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ASHISH “GURU BHAI “SHARMA!!!!!!!
         Ashishsharma.asm@gmail.com
         Ashish_sharma599@yahoo.com
                 ...
SUMMER INTERNSHIP PROJECT


“TO STUDY OF VAS PRODUCTS IN TELECOM MARKET IN INDIA”
                                        ...
ACKNOWLEDGEMENT

   This is serve gratitude to all those people without whom this PROJECT would have never seen the
  ligh...
TABLE OF CONTENTS




                                                pdfMachine.
                         A pdf writer th...
EXECUTIVE SUMMARY

   I got an opportunity to undergo my summer training in a reputed organization “Bharti Airtel
  Limite...
VAS was Internet Limited!!!!...
  With Mobile Internet MVAS becomes unlimited!!

  As ARPU declines and voice gets commodi...
CHAPTER 1:                  INTRODUCTION




                   Mobile Phone Revolution:
Commenting on the emerging market...
Welcome in the New AVATAR of TELECOM WORLD!
    India entering 2nd stage of “Telecom Revolution “.

         INDIAN       ...
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 ...
Quick Facts: Next Super Power INDIA (March, 2010 )
                                                                       ...
Impact of Telecom Sector on Indian Economy




 Economic Benefits of Mobile Services in India :

  1) Generate Huge Employ...
Indian Telecom Sector
                                        International Telecommunications Union( ITU)


 “The mobile ...
A) History of Indian Telecom Industry & Government Policy.

                           The Indian Telecom Journey:




   ...
B) Policy of Government of India
          Pre-1991                  1991-1994                    1994 - 2002             ...
Ministry of Communication & Information Technology



       Licensor
    Dept of Telecom                         Unified ...
Market Structure of India- (22Telecom Circles)




                                                             Metro cir...
Telecom Growth Comparison:




                                    Mobile Subscriber Growth Chart
                        ...
Different Services of Telecom Sector:




Growth of Telecom Network (PSUs & Private Player ) :




                       ...
Tele-Density Growth in India:




                                                pdfMachine.
                         A p...
Wire line & Wireless in India:




                                                pdfMachine.
                         A ...
FDI in Telecom Sector in India :




                                                pdfMachine.
                         ...
Market Share of Technology & Connection:




                                                pdfMachine.
                 ...
C) Different Players of Indian Telecom Industry
There are three types of players in telecom services:

• State owned compa...
Market Share: Bharti Airtel Market Leader With 21.84 % Market Share in India




                                         ...
Battle of Brands- Get Ready for Third World War !!!!!!




Thirteen Operators causing Ripple Effect & demanding for Innova...
1st Player – Bharti Airtel
                                                                     GSM PLAYER- PAN 23 CIRCLES...
2nd Player- Reliance Communications
 Type                 Public BSE: 532712
 Industry             Telecommunications
 Fou...
3rd Player- Vodafone Essar


 2nd Rank in Telecom GSM Market of India with Subscriber Base of 100
 Million & Market Share ...
4th Player- IDEA Cellular



                                                                         GSM PLAYER PAN IN AL...
5th Player-TATA Teleservices Ltd. (TTSL)




                                                    IN TELECOM MARKET WITH 3 ...
6th Player-BSNL




 4th Rank in Telecom GSM Market of India with Subscriber Base of 63.48
 Millions & Market Share of 15....
7th Player-AIRCEL                                                                         GSM PLAYER IN PAN
              ...
8th Player –MTNL


                                                                            Both GSM Player & CDMA Play...
9th Player-UNINOR                                                                     GSM Player PAN


8th Rank in Telecom...
CDMA PLAYER

10th Player- MTS (SSTL)
3rd Rank in CDMA Telecom Market of India with Subscriber Base of 3.77 Million &
Marke...
11th Player-LOOP MOBILE
                                                                                                GS...
GSM PLAYER
                         th
                     12 Player-S TEL
11th Rank in Telecom GSM Market of India with ...
13th Player-PING (HFCL)


                                                                                                ...
14th Player-VIDEOCON
                                                                                               GSM


...
Listed 15th Player- ETISALAT



Type                 Public                                    GSM IN
                    ...
D) ANALYSIS OF BHARTI AIRTEL
SUNIL BHARTI MITTAL: FIRST GENERATION ENTREPRENURS




1970             Bicycle Crankshaft Bu...
Airtel Brand: Taglines




                   Airtel Brand Logo:




                                                pdfMa...
Brand Ambassadors:

 2002                               2003                         2008                   2009          ...
Four Strategic Business Units of Airtel:

                                                                                ...
Vision: 2010




                          Mission:

 “We at Airtel always think in fresh and innovative ways about the ne...
Partners:
                                             Mobile Services                            Nokia Siemens, Ericsson,...
Organization Structure:




                                                pdfMachine.
                         A pdf wri...
Awards and Recognitions: For the Year 2008 - 2009
   Voted India’s most innovative company – in a survey conducted by The...
Analysis of Bharti Airtel:

1) Product Life Cycle (PLC) Analysis.

2) SWOT Analysis.

3) BCG Matrix.

4) Porter Model.

5)...
2) SWOT Analysis:

S: Strengths
         First Mover Advantage.
         Highly Focused on Indian Telecom Market.
     ...
W: Weakness
       Outsourcing of Core Systems.
       Premium priced products, hence can’t compete in low price segment...
3) BCG Matrix:

M
A
R
K
E     H
      I
                                                                   BSNL
T
        ...
4) Porter’s Five Force Analysis:




                 1. Competitive Rivalry within an Industry
                          ...
LOW
      3. Suppliers Bargaining Power




                       4. Threat of Substitutes
                              ...
LOW
                  5. Threat of New Entrants

•          Huge License Fees to be paid upfront & high gestation period
•...
5) Ansoff Matrix




Market Penetration:

Entered in Broadband and fixed line market.

Market Development:

Looking for ov...
6) PEST Analysis
It is the technique of environmental scanning of any Industry on the basis of the factors like P-Politica...
PEST Analysis of Indian Telecom Industry: Political Factors

o       Antitrust Regulations
o       Environmental
o       P...
PEST Analysis of Indian Telecom Industry: Technological Factors

•         Total Government spending for Research & Develo...
MARKETING
                                         MIX




    PRODUCT                  PRICE                    PLACE    ...
E)       Major Emerging Trends:
                   Changing Face of Indian Mobile Consumer




                    Handset...
Telecom Services:


                                                   PMRTS




                                         ...
Growth Factors:

