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Telecom Sector [2009]

CHAPTER-1

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INTRODUCTION

Comparative research, simply put, is the act of comparing two or more things with
a view to discovering something about one or all of the things being compared.
This technique is often utilizes multiple disciplines in one study.

When it comes to method, the majority agreement is that there is no methodology


peculiar to comparative research. The multidisciplinary approach is good for the
flexibility it offers, yet comparative programs do have a case to answer against
the call that their research lacks a “seamless whole”.

There are certainly methods far more common than others in comparative
studies, however. Quantitative analysis is much more frequently perused than
qualitative, and this is seen in the majority of comparative studies can be use
quantitative data.

The general method of comparing things is the same for comparative research as
it is in our everyday practice of comparisons. Like cases are treated alike, and
cases are treated differently; the extent of difference determines how differently
cases are treated. The point here is that if one is able to sufficiently distinguish
two cases, comparative research conclusions will not be very helpful.

Secondary analysis of quantitative data is relatively widespread in comparative


research, undoubtedly in part because of the cost of obtaining primary data for
such large things as a country’s policy environment. A typical method of
comparing welfare state is to take balance their levels of spending on social
welfare.

In line with how a lot of theorizing has gone in the last century, comparative
research does not tend to investigate ‘grand theories’ such as Marxism. It instead
occupies itself with middle-range theories – theories that do not purport to
describe our social system in its entirely, but a subset of it. A good example of this
is the common research programs that looks for differences between two or more

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social systems, then look at these differences in relation to some other variable
coexisting in those societies to see if it is related. The classic cases of this is
Esping-Anderson’s research on social welfare systems, and compared them
based on there levels of deco modification of social welfare goods. He found that
he was able to class welfare states in four types, based on their deco
modification. She further theorized from this that deco modification was based on
a combination of class collisions and mobilization, and regime legacy. Here
Esping-Anderson is using comparative research: he takes many western
countries and compared their level of deco modification, then develops a theory of
the divergence based on his findings.

Comparative research is a methodology in the social sciences that aims to make


comparisons across different countries and cultures. A major problem in
comparative research is that the data sets in different countries may not use the
same categories, or define categories differently.

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OBJECTIVES OF THE STUDY

• Creating an awareness to Airtel broadband customers about the facilities


in broadband connections.

• Analyzing the problem faced by broadband customers.

• Collecting the data bases of different age group of customers interested


in different types of toppings offer.

• Motivating the customers to take broadband connections.

• Analyzing which broadband plan is more used by customers.

• Analyzing which type of topping is more used by customers.

• Analyzing the satisfaction level of customer towards broadband


connection.

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CHAPTER-2

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Telecom Industry in India

The telecom network in India is the fifth largest network in the world meeting up
with global standards. Presently, the Indian telecom industry is currently slated
to an estimated contribution of nearly 1% to India’s GDP.

The telecom industry is one of the fastest growing industries in India. India has
nearly 200 million telephone lines making it the third largest network in the world
after China and USA. With a growth rate of 45%, Indian telecom industry has
the highest growth rate in the world.

Much of the growth in Asia Pacific Wireless Telecommunication Market is


spurred by the growth in demand in countries like India and China.
India‘s mobile phone subscriber base is growing at a rate of 82.2%.
China is the biggest market in Asia Pacific with a subscriber base of 48% of the
total subscribers in Asia Pacific. Compared to that India ’s share in Asia Pacific
Mobile

Phone market is 6.4%. Considering the fact that India and China have
almost comparable populations, India’s low mobile penetration offers huge
scope for growth.

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Origin and Development of the Industry :-


Evolution of the industry-Important Milestones History of Indian
Telecommunications

 1851 First operational land lines were laid by the government near
Calcutta (seat
of British power)
 1881 Telephone service introduced in India
 1883 Merger with the postal system
 1923 Formation of Indian Radio Telegraph Company (IRT)
 1932 Merger of ETC and IRT into the Indian Radio and Cable
Communication Company (IRCC)
 1947 Nationalization of all foreign telecommunication companies to form
the Posts, Telephone and Telegraph (PTT), a monopoly run by the
government's Ministry of Communications
 1985 Department of Telecommunications (DOT) established, an
exclusive
 provider of domestic and long-distance service that would be its own
regulator (separate from the postal system)
 1986 Conversion of DOT into two wholly government-owned companies:
the Videsh Sanchar Nigam Limited (VSNL) for international
telecommunications and Mahanagar Telephone Nigam Limited (MTNL)
for service in metropolitan areas.
 1997 Telecom Regulatory Authority of India created.
 1999 Cellular Services are launched in India. New National Telecom
Policy is adopted.
 2000 DoT becomes a corporation, BSNL

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GROWTH OF TELECOM IN INDIA:-


• Aug 1999 License fee (revenue share) reduced from provisional 15% to
12%, 10% & 8% onCircle wise basis (A type, B type & C type circles)

• 2000 TRAI Act amended & separate tribunal proposed

• Jan 2001TDSAT started functioning

• Jan 2001Policy announced for additional licenses in Basic and Mobile


Services

• Jan 2001 Limited mobility allowed to Basic Services (CDMA spectrum


allotted to Basic Service Operators) Oct-2002 BSNL entered in to GSM
cellular operation

• w.e.f 19th October, 2002. Made incoming

• call free & initiated tariff equalization process

• Tariff for GSM cellular mobiles reduced

• Nov 2003 Unified Access (Basic & Cellular) Service License USAL)
introduced as a first step

• towards Unified License Regime

• Technology neutral and allows provisioning

• any kind of service

• Apr 2004 License fee reduced by 2% across the board for

• all the access licenses.

