...Case study for Preparing Corporate Finance Sem 1 Re-sit Examination (*these are the actual case studies used in the exam) Case Study Guidelines In 2005, the Spanish telecom giant, Telefonica made a bid for O2, a British wireless carrier. The bid created headlines for being the second largest ever, all cash offer in telecom history. With consolidation taking place on a major scale in the European telecom sector, Telefonica too looked for a channel for expansion in the booming sector. The case chronicles the expansion strategies of Telefonica and the reasons behind its bid for O2. Case 1: Telefonica snaps up O2 as European consolidation continues In a move that will certainly arouse the interest of other European mobile operators, Spanish telecoms giant Telefonica could be about to gain entry to two of Europe's most important markets, the UK and Germany, with its bid to acquire UK-based mobile operator O2 for GBP17.7 billion ($31.3 billion). Under the terms of the deal, Telefonica is offering 200p ($3.53) per O2 share, which represents a premium of approximately 22% over the closing price of the operator's shares of 164.25p ($2.90) on Friday October 28, 2005. The two companies expect to save E293 million ($351 million) a year by 2008 from economies of scale. More importantly, however, the offer has received the approval from O2's board of directors. Commenting on the deal, Telefonica's chairman, Cesar Alierta, said that the move would boost Telefonica's growth...
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...Mobile Handset Subsidies Strategy Implementation Team 6 Bibin Bopan E011 Shirshendu Dutta E015 Suman Ghosh E019 Srihari Rao Kasaraneni E028 Satchit Sawant E045 Utsav Shah E045 Shubham Shukla E049 Contents Mobile Handset Subsidies 1 Part1 2 Introduction on handset subsidies and their purposes 2 Part 2 4 Different subsidy models used across different economies and firms 4 (Except India/Indian) 4 Part 3 6 Subsidies and Implementable Models for India 6 Part 5 9 Government Regulations on Mobile Handsets 9 Part1 Introduction on handset subsidies and their purposes Handset Subsidy as defined by Technology Glossary is: Handset Subsidy: Frequently, a wireless company will sell a phone (handset) below cost, with the hope of making up the loss later on customer usage fees. The amount of loss per handset is called the handset subsidy. Purpose behind lowering upfront payment for mobile handset devices: A lot of purposes could be attributed to models that lower upfront payments for handsets in return for longer term service contracts designed to recover fees in One to Three years. a. Upfront costs for new mobile handsets or tablets could be a barrier for people who are otherwise willing to pay in instalments. b. Ability to lock in customers or retain old ones or to attract them from other operators by giving them better handsets by more valuable contracts. c. Leveraging the capabilities...
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...CASE STUDY Vodafone: developing a total communications strategy in the UK market Roger A. Strang We will be the communications leader in an increasingly connected world. Vodafone website, 2009 In 2009, Vodafone, the world’s largest mobile telephone operator by revenue, was under increasing pressure to develop a strategy to ensure leadership in the rapidly growing market for high-speed internet services in its UK home market. The challenge for the company was that the development of new technologies for voice, data and video transmission was blurring the boundaries among traditional industries and forcing reconsideration of what was required for a strategy of ‘total communications. This growth in demand for new services had attracted the interest not only of Vodafone’s traditional competitors in the telephone industry, but also from other communications companies such as Virgin Media ((the largest cable operator in the UK) and Sky Broadcasting which was the UK’s largest provider of satellite-based television. Other new competitors included the largest UK retailer of mobile phones and services, Carphone Warehouse and suppliers such as Apple (iTunes) and Nokia (Ovi) which had been investing heavily in digital content. Google was also increasingly involved in the communications field with a new, open, mobile operating system, Android and investments in mobile search and advertising. In addition to changes in competition, Vodafone and other operators faced rapid changes...
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...Business Analysis and Valuation of Vodafone Group Iryna Saplitsa Supervisor: Tore Leite NORGES HANDELSHØYSKOLE This thesis was written as a part of the Master of Science in Economics and Business Administration program ‐ Major in International Business. Neither the institution, nor the advisor is responsible for the theories and methods used, or the results and conclusions drawn, through the approval of this thesis. 2 Acknowledgments This thesis is written in conjunction with my final semester as a Master student at the Norwegian School of Economics and Business Administration. The process of completing this paper has been both rewarding as well as challenging. I would like to express my sincere gratitude towards a person that has been very helpful in finalizing this thesis. My academic advisor, Associate Professor Tore Leite, deserves special thanks for his support and guidance through the challenges of applying financial theory into practice. I am very grateful for his invaluable help, all constructive comments and timely recommendations. Iryna Saplitsa Bergen, June 2008 3 Executive Summary Every asset, both financial and real, has a value. The main factor of successful investments and management of these assets is in the understanding not only what the value is, but the source of the value. Vodafone Group, the world’s leading ...
