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Virgin Mobile Entry Into Usa

Virgin Mobile - Entry into USA

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Title: Virgin Mobile - Entry into USA

Essay Details:

Subject: Business

Author: Pauline F

Date: August 15, 2016

Level: University

Grade: A

Length: 5 / 1438

Essay text:

The 4 big players have a customer base of about 66% of the total cellular subscribers in US with the rest being catered to by a large number of other players. Incumbents have a distinct competitive advantage over the new entrants as they have already captured the bulk of the high usage credit worthy customers. Average Revenue per user (ARPU) for these carriers is approximately $52 per month which represents the premium customer base in the population. The incumbents have been focusing on customers with good credit history as they believed that the high acquisition costs, high service costs and irregular and low usage business offered by people in the younger segment as also customers with poor credit scores did not warrant targeting and acquiring them...

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