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Present Status (as on 31.12.2008)

Customer Base in million


• Wireline Customers : 31.72

• WLL Customers : 4.09

• GSM Customers : 32.71

• Total Customers : 68.51

• Broadband customers : 1.45

• Internet Customers : 3.35

• Village Public Telephones (VPTs) : 5.18 Lakh

. Largest Transmission Network in the Country


– OFC Network : 5.29 Lakh RKMs

– M/W Network : 0.50 Lakh RKMs

– Satellite Earth Stations : 217 Numbers

• Internet Nodes operational at all District Headquarters.

• All wiredline connections enabled for Dial-up Internet Services.

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Future Trend Of Telecommunication Industry In


India :-

Motivation

The telecommunications industry is one of the fastest growing industries in


India. It more than characterized the boom in the Indian economy. The
teledensity in India grew at a rate from just about three for every 100 people in
2000 to reach 10.66 per 100 as of October 2005. This phenomenal growth in
the telecommunication scenario can be attributed to the exponential growth of
the wireless phones in the country. The Government has targeted to have
subscriber base of 250 million phones by 2007, which would translate to a
teledensity of 23 per 100 people. The major beneficiary of these policy initiatives
has been the wireless market, which has spearheaded the telecom revolution in
India and has continued to attract large investments.
There is a lot made out for the 3G services. Should 3G services be introduced in
India? Would that serve the purpose? The initial buzz is that 3 G services would
give the always-on connectivity to the mobile owners. But ongoing war between
3G, 4G and WiMax will not make it easy for India to decide its future course.

Objective of the Paper

This paper will comprehensively cover the past, present and future of
telecommunication industry in India. I will then follow up with in-depth operator
analysis and their future anticipation and will attempt to gauge industry players’
interest in 3G, 4G and WiMAX and understand their views, plans and concerns.
We will compare these results and analyze the changes in market perception of
WiMax and the implications that these changes have for operators.

This report reassesses the viability of 3G, 4G and WiMax both regionally and

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globally, using in-depth case studies of innovators in the field to examine what
works, and what doesn’t.

Classification of Telecommunication services


1. Basic services
2. Cellular services
3. Internet Service Provider (ISP)

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BROADBAND

Overview:-

At the end of the module you will be able to:

 Explain the importance of your role in broadband & internet field.

 List down your Key Result Areas (KRAs) & Core Responsibilities

 Make a positive difference

What is Broadband?
Broadband in telecommunications refers to a signaling method that includes
or handles a relatively wide range (or band) of frequencies, which may be
divided into channels or frequency bins. Broadband is always a relative term,
understood according to its context. The wider the bandwidth, the greater the
information-carrying capacity. In radio, for example, a very narrow-band
signal will carry Morse code; a broader band will carry speech; a still broader
band is required to carry music without losing the high audio frequencies
required for realistic sound reproduction. A television antenna described as
"normal" may be capable of receiving a certain range of channels; one
described as "broadband" will receive more channels. In data
communications an analogue modem will transmit a bandwidth of 56 kilobits
per seconds (kbit/s) over a telephone line; over the same telephone line a
bandwidth of several megabits per second can be handled by ADSL, which
is described as broadband (relative to a modem over a telephone line,
although much less than can be achieved over a fibre optic circuit).

Growth Drivers

Opening up of international and domestic long distance telephony services are


growth drivers in the industry. Cellular operators now get substantial revenue
from these services, and compensate them for reduction in tariffs on air time,
which along with rental was the main source of revenue. The reduction in tariffs

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for airtime, national long distance, international long distance, and handset
prices has driven demand.

The Key players in the Telecom Market in India

internet Service provider:


1. BSNL
2. Airtel
3. Reliance
4. Tata indicom
5. Idea

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INTRODUCTION
OF
TELECOM
COMPANIES

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Company Profile

INTRODUCTION

“Bharti Airtel” formerly known as Bharti Tele-Ventures Limited (BTVL) is among


India's largest mobile phone and Fixed Network operators. With more than 60
million subscriptions as of 13th February 2008.[2] It offers its mobile services
under the Airtel brand and is headed by Sunil Mittal. The company also provides
telephone services and Internet access over DSL in 14 circles. The company
complements its mobile, broadband & telephone services with national and
international long distance services. The company also has a submarine cable
landing station at Chennai, which connects the submarine cable connecting
Chennai and Singapore. The company provides reliable end-to-end data and
enterprise services to the corporate customers by leveraging its nationwide fiber
optic backbone, last mile connectivity in fixed-line and mobile circles, VSATs,
ISP and international bandwidth access through the gateways and landing
station.

Airtel is the largest cellular service provider in India in terms of number of


subscribers. Bharti Airtel owns the Airtel brand and provides the following
services under the brand name Airtel: Mobile Services (using GSM
Technology), Broadband & Telephone Services (Fixed line, Internet
Connectivity(DSL) and Leased Line), Long Distance Services and Enterprise
Services (Telecommunications Consulting for corporates).

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Leading international telecommunication companies such as Vodafone and


SingTel held partial stakes in Bharti Airtel.

In April 2006 Bharti Global Limited was awarded a telecommunications license


in Jersey in the Channel Islands by the local telecommunications regulator the
JCRA. In September 2006 the Office of Utility Regulation in Guernsey awarded
Guernsey Airtel with a mobile telecommunications license. In May 2007 Jersey
Airtel and Guernsey Airtel announced the launch of a relationship with Vodafone
for island mobile subscribers. In July 2007, Bharti Airtel signed an MoU with
Nokia-Siemens for a 900 million dollar expansion of its mobile and fixed
network.[3] In August 2007, the company announced it will be launching a
customized version of Google search engine that will provide an 'array of
services' to its broadband customers.

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INTRODUCTION

A DREAM COME TRUE

The Late Dhirubhai Ambani dreamt of a digital India — an India where the
common man would have access to affordable means of information and
communication. Dhirubhai, who single-handedly built India’s largest private
sector company virtually from scratch, had stated as early as 1999: “Make the
tools of information and communication available to people at an affordable
cost. They will overcome the handicaps of illiteracy and lack of mobility.”

