And at the other end of the quality
niche/high price to volume market/low price
spectrum, Vodafone and its competitors are
perforce engaged in a fierce battle for share in
a market where economies of scale are essential
to both the bottom line and achieving the
margins that finance service improvements.
Reuters, too, is well aware that the success
of new products depends on market acceptance,
which in turn requires a critical mass of
subscribers to the service. In the case of dealing
products, for example, take-up by key
players in the markets makes it easier to sell
the service to other customers. At the same
time, the usefulness of the product or service is
often determined by the number of computer
terminals using it. The issue, then, is a combination
of customer care and customer count.