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Beyond the Core: Expand Your Market Without Abandoning Your Roots by Chris Zook

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3

Evaluating Adjacency Moves

Balancing Desire with Data

Vodafone, the global leader in the cellular phone business, made its first call from Parliament Square in London on January 1, 1985, to its headquarters fifty miles away. Since then the company has made a lot of good calls, both over the airwaves and in the boardroom. In 1988, Vodafone and British Telecom were the leading regional cellular carriers in the United Kingdom. At this time, the U.K. market had 480,000 subscribers, of which Vodafone had 264,000. By 2003, Vodafone had grown to become the worldwide leader in cellular services, achieving revenues of $50.4 billion, three times the size of its nearest competitor, while British Telecom has exited the business. In spite of the collapse ...

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