                           Enterprise
                            Telecom
                            Ser...
Growth Avenues:
1) Managed Service: Managed services are another segment that is attracting telecom companies.
On account ...
CHAPTER -2 Review of Literature:
    Girija (1998), in its article “Socioeconomic Implications of Telecommunications Liber...
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
Indian telecom industry  ashish guru bhai sharma
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  1. 1. ASHISH “GURU BHAI “SHARMA!!!!!!! Ashishsharma.asm@gmail.com Ashish_sharma599@yahoo.com pdfMachine. A pdf writer that produces quality PDF files with ease! 1 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  2. 2. SUMMER INTERNSHIP PROJECT “TO STUDY OF VAS PRODUCTS IN TELECOM MARKET IN INDIA” AT BHARTI AIRTEL LIMITED, GURGAON (HARYANA) SUBIMITTED IN PARTIAL FULLFILLMENT OF PGDM PROGRAM 2009-2011 Submitted By: Ashish Sharma Roll No. : 17010 Finance & Marketing Company Guide: Faculty Guide: Mr. Rajeev Kandari Prof. Anuj Verma Human Resources Apeejay School of Mgt. Bharti Airtel Ltd. APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI JULY -2010 pdfMachine. A pdf writer that produces quality PDF files with ease! 2 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  3. 3. ACKNOWLEDGEMENT This is serve gratitude to all those people without whom this PROJECT would have never seen the light of day. An endeavor is difficult to even initiate without the help of many souls who are always there by the grace of God. Researcher project is a result of help provided by many people. My project becomes a reality only because of cooperation of many people who had helped me in completing this project. I sincerely extend my gratitude to Mr. Rajeev Kandari (HR, Bharti Airtel Ltd.) who has given me this golden opportunity to have an insight in the corporate world and who has been a source of guidance and support. I sincerely thank my esteemed guide Miss Ashima Kanwar for her valuable guidance and co- operation rendered to me through out the project report. It would not have been possible for me to Complete this project without there meticulous guidance and suggestions. I give my thanks to Prof. Anuj Verma (PROJECT GUIDE) for his valuable contribution, cooperation and guidance from time to time for completion of this project. Last but not the least I would like to thank my parents, friends, Colleagues and the staff of Bharti Airtel, Gurgaon who directly or indirectly help me during the course of project without which project would have been a Herculean task. Date: ASHISH SHARMA Roll No. -17010 PGDM 2009-11 pdfMachine. A pdf writer that produces quality PDF files with ease! 3 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  4. 4. TABLE OF CONTENTS pdfMachine. A pdf writer that produces quality PDF files with ease! 4 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  5. 5. EXECUTIVE SUMMARY I got an opportunity to undergo my summer training in a reputed organization “Bharti Airtel Limited “Gurgaon, where I was allowed to work on the project titled “Study of VAS Products In Telecom Market in India”. Role Of Telecom Sector in Development Process The telecom services have been recognized the world-over as an important tool for socioeconomic development of a nation. Telecommunication is one of the prime support services needed for rapid growth and modernization of various sectors of the economy. It has become especially important in recent years because of enormous growth of information technology and its significant potential for the impact on the rest of the economy. The Telecom Sector, which has the multiplier effect on the economy, has a vital role to play in economy by way of contributing to the increased efficiency. The available studies suggest that income of business entities and households increases by the use of telecom services. Thus it contributes to the growth in GDP. The Government of India reorganizes that provision of world class telecommunications infrastructure and information is key to rapid economic and social development of the country. Telecom industry in India started to set up in a phased approach. Privatization was gradually introduced, first in value-added services, followed by cellular and basic services. Telecom Regulatory Authority of India (TRAI) was established to regulate and deal with competition (the service providers). This gradual and thoughtful reform process in India has favored industry growth. Upcoming services such as 3G and WiMax will help to further augment the growth rate. The Indian telecommunications industry is one of the fastest growing in the world and India is projected to become the second largest telecom market globally by 2010. Need for the Study Paisafication seems to be the name of the game in mobile telephony. But as the pricing game touches rock bottom and erodes value, gaining subscribers will mean winning the great brand battle. Thirteen Telecom Operators in India causing Ripple Effect & demanding for Innovation / Renovation in Saturated Indian Telecom Market. pdfMachine. A pdf writer that produces quality PDF files with ease! 5 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  6. 6. VAS was Internet Limited!!!!... With Mobile Internet MVAS becomes unlimited!! As ARPU declines and voice gets commoditized, the challenge is to retain customers, develop alternative revenue streams, and create a basis for differentiation in high-churn markets. In the wake of changing industry markets, telecom operators are looking at “Mobile Value Added Services” (MVAS) as the next wave of growth, and a large chunk of revenues is expected to flow from VAS in the near future. Market growth drivers on the supply side include declining ARPU, brand differentiation needs, and growing focus on entertainment-related content; demand-side drivers include the booming Indian economy, increasing user comfort with basic mobility services, personalization of content and devices and cheaper handsets. From the early days of “Person-to- Person Short Message Service” (P2P SMS), the industry has witnessed an emergence of a growing portfolio of services including graphics/wallpapers downloads, ringtones and caller ring back Tones (CRBT), SMS contests, and games. Over the last 5 years, the telecom industry has realized the importance of MVAS. Given the declining ARPU and increasing competition among operators it is imperative to focus on alternate revenue streams. That is where there is a felt need for capitalizing on the Value Added Services Market. This report on Bharti Airtel is done to find out certain objective regarding the strategic approach Adopted by Airtel to stand strongly in the competitive telecom market. Airtel’s marketing strategies are analyses using various models like SWOT analysis, BCG Matrix, Ansoff’s matrix, porter’s five forces etc.The outcomes of these models are properly analyzed to find out the various aspects like companies position and competitors position in the market This report on Airtel not just give description about the company but it also talks about the various marketing strategy adopted by the company. In this report I have tried to capture most of the areas of Telecom Industry. Major highlights of the report are History of Telecom Industry, Current Industry Analysis, Role of TRAI, Spectrum allocation, FDI Regulation, Competitive advantages, Outsourcing in Telecom, Emerging Technologies, Latest Innovation, and Growth Trends, Mergers and Acquisitions. pdfMachine. A pdf writer that produces quality PDF files with ease! 6 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  7. 