GROUP NO.202 PRESTIGE INSTITUTE OF MANAGEMENT AND RESEARCH, INDORE SECTORIAL PRESENTATION SESSION: 2017-19 MBA MARKETING MANAGEMENT (II-SEM.) TELECOM SECTOR SUBMITTED BY: ADITYA THAKUR 1121609872 SHUBHAM JAISWAL 1121609899 SUMIT TIWARI 1121610227
CONTENTS INTRODUCTION TRAI CONTRIBUTION IN THE ECONOMY COMPARISION WITH OTHER SECTOR IMPORTANCE OF OTHER SECTOR SWOT ANALYSIS OF 3 MAJOR PLAYERS CONCLUSION : FUTURE OF INDIAN TELECOM SECTOR
Introduction The word TELECOMMUNICATION is : GREEK (TELE) + LATIN ( COMMUNICARE) TELE : distant, far off COMMUNICARE: to share At present Telecommunication occurs when the exchange of information between communication participants includes the use of technology Telecom sector is the area which is based on the mechanism of telecommunication
TRAI THE TELECOM REGULATORY AUTHORITY OF INDIA (TRAI) ESTABLISHED ON : 20 TH February 1997 CHAIRMAN : RAM SEWAK SHARMA SET UP UNDER TELECOM REGULATORY AUTHORITY OF INDIA ACT 1997 NEED : The entry of private service providers demanded the need for independent regulation AIM : to regulate telecom services, including fixation/revision of tariffs for telecom services which were earlier vested in the Central Government . MISSION : to create and nurture conditions for growth of telecommunications in the country which will enable India to play a leading role in emerging global information society . OBJECTIVE : objectives of TRAI is to provide a fair and transparent policy environment which facilitates fair competition .
Contribution in the Economy Second largest market and third highest number of internet users Tele-density increased from 17.9% in FY07 to 92.59% in FY17 = 74.69% The mobile segment’s tele density surged from 14.6 per cent in FY07 to 90.70 per cent in FY17 = 76.1% GSM services continue to dominate the wireless market with a 98.66 per cent share, while CDMA services accounted for the remaining 1.34 per cent share .
There has been an increase of 12.34% in FY17
Comparison with other Sectors
IMPORTANCE OF TELECOM IN VARIOUS SECTOR INFRASTRUCTURE AGRICULTURE EDUCATION HEALTH GOVT. SECTOR BUSINESS SECTOR
STRENGTHS WEAKNESSES Renowned Telecom company High Brand Equity Extensive infrastructure Strategic Alliances Outsourced Operations High Debt OPPORTUNITIES THREATS Strategic Partnership Market Development VAS Untapped geography of the current market LTE Government Regulatory Framework Competition MNP (Mobile number portability) SWOT ANALYSIS: AIRTEL
SWOT ANALYSIS: IDEA STRENGTHS WEAKNESSES Robust Services Wide network Prompt Service Various domains of service Weaker 4 G Poor rural access Pricing OPPORTUNITIES THREATS Growth in technology 4 G networks Connected devices Competition jio
BOON FOR INDIA
SWOT ANALYSIS: JIO STRENGTHS WEAKNESSES Strongest Customer Acquisition strategy Strong customer base Technology Strong backing of parent company Reliance Industries Brand Management Fast and wide network Multiple offerings under a single name Late entry into the market Activation Issues Pricing Controversies Too many freebies Data connection poor OPPORTUNITIES THREATS Future driven technology 5G technologies Apps Competitive Pricing Strategies Expansion to other countries Risk of loss of customers Removal of free services Major competitors
CONCLUSION
FUTURE OF INDIAN TELECOM INDUSTRY India will emerge as a leading player in the virtual world by having 700 million internet users of the 4.7 billion global users by 2025 , as per a Microsoft report. With the government’s favorable regulation policies and 4G services hitting the market, the Indian telecommunication sector is expected to witness fast growth in the next few years. GOI plans to auction the 5G spectrum in bands like 3,300 MHz and 3,400 MHz to promote initiatives like Internet of Things ( IoT ), machine-to-machine communications, instant high definition video transfer as well as its Smart Cities initiative . The Indian mobile phone industry expects that the GOI's boost to production of battery chargers will result in setting up of 365 factories, thereby generating 800,000 jobs by 2025 .
CONT…. India’s telecom sector is going through a period of stress owing to growing losses and rising debt, amid heightened competition due to the disruptive entry of Reliance Jio. Jio’s plans led to a tariff war between incumbent carriers including Bharti Airtel ,Vodafone India and Idea Cellular, with Jio, which resulted in free voice calls for customers coupled with dollops of free data, but eroded revenue for the older carriers.