09BSP025
ANDY LIM
A916051
Contents Introduction 4 Industry overview 4 P.E.S.T.E. Analysis 5 Economic 5 GDP 5 Figure 1: Annual GDP Growth (1) 5 Figure 2: Annual GDP Growth (2) 6 Household Consumption 6 Figure 3: Household Consumption Growth 6 Figure 4: Contributions to Household Consumption Growth 7 DPI 7 Unemployment 8 Figure 6: UK’s Unemployment Rate 8 Replacement Cycles 9 SIM-only Deals 9 Social 10 Internet 10 Table 1: Mobile Content Consumption 10 Information society 11 Fashion 11 Age 11 Broadband 12 Bundling Mobile 12 Seasonal effect 12 Technological drivers 13 Table 2: Development of mobile phone 13 Convergence 13 Software 14 Battery 14 Political 16 Health 16 Crime 16 Environmental 17 Reduction of Hazardous Substances 17 Graph 1: Breakdown of Materials Used in a Typical Mobile Phone, by Volume 17 Universal Cell Phone Chargers 18 Porter’s 5 Forces Analysis 20 Degree of rivalry 20 Bargaining Power of Suppliers 22 Table 3: List of principal components 22 Buyers Power 25 Power of New Entrants 27 Threat of Substitutes 30 Conclusion 31 References 33
Introduction
The purpose of this report is to analyse the mobile handset manufacturer industry in the UK. The reason why I choose to analyse this particular industry is because mobile handset industry has experience significant growth over the recent years. Mobile handset manufacturers are innovating faster than ever, resulting in more and more high value and sophisticated handsets being produced. Despite the recession, there are reports showing positive growth within the mobile handset industry. This has led to my interest in analysing further into the industry.
The companies that will be analysed will mainly constitute by the leading players in the industry, such as Nokia, Samsung, LG Electronics, Sony Ericsson, Samsung, Apple, and Research-in-Motion. This report consists of two main analyses, which
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