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“Team Project”
“An Exclusive Report on Banglalink Strategic Management”
MGT 211 – Section 9
“Principles of Management”
Submitted To:
Ms. Tasnuva Chaudhury
Lecturer,
The Department of BRAC Business School
BRAC University
Submitted By:
GROUP-C
Mr. Obaid Rahman (13203013)
Ms. Iffatul Siddiqui (13121172)
Mr. Nabil Sarwar (13204012)
Mr. Sobaed Saaqib (14304152)
Mr. Toufiq Anik (13121157)
Date of Submission: 09/08/2014
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TABLE OF CONTENTS
CONTENTS PAGE NUMBER
Letter of Transmittal 3
Acknowledgement 4
Executive Summary 5
Origin & Objective of the report 6
Methodology 7
Company Introduction 9
Values, Mission, Vision &
Objectives of the Company
11
Management Functions 13
SWOT Analysis 14
BCG Matrix 16
5 Force Analysis 19
Growth Strategy 22
Competitive Strategy 23
Conclusion 25
Reference 26
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Letter of Transmittal
9th August, 2014
Ms. Tasnuva Chaudhury
Lecturer, the Department of BRAC Business School
BRAC University
Subject: Submission of Team Project
Dear Madame,
With the passage of time, we are student of BRAC University, standing on the other entity of
our course completion, hence are finalized with our Team Project naming as “An Exclusive
Report on Strategic Management of Banglalink Corporation of Bangladesh”. Vividly enough,
our research comprises adequate endeavors. But no doubt, our contribution will be best
evaluated on your sharp scale of acceptance & analytical remarks.
Consequently, we are submitting report on your very concern. Hopefully, you will discover
our well-researched, informative approach as a hallmark of hard work. Rather, in case of any
further clarification or elaboration as to our report, I would welcome the opportunity to
consult with you to explore how our findings could best meet your needs.
Thanking you.
With best Regards,
Obaid Rahman Iffatul Siddiqui Nabil Sarwar Sobaed Saaqib Toufiq Anik
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Acknowledgement
At the very beginning, we would like to express our sincere gratitude to Almighty Allah,
who has given us the strength and all those who has helped us all the way through
to complete this Team Project: “An exclusive Report on the strategic Management policies of
Banglalink Corporation of Bangladesh” in a very comfortable manner.
Our special gratitude and thanks goes to our respected Faculty Ms. Tasnuva Chaudhury,
Lecturer, Department of BBS, BRAC University, Dhaka, who co-operated with us all through
the times for completing this exclusive report. We have conducted our report on “Strategic
Management Policies practiced by Banglalink.” For which; we want to convey our special
thanks to Mr. Nizar Al Assaad, Chief Information and Customer Experience Officer. We
would also like to give special thanks to Mr. M. Nurul Alam, Company Secretary & Local
Compliance Officer, who helped us in the last two days providing exclusive company
information to make this report successful. Furthermore, we would like to provide special
thanks to our classmates for helping us following the guidelines of the professional report.
These aforementioned people gave us their valuable time. We express our special honor to
them.
We humbly apologize for missing out any name of the contributors for any possible aspect.
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Executive Summary
Telecom is a booming sector in the country today. Foreign investments have flowed into the
country over the past few years in huge amounts. Bangladesh, with a population base of
140m provides a very prospective environment for foreign telecoms to invest. The urban
population at present is approximately 29 million people. About 22% of the urban population
is considered middle class (with an average household income of USD 3,254), who are
increasingly becoming more capable of purchasing consumer goods, and this class is
growing. In any case, the urban population is forecasted to rise to 99 million by the year
2030, says a study by World Bank.
Banglalink Digital Communications Limited is one of the leading telecommunication
companies of Bangladesh. It has over 26 million subscribers now. It is currently holding as
the second largest telecom operator in Bangladesh. It has a vast and clear network all over the
country. Banglalink is very popular for its cheap call rate and fantastic value added services.
This company is also famous for its excellent customer service. On 10th October, 2013
Banglalink has launched 3G service for its customers with attractive packages.
In this report, we have tried to find out how Banglalink maintains its strategic management
policies and develops its businesses in this one of the most competitive telecom markets in
the world. Grameenphone, Robi and Airtel, these three telecom operators are most important
competitors of Banglalink. The objective of the report is to find out the policies, practiced by
Banglalink to win in the telecom market, to hold its existing customers and to expand its
market share. Banglalink performs this hard job through applying key strategies such as
“SWOT Analysis”, “BCG Matrix”, “5 Force Analysis”, “Growth Strategy” and “Competitive
Strategy”. Banglalink is earning Goodwill and Customer Satisfaction through providing
quality services and maintaining up-to-date business strategies. And after analyzing the
reports and studying the market it is quite clear that they are fairing quite well according to
their company objectives.
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Origin of the Report
This report has been prepared as the requirement of the Principles of Management – Team
Project based on the Starategic Management Policies of Banglalink Corporation of
Bangladesh. We have prepared this report on the basis of our research under the specified
guidance supervised by Ms. Tasnuva Chaudhury, Lecturer of BRAC Business School
department.
Objective of the Report
The general objective of the report is to fulfill requirement of the aforementioned Team
Project of the MGT 211 course under the procedure of Undergrad program of BRAC
University.
To be more specific, this exclusive report entails the analysis of Banglalink Corporation’s
Strategic Management policies applied in developing its business in Bangladesh Telecom
Market.
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Methodology
Selection of the Topic:
The topic was approved by our respective lecturer and it was thoroughly discussed
with her where she has provided her specific guidelines so that a well-mannered and
organized report can be prepared.
Sources of Data:
Primary Sources
Secondary Sources
Primary Sources:
Face to face conversation with the respective Officers of Banglalink Corporation
Secondary Sources:
Annual report of Banglalink
Banglalink internal server and external websites
Documents provided by the concerned officers of the organization
Relevant online journals and research papers
Analysis, Interpretations and Presentation of Data:
Some diagram and tables has been used to analyze the collected data in providing an
detailed report.
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Findings of the Study:
The collected data were analyzed methodically and pointed out in a synchronized way
under the specified guidelines.
Final Report Preparation:
The final report is prepared with the valuable information as suggested by the
concerned officers and following the specified guidelines instructed by the respective
lecturer. This report has been reviewed by the concerned officer as well, whose
approval letter has been added with this report.
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Company Introduction
On October 20th, 2004, Orascom Telecom announced the actual purchase of Sheba Telecom
with a cost of 60 M $, as well as the company’s re- branding under the name of Banglalink.
