Historical Summary
Verizon was established in 2000 and had ever since, continued to provide Americans with not only a dependable wireless network but also the country’s only all-fiber premier network. The company also offers integrated solutions to global commercial enterprises (Smith, 2019). Today, Verizon has more than 150 locations distributed worldwide that help it in the deliverance of creative technology and communications that enhance their customer’s work, play, learning, and lives.
List of Competitors
Verizon's competitors include AT & T and off-late Sprint that has launched a consistent 5G network coverage. Unlike Verizon and AT & T, who introduced the same but transmitting it through millimeter waves that provide extremely high-speed data coverage, Sprint has employed LTE combined with split mode technology (Welch, 2019). The disadvantage of the millimeter wave technology is that the customers lose the network strength as they distance from 5G nodes that transmit network. Additionally, Verizon’s customers cannot enjoy the 5G technology from indoors since the millimeter waves cannot penetrate walls and glasses hence have to use their devices from outside.
Delegate your assignment to our experts and they will do the rest.
Verizon’s Position in the Industry
Currently, Verizon is leading in the provision of 4G LTE wireless network. In 2018, the company further broadened its position as a leader in the wireless network as recognized by third-party assessors. For the 11 th consecutive year, customers have continued to rate Verizon as a winner, according to studies on Wireless Network Quality Performance conducted by J. D. Power 2019 (Sec.gov, 2014). The company has over the years proceeded to lead in network performance; customer loyalty and customer service, and thus, remained the most exceptional wireless delivery service. Verizon does not look upon its established leadership but has adopted a customer-centered attitude as a primary advantage.
Current Developments within Verizon
The company is working in collaboration with other renowned brands such as HuffPost, Yahoo, and TechCrunch to assist consumers in being entertained and informed through its media group. The company has also through the same channels helped its consumers to transact and communicate and has innovated new styles in which partners and advertisers can link (Verizon.com, 2019). Additionally, Verizon continues to tackle some of the most severe challenges within the community.
Key Risk Factors
One of the critical threats to Verizon is the economic meltdown. During economic recessions, most consumers delay the decision to purchase times from the company, and this translates to reduced sales. Furthermore, if any of the global countries that the company has invested in faces a slow economic progression, then most of Verizon's consumers forego the decision to purchase any of its merchandise ultimately. Additionally, the company has stiff competition from new entrants into its line of business as wireless communication has been redefined by technology (Sec.gov, 2016). Therefore, the company's competitiveness depends upon its coverage and quality of its network, cost of its services and products, and customer satisfaction, among other factors.
Strategic Direction of Verizon
The company has invested in and launched 5G network technologies. This technological advancement will assist the company to keep abreast with the market changes. Moreover, with this technology, Verizon’s customers are assured of high uploads speeds of up to 60 Mbit/s and increased download speeds of up to 900Mbit/s (Verizon.com, 2019). The technology is not only beneficial to clients only but also has excellent benefits to the company as it is capable of supporting more users. Compared to 4G that within a geographical zone of one square kilometer supports nearly 100,000 users, the 5G has the capabilities of supporting ten times more user devices.
References
Sec.gov. (2014, January 14). Letter To Shareholders. Retrieved May 31, 2019, from https://www.sec.gov/Archives/edgar/data/732712/000119312514010926/d648792d425.htm
Sec.gov. (2016, December 31). 10-K. Retrieved May 31, 2019, from https://www.sec.gov/Archives/edgar/data/732712/000119312517050292/d296602d10k.htm
Smith, C. (2019, May 30). Verizon Stock Drops After Analyst Says This Is as Good as It Gets. Retrieved May 31, 2019, from https://www.barrons.com/articles/verizon-communications-stock-falls-rating-growth-ubs-51559232791
Verizon.com. (2019, May 16). Investors. Retrieved May 31, 2019, from https://www.verizon.com/about/investors
Welch, C. (2019, May 30). Sprint's 5G network is here, and it's completely different from what Verizon and AT&T are doing. Retrieved May 31, 2019, from https://www.theverge.com/2019/5/30/18645663/sprint-5g-network-now-available-atlanta-dallas-houston-kansas-city-verizon-at-t
