PART-A

EXECUTIVE SUMMARY:
This project aims to study the distribution channels and the sales network patterns of the telecom sector through a Live Interview with the sales and distribution manager of VODAFONE LTD. Company in KARNATAKA. In this project i have tried to bring out or explained how the sales and distribution network or model works for the Vodafone in Karnataka and around the India. The project was designed after detailed discussion with the company officials that is the Sales and distribution Manager for the distribution and sales functioning in Karnataka. This project is Based on the live Interview which is conducted for collecting the data /information from the Sales and Distribution Manager that how the sales and the distribution model works. The project covers the sales network of the company with the dealers and that of the dealers with the customers. In this project we have taken the Interview of the Sales and Distribution Manager Mr.SAI VENKATRAMAN, he had provided and avail the valuable information about the sales and distribution network of the Vodafone. Which help us in this project for knowing the
SALES AND DISTRIBUTION MODEL OF VODAFONE COMPARATIVE WITH AIRTEL

AND DOCOMO

This project is based on telecom sector as the telecom sector is growing at a very good pace. The telecom company which I have selected for my project is VODAFONE. The reason behind selecting Vodafone is its various schemes in product & service category & also its future policies where the company is coming out with lots of new & affordable schemes for its customers. Vodafone is a UK based company & has various branches all over the world. The company was started in the mid 70s & since then it has never looked back. The products & services offered by Vodafone are of a very high quality & also at affordable rates. They have various plans for various customers depending on the status of the customers.

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Vodafone has various product categories ranging from chargers, internet, mobile phones, headsets & headphones & many more. In the service category it has internet services which include broadband internet, 3G internet & PC internet services.

Apart from the products & services normally offered they also came out with some interesting & unique product like the I phone. This was one of the biggest events in the history of Indian telecom industry. The phones were available at around 32000-36000 Rs which has a unique feature called as 3G system.

Vodafone also came out with cell phones for the poor which were a part of their social responsibility toward the poor class people of the society. The phones were available in the range of 1000 Rs -1500 Rs which was one of the successful strategies of Vodafone. According to the 2002-2008 data VODAFONE captures the market with 17.56 % & is at the 3rd position just after Bharti with 24.69% & Reliance with 17.68%.

Vodafone also came out with one of best& most attractive advertisement which no one has ever seen before called as VODAFONE ZOO-ZOOS. This advertisement was a part of VODAFONES marketing strategy to boost its sales during the IPL 2 season. This was one of the master moves by VODAFONE to introduce ZOO-ZOO during the IPL 2 season which was a SUPER-HIT.

VODAFONE is planning to come with its own accessories stores which would be a one-time shop for its customers wherein the customers will get all the products under one roof. Vodafones future plan is to become no.1 telecom company by the year 2010-2011 which does not seems to be very difficult keeping in mind the progress it has made in the last 5 years. Vodafone has added around 5 million subscribers in the year 2008-2009 which makes it the 3rd largest telecom company in the world. Vodafone has joined hands with one of the world largest &

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the best car racing company F1 MCLAREN MERCEDES to host the 2 day event. This is the part of the promotion strategy of Vodafone to become the worldwide leader in telecom industry.

Vodafone is also the official sponsor of the England Cricket Team for the Npower test series. It has also shaken hands with the most popular football tournament UEFA CHAMPIONS LEAGUE football which is a part of the promotional strategy of Vodafone.

INDUSTRY PROFILE

Introduction to telecom industry

The telecom network in India is the fifth largest network in the world meeting up with global standards. Presently, the Indian telecom industry is currently slated to an estimated contribution of nearly 5.6% to Indias GDP. The Indian Telecommunications network with 110.01 million connections is the fifth largest in the world and the second largest among the emerging economies of Asia. Today, it is the fastest growing market in the world and represents unique opportunities for U.S. companies in the stagnant global scenario. The total subscriber base, which has grown by 40% in 2005, is expected to reach 441.47 million in 2010. Government of India gave a figure of 9.45 million broadband connections and 18 million internet connections by July 2010. The wireless subscriber base has jumped from 33.69 million in 2004 to 62.57 million in FY20042005. In the last 3 years, two out of every three new telephone subscribers were wireless subscribers. Consequently, wireless now accounts for 54.6% of the total telephone subscriber base, as compared to only 40% in 2003.
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Wireless subscriber growth is projected that India will have 1.159 billion mobile subscribers by 2013. The wireless technologies currently in use are Global System for Mobile Communications (GSM) and Code Division Multiple Access (CDMA).

