The wireless communication and data market in the U.S. is dominated by AT&T and Verizon — with upstarts Sprint and T-Mobile fighting to hang in there. The marketing strategies used by these four companies have been very similar — with AT&T and Verizon winning because they have better technology (network) and received earlier access to the popular iPhone. Now T-Mobile is coming in to change the traditional business model. They are doing it with lower prices and new practices. This extended article at Bloomberg Businessweek, “T-Mobile’s Wacky Plan to Trash the Wireless Business Model” (October 31, 2013) describes the industry and T-Mobile’s disruptive strategy.
Most of our students are active consumers in this market and have some interest in how this plays out. So it might provide some food for discussion. This could fit with a discussion of differentiation and positioning or with price (lower prices and new pricing models are at the heart of T-Mobile’s plans).