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Case Study - Vodafone Telecommunications

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Vodafone has been striving hard from the time of its formation to become the leader in the industry. In fact, it would not be wrong if we say, that Vodafone's primary organizational goal is to be the leader of the industry, serving their customers in the best possible way with their latest and best telecommunication services. Vodafone was formed originally under the name of Racal Telecom Ltd. back in 1984. But in 1991 it demerged from Racal group and became an independent company named "Vodafone." The headquarter of Vodafone is located in Newbury, Berkshire, United Kingdom. Vodafone is currently operating in almost 26 countries of the world, whereas it also operates in a further 40 countries as the network partners of various companies. The market capital of Vodafone is estimated to be 165.7 billion. Keeping the main aim of achieving the position of world's mobile communication leader, Vodafone has been leading the market for a certain time now. Vodafone is known for their customer centric approaches. The most essential and core products of the company are their reliable, innovative services and their passion to keep their customer satisfied. Vodafone was the pioneer of introducing mobile telephony in the United Kingdom and this adds value in their brand. The first mover advantage has served them well. Their capabilities of managing the diversified group of companies and maintaining the same kind of services throughout the world is also considered as their significant core competency. The strategic decision of Vodafone to merge and acquire companies rather than trying hard in building a new image and brand in every other country has been a successful one and it enabled them to increase their customer base worldwide. Their investments in their research and development department have allowed them to gain a competitive advantage The company is known widely for their valuable products that are only associated with telecom industry and they did not tend to diversify into other fields and this has increased their reliability factor. Through this they have been able to focus on their products properly. Not only this, but Vodafone has also been successful in merging with companies that are innovative and efficient. Through a number of mergers and acquisitions, Vodafone has restricted companies to create substitutes of their products and there are no substitutes for Vodafone. The services of Vodafone are not assorted in various regions, in fact, they believe in providing the same kind of service to all of their customers in the world. Vodafone has created a significant name and goodwill in the industry by maintaining and implementing various strategic decisions and many of them were found to be quite fruitful for the company's stake in the long run. Most of the big players of the industry tend to adopt the mergers and acquisitions strategy and the majority of them are very successful in implementing it throughout the globe. By adopting such a strategy they not only kill their competition, but in addition to that, they also gain the customer base of the company that they may have acquired. Vodafone believes in the statement that in the industry, there is a rule of hunt or be hunted. So in order to protect themselves from being hunted by any other giant, they adopt the proactive approach of killing the potential competition by merging or acquiring them. Vodafone's strategy of mergers and acquisition has played an essential part in their growth strategy and it would not be wrong if we say that it actually played a key role I proving growth to Vodafone. Vodafone has used their combination of partnerships in such a great manner that today they are able to maintain the world's second largest wireless company position. Vodafone's mergers and acquisition strategy are known for its aggressiveness as they struggle hard to incorporate as many companies within their group

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