Major players
There are three types of players in telecom services: State owned companies (BSNL and MTNL) Private Indian owned companies (Reliance, Tata Teleservices) Foreign invested companies (Vodafone-Essar, Idea Cellular, Loop Mobiles,

Spice Communications)

Growth of mobile technologies

India has the fastest growing mobile markets in the world. In the initial 5-6 years the average monthly subscribers additions were around 0.05 to 0.1 million only and the total mobile subscribers base in December 2002 stood at 10.5 millions. However, after the number of proactive initiatives taken by regulator and licensor, the monthly subscriber additions increased to around 2 million per month in the year 2003-04 and 2004-05. Although mobile telephones followed the New Telecom Policy 1994, growth was tardy in the early years because of the high price of handsets as well as the high tariff structure of mobile telephones. The New Telecom Policy in 1999, the industry heralded several pro consumer initiatives. Mobile subscriber additions started picking up. The number of mobile phones added throughout the country in 2003 was 16 million, followed by 22 millions in 2004, 32 million in 2005 and 65
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million in 2006 and 652.42million in 2010. The only countries with more mobile phones than India with 156.31 million mobile phones are China with 408 million and USA with 170 million. India has opted for the use of both the GSM (global system for mobile communications) and CDMA (code-division multiple access) technologies in the mobile sector. The mobile tariffs in India have also become lowest in the world. The data reveals the real potential for growth of the Indian mobile market.

COMPANY PROFILE

Vodafone Essar is the Indian subsidiary of Vodafone Group and commenced operations in 1994 when its predecessor Hutchison Telecom acquired the cellular license for Mumbai. The company now has operations across the country with over 71.54 million customers.

Over the years, Vodafone Essar, under the Hutch brand, has been named the Most Respected Telecom Company, the Best Mobile Service in the country and the Most Creative and Most Effective Advertiser of the Year.

Vodafone Group is the worlds leading international mobile communications corporation. It currently has equity interests in 27 countries across 5 continents and 40 partner networks with over 289 million proportionate customers worldwide. The Essar Group is Vodafones principal partner in India.

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The Essar Group is a diversified business corporation with a balanced portfolio of assets in the manufacturing and services sectors of Steel, Energy, Power, Communications, Shipping Ports & Logistics, and Projects. Essar employs more than 50,000 people across offices in Asia, Africa, Europe and the America.

Company Profile of Vodafone

Today, in India, becomes Vodafone. Now, the pink color logo of will be replaced by Vodafone Essars corporate red colored one. After acquiring 67 per cent of stake (around Rs. 250 crores) in ison Essar from Hong Kong-based is on Whampoa, Vodafone Essar is expecting to touch over 35 million customers across 400,000 shops and thousands of own employees along with employees of its business associates. Asim Ghosh, MD, Vodafone Essar, said Weve had a good innings as in India and today marks a new beginning for us, not as a departure from the fundamentals that created, but acceleration into the future with Vodafones global expertise. Vodafone CEO and Vice-Chairman Arun Sarin of the joint venture Vodafone Essar will be landing in India for the meeting that would discuss branding exercise, expansion plans, spectrum requirements for its expanding subscriber base and future plans. Vodafone offers a host of premier value added services (VAS) including national and international roaming in over 70 countries in over 160 networks, Wireless Application Protocol (WAP), short message service, voice mail service, auto roam, fax and data, cricket updates, M-banking, general information, tarot line, etc. The company launched WAP in Delhi in October 2000, much before its rival Bharti. It has 5000 WAP customers, as in December 2000. The company has been a prime mover in introducing these value-added services in the Delhi circle.

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The values are stated simply. To be fair and transparent in what they do and how they do it. To provide the quality services with more customer friendly practices. To make ones communications experience simple, pleasurable and fun. Where he doesn't simply get technology but technology that is relevant. Where solutions are not just promised in the future - but delivered in the present.

I.

Background and inception of the company

Where when how why branch II. Nature of the business carried

III.

Vision, mission and quality policy Vision

The vision is to be the worlds mobile communication leader enriching customers lives, helping individuals, businesses and Communities be more connected in a mobile World

Mission
Vodafone is primarily a user of technology rather than a developer of it, and this fact is reflected in the emphasis of the work program on enabling new applications of mobile communications, using new technology for new services, research for improving operational efficiency and quality of the networks, and providing technology vision and leadership that can contribute directly to business decisions.

