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Spanish Telecommunications: Telefnica UK Limited - Case Study Example

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The paper “Spanish Telecommunications: Telefónica UK Limited” evaluates the acquisition of the O2 by the by Telefonica. The paper based on analysis of an organizational development situation takes into account the reasons for the change and the factors…
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Spanish Telecommunications: Telefnica UK Limited
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Download file to see previous pages Afterward, the company assumed the role and rank of the number is the largest mobile and telecommunications service provider in the United Kingdom immediately after EE Limited which has its headquarters in the slough. The company now brags of 21,580 as according to 2013 and a total of £2.973 billion revenue as according to 2010 valuation (Tarrant, 1978).
The company was initially founded as a Cellnet company in the year 1985 by John Carrington and later. In the highlight of the systematic changes of the company which ended in the eventual acquisition by the Spanish company Telefonica extreme relevance is placed on the background to the firm, issues the firm needs to tackle, Proposed Change , Barriers and risks to change and ultimately summary or conclusion which highly elaborates on the best exposure of the company. O2 was designed and formed from a joint venture of two companies BT Group and Securicor which contributed a 60: 40 capital on the commencement of its operations in 1985 trading as Cellnet. Furthermore, in 1999 BT group assumed 40% of belonging to the Securicors thus prompting the rebranding of the Cellnet into BT Cellnet. The company eventually launched the initial general packet radio service in 2000 in Germany, Netherlands, and Ireland and introduced O2 the new brand. The acquisition of the O2 came after an agreement signed in 2005, which announced that that the Spanish telecommunications company Telefónica had entered into a deal aimed at acquiring O2.
The deal elaborated a financial price of close to £18 billion and the deal outlined that Telefónica decided to retain the "O2 and also companies main headquarter in the UK (Greiner & Schein 1988). After entailed discussions and negotiations, the Telefonica SA tef -0.13% approved the bid to buy the British cellphone operator for pound; 17.7 billion which translates to $31.4 billion or even euro; 26 billion.  ...Download file to see next pagesRead More
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