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Company: Vivendi (EPA: VIV)
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edit Vivendi threatened by digital piracy

Top Contributor: Avinash Gandhi | Created when EPA: VIV was $0.00 | Edit | History

Increasing rates of digital piracy are forcing Vivendi to spend precious research money on figuring out how to stop the loss of potential revenues in the music, television, and video game businesses. Efforts so far have not been successful; both piracy and attempts to stop piracy incur higher costs, lowering profitability.

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edit Vivendi to face greater competition

Top Contributor: Avinash Gandhi | Created when EPA: VIV was $0.00 | Edit | History

Increasing worldwide demand for telecom technologies means that telecom infrastructure is being laid down in many developing regions. Once infrastructure is established, the cost of market entry suddenly drops, and the market becomes more competitive; newer, smaller firms gain the ability to compete effectively because of lower prices and greater product focus.

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edit Vivendi is handicapped by its potential liabilities

Top Contributor: Avinash Gandhi | Created when EPA: VIV was $0.00 | Edit | History

Vivendi is often subject to antitrust investigation and prosecutions; because of this, the company spends large amounts of money on litigation and foregoes large amounts of revenue in order to prevent possible litigation. This limits Vivendi's expansion possibilities and lowers profitability.

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