A Case Study of the Vodafone Company
Vodafone is one of the biggest mobile company located in 27 countries, and in agreement with more than 35 countries. Vodafone originated from Racal Electronics plc, which was initially known as Racal Telecom Limited, in 1984. The company has over 71,000 workers all over the world and approximately 289 million customers by 2008. The number of Vodafone users in the United Kingdom is more than 19 million. The company's aim is to build trust and approval of the customers. Therefore, the company uses different strategies to achieve approval. The company believes that sustainability in business is the key to achieve the company's long term objectives.
Vodafone uses two approaches to business. The first approach is to provide new services, features and different dimensions in the market. Some countries like Europe, America, and the UK have customers who expect new changes in the products (Bach, 2010). New services and delivery methods attract more customers. Second, to search for opportunities in the new market. This includes the most remotes areas including some parts of Africa. People in remote areas experience communication problem, and Vodafone uses technology to advance communication which will help the community socially and economically.
Vodafone Marketing Strategy
Long term goals of a company can be achieved through cautious development. Vodafone Company uses the clarification of four Ps to makes its visions and mission clear (Curwen, 2004). This includes products, place, price, and promotion. First, the company has different types of Vodafone with modern features like games, quality camera, maps, and sending messages. Second, Vodafone has over 300 shops and also retail their products. Third, the company offers different ranges of prices in order to meet the needs of their customers. The price plans are changed monthly and customers are given a 1% bonus in every call made. Finally, the company does its promotion through TV advertisements, magazines, and other media. This ensures that the company's message is spread widely across the world.
Strengths
Vodafone Company has a strong network coverage for calls. This makes Vodafone one of the best network company in the world. The company provides customers with the best airtime plans. Additionally, Vodafone maintains a good relationship with its suppliers through long term partnerships (Curwen, 2004). Purchasing a large number of products for a long time, Vodafone is able to negotiate for lower prices. The suppliers enjoy the partnership with Vodafone, due to guaranteed orders.
Weaknesses
The large size of Vodafone's global market can affect standards and quality. Another weakness of the Vodafone Company is low-cost products. Vodafone holds that there is no compromise between low prices and offering high-quality products (Bach, 2010). Also, Vodafone has to maintain communication with the stakeholders about the company's activities.
Threats
Vodafone experiences threats which derive from various factors. One, the increased market forces. A lot of competitive companies have emerged, which provide their services at low prices. Therefore, Vodafone has to develop a unique feature to outstand from the rest. The second factor is the Economic factors. The collapse slows down user spending and disposable money reduces (Bach, 2010). Therefore, Vodafone addresses these problems in several ways. It manages weaknesses and pressures to create positive results.
In conclusion, Vodafone uses mobile phones to benefit both developed and developing countries. There have been increased effects of mobile technology due to improved features, and functions. The network has helped in the development of many developing economies.
References
Bach, D., & Allen, D. (2010). What every CEO needs to know about nonmarket strategy. MIT
Sloan Management Review, 51(3), 41.
Curwen, P., & Whalley, J. (2004). Telecommunications Strategy: cases, theory, and applications.
Routledge.
