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E-Business: Case of Skype

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  1. Introduction
  2. The company and its market
    1. Presentation of the company
    2. Position of Skype on the market
    3. Company's target
    4. SWOT analysis:
  3. Evolution strategies from Skype to develop its product
    1. Market entry strategy of Skype in France
    2. Choice of the Strategy on the French market
    3. Costs for hospitals and the government
    4. Promotional and advertising campaign
  4. Conclusion

In 1870, Alexander Graham Bell created the wired telephone but he never thought that his invention would take such a direction. A few years ago nobody could have imagined that it would be possible to use telecommunication systems without paying anything. With the Internet technologies, the long reign of the phone knowing little innovation during all those years underwent a veritable revolution with Internet and the VoIP.

The personal computer and the Internet 2.0 invention allowed multiple innovations in term of new technologies and for the communication industries. Voice over Internet protocol (VoIP) was the last innovation that offered different possibilities like video communication, voice and text/data capabilities over internet. This new process allows strong business opportunities and served the public interest.

New technologies like those developed by Niklas Zennstrom and Janus Friis who developed Kazaa and Skype, are based on the possibilities that offers the Internet. Skype developed by Skype technologies S. A capitalized on the VoIP trend and gave the possibility to discuss over Internet for free with using a peer-to-peer process (P2P).

[...] o Skype to Go o Receive voicemail o Connect to the internet whit Skype access Presentation of Skype figures The Skype business model is based on free services, Niklas Zennström says, idea to pay for calls belongs to last century?.[3] To understand its strategy let's focus us on the company figures. Since 2011, Skype has officially 663 million users around the world and is one of the most commonly used communication software. In 2009, it was identified that Skype has made 13% of all international call minutes. [...]

[...] Evolution strategies from Skype to develop its product Market entry strategy of Skype in France In the precedent titles we defined Skype's position in the actual world, now we are ready to focus on a market that is unexplored or underdeveloped and develop a new strategy. Skype is a leader in its market but can increase its presence on different market segments to offer more services or to adapt its services to the demand that probably don't know the existence and the efficiency of Skype. [...]

[...] Skype held 54 billions of minutes score among the international Phone traffic score from 406 billion of minutes. We have to keep in mind that the data refer to the year 2009 and there is a lack of relevance considering the recent data. International telephone traffic annual growth has reportedly slowed to a mere 8%. Skype traffic chart[12]: On the chart above we can see that there is a growth of the Skype-to-Skype (S2S) calls. The last 2009 trimester reaches billion minutes of free S2S calls. [...]

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