Verizon Communications SWOT & PESTLE Analysis

Verizon Communications Inc along with its subsidiaries is one of the world’s leading providers of communications, information and entertainment products and services, digital media, the Internet of Things and broadband services through wireless and wireline network. Verizon is the second largest communication company after AT&T based on its revenue. The company's target segments are Mobile users, businesses and governmental agencies.
The SWOT analysis of Verizon Communications shows that the company has some outstanding strengths that contribute to achieving a sustainable growth in the telecom industry and some great opportunities that can be harnessed for further growth and expansion. The SWOT report further confers intelligence on the weaknesses and threats that the company confronts being in such a highly competitive environment.
Verizon's greatest strength is being the largest wireless carrier in the US, with the strongest market share in the wireless sector. The company offers outstanding innovative solutions. The telecom giant witnessed immense growth in 4G LTE network followed by which Verizon is an industry leader and pioneer in offering 5G Networks. Another key strength of the company is that it has distinct business units operating in various segments like wireless, wired, fiber network, high speed internet, enterprise solutions etc.
Apart from its unique business model and business segment, multiple factors like high brand equity, excellent margins, strong market share, great quality of service, loyal customer base, strong employee base etc., continue to strengthen the company.
The company faces trouble from its weaknesses like over dependency on the US market confining its sales, higher pricing compared to rival brands, competitive brands offering better subscription plans etc.
By using sensors in asphalt and roadside cameras Verizon is contributing in making cities much greener, as these sensors help in trimming traffic jam and reducing carbon emission. These types of projects have huge opportunities in countries outside the US too. Some of the other exceptional opportunities for Verizon are international expansion, growth in 5G Networks, internet of things, improvising and expanding services.
Telecom Industry is one of the highly competitive industry and Verizon faces threat and stringent competition from the world's largest communication company, AT&T and other rival brands. Other pertinent threats to telecom industry and largely to Verizon are security threat in network and information technology, threat from hackers leading to comprising of sensitive information etc.
The SWOT analysis for Verizon Communications is presented below in the SWOT Matrix followed by detailed analysis:

Strengths	Weaknesses
1. Good Financial Performance 2. Complementary Ad Technologies, Potential Cost Synergies	1. Late entry in unlimited data space 2. Less emphasis on R&D and innovation 3. Higher price compared to other players 4. User inconvenience
Opportunities	Threats
1. Potential in Emerging Markets 2. Diversify 3. Marketing Platform 4. Inbound marketing 5. Corporate Services	1. Established major content providers 2. Price pressure from industry 3. Cannibalization due to VOIP

Detailed SWOT Analysis of Verizon Communications

One of the most important sector under the telecommunications industry is the information and communication technology, which plays a significant part in the progression of mobile communications and the information society. Currently, the telecommunication industry is undergoing a transformational phase for growth and development, this is influenced by the most trending factors like 5G Networks, IoT(Internet of things), Artificial Intelligence, demand for safe, reliable and high-speed services. However, as the advancement in technology is getting intricate, the complexity level in offering services is increasing for the telcos. Also, the telecom industry faces certain perils like compromising with margins in order to provide quality services, the digital transformation of organization bears high maintenance and operational cost, increase in financial overhead due to rendering complex services. The PESTLE analysis manifests a discussion on the other external influencers like political, economic, social, technological, legal and environmental, their consequence on the telecom industry and extensively on Verizon Communications, its market strategy, and growth trajectory.
The PESTLE / STEEPL / PEST analysis report is a structure to explore external factors influence on the macro environment that influences the business of the Verizon. The PESTLE analysis is a useful technique to study the impact of influencers on Verizon’s business model and business case study.
The telecom industry has always been influenced by regulations and government interventions. The industry attracts political risks that revolve around factors like national security and human rights. Verizon being a big player in this industry is compelled to be influenced by political and legal factors. Aiming to expand its footprints internationally Verizon has to abide by laws and regulations like network licensing, tariff rates, trade barriers etc., imposed on the telecom industry by global and local government bodies.
Hurt by the economic recession the telecom industry has blossomed post the recession. The socio-economic factors are in favor of the telcos with an increase in incomes and standard of living consumers are not restricting in spending on their telecom expenses. Social media platforms, YouTube, Netflix, Amazon Prime etc., are widely used digital media these days and all the video data platforms need high-speed 4G and 5G internet hence is a great opportunity for telecoms. Telecom industry runs on technology and is highly influenced by current technological trends like digitization, high usage of computers, IoT, Artificial Intelligence, 4G and 5G networks and cloud computing. Verizon is showcasing its responsibility towards a better and greener environment in various forms like opting for renewable sources of energy, initiatives of reducing carbon footprints by 50% by 2020, reducing consumption of water and encouraging consumers to recycle e-waste by promoting its 'Device Recycling Program'.
The PESTLE/ STEEPL / PEST analysis for Verizon Communications is presented below in a nutshell followed by the detailed analysis:

Political	Economical
1. Verizon Good Government Club 2. Contributions to election parties	1. Increasing internet usage. Increasing prevalence of internet 2. New acquisitions
Social	Technological
1. Verizon Innovative Learning Education 2. HopeLine	1. Technological innovations and upgrades 2. Enterprise Cloud services
Legal	Environmental
1. Verizon vs. FCC	1. Reducing carbon foot printing 2. Recycling devices

Detailed Pestle Analysis of Verizon Communications

The SWOT and PESTLE Analysis report of The Verizon Communications provides the following key benefits:
1. The SWOT and PESTLE analysis report of Verizon Communication presents an understanding of the complex internal and external factors affecting the brand and its operations.
2. The SWOT and PESTLE are the strategic tools that help to test waters for the telecom industry, particularly Verizon communications.
3. The SWOT report bestows an in-depth analysis of the internal factors like the strengths and weakness of Verizon and provides strategic intelligence on opportunities based on current trends in the telecom industry.
4. The external analysis of Verizon's macro environment highlights the pertinent threats, pricing pressures and the wars for capturing market share in the telecommunication industry.
5. The summary of strategic initiatives that were taken by Verizon to stay ahead of its peers and competitors and attain a competitive advantage.
6. The PESTLE analysis of the telecom industry helps to recognize the factors that impact the telecommunications market.
7. Employment of the PESTLE/ PESTEL/ STEEPL analysis for overall analysis of all external factors namely, political, economic, social, technological, legal and environmental and highlighting their outcome on the operation of Verizon.
8. An extensive view of the business model of Verizon Communications with further categorization and examination of key business segments and business case study.
9. Intelligence on Verizon’s mergers and acquisition, its subsidiaries, capital raising and equity, partnership and alliances that were subscribed by Verizon to achieve its milestones, business aims, and synergies.
10. A succinct summary of Verizon’s founders, its corporate headquarters and revenue jumps, followed by comprehensive company analysis to obtain company information, company profile, business model, marketing and growth strategy.
11. A glimpse of Verizon's USP or unique selling proposition, mission statement, and vision statement with exposure to Verizon's value proposition, key performance indicators, success factors, and core competencies.