Skype’s new business

Table of content:

Executive Summary 03

Introduction 04

Main Body of the Report 04

Skype, A great technology 04
Let see now the SWOT analysis for Skype 05
Porter‘s five forces 06
Skype’s Customers 06
Skype’s Competitors 07
The environment 08
The new business 09
My strategy 10
Theresult 11

Conclusion 11

Recommendations 12

Bibliography 13

Appendices 14

Executive Summary:

Skype is a nearly 7 years old company based on a particular technology and protocol named VoIP (voice over Internet Protocol). Skype is an alternative to communicate with friends, family or for work. The aim is to use internet technology tomake call, Visio call, or multi personal call (conferences)… Skype got some issues because even if some years ago he was alone on the market, he lived on his strong model, but now on the numerical way of life he has to change something. Competitors are coming, substitution product appears, and Skype always has to innovate. Where are opportunities? How make business, earn money?
In this assignmentwe will have a global view of Skype, his market and environment. How is based Skype model, what is the strategy, how it makes money… Then we will talk about the market in general with numbers, figures, etc. We will focus on one particular country and evaluate competitors, possible partnership… Then we will propose a new strategy for Skype and try to make this strategy a blue ocean one whichinclude VOIP model and can allow Skype make more cash.

Introduction:

The country chosen is France, and now main questions are to know how was the market, what can we do now and are there any opportunity for the future of VOIP and Skype particularly. Main opportunities for modern business are based in IT, and the most advance you are the better in business you will be. Is VOIP a great thing oris it only a gadget which adds little value to your product? Can we really see Skype as a profitable business model? Is the market still increasing?
First of all we will see the particular business model of Skype, how it makes money, and some result of past business, with the background, customers, and competitors. Then we will focus on the market with principal actors, the environment, keyplayers. After we will try to make entry market strategies to a specific target choose strategically, with some partnership or others tactics. After this threes part we will have the conclusion and my recommendations.
During this study a lot of marketing tools will be used to help the construction of the strategy, and have a better view of how we can succeed in our job which is help Skype.

MainBody of the Report:

Skype, a great technology:

First of all, Skype was tools developed to communicate and chat with people around the world. Instead of having phone, if you got internet, a computer, a camera and a microphone you can talk everybody. For free if both having Skype or you pay for call private phone or mobile phone.

This tools sea an incredible growth and on the Englishwikipedia we could find that we have 100 millions of users in only 3 years of launch. As internet was developing Skype developed itself too with the help of internet 2.0 the numbers of users increased, as the number of platforms where we can found/use Skype (Computers, Smartphone, Video game console as PSP of Sony…).Everybody who got internet can have and use Skype and as most and most people from 2003to 2010 got internet the potential users growth significantly and the help of the development of the internet mobile as the 3G. Now, always on the English wikipedia history of Skype, we have more than 406 billion of international call for a total of 54 billion minutes.

In 3 years the revenue was multiply by 6 from 35 million dollars the first quarter of 2006 to 185 million dollars the third…