It was with this belief in mind that Reliance Communications (formerly Reliance
Infocomm) started laying 60,000 route kilometres of a pan-India fibre optic
backbone. This backbone was commissioned on 28 December 2002, the
auspicious occasion of Dhirubhai’s 70th birthday, though sadly after his
unexpected demise on 6 July 2002.

Reliance Communications has a reliable, high-capacity, integrated (both


wireless and wireline) and convergent (voice, data and video) digital network. It
is capable of delivering a range of services spanning the entire infocomm
(information and communication) value chain, including infrastructure and
services — for enterprises as well as individuals, applications, and consulting.

Today, Reliance Communications is revolutionising the way India communicates


and networks, truly bringing about a new way of life.

Reliance Communications (formerly Reliance Infocomm), along with Reliance


Telecom and Flag Telecom, is part of Reliance Communications Ventures

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(RCoVL). According to National Stock Exchange data, Anil Ambani controls


66.75 per cent of the company, which accounts for more than 1.36 billion shares
of the company.[1]Reliance Infocomm is an Indian telecommunications
company. It is the flagship company of the Reliance-Anil Dhirubhai Ambani
Group, comprising of power (Reliance Energy), financial services (Reliance
Capital) and telecom initiatives of the Reliance ADA Group. Reliance Infocomm
is currently managed by Anil Dhirubhai Ambani.It uses CDMA2000 1x
technology

HISTORY

Reliance Infocomm was founded by Dhirubhai Ambani. Between 1999 to 2002


Reliance Infocomm built 60,000 km of fibre optic backbone in India. This
network was commissioned on December 28, 2002.

FOOTPRINT

At present, Reliance Telecom's GSM cellular services are available in 340


towns within its eight-circle footprint. Reliance's CDMA services are available in
19 states and cover about 65% of the country, state wise. Reliance Infocomm
also offered for the first time in India, mobile data services through its R-World
mobile portal. This portal leverages the data capability of the CDMA 1X network.

BUSINESS REVIEW

During the twelve months ended March 31, 2007, revenues of the Wireless
business increased by 46% to Rs. 10,728 crore (US$ 2,489 million) from Rs.
7,364 crore (US$ 1,709 million).

Wireless EBITDA increased to Rs. 3,984 crore (US$ 924 million) from Rs. 2,250
crore (US$ 522 million). Margins expanded to 37% from 31%.

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EBITDA of the Global business increased by 98% during the twelve months
ended March 31, 2007 to Rs. 1,271 crore (US$ 295 million). EBITDA margins
increased to 24% from 12% last year.

In the same period, the Broadband business achieved revenue growth of 123%
to Rs. 1,144 crore (US$ 265 million), and EBITDA increased by more than 6
times, to Rs. 519 crore (US$ 120 million). The EBITDA margin crossed 45% in
the twelve months ended March 31, 2007, from 15% in the corresponding
period in the previous year.

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TATA TELESERVICES

INTRODUCTION

Tata Teleservices Limited (TTSL) is part of the Tata Group of Companies, an


Indian Conglomerate. It runs the brand name Tata Indicom in India in various
telecom circles of India. The company forms part of the Tata Group's prescence
in the Telecommunication Industry in India, along with Tata Teleservices
(Maharashtra) Limited (TTML) and VSNL.

TTSL was incorporated in 1995 and was the first company to offer CDMA
Mobile services in India, specifically in the state of Andhra Pradesh.

In December 2002, the company acquired the erstwhile Hughes Telecom (India)
Ltd. which was renamed Tata Teleservices (Maharashtra) Limited.

In September 2007, Tata Indicom launched the Talk World plan, an


International Long Distance Plan.

Tata is the direct competitor with Reliance, both CDMA operators in India. The
company provides unified telecommunication solutions including mobile, fixed
wireless, fixed line and broadband. Other competitors are Vodafone, Airtel,
Aircel, Idea, MTNL, BSNL providing GSM based mobile telephony.

The company was first in India to provide free intra network calling within city
limits. They launched a unique scheme providing lifetime rental free connectivity
on its mobile and fixed wireless for a one time charge.

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Tata Teleservices is part of the INR Rs. 119000 Crore (US$ 29 billion) Tata
Group, that has over 87 companies, over 250,000 employees and more than
2.8 million shareholders. With a committed investment of INR 36,000 Crore
(US$ 7.5 billion) in Telecom (FY 2006), the Group has a formidable presence
across the telecom value chain.

Tata Teleservices spearheads the Group’s presence in the telecom sector.


Incorporated in 1996, Tata Teleservices was the first to launch CDMA mobile
services in India with the Andhra Pradesh circle.

Starting with the major acquisition of Hughes Tele.com (India) Limited [now
renamed Tata Teleservices (Maharashtra) Limited] in December 2002 the
company swung into an expansion mode. With the total Investment of Rs
19,924 Crore, Tata Teleservices has created a Pan India presence spread
across 20 circles that includes Andhra Pradesh, Chennai, Gujarat, Karnataka,
Delhi, Maharashtra, Mumbai, Tamil Nadu, Orissa, Bihar, Rajasthan, Punjab,
Haryana, Himachal Pradesh, Uttar Pradesh (E), Uttar Pradesh (W), Kerala,
Kolkata, Madhya Pradesh and West Bengal.

Having pioneered the CDMA 3G1x technology platform in India, Tata


Teleservices has established a robust and reliable 3G ready telecom
infrastructure that ensures quality in its services. It has partnered with Motorola,
Ericsson, Lucent and ECI Telecom for the deployment of a reliable,
technologically advanced network.