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...Amending our Terms of Use: Please comment on a proposed amendment regarding undisclosed paid editing. 4GFrom Wikipedia, the free encyclopedia Jump to: navigation, search This article is about the mobile telecommunications standard. For other uses, see 4G (disambiguation). [hide]This article has multiple issues. Please help improve it or discuss these issues on the talk page. The lead section of this article may need to be rewritten. Please discuss this issue on the talk page and read the layout guide to make sure the section will be inclusive of all essential details. (March 2013) This article is outdated. Please update this article to reflect recent events or newly available information. (March 2013) This article may be too technical for most readers to understand. Please help improve this article to make it understandable to non-experts, without removing the technical details. The talk page may contain suggestions. (December 2011) This article needs attention from an expert on the subject. Please add a reason or a talk parameter to this template to explain the issue with the article. Consider associating this request with a WikiProject. (March 2013) 4G, short for fourth generation, is the fourth generation of mobile telecommunications technology succeeding 3G. A 4G system, in addition to usual voice and other services of 3G system, provides mobile ultra-broadband Internet access, for example to laptops with USB wireless modems, to smartphones...
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...overseas sales growth not only appears in the developing countries, but more in developed countries in Europe and America. The sales volume in European market was up to 3.4 billion dollars in 2010, which was 17% higher than that of 2009. The high-tech product, such as mobile 3G has made its way into France, Germany, Span, Italy and Norway etc. It holds over 30% of the newly increased market share.4G products has also been developed and introduced to many international operators. Huawei (HW for short) has been intruding into the so-called impenetrable European telecommunication market with unthinkable power. There are lots of top international operators in Europe: German Telecommunication DT (TOP3), Spanish telecommunication Telefonica (TOP5), Vodafone OP6, French Telecommunication （TOP8, Italian Telecommunication TI (TOP9) etc. The European market is one of the best world high-techmarket. It is a highly- competitive market. Meanwhile, he world best telecommunication equipment suppliers are also in Europe: German Siemens, the inventor of the first telegraph; French Alcatel, which had held 90% share of the Chinese fixed-line telecom market. Swedish Ericson, the No.1 in telecommunication,...
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...One of the most popular Swedish international companies is the well-known enterprise Skype. It allows users from all over the world to communicate with each other via the Internet from their computers, tablets and mobile devices making video and voice calls, sending instant messages and even sharing files. The company was founded in 2003 and its international headquarters are located in Luxembourg. Its annual revenue nearly amounted to $ 2 billion in 2013 and although it counted more than 560 million of registered users by the end of 2009 it has only between 1.000 and 5.000 employees. In fact, in one day in March 2013 Skype users spent more than 2 billion minutes connecting with each other and 300 million of users used Skype on a monthly basis in August 2015. Furthermore Skype is a software business model with very low fixed costs and hardly any capital requirements. Moreover the free Skype-to-Skype calls cost the company nothing to provide and the word-of-mouth advertising significantly reduces user acquisition costs. As the core features of Skype, namely the Skype-to-Skype calls, are for free, Skype makes money mainly through Skype credits or monthly subscriptions. These credits allow Skype users to make low cost calls to mobile phones or landline phones, send text messages or purchase a Skype number in order to receive calls from anywhere in the world on one’s Skype account. In addition Skype also made money through a few other channels, for example selling related...
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...DEVELOPING THE INTERNET: ENTREPRENEURSHIP AND PUBLIC POLICY IN COMPARATIVE PERSPECTIVE* Sandra L. Suárez Department of Political Science Temple University Gladfelter Hall Philadelphia, PA 19122 (215) 204-1468 ssuarez@nimbus.temple.edu and Mauro F. Guillén The Wharton School and Department of Sociology University of Pennsylvania 2016 Steinberg Hall-Dietrich Hall Philadelphia, PA 19104-6370 215-573-6267 guillen@wharton.upenn.edu November 2000 Version * This research has been funded by Temple University (Suárez) and the Wharton eBusiness Initiative, WeBI (Guillén). 2 DEVELOPING THE INTERNET: ENTREPRENEURSHIP AND PUBLIC POLICY IN COMPARATIVE PERSPECTIVE Abstract The internet has not diffused uniformly throughout the world. Data on 142 countries indicate that, aside from the levels of economic and infrastructural development, cross-national differences have to do with whether the legal system fosters entrepreneurship, and with whether institutional and political conditions are stable, and democracy is the form of government. Competition and privatization policies in the area of telecommunications do not have consistent effects. After examining international patterns of diffusion for the world as a whole, differences between two matched pairs of countries are systematically compared: Ireland and Singapore, and Argentina and Spain. Patterns of entrepreneurship and public policy in each country are shown to have differed systematically, with distinctive consequences...
