Strategy of Vodafone

Topics: Mobile phone, Vodafone, European Union Pages: 21 (6782 words) Published: February 13, 2011
Louvain School of Management
Université Catholique de Louvain (UCL)

Corporate Strategy in Europe
LSMS2106- Benoît GAILLY

Case Study

Group 6
Braibant Caroline
Cruz Sagahon Daniela
De Briey Gaetan
Erickson Elizabeth
Luppi Maria
Thijssen Ariane

Table of Contents

1.Presentation of the company1
1.1Overview of the company’s history1


3.European environment3
3.1European policy4

4.Corporate Strategy5

5.The Role of Innovation7


7.1 Other Websites of Interest12
7.2Other Documents of Interest12

8.3Market Share in Europe14
8.4Mobile Penetration in Europe15
8.5Internet Penetration in Europe16
8.6Key targets of National Member States Broadband Strategies18

1. Presentation of the company

This case study will look into the strategy of a major European company: Vodafone. First, it will analyze the impact that globalization has on the firm, and then, the role played by the European environment and its policies. Later on, it will examine the group’s organization and strategy. The end of this essay will study the importance of innovation in relation to this company.

But first, here is a presentation of this company in further details. Vodafone Group is a limited public company based in Newbury, in the United Kingdom. The network was created in 1982, and the name “Vodafone” was chosen to “reflect the provision of voice and data services over mobile phones” (Vodafone, 2010). It is the world’s leading mobile telecommunications company in terms of revenues. From a number of subscribers’ point of view, it is the second largest, with more than 341 million customers around the world. Vodafone is the seventh most valuable brand in the world. It operates networks in more than 30 countries with a significant presence in Europe. On top of that, the company has entered a lot of other markets by making arrangements with other national network operators. These partner market agreements allow Vodafone to cooperate with other companies on different levels of brand associations. This is an additional value both for the company and its travelling customers, as it enables different services in a total of over 40 more countries.

2.1 Overview of the company’s history

Vodafone made the UK's first mobile call on January 1st, 1985. Two years later, it had become the second largest mobile network in the world. Then in 1991, Vodafone and Telecom Finland made the world’s first international roaming call. That same year, Vodafone launched its digital mobile phone service (GSM). It was the first in the UK.

Later, in 1994, Vodata was the first network operator in the UK to launch data, fax and SMS services over the digital network. Two years later, Vodafone was the first operator to launch a Pre-Pay analogue package. Within fifteen years, the network was the largest company in Europe and the largest of its kind anywhere in the world.

By the turn of the century, almost every second UK citizen had a mobile, and a third of them were connected to Vodafone. At that time, in the year 2000, Vodafone acquired the largest 3G license in the UK. The following year, the world’s first 3G roaming call was made by Vodafone between Spain and Japan. Moreover, instant messaging was introduced to the company’s networks.

Later on, the first commercial European GPRS (General Packet Radio Service) roaming service was launched in 2002 by the company, at the same time as the Vodafone Group Foundation. Vodafone live! was also...
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