PHONE MARKETS

Analysis of UK Phone Market



Analysis of UK Phone Market

Introduction

Innovation continues to transform the phone market at a staggering rate. The telecom market of UK is one the largest market of Europe while is currently which is characterized by fierce competition in broadband and mobile sector. In 2010, this market has increase by 1%. In this paper I am going to analyze the mobile phone market of UK (Heather, 2000, 45). Mobile market is highly developed in world and it has become an important element of the lifestyle globally. Increased processing speed and better connectivity have made mobile devices using multi pocket computers. Now, a new goal has emerged: credit cards. Use your phone to pay for everyday purchases is a common practice in many foreign markets of mobile commerce.

Analysis

Mobile phone market is a growing market in UK and around the globe. There are various companies targeting the mobile market of UK because the payment is in pounds. The mobile phone market of UK is very interesting that is why the com0petition in this market is very high. There are typically three segment of UK mobile phone: The Pay As You Go (PAYG) mobile phones, and contract mobile phones, and The SIM free mobile phones. This is one of the largest mobile Markets in UK in terms of both number of subscribers and revenue. This mobile market includes four main players following an important merger of T-Mobile and Orange-3G services were introduced by them along with low cost MCNOs (Sloman, Garratt, 2010, 45). In terms of market share, the duo T-Mobile UK and Orange UK would have a market share of 38%. Far ahead of the current leader O2 (Telefonica subsidiary) with 27% or more prochae challenger Vodafone (25%).

Among the manufacturers of smart phones, Apple is the leader in the UK (24.6%), while in Germany, Italy and Spain, the Smartphone market is led by Nokia and Samsung is positioned as a leading manufacturer in France.

The adoption of smart phones is over 50% penetration in Spain and in the UK, representing a significant milestone in the evolution of this market.

Spain, reinforced by its strong penetration of smart phones, watched as 52% of the owners of these phones used their mobile phone while shopping .

48.4 million Consumers accessed social networks from their mobile phone in Europe, representing an increase of 76% since last year.

Of the five European countries (Germany, France, Italy, UK and Spain), 8.3% of the owners of a mobile phone, also said to have a tablet. Spain leads the market with 10.3% of users (Sloman, Garratt, 2010) .

Scale economies

Mobile market of UK is still growing there are more mobile subscribers than fixed lines; Three quarters of adults now own a mobile phone and two thirds of mobile owners choose to use mobile instead of fixed in some circumstances. Cell phone Market has two types of economies of Scale: Internal and External Scale Economies.

Internal

There are five factors that a company should focus on:

A technical Economy: when an enterprise used ...