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Safaricom, Airtel buy out Yu mobile
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Murang'a
#31 Posted : Monday, March 03, 2014 8:51:15 PM
Rank: Member

Joined: 3/3/2014
Posts: 131
MaichBlack wrote:
VituVingiSana wrote:
mlennyma wrote:
Why is the advert only talking about safcom and not acrossboard?are there no other players?
Why is that offensive?

Seriously @vvs??? They are DIRECTLY attacking Safcom! Or what qualifies as 'offensive' in your book? It's like going for an interview and instead of talking about what you can bring to the company you start bad mouthing one of the interviewees!!!

Anyway, Airtel [Or whatever name the company was going by at the time] tried it - with a bigger war chest - and failed miserably! I can still remember the [two - three] full page ads!

But this ad has led to increase in orange subscribers, although as secondary obvius if not tertiary...
IMITATION IS LIMITATION
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VituVingiSana
#32 Posted : Tuesday, March 04, 2014 12:45:16 AM
Rank: Chief

Joined: 1/3/2007
Posts: 18,361
Location: Nairobi
MaichBlack wrote:
VituVingiSana wrote:
mlennyma wrote:
Why is the advert only talking about safcom and not acrossboard?are there no other players?
Why is that offensive?

Seriously @vvs??? They are DIRECTLY attacking Safcom! Or what qualifies as 'offensive' in your book? It's like going for an interview and instead of talking about what you can bring to the company you start bad mouthing one of the interviewees!!!

Anyway, Airtel [Or whatever name the company was going by at the time] tried it - with a bigger war chest - and failed miserably! I can still remember the [two - three] full page ads!
That's a comparison. Is Orange lying? There is nothing offensive in comparing prices/costs. We do that all the time. We have spreadsheets [which are shared] that compare prices of land, rents, investments, shares [PER, P/B, ROE, ROA] so we can make the BEST decision.

Orange is not saying that Safaricom is providing sub-standard service without proof. Orange is using PUBLISHED tariffs that are provided by Safaricom.

And it is choice. You do not have to switch to Orange for cheaper rates. I know many who have 2 lines and have started using their Orange line to call me. I too keep 2 lines. Airtel for cheaper international [including EAC] calls and much cheaper roaming especially within the One Network. I use Safcom for the wide coverage of 3G and M-Pesa.

I want to know if there are deals and ads are a good way to inform me abut them.

Until Airtel brought prices down, Safaricom [the owned by Mobitelea, Vodacom & GoK] was screwing us. I recall how it fought tooth & nail to keep interconnection rates very high. I have paid KES 25/minute for calls. And these were Safcom to Safcom!!!

If Safaricom is the BETTER network, let Orange make all the comparisons. Does it diminish Safaricom?
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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  | | Edit by user: Tuesday, March 04, 2014 12:53 AM | Reason: Not specified
murchr
#33 Posted : Tuesday, March 04, 2014 1:09:35 AM
Rank: Elder

Joined: 2/26/2012
Posts: 15,980
Murang'a wrote:
MaichBlack wrote:
VituVingiSana wrote:
mlennyma wrote:
Why is the advert only talking about safcom and not acrossboard?are there no other players?
Why is that offensive?

Seriously @vvs??? They are DIRECTLY attacking Safcom! Or what qualifies as 'offensive' in your book? It's like going for an interview and instead of talking about what you can bring to the company you start bad mouthing one of the interviewees!!!

Anyway, Airtel [Or whatever name the company was going by at the time] tried it - with a bigger war chest - and failed miserably! I can still remember the [two - three] full page ads!

But this ad has led to increase in orange subscribers, although as secondary obvius if not tertiary...


Oh really? Do u have the numbers?
"There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
.
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hisah
#34 Posted : Tuesday, March 04, 2014 3:42:36 AM
Rank: Chief

Joined: 8/4/2010
Posts: 8,977
The vicious price war damage was a heavy blow. The regulator performed poorly back then. Monkey business indeed...! Did it ever pay corp taxes?

$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
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  | | Edit by moderator: Tuesday, March 04, 2014 7:26 AM | Reason: picture size
Aguytrying
#35 Posted : Tuesday, March 04, 2014 8:21:47 AM
Rank: Elder

Joined: 7/11/2010
Posts: 5,040
Yu fought a good fight. came in pinching I mean punching and continued until they were eventually knocked out. airtel has been fighting for many rounds and have lost so much money and time.
The investor's chief problem - and even his worst enemy - is likely to be himself
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mlennyma
#36 Posted : Tuesday, March 04, 2014 9:13:14 AM
Rank: Elder

Joined: 7/21/2010
Posts: 6,194
Location: nairobi
Sometimes people just want to argue,Go to the market and start criticising what other people are selling in the same market even if its true they will beat you like a burukenge because its offensive.promote what you sell without mentioning mine.
"Don't let the fear of losing be greater than the excitement of winning."
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Lolest!
#37 Posted : Tuesday, March 04, 2014 9:41:07 AM
Rank: Elder

Joined: 3/18/2011
Posts: 12,069
Location: Kianjokoma
mlennyma wrote:
Sometimes people just want to argue,Go to the market and start criticising what other people are selling in the same market even if its true they will beat you like a burukenge because its offensive.promote what you sell without mentioning mine.