On the 10th of Feb 05 In September 2004, Orascom Telecom Holding acquired a mobile
services company, Sheba Telecom (Pvt.) Ltd. in Bangladesh with a nationwide GSM license
valid until 2011. Since then, OTH has installed new management, upgraded the network and
re-branded the company as Banglalink. As of June 30, 2009, Banglalink already has 11.04
million subscribers. Banglalink has an approximate market share of 23.7%. Banglalink’s
license is a nationwide 15-year GSM license that expires in November 2011. It was acquired
for US$ 60 million and re-branded and launched its services under “Banglalink” in February
2005.
In July, 2013, Banglalink changed its company name as Banglalink Digital Communications
Limited after the merger between Orascom Telecom and VimpelCom Ltd.
Now, Banglalink digital communications limited is fully owned by telecom ventures ltd.
(previously Orascom telecom ventures limited) of Malta, which is a fully owned subsidiary of
global telecom holding s.a.e. (formerly known as Orascom telecom holding s.a.e.) following
business combination in April 2011 between Vimpelcom ltd and Wind telecom s.p.a,
Vimpelcom owns 51.92% shares of global telecom holding s.a.e. (formerly known as
Orascom telecom holding s.a.e.). Vimpelcom is one of the world’s largest integrated
telecommunications services operators providing voice and data services through a range of
traditional and broadband mobile and fixed technologies in Russia, Italy, Ukraine,
Kazakhstan, Uzbekistan, Tajikistan, Armenia, Georgia, Kyrgyzstan, Laos, Algeria, Pakistan,
Burundi, Zimbabwe, Central African Republic, Canada and Bangladesh. Vimpelcom is
headquartered in Amsterdam, Netherland and listed as an ad on the New York Stock
Exchange under the symbol “Vip”.
Sinnce Banglalink’s launch in February 2005, its impact was felt immediately: overnight
mobile telephony became an affordable option for customers across a wide range of market
segments.
Banglalink’s initial success was based on a simple mission: “bringing mobile telephony to the
masses” which was the cornerstone of its strategy. Banglalink changed the mobile phone
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status from luxury to a necessity, brought mobile telephone to the general people of
Bangladesh and made a place in their hearts. The mobile phone has become the symbol for
positive change in Bangladesh. The brand slogan of “start something new” is in essence
derived from Banglalink’s promise of empowering people with affordable communication
solutions so that they can take new initiatives in life. The company believes that, it is through
such new initiatives that positive change will occur for the overall betterment of the nation.
Banglalink attained 1 million subscribers by December 2005 and 3 million subscribers in
October 2006. In less than two years which is by December 2007, Banglalink overtook ROBI
(Previously known as AKTEL) to become the second largest operator in Bangladesh with
more than 7.1 million customers. Banglalink currently has 29.45 million subscribers as of
April 2014, representing an overall market share of 25.47%.
Banglalink’s growth over the preceding years have been fuelled with innovative products
and services targeting different market segments, aggressive improvement of network quality
and dedicated customer care, creating an extensive distribution network across the country,
and establishing a strong brand that emotionally connected customers with Banglalink.
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Values, Mission, Vision and Objectives
Values:
Banglalink aims to understand peoples' needs best and develop appropriate communication
services to improve peoples' life and make it simple. Their work is aimed towards meeting
their vision. All members of the Banglalink family are highly passionate individuals, fully
committed to achieving the vision that they have set for themselves. To ensure their vision is
achieved, they have set themselves a few values, they want to be:
Straight Forward
Reliable
Innovative
Passionate
All the Banglalink family members have one thing in common- a passion to serve. They want
to go that extra mile; so that they can have the best possible service Investing in the future of
Bangladesh.
Mission:
‘To deliver innovative, customer focused products and to be the benchmark for customer
service excellence.” To understand people’s needs best and develop appropriate
communication services to improve people’s lives and make it simple.
Vision:
Banglalink understands people's needs best and will create and deliver appropriate
communication services to improve people's life and make it easier"
Segmented approach in terms of products and services.
Delivering superior benefits in every phase of the customers experience (before,
during, and after sale).
Creating optimum shareholder value.
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Objective:
In future, Banglalink wants to be the number one telecom operator in Bangladesh. To achieve
this goal necessary steps are already taken and more innovative ideas are generating to
achieve the goal as early as possible. Within the first three years of operation Banglalink has
captured 1 million customers in Bangladesh, whereas the leading company GrameenPhone
reached their first million in 9 years of operation. GrameenPhone reached their first million in
2005 and Banglalink started their operation in Bangladesh in 2005.
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Management Functions
Strategic planning:
The Top-Level Management comprise of the Board of Directors and CEO. The Top level
management is headed by the Managing Directors of the company. They decide on the
structure of the company. The Top Management takes all the major decision for the
organization. They are responsible of giving to maintain the relationship with the mother
organization which is Telecom Ventures Ltd. They do the negotiation with their suppliers and
the share holders of the company. They do the financial planning, where they forecast
revenue earnings and expenditures as well as capital expenditures for the next six months.
They also map out the production planning and shipment planning for the middle
management. The average planning horizon for the top management of Banglalink is 6
months. That is, the company decides on its strategic planning.
Intermediate planning:
The intermediate planning at Banglalink is carried out by the Mid-Level Management. The
Mid-Level Management comprises of the CFO, CCO, CTO and all the department heads of
the company. The Middle Management looks all the work of their subordinates work. They
are bound to top level managers. They took suggestions from the first line managers. They
execute the financial plans mapped out to them by the company’s top management. Other
than that the planning horizon of the middle management of Banglalink is 3 months.
Operationalplanning:
The operational planning at Banglalink is carried out by the lower level management. The
lower level management of the company comprises of the officers of the company. The
officers of the company lead the execution of the production and all other related processes as
per the planning given to them what the lower level management does decide is how much
they can execute the plans which given to them. The average planning horizon of the lower
management is a month.
Organizing:
Structural consideration such as the chain of command, division of labor and assignment of
responsibility of Banglalink are set according to its Organizational Structure.
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SWOT Analysis
SWOT Analysis is a process of analyzing Strength, Weakness, Opportunities and Threats of
any company. Here Strength and Weakness are internal analysis on the other hand;
Opportunities and Threats are External analysis.
Strength:
Marketing: Banglalink’s main strength is their marketing. Their marketing style
is better than any other mobile network operating companies. They use Star
models in their advertisements and make those advertisements more colorful to
attract the customers.They also use a key word “Din bodolerchestaiBanglalink”.
For example: They showed the life changing story of some people in their
advertisements.
Offers: They give better offers than other mobile network operating companies.
Those carry more value to the customers. For example, the gives Bonus points for
recharging. Those points give the special gift hampers to the customers,they gives
mobile phone for free on higher recharge, given the opportunity to use facebook
and whatsapp for free.
Banglalink Priojon: They give the priority to the premium customers. Those
premium customers get discounts and special offers from Banglalink. For
example, they gave buy one get one free ticket in amazing Spider man Movie.
