Reply to post: Re: Smash and grab

EE buys 58 Phones 4u stores for £2.5m after picking over carcass

Steve Todd Silver badge

Re: Smash and grab

EE would have been competing with its self. If P4U were selling contracts for the other 3 networks also then you would have had competition and it was about the best deal you could get. CPW still do that. When P4U lost O2 then the choice between Voda and EE limited that competition and made them less valuable. When Voda dropped their contract it would have made P4U an EE only outfit, your choice being buy from EE or P4U (with little or no discount). The cost of doing business with P4U became more than the business was worth.

As it is the 4 networks still compete among themselves, and MVNO's fight for a slice. There are many phone stores available and CPW still offers the full choice of networks in one place. P4U has been the victim of its own management greed in that they left it little room to manoeuvre on prices, and that's what killed it.

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