The company, which heralded convergence technologies in the Indian telecom


sector, is today the market leader in the fixed wireless telephony market with a
total customer base of over 3.8 million.

Tata Teleservices’ bouquet of telephony services includes Mobile services,


Wireless Desktop Phones, Public Booth Telephony and Wireline services. Other
services include value added services like voice portal, roaming, post-paid

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Internet services, 3-way conferencing, group calling, Wi-Fi Internet, USB


Modem, data cards, calling card services and enterprise services.

Some of the other products launched by the company include prepaid wireless
desktop phones, public phone booths, new mobile handsets and new voice &
data services such as BREW games, Voice Portal, picture messaging,
polyphonic ring tones, interactive applications like news, cricket, astrology, etc.

Tata Indicom redefined the existing prepaid mobile market in India, by unveiling
their offering – Tata Indicom ‘Non Stop Mobile’ which allows customers to
receive free incoming calls. Tata Teleservices today has India’s largest branded
telecom retail chain and is the first service provider in the country to offer an
online channel www.ichoose.in to offer broadband mobile connections in the
country.

Tata Teleservices has a strong workforce of 6000. In addition, TTSL has


created more than 20,000 jobs, which will include 10,000 indirect jobs through
outsourcing of its manpower needs.

Today, Tata Teleservices Limited along with Tata Teleservices (Maharashtra)


Limited serves over 21 million customers in over 4000 towns. With an ambitious
rollout plan
both within existing circles and across new circles, Tata Teleservices offers
world-class technology and user-friendly services in 20 circles.

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INTRODUCTION

Bharat Sanchar Nigam Limited (known as BSNL, India Communications


Corporation Limited) is a public sector communications company in India. It is
the India's largest telecommunication company with 25.14% market share as on
December 31, 2007. Its headquarters are at Bharat Sanchar Bhawan, Harish
Chandra Mathur Lane, Janpath, New Delhi. It has the status of Mini-ratna - a
status assigned to reputed Public Sector companies in India.

BSNL is India's oldest and largest Communication Service Provider (CSP).


Currently BSNL has a customer base of 68.5 million (Basic & Mobile telephony).
It has footprints throughout India except for the metropolitan cities of Mumbai
and New Delhi which are managed by MTNL. As on December 31, 2007 BSNL
commanded a customer base of 31.7 million Wireline, 4.1 million CDMA-WLL
and 32.7 million GSM Mobile subscribers. BSNL's earnings for the Financial
Year ending March 31, 2007 stood at INR 397.15b (US$ 9.67 b) with net profit
of INR 78.06b (US$ 1.90 billion). Today, BSNL is India's largest Telco and one
of the largest Public Sector Undertaking with estimated market value of $ 100
Billion. The company is planning an IPO with in 6 months to offload 10 % to
public.

Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th largest
Telecommunications Company providing comprehensive range of telecom
services in India: Wireline, CDMA mobile, GSM Mobile, Internet, Broadband,
Carrier service, MPLS-VPN, VSAT, VoIP services, IN Services etc. Within a
span of five years it has become one of the largest public sector unit in India.

BSNL has installed Quality Telecom Network in the country and now focusing
on improving it, expanding the network, introducing new telecom services with

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ICT applications in villages and wining customer's confidence. Today, it has


about 47.3 million line basic telephone capacity, 4 million WLL capacity,
20.1 Million GSM Capacity, more than 37382 fixed exchanges, 18000 BTS,
287 Satellite Stations, 480196 Rkm of OFC Cable, 63730 Rkm of Microwave
Network connecting 602 Districts, 7330 cities/towns and 5.5 Lakhs
villages.

BSNL is the only service provider, making focused efforts and planned initiatives
to bridge the Rural-Urban Digital Divide ICT sector. In fact there is no telecom
operator in the country to beat its reach with its wide network giving services in
every nook & corner of country and operates across India except Delhi &
Mumbai. Whether it is inaccessible areas of Siachen glacier and North-eastern
region of the country. BSNL serves its customers with its wide bouquet of
telecom services.

BSNL is numero uno operator of India in all services in its license area. The
company offers vide ranging & most transparent tariff schemes designed to
suite every customer. BSNL cellular service, CellOne, has more than 17.8
million cellular customers, garnering 24 percent of all mobile users as its
subscribers. That means that almost every fourth mobile user in the country has
a BSNL connection. In basic services, BSNL is miles ahead of its rivals, with
35.1 million Basic Phone subscribers i.e. 85 per cent share of the subscriber
base and 92 percent share in revenue terms.

BSNL has more than 2.5 million WLL subscribers and 2.5 million Internet
Customers who access Internet through various modes viz. Dial-up, Leased
Line, DIAS, Account Less Internet(CLI). BSNL has been adjudged as the
NUMBER ONE ISP in the country.

BSNL has set up a world class multi-gigabit, multi-protocol convergent IP


infrastructure that provides convergent services like voice, data and video
through the same Backbone and Broadband Access Network. At present there
are 0.6 million DataOne broadband customers.

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The company has vast experience in Planning, Installation, network integration


and Maintenance of Switching & Transmission Networks and also has a world
class ISO 9000 certified Telecom Training Institute.

Scaling new heights of success, the present turnover of BSNL is more than
Rs.351,820 million (US $ 8 billion) with net profit to the tune of Rs.99,390
million (US $ 2.26 billion) for last financial year. The infrastructure asset on
telephone alone is worth about Rs.630,000 million (US $ 14.37 billion).

BSNL plans to expand its customer base from present 47 millions lines to 125
million lines by December 2007 and infrastructure investment plan to the tune of
Rs. 733 crores (US$ 16.67 million) in the next three years.

The turnover, nationwide coverage, reach, comprehensive range of telecom


services and the desire to excel has made BSNL the No. 1 Telecom Company
of India.