Bonus from receiving call: Banglalink offers bonus talk time from receiving
calls. This is the unique strategy to attract the customers.
Weakness:
Network Quality: The greatest weakness of Banglalink and also the most widely
criticized service is its network. While the reception is quite clear when the user is out
of doors, once inside, the reception breaks up.
Network Coverage: their network coverage is not good enough like others. For
example, Some village and hill area does not their network
Internet Quality: Internet quality in some rural or outside Dhaka area is not
satisfying. For example, the internet speed in Bogra District is very low.
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Cost: Some packages have high cost comparatively to others. That is one of the main
causes of low market of Banglalink. For example, Banglalink’s call rate is higher than
Robi and Teletalk and also from Airtel in Some Packages.
Opportunities:
Mobile Phone & tablet Pc business: They can expand their business to the mobile
phone accessories, mobile phone and tablet pc business which will carry a Brand
name and that can lead to high profit.
Gaining Large Market: They may have good opportunity to get a large market from
their large marketing.
Trust from CSR: Banglalink becoming trustier to the people through their CSR
programs. For example, Banglalink gives free Iftar in Ramadan time, sponsors so
many social works etc.
Threats:
Other mobile network operating companies: Their main threat is the other mobile
network operating companies because all are very competitive to each other they are
always trying and using lots of competitive strategy to gain the market. So
competition is very high in this mobile network operating market. For example, if any
one cut the call rate for gaining the market, all of the companies immediately adjust
their call rate to handle the market but it decreases the profit.
The Government policies: The government has lots of policies those can be threats
for the firms. For example, government policy of registration of connections, The age
limit of having New connections, the minimum call rate policy, high tax from the call
cost are the threats for the company. Those are preventing to gain higher profit.
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BCG Matrix
BCG Matrix is a Business portfolio planning method that evaluates a company’s strategic
Business Units in terms of the available market growth rate and relative market share. This
Strategic Business Unit (SBU) is classified as Stars, Cash – Cow, Question Marks & Dog.
Banglalink also designs their business portfolio by BCG Matrix. It is a method by which their
market share and growth rate of their specific product are evaluated.
Prepaid Packages: Banglalink entered the market with a promise of making mobile phone
affordable for people. This promise was kept and Banglalink was the first operator to
introduce a flat rate for all calls (inside own network and to other operators) for the
convenience and ease of customers. Banglalink currently offers two prepaid plans. One is
Prepaid Mobile to Mobile and the other is Prepaid Standard that includes T&T incoming and
outgoing with NWD and ISD. All connections provide GPRS to subscribers.
Post-Paid Packages: Currently there are postpaid plans from Banglalink for its retail
customers. All packages come with Postpaid Packages: T&T local, NWD, ISD and
connectivity. Banglalink also provides exclusive corporate post paid plans for their corporate
clients.
However, all of their packages provide exclusive service offers based on the package plan.
BCG Matrix figure provided on the other page will give a rough idea of their product
evaluation as per the market growth rate vs market share rate of Bangladesh. A detailed
report of their BCG figure was restricted to provide in this report as per the concerning
officers to maintain the confidentiality of their Corporation planning.
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We also went ahead and held brief discussion session with one of the Vice President of the
Marketing dept of ROBI, Mr. Nazmul Hassan who gave us idea of the overall telecom
industry of Bangladesh. Thus we have conducted some more researches using other
secondary resources and came up with a following report applying BCG growth- share
Matrix method on the other competitors and Banglalink.
GrameenPhone had become a leader, a star, in the market soon after it entered the industry.
While Robi has been in the market as long as GrameenPhone has, it had failed to take the
aggressive growth strategies that GP had used from the beginning, such as heavy promotion
to build brand loyalty. It grew quite slowly and tried to improve their technology and network
slowly without creating too much hype. However, Robi has stepped up its promotional
activities and is fast gathering more and more market share. Hence, with an impressive
growth rate of nearly 200%, this question mark may become a star not too far in the future.
Banglalink was as good as dead, and thus, a dog (even in a high growth market) while it
STARS (High Growth) Question Mark (Low Share)
Prepaid M2M Prepaid Standard
Cash Cow (Low Growth) Dogs (Low share)
Post-Paid Regular Corporate Packages
Market
Growth Rate
Growth
Rate
Relative
Market Share
BCG Matrix Figure
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operated under the brand name Sheba. However, with the change in ownership, it is giving
the star and the second operator of the country a run for its money. While it may seem too
ambitious saying that it would overtake the leader anytime soon, it is certainly a possibility
Hence, while both Robi and Banglalink are still question marks in the model they are both
giving the star of the market a hard time, and may soon displace it, if it does not do
something soon about its packages. It is difficult to map CityCell using the BCG matrix,
mostly because it has a very low relative market share and a very poor growth rate in an
industry with impressive growth rate and hence falls in the under-developed category. This
may, however, be explained away with the fact that CityCell operates through the use of
CDMA technology while the rest of the market is following the GSM technology, with
GrameenPhone having just moved into GPRS & EDGE recently. However, with the purchase
of PBTL by SingTel for an amount of nearly $60 million, CityCell may be in for some
expansion and show signs of change in the years to come. With only 250,000 subscribers,
Teletalk has a relative market share that falls below 0.1 and hence does not fall into any of
the quadrants. Moreover, while the growth rate of Teletalk indicates that it may overtake
CityCell soon, with the litigation, it is under, and expansion plans of CityCell, it is still in
question.
Market
Growth Rate
STARS Question Mark
Grameen Phone Banglalink
Robi
Cash Cow Dogs
Airtel
Teletalk
CityCell
Relative
Market Share
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5 Force Analysis
Porter’s 5 Forces consist of:
Threat of new Entrants
Threat of Substitutes
Bargaining power of Buyers
Bargaining power of Suppliers
Current Rivalry
Porter’s 5 Forces analysis for Banglalink:
Banglalink
Grameenphone
Airtel
Robi
Teletalk
Threat of new Entrants
High
Bargaining power
of Buyers
Medium to low
Bargaining power of
Suppliers
Low
Threat of Substitutes
Medium to high
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Threatof new Entrants:
New Entrants possess high threat towards our company Banglalink.
Explanation:
Threat level of new entrants is high because they’ve got a chance to know about mobile
phone servicing business for a long period of time. Now-a-days there’re a lot of mobile phone
servicing companies in our country and a new entrant can easily know how to make profits
and how to prevent losses, through proper observation. Knowing what kind of new
technology or new technique will be accepted by the clients, isn’t a difficult job to do for the
new ones. For example; when Banglalink first entered in this industry, call-rate of other
companies were 6tk/minute or more. However, Banglalink started their new journey with
call-rate of 4tk/per minute. So we can easily say, obviously threat of new entrants is high.
Threatof Substitutes:
Threat of Substitutes is of medium to high level.