Quality policy Iso isi 2000

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IV.

Products/service profile

Vodafone Magic Box:

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OTHER MOBILE PHONES:

QWERTY MOBILES

TOUCH SCREEN MOBILES

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Vodafone 3G USB sticks:

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Vodafone USB Stick K4505

The Internet is yours with the K4505 - enjoy download speeds of up to 21 Mbps and never run out of space with a MicroSD card slot supporting up to 32 GB.

Price: Rs 4000

Vodafone USB Stick K3570

Enjoy plug-and-play Internet on the go with the K3570 that offers download speeds of up to 3.6 Mbps.

Price: Rs 1500

Vodafone USB Stick K3770

The K3770 packs quite a punch, offering a download speed of up to 7.2 Mbps.

Price: Rs 1550

Services

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Entertainment & Lifestyle

Games, Downloads & Applications

Social Networking

Mail & Messaging

Devotional

Health

News & Finance

Travel & Transportation

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Caller Management Services

3G SERVICES

Video Calling

Charges:

Home Outgoing: Rs 3/min Roam Incoming: Rs 3/min Roam Outgoing: Rs 4/min

Vodafone TV

Charges:

Rs 150 / month - All channels. Rs 7 / day - All channels Standard browsing charges as per your Vodafone live! Or Vodafone Mobile Connect data tariff plan apply.

To download the Vodafone TV application sms TV to 111 (toll free).

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Vodafone

Faster Downloads
Download large email attachments at lightning fast speeds right from your Vodafone mobile phone. Vodafone 3G transfers voice data (calls) and nonvoice data (emails, instant messaging) simultaneously to let you enjoy 3 times faster speed than 2G.

HD Gaming
Here is a smarter way to play. Vodafone 3G offers you an enhanced gaming experience with faster speeds. Just download cool games and enjoy them right on your mobile.

Video Blogging is all about sharing instant video updates on YouTube via the Video Calling facility.

Video Blogging

Initiate by Video Calling 51212 and simply follow the instructions that you get to record and upload your video on YouTube. You can upload unlimited videos each lasting 2 minutes. Whats more, you can also share your video link with your friends via sms. Charges: Rs. 6/min

High Speed Internet

Enjoy high speed internet through Vodafone 3G service

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Bonus Cards:
BONUS CARD MRP
(Rs)

BENEFIT

TARIFF VALIDITY
(Days)

BONUS CARD 84

84

All local calls @ 60 ps/m

180

59 BONUS CARD 59

Local calls V2V 30ps, V2M 50ps, V2LL 50ps, with Talktime of Rs 20

60

22 BONUS CARD 22

All local calls @ 60 ps/m

30

30 SMS BONUS CARD

300 local/national SMS free 30

99 BONUS CARD 99

Unlimited local V2V calls free, Other all local calls @50ps/m 30

29 BONUS CARD 29

400 V2V local minutes free 30

31 BONUS CARD 31

All STD calls @ Rs1/m 30 Local V2V @ 30ps/m,

85

Other local Mo./LL @ 50ps/m,

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BONUS CARD 85

STD calls @ Rs1/m, Local SMS @ 50ps/SMS, National SMS @ Rs1/SMS

30

Call Charges of Vodafone compare to Airtel

All National Networks All Airtel Networks Rs / min

Rs / min

All Incoming calls Outgoing calls (Rs / min) Local calls STD calls ISD calls USA, Canada, Europe+UK (fixed), South East Asia, Australia and New Zealand Gulf, Africa, UK Mobile, SAARC & Pacific Rim countries Norfolk Island, Cook Island, Cuba, Diego Garcia, Guinea Bissau, Nauru, Sakhalin, Sao Tome & Principle, Solomon Island, Tokelau, Tuvalu, Vanuatu SMS

1.00

1.75

1.00 1.5

1.4 2.4

9.49 12.28

9.49 12.28

42.29

42.29

Rs / SMS 1.50 on Vodafone networks 3.45 on all other networks 3.45 Free

Rs / SMS

Outgoing(Local / National)

3.45

Outgoing(International) Incoming

3.45 Free

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Easy e-topup of Vodafone:

