Whilst the weaker pound has been heralded by some as a sign that the British economy is on its knees, it is not all bad news. The manufacturing sector is keen to point out that for every point the pound falls against the euro it becomes cheaper for British goods to be sold to the continent, and it’s not only manufacturing that is enjoying the flagging sterling.
The biggest phone operator in the world, Vodafone, is, so far riding out the recession and has raised its forecast for its yearly revenues as the weaker pound has made overseas sales more valuable. Despite twice cutting its forecast last year due to the rising cost of raw materials and increasing competition, this latest news has once again demonstrated Vodafone’s place as the biggest phone company in the world.
One of the biggest developing markets for mobile phone providers is mobile internet, so whilst revenue from voice calls on contract phones was said to have declined last year, the growth of mobile internet has offered another strand to Vodafone’s profit figures as individuals seek to take advantage of the opportunities for high quality internet connection almost anywhere in the world. A large proportion of Vodafone’s sales of mobile phones have come over the internet in recent years, thus reducing the cost base of the company and allowing better rental tariffs.*
Vodafone has also benefited from providing telecommunications to some of the world’s developing economies, and whilst this looks set to slow amidst greater competition and the slowdown of economies worldwide, figures from India still look promising for the mobile phone giant.
Of course the downside of the economic crisis is that every company no matter how big has to consider cutting its losses, therefore Vodafone recently announced that in certain markets it has increased the rate with which it cut off customers who had not paid their bills. Still, for Vodafone, the comfort with which it has handled the global economic crisis demonstrates just what a sound business base the company is operating from, and how secure it is as the biggest player in the mobile phone market.
*Take a look at the Vodafone website to view their range of tariffs and handsets, including deals on the popular iPhone.
In 1865, an engineer named Fredrik Idestam
established a wood-pulp mill and started manufacturing paper
in southern Finland near the banks of a river. Those were the
days when... {Read
Nokia History}
Entertainment
Did
You Know...
Nokia was a paper manufacturing company back in 1856 when
it started.
In 1991 Nokia made agreements to supply GSM phones in
9 countries.... by 1997 the number of countries being supplied
increased to 31.
