New Marketing Entrants:-Since current telcom companies are too much stronge interm of technology and capital invested chnces of new entry is very limited . As far as geographically 92/% of area is coverd by these current telecom companies where Vadofone is going to start . Incumbant resistance is strone due to already presence of 5 players. New entrant strategy should be unique as compared with others.
Supplier Power:-As there are multiple players and have good brand reputation interm of service and quality and supplier can use great reputation of Vadofone in UK, Canada, etc catering huge no of users . Vadofone provide quality product with low price with attractive features . Customers have long relationship so it is very difficult and challenging in case of Vadofone to build Customer relationship. A Bidding process is mostly used in the procurement of services. Companies undertaking a competitive bid process usually command valuation premiums over their peers. sometimes it proves helpful in service selling.
Competitive Rivalry:-Initially there was only one company which now increased to five and due to rivelary among them every competitor tries to edge over others through better service and quality at affordable rates, where every cellular co is providing same type of service and Vodafone should have exceptional feature in its service. Telecom sector is one of largest DFI area of Pakistan and Vadofone and it is growing 45/% last five years.Fixed Cost base is high v variable cost base.There should be great depth in the product and service range with versatility so as to shift buyer to new comers.
Buyer Power:-Buyer has strong bargaining power due to large no of options available in the market in this scenario as switching cost is very low.Buyer Size is very large 136 million in current market and every month two million cellular phone are added .e.g. e-education, e-health, e-banking services due to availability of 3G and 4G spectrum should be prime importance in coming days which other competitors have limited option and just in time should be on time priority.
Product and Tecnology Development:Service providing should be in priority by offering cost effective price strategy. Market distribution changes from tradition way to latest and fast distribution channel network i.e. retail outlet, franchise, customer care centre, online service. New player should adopt new fasion and trends to replace previously one