Explanation:
This kind of threat is of medium to high because some substitutes can possess high threat and
some medium. For example: Teletalk first brought 3G supporting sim-card in the market and
Banglalink lag behind from them in this case and so Teletalk created high threat. On the
contrary, Banglalink brought package of several fnfs before others and they created threat to
others. Besides, Banglalink has a very good customer-service and that one is after receiving a
single text from their clients they call back and sort out clients’ problems where other
companies don’t have this facility. In short, threat of substitutes is medium to high depending
on new products and services.
Bargainingpowerof Buyers:
Bargaining power of buyers is of medium to low.
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Explanation:
Buyers might have many options but in some cases they like to use Banglalink. Banglalink is
more preferable because of cheap internet package and faster internet service, customer care,
good network system in cities. However, Banglalink has a problem of weak networking
system in some remote villages where Grameen-phone can provide good networking systems
in remote areas. So because of this lacking, Clients get a good bargaining point.
Bargainingpowerof Suppliers:
Bargaining power of suppliers is low.
Explanation:
Cell phone servicing company give such high volume orders that suppliers have been
cautious not to bargain with them. For the cell phone servicing companies suppliers are
mainly cards security companies or network-tower builders. As a leading company,
Banglalink can increase pressure on suppliers but suppliers can’t take the chance to temper
with the relationship between them. So they give their best to hold their goodwill as a
supplier and possess low level of threats.
Intensity of Rivalry among Current Competitors:
It can create threat of medium to high level.
Explanation:
At some extent other companies can intensify the rivalry with Banglalink because of
fluctuations of clients’ demands and growth rate of product or services. On the other hand,
Banglalink has some good techniques to tackle others in some sectors. Banglalink do some
social services like helping poor children and serving Iftar to street people during Ramadan.
Thus intensity of rivalry can go from medium to high depending on customers’ demands and
social works or different activities.
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Growth Strategy
Seeking to increase the organization’s business by expansion into new products and markets.
Types of Growth Strategies:
Concentration
Vertical integration
Horizontal integration
Diversification: 1.Related, 2.Unrelated
I would like to suggest Related Diversification for Banglalink. Here Banglalink can acquire
mobile producing company. There they can produce mobile accessories, mobile phones,
Tablet pcs etc.
As Banglalink is the mobile network operating company, they have a good brand name in this
mobile related market. So, for the growth of the company or expanding to the new business
they can go for producing mobile accessories, mobile phones, Tablet pcs etc. They can
acquire new mobile producing company. Their brand name will carry the brand verification
to the customers. The customers will feel trust for those products. Also, it can be good quality
and low cost products. That can meet all the customers’ ability to buy. So, the Brand name,
Good quality and Low cost will gain a large market. That large market will be good for the
business and that good business will carry a high profit to the company. For example:
Grameen phone has already started their mobile phone producing business along with their
mobile network operating business.
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Competitive Strategy
Competitive strategies are the method by which you achieve a competitive advantage in the
market. Naturally there are three types of competitive strategies. They are cost leadership,
differentiation and a focus strategy. A mixture of two or more of these strategies is also
possible depending on your business objectives and current market position.
Cost leadership
The aim of this strategy is to be a low cost producer relative to your competitors and is
particularly useful in markets where price is a deciding factor. In this case you need to be
aware of any serious loss in quality that may render low cost ineffective.
So, we would like to suggest cost leadership style for Banglalink.
Mobile call rate: At first we should think about mobile call rate. It could be per
minute or per second system. The most important thing in this case is customer’s
satisfaction. Other mobile operator is doing better than Banglalink nowadays. It’s not
a good side for us as we present Banglalink now. When Banglalink first started their
work then the call rate of Grameenphone was 7 + taka per minute. Banglalink offered
us near about 4/5 taka per minute. It was an excellent offer for the customer. At
present many mobile are available. Specially,Airtel gives people some offer which is
really liked by customer specially by young generation people as well as aged people.
Now the situation is hard to control for Banglalink without following the cost
leadership strategies. Banglalink should apply cost leadership strategies successfully
to get back their acceptance from the customer. For example, we say the started time
of Banglalink. That time Grameenphone was highly famous but Banglalink got the
attention of customer and in that case cost leadership strategies played a vital role.
Internet package: We should improve in not only mobile call rate but also internet
packages. Some mobile operator like Airtel, Teletalk give more opportunity to the
customers with their attractive packages and good network. In this case Teletalk
controls the market nicely. Their special youth package is liked by young people very
much. Banglalink should do something in this field. At first they should give more
importance in the networking system, which will be for the whole country, not for
Dhaka or some big cities only. Then they can offer attractive packages after thinking
the different ages of users. If the rate is high than other operator then, their try will be
Page | 24
not successful. In this case we should also give the importance of customer’s
satisfaction by good networking and cheap rate. So, cost leadership strategy is
necessary. Banglalink should handle this full process very carefully to raise the brand
Banglalink.
Advantage:
The advantage of using successful cost leadership style is high. Because of
accepting by the more customers their market will be big and Banglalink can earn more
profit. As a result they can give some extra offer for the customer’s to please them as well as
improve their own condition.
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Conclusion
As per the analysis of the whole report, we can conclude that as the aspiration statement
Banglalink as a novice cellular company has improved its condition within a very short time.
The marketing plan of the company has proven right for the organization because it’s
spreading its business gradually. But still it’s not the biggest cellular company in the country.
GP is the leader in the market and Banglalink has got lot of aspect to improve the situation.
So to be the market leader Banglalink must be very careful in the field of marketing plan and
the success of the company is a matter of subject that how they are implementing the plan. As
a result the Business Development and Customer Retention Policies implementation
consumers’ behavior towards Banglalink is very positive and their satisfaction level is very
high. The consumers of sim connection are preferred The Banglalink most. The consumers
believe that Banglalink provides high quality product, but the call rate, connection rate are
not so high. Consumers are mainly got information from television ads. So, at the end we can
conclude that Banglalink is one of the finest companies in Bangladesh.
They provide high quality of product and consumers are satisfied with Banglalink’s products
they bought, especially postpaid sim connection. Consumers are satisfied by Banglalink sim
category.
Page | 26
References
Internet Links:
Banglaink Digital Communications Limited. About Us: Banglalink. 2014.
http://www.banglalink.com.bd/en/ (accessed August 2014).
Bplans. May 2014. http://articles.bplans.com/how-to-perform-swot-analysis/
(accessed August 2014).
Report:
Bangalink. growing through wisdom of culture. annual report, Dhaka: Banglalink
Digital Communications Limited, 2013.
Book:
Management, Robbins/Coulter,8th
Edition
Zeithaml, Valarie A., and Mary Jo Bitner. Sevice Marketing. New Delhi: Tata
McGraw-Hill Publishing Company Limited, Third edition.
