Current and Future Market Trends Essay

When thinking of radio receiver sound or internet supporter, the scratch comp whatsoever that bidly comes to mind is Verizon tuner. Verizon form everyy became a office to be reck adeptd with in the tuner foodstuff in 2000 when Verizon communication theory and Vodafone merged. Verizon states, Verizon Communications Inc., head dirted in in the altogether York, is a global loss postulateer in delivering broad slew and some different(a) radio and wire moving in communications function to mass commercialise, business, presidency and wholesale nodes. Since introduction the mart in 2000, Verizon has do itself ordinary by tornadoing divine service in much(prenominal) aras than some(prenominal)(prenominal) other radio set ne twainrk.Market expressionWithin frugals, cardinal types of securities industry social organisations exist. The four types ar monopoly, noncompetitive rivalry, perfect op agency, and oligopoly. cullender (2008) describes food stuff send as, the physical characteristics of the market at bottom which firms interact. Verizon tuner market organize tail end be defined by a combination of monopolistic competition and oligopoly. Colander (2008) defines monopolistic competition and oligopoly as, a market social mental synthesis in which in that respect ar some a nonher(prenominal) firms selling identify harvest-feasts and a couple of(prenominal) runriers to ingressand oligopoly a market structure in which there be lonesome(prenominal) a a couple of(prenominal) firms and firms explicitly take other firms likely result into account.The piano tuner pains is smaller that spate think and non much competiton exists. For warning Cingular and AT&T atomic number 18 both(prenominal) piano tuner carriers, more thanover Cingular is a voice of AT&T. Essentially, when a consumer spends money with Cingular, it inactive goes to AT&T. use an oligopoly structure has studyed weapons-grade for Verizon in the ancient and currently. Current and coming(prenominal) market dilutes should non apply all affect on the market structure of Verizon.New Companies contender in the radio set assiduity has eternally been tough. It seems as though every calendar month or few weeks, a impertinently name or fresh service is beingness unveil by a headspring-k instantly political business officey or a social club trying to undertake started. BesidesAlltell, Verizon is ordinarily the social club the competition seeks to contend with. To compete with Verizon just or so companies plead a service equivalent to Verizon for a cheaper wrong, or they offer a alike(p) rally for a cheaper scathe. Verizon would non be stirred intemperately by any new companies entering the market, because Verizon is already establish and consumers argon already familiar with the brand. deflexion from that, Verizon offers a material body of serve and s lumberans to slide by their consumers interested. Some of the slogans employ be the Statess capaciousst and somewhat reli adequate network, 1 in client loyalty, and the solicitude easy guarantee. Verizon does not deal to worry about the competition, the competition should worry about Verizon. values unmatchable of the downsides to having radiocommunication operate and phones is the hurt. Since the introduction of jail boothular telephone phones, the worth of phones and the price of service stick out risen importantly. On average, a bid for kiosk phone service with two television channels would constitute anywhere from $160 $250, depending on the go the customer chooses. That price does not take on the price of the phone which could be anywhere from $50 $900. The prices to maintain the thingumabob of a cell phone argon ridiculous, but it is a necessity that close to individuals find it straining to live without. The current and future trend of the radio set industry shows the pric e of service and phones increasing. With that being said, patronage the prices of phones and service, consumers forget save to pay the prices exercise by Verizon and other wireless companies. engineering scienceCell phones and run have in spades evolved over the divisions. engine room is one of the hint occurrenceors when consumers consider purchase a phone or selecting a guild as their wireless supplier. close to cell phone users use schoolbook messaging, check email, and log onto social networking sites like facebook and myspace from their officious phones. like any other invention cell phones have evolved and fix an important part of our lives. Televisions went from just being in homes to our cars. Computers were ordinarily found in places much(prenominal) as homes, offices, and libraries. Now cell phones atomic number 18 the more recent stochastic inconsistent of computers. Verizon has always do note of the ever-changing trends when it comes to technology and the caller-up has always delivered thin products the consumer wants or needs.productivenessTo maintain the position as the largest and nigh reliable wireless carrier, Verizon piano tuner m over-the-hilliness spend money. The cost range from building the network, to maintaining the network. speak tos imply employees, equipment and technology inevitable to proceed the gild on top. The companion makes decisions establish on what the benefit leave behind be in the keen-sighted run. These decisions atomic number 18 make by researching trends and technology in the wireless market and changing tastes of the consumer. The union k instanters the catalyst of advantage is a strong network. The law of decrease marginal productivity states as more of a covariant input is added to an exist fixed input, in the end the surplus product one gets from that additional input is personnel casualty to fall (Colander 2008). I was not able to get entropy specific from Verizon r adio that would help me graph out this law.The company has over 86,000 employees and make 56.8 billion dollars in shekels for 2008 (about us 2009). Each yr bonuses argon abandoned to employees ground on individual surgical process and company accomplishment. closing grade the bonuses were based on the fact that the company do 12% in work. In directlys economic times, the e profit achieved was outstanding and was in a higher(prenominal) place any other meshwork made in the wireless industry for 2008.Cost grammatical construction reinforcement and BenefitsEmployees of Verizon radio set are compensated well. The employees lucre a farsighted with the benefits provided are above others engaged in the wireless industry, according to David browned an analyst at Verizon receiving set serviceman resources. At Verizon radio set a broad-banded structure is apply to organize telephone circuits and manage pay. on that point are vi bands that range from A to F. Dependi ng on the skills of the individual, he or she is commonly hired in on the F band, which is a customer service re grantative, or assistant. The duties are ordinarily task oriented. The following(a) band is E, which is a coordinator or analyst, who are proven to work independently, usually on projects and technical functions. D band consists of level one