The Condition of Telecommunication Industry in the UK - Dissertation Example

The paper 'The Condition of Telecommunication Industry in the UK' is a great example of a finance and accounting dissertation. The purpose of the report is to critically analyze the telecommunication industry's condition in the UK with the help of three companies, namely Vodafone Group Plc, BT Group Plc, and KCOM Group Plc. The report provides shreds of evidence from the UK telecommunication market by providing a wider view through Porters’ five forces and PEST analysis. This aims to provide a clear description of the telecom market in the UK and whether the companies' performance contributes towards the development of the economy.

The financial ratio depicted three companies' financial health, and the values are compared to understand the leader of the market. However, the non-financial ratios are also examined to understand the companies' overall performance and their contribution to the industry. The report's findings highlight the fact that Vodafone is the market leader in the UK telecommunication industry as per its financial and overall strength. In this light, it is recommended that there is a wide scope of improvement for the other two companies BT Group Plc and KCOM, Plc, to earn maximum profit in the UK market.

The telecom industry of the United Kingdom is considered to be one of the largest in Europe. Consequently, it is characterized by strong competition in broadband and mobile sectors and an innovative broadcast sector known for pioneering business models associated with digital content distribution. Studies suggest that broadband and mobile penetration in the UK alone is relatively ahead of Europe’s average (Deshpande, 2013). Telecommunications is one of the growing and significantly important sectors of the UK economy.

The industry's growth was around 10% and 4% in 2006 and 2007, which, however, declined by about 6% in 2008 and 2009 (Global Business Browser, 2014a).A study by Global Business Browser (2014a) suggests that in 2012, the UK telecom industry's net worth was $52.8 billion with about 116.2 million subscribers.