Wind Mobile: Competing in the Canadian Telecom Industry
(7 pages of text)
This case looks at how a new entrant into a market dominated by three established incumbents can win consumer support. Wind Mobile, a new entrant in the Canadian telecommunications industry, not only has to compete with rivals Bell Canada Enterprises Inc., Rogers Communications and Telus Corporation but also confronts Canadian regulations concerning foreign ownership. Although the regulatory body, the Canadian Radio-television and Telecommunications Commission (CRTC), has ruled that Wind is not Canadian controlled, the Conservative government of the day supports the company and the liberalization of the market. The contradictory stances of important regulatory players leaves considerable confusion as to the right of Wind to compete. In addition to its legal challenges, Wind has to secure customers and takes an aggressive stance against the incumbents, who deploy a variety of tactics, including fighter brands and long-term contracts, to retain their customer base.
The case considers how a new entrant might enter the market, competing against big, incumbent companies and how these companies might respond. At a broader level, the case considers the purpose of competition, who gains and who loses and how competitive considerations impact on important public policy decisions.
Information, Media & Telecommunications
Canada, Large, 2012
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