History
The foundation of Telecom Network in India was laid by the British sometime in
19th century. The history of BSNL is linked with the beginning of Telecom in
India. In 19th century and for almost entire 20th century, the Telecom in India
was operated as a Government of India wing. Earlier it was part of erstwhile
Post & Telegraph Department (P&T). In 1975 the Department of Telecom (DoT)
was separated from P&T. DoT was responsible for running of Telecom services
in entire country until 1985 when Mahanagar Telephone Nigam Limited (MTNL)
was carved out of DoT to run the telecom services of Delhi and Mumbai. It is a
well known fact that BSNL was carved out of Department of Telecom to provide
level playing field to private telecoms.Subsequently in 1990s the telecom sector
was opened up by the Government for Private investment, therefore it became
necessary to separate the Government's policy wing from Operations wing. The
Government of India corporatised the operations wing of DoT on October 01,
2000 and named it as Bharat Sanchar Nigam Limited (BSNL).BSNL operates as
a public sector.

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Board of Directors

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.1. Chairman & Managing Director since October 2001 Board Director
since: July1995

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Co
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Mobile
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Airte
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• AssociationwithSEA

-Corporates
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IT/ITES, Media, Ed
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BalanceSheet Amou
Total Share
Capital
Net Worth
Total Debt
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Telecom Sector [2009]

Subs
GroupCompa
Sr , No. Nam

1 Bha
2 Vod
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Page
6,91,93,
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Telecom Sector [2009]

NetSales
Company
LastPr
Name
Bharti Airtel 722.3
Reliance
249.2
Com m
IdeaCellular 53.5
MTNL 74.8
Tata Comm
TataTeleservi
Net 495.1

20.1
ce
Tulip
501.2
Telecom
Spice Com m 36.0
HFCL Infotel 7.4
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Telecom Sector [2009]

THEF
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• Portfoliom anager
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Telecom Sector [2009]

About airtel Broadband:-

Why Airtel Broadband ?

High speed internet access


Surf, play, download, stream & make friends with speeds upto 16
mbps(subject to technical feasibility). Impatience is the new life live it with
Airtel Broadband.

Surf while you talk


No more missed calls or blocked telephone lines while using the internet.
Airtel Broadband connection does not block existing telephone lines and

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Telecom Sector [2009]

allows one family member to use the phone while another member surfs
the net.

Always on
With Airtel Broadband, the internet is always ON, always available! No
more waiting for dial-up to connect. You are ready to use the internet as
soon as you switch on your computer.

Exciting Value added services


Whether it’s On Demand Speed, Antivirus software, Music, Games,
opportunities with our value added services are limitless and excitement
is never ending. Click here

Go wifi
Did you know that wi-fi helps you connect your computer/laptop to
internet without ‘wires’. You do not have to park a place in your home to
connect with the world. You can take your laptop around to any place in
your home-bedroom, balcony or even kitchen and keep that music
playing or chat going on without getting disconnected. Enjoy freedom
from wires with Airtel broadband.

Find your perfect match


Airtel broadband offers various plans to choose from, which will suite your
needs. Pick the right plan and live a high speed life.

Plans & Tarrifs:-


Home 499 Plus (Airtel/MP/FL/13)
• MONTHLY CHARGES
o

Monthly Commitment (Rs.) 499


Broadband Data Transfer
Unlimited
Limit
Download Speed * 64 Kbps

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Telecom Sector [2009]

Home 549 Plus (Airtel/MP/FL/14)


• MONTHLY CHARGES
o

Monthly Commitment (Rs.) 549


Broadband Data Transfer Limit Unlimited
Download Speed * 128 Kbps
Additional BB Usage (Rs. / MB)NA

Home 699 plus(Airtel/MP/FL/14)

• MONTHLY CHARGES
o

Monthly Commitment (Rs.) 699


Broadband Data Transfer Limit Unlimited
Download Speed * 256 Kbps
Additional BB Usage (Rs. / MB)NA
Home 599 plus
• MONTHLY CHARGES
o

Monthly Commitment (Rs.) 549


Broadband Data Transfer Limit 512mb
Download Speed * 256 Kbps
Additional BB Usage (Rs. / MB)NA

Home 699 plus


• MONTHLY CHARGES
o

Monthly Commitment (Rs.) 699


Broadband Data Transfer Limit 1Gb
Download Speed * 1 mbps
Additional BB Usage (Rs. / MB)NA

Home 999 plus

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Telecom Sector [2009]

• MONTHLY CHARGES
o

Monthly Commitment (Rs.) 999


Broadband Data Transfer Limit 2Gb
Download Speed * 2 mbps
Additional BB Usage (Rs. / MB)NA

turbo 16 plan

Monthly Commitment (Rs.) 2999


Broadband Data Transfer Limit 20 GB
Download Speed * 16 Mbps
Additional BB Usage (Rs. / MB)Rs. 0.5/MB

Toppings Available

Local Mobile pack

Local Airtel pack

Local Landline pack

Night pack

STD pack

Local SMS pack

Local + National SMS pack

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Telecom Sector [2009]

International pack

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39
Telecom Sector [2009]

Plans of competitor :-

Flat Fee Plans

• Stay connected for as long as you wish and download as much as you
can at a fixed charge.

• Free e-mail ID with 10 MB storage space.

Download speed * 75 Kbps 150 Kbps 300 Kbps 600 Kbps 1 Mbps
Monthly plan charges
400 750 999 1799 2999
(Rs.)

Note: Installation charges Rs 500 extra

• All taxes, including service tax, extra as applicable.

Data Transfer Plans (Pay per MB)

• Get download speeds 600 Kbps or more

• Stay connected for as long as you wish

• Pay only for the data transferred (upload + download), measured in MB

• Free e-mail ID with 10 MB storage space.

