Mobile Phones and Health Hazards - Essay Example

? Mobile Phones and Health Hazards Contents Contents 2 Introduction 3 Internal and External Analysis 3 SWOT 3 PEST 5 Problem 6 Solutions 8 Conclusion9 Reference List 11 Introduction The paper will concentrate in the business of the famous United Kingdom (U.K.) based company Vodafone PLC Group. The company is a multinational business firm, engaging in the production and sales of telecommunication services and products. The company was founded in 1991. However it used to operate as Racial Telecom long back in 1983. At present the headquarters of the company is in London, U.K. The company deals with providing post paid as well as prepaid voice services, mobile data services, DTH services and enterprise services. Apart from these services, the company also engages in several other strategic business units. The company operates in almost 30 nations in the globe and provides services in about 40 other countries in the world with special business partnerships. As recorded in 2012 the net revenue of the company was ?46.417 billion and its operating income level was about ?11.187 billion (Vodafone, 2012b). With its large finical capabilities, the company continuously expands its business and at present employs a total of about 87000 employees. The researcher as explained in the case study intends to work in this company in future. By working in the company in future, the researcher desires to solve a big socio-political issue relating to the company (Vodafone, 2012a). Internal and External Analysis In order to fulfil the desired objective, the researcher needs to first analyze the internal and external factors affecting the business of the company. SWOT In order to analyze the internal factors affecting the business of Vodafone PLC Group, the researcher made SWOT analysis. Strengths The company is one of the biggest firms in the world in terms of revenue as well as profit generation. It is one of the best providers of telecommunication. The company provides quality services to both corporate and non corporate clients. With its excellent services and products the company has created a unique brand image in the industry. It enjoys a wide base of loyal customers. Weaknesses The biggest weakness of the firm is the extensive amount of legal proceedings it needs to execute in the course of its operations. Moreover since it is a multinational company, it needs to abide by the business terms and conditions of all these nations. Its business is often subject to currency risks in the market. Opportunities After globalization of the world economy, the real aggregate and per capita income levels of all the nations have increased. The growing middle income groups in the emerging nations in the world are faced with increased demand for various comfort goods and services. Vodafone should tap this booming market demand for its products. The company can expand its business branch serving base phones and thereby increase its revenue (Agar, 2013). Threats The primary threat of the company is the impending high completion in the market. There are various giant telecommunication companies like T-mobile and Sprint that capture substantial market demands that are relatively much higher than that of Vodafone. About 68% of the total business of the company exists in the developing nations of the world. The high level of corruptions in these nations often creates problems for the business of the company (Davis, 2008). PEST In order to examine a big socio-political issue faced by the company, the researcher makes the PEST analysis for the organization. Political The telecom industry in U.K. is subjected to strong rules and regulations of the government. The companies face a lot of difficulty in getting licences to produce mobile phones. Moreover the overall access to the spectrum is also limited in the firm. In the recent years certain political pressures have arrived (on the grounds of health issues with the usage of mobile phones) on the companies in this industry. The companies also need to take permission from the government for the purpose of building infrastructures that are required for the network connections. Hence it can be stated that Vodafone’s business is subjected to a lot of regulations imposed by the governments of different nations (Janczak, 2005). Economical The current level of GDP in UK is USD 2.43 billion (CIA, 2013). It is thus a rich developed nation in the world. As recorded the per person income level of the country is about US $ 39038 (CIA, 2013). Thus the new products and services launched by the company get a good market response because of the rising income levels of the individuals in this nation. Other economic factors like the cost of licensing and the degree of price wars between the telecom companies also affect the business of the company. Moreover the recent recessionary trails in the economi8es have also negatively affected the gross income of the company. Social Since the company is a multinational business firm, it can be stated that its business is subjected to social aspects existing in different nations. Thus any change or disturbances in the cross cultural aspects between nations disturbs the business of the company. In certain citations the consumer social and cultural beliefs in the different nations affects the business of the company. Technological The most crucial aspect relating to the success of the telecom business industry is the state of technology in the external market. Technological development in the developed and developing countries have largely facilitated the growth prospects of the companies in the telecom industry. This is because the quality of products and services served by a company in this industry largely depends on the type of the technology used in producing them. Thus the rate of technological progress in a nation is positively related the progress of these companies. Environmental The disturbance in the climatic and weather conditions in the environment always disturbs the smooth connectivity of the mobile networks. The by-products of these firms also create a lot of pollution in the environment. However, Vodafone have introduced a new recycling program that deals with augmenting the consciousness of the consumers in disposing their handsets and accessories in an efficient manner. Legal The telecom companies like Vodafone are subjected to a lot of legal regulations. These firms in U.K. needs to abide by The Sales Goods Act 1974 introduced by the government. This law prevents individuals to use mobile phones at the time of driving. The legal factors that the companies in this industry would cater to are primarily related to the health and safety issues of the consumers. Problem After considering the internal and external analysis about the business of Vodafone PLC Group it can be claimed that when the researcher would join the company in future he can try to resolve the issue to health hazards arising from the rapid usage of mobile