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...IntMk-CStud-4.qxd 26/05/2005 14:05 Page 563 section 4 case studies cases 4.1 Wal-Mart’s German Misadventure 4.2 Handl Tyrol: Market Selection and Coverage Decisions of a Medium-sized Austrian Enterprise 4.3 Blair Water Purifiers to India 4.4 A Tale of Two Tipples 4.5 Kellogg’s Indian Experience 4.6 Strategic Alliances in the Global Airline Industry: from Bilateral Agreements to Integrated Networks 4.7 GN Netcom in China 4.8 IKEA: Entering Russia 4.9 The ‘David Beckham’ Brand 563 571 574 583 586 590 594 599 604 case 4.1 Wal-Mart’s German Misadventure I don’t think that Wal-Mart did their homework as well as they should have. Germany is Europe’s most pricesensitive market. Wal-Mart underestimated the competition, the culture, the legislative environment. — Steve Gotham, retail analyst, Verdict Retail Consulting, October 20021 We screwed up in Germany. Our biggest mistake was putting our name up before we had the service and low prices. People were disappointed. — John Menzer, head of Wal-Mart International December 20012 ‘Don’t look now:’ low prices all year round! With thanks to Walmart 563 IntMk-CStud-4.qxd 26/05/2005 14:06 Page 564 section 6 case studies section 4 German blues For the world’s largest retailing company, Wal-Mart, Inc., the German market was proving difficult to crack. By 2003, even after five years of having entered Germany, Wal-Mart was making losses. Though Wal-Mart did not reveal these figures, analysts estimated...
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...38 3 The global context of business Chris Britton Businesses of all sizes operate in international markets – products are sold across borders; the resources used in production can come from anywhere in the world; communication is instantaneous; and financial markets are inextricably linked, as the events of 2008 demonstrate. Individual businesses operate across borders in a variety of ways – they can do this directly, through the formation of strategic alliances or through merger and takeover. It is clear then that businesses need to be aware of the global context of their markets. Having read this chapter you should be able to: G G G G Learning outcomes understand the difference between globalisation and internationalisation outline the main elements of globalisation illustrate the role of the multinational enterprise introduce the implications of globalisation for business Key terms Capital market flows Consortium Cross-subsidisation Customs union Emerging economies Foreign direct investment (FDI) Franchising Free trade area Globalisation Hyperglobalisation Internationalisation International trade Joint venture Licensing Multinational enterprise (MNE) Regionalism Regional trade agreements (RTAs) Strategic alliance Transfer pricing Transformationalism Globalisation versus internationalisation 39 Introduction Businesses operate in a global context: even if they do not trade directly with other countries, they might be affected by a domestic...
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...Cash Flow Forecasting Essential Capital Markets Books in the series: Cash Flow Forecasting Corporate Valuation Credit Risk Management Finance of International Trade Mergers and Acquisitions Portfolio Management in Practice Introduction to Project Finance Syndicated Lending Cash Flow Forecasting Edited by Andrew Fight A MSTERDAM • BOSTON • HEIDELBERG • LONDON • NEW YORK • OXFORD P ARIS • SAN DIEGO • SAN FRANCISCO • SINGAPORE • SYDNEY • TOKYO Butterworth-Heinemann is an imprint of Elsevier Butterworth-Heinemann is an imprint of Elsevier Linacre House, Jordan Hill, Oxford OX2 8DP 30 Corporate Drive, Suite 400, Burlington, MA 01803 First published 2006 Copyright © 2006, Andrew Fight. All rights reserved. Note The materials contained in this book remain the copyrighted intellectual property of Andrew Fight, are destined for use in his consulting activities, and are to be clearly identified as copyrighted to him. Andrew Fight has asserted his right under the Copyrights, Designs, and Patents Act 1988, to be identified as author of this work, and confirms that he retains ownership of the intellectual property and rights to use these materials in his training courses and consulting activities. No part of this publication may be reproduced in any material form (including photocopying or storing in any medium by electronic means and whether or not transiently or incidentally to some other use of this publication) without the written permission...
