External business environment for Vodafone Essay

External business environment for Vodafone - Essay instanceMoreover, the government has established the authorities which facilitate the unstable operators and network in UK. Vodafone has developed very redeeming(prenominal) relationships with the government authorities and company also promotes the aim of much(prenominal) governmental bodies. For example, in order to leave alone advice on the security of communications and electronic data, UK government has established CESG which is a Governments issue Technical Authority for information assurance (Vodafone-central). Moreover, Government has established awards and calibre gelts to improve the quality of spry operators. These rewards are independent from the regulations imposed by the Government. For example, Vodafone has new-madely won the award of quality mark for remote worker security solution (Vodafone-central). Economic The trends in gross domestic product harvest-tide rate shows that GDP of UK has declined significan tly in 2005. Although GDP growth rate improved in 2007 however, because of the financial crisis, GDP growth rate again declined in 2008. As the recession took on toll on telecommunication sector, Vodafone set about significant challenges and company reported total 500 layoffs throughout the UK to reduce the costs because of challenging frugal conditions (The FT Times). Figure Economic Growth of GDP Source Chamberlin, 2008 Social Mobile penetration in UK is above than European average and the unsettled subscriptions are increasing because of the increasing penetration of consumers in business-oriented devices such as BlackBerry, iPhone etc. Therefore, the wandering phone operators are cladding strong competition and concentrating on bundled offers, mobile searching and line service promotions (Budde, 2011). Vodafone also recognises the changing social patterns of consumers therefore, company is competing by offering the products that may meet the social needs of consumers. Vodaf one has recently launched Betavine Social Exchange which is a site to provide mobile solutions in development and for social impact (Verclas, 2009). Technological UK telecommunication industry is characterised by many recent technological developments such as advanced data services, regulatory controls on the charges of the mobile operators and bundling of mobile services (Budde, 2011). To remain competitive in the market, Vodafone is significantly investing in research and development twain in individual activities and in collaboration projects. For example, Vodafone is collaborating with IBM to develop mobile private social network called BuddyCom. The actual research of Vodafone is relevant to next generation of mobile technologies, new GSM based services, consumable software for mobile phones and electronic news media (Vodafone). Legal All telecom operators and providers in the UK are being regulated by two main laws including Landlord and Tenant Act 1954 and the Telecommunica tions Act 1984 (Telemaster). Being one of the largest mobile operators, Vodafone is very unselfish about legal framework. The legal framework provides Vodafone to fairly compete in the market, however, company is also facing significant challenges. For example, the communication regulators in the UK have recently allowed the mobile operators to trade spectrum and the merged T-Mobile and Orange UK is expect to be the first operator to trade its spectrum. Actually the regulators have restricted the operators by specifying the operators to bid for the particular(a) ranges of spectrum (Bradshaw, 2011). Environmental All mobile operators are