MBA 515 AT&T vs Verizon Company Comparison – Group Project.Executive Summary
The purpose of this report is to analyze two competitive companies within
... [Show More] the same
industry (AT&T and Verizon) and decide which entity is the superior investment option for an
equity investor based on certain factors. After in depth analysis the company’s background,
finances, potential growth, and risk, we’ve concluded that Verizon Communications has a higher
potential for growth and therefore a better long term investment option for an equity investor.
Company Choices
We chose these two companies because we wanted to have a comparison of companies
that would reflect today’s dependence on technology. Wireless communication is a necessity for
staying connected to the day-to-day happenings. When we thought of companies that are the best
of their respective industries we had to consider those that have the greatest consumer bases with
the highest and most advanced technologies. After discussing a few different ideas we settled on
the two leading companies in the wireless communication industry, AT&T and Verizon
Communications. These companies have many of the same attributes on the surface but they
differ in the details. According to the North American Industry Classification System (NAICS)
these companies are characterized by the same codes. “Providing wired broadband Internet
services via own operated telecommunications infrastructure--are classified in Industry 517110,
Wired Telecommunications Carriers; Providing wired VoIP services via own operated
telecommunications infrastructure--are classified in Industry 517110, Wired Telecommunications
Carriers; Providing expert advice in the field of information technology or in integrating
communication and computer systems--are classified in Industry 54151, Computer Systems
Design and Related Services; and Providing satellite telecommunications services--are classified
2
in Industry 517410, Satellite Telecommunications.” (2012 NAICS Definition) From here these
companies start their differences. They remain competitors through much of their diverse and far
reaching technologies. We chose these companies because they have an array of opportunities
and they are well known. [Show Less]