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Hindalco

Essay by   •  September 25, 2011  •  Essay  •  431 Words (2 Pages)  •  1,283 Views

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 Political Factors

* Regulations - mobile phone licences are tightly controlled and access to the spectrum is limited. In addition political pressure may be brought about regarding the use of mobile phones by children and the possible health issues associated with mobile phone use.

* Infrastructure - Building the infrastructure needed to supportthe network usually requires permission from the government and statutory bodies to use their lands.

* Health issues - there is still no definitive public opinion onthe effect of mobile phone usage by people and also the possible health effects of the closeness of phone masts to school.

 Economic Factors

* Cost of licences - the cost of acquiring mobile phone licences is very high.

* 3G - the bidding war for 3G licences happened at the height of an economic boom and consequently the price paid for them was extreme. This with the cost of building the network will require a lot of revenue to break even, but if the price is too high, the standard will not take off.

* Cost of calls being driven down - there are constant price wars between the providers and there are very few markets where there is monopoly controlling the mobile market.

 Socio cultural Factors

* Health issues - if mobile phones are shown to be harmful both with the masts and handsets, there may be a move away from their use and a campaign to ban the masts.

* Demographics - mobile phones tend to be used by the younger members of society. In a country where the population is ageing, which is the trend across the EU, the demographics may shift to a more aged population who may have less use for mobile phones.

* Social trends - a lot of take up of mobile phones has been down to fashion and peer pressure. If a trend of not having a phone was to occur this could seriously impact on their usage, although unlikely to happen.

 Technological Factors

* 3G-The introduction of 3rd generation (3G) mobile phone technology is bringing with it a better mix of content and providing more services.

 Environmental Factors

* Vodafone have established a handset recycling program that encourages customers to dispose of handsets and accessories in a safe and responsible way by advertising their return programmes, providing incentives to customers and by making it easy to return unwanted phones through pre-paid envelopes or recycling points in retail outlets.

 Legal Factors

* Laws regulating businesses e.g. The Sales of Goods Act 1974stating all products must be fit for the purpose they are intended. A mobile phone must therefore work. Certain laws are created to

* Regulate

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