Sunday, January 5, 2020

The Impact Of Smartphone Industry On The United Kingdom...

Introduction This report investigates the smartphone industry in the United Kingdom and Germany between 2007 to 2015. I will identify which country is performing the best for the industry and will make a recommendation on which country the business start-up in. I will consider the industry by comparing the companies with the country’s market and state which one had done better. I will explain which PESTL factors influenced the industry for both countries and will explain why the economic recession impacted the industry. Findings and discussion Market Sizes Market sizes for Germany Germany has seen an overall growth in the smartphone market industry, growth of 3,148,100 units in market size from 24,311,000 units in 2007 to†¦show more content†¦United Kingdom Economic The economic crisis had taken place in this period which lead to fewer sales of the smartphone. (Phys.org, 2017) This lead to less demand for the smartphone as people have less money to spend so the sales had fallen. Britain officially entered recession on 23 January and the economy had shrunk through the last two quarters of 2008. Which would explain why the market share went in a decline after 2008. (Wearden, 2017) (Tradingeconomics.com, 2017) This line graph from the trading economics website shows the GDP growth rate per year from 2007 to 2015. GDP stands for Gross Domestic Product and it measures the value of the goods and services produced in the economy, the value of goods and services purchased by the households and by government and the income generated from profits and wages. (BBC News, 2017) this is used to determine the health of the economy As the line graph shows in 2008 the economy had shrunk through the last two quarters which could be the reason why the smartphone market decreased. (Positive Money, 2017) The reason to why the economy was at a poor state was because the banks created a lot of money to give out a lot of mortgages and secured loans known as the Subprime loan. 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