Graded Homework

Nokia is putting new technologies over cell phone covers, which can transmit data to any MasterCard-supporting device. Cell phone covers no longer serve as just mere removable facades or add-ons to personalize your phone, now they can server to be your very own digital payment devices. Nokia is currently testing specially made cell phones in retail stores, restaurants, and other sales establishments in several U. S. cities. Soon we are going to see people waving their cell phones, not just to get somebody’s attention, but also to make a credit card payment.

MasterCard, which has developed the technology that allows devices to communicate merely by tapping one device with the other, is taking the next step towards making cell phone covers and credit card readers communicate wirelessly. MasterCard is also developing new credit card technology that allows the credit card to be read without being swiped on a reading machine. Your case study should address these three questions:

1. Do you view this technology as a potential threat to traditional telephone companies? If so, what counter strategies could traditional telephone companies adopt to prepare for this technology?
2. Using Porter’s Five Forces describe the barriers to entry for this new technology.
3. Which of Porter’s three generic strategies is this new technology following?

INSTRUCTIONS:

* Essay should be no less than 400 words in length.
* Essay will be formatted in APA style.
* Correct grammar, spelling, and punctuation are expected.
* Cite references as appropriate.
*Create your assignment as a Word Document file type