phones. It has been claimed by various scholars that health is the biggest form of human capital. If the health capital in a nation is poor in quality then the level of its economic capital accumulation would also be bad. Many scientists and researchers have now claimed that rapid and increased usage of mobile phones is responsible for the generation of various types of health problems. Individuals in the society have become more aware about the health issues caused by rapid usage of mobile phones. This social issue has become a political problem in many nations. The public authorities in the various democratic nations always try to cater to the requirements of the common people. They sometimes exaggerate and show artificial concern for the people for winning over the confidence of the individuals at the time of elections. In such situations the government may create problems for telecommunication companies like Vodafone (Hitt, Ireland and Hoskisson, 2009). This can either be in the form of a quantitative restriction or can also be in the form of a financial penalty. In either ways such a situation would lower the profit level of the company and would also hamper its goodwill in the market. The cost of loss in revenue can be managed by the company but the slaughter associated by the loss of the goodwill of the company cannot be managed easily. Moreover the fixed cost of a giant firm like Vodafone is huge, even if the company decides to change its business operation in some other segment the loss associated with the fixed investments incurred by the company for mobile and related services would be huge (Cakir and De Pablos, 2011). The national Cancer Institute have claimed that high usage of cell phones can often cause cancer to individuals. A type of radio frequency energy in emitted by the cell phones. This is a type of non-ionizing radiation and they are harmful for humans. When the mobile phone is in use, this harmful energy easily gets transmitted in the tissues of the users of the phones. This ration transmitted in the tissues of mobile users can turn out to be the cause of cancer for them (National Cancer Institute, 2013). It has also been found by the scientists that when an individual uses a mobile phone for a continuous span of about 50 minutes then the brain tissues of the person, especially the side in which the mobile phone is used metabolizes a higher level of glucose. This can also turn out to be cause of health problem for the individuals (National Cancer Institute, 2013). In a special Interphone Study carried out by 13 countries in the world together stated that 70% tumour in neck and head of the individuals are caused due to the use of cell phones. The Million Women Study in U.K has stated that extensive usages of mobile phones are causes non central nervous system tumour (National Cancer Institute, 2013). Thus over time as individuals in the world are becoming more conscious about the health related issues, the health hazards caused by rapid usage of mobile phones are more prominently explored in the society. The public authorities driving for welfare oriented programs are always seeking ways to impose more regulations on the telecommunication company (David, 1986). Solutions If the researcher intends to join the corporation in future and solve this socio-political issue faced by the famous business giant Vodafone PLC Group, he needs to provide some expert solutions to the company pertaining to this issue. The researcher can prepare a business report to elaborate the solution of reducing the socio-political issue faced by the company (Johnson and Scholes, 1993). As per the researcher there are nine steps that must be followed by any user of mobile phones. The outline for the business report regarding the solution to the concerned issue: 1. The users of the phones can reduce the emissions of radio frequency waves from the mobile phones by covering the phones with various types of back and front covers. 2. The company can promote the use of its base landline phones that has cords with it. It is proved that cordless phones are more harmful than the phones with cord. 3. Almost all the modern cell phones comprise of inbuilt speakers, the users can be recommended to use the inbuilt speakers while making long distance calls. With this effort the users can use the phones by keeping them at a distance. A user can also use a phone from a distance by using a wireless headset. 4. It is also believed by the doctors that if a user stays still while using a phone, then the degree of ionizing emissions are comparatively less. 5. A user must have the habit to turn off the cell phones when it is not in use. 6. The users should realize that by using phones that emit less radioactive emissions they can be safe from the health hazards of phones (Alkhafaji, 2003). Conclusion It can be concluded that a few precautionary steps undertaken by the users can significantly help to reduce the problems associated mobile phones. It is also the duty of the company to invent new technologies that generate less radioactive emissions. Mobile phones have become indispensible gadgets in the current epoch. However it is also true that the rising health problems with its usage have become a socio-political issue. Vodafone is a company enjoying high brand value and a wide base of loyal customers. If it can introduce certain campaigns to make the consumers aware about the necessary precautions then it can surely solve this impending socio-political issue pertaining to its business. Reference List Agar, J., 2013. Constant Touch: A Global History of the Mobile Phone. London: Icon Books. Alkhafaji, A. F., 2003. Strategic Management: Formulation, Implementation, and Control in a Dynamic Environment. 21st ed. London: Routledge. Cakir, A. and De Pablos, P. O., 2011. Social Development and High Technology Industries: Strategies and Applications. Pennsylvania: Idea Group Inc (IGI). CIA, 2013. The World Fact Book. [online] Available at [ Assessed 16 November 2013]. David, F. R., 1986. Fundamentals of Strategic Management. Columbus: Merrill Pub. Co. Davis, J. R., 2008. Does Environmental Scanning by Systems Integration Firms Improve Their Business Development Performance? Michigan: ProQuest. Hitt, M. A., Ireland, R. D., and Hoskisson, R. E., 2009. Strategic Management: Competitiveness and Globalization : Cases. 8th ed. Connecticut: Cengage Learning, Janczak, S., 2005. The Strategic Decision-Making Process in Organizations. Problems and Perspectives in Management, 3 (2005), pp. 58-70. Johnson, G., and Scholes, K., 1993. Exploring Corporate Strategy. 3rd ed. New Jersey: Prentice-Hall. National Cancer Institute, 2013. Cell Phones and Cancer Risks. [online] Available at: [Accessed 14 November 2013]. Vodafone, 2012a. Our Company History: Vodafone through the Years. [online] Available at: [Accessed 14 November 2013]. Vodafone, 2012b. Welcome to the Responsibility Store: Old phones help WWF. [online] Available at: [Accessed 14 November 2013]. Read More