Competitive Analysis of the Wireless Telecommunications Industry

Competitive Analysis of the Wireless Telecommunications Industry

The first step of a competitive analysis is identifying the competitors. This identification can be made by examining customers’ choices regarding which provider they choose to do business with. From T-Mobile’s position within the wireless telecommunications industry, the primary direct competition consists of AT&T, Verizon, Sprint, and US Cellular (statista.com, 2017). To thoroughly understand the competition, the size of each competitor, the market share each owns, which business strategies they follow, and any strengths and weaknesses each may have should be determined. According to Statista, T-Mobile brought in 11.1% of wireless telecommunication revenue in the U.S. AT&T was the industry leader (44%), followed by Verizon (34.5%) and Sprint (8.9%). U.S. Cellular was the last of the major providers, with a revenue share of 1.4% (2017). Perhaps more importantly than price, the coverage area can be considered a strength or weakness depending on the location and carrier. Verizon currently leads in 4G coverage in the U.S., covering 81% of the country. Following Verizon are AT&T (66%), T-Mobile (58%), and Sprint (29%) (Holmes, 2018). Each company has its unique advertising strategy. However, all claim to offer dependable coverage, value to the customer, and fast data download speeds.

How can T-Mobile maintain its competitive advantage?

 T-Mobile should continue to increase its understanding of customer frustrations with the competition and avoid those frustrations while prioritizing the customers’ wishes ahead of profits. T-Mobile should look for other areas of the wireless telecommunications industry where they can apply the same innovative techniques that worked so well in this case and continue to disrupt the industry by offering products and services that customers desire at a price lower than the competition is willing to offer. T-Mobile should also continually monitor current and potential competitors who may choose to enter the wireless telecommunications market.

References

 Aaker, D. (2018, May 29). 5 Lessons From T-Mobile’s Game-Changing Brand Strategy. Retrieved from https://www.prophet.com/2014/02/5-lessons-from-t-mobiles-game-changing-strategy/

Holmes, C. (2018, March 14). Compare Cell Phone Carrier Coverage Maps for the Best Coverage. Retrieved from https://www.whistleout.com/CellPhones/Guides/Coverage-TEST

Major US telecom providers revenue ranking 2017 | Statistic. (n.d.). Retrieved from https://www.statista.com/statistics/201048/total-operating-revenues-of-us-telecommunication-providers/

ORDER A PLAGIARISM-FREE PAPER HERE

We’ll write everything from scratch

Competitive Analysis of the Wireless Telecommunications Industry

Perform a competitive analysis of the wireless telecommunications industry.

How can T-Mobile maintain its competitive advantage?