Rogers Communications

Introduction: Primary Market Problem
In 1995 a changing regulatory environment is compelling Rogers Communications, one of Canada’s largest industrial corporations, to consider the prospect of market share erosion in its cable television division. Political climate changes aside, management views increasing Internet usage among consumers as both a possible opportunity and a threat to advancing the mission of the firm to gain competitive advantage through the delivery of information and entertainment. Primarily, Rogers confronts whether to seize first-mover status and make the necessary investment to provide Internet access over the firm’s own cable wires.
Introducing WAVE, or broadband Internet access to PC users with modems, in the Newmarket suburb of Toronto represents a diversification strategy for growth. Based on figures provided in the case, we derived a market size calculation (Exhibit A) used in our analyses. Rogers needs to identify project goals, and determine which ma...