Verizon Porter's 5 Forces

Verizon Communications, Inc. is the largest wireless telecommunications service provider in the United States. The company dominates the industry with a market share of 33%, (cite) and achieves this through an expansive network coverage as well as a strong reputation for outstanding customer service. There are many external factors that influence Verizon’s opportunities for growth and expansion that can be identified through frameworks such as Porter’s Five Forces and the PESTEL Analysis. The most relevant factors for Verizon’s current problem include the competitive rivalry within the industry, the bargaining power of buyers, and technological and sociocultural factors. The competitive landscape of the wireless telecommunications industry is likely to intensify and leaders in the industry are competing to retain and gain customers in new and innovative ways. One of the biggest forces driving this competition is the drive to beat competitors to the punch in terms of expanding network coverage, increasing network speed, and the development of new technologies. It is extremely important for Verizon to anticipate and act before their competitors to keep their position as the nation's leading wireless service provider. Verizon’s main competitors have invested large amounts of capital into catching up with their network coverage, and

There are a large number of service providers available for consumers to choose from depending on their wants and needs regarding network coverage and data plans. The cost of switching carriers is now lower than ever before, and many of Verizon’s competitors will cover these costs in return for new business. Additionally, many consumers are becoming more price-sensitive and may decide to switch carriers if they believe the opportunity cost of a lower price outweighs a minute decrease in network