spain, UK, India, Germany, Italy and South Africa. Vodafone needs to strengthen its core values so that more clients will adhere to the brand. Up to 2016, Vodafone seemed to handle this dropping trend. It needs to continue in this direction because losing clients impacts the company in many ways such as loss of market shares, low revenue, etc. [...]
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