MRP Rs from 10 11 25 26 32 50 51 60 86 100 111 112 200 222 223 351 352 501 502 1001 1002 Vodafone to 10 21 25 28 49 50 58 83 98 110 111 198 221 222 350 351 500 501 1000 1001 7000 VALIDITY (Days) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 . PROCESSING FEE Rs 2 2 2 2 2 2 2 2 2 2 2 0 0 0 0 0 0 0 0 0 0 TALKTIME from 7.07 7.79 20.67 21.57 27.01 43.33 44.24 52.4 75.97 88.66 98.63 101.54 181.32 222 202.18 318.22 319.13 454.22 455.12 907.52 908.43 to 7.07 17.07 20.67 23.39 42.42 43.33 50.58 73.25 86.85 97.73 98.63 179.51 200.36 222 317.32 318.22 453.31 454.22 906.62 907.52 6346.33 Small Recharge Small Recharge Small Recharge Small Recharge Small Recharge Small Recharge Small Recharge Small Recharge Small Recharge Small Recharge Small Recharge Small Recharge Talktime Recharge Full TT Recharge Talktime Recharge Talktime Recharge Talktime Recharge Talktime Recharge Talktime Recharge Talktime Recharge Talktime Recharge Page 17 SERVICES

V. VI.

Area of operation-global/national/regional. Ownership pattern. Branch information

VII.

Competitors information. Bharti Airtel Limited

Commonly known as Airtel, is an Indian telecommunications Services Company headquartered at New Delhi, India. It was founded in 7 July 1995 by MR. SUNIL BHARTI MITTAL (chairman and MD). It operates in 20 countries across South Asia, Africa and the Channel Islands. Airtel has GSM network in all countries in which it operates, providing 2G, 3G and 4G services depending upon the country of operation. Airtel is the world's fourth largest mobile telecommunications company with over 261 million subscribers across 20 countries as of August 2012. It is the largest cellular service provider in India, with 183.61 million subscribers as of November 2012. Airtel is the third largest in-country mobile operator by subscriber base, behind China Mobile and China Unicom. Products of Airtel are, Fixed line and mobile telephony, broadband and fixed-line internet services, digital television and IPTV. It has a market share of----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Airtel is the largest provider of mobile telephony and second largest provider of fixed telephony in India, and is also a provider of broadband and subscription television services. It offers its telecom services under the Airtel brand, and is headed by Sunil Bharti Mittal. Bharti Airtel is the first Indian telecom service provider to achieve Cisco Gold Certification It also acts as a carrier for national and international long distance communication services. The company has a submarine cable landing station at Chennai, which connects the submarine cable connecting Chennai and Singapore.
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During the last financial year (200910), Bharti negotiated for its strategic partner Alcatel-Lucent to manage the network infrastructure for the tele-media business. On 31 May 2012, Bharti Airtel awarded the three-year contract to Alcatel-Lucent for setting up an Internet Protocol access network (mobile backhaul) across the country. This would help consumer access internet at faster speed and high quality internet browsing on mobile handsets.

Aircel
Aircel group is an Indian mobile network operator headquartered in Chennai, that provides wireless voice, messaging and data services in India. It is a joint venture between Maxis Communications Berhad of Malaysia and Sindya Securities & Investments Private Limited, whose current shareholders are the Reddy family of Apollo Hospitals Group of India, with Maxis Communications holding a majority stake of 74%.its CEO is Mr. SANDIP DAS, Aircel commenced operations in 1999 and today is the leading mobile operator in Tamil Nadu, Assam, North-East India and Chennai. It is Indias fifth largest GSM mobile service provider and seventh largest mobile service provider (both GSM and CDMA) with a subscriber base of over 66.79 million, as of November 2012. It has a market share of 7.13% among the GSM operators in the country. Aircel has also obtained permission from the Department of Telecommunications (DOT) to provide international long distance (ILD) and national long distance (NLD) telephony services. It also has the largest service in Tamil Nadu. In 2010, the company bought 3G and wireless broadband (BWA) spectrum in 13 and 8 circles respectively in the 2010 spectrum auction. It paid US$ 1.44 billion ( 79.1 billion) for the 3G spectrum and US$ 0.76 billion ( 49.76 billion) for BWA. Of this, the company raised $0.88 billion ( 48.3 billion) from Deutsche Bank, Standard Chartered Bank, HSBC and Barclays. It also took a $0.44 billion ( 24.2 billion) one-year bridge loan from HSBC, Punjab National Bank and Axis Bank. The company, as of November 2012, has around 1 million 3G customers. It is yet to
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launch its LTE network, although it is conducting trials at its center in Hyderabad. Aircel expects to launch it in the first quarter of 2013. As of November 2012, Aircel is the leading operator in Tamil Nadu, Assam and the North-East.

