Summary: Service distribution companies usually consist of one umbrella corporation, such as Comcast, Time Warner Cable, or Cablevision. These companies own a number of smaller subsidiaries, which provide different services. For example, Comcast is an umbrella corporation, which runs Xfinity (the company's internet/telephone/cable provider) and NBCUniversal (which provides cable programming). The umbrella corporation itself still handles many of the operations of the business, primarily the core functions the company was built on. Subsidiaries are usually purchased in mergers and acquisitions.
Most of these companies are multibillion-dollar corporate entities, traded as public corporations on the stock exchange. The majority of these companies are owned by investment institutions. All have traditional corporate structures, with a president, and a board of directors.
Most of these companies are multibillion-dollar corporate entities, traded as public corporations on the stock exchange. The majority of these companies are owned by investment institutions. All have traditional corporate structures, with a president, and a board of directors.
Employment for these companies usually consists of three divisions: management, office workers, and customer service (which often consists of over-the-phone assistance, and physical installation/repair work). The number of employees varies greatly with the size of the company; Comcast, the largest cable provider, employs 100,000 people; Time Warner Cable, next on the list, employs half that number at 47,500; Cablevision, one of the smaller companies, employs only 14,471.
Analysis: These companies have found a strong overall structure, which will greatly help them stay the large and powerful corporations that they are. However, their size does present a challenge to them, as they have to consistently find ways of cutting costs. Comcast, for example, is the largest company, but has a reputation for poor customer service and satisfaction. Additionally, the size of these corporations makes it less likely for truly innovative change to come from within - usually, it comes from entrepreneurial competitors, such as Netflix. While this does not mean that the structure of these companies, or their sizes, is necessarily a bad thing, it is not solely a positive either. It requires a great deal of work on the part of the company to make it work, otherwise, the company will slowly wither away under better competitors.
Sources: http://www.annualreports.com/HostedData/AnnualReports/PDFArchive/twc2010.pdf
http://www.sec.gov/Archives/edgar/data/1166691/000119312511047243/d10k.htm#tx100440_1
http://www.theacsi.org/index.php?option=com_content&task=view&id=86&Itemid=90
Analysis: These companies have found a strong overall structure, which will greatly help them stay the large and powerful corporations that they are. However, their size does present a challenge to them, as they have to consistently find ways of cutting costs. Comcast, for example, is the largest company, but has a reputation for poor customer service and satisfaction. Additionally, the size of these corporations makes it less likely for truly innovative change to come from within - usually, it comes from entrepreneurial competitors, such as Netflix. While this does not mean that the structure of these companies, or their sizes, is necessarily a bad thing, it is not solely a positive either. It requires a great deal of work on the part of the company to make it work, otherwise, the company will slowly wither away under better competitors.
Sources: http://www.annualreports.com/HostedData/AnnualReports/PDFArchive/twc2010.pdf
http://www.sec.gov/Archives/edgar/data/1166691/000119312511047243/d10k.htm#tx100440_1
http://www.theacsi.org/index.php?option=com_content&task=view&id=86&Itemid=90
No comments:
Post a Comment