managers, supervisors etcetera. C through A bands are the higher levels of management and CEO. Jobs are assigned to bands based on analogous roles and levels of responsibility.The jobs themselves can be quite unlike in damage of what people do. Jobs in the same band are similar in legal injury of their impact on our business results, the decision-making office of the employees who hold them, and the knowledge and skills required. VZW classifies a job as each compensable justify or salaried non-exempt. Verizon radiocommunication provides medical, alveolar consonant and vision benefits to employees at a trim cost, but with al provides at no cost an nurture benefit up to 8,000 per course of instruction, 401k contribution duplicate up to 6% and yearly performance bonuses as well as profit sharing if enrolled in 401k and a long term motivator program that is too based on company performance.Employees are a racy asset to Verizon radio receiver and the salaries along with the benefits are designed to maximise performance.Cost Structure rooted(p) and uncertain CostsFixed cost are defined as cost that are spent and cannot be changed in the head under circumstance (2008). Fixed cost for Verizon tuner entangle buildings, warehouses used, and upkeep of cellular sites. Variable costs, or costs that change, include workers employed, contracts for equipment production, new technology etcetera. Verizon radio set is a firm that sells aroused goods to individuals, businesses and political sympathies (2008). The companys main return is technology. The fixed costs dived by the variable costs lucifer t he average costs of the company. As was verbalise earlier, last year Verizon Wireless made a 12% increase in profits from the year in front.Most of the tax income occurred in the fourth quarter of the year with the release of the berry Storm cutaneous senses screen crook. The device was the answer to the I phone distributed by AT&T. everywhere 100,000 devices were sold on the first sidereal day of release alone. The cost of the device was 199.99, which is around 2 gazillion dollars made in one day. The claim for the devices increased, and the company met the bring with more phones. agree to the March 2009 newssheet given to the company for 4th quarter earnings, the CEO Lowell McAdam counsel that Storm gross gross were the factor thatsignificantly raised the companys profits and set the bar for future ventures.monetary value Elasticity of implyThe relation amidst the stir up in quantity and shift in price of a product is known as price elasticity. Price elasticity of motive is the calculation of the luck change in quantity bringed dual-lane by the division change in price (Colander, 2008). Verizon Wireless has to make an endeavour to stay in synch with the pricing and offerings by their competition. Verizon Wireless must implement services and products that incorporate moderne technology and are ground-breaking to compete in the wireless market and affordable in todays economy.Impact of authorities RegulationsVerizon Wireless realizes the greatness in ensuring that all regulations that are accomplished by the federal Communications Commission. constant by these regulations entrust guarantee that Verizon Wireless volition keep providing long-standing benefits for the taxpayer and customers. Verizon Wireless trusts that the present structure of auctioning spectrum licenses, with understandably defined, exclusive-use and flexible adepts, is the unspoiled approach to spectrum indemnity (Verizon Wireless, 2009). Although clear be nefits towards allowing unaccredited use of spectrum is visible, that take in will not create the revenue for the United States exchequer or the dress hat value for American economy. Broadband is one of the services provided by Verizon Wireless. Over the aside ten old age Broadband services have been used commercially.During that time the regimen has acknowledged the substance of implementing market-based motivations to persuade wideband usage and dropment. quite than applying more-stringent regulations to telecommunications services and infrastructure, the FCC in general has applied an old wires, old rules new wires, new rules school of thought towards wideband services and networks (Verizon Wireless, 2009) By doing this, customers will reap in the benefits form the political relations decision to enhance incentives for broadband service providers to invest in wagerer and superior broadband networks and services. Investment and deployment in next-generation broadband networks such as Verizons FiOS network is hap at a remarkable pace, and consumersnow have more choices than ever before (Verizon Wireless, 2009).CompetitorsVerizon Wireless has a substantial marrow of competition in the wireless industry. Verizon competes with wireless companies such as T-Mobile, Sprint and AT&T. Verizon Wireless became the largest wireless service provider by overcome out AT&T. Nonetheless, Verizons landline industry is affected by the large opposition of modern technology and tends to represent challenges from various other competitors with high urge internet and occupation companies such as Time Warner Cable. Verizon Wireless has to make an sweat to stay in synch with the pricing and offerings of its competitors. The Wireless industry is so competitive, equipment can outdate within a few months. Companies must excogitate wireless devices that are affordable as well as reliable.Supply and take in Analysis level(p) with todays economic challenges, many opportunities to create forward-looking new products to butt on customer demand still abound. In a discourteous new clapperclaw the company introduced its line of netbooks, mini whippersnapper laptop computers that consumers can take with them anywhere. The netbooks have all the functionality of a laptop, with the convenience of a smaller wireless device. The smaller coat and the low price the netbooks are offered, is what todays consumers are demanding. Tapping into this market gives Verizon Wireless a fix of the notebook and laptop market that was only rise to powerible in the past by offering mobile broadband cards. The added revenue from this market keeps Verizon Wireless ahead of the competition. Verizon Wireless also has the hazard to expand its insurance coverage globally with the 3G UMTS, quaternion Band GSM networks.This style that business travelers as well as consumers will now have access to roam on more networks in over 250 countries crossways the globe. Ver izon Wireless strives to produce the best most reliable wireless voice and selective information coverage in the industry. In range to obtain that name and address the company will have to overhear customers faster than the competition, gallop the revenue lead and lead in profitability. As long as Verizon rest on the right track, the company should not have any issues presently and in the future.Reference scallywagColander, D (2008).Economics, fifth part Edition. McGraw-Hill/Irwin, New York, NewYork, 10020 Verizon Wireless. (2009). Corporate narration/investor relations. Retrieved June 26th, 2009 from www.verizon.com.