7. CHAPTER 1: INTRODUCTION Mobile Phone Revolution: Commenting on the emerging markets and use of cell phones, Bill Gates once said, “PC is the phone and phone is the PC.” In the same conference, Craig Mundie, Microsoft Chief Research Officer continued, “People in those rural environments are already buying computers. “ They happen to call them cell phones pdfMachine. A pdf writer that produces quality PDF files with ease! 7 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  8. 8. Welcome in the New AVATAR of TELECOM WORLD! India entering 2nd stage of “Telecom Revolution “. INDIAN FIRST PHASE OF REVOLUTION: VOICE TELECOM SECTOR SECOND PHASE OF REVOLUTION: DATA . pdfMachine. A pdf writer that produces quality PDF files with ease! 8 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  9. 9. pdfMachine. A pdf writer that produces quality PDF files with ease! 9 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  10. 10. Quick Facts: Next Super Power INDIA (March, 2010 ) Total Telephone 621.28 Subscriber Million Name Current Trends (In 2010) Projected Trends (In 2015 ) Population of India (Approx. ) 120 Crore 135 Crore Base Mobile Users (Approx. ) 584.32 Million Over 1 Billion Wireless 584.32 Subscription Million (With 20.31 Number of Players (Approx. ) 13 5-6 Players Market Size (Approx. ) 100,000 Rs. Crore 344,921 Rs. Crore Million New Growth Rate (Approx. ) 16 % Over 26 % Addition ) Wireline 36.96 Subscription Million Employment to People (Approx. ) 4 Million 10 Million Overall 52.74 TeleDensity 52.74 % 70 % Internet Users 81 Million 120 Million Teledensity Internet Penetration 7% 18 % Broadband 8.75 Contribution to India’s GDP. 3% 15 % Subscription Million All India Wireline Subscriber Base 38.5 37.95 37.81 37.65 38 37.54 37.41 37.33 37.31 37.25 37.5 37.16 37.06 36.99 36.96 36.96 37 36.5 36 9 9 9 9 Ag 009 J u 09 0 9 0 0 9 9 ay 9 00 00 00 00 01 00 01 01 00 00 00 0 .- 2 2 -2 -2 .- 2 -2 .-2 .-2 -2 .- 2 .- 2 -2 .-2 l.- p. n. n. b. u. ov ec ar ar ct r Ju Ja Ap Se Fe O M M N D M pdfMachine. A pdf writer that produces quality PDF files with ease! 10 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  11. 11. Impact of Telecom Sector on Indian Economy Economic Benefits of Mobile Services in India : 1) Generate Huge Employment Opportunities. 2) Increase in Government Revenues 3) Boost to GDP Growth 4) Rural Development with Connectivity. pdfMachine. A pdf writer that produces quality PDF files with ease! 11 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  12. 12. Indian Telecom Sector International Telecommunications Union( ITU) “The mobile phone has moved beyond being a mere device to become a key “social object” present in every aspect of our daily lives”.  The Indian Telecom Sector –Poster Boy of Economic Reforms.  Fastest Growing Telecom Market with CAGR of 17 %.  3rd Largest Telecommunication Network in World.  2nd Largest Wireless Network in World.  About 15 million connections are being added every month.  about 3 % is the Contribution of Telecom Sector in Nation’s GDP. The Unique Indian Business Telecom Model “Low Cost, High Volume, High MOU. “ Telecommunication (Definition) Technical: “Telecom in the real sense means transfer of information between two distant points in space.” Managerial: “Telecom is a huge and varied bastion of technologies, companies, services and politics that is truly global in nature.” pdfMachine. A pdf writer that produces quality PDF files with ease! 12 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  13. 13. A) History of Indian Telecom Industry & Government Policy. The Indian Telecom Journey: Telecom Working : Model: Network Infrastructure Telecom Equipment Telecom Service Telecom Solutions Companies: Manufacturers: Provider: Providers: ALCATEL NOKIA, BHARTI AIRTEL IBM DAKSH, LUCENT, SAMSUNG ,RELIANCE , WIPRO, SPANCO CISCO & VODAFONE & , ARICENT, & MOTOROLA. ERICSSON. IDEA. AEGIS. pdfMachine. A pdf writer that produces quality PDF files with ease! 13 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  14. 14. B) Policy of Government of India Pre-1991 1991-1994 1994 - 2002 2002 -2007  Telegraph Act  Cellular Phone  1997 : TRAI  Broadband 1885 Services were was set up policy 2004 opened up to  NTP 1999  Creation of private sector-  TDSAT-2000  FDI - 74% 2005 DOT- 1985 1994  BSNL formed 2001  MTNL & VSNL  National were set up- Telecom Policy- 1986 1994  FDI - 49 % Upto Up to Up to Upto 2007 1991 1994 2002 pdfMachine. A pdf writer that produces quality PDF files with ease! 14 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  15. 15. Ministry of Communication & Information Technology Licensor Dept of Telecom Unified License Operators Fixed Line Operators Regulator Telecom Regulatory National Long Distance Authority of India Operators CDMA 1800 International Long Distance MHZ Judiciary Operators Telecom Dispute Wireless Operators Settlement Appellate Tribunal GSM FDI in telecom recently revised to 74%. 900 & Government gets 15% of revenues from Unified Licensing 1800 MHZ pdfMachine. A pdf writer that produces quality PDF files with ease! 15 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  16. 16. Market Structure of India- (22Telecom Circles)  Metro circles A circles (regions that (Major cities*): Include other large cities): • Mumbai Andhra Pradesh • New Delhi Gujarat • Kolkata Karnataka Maharashtra Tamil Nadu*  B circles (regions with C circles (rural areas): smaller urban Assam Areas and towns): Bihar • Haryana Himachal Pradesh • Punjab Jammu & Kashmir • Rajasthan Northeast • Uttar Pradesh (East) Orissa Kerala • Uttar Pradesh (West) Madhya Pradesh • West Bengal (* Chennai, in the southeast, was previously a separate Metro circle, but as of March 31, 2008, it was Integrated into the Tamil Nadu A circle as a single entity.) pdfMachine. A pdf writer that produces quality PDF files with ease! 16 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  17. 17. Telecom Growth Comparison: Mobile Subscriber Growth Chart 00 1200 10 1000 800 4 58 600 2 36 400 65 200 32 22 16 0 1990 1995 2000 2005 2010 2015 2020 Total No. of Mobile Subscriber in the year 2015 will be 1000 Million. pdfMachine. A pdf writer that produces quality PDF files with ease! 17 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  18. 18. Different Services of Telecom Sector: Growth of Telecom Network (PSUs & Private Player ) : pdfMachine. A pdf writer that produces quality PDF files with ease! 18 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  19. 19. Tele-Density Growth in India: pdfMachine. A pdf writer that produces quality PDF files with ease! 19 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  20. 20. Wire line & Wireless in India: pdfMachine. A pdf writer that produces quality PDF files with ease! 20 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  21. 21. FDI in Telecom Sector in India : pdfMachine. A pdf writer that produces quality PDF files with ease! 21 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  22. 22. Market Share of Technology & Connection: pdfMachine. A pdf writer that produces quality PDF files with ease! 22 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  23. 