Private operators to pay one-time entry fee of Rs.25 million plus a Financial Bank Guarantee (FBG) of Rs.200 million. The revenue sharing agreement would be to the extent of 6%. Seven years time frame set for rollout of network, spread over four phases. Any shortfall in network coverage would result in encashment and forfeiture of bank guarantee of that phase.
implementation of Mobile number portability(MMP) may lead to switching of subscribers to different mobile service providers. As all the service providers are trying to find new ways to attract customers, cost per call is reducing. This may lead to decrease in Average revenue per user (ARPU). Now a day, due to increase in terrorist activity , service providers need to make sure that the network is secured and it is not used for illlegal activities.Legal Factors : fine of $12.1 mn for violating a license agreement by installing 2 telecom towers in state of Bihar within 10km of the international border withNepal
ProFILEParent Company : BhartiCategory : Mobile Service ProviderSector : TelecommunicationTagline/ Slogans : Express yourselfUSP : Top brand in India and Brand connectFounded : 7 July 1994Founder: Sunil Bharti MittalHeadquarters: New Delhi, IndiaArea served : 20 countries South Asia, Africa and the Channel Islands
Awards Bharti Airtel is the first Indian telecom service provider to achieve Cisco Gold Certification. Bharti Airtel is rated among the best performing companies in the world in the Business Week IT 100 list 2007. Bharti Airtel bags top honour at Telecom Leadership Forum 2012 Brand Airtel wins top accolades at Effie Awards
Services for us Mobile- Prepaid , Postpaid ,Hello Tunes Home Phones – Fixed Line , Fixed Wireless Phones Broadband & Internet Calling Cards Wirelesss Internet- 2G,3G, 4G LTE Airtel Digital TV
Services for business Emerging Business: Data & IP, Voice, Business Application, Data centre & Managed Services, Digital Media. Enterprise & Government: Voice, Data, Digital Media, Application & Solutions, Integrated Managed Solution Global Business: Global Voice , Global Data, Global Coverage, Global Integrated Managed Solutions, Global Smiles Partnership Program
Vision & Mission “WE ARE Airtel always think in fresh and innovative ways about the needs of our customersand 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”
PESTLE ANALYSIS A) POLITICAL FACTORS THREATS OPPORTUNITY FDI increase by governmentHuge license fees to be paid implies wider choice for upfront & high gestation consumers to opt for new period for new entrants services offered
PESTLE ANALYSISEconomicalA) India is the fastest growing A) FDI in Telecom increased to 74%economy after China , so the need for from 49% teledensity .B) Per capita income from 12000(2002) to B ) Expensive call rates when+50000 ( 2010-11) compared to other prepaid operatorsC) Lower entry level cost hence morenumber of consumers in the marketD) Strategic alliances with mobileHandset companies for sale of AirtelPrepaid
PESTLE ANALYSISTechnological Bharti Airtel is first wireless service provider which supplies roaming services, International and long distance communication services and Value Added Services. Bharti Airtel has high-speed optic fiber network. This network presently spans 126,357 kms all over India. Bharti Airtels international network infrastructure includes ownership of the i2i submarine cable system and consortium ownership in five global undersea cable systems
PESTLE ANALYSIS E) ENVIRONMENTAL FACTORS Radio frequency waves emitted from mobile phones harms body cells and damages the DNA . But this has not been scientifically proved as yet . On 1 September 2012, India set electromagnetic frequency exposure limit for all mobile phone base stations to one tenth of the existing ICNIRP exposure level. Telecom Enforcement Resource & Monitoring (TERM) cells will audit the self- certification provided by the mobile network operators.
PESTLE ANALYSIS F) LEGAL FACTORS A) Government hasreplaced License Fees withRevenue Sharing Schemes A) Lack of transparency inB) License term extended License & Spectrum allocation from 10 to 20 years B) MNP
SWOTStrength Weaknesses Largest telecom operator in India Decline in customer market share Strong customer base growth Decline in ARPUs 3G service launch Large passive infrastructure Maximum number of active customers Focus on rural salesOpportunities Threats India is the fastest growth mobile services MNP market in the world Temporary setback to telecom tower New subscriber additions through MNP growth Future potential of Tele-media services TRAI Opportunities in Africa
Marketing StrategiesBusiness Process Management- Process innovation and continuous improvement through people involvement. Problem investigation by “fact-based root cause analysis”.Customer Defined Business Process Delivery Time Turnaround Time Lead Time Time to Market Other performance indicator
Contd…Result Oriented Approach-Each process has been designed by first planning the desired result . The largest customer are then arrived at through identifiction of end customer expectations & going through past experiences - “What Went Wrong And Can Go Wrong” .
Recent Strategies Outsource Business operations except Marketing ,Sales and Finance. Announced a Strategic ;partnership with Google. M-Commerce Joint Venture with IFFCO
CSR Activies Airtel Ashiana for underpriviledged children at the Mohali office of Airtel. Airtel tied up with an NGO to distribute daily surplus food to needy children. Airtel Experience Centre by Access MP for the benefit of the visually impaired people as well as people from deprived section of society. BHARTI FOUNDATION- helps under priviledged children and young people of our country. Donated free medicines , stationery,clothes and other utility items at „Missionaries of Charity Home for Destitutes‟