Bharat Sanchar Nigam Limited

Bharat Sanchar Nigam Limited (BSNL) is an Indian state-owned telecommunications company headquartered in New Delhi, India. It is the largest provider of fixed telephony and fourth largest mobile telephony provider in India, and is also a provider of broadband services. However, in recent years the company's revenue and market share plunged into heavy losses due to intense competition in Indian telecommunications sector. It was founded in 19th century and was incorporated in the year 2000. Chairman and MD is Mr. R.K. Upadhyay. BSNL is India's oldest and largest communication service provider (CSP). It had a customer base of 95 million as of June 2011. It has footprints throughout India except for the metropolitan cities of Mumbai and New Delhi, which are managed by Mahanagar Telephone Nigam (MTNL).

Idea Cellular
Idea Cellular, commonly referred to as Idea, is an Indian mobile network operators based in Mumbai, India. Founded in 1995 and Kumar Mangalam Birla is the chairman of idea. In 2000, Tata Cellular was a company providing mobile services in Andhra Pradesh. When Birla-AT&T brought Maharashtra and Gujarat to the table, the merger of these two entities was a reality. Thus Birla-Tata-AT&T, popularly known as Batata, was born and was later rebranded as IDEA. Then Idea set sights on RPGs operations in Madhya Pradesh which was successfully acquired, helping Batata have a million subscribers, and the license to be the fourth operator in Delhi was clinched.

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In 2004, Idea (the company had by then been rechristened) bought over the Escorts groups Escotel gaining Haryana, Uttar Pradesh (West) and Kerala and licenses for three more UP (East), Rajasthan and Himachal Pradesh. By the end of that year, four million Indians were on the companys network. In 2005, AT&T sold its investment in Idea, and the year after Tatas also bid good bye to pursue an independent telecom business. And Idea was left only with one promoter, the AV Birla group. Rs 2,700 crore adding Punjab and Karnataka circles. Modis joint venture partner, Telekom Malaysia, invested Rs 7,000 crore for a 14.99% stake in Idea. Just around then, Ideas subsidiary, Aditya Birla Telecom sold a 20% stake to US-based Providence Equity Partners for over Rs 2,0000 crore.

Tata DoCoMo
TATA DOCOMO is an Indian cellular service provider on the GSM, CDMA and platform-arising out of the strategic joint venture between Tata Teleservices (subsidiary of Indian conglomerate Tata Group) and Japanese telecom giant NTT Docomo (subsidiary of Nippon Telegraph and Telephone) in November 2008. It is the country's sixth largest operator in terms of subscribers (including both GSM and CDMA)

TATA DOCOMO is part of the Indian conglomerate Tata Group. The company received licenses to operate GSM services in nineteen telecom circles and was allotted spectrum in eighteen of these circles and launched GSM services on 24 June 2009. It began operations first in South India and currently operates GSM services in eighteen of twenty two telecom circles. It has licenses to operate in Delhi but has not been allocated spectrum from the Government. Docomo provides services throughout India. Tata DOCOMO offers both prepaid and postpaid cellular phone services. It has become very popular with its one second pulse especially in semi-urban and rural are as On 5 November 2010, Tata DOCOMO became the first private sector telecom company to launch 3G services in India. Tata DOCOMO had about 42.34 million users at the end of December 2010. On 20 October 2011, Tata DoCoMo brought its brands - CDMA, GSM, Walky (Fixed Wireless Phone), Photon, INTERNET - under the Tata Docomo name. All subscribers to these services
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were migrated to the Docomo brand on 20 October 2011. The companies other brands - Virgin Mobile and T24 - are not part of the rebranding and will retain their names.

Table remaining----------------------------------------------------------------------------------------

VIII. IX.

Infrastructural facilities. Achievement/ award if any.