This happens a lot where there is a dominant player and others playing catch up. You win them over by showing them waht difference you offer from the dominant player. Rem SG vs NMG over newspapers last year?
Laughing out loudly smile Applause d'oh! Sad Drool Liar Shame on you Pray
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MaichBlack
#38 Posted : Tuesday, March 04, 2014 10:38:13 AM
Rank: Elder

Joined: 7/22/2009
Posts: 7,869
murchr wrote:
Murang'a wrote:
MaichBlack wrote:
VituVingiSana wrote:
mlennyma wrote:
Why is the advert only talking about safcom and not acrossboard?are there no other players?
Why is that offensive?

Seriously @vvs??? They are DIRECTLY attacking Safcom! Or what qualifies as 'offensive' in your book? It's like going for an interview and instead of talking about what you can bring to the company you start bad mouthing one of the interviewees!!!

Anyway, Airtel [Or whatever name the company was going by at the time] tried it - with a bigger war chest - and failed miserably! I can still remember the [two - three] full page ads!

But this ad has led to increase in orange subscribers, although as secondary obvius if not tertiary...


Oh really? Do u have the numbers?

You took the words out of my mouth!!! I would also like to see the numbers!

Kenyans are not going to migrate because of Kshs. 1/= a minute difference! They refused to migrate when the difference was bigger, sembuse sasa??
Never count on making a good sale. Have the purchase price be so attractive that even a mediocre sale gives good returns.
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muraggz
#39 Posted : Tuesday, March 04, 2014 11:11:55 AM
Rank: New-farer

Joined: 3/29/2012
Posts: 12
VituVingiSana wrote:
That's a comparison. Is Orange lying? There is nothing offensive in comparing prices/costs. We do that all the time. We have spreadsheets [which are shared] that compare prices of land, rents, investments, shares [PER, P/B, ROE, ROA] so we can make the BEST decision.

Orange is not saying that Safaricom is providing sub-standard service without proof. Orange is using PUBLISHED tariffs that are provided by Safaricom.

And it is choice. You do not have to switch to Orange for cheaper rates. I know many who have 2 lines and have started using their Orange line to call me. I too keep 2 lines. Airtel for cheaper international [including EAC] calls and much cheaper roaming especially within the One Network. I use Safcom for the wide coverage of 3G and M-Pesa.

I want to know if there are deals and ads are a good way to inform me abut them.

Until Airtel brought prices down, Safaricom [the owned by Mobitelea, Vodacom & GoK] was screwing us. I recall how it fought tooth & nail to keep interconnection rates very high. I have paid KES 25/minute for calls. And these were Safcom to Safcom!!!

If Safaricom is the BETTER network, let Orange make all the comparisons. Does it diminish Safaricom?


i was of similar opinion, Orange is not out there to beat Safaricom, it can never! It is out there to gain more customers, "secondary customers" as they have been called smile
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MKWASI
#40 Posted : Tuesday, March 04, 2014 6:00:56 PM
Rank: Member

Joined: 4/20/2012
Posts: 888
VituVingiSana wrote:
MaichBlack wrote:
Safcom can afford to buy both the infrastructure and subscribers [prefix] - easy! Why didn't they??? They knew they could get them for free and some of them already have a Safcom line as their primary line anyway! I suspect the subscribers were offered to Airtel AFTER Safcom REFUSED to 'buy' them.

And I don't think it has anything to do with fair competition rules. The two major players ganging up to buy the third major player is worse than the major player buying the third major player. The former might even be characterized as cartel like behaviour!!!
Safaricom cannot buy YU's subscribers since it would be blocked by the Competition Commission since SafCom has 65% of the market.

By giving Airtel the customers, Safcom eliminates a competitor with infrastructure [by buying out the infrastructure], and keeping the Competition authorities off it's back. Buying infrastructure is not 'illegal' but buying customers probably is for Safcom.

The loser is Equity.


Methinks as a country we lost. The current tariff charges are way too high. Mpesa services is pure theft. As a user, I would wish there are many players. Equity should have come on board to try and revolutionise this industry. This is a just a 'Monopoly' although in economics an oligopoly.
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