Sprint And T-Mobile Merger

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Discussion Would you allow this to proceed? Why or why not? The merging of Sprint and T-Mobile is a benefit to the public, as this will lead to increased capacity, which will improve access and convenience to consumers (Daidj, 2015). This is also a boost in the telecommunication market, which will also result in increased innovation in the communication technology market (Daidj, 2015). The merging of these two companies will also lead to saving and better utilization of the limited resources. This will enable the two companies to expand their market share, which will create and improve value to the stakeholders (Daidj, 2015). Merging of two companies is aimed at improving the strength and profitability of the two companies, which results in increased shareholder's returns (Daidj, 2015). When two competitor companies merge, consumers benefit from improved services, which retain the customer base (Daidj, 2015). With a slight difference in their services where T-Mobile focuses on wireless communication where else Sprint provides mobile applications, this merging will improve customer satisfaction. Customers are now able to access all …show more content…

The major reason for the merger between T-Mobile and Sprint is ensuring that American companies remain competitive in the world. This is attributed to the rising competition from Chinese companies, which have also integrated strategies to incorporate the fifth-generation wireless technology (5G). With the threat from Chinese companies, this announcement is meant at persuading the Federal government to approve the deal (Zhong, 2018). This is because a previous attempt to merge the two companies had been previously blocked by government regulators in a bid to protect the citizens of America by arguing that shrinking the telecommunication market would reduce the choices of consumers, which would result in higher prices negatively affecting the consumers (Zhong,