The SWOT analysis model will be applied to Dizz’s case.
The first strength of Dizz is that the company is a large international mobile phone operator, with operations in 17 countries across Europe, Africa and Asia. The big operating scope can suggest that Dizz’s operation is able to achieve economies of scale, which helps the firm to lower costs as the scale of production increases. In this sense, Dizz is able to provide services at a lower price compared to its competitors. Moreover, big multinationals like Dizz usually have more capital to support its operations. The solid capital base can increase the possibility for the company to survive the globally financial tsunami.
Secondly, Dizz’s service quality is among the best in European countries. Its mobile phone networks cover up to 99.55% of the European population. Despite the company’s old history, Dizz has experienced few operational problems with its transmitters. In the current mobile phone market where competition is fierce and price levels are close, one of the differentiating factors is the overall customer experience. Therefore Dizz’s high quality of service is undoubtedly a advantage over its rivals.
The company’s large operating dimension may as well be a drawback. Because the firm is geographically dispersed, its management is decentralized and wide in scale. In order to response to managerial problems at a more rapid rate, regional headquarters need to be set up. This has inevitably increased the level and width of management, making it harder for the top managers to articulate their thoughts to lower management levels. As a result, the overall management of the whole company may lose effectiveness.
The biggest opportunity that arises for Dizz is the emerging market in Asia. Some Asian countries, for example India, have a huge population up to 1.1 billion, and an estimated percentage of at least 15% of them are mobile phone users. While the...
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