23. C) Different Players of Indian Telecom Industry There are three types of players in telecom services: • State owned companies (BSNL and MTNL) • Private Indian owned companies (Reliance Communication, Tata Teleservices) • Foreign invested companies (Vodafone Essar, Bharti Airtel, Idea). I WANT ONLY 1 SIM CARD pdfMachine. A pdf writer that produces quality PDF files with ease! 23 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  24. 24. Market Share: Bharti Airtel Market Leader With 21.84 % Market Share in India (TRAI Report –March 2010) All India GSM Cell Subscribers- March 2010 (COAI Report) Sl. No. Name of Company Total Sub Figures % Market Share 1 Bharti Airtel 127619314 30.25% 2 Vodafone Essar 100858358 23.91% 3 IDEA 63824688 15.13% 4 BSNL 63486339 15.05% 5 Aircel 36861174 8.74% 6 Reliance Telecom 16311206 3.87% 8 MTNL 4784453 1.13% 9 Uninor 4264036 1.01% 10 Loop Mobile 2844583 0.67% 11 Stel 1006827 0.24% All India 421860978 100.00% pdfMachine. A pdf writer that produces quality PDF files with ease! 24 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  25. 25. Battle of Brands- Get Ready for Third World War !!!!!! Thirteen Operators causing Ripple Effect & demanding for Innovation/Renovation in Saturated Indian Telecom Market. What is Future????? Mergers & Acquisition (Small Companies) Mega Mergers (Large Companies) Global Mergers Fighting for the Share of CONSUMER’S Wallet!!!!!!!!!!! pdfMachine. A pdf writer that produces quality PDF files with ease! 25 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  26. 26. 1st Player – Bharti Airtel GSM PLAYER- PAN 23 CIRCLES 1st Rank in Telecom Market of India with Subscriber Base of 127.6 Million & Market Share of 30.25 % ( TRAI , GSM Subscriber Base March 2010 Report ) Type Public (BSE: 532454) Industry Telecommunications Founded 7 July 1995 Founder Sunil Bharti Mittal Headquarters New Delhi, India Area served Worldwide Sunil Mittal Bharti‘s Famous “Minute Factory Model” Key people (Chairman) & (MD) Combined with a low cost structure. Sanjay Kapoor (CEO) Wireless Bharti Airtel an integrated Telecom Telephone Products Internet Service Provider. Satellite television Airtel is strong Brand Name. Revenue ▲ US$ 7.254 billion (2009) Airtel is other Name of strong Network, Operating income ▲ US$ 2.043 billion (2009) Coverage & Service. Net income ▲ US$ 1.662 billion (2009) It is known for Trust & Ethics. Total assets ▲ US$ 11.853 billion (2009) Bharti is now the world's third-largest, Employees 25,543 (2009) Single-country mobile operator and Bharti Enterprises (64.76%) Fifth-largest integrated telecom Parent SingTel (30.5%) operator. Vodafone (4.4%) “Work is Love, not Stress “- Sunil Bharti Mittal pdfMachine. A pdf writer that produces quality PDF files with ease! 26 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  27. 27. 2nd Player- Reliance Communications Type Public BSE: 532712 Industry Telecommunications Founded 2004 Founder Dhirubhai Ambani BOTH GSM PLAYER & Headquarters Navi Mumbai, Maharashtra CDMA PLAYER PAN in 23 Circles. Area served India Anil Ambani (Chairman ) Key people Satish Seth (MD) Wireless Telephone Internet Products Television Data Cards Recharge Vouchers Revenue Rs 22,948 crore (US$ 4.89 billion) Operating Rs 9,305 crore (US$ 1.98 billion) 1st Rank in CDMA Telecom Market of India income with Total Subscriber Base (Both GSM & Net income Rs 6,045 crore (US$ 1.29 billion) CDMA) of 102.44 Million & Market Share in Total assets Rs 102,207 crore (US$ 21.77 billion) CDMA Of 59.39 %. Total Equity Rs 1,032 crore (US$ 219.82 million) 6th Rank in Purely GSM Market with Total Subscriber Base of 16.31 Million & Employees 31,884 Market Share in GSM Market is of 3.87 %. Parent ADAG Reliance is again in Hot News after 2002 when it sold its Reliance Handset in only 500 rs. Reliance Communication (R-Com) has launched a new tariff model for its pre-paid customers, which offers Unlimited talk time for a flat monthly fee. The ‘Simply Unlimited CDMA’ offer is available in two flavors : Simply Unlimited CDMA Local Pack& Simply Unlimited CDMA National Pack: pdfMachine. A pdf writer that produces quality PDF files with ease! 27 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  28. 28. 3rd Player- Vodafone Essar 2nd Rank in Telecom GSM Market of India with Subscriber Base of 100 Million & Market Share of 23.91 %. (TRAI, March 2010 Report ) GSM PLAYER PAN in 23 Circles Type Limited Mobile Industry telecommunications Predecessor Hutchison Essar Founded 1994 Headquarters Mumbai, Maharashtra Mobile networks, Products Telecom services, Etc. Vodafone Group (67%) Owner(s) Essar Group (33%) Employees 10,000 Zoo Zoo Magic: This was something which was created purely out of textbook and is totally an Indian idea. The characters are such that they lead simple lives, speak insane and incomprehensible language and move in a certain way with human emotions. But the interesting part is that Zoo zoos are not animated characters but are actually slim women actors from local Mumbai theatres, dressed in white costumes that are stuffed with foam to portray the characters. pdfMachine. A pdf writer that produces quality PDF files with ease! 28 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  29. 29. 4th Player- IDEA Cellular GSM PLAYER PAN IN ALL 23 CIRCLES 3RD Rank in Telecom GSM Market of India with Subscriber Base of 63.82 Million & Market Share of 15.13 % in GSM Market. ( TRAI ,March 2010 Report ) Public Type BSE: 532822 NSE: 532822 Industry Telecommunications Founded 1995 Headquarters Santa Cruz East, Mumbai, India Kumar Mangalam Birla (Chairman) Key Sanjeev Aga (MD) people Rajat Mukharjee (VP Corporate Affairs) Products Mobile Aditya Birla Group (49.05%) Parent Axiata Group Berhad (15%) Providence Equity (10.6%) pdfMachine. A pdf writer that produces quality PDF files with ease! 29 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  30. 30. 5th Player-TATA Teleservices Ltd. (TTSL) IN TELECOM MARKET WITH 3 BRANDS : 2ND Rank in CDMA (TATA INDICOM With DOCOMO ) Telecom Market of India with Subscriber Base of 65.94 Million & Market Share of 38.23 % in CDMA Market . Type Public (BSE: 532371) Industry Telecommunications Founded Incorporated 1996 Headquarters Navi Mumbai, India 1) TATA INDICOM- CDMA PLAYER Mr. Ratan N. Tata Chairman) Key people Anil Kumar Sardana (MD) Wireless Telephone 2) TATA DoCoMo - GSM PLAYER Products Internet Television Employees 350,000 Parent Tata Group 3) VIRGIN MOBILE- BOTH CDMA & GSM PLAYER Tata Indicom (CDMA) Divisions Tata DoCoMo (GSM) Virgin Mobile India (CDMA/GSM) pdfMachine. A pdf writer that produces quality PDF files with ease! 30 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  31. 31. 6th Player-BSNL 4th Rank in Telecom GSM Market of India with Subscriber Base of 63.48 Millions & Market Share of 15.05 %. ( TRAI ,March 2010 Report ) BOTH GSM & CDMA Type State-owned Industry Telecommunications Founded 19th century, incorporated 2000 Bharat Sanchar Bhawan, Headquarters Harish Chandra Mathur Lane, Janpath, New Delhi Key people Kuldeep Goyal (Chairman) (MD) Wireless Telephone Products Internet Television Revenue ▼ US$ 7.03 billion Owner(s) The Government of India Employees 357,000 BSNL: - Undisputed Leader in Broadband with 60 % Market Share. It has1.5 Million 3G Users out of 60 Million Total Consumer Base. pdfMachine. A pdf writer that produces quality PDF files with ease! 31 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  32. 