Essays on Discuss With...(K-15) Assignment

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  B. Worldwide Mobile Sales. .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .. 17 C Five Forces Analysis. .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .. 18    Analysis of Mobile Industry1. IntroductionThe mobile industry is among the fastest growing in the world. It is amongst the most fast changing (Cyganski, Orr & Vaz, 2000). With the growth, there is therefore exposure to more risk hence need for careful management in order to make the achieved development sustainable. Issues arising include the possible inability of consumers to adopt new products, the large quantity of resources needed for investment in networks and unpredictable legislation. As the industry develops, it is likely to experience even greater development.

There is rapid improvement in the services offered and a growing demand from new markets (Cadle & Yeates, 2007). As at 2007, O2 had a total of 17.9 million subscribers. Vodafone had 17.647 million, as at June 2007 while T-Mobile had 17 million, orange 15.4 million and 3 had about 3.75 million. The manufacturing sub sector is on its part dominated by five companies, Nokia, LG, Samsung, Sony Ericsson and Motorola (Plunkett, 2009). 2. Industrial Analysis2.1. Macro-environmental Analysis PESTLE AnalysisPoliticalThe communications act of 2003 is the main policy framework governing mobile industry operations.

Within this, there is the use of competition law rather than sectoral regulatory powers. It promotes enough competition to ensure maximum outcome for consumers. In addition to the internal regulations, there is the influence of the European Union. The industry faces the challenge of adapting all practices to the shared vision of the Union hence politics. At the national level, the political establishment is highly supportive, recognizing that it employs many people and should therefore be protected. At the Union, there is emphasis on legislation that harmonizes all legislation and creates standards to be upheld.

There have also been apprehensions concerning the safety of mobile devices and the possibility of them giving off dangerous radiation. Anti- mobile technology activists claim that the sources of information on the safety of mobile gadgets are unreliable as they originate from the manufacturers (Baskoy, 2008). Economic There are frequent fluctuations in the economy. This impacts on the industry as it affects aspects of its operation such as foreign exchange and the public’s purchasing power. Just like any industry, economic problems have an effect on the firms’ profitability, especially in relation to international trade in inputs, gadgets and services (Cyganski et al. , 2000). SocialThe concept of mobile internet has a significant effect on the industry.

With more people accessing the net from their handsets, production and service provision has ended up requiring that the phones be enabled with value added services that will make the provision of the services possible (Senn, 2003). TechnologicalThe rate of technological growth has generally been quite high. There has been the adoption of new methods in manufacturing and service deliverance, resulting into greater competence.

This has resulted in lowered operational costs, leading to cheaper prices for consumers. There is stiff competition between firms especially in the provision of value-added services, especially internet. The changes have led to the call for continuous training as well as development in so as to catch up. New ideas in management have also been embraced. There exits greater emphasis on value and customer satisfaction as a result (Gershon, 2008).

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