Vodafone Exits Japan

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Case Details:			Price:
Case Code	:	BSTR286	For delivery in electronic format: Rs. 300; For delivery through courier (within India): Rs. 300 + Shipping & Handling Charges extra Themes International Business \| Globalization Business
Case Length	:	15 Pages
Period	:	1999-2006
Pub Date	:	2008
Teaching Note	:	Not Available
Organization	:	Vodfaone
Industry	:	Telecom and Broadband
Countries	:	Japan

Abstract:

Vodafone, a UK-based mobile telecommunication company, entered the Japanese cellular market after it acquired a 26 percent stake in J-Phone, through the acquisition of Airtouch. J-Phone was the third largest player in the Japanese cellular market. Vodafone went on to acquire a controlling stake in J-Phone in 2003. The case details the problems that Vodafone faced in the country due to competition from local players like NTT DoCoMo and KDD, who provided better services and a superior range of handsets, and due to a delay in its rolling out 3G services. It attempts to analyze the reasons for Vodafone's poor performance in the Japanese market.

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It concludes with a brief discussion on Vodafone's agreement with SoftBank under which it can continue to have access to one of the most developed cellular markets in the world.