32. 7th Player-AIRCEL GSM PLAYER IN PAN in 18 CIRCLES. Type Private Industry Telecommunications Founded 1999 Headquarters Gurgaon Key people Gurdeep Singh, COO Mobile Products Telecommunication operator Maxis Communications(74%) Parent Apollo Hospital (26%) In a bid to raise awareness about the declining number of tigers, Aircel, partnering with World Wildlife Fund (WWF) India has launched the 'Save Our Tigers' initiative. The campaign, a little over a week old, has already created quite a buzz. 'Stripey the Cub', the face of the Initiative, has over 96,400 fans on popular social networking website, Face book; and the official Twitter page Have 3,027 followers already. pdfMachine. A pdf writer that produces quality PDF files with ease! 32 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  33. 33. 8th Player –MTNL Both GSM Player & CDMA Player 7th Rank in Telecom Market of India with Subscriber Base of 47.84 Million & Market Share of 1.13 %. ( TRAI ,March 2010 Report ) State-owned Public Type NSE: MTNL NYSE: MTE Industry Telecommunications Founded 1986 Headquarters Mumbai and New Delhi India Kuldip Singh (CMD) Anita Soni (CFO) Key people S.M.Talwar (ED-New Delhi) J.Gopal (ED-Mumbai) Wireless Telephone Products Internet Television Revenue ▼ INR 52.895 million (2009) Net income ▼ INR 1.626 million (2009) Owner(s) The Government of India MTNL provides fixed line telephones, cellular connection of both GSM — Dolphin (Postpaid) and Trump (prepaid) and WLL (CDMA) — Garuda -FW and Garuda-Mobile and internet services Through dialup and DSL — Broadband internet TriBand. pdfMachine. A pdf writer that produces quality PDF files with ease! 33 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  34. 34. 9th Player-UNINOR GSM Player PAN 8th Rank in Telecom GSM Market of India with Subscriber Base of 42.64 Million & Market Share of 1.01 %. ( TRAI ,March 2010 Report ) Type Joint Venture Industry Telecommunications Founded 2009 Headquarters Gurgaon, India Stein-Erik Vellan (CEO) Key people Sanjay Chandra (Chairman) Wireless Products Telephone Internet Employees 2,000 Telenor (67.25%) Parent Unitech Group (32.75%) pdfMachine. A pdf writer that produces quality PDF files with ease! 34 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  35. 35. CDMA PLAYER 10th Player- MTS (SSTL) 3rd Rank in CDMA Telecom Market of India with Subscriber Base of 3.77 Million & Market Share of 2.19 % in CDMA . Mobile Industry telecommunications 2009 as Sistema Shyam Founded TeleServices Limited Headquarters New Delhi, Delhi, India Products CDMA Sistema (73.71%) Owner(s) Shyam Group (23.70%) pdfMachine. A pdf writer that produces quality PDF files with ease! 35 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  36. 36. 11th Player-LOOP MOBILE GSM 10th Rank in Telecom GSM Market of India with Subscriber Base of 2.84 Million & Market Share of 0.67 %. (TRAI ,March 2010 Report ) Type Private Industry Telecom 1994 as BPL Mobile Founded 2009 as Loop Mobile Mumbai Headquarters Maharashtra , India Key people CEO Sandip Basu Mobile Products Telecommunication operator Owner(s) Essar Group (8%) pdfMachine. A pdf writer that produces quality PDF files with ease! 36 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  37. 37. GSM PLAYER th 12 Player-S TEL 11th Rank in Telecom GSM Market of India with Subscriber Base of 1 Million & Market Share of 0.24 %. ( TRAI ,March 2010 Report ) S Tel is a GSM based cellular operator in India. It has a unified services access license in Orissa, Bihar, Himachal Pradesh, North East, Assam and Jammu & Kashmir. It is Owned jointly by C Sivasankaran (51%) and Bahrain Telecommunications (49%). S Tel Private Limited (S Tel), a new telecom operator in the Indian marketplace, is a joint venture between Siva Group (formerly Sterling InfoTech Group) and Bahrain Telecommunications Company (Batelco). S Tel has acquired Unified Access Services Licenses (UASL) and spectrum to operate in six Category C circles – Orissa, Bihar, Himachal Pradesh, North East, Assam and Jammu & Kashmir. These licenses will enable the company to provide Unified Mobile service, wireless broadband and innovative Value Added Services (VAS) covering a population of over 226 million across these circles Headquartered in NCR region of Delhi, the company plans to launch its mobile telephony service in India before close of 2009. Siva Group is a USD 3 billion group (about Rs.14, 000 crores), with diversified business Interests in verticals such as wind energy, shipping & logistics, hospitality & realty, media, EPC, education and agro business. Bahrain headquartered Batelco is a diversified, integrated telecommunications operator with Mobile, fixed and wireless broadband, Datacom and fixed line services. It has operations in 7 markets across the Middle East, North Africa and Asia. pdfMachine. A pdf writer that produces quality PDF files with ease! 37 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  38. 38. 13th Player-PING (HFCL) CDMA 4TH Rank in CDMA Telecom Market of India with Subscriber Base of 0.32 Million & Market Share of 0.19 % in CDMA . HFCL Infotel Ltd. (Infotel) is a "Total Telecom Solutions Provider" offering Fixed Line telephony (Telephone Services), Mobile telephony, Broadband Services, Customized Data Services and Value Added Services. Infotel provides a world class telecom experience when it comes to technology, products, customer services, Launched in Punjab in the year 2000 under the Connect brand name. Infotel has set up state-of-the-art Networks with coverage in over 200 towns of Punjab with an extensive optical fiber network coverage of over 4,000 km. Today, Infotel is one of Punjab's leading private sector telecommunication services providers with an aggregate customer base of 5, 10,263 as on 31st Dec 09. pdfMachine. A pdf writer that produces quality PDF files with ease! 38 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  39. 39. 14th Player-VIDEOCON GSM Type Public (BSE: 511389) Industry Conglomerate Founded 1979 Founder(s) Nandlal Madhavlal Dhoot Headquarters Aurangabad, Maharashtra, India Venugopal Dhoot (Chairman) Key people K. R. Kim (CEO) Consumer Electronics Home Appliances Components Office Automation Mobile phones Products Wireless Internet Petroleum Satellite television Power Revenue ▲ US$4 billion (2010) Net income ▲ US$276 million (2010) Employees 5,000 (2010) Videocon Mobile Service., is a GSM based cellular operator in India based in Mumbai. Videocon Telecommunications Limited, a Videocon group company offers GSM mobile services GSM service under the brand name Videocon. The Videocon Group is a $4 billion, global business conglomerate with a strong presence in Household Consumer Goods, Oil & Gas, Retail, Telecom, DTH and the Power sector. pdfMachine. A pdf writer that produces quality PDF files with ease! 39 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  40. 