Analysis of Sprint and Nextel Merger Essay

4608 Words19 Pages
ANALYSIS OF SPRINT AND NEXTEL MERGER IN AUGUST 2005 TABLE OF CONTENTS EXECUTIVE SUMMARY iii INTRODUCTION 1 ANALYSIS OF MERGER 2 BEFORE THE MERGER 2 AFTER THE MERGER 4 CUSTOMER SERVICE SURVEY 9 CONCLUSIONS 13 RECOMMENDATIONS 14 APPENDIX 16 LIST OF FIGURES FIGURE 1. 2005 TIMELINE OF SPRINT/NEXTEL LEGAL ISSUES 6 FIGURE 2. MARKET SHARE 7 FIGURE 3. CURRENT SPRINT/NEXTEL CUSTOMERS 9 FIGURE 4. REASON(S) FOR LEAVING SPRINT/NEXTEL AFTER MERGER 10 FIGURE 5. SATISFACTION OF CURRENT SPRINT/NEXTEL CUSTOMERS 11 FIGURE 6. CHANGE IN CUSTOMER SATISFACTION POST-MERGER 12 EXECUTIVE SUMMARY Purposes of the Report The purposes of this report are to (1) address the problems Sprint and Nextel incurred before the merger, (2) discuss…show more content…
In a $35 billion deal, Sprint Nextel prides itself on being able to provide innovative services and technology to a wide range of consumers, business associates, and government officials. Although Mr. Forsee has said, “This merger positions Sprint Nextel for greater success than either company could have achieved alone," there are many obstacles that Sprint Nextel must overcome in order to become the leading cell phone network provider. First, one must examine the problems with Sprint and Nextel before the merger. ANALYSIS OF MERGER Before the Merger Before Sprint acquired Nextel, Sprint was ranked as the nation’s third largest wireless company as well as the third leading carrier in long-distance service (Sprint-Nextel Deal?, 2004). However, there have been many complaints against the company. For example, the company has been accused of billing problems, unauthorized charges, and rude, unhelpful customer service. Moreover, there have been complaints about coverage service areas and roaming. On the Consumer Affairs website, Sprint customers have written about their experiences with the company. In October 2002, a man from Lafayette, LA, expounds upon a time when Sprint’s customer support changed his calling plan to better suit his needs in his current situation. They had promised to a hold plan for
Open Document