Face to Face Interviews:
Mr. Nizar Al Assaad, Chief Information and Customer Experience Officer,
Banglalink
Mr. M. Nurul Alam, Company Secretary & Local Compliance Officer, Banglalink
Mr. Nazmul Hassa, Vice President, Marketing dept, ROBI

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An exclusive report on Banglalink strategic management

  • 1. Page | 1 “Team Project” “An Exclusive Report on Banglalink Strategic Management” MGT 211 – Section 9 “Principles of Management” Submitted To: Ms. Tasnuva Chaudhury Lecturer, The Department of BRAC Business School BRAC University Submitted By: GROUP-C Mr. Obaid Rahman (13203013) Ms. Iffatul Siddiqui (13121172) Mr. Nabil Sarwar (13204012) Mr. Sobaed Saaqib (14304152) Mr. Toufiq Anik (13121157) Date of Submission: 09/08/2014
  • 2. Page | 2 TABLE OF CONTENTS CONTENTS PAGE NUMBER Letter of Transmittal 3 Acknowledgement 4 Executive Summary 5 Origin & Objective of the report 6 Methodology 7 Company Introduction 9 Values, Mission, Vision & Objectives of the Company 11 Management Functions 13 SWOT Analysis 14 BCG Matrix 16 5 Force Analysis 19 Growth Strategy 22 Competitive Strategy 23 Conclusion 25 Reference 26
  • 3. Page | 3 Letter of Transmittal 9th August, 2014 Ms. Tasnuva Chaudhury Lecturer, the Department of BRAC Business School BRAC University Subject: Submission of Team Project Dear Madame, With the passage of time, we are student of BRAC University, standing on the other entity of our course completion, hence are finalized with our Team Project naming as “An Exclusive Report on Strategic Management of Banglalink Corporation of Bangladesh”. Vividly enough, our research comprises adequate endeavors. But no doubt, our contribution will be best evaluated on your sharp scale of acceptance & analytical remarks. Consequently, we are submitting report on your very concern. Hopefully, you will discover our well-researched, informative approach as a hallmark of hard work. Rather, in case of any further clarification or elaboration as to our report, I would welcome the opportunity to consult with you to explore how our findings could best meet your needs. Thanking you. With best Regards, Obaid Rahman Iffatul Siddiqui Nabil Sarwar Sobaed Saaqib Toufiq Anik
  • 4. Page | 4 Acknowledgement At the very beginning, we would like to express our sincere gratitude to Almighty Allah, who has given us the strength and all those who has helped us all the way through to complete this Team Project: “An exclusive Report on the strategic Management policies of Banglalink Corporation of Bangladesh” in a very comfortable manner. Our special gratitude and thanks goes to our respected Faculty Ms. Tasnuva Chaudhury, Lecturer, Department of BBS, BRAC University, Dhaka, who co-operated with us all through the times for completing this exclusive report. We have conducted our report on “Strategic Management Policies practiced by Banglalink.” For which; we want to convey our special thanks to Mr. Nizar Al Assaad, Chief Information and Customer Experience Officer. We would also like to give special thanks to Mr. M. Nurul Alam, Company Secretary & Local Compliance Officer, who helped us in the last two days providing exclusive company information to make this report successful. Furthermore, we would like to provide special thanks to our classmates for helping us following the guidelines of the professional report. These aforementioned people gave us their valuable time. We express our special honor to them. We humbly apologize for missing out any name of the contributors for any possible aspect.
  • 5. Page | 5 Executive Summary Telecom is a booming sector in the country today. Foreign investments have flowed into the country over the past few years in huge amounts. Bangladesh, with a population base of 140m provides a very prospective environment for foreign telecoms to invest. The urban population at present is approximately 29 million people. About 22% of the urban population is considered middle class (with an average household income of USD 3,254), who are increasingly becoming more capable of purchasing consumer goods, and this class is growing. In any case, the urban population is forecasted to rise to 99 million by the year 2030, says a study by World Bank. Banglalink Digital Communications Limited is one of the leading telecommunication companies of Bangladesh. It has over 26 million subscribers now. It is currently holding as the second largest telecom operator in Bangladesh. It has a vast and clear network all over the country. Banglalink is very popular for its cheap call rate and fantastic value added services. This company is also famous for its excellent customer service. On 10th October, 2013 Banglalink has launched 3G service for its customers with attractive packages. In this report, we have tried to find out how Banglalink maintains its strategic management policies and develops its businesses in this one of the most competitive telecom markets in the world. Grameenphone, Robi and Airtel, these three telecom operators are most important competitors of Banglalink. The objective of the report is to find out the policies, practiced by Banglalink to win in the telecom market, to hold its existing customers and to expand its market share. Banglalink performs this hard job through applying key strategies such as “SWOT Analysis”, “BCG Matrix”, “5 Force Analysis”, “Growth Strategy” and “Competitive Strategy”. Banglalink is earning Goodwill and Customer Satisfaction through providing quality services and maintaining up-to-date business strategies. And after analyzing the reports and studying the market it is quite clear that they are fairing quite well according to their company objectives.
  • 6. Page | 6 Origin of the Report This report has been prepared as the requirement of the Principles of Management – Team Project based on the Starategic Management Policies of Banglalink Corporation of Bangladesh. We have prepared this report on the basis of our research under the specified guidance supervised by Ms. Tasnuva Chaudhury, Lecturer of BRAC Business School department. Objective of the Report The general objective of the report is to fulfill requirement of the aforementioned Team Project of the MGT 211 course under the procedure of Undergrad program of BRAC University. To be more specific, this exclusive report entails the analysis of Banglalink Corporation’s Strategic Management policies applied in developing its business in Bangladesh Telecom Market.
  • 7. Page | 7 Methodology Selection of the Topic: The topic was approved by our respective lecturer and it was thoroughly discussed with her where she has provided her specific guidelines so that a well-mannered and organized report can be prepared. Sources of Data: Primary Sources Secondary Sources Primary Sources: Face to face conversation with the respective Officers of Banglalink Corporation Secondary Sources: Annual report of Banglalink Banglalink internal server and external websites Documents provided by the concerned officers of the organization Relevant online journals and research papers Analysis, Interpretations and Presentation of Data: Some diagram and tables has been used to analyze the collected data in providing an detailed report.
  • 8. Page | 8 Findings of the Study: The collected data were analyzed methodically and pointed out in a synchronized way under the specified guidelines. Final Report Preparation: The final report is prepared with the valuable information as suggested by the concerned officers and following the specified guidelines instructed by the respective lecturer. This report has been reviewed by the concerned officer as well, whose approval letter has been added with this report.