40. Listed 15th Player- ETISALAT Type Public GSM IN 15 CIRCLES United Arab Emirates Founded Government Headquarters United Arab Emirates Mohammed Hassan Omran Chairman Key people Mohammed Al Qamzi CEO Revenue ▲ $8.4 billion (FY2009) SWAN Telecom RE- named ETISALAT DB TELECOM INDIA PVT. LTD Etisalat will shortly be launching its service. As of April 2010, signal testing has already begun in a few circles of Chennai [IND 922], Delhi & NCR [IND 913], Maharashtra & Goa [IND 918], Mumbai [IND 916] and Gujarat [IND 914]. Etisalat has signed a deal with bollywood actor Aamir khan which is biggest endorsement till date in the Indian advertising market for Rs. 350 million (35 Crores) for a three year contract. In May 2010. Etisalat is in talks to buy 25% stake in Reliance Communications. pdfMachine. A pdf writer that produces quality PDF files with ease! 40 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  41. 41. D) ANALYSIS OF BHARTI AIRTEL SUNIL BHARTI MITTAL: FIRST GENERATION ENTREPRENURS 1970 Bicycle Crankshaft Business 1982 Portable Generators 1982 Electronic Push Button Phones 1990 Fax Machines, Cordless Phones and Other Telecom Gear. 1992 Mobile Phone Service License Operator in Delhi 1995 UMBRELLA BRAND -AIRTEL  SUNIL BHARTI MITTAL is an Indian Telecom Mogul, Philanthropist and the Founder, Chairman and Managing Director of Bharti Enterprises.  He is a Pioneer, a Dreamer, and an Achiever.  Asia's self-made billionaires.  The Game Changer.  Mittal prides himself on a string of firsts: "the first push-button, the first cordless, the first answering machines, the first fax machines“.  In 2007, he was awarded the Padma Bhushan, India's third highest civilian honor. pdfMachine. A pdf writer that produces quality PDF files with ease! 41 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  42. 42. Airtel Brand: Taglines Airtel Brand Logo: pdfMachine. A pdf writer that produces quality PDF files with ease! 42 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  43. 43. Brand Ambassadors: 2002 2003 2008 2009 2010 Bharti Airtel: Introduction: Airtel comes from Bharti Airtel Limited, one of Asia’s leading integrated telecom services providers with Operations in 18 countries across Asia and Africa. Bharti Airtel since its inception has been at the forefront of technology and has pioneered several innovations in the telecom sector. AIRTEL is one of Asia’s leading providers of telecommunication services with presence in all the 22 Telecom Circles in India, and in Srilanka. It served an aggregate of 130,686,172 customers as of March 31, 2010, in India; of whom 127,619,314 subscribe to our GSM services and 3,066,858 use our Telemedia Services either for voice and/or broadband access delivered through DSL. The company is structured into four strategic business units - Mobile, Telemedia, Enterprise and Digital TV. The mobile business offers services in India, Sri Lanka and Bangladesh. The Telemedia business provides Broadband, IPTV and telephone services in 89 Indian cities. The Digital TV business provides Direct-to- Home TV services across India. The Enterprise business provides end-to-end telecom solutions to corporate customers and national and international long distance services to telcos. pdfMachine. A pdf writer that produces quality PDF files with ease! 43 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  44. 44. Four Strategic Business Units of Airtel: 2) Telemedia 1) Mobile The mobile business offers services in The Telemedia business provides India, Sri Lanka and Bangladesh. broadband, IPTV and telephone services in 89 Indian cities. 3) Enterprise 4) Digital TV The Enterprise business provides end-to-end The Digital TV business provides telecom solutions to corporate customers and Direct-to-Home TV services national and international long distance services to across India. Telco’s. pdfMachine. A pdf writer that produces quality PDF files with ease! 44 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  45. 45. Vision: 2010 Mission: “We at Airtel always think in fresh and innovative ways about the needs of our customers and how we want them to feel. We deliver what we promise and go out of our way to delight the customer with a little bit more”. . Company Profile: pdfMachine. A pdf writer that produces quality PDF files with ease! 45 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  46. 46. Partners: Mobile Services Nokia Siemens, Ericsson, Huawei Network Equipment Nokia Siemens, Juniper, Cisco, Alcatel Telemedia & Long Distance Services Lucent, ECI, Tellabs Information Technology IBM IBM Daksh, Hinduja TMT, Call Centre Operations Teleperformance, Mphasis, Firstsource & Aegis Equity Partner {Strategic} Singtel Factsheets: Proportionate Revenue Rs. 396,150 million (year ended March 31, 2010-Audited) Rs. 369,615 million (year ended March 31, 2009-Audited) As per US GAAP Accounts Proportionate EBITDA Rs. 160,268 million (year ended March 31, 2010 - Audited) Rs. 151,678 million (year ended March 31, 2009 - Audited) As per US GAAP Accounts Shares in Issue 3,797,530,096 as at Mar 31, 2010 Listings The Stock Exchange, Mumbai (BSE) The National Stock Exchange of India Limited (NSE) Market Capitalization US$ 25 billion. Stock Quote BSE: INR 267.00 TOTAL NO. OF EMPLOYEE 30,000 pdfMachine. A pdf writer that produces quality PDF files with ease! 46 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  47. 47. Organization Structure: pdfMachine. A pdf writer that produces quality PDF files with ease! 47 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  48. 48. Awards and Recognitions: For the Year 2008 - 2009  Voted India’s most innovative company – in a survey conducted by The Wall Street Journal in 2008  Winner of the “Gallup Great Workplace Award”- Gallup Consulting, 2008  “2nd Most Trusted Service Brand” - Annual Economic Times-Brand Equity, Most Trusted Brands survey 2008  ‘Best Content Service’ Award for its Farmer Information Dissemination Platform for Bharti Airtel’s joint venture with IFFCO, IKSL (IFFCO Kisan Samachar) - World Communications Awards 2008  Best Project Management’ Award for its Gujarat e-GRAM project - World Communications Awards 2008  “Best Telecom Company” at the NDTV Profit Business Leadership Awards  Best Carrier India for innovative products & services and efficient cost models and the Ovum Telco-Transformation award recognizing philosophy and execution of a successful outsourcing strategy at the Telecom Asia Awards 2008  Sunil Bharti Mittal was awarded the GSM Association Chairman’s Award 2008. The highest honour in global telecom sector, recognized his tremendous contribution to the development of India’s telecom sector  Sunil Bharti Mittal adjudged the “Business Leader Transforming India, 2008 at the NDTV Profit Business Leadership Awards Group Companies: pdfMachine. A pdf writer that produces quality PDF files with ease! 48 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  49. 49. Analysis of Bharti Airtel: 1) Product Life Cycle (PLC) Analysis. 2) SWOT Analysis. 3) BCG Matrix. 4) Porter Model. 5) Ansoff Matrix. 6) PEST Analysis. 7) Marketing Mix. 1) Product Life Cycle Thirteen Operator causing Ripple Effect & demanding for Innovation/Renovation in” Saturated Indian Telecom Market “. Sales and Profits (Rs.) Sales Profits Time Product Introduction Growth Maturity Decline Develop- ment Losses/ Investments (Rs.) Sales and Profits over the Product’s Lifetime pdfMachine. A pdf writer that produces quality PDF files with ease! 49 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  50. 50. 2) SWOT Analysis: S: Strengths  First Mover Advantage.  Highly Focused on Indian Telecom Market.  Leadership in fast growing Cellular Segment.  PAN India Footprint.  Heavy Brand Promotion Strategy.  Huge Network Coverage.  