Analysis of Vodafone’s internationalisation process into Germany from the Uppsala Internationalisation Model
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Course
(MAN2142)
Institution
University Of Surrey (UNIS)
This 14 page document includes an essay around Vodafones internationalisation process into Germany by using the Uppsala model. It provides an executive summary, abbreviations, introduction, overview, methodolody, analysis of the method, recommendations, conclusion and references - along with suppor...
Analysis of Vodafone’s internationalisation process into
Germany from the Uppsala Internationalisation Model.
Topics in International Business: MAN 2142
Word count: 2,488
, Abstract
This report discusses Vodafone’s internationalisation into Germany, analysing state and
change variables of the Uppsala Internationalisation Model (Vahlne and Johanson, 2013;
2017). Vodafone has internationalised into markets worldwide however the M&A with
Mannesmann in 2000 provided Vodafone with access to reach their vision of becoming “the
world’s largest leading wireless telecommunications and information provider” (Vodafone,
2000 – A). This was “the world’s biggest merger” in the Telecommunication industry,
providing Vodafone with access to the European market through Mannesmann links and
subsidiaries (Irish Times, 2000).
The integration of network positioning allowed for the creation of dynamic capabilities from
their entrepreneurial culture. This created competitive advantage within Europe from their
technological capabilities and the exploitation of Mannesmann resources, establishing their
extensive wireless coverage within the European market (Anwar, 2003). The FDI benefits on
the host nation provided Vodafone with increased availability for infrastructure and access to
established networks. However, Vodafone’s entry contradicted Vahlne and Johanson 2013,
as the hostile takeover did not create trust. As a result, this increased uncertainty from
stakeholders and the deal was only settled four days before it was due to expire (Andrews
and Sorkin, 2000). However, the M&A was successful as in 2020 Vodafone’s revenue in
Europe was €33.793 billion (O'Dea, 2021 – B). Therefore, they continue to build Partner
Networks and maintain competitive advantage from the Uppsala Internationalisation Model
through their internal resources by using the Resource Based View to create dynamic
capabilities.
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