  • 9. Page | 9 Company Introduction On October 20th, 2004, Orascom Telecom announced the actual purchase of Sheba Telecom with a cost of 60 M $, as well as the company’s re- branding under the name of Banglalink. On the 10th of Feb 05 In September 2004, Orascom Telecom Holding acquired a mobile services company, Sheba Telecom (Pvt.) Ltd. in Bangladesh with a nationwide GSM license valid until 2011. Since then, OTH has installed new management, upgraded the network and re-branded the company as Banglalink. As of June 30, 2009, Banglalink already has 11.04 million subscribers. Banglalink has an approximate market share of 23.7%. Banglalink’s license is a nationwide 15-year GSM license that expires in November 2011. It was acquired for US$ 60 million and re-branded and launched its services under “Banglalink” in February 2005. In July, 2013, Banglalink changed its company name as Banglalink Digital Communications Limited after the merger between Orascom Telecom and VimpelCom Ltd. Now, Banglalink digital communications limited is fully owned by telecom ventures ltd. (previously Orascom telecom ventures limited) of Malta, which is a fully owned subsidiary of global telecom holding s.a.e. (formerly known as Orascom telecom holding s.a.e.) following business combination in April 2011 between Vimpelcom ltd and Wind telecom s.p.a, Vimpelcom owns 51.92% shares of global telecom holding s.a.e. (formerly known as Orascom telecom holding s.a.e.). Vimpelcom is one of the world’s largest integrated telecommunications services operators providing voice and data services through a range of traditional and broadband mobile and fixed technologies in Russia, Italy, Ukraine, Kazakhstan, Uzbekistan, Tajikistan, Armenia, Georgia, Kyrgyzstan, Laos, Algeria, Pakistan, Burundi, Zimbabwe, Central African Republic, Canada and Bangladesh. Vimpelcom is headquartered in Amsterdam, Netherland and listed as an ad on the New York Stock Exchange under the symbol “Vip”. Sinnce Banglalink’s launch in February 2005, its impact was felt immediately: overnight mobile telephony became an affordable option for customers across a wide range of market segments. Banglalink’s initial success was based on a simple mission: “bringing mobile telephony to the masses” which was the cornerstone of its strategy. Banglalink changed the mobile phone
  • 10. Page | 10 status from luxury to a necessity, brought mobile telephone to the general people of Bangladesh and made a place in their hearts. The mobile phone has become the symbol for positive change in Bangladesh. The brand slogan of “start something new” is in essence derived from Banglalink’s promise of empowering people with affordable communication solutions so that they can take new initiatives in life. The company believes that, it is through such new initiatives that positive change will occur for the overall betterment of the nation. Banglalink attained 1 million subscribers by December 2005 and 3 million subscribers in October 2006. In less than two years which is by December 2007, Banglalink overtook ROBI (Previously known as AKTEL) to become the second largest operator in Bangladesh with more than 7.1 million customers. Banglalink currently has 29.45 million subscribers as of April 2014, representing an overall market share of 25.47%. Banglalink’s growth over the preceding years have been fuelled with innovative products and services targeting different market segments, aggressive improvement of network quality and dedicated customer care, creating an extensive distribution network across the country, and establishing a strong brand that emotionally connected customers with Banglalink.
  • 11. Page | 11 Values, Mission, Vision and Objectives Values: Banglalink aims to understand peoples' needs best and develop appropriate communication services to improve peoples' life and make it simple. Their work is aimed towards meeting their vision. All members of the Banglalink family are highly passionate individuals, fully committed to achieving the vision that they have set for themselves. To ensure their vision is achieved, they have set themselves a few values, they want to be: Straight Forward Reliable Innovative Passionate All the Banglalink family members have one thing in common- a passion to serve. They want to go that extra mile; so that they can have the best possible service Investing in the future of Bangladesh. Mission: ‘To deliver innovative, customer focused products and to be the benchmark for customer service excellence.” To understand people’s needs best and develop appropriate communication services to improve people’s lives and make it simple. Vision: Banglalink understands people's needs best and will create and deliver appropriate communication services to improve people's life and make it easier" Segmented approach in terms of products and services. Delivering superior benefits in every phase of the customers experience (before, during, and after sale). Creating optimum shareholder value.
  • 12. Page | 12 Objective: In future, Banglalink wants to be the number one telecom operator in Bangladesh. To achieve this goal necessary steps are already taken and more innovative ideas are generating to achieve the goal as early as possible. Within the first three years of operation Banglalink has captured 1 million customers in Bangladesh, whereas the leading company GrameenPhone reached their first million in 9 years of operation. GrameenPhone reached their first million in 2005 and Banglalink started their operation in Bangladesh in 2005.
  • 13. Page | 13 Management Functions Strategic planning: The Top-Level Management comprise of the Board of Directors and CEO. The Top level management is headed by the Managing Directors of the company. They decide on the structure of the company. The Top Management takes all the major decision for the organization. They are responsible of giving to maintain the relationship with the mother organization which is Telecom Ventures Ltd. They do the negotiation with their suppliers and the share holders of the company. They do the financial planning, where they forecast revenue earnings and expenditures as well as capital expenditures for the next six months. They also map out the production planning and shipment planning for the middle management. The average planning horizon for the top management of Banglalink is 6 months. That is, the company decides on its strategic planning. Intermediate planning: The intermediate planning at Banglalink is carried out by the Mid-Level Management. The Mid-Level Management comprises of the CFO, CCO, CTO and all the department heads of the company. The Middle Management looks all the work of their subordinates work. They are bound to top level managers. They took suggestions from the first line managers. They execute the financial plans mapped out to them by the company’s top management. Other than that the planning horizon of the middle management of Banglalink is 3 months. Operationalplanning: The operational planning at Banglalink is carried out by the lower level management. The lower level management of the company comprises of the officers of the company. The officers of the company lead the execution of the production and all other related processes as per the planning given to them what the lower level management does decide is how much they can execute the plans which given to them. The average planning horizon of the lower management is a month. Organizing: Structural consideration such as the chain of command, division of labor and assignment of responsibility of Banglalink are set according to its Organizational Structure.
  • 14. Page | 14 SWOT Analysis SWOT Analysis is a process of analyzing Strength, Weakness, Opportunities and Threats of any company. Here Strength and Weakness are internal analysis on the other hand; Opportunities and Threats are External analysis. Strength: Marketing: Banglalink’s main strength is their marketing. Their marketing style is better than any other mobile network operating companies. They use Star models in their advertisements and make those advertisements more colorful to attract the customers.They also use a key word “Din bodolerchestaiBanglalink”. For example: They showed the life changing story of some people in their advertisements. Offers: They give better offers than other mobile network operating companies. Those carry more value to the customers. For example, the gives Bonus points for recharging. Those points give the special gift hampers to the customers,they gives mobile phone for free on higher recharge, given the opportunity to use facebook and whatsapp for free. Banglalink Priojon: They give the priority to the premium customers. Those premium customers get discounts and special offers from Banglalink. For example, they gave buy one get one free ticket in amazing Spider man Movie. Bonus from receiving call: Banglalink offers bonus talk time from receiving calls. This is the unique strategy to attract the customers. Weakness: Network Quality: The greatest weakness of Banglalink and also the most widely criticized service is its network. While the reception is quite clear when the user is out of doors, once inside, the reception breaks up. Network Coverage: their network coverage is not good enough like others. For example, Some village and hill area does not their network Internet Quality: Internet quality in some rural or outside Dhaka area is not satisfying. For example, the internet speed in Bogra District is very low.