Proactive & Innovative Service  Strong Financials  Truly India’s first Global telecom player.  India’s first fully integrated telecom player.  Famous for Minute -Factory Model.  Best Outsourcing Model.  Airtel is another name of “Trust “& “Ethics “.  Highly Successful in the minds of Common Man.  Strong Network Coverage is helpful to earn more than 60 % Revenue from Rural Sector.  The Game Changer Leader (founder & Promoter) Sunil Bharti Mittal who is known for “Transformational Changes “.  Being one of the largest companies in India the company has achieved a degree of focus in its core business of its products.  It has a strong brand name, superior quality products and an enviable distribution network.  It has a clear and well-defined organization structure and limits of financial authority.  Strong Strategic Alliance. This means Business has access to Knowledge & Technology & Other Parts of Telecommunication World.  The only Indian operator, other than VSNL, that has an international submarine cable. pdfMachine. A pdf writer that produces quality PDF files with ease! 50 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  51. 51. W: Weakness  Outsourcing of Core Systems.  Premium priced products, hence can’t compete in low price segment.  No separate strategy for rural market (Untapped Rural Market).  Distribution channel is not accurately categorized.  Purely GSM Player affected by Consumer Switching Behavior gives opportunity to CDMA Player Stickiness due to Handset.  Loosing Grounds among Teens & Youth against Virgin Mobile.  No Free Local Calls & STD Calls Packs offered by it.  Small Players giving Strong Competition in Different Segmentation like Call Rates , GPRS , SMS Packs, Broadband Internet (High Speed Data Cards) & Other Value Added Services. O: Opportunities  Airtel’s business has ample scope for gaining market share from the unorganized sector. Rural penetration too holds vast potential to bring about growth.  There is a lot of scope of product and market diversification.  Teledensity is still 47 % in 2nd Fastest growing Telecom Market in India. Still Huge Population is Untapped.  3G & WiMax Technology will Boost Product Life Cycle of Telecom Sector.  If Consolidation happens in Next Few Years for Mega Mergers & then Global Mergers Airtel will be in World’s Top 3 Rank by present 5th Rank.  Low Broadband Penetration in India only 9 Million Users producing huge opportunities for GPRS Service.  M-Banking, M-Commerce & M-Gaming are the Next Engine of Growth in Data Communication in VAS. T: Threats • India centric – Major revenues from India • Falling ARPU & AMOU • Intense Competition from 13 Existing Players & Shortage of Bandwidth. • Role of Government Policy • Saturation in Basic Voice Service. Landline Connection is already in its Declining Stage. pdfMachine. A pdf writer that produces quality PDF files with ease! 51 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  52. 52. 3) BCG Matrix: M A R K E H I BSNL T AIRTEL G VODAFONE IDEA CELLULAR H AIRCEL S RELIANCE TATA INDICOM H A R L E O W I N VIRGIN % MOBILE HIGH RELATIVE MARKET SHARE LOW BCG Matrix for Bharti Airtel HIGH Mobile Services DTH & IPTV Broad Band LOW HIGH LOW 65 pdfMachine. A pdf writer that produces quality PDF files with ease! 52 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  53. 53. 4) Porter’s Five Force Analysis: 1. Competitive Rivalry within an Industry HIGH • Thirteen Players in Saturated Indian Telecom Market causing “Battle of Brands “with Paisafication strategy. • New Players with Negative Cash Flows causing to Innovation/Renovation to be in the Telecom Market. • “Tariff War “causing Cutthroat Competition to Survive & in adding 1st time User. 2. Customer Bargaining Power HIGH • Lack of differentiation among Service Providers • Cut throat Competition • Low Switching Costs • Number Portability will have Negative Impact • Businesses & Consumers pdfMachine. A pdf writer that produces quality PDF files with ease! 53 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  54. 54. LOW 3. Suppliers Bargaining Power 4. Threat of Substitutes HIGH  Landline  CDMA Diminishing Market  Video Conferencing Broadband Services  VOIP - Skype, Gtalk, Yahoo Messenger  E-Mail & Social Networking Websites pdfMachine. A pdf writer that produces quality PDF files with ease! 54 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  55. 55. LOW 5. Threat of New Entrants • Huge License Fees to be paid upfront & high gestation period • Entry of MVNOs & WiMAX operators • Spectrum Availability & Regulatory Issues • Infrastructure Setup Cost - High • Rapidly changing technology Porter’s Generic Strategy: Porter has identified three types of generic strategies that help a firm to cope with competitive forces and outperform other firms in the industry. These strategies are:- 1. Overall Cost leadership strategy 2. Differentiation strategy, and 3. Focus strategy. pdfMachine. A pdf writer that produces quality PDF files with ease! 55 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  56. 56. 5) Ansoff Matrix Market Penetration: Entered in Broadband and fixed line market. Market Development: Looking for overseas market. Product Development: IPLC products. Diversification: Outsourcing. pdfMachine. A pdf writer that produces quality PDF files with ease! 56 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  57. 57. 6) PEST Analysis It is the technique of environmental scanning of any Industry on the basis of the factors like P-Political, E-Economic and S-Social & T-Technology. pdfMachine. A pdf writer that produces quality PDF files with ease! 57 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  58. 58. PEST Analysis of Indian Telecom Industry: Political Factors o Antitrust Regulations o Environmental o Protection Laws o Tax Laws o Special Incentives o Foreign Trade Regulations o Attitudes toward foreign Companies o Laws on hiring and promotion o Stability of government PEST Analysis of Indian Telecom Industry: Economical Factors • GDP trends • Interest Rates • Money Supply • Inflation Rates • Unemployment levels • Price control • Devaluation / Revaluation • Cost PEST Analysis of Indian Telecom Industry: Socio Cultural Factors • Lifestyle Changes • Career expectation • Consumer activism • Rate of family formation • Growth rate of population • Age distribution of population • Regional shift in population • Life expectation • Birth rates pdfMachine. A pdf writer that produces quality PDF files with ease! 58 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  59. 59. PEST Analysis of Indian Telecom Industry: Technological Factors • Total Government spending for Research & Development • Total Industry spending for Research & Development • Focus of Technological efforts • Patent Protection • New Products • Technology transfer from lab to marketplace • Productivity improvements through automation • Internet availability 7) Marketing Mix: 4 P’s P-Products. P- Price. P- Place. P- Promotion. pdfMachine. A pdf writer that produces quality PDF files with ease! 59 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  60. 