Mobifone - Telecom Service Provider's Position
Essay by AlamandaBud • December 16, 2012 • Case Study • 483 Words (2 Pages) • 1,541 Views
Mobifone's Position
- The first Telecom service provider:
Founded in 1993, Mobifone is the first telecom service provider (Tsp) in Vietnam. About 10
years ago, VNPT (the corporation managing Mobifone) with Mobifone and Vinaphone made monopoly
of Telecom market until Viettel entered in 2004. With a long time running and developing, Mobifone has
a stable amount of longtime and loyal customers.
- Always be in top 3 Tsps having biggest market share:
Subscription Growth from 1993 to 2010
Thanks to quick technological updates and service improvements, subscribers have kept
increasing. Mobifone had always had the biggest percentage of market share. In the first quarter of
2009, Mobifone took almost half of the market share. However, in 2010 and 2011, the percentage of
Mobifone's market share decreased. This may be a trick and not a true statistic. Because of resolution
25/2011/NĐ-CP and Competition Law which
will be studied more in the next part,
Mobifone reduces number of subscribers by
cutting off active but unused SIM Cards to
merge with Vinaphone. If VNPT can merge
them successful , it'll take nearly 50% of
market share. This is a brilliant step leads to
huge profits and power for Mobiphone when
just only VNPT and Viettel take 90% of
market share. Furthermore, Mobifone don't
have much significant competitors, it can
cooperate with Viettel to dominate over the
market and kill all the small firms.
Pie chart of market share - Quarter I 2009
- The largest income firm:
With the highest labor capacity: 6.7 billion dongs/ individual/ year in 2011 (1.5 times higher
than Viettel - 4.7 billion dongs). Mobifone always have the largest income among other Tsps. It earned
43.698 billion dongs last year (increase 18%).
- The most favorite Tsp:
Hanoi,
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