  • 15. Page | 15 Cost: Some packages have high cost comparatively to others. That is one of the main causes of low market of Banglalink. For example, Banglalink’s call rate is higher than Robi and Teletalk and also from Airtel in Some Packages. Opportunities: Mobile Phone & tablet Pc business: They can expand their business to the mobile phone accessories, mobile phone and tablet pc business which will carry a Brand name and that can lead to high profit. Gaining Large Market: They may have good opportunity to get a large market from their large marketing. Trust from CSR: Banglalink becoming trustier to the people through their CSR programs. For example, Banglalink gives free Iftar in Ramadan time, sponsors so many social works etc. Threats: Other mobile network operating companies: Their main threat is the other mobile network operating companies because all are very competitive to each other they are always trying and using lots of competitive strategy to gain the market. So competition is very high in this mobile network operating market. For example, if any one cut the call rate for gaining the market, all of the companies immediately adjust their call rate to handle the market but it decreases the profit. The Government policies: The government has lots of policies those can be threats for the firms. For example, government policy of registration of connections, The age limit of having New connections, the minimum call rate policy, high tax from the call cost are the threats for the company. Those are preventing to gain higher profit.
  • 16. Page | 16 BCG Matrix BCG Matrix is a Business portfolio planning method that evaluates a company’s strategic Business Units in terms of the available market growth rate and relative market share. This Strategic Business Unit (SBU) is classified as Stars, Cash – Cow, Question Marks & Dog. Banglalink also designs their business portfolio by BCG Matrix. It is a method by which their market share and growth rate of their specific product are evaluated. Prepaid Packages: Banglalink entered the market with a promise of making mobile phone affordable for people. This promise was kept and Banglalink was the first operator to introduce a flat rate for all calls (inside own network and to other operators) for the convenience and ease of customers. Banglalink currently offers two prepaid plans. One is Prepaid Mobile to Mobile and the other is Prepaid Standard that includes T&T incoming and outgoing with NWD and ISD. All connections provide GPRS to subscribers. Post-Paid Packages: Currently there are postpaid plans from Banglalink for its retail customers. All packages come with Postpaid Packages: T&T local, NWD, ISD and connectivity. Banglalink also provides exclusive corporate post paid plans for their corporate clients. However, all of their packages provide exclusive service offers based on the package plan. BCG Matrix figure provided on the other page will give a rough idea of their product evaluation as per the market growth rate vs market share rate of Bangladesh. A detailed report of their BCG figure was restricted to provide in this report as per the concerning officers to maintain the confidentiality of their Corporation planning.
  • 17. Page | 17 We also went ahead and held brief discussion session with one of the Vice President of the Marketing dept of ROBI, Mr. Nazmul Hassan who gave us idea of the overall telecom industry of Bangladesh. Thus we have conducted some more researches using other secondary resources and came up with a following report applying BCG growth- share Matrix method on the other competitors and Banglalink. GrameenPhone had become a leader, a star, in the market soon after it entered the industry. While Robi has been in the market as long as GrameenPhone has, it had failed to take the aggressive growth strategies that GP had used from the beginning, such as heavy promotion to build brand loyalty. It grew quite slowly and tried to improve their technology and network slowly without creating too much hype. However, Robi has stepped up its promotional activities and is fast gathering more and more market share. Hence, with an impressive growth rate of nearly 200%, this question mark may become a star not too far in the future. Banglalink was as good as dead, and thus, a dog (even in a high growth market) while it STARS (High Growth) Question Mark (Low Share) Prepaid M2M Prepaid Standard Cash Cow (Low Growth) Dogs (Low share) Post-Paid Regular Corporate Packages Market Growth Rate Growth Rate Relative Market Share BCG Matrix Figure
  • 18. Page | 18 operated under the brand name Sheba. However, with the change in ownership, it is giving the star and the second operator of the country a run for its money. While it may seem too ambitious saying that it would overtake the leader anytime soon, it is certainly a possibility Hence, while both Robi and Banglalink are still question marks in the model they are both giving the star of the market a hard time, and may soon displace it, if it does not do something soon about its packages. It is difficult to map CityCell using the BCG matrix, mostly because it has a very low relative market share and a very poor growth rate in an industry with impressive growth rate and hence falls in the under-developed category. This may, however, be explained away with the fact that CityCell operates through the use of CDMA technology while the rest of the market is following the GSM technology, with GrameenPhone having just moved into GPRS & EDGE recently. However, with the purchase of PBTL by SingTel for an amount of nearly $60 million, CityCell may be in for some expansion and show signs of change in the years to come. With only 250,000 subscribers, Teletalk has a relative market share that falls below 0.1 and hence does not fall into any of the quadrants. Moreover, while the growth rate of Teletalk indicates that it may overtake CityCell soon, with the litigation, it is under, and expansion plans of CityCell, it is still in question. Market Growth Rate STARS Question Mark Grameen Phone Banglalink Robi Cash Cow Dogs Airtel Teletalk CityCell Relative Market Share
  • 19. Page | 19 5 Force Analysis Porter’s 5 Forces consist of: Threat of new Entrants Threat of Substitutes Bargaining power of Buyers Bargaining power of Suppliers Current Rivalry Porter’s 5 Forces analysis for Banglalink: Banglalink Grameenphone Airtel Robi Teletalk Threat of new Entrants High Bargaining power of Buyers Medium to low Bargaining power of Suppliers Low Threat of Substitutes Medium to high
  • 20. Page | 20 Threatof new Entrants: New Entrants possess high threat towards our company Banglalink. Explanation: Threat level of new entrants is high because they’ve got a chance to know about mobile phone servicing business for a long period of time. Now-a-days there’re a lot of mobile phone servicing companies in our country and a new entrant can easily know how to make profits and how to prevent losses, through proper observation. Knowing what kind of new technology or new technique will be accepted by the clients, isn’t a difficult job to do for the new ones. For example; when Banglalink first entered in this industry, call-rate of other companies were 6tk/minute or more. However, Banglalink started their new journey with call-rate of 4tk/per minute. So we can easily say, obviously threat of new entrants is high. Threatof Substitutes: Threat of Substitutes is of medium to high level. Explanation: This kind of threat is of medium to high because some substitutes can possess high threat and some medium. For example: Teletalk first brought 3G supporting sim-card in the market and Banglalink lag behind from them in this case and so Teletalk created high threat. On the contrary, Banglalink brought package of several fnfs before others and they created threat to others. Besides, Banglalink has a very good customer-service and that one is after receiving a single text from their clients they call back and sort out clients’ problems where other companies don’t have this facility. In short, threat of substitutes is medium to high depending on new products and services. Bargainingpowerof Buyers: Bargaining power of buyers is of medium to low.
