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| Topic: |
Business
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| Number of pages / Number of words: |
28 / 7609 |
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Furthermore, we discover that a number of strong forces, such as suppliers’ bargaining power could potentially undermine the future of the Distribution unit. Vodafone’s exclusive contract with Phones4U, combined with the possibility of consolidation among CPW’s main suppliers make the Distribution unit vulnerable to factors outside its control...
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These include developing the Telecoms brand via CPW’s current distribution channels and selling off of the Distribution business to reinvest in Telecoms and reinforce its growth. Our analysis of CPW’s financial ratios and operations shows that the margins for the Distribution division have remained flat over the years whilst the Telecoms division has seen growth in its contribution margins...
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