2011: Global Mobile Awards - Winner, Best Mobile Money for the Unbanked Service (Vodafone Group, Safaricom, Vodacom, Vodafone Essar Limited and Roshan Ltd)

2010: Outstanding Personal Contribution to MMT Development Award, Achievement in financial inclusion, Best operator led MMT project & Most inventive marketing campaign

2010: AfricaCom Awards - Telecom Innovation of the Year & Changing Lives Award

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2010: World Communication Awards - Finalist, Best Managed Service

2010: Global Mobile Awards - Winner, Best Mobile Money Service

2009: Mobile Content Award - Winner, Best Mobile Money transfer service

2009: UN-Habitat Business Award - Winner, Best Practices

2009: Global Mobile Awards - Winner, Best Mobile Money Service Vodafone Page 23

2008: Africom Awards - Winner, Best Solution for Rural Services and Winner, Changing Lives Category (pilot with Concern Worldwide)

2008: World Business and Development Award - 1 of 10 private companies recognized globally for their contribution to the achievement of millennium goals through core business

2008: Stockholm Challenge - Winner, Economic Development category

2008: Global Mobile Awards - Nominated, Best use of Mobile for Social and Economic Development

2008: Global Mobile Awards - Winner, Best Broadcast Commercial (M-PESA Send Money Home TVC)

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2007 / 2008: Kenya Banking Awards-Special Award for Product Innovation

X.

Work flow model (end to end) Future growth and prospectus. chart

XI.

Future growth and prospectus. FUTURE OF VODAFONE:

VODAFONE SUGGESTS FUTURE ANDROID PHONE: Vodafone have confirmed that their currently looking at developing more android phones to complement their new Samsung, HTC handsets and that some future android devices could appear. In an interview with techradar.com, Vodafones Rachel Williams revealed that whilst the HTC and Samsung arise bundled with all the well-known Google services android handsets may feature a basic package allowing networks to integrate their own clients software instead. Williams also went onto confirm that more Vodafone android phones were likely in the future, we are looking at other android devices by joining the open handset alliance it shows our commitment (to ranging other devices using Androids).

VODAFONE APPLICATION STORE COMING SOON:

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Vodafone on May 12TH 2009 announced plans to open their own application stores for third party application that will be made available across a wide variety of mobile platforms

VODAFONE COMPLETES HUTCH ACQUISITION:

On day when Indian conglomerate Essar threatened legal action against Hutch-Essar deal Vodafones CEO ARUN SARIN met Communications & IT Minister DAYANIDHI MARAN & briefed him on the companys future plans for India. The British telecom major won the bid to acquire the stake of Hutchison Telecom in Indias fourth largest mobile operator Hutch Essar. Essar sources said the company is considering legal action over the deal on account of it being ignored in taking key business decisions. Essar is concerned over Vodafones move to forge ahead with plans like networks sharing without consulting it first. This is just the beginning Maran told PTI about the Hutch-Vodafone deal. Indias telecom growth story is really interesting. Once the tele-density crosses 25 per cent, the growth curve will become even steeper. Maran hoped that the number of mobile users in India which is currently 150 million would touch 250 million by end of 2007 & 500 million marks in the next 3 years

XII.

Mckenseys 7s frame work with special reference to organization under study.

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I.

SWOT analysis.

SWOT analysis is a technological tool through which strengths and weaknesses, as well as opportunities and threats of the business. Strengths and weaknesses are considered to be internal factors affecting the company, whereas threats and opportunities are external factors.

Strengths Leadership Position Global Brand Strength Internal High Geographical reach

Weaknesses Centralized Control Low Flexibility High Consumer churn rates

Opportunities

Threats

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Expanding boundaries External Growth through 3G Strategic Alliances

marketing Increased Competition Market saturation Emergencies of Low cost Brands

STRENGTH:
Vodafones leadership position in the market can be considered to be the main strength the company possesses, because due to this fact the company is better positioned to finance new projects and to introduce new services to the market. Moreover, Vodafone has a wide geographical reach and its network infrastructure is considered to be highly developed.

WEAKNESS:
The main weakness Vodafone has relates to its centralized management system that can cause inflexibility in todays highly competitive marketplace. Pang (2009) informs that customer churn rate is the degree at which companies are able to retain their current customers. High level of customer churn rate is another weakness Vodafone has. However this issue is not unique to Vodafone and has negative effects to many subscriber-based service model companies.

OPPORTUNITIES:
There are range of opportunities for Vodafone that if taken can improve its position in the marketplace. These opportunities include strengthening its position in new markets, forming strategic partnerships with technology and internet-related companies in order to increase the number of its services and the level of global presence of the company, and also focusing more in utilizing 3G technologies.

THREATS:
Threats to the profitability and long-term growth of the company are the level of global competition intensifying even more, market saturation in developed countries, as well as the emergence of alternative telecommunications technology.
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II.
III.

Analysis of financial statement Learning experience.

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