Monthly plan Bundled Additional


Download speed*
charges (Rs.) usage usage (Rs./ MB
2000 Kbps 299 1 GB
2000 Kbps 550 2.5 GB
2000 Kbps 750 4 GB 0.90
4000 Kbps 999 4.5 GB
4000 Kbps 1499 7.5 GB

Please note:

• Installation charges Rs 500 extra

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40
Telecom Sector [2009]

• All taxes, including service tax, extra as applicable.

Online Speed Select Plans

• Choose between two monthly plans: a Rs 500 plan with free usage worth
Rs 500, or a Rs 300 plan with free usage worth Rs 225

• Up to 50 per cent discount during night

• Billed on a per-minute basis for your benefit

• Free e-mail ID with 10 MB storage space.

600 1,000
Download speed * 100 Kbps 300 Kbps
Kbps Kbps
Day use charge (Rs/hour) 15 30 45 70
Night use charge — 10 pm
10 15 22.50 35
to 8 am (Rs/hour)

Note:

• Installation charges Rs 500 extra

• All taxes, including service tax, extra as applicable.

Night Unlimited Plans

• Stay connected for as long as you wish during night hours (10 pm to 8
am)

• Flexibility to surf during the day at additional charge

• Billed on per minute basis for day usage

• Free e-mail ID with 10 MB storage space.

Download speed* 100 Kbps 300 Kbps


Monthly plan charges (Rs) 300 650
Day use charges from 8 am to 10 pm 15 30

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Telecom Sector [2009]

(Rs/hour)

Additional
Monthly
Bundled usage
Download speed* Charges
usage (MB) Charges
(Rs.)
(Rs./MB)
Off peak –
300 Kbps 699 Unlimited 0.90
Peak-500

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42
Telecom Sector [2009]

Some analysis about Airtel :-

Strengths
• Largest TelecomPlayer i
~80Mn, 22.6%
• Market Leader
• StrongLeadership – S
Mittal
• RecognizedGlobally
• Pan IndiaPresence
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43
Telecom Sector [2009]

Opportunities
• Bharti Infratel – C
DowncostinRural area
• MatchBoxStrategy
of Penetration
• CurrentTele -Dens
isstill lowam ong
developingcountries
• LowBroadbandPenetra
Rural Telephoney

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44
Telecom Sector [2009]

Ai
MANTRA : Foc
Outsource the

• Partnerwithleadi
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45
Telecom Sector [2009]

• Partnerwithleadi
telecom m unicatio
• Managedtowork
specialistsgloball
classentity.
• Operational contra
andstrategicinves
equityinvestorsto
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46
Telecom Sector [2009]

O
uts
ourc
ing
• Eric ssonw a sg iventhem
m an agea ndm a in
tainthe
pro videq ua litya ssura
n c
m ob ilecircle s.
• IB Mw a
sg iv enth em and
officere quire m en
tso f
Ind ia Perfo
• Bharti Airtel
sincethetelecom
• Ithasm anagedto
position inspit
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47
Telecom Sector [2009]

Future
• Translateitsexpertisein
em ergingeconom ies.
• Thiscouldcall foracquis
• Technologyleadershipis
ensurethatitsrelianceon
notrenderitobsolete.
• Indianm arketinspiteof b
CHAPTER-3
isstill notm atured. Oppo
hinterlandwhichm ustbe

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48
Telecom Sector [2009]

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49
Telecom Sector [2009]

3.1 Student's work profile (Role and responsibilities)

Work Profile :-

Sales executive (Sales associate and lead creator):

Responsibilities: there are some responsibilities-

• To motivate the people for purchase broadband connection.


• To move attract people for broadband connection of Airtel.
• To achieving the target.
• Customer satisfaction.

RESEARCH METHODOLOGY

Definition of Research

The word research is derived from the Latin word meaning to know. It is a
systematic and a replicable process, which identifies and defines problems,
within specified boundaries. It employs well-designed method to collect the data
and analyses the results. It disseminates the findings to contribute to generalize
able knowledge. The characteristics of research presented below will be
examined in greater details later are:

 Systematic problem solving which identifies variables and tests


relationships between them,
 Collecting, organizing and evaluating data.
 Logical, so procedures can be duplicated or understood by others
 Empirical, so decisions are based on data collected
 Reductive, so it investigates a small sample which can be generalized
to a larger population

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Telecom Sector [2009]

 Replicable, so others may test the findings by repeating it.


 Discovering new facts or verify and test old facts.
 Developing new scientific tools, concepts and theories, which would
facilitate to take decision.

For the proper analysis of data simple statistical techniques such as percentage
were use. It helps in making more generalization from the data available. The
data which was collected from a sample of population, was assumed to be
representing entire population was interest. Demographic factors like age,
income and educational background was used for the classification purpose.

The project methodology consists of primary data and


secondary data follows:

In order to study the over all “sales of Reliance Broadband


connection in Bhopal ” offered by Reliance Communication. I Visited the
Bhopal Branch a number of times and had a discussion with Mr.Anwar
Iqbal about The post paid connection plan which gave me a broad
perspective of New Plan offer all about and how it is helpful in the
growth of the company as given below:

Indian consumers, over the last few years, are showing a marked
preference to new products and services that deliver higher levels of quality,
taste and aspiration than conventional items. The higher disposable income
level of middle class, availability of new products, brands and services, growing
awareness and sophistication, changing family structures, affordable and easy
credit etc has changed their attitude to money and quality of life (lifestyle). This
is likely to change the scale of demand of household goods and services such
as autos, home goods, telecom, consumer finance, leisure, entertainment,
media etc. For example the Telecom sector had seen exponential growth during
the past five years and this permitted by Reserve Bank of India and Securities
and momentum is expected to be sustained in future also on account of existing
customers opting to upgrade to 3-G services, MMS and other Value Added

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Telecom Sector [2009]

Services etc and new customers hitherto not connected joining the bandwagon
which benefit directly from rising consumerism or changing lifestyle of people of
India.

