SWOT Analysis For Vodafone

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SWOT Analysis for Vodafone

-Strengths

The company’s strengths include its home region operation as the first mobile network
in UK. It has the advantage of popularity, a favorable history of innovativeness and
excellent customer service. It also has a considerably high market segment which was
only second to O2’s before the EE merger. Vodafone also has the advantage of global
presence, being the second largest global network after China Mobile. This gives it a
competitive edge in terms of market influence. The network had£ 46.4 billion revenue
for 2012 and an adjusted operating profit of £ 11.5 Billion; these figures show a highly
profitable organization (Vodafone Group Report, 2012).

-Weaknesses

The current merger between Orange and T-Mobile has dropped it to third position in
market share, which may reduce its market control and manipulative edge. In addition,
its abolishment of unlimited Data Tariffs in all markets in June 2012 due to fair usage
volitions led to a perceived loss in product development among its customers.

-Opportunities

Its grid resource merger with O2 presents an opportunity for tremendous cost saving,
which presents opportunities for diversification and network extension, a major
strategic policy it current has. The network also stands a chance to pioneer the truly 4G
network platform which is a prized achievement among its competitors. Vodafone has
the resources as well as market support to pioneer the development

-Threats

The largest threat is its domestic competitors, especially in the 4G implementation issue.
A report published on October 25th, 2012 on the New York Times suggests that EE is
already ahead in the project. The current EE merger presents a significant challenge
since the company’s market control has been reduced.

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