  • 21. Page | 21 Explanation: Buyers might have many options but in some cases they like to use Banglalink. Banglalink is more preferable because of cheap internet package and faster internet service, customer care, good network system in cities. However, Banglalink has a problem of weak networking system in some remote villages where Grameen-phone can provide good networking systems in remote areas. So because of this lacking, Clients get a good bargaining point. Bargainingpowerof Suppliers: Bargaining power of suppliers is low. Explanation: Cell phone servicing company give such high volume orders that suppliers have been cautious not to bargain with them. For the cell phone servicing companies suppliers are mainly cards security companies or network-tower builders. As a leading company, Banglalink can increase pressure on suppliers but suppliers can’t take the chance to temper with the relationship between them. So they give their best to hold their goodwill as a supplier and possess low level of threats. Intensity of Rivalry among Current Competitors: It can create threat of medium to high level. Explanation: At some extent other companies can intensify the rivalry with Banglalink because of fluctuations of clients’ demands and growth rate of product or services. On the other hand, Banglalink has some good techniques to tackle others in some sectors. Banglalink do some social services like helping poor children and serving Iftar to street people during Ramadan. Thus intensity of rivalry can go from medium to high depending on customers’ demands and social works or different activities.
  • 22. Page | 22 Growth Strategy Seeking to increase the organization’s business by expansion into new products and markets. Types of Growth Strategies: Concentration Vertical integration Horizontal integration Diversification: 1.Related, 2.Unrelated I would like to suggest Related Diversification for Banglalink. Here Banglalink can acquire mobile producing company. There they can produce mobile accessories, mobile phones, Tablet pcs etc. As Banglalink is the mobile network operating company, they have a good brand name in this mobile related market. So, for the growth of the company or expanding to the new business they can go for producing mobile accessories, mobile phones, Tablet pcs etc. They can acquire new mobile producing company. Their brand name will carry the brand verification to the customers. The customers will feel trust for those products. Also, it can be good quality and low cost products. That can meet all the customers’ ability to buy. So, the Brand name, Good quality and Low cost will gain a large market. That large market will be good for the business and that good business will carry a high profit to the company. For example: Grameen phone has already started their mobile phone producing business along with their mobile network operating business.
  • 23. Page | 23 Competitive Strategy Competitive strategies are the method by which you achieve a competitive advantage in the market. Naturally there are three types of competitive strategies. They are cost leadership, differentiation and a focus strategy. A mixture of two or more of these strategies is also possible depending on your business objectives and current market position. Cost leadership The aim of this strategy is to be a low cost producer relative to your competitors and is particularly useful in markets where price is a deciding factor. In this case you need to be aware of any serious loss in quality that may render low cost ineffective. So, we would like to suggest cost leadership style for Banglalink. Mobile call rate: At first we should think about mobile call rate. It could be per minute or per second system. The most important thing in this case is customer’s satisfaction. Other mobile operator is doing better than Banglalink nowadays. It’s not a good side for us as we present Banglalink now. When Banglalink first started their work then the call rate of Grameenphone was 7 + taka per minute. Banglalink offered us near about 4/5 taka per minute. It was an excellent offer for the customer. At present many mobile are available. Specially,Airtel gives people some offer which is really liked by customer specially by young generation people as well as aged people. Now the situation is hard to control for Banglalink without following the cost leadership strategies. Banglalink should apply cost leadership strategies successfully to get back their acceptance from the customer. For example, we say the started time of Banglalink. That time Grameenphone was highly famous but Banglalink got the attention of customer and in that case cost leadership strategies played a vital role. Internet package: We should improve in not only mobile call rate but also internet packages. Some mobile operator like Airtel, Teletalk give more opportunity to the customers with their attractive packages and good network. In this case Teletalk controls the market nicely. Their special youth package is liked by young people very much. Banglalink should do something in this field. At first they should give more importance in the networking system, which will be for the whole country, not for Dhaka or some big cities only. Then they can offer attractive packages after thinking the different ages of users. If the rate is high than other operator then, their try will be
  • 24. Page | 24 not successful. In this case we should also give the importance of customer’s satisfaction by good networking and cheap rate. So, cost leadership strategy is necessary. Banglalink should handle this full process very carefully to raise the brand Banglalink. Advantage: The advantage of using successful cost leadership style is high. Because of accepting by the more customers their market will be big and Banglalink can earn more profit. As a result they can give some extra offer for the customer’s to please them as well as improve their own condition.
  • 25. Page | 25 Conclusion As per the analysis of the whole report, we can conclude that as the aspiration statement Banglalink as a novice cellular company has improved its condition within a very short time. The marketing plan of the company has proven right for the organization because it’s spreading its business gradually. But still it’s not the biggest cellular company in the country. GP is the leader in the market and Banglalink has got lot of aspect to improve the situation. So to be the market leader Banglalink must be very careful in the field of marketing plan and the success of the company is a matter of subject that how they are implementing the plan. As a result the Business Development and Customer Retention Policies implementation consumers’ behavior towards Banglalink is very positive and their satisfaction level is very high. The consumers of sim connection are preferred The Banglalink most. The consumers believe that Banglalink provides high quality product, but the call rate, connection rate are not so high. Consumers are mainly got information from television ads. So, at the end we can conclude that Banglalink is one of the finest companies in Bangladesh. They provide high quality of product and consumers are satisfied with Banglalink’s products they bought, especially postpaid sim connection. Consumers are satisfied by Banglalink sim category.
  • 26. Page | 26 References Internet Links: Banglaink Digital Communications Limited. About Us: Banglalink. 2014. http://www.banglalink.com.bd/en/ (accessed August 2014). Bplans. May 2014. http://articles.bplans.com/how-to-perform-swot-analysis/ (accessed August 2014). Report: Bangalink. growing through wisdom of culture. annual report, Dhaka: Banglalink Digital Communications Limited, 2013. Book: Management, Robbins/Coulter,8th Edition Zeithaml, Valarie A., and Mary Jo Bitner. Sevice Marketing. New Delhi: Tata McGraw-Hill Publishing Company Limited, Third edition. Face to Face Interviews: Mr. Nizar Al Assaad, Chief Information and Customer Experience Officer, Banglalink Mr. M. Nurul Alam, Company Secretary & Local Compliance Officer, Banglalink Mr. Nazmul Hassa, Vice President, Marketing dept, ROBI