The broad Planning strategy of the product segmentation which


according to the manager are playing / can play pivotal role in driving Indian
demographics or consumer pattern.The scheme aims to build and maintain
customer relationship in the long run.

The secondary data has also been obtained from various


websites, magazines, and the other documents provided by the
Reliance Communication..

Sources of data:
Sources of data include total information about the Airtel Communication
and Broadband connections.

 Prime Data: primary data is gathered from airtel office Bhopal.

 Secondary Data:
Secondary data was gathered from academic texts, company profile,
Internet.

Sample size

For carrying out any research or study on any subject it is very difficult to cover
even 10% of the total population. Therefore the sample size has to be decided
for a meaningful conclusion. For designing the sample size, it was thought
proper to cover a very small percentage of population in various age groups.

The method used for sample technique was non probability convenience
sampling method. This method is used because it is known previously as to
whether a particular person will be asked to fill the questionnaire. Convenient
sampling is used because only those people will be asked to fill the
questionnaires who were easily accessible and available to the researcher.

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Telecom Sector [2009]

Considering the constraints, it was decided to conduct the study based on


sample size of 100 people in specific age groups. Scientific method is not
adopted in this study because of financial constraints and also because of lack
of time; also the basic aim of doing the research is academic, hence most
convenient way is selected.

TYPES & TECHNIQUES

The study conducted is a conclusive descriptive statistical study; the researcher


comes to the decision which is precise and rational. The study is conclusive
because after doing the study the researcher comes to a conclusion regarding
the position of the brand in the minds of respondents of different firms groups.
The study is statistical because throughout the study all the similar samples are
selected and group together. All the similar responses are taken together as
one and their percentages are calculated.

Thus, this, conclusive descriptive statistical study is the best study for this
purpose as it provides the necessary information which is utilize to arrive at a
concrete decision.

TOOLS USED

To know the response I have used the questionnaire method in sample survey.
If one wishes to find what people think or know, the logical procedure is to ask
them. This has lead marketing researchers to use the questionnaire technique
for collecting data more than any other method.

In this method questionnaire were distributed to the respondents and they were
asked to answer the questions in the questionnaire. The questionnaires were
structured non-disguised questionnaire because the questions, which the

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Telecom Sector [2009]

questionnaire contained, were arranged in a specific order besides every


question asked were logical for the study, no question can be termed as
irrelevant.

The questionnaire, were non-disguised because the questionnaire were


constructed so that the objective is clear to the respondent. The respondents
were aware of the objective. They knew why they asked to fill the questionnaire.

LIMITATIONS OF THE STUDY

• The research will be conducted in a limited area.

• The internet information can be irrelevant.

• Time will be a major constraint.

• The respondent will be limited so cannot be treated as a whole population.

• The respondent may be biased.

• Due to language problem it is possible that the respondents are not be able
to understand the questionnaire and can cause misleading results.

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Telecom Sector [2009]

CHAPTER-4

DATA ANALYSIS
&
INTERPRETATION

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Telecom Sector [2009]

Steps in Marketing Research Process

Marketing Research Process can be carried out through the


following steps:

Define the problem and research objectives

Develop the research plan

Collect the information

Analysis and interpretations

Present the findings

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Telecom Sector [2009]

Q1. Which internet service do you use?

Options Percentage of respondents

Mobile 30

Modem 45

Landline+ modem 25

landline+modem mobile
25% 30% mobile
modem
landline+modem
modem
45%

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Telecom Sector [2009]

Q2. Which broadband service do you use?

Percentage of respondents
Options
broadband
Airtel 34
BSNL 28
Reliance 17
Tata indicom 16
idea 5

idea
Tata indicom
airtel

Reliance

BSNL

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Telecom Sector [2009]

Q3.Sample size ?

Gender No of Respondents
Male 110
Female 20

Inference: Out of the sample of 130 people, 110 are males and 20 are
females.

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Telecom Sector [2009]

Q4. Age of the respondents

Age No of respondents
18-25 35
25-35 65
35 and above 30

Inference: In the sample of 130 people, 65 peoples are in the age between
25-35,35 peoples are in the age between 18-25 and rest 30 were above 35.

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Telecom Sector [2009]

Q5.Who influence you to purchase the internet connection ?

Influenced by : No of respondents in %
Agents 20
Family members 30
Self 50

50
45
40
35
30
25 1
20 2
15 3
10
5
0
1 S1
2
3

Inference: Out of the sample of 100 people 50% of the people influenced by
themselves to invest,30% off the people are influenced by their Family members
and only 20% get influenced by the Agents.

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Telecom Sector [2009]

Q6. What parameters would you use for evaluating of Airtel broadband
connection?

Par aments No of respondents in %


Good coverage & Brand image 70
schemes 10
Downloading speed 20

Inference: 70% of the people consider Good covrage and brand image of the
company before taking connection ,20% of the people view the past records of
the company before taking and 10% people compare with the view of another
telecom company before taking.

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Telecom Sector [2009]

Q7. persons planning to purchase the internet connection?

Decision No of respondents in %
Planned to Invest 70
Haven’t Planned to Invest 30

70

60

50

40
1
30
2
20 3
10

0
1 S1
2
3

Inference: 70% of the people are planned to purchase, and 30% haven’t
planned to purchase the Broadband connection.

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Telecom Sector [2009]

Q8. If you have not taken any connection what are the reasons for not taking ?

Not Interested 40

No Time to think 10

not much use of internet 20

Do not have any knowledge 30

40
35
30
25
20
15 Series1

10
5
0
Not No Time to not much Do not have
Interested think use of any
internet knowledge

Inference: 40% of the people are not intrested, 10% have no time to think,
20% said that they don’t need to use internet & remains 30% were not aware
about Broadband connection.

