Case Study: Verizon

Any change in the factors that make up the macro-environment can have a direct impact on the Comcast Corporation. These factors can affect the Porter Five Forces that shape their strategy and their competitive advantage over other firms.

The generation of talking face-to-face is slowly fading away, and the technology era is going to keep on growing. One of the most widely used technology services known today is the cellular phone industry. According to the Pew Research Center’s website, 90% of American adults own a cell phone. Of that 90%, the smartphone ownership is at 64% (2013). Verizon Wireless, along with the other major carriers, T-Mobile, Sprint, and AT&T, have taken this data and comprised a growing industry where competition arises from all angles. These companies have battled one another on pricing, plans, and customer service for many years in order to stay on top. Unfortunately, these are major factors in whether or not a customer will choose the particular company over another.

Exchange rate gains or losses are brought to account in determining the net profit or loss in the period in which they arise, as are exchange gains or losses relating to cross currency swap transactions on monetary items. Exchange differences relating to hedges of specific transactions in respect of the cost of inventories or other assets, to the extent that they occur before the date of receipt, are deferred and included in the measurement of the transaction. Exchange differences relating to other hedge transactions are brought to account in determining the net profit or loss in the period in which they arise. Foreign controlled entities are considered self-sustaining. Assets and liabilities are translated by applying the rate ruling at balance date and revenue and expense items are translated at the average rate calculated for the period. Exchange rate differences are taken to the foreign currency translation reserve.

Verizon is a major telecommunication provider in the United States. The company is the market leader, with $110 billion revenue and $2.4 billion in profit (MSN Moneycentral, 2012). Verizon has steady revenue streams that are largely based on a subscription model. It has several business segments, including wireless (63.3% of revenues) and wireline (36.7%) (2011 Verizon Annual Report). Most of this report will therefore focus on the wireless business, not only because this is the largest business that the company operates but because it is a rapidly growing and evolving business as well, a function of the rapid pace of smartphone adoption in America.

1. Mission, vision, and primary stakeholders Verizon's corporate mission statement is published in the introduction to the 2010 report, "to enable people and businesses to communicate with each other. We are also committed to providing full and open communication with our customers, employees and investors" (Verizon, 2011a, p. i.). This conveniently outlines the primary stakeholders, with customers owning the service delivered through contracts they commit to, employees obviously having a stake in compensation, benefits and retirement, and investors including institutions as well as individuals. Other stakeholders include the general public who benefit from corporate giving and responsibility, and the suppliers and distributors, their shareholders and employees who earn profit and wages generated directly and indirectly as part of the Verizon value chain, and perhaps the taxpayers who enjoy public services from direct and indirect (capital gains) taxes thereby.

The churn rate is 2% per month. So for a year retention rate,r, will be = 1-(.02*12) = .76 or 76%

My first sales opportunity was working for a communication firm called Verizon Wireless. This was my first time working for a major organization and truly experiencing a variation of management approaches. When I began my employment with Verizon, my position was Business to Consumer sales. My day to day duties included attempting to earn business in a face to face setting. Although, Verizon is a major organization, management approaches differed from location to location and different tiered managers. The manager I worked was Mr. Bob Bricker who implemented a Classical Approach when working within our store location of four employees. His main focus of communication was succinct and results oriented. Mr. Bricker, would constantly remind us

Verizon was created on June 30, 2000 by Bell Atlantic Corp. and GTE Corp. and was based in New York City and Incorporated in Delaware (“Bell Atlantic and GTE Complete”, 2014). The mergers that formed Verizon were among the largest in the U.S. history. On July 3, 2000 Verizon began trading on the NYSE and begin trading under NADAQ on March 10, 2010. On April 3, 2000 the new brand of Verizon was launched which was the GTE wireless operations became a part of Verizon which then created the nation’s largest wireless company (“Bell Atlantic and GTE Complete”, 2014). In 2004 Verizon was added the Dow Jones Industrial average. Over the next few months Verizon then became the majority owner of Verizon Wireless with management and joint venture control. As years have passed, Verizon has still continued to flourish with its business and is also a leading provider of advanced communications and information

Through this idea of “growth” and collaboration with other industries to provide optimal service, Verizon has expanded its products and services in the following areas:

Verizon Communications formed by the merger of two big and successful companies, Atlantic Corp. and GTE Corp., is the largest telecommunication company. The company serves large part of the market in United States. However the company faces certain strengths and weaknesses which affect the way company formulate its strategies.

In 2007, the IAALS released a report detailing the status of electronic discovery in the United States. In one particularly poignant anecdote, the quoted price to process just 20 of 75 hard drives believed to contain important data ranged from $400,000 to almost $600,000. The quotes excluded attorney review. Incredibly, the total value of the case ranged from just $750,000 at the low end, to about $6 million at a “pie-in-the-sky” estimate. Giving a somewhat broader view Verizon—a leader in E-discovery—put the costs of processing, reviewing, culling, and producing 1GB of data between $5-7,000 in 2008. These significant costs have led some to worry that organizations with strong cases may not pursue their claims given the predicted

While Verizon remains the industry leader in market share, subscribers, profitability, and customer loyalty, the wireless industry has become significantly more competitive in the last few years (Fiercewireless, 2016). In 2013 T-Mobile launched its un-carrier strategy with the intention of disrupting the marketplace by dissolving industry norms such as, service contracts, equipment subsidies, and data limits (Sherman, 2013). Additionally, T-Mobile substantially lowered the monthly cost of their service to attract more customers and accelerate subscriber growth. Subsequently, Sprint quickly responded by matching T-Mobile’s strategy and the industry was plunged into a full blown pricing war in 2014 (Carew, 2014). Consequently, profit margins

Verizon Communications, Inc. is based in New York City, incorporated in Delaware, and was formed on June 30, 2000. Verizon allowed for same sex partners of current employees in states where same sex marriage was legal, six months to finalize their marriage before they eliminate future benefits for their partner. They wanted to give an equal opportunity for lesbian, gay, bisexual, and transgender employees to receive benefits for their partners, like their straight co-workers. The policy that Verizon ended up using was that couples that are lesbian, gay, bisexual, and transgender would receive benefits for health insurance if they go through the legal marriage process in their respective state.

The purpose of training and developing within any organizations is to improve the overall effectiveness of goods, product and services, competitiveness, and emphasizes growth in all aspects. It also increases productivity, develop employee turnover, increases financial gain, and lessens the managerial and supervisory positions. Training and developing is essential to obtain but many employers have different perspectives of what training and developing means for its organization. Verizon is one of the leaders in innovative wireless communication and in delivering broadband to businesses, mass market, wholesale, government, and it services over 80 million customers across the world. The

The success of the economic agents depends on a multitude of forces, such as the managerial ability to combine and exploit the resources in an efficient manner, the ability to manage the labor force or the ability to develop positive relationships with the external stakeholder, such as the customers, the business partners, the public and so on. Still, while all these factors are crucial, they are merely adjacent to the core operational function which builds towards organizational success, namely the organizational operations.