60. MARKETING MIX PRODUCT PRICE PLACE PROMOTION Cell Phones Lower End Exclusive Print Media, Segment to Super Showroom, Mass Media & Premium End. Shopping Mall, Electronic Media Chain Store Product • Airtel Pre-paid • Airtel Post-paid • Blackberry Wireless Handheld Value Added Services (VAS) Price • Customer based pricing strategies. • Flexible pricing mechanism Controlled by TRAI. . Place • It has wide and extensive presence even in the remotest areas • Airtel Customer Care Touch Points Distributors like: Paan shops, grocery stores, chemists, outlet etc. Promotion • Large scale print and video advertising. • Big celebrities like SRK and Sachin are roped in to endorse the product. • In 2002 Airtel got its Signature tune from A.R. Rehman, this signature tune is perhaps the most downloaded tune in India. Provides innovations such as Bollywood movie premiers, music services such as ring back tones. pdfMachine. A pdf writer that produces quality PDF files with ease! 60 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  61. 61. E) Major Emerging Trends: Changing Face of Indian Mobile Consumer Handset Market in India: India’s Mobile Handset Market is Rs. 50,000 Crore Annually with 30 Handset Maker Company. About 100 Million Phones were sold in India in 12 Months to June 2009 say IDC Data. 10-12 Million Handsets are sold Per Month in India making India “Mobile Hub” after “Small Car Hub”. pdfMachine. A pdf writer that produces quality PDF files with ease! 61 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  62. 62. Telecom Services: PMRTS INTERNET VSATS RADIO PAGING GMPCS BASIC SERVICES MOBILE SERVICES Technology pdfMachine. A pdf writer that produces quality PDF files with ease! 62 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  63. 63. Growth Factors: Enterprise Telecom Services Managed Value Added Services Services Infrastructure GROWTH Rural Sharing AVENUES Telephony Virtual Private WIMAX Networks 3G Emerging Trends: USSD GPRS Voice 3G SMS MMS pdfMachine. A pdf writer that produces quality PDF files with ease! 63 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  64. 64. Growth Avenues: 1) Managed Service: Managed services are another segment that is attracting telecom companies. On account of the rapidly growing subscriber base, service providers find it difficult to manage their infrastructure and network management operations. In such cases, they completely or partially outsource their infrastructure or network management operations. 2) Infrastructure Sharing: To reduce their network deployment costs, many service providers are Considering infrastructure sharing offers the following advantages: Improved service quality. Increased affordability for customers. Faster roll out of services in rural and remote areas. Lower operating costs for service providers. 3) Enterprise Telecom Services: Enterprise Telecom Services includes key services, such as voice over Internet protocol (VoIP), dedicated telecom communication systems; IT infrastructure enabled unified communication services, etc. Telecom service providers are increasingly targeting enterprises by providing dedicated services and are expected to witness major developments in near future. 4) Virtual Private Networks: Virtual Private Network is a private data network that provides connectivity within closed user groups via public telecommunication infrastructure. Competition is likely to heat up in the VPN segment as DoT has relaxed the norms for private players. 5) Third Generation (3G): The Indian government plans to auction the spectrum for 3G services by inviting bids from domestic as well as foreign players & creating a competitive environment that offers better services to consumers. Therefore, 3G spectrum is among the major investment opportunities and growth drivers of telecom industry. The immense potential for 3G is reflected by the 30–40 percent annual growth in Value-Added Services.. 6) WiMAX has been one of the most significant developments in wireless communication in the recent past. Since this mode of communication provides network access in inaccessible locations at a speed of more than 4 Mbps, it is expected to be a major factor in driving telecom services in India, especially wireless services. Thus, it will lead to the increased use of telecom services, Internet, value-added services and enterprise services. It is estimated that India will have 13 million WiMAX subscribers by 2012. Aircel is the pioneer in WiMAX technology in India. pdfMachine. A pdf writer that produces quality PDF files with ease! 64 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!
  65. 65. CHAPTER -2 Review of Literature: Girija (1998), in its article “Socioeconomic Implications of Telecommunications Liberalization: India in the International Context” says that Telecommunications restructuring have evolved differently in Asia and Latin America. While Asian Governments have moved cautiously in bringing changes to the sector, Latin American nations have implemented radical ownership and market transformations. The Indian telecommunications reform falls in between these two general regional trends. The choice of a high component of competition, increased private participation, and no privatization of the national carrier set conditions that will trigger unique socioeconomic effects. This article identifies and highlights the likely implications of the Indian reform on key economic and social issues, such as the cost of services, cross-subsidies, network Interconnection, private investments, universal services, employment, and the possible rise Of an information-intensive economy. T.H. Chowdary (1999) discusses how Telecom reform, or demonopolization, in India has been bungled. Shaped by legislation dating back to the colonial era and post Second World War socialist policies, by the mid-1980s India realized that its poor telecommunications infrastructure and service needed reform. Anand (1999), in his article named “India's economic policy reforms” says that India was embarked on economic reforms in July 1991, in the wake of a balance of payments crisis. Bhattacharya (2000) constructs a vision of the Indian telecommunication sector for the year 2020. The paper aims at isolating agents of change based on international experiences and situates India in the development continuum. Das (2000), in her paper described the Liberalisation of the Indian telecommunications services which started in mid nineties with no change in the existing public monopoly structure, entirely controlled by Department of Telecommunications (DoT).This study implies that the choice of any reform policy should consider the trade-off between the loss of scale and scope economies and cost saving from the reduction in inefficiency of the incumbent monopoly in the event of competition. Narinder (2004), in his article “Enhancing Developmental Opportunities by Promoting ICT Use: Vision for Rural India” talks about the foremost benefits of Information and Communication Technologies (ICTs) in developing countries that can be helpful in improving governance including public safety and eradication of illiteracy. The benefits of ICTs have not reached the masses in India due to lack of ICT infrastructure, particularly in rural areas, where two-third of the population of the country lives. pdfMachine. A pdf writer that produces quality PDF files with ease! 65 APEEJAY SCHOOL OF MANAGEMENT, NEW DELHI Produce quality PDF files in seconds and preserve the integrity of your original documents. Compatible across nearly all Windows platforms, if you can print from a windows application you can use pdfMachine. Get yours now!

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