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Telecom Sector [2009]

Q9. Are you aware of Reliance broadband connection ?

yes 35

no 65

70

60

50

40
Series1
30

20

10

0
yes no

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Telecom Sector [2009]

Q10. What is the the source of your information?

TV Advertisements 20

News papers 45

Electronic Media 10

Mouth-talk 25

45
40
35
30
25
20 Series1

15
10
5
0
TV Advertisements News papers Electronic Mouth-talk
Media

Inference: 20% of the people got information by tv advertisements, 45% of


the people got information by newspapers, 10% of the people got information by
electronic media & remains 25% of the people got information by the mouth
walk.

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Telecom Sector [2009]

CHAPTER-5

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Telecom Sector [2009]

OBSERVATION & FINDINGS

 35% of the people use internet by mobile, and 25% of respondents use
both modem+ landline & 40% people use internet by modem. It shows
the popularity of airtel broadband.

 34% of respondents are using the Airtel broadband, which is the highest
percentage of users of internet. BSNL takes 2nd place in Bhopal with
28% of users. Then comes reliance and tata indicom, and idea having
least customers in the Bhopal.

 Internet & broadband services of Airtelis one of popular in the cellular


services with 34% of customers. The remained other services.

 72% of respondents are satisfied with the good covrage & rental of the
broadband plan, it is because telecom companies have slashed their
rates few months ago. Still in this situation 36% of respondents did not
satisfy with the rates which service they are using.

 58% of customer satisfied with the broadband plan of cellular companies,


and which are not satisfy with the service they are mostly BSNL and
reliance users.

 When it was asked to the respondents that did they know about the
license of the cellular company, then most of the people replied NO. it
means people are not aware about the license related bound of the
cellular companies which is implemented by TRAI, that cellular
companies can deliver their services until their license have validity, they
have to renew it for providing further service.

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Telecom Sector [2009]

Conclusion

Airtel comes to you from Bharti Airtel Limited, India’s largest integrated and the
first private telecom services provider with a footprint in all the 23 telecom
circles. Bharti Airtel since its inception has been at the forefront of technology
and has steered the course of the telecom sector in the country with its world
class products and services. The businesses at Bharti Airtel have been
structured into three individual strategic business units (SBU’s) - Mobile
Services, Airtel Telemedia Services & Enterprise Services. The mobile business
provides mobile & fixed wireless services using GSM technology across 23
telecom circles while the Airtel Telemedia Services business offers broadband &
telephone services in 94 cities. The Enterprise services provide end-to-end
telecom solutions to corporate customers and national & international long
distance services to carriers. All these services are provided under the Airtel
brand. The Company compliments its mobile and broadband & telephone
services with national and international long distance services. It has over
35,016 route kilometers of optic fibre on its national long distance network. For
international connectivity to east, it has a submarine cable landing station at. For
international connectivity to the west, the Company is a member of the South
East Asia-Middle East-Western Europe – 4 (SEA-ME-WE-4) consortium along
with 15 other global telecom operators.

"The players that will be amongst the successful 20 per cent will be the ones
that provide a consumer-centric experience, for example, through interactive
TV, where users will be able to chat online while watching their favourite TV
programmes,"

"To uncover adjacent markets, carriers must leverage their unique assets, in
areas such as billing, secure authentication and quality of service, and develop
multiple partnerships to add creative talent to existing operational expertise,"
"The telecom industry in 2012 will be very different from the one we know today.
Developing strong partnership skills, focussing on customer user groups,
embracing Internet services and starting to talk the language of Web 2.0 will
enable the carriers to thrive well into the future,"

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Telecom Sector [2009]

SUGGESIONS

 In the broadband plans, telecom companies should reduce the rates.

 They should provide other facilities like free downloading with good
coverage.

 They should make aware the customers that they have limited license
period.

 They should not take other hidden charges.

 They should enhance the coverage area regularly.

 They should provide other facilities like data card , usb modem etc.

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Telecom Sector [2009]

BIBLOGRAPHY

Books:

• Philip Kotler, ‘marketing management’ prentice Hall of India Pvt. Ltd. New
Dehli.

• C. R. Kothari ‘Research methodology’, vishwa publication, New Delhi.

• Saxena Rajan ‘marketing management’ Tata Mcgraw-hill publicating Co. Ltd.


New Delhi.

• H. V. Verma ‘marketing of services’ Global business press, New Delhi.

• Business today magazine of February issue,2008.

Web Resources:
www.airtel.in
www.ibef.org
www.google.com
www.expresspharma.com
www.slideshare.net

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Telecom Sector [2009]

ANNEXURES
Questionnaire
Planning for your future

1) Name :
2) Sex :
3) Age :
4) Occupation :
5) Annual Income :
6) Marital Status :
7) Who influences you to take broadband connection?
a) Offers
b) Friends
c) Family Members
d) Advertisements
e) Self
8) What parameters would use for evaluating broadband connection?
a) Brand
b) Connectivity
c) Monthly package
d) scheme

9) What are the reasons for taking broadband connection ?


a) Better Facility
b) Better coverage
10) If you have not taken a post paid connection what are the reasons for
not taking broadband connection?
a) Not Interested
b) No Time to think
c) Don’t want to any other services

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Telecom Sector [2009]

d) Do not have any knowledge


11) Are you aware of Reliance broadband connection ?
a) Yes
b) No
If yes, please give the source of your information
a) TV Advertisements
b) News papers
c) Electronic Media
d) Mouth-talk
12) Do you have any plans to buy a new broadband connection at
present?
a) Yes
b) No

If yes, please give the following details


a) Name of the plan: ______________________________
b) Name of the customer :
______________________________

13) What are reasons for buying broadband connection?


a) Trust
b) Connectivity
c) Facility
d) All the above

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