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...3G MOBILE LICENSING POLICY: FROM GSM TO IMT-2000 A COMPARATIVE ANALYSIS GSM Case Study This case has been prepared by Audrey Selian , ITU. 3G Mobile Licensing Policy: GSM Case Study is part of a series of Telecommunication Case Studies produced under the New Initiatives program of the Office of the Secretary General of the International Telecommunication Union (ITU). The author wishes to acknowledge the valuable guidance and direction of Tim Kelly and Fabio Leite of the ITU in the development of this study. The 3G case studies program is managed by Lara Srivastava and under the direction of Ben Petrazzini . Country case studies on 3G, including Sweden, Japan, China & Hong Kong SAR, Chile, Venezuela, and Ghana can be found at . The opinions expressed in this study are those of the author and do not necessarily reflect the views of the International Telecommunication Union, its membership or the GSM Association. 2 GSM Case Study TABLE OF CONTENTS: 1 2 Introduction................................................................................................................................................ 6 1.1 2.1 2.2 2.2.1 2.2.2 2.2.3 2.2.4 2.2.5 2.2.6 2.2.7 2.3 2.3.1 2.3.2 2.4 2.4.1 3 3.1 3.1.1 3.1.2 3.1.3 3.2 3.3 3.4 3.4.1 3.5 3.6 3.6.1 3.6.2 3.6.3 4 4.1 4.1.1 4.1.2 4.1.3 4.1.4 The Generations of Mobile Networks................................................................................................ 7 GSM Technology.....................................
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...MERGERS AND ACQUISITIONS TABLE OF CONTENTS |TITLE |PAGE NUMBER | |ABSTRACT |3 | |INTRODUCTION |4 | |THE ACCOUNTING METHODS |7 | | VALUATION |8 | | TYPES OF MERGERS |9 | |WHY MERGERS |12 | |STATUTORY REGULATIONS |13 | |COMPARISON OF MERGERS IN INDIA AND CHINA |16 | |ARCELLOR MITTAL DEAL |17 | |DAIMLER CHRYSLER DEAL |19 ...
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...3G Mobile Licensing Policy: From GSM To IMT-2000 - A Comparative Analysis This case has been prepared by Audrey Selian , ITU. 3G Mobile Licensing Policy: GSM Case Study is part of a series of Telecommunication Case Studies produced under the New Initiatives program of the Office of the Secretary General of the International Telecommunication Union (ITU). The author wishes to acknowledge the valuable guidance and direction of Tim Kelly and Fabio Leite of the ITU in the development of this study. The 3G case studies program is managed by Lara Srivastava and under the direction of Ben Petrazzini . Country case studies on 3G, including Sweden, Japan, China & Hong Kong SAR, Chile, Venezuela, and Ghana can be found at . The opinions expressed in this study are those of the author and do not necessarily reflect the views of the International Telecommunication Union, its membership or the GSM Association. TABLE OF CONTENTS: 1 Introduction 6 1.1 The Generations of Mobile Networks 7 2 A Look Back at GSM 10 2.1 GSM Technology 10 2.2 The History of GSM 11 2.2.1 Conference Des Administrations Europeans des Posts et Telecommunications (CEPT) 12 2.2.2 The European Commission and the Memorandum of Understanding 13 2.2.3 European Telecommunications Standards Institute (ETSI) 14 2.2.4 The “Frequency Band” Obstacle Course 14 2.2.5 The Conclusion of the Interstate Bargain 15 ...
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...beginning of the 21st century, its CEO/ Chairman, Yang-Ho Cho undertook various transformation initiatives - for instance, improving service quality and safety standards, technology integration, upgrading pilot training, better business focus; putting in place a professional management team, improving corporate image through sponsorship marketing, etc. He gave a new corporate direction in the form of '10,10,10' goal. However, Korean Air is held up by a slew of challenges. Among which are inefficiencies of - Chaebol system of management, possible clash of its cargo business with its own shipping company, limited focus on the domestic market and growing competition from LCCs. How would Korean Air manage growth as a family-owned conglomerate? The case offers enriching scope for analysing a family business’s turnaround strategies, with all the legacy costs involved. Pedagogical Objectives • To discuss the (operational) dynamics of Korean Chaebols - their influence/ effects on the country’s industrial sector and the economy as a whole • To analyse how family-owned businesses manage the transition phase - from a supplier-driven economy to a demanddriven economy • To identify all the possible reasons for Korean Air ’s turbulent times and assessing whether they are controllable or not • To critically evaluate Korean Air ’s transformation efforts - in terms of growth, productivity and cost cuts, especially the efficacy of '10,10,10' goal in a family-run business • To identify various challenges...
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