Introduction Broadband in India

:
Broadband is regularly growing in the Indian market. There are many players in the broadband market which are providing broadband to corporate and direct to home. To increase broadband connectivity Indian government issues Broadband policy. The broadband policy includes the definition, the technology and other important aspect of broadband in it. In India there are a large number of people who are using internet but the number of people who use broadband is much smaller than it. But now broadband is growing at a rapid rate in India, the main reasons for the growth of broadband are:  Broadband policy and other initiatives by the IT and Telecom Ministry encourage increased adoption.  A monthly broadband subscription costs as little as 199 rupees (US $4.50).  A second factor is the IT Telecom Ministry initiative to make computers available for purchase under 10,000 rupees (US $226).  Today broadband usage in India is growing at 20% per month.

Wireless in India:
As broadband wireless access grows, the WLAN network gear sector will exceed $275 Million by 2011-12 (not including embedded chips), up from the current $23.1 Million in India. The combined Wi-Fi market (described as consisting of WLAN networking gear, systems integration, professional services and not including embedded devices and laptops) is expected to exceed $744 million by 2012. Future of Wireless Technology:  As the industrial requirements are increasing day by day there goals are also aiming the sky, so to fulfil their goals and objectives they require reliable communication between their departments. So future of wireless technology is bright because this is the new and the reliable technology.  In future the wireless devices will require less power, so it will finally reduce the implementation and maintenance cost.
1|P a ge

 In future the reliability and the performance of the wireless devices will increase due to regular improvement in the technology.  As it becomes more popular and advance it will come with more data rate support and low maintenance and implementation cost.

Challenges:
The challenges that confront in the wireless technology are:  Technology 1. Interference 2. Security 3. Power  Collaboration 1. R&D Funding 2. Integration of Components  Culture 1. Workforce/Corporate attitude 2. Societal attitude  Regulations 1. Interoperability 2. Spectrum Policy  Cost 1. Value proposition In today‟s industrial environment the main requirement is that all the departments in an organisation should perform efficiently and effectively. For this purpose there should be a regular communication between all the departments to share important information among them. For this purpose all the organisations are willing to build a system or network which can support the desired requirement.

Broadband Internet in SMEs’:
Broadband in SMEs is a huge requirement in India. Many SMEs in India are still using the traditional method of wired technology. The technological advancement like wireless broadband would be a revolution to them. SMEs like small factories and plants prefer the broadband connection that gives them Hi-speed internet with a secure and reliable network. By the same time they have to pay a lot for it. Hence wireless technology is a better choice in these sectors. With the help of wireless technology, SMEs can get Hi-speed
2|P a ge

internet with a more prolonged and reliable connection and they can use the technology efficiently to maintain stability in the growth of their organization.

Objective of the study:
 To know the internet connectivity and its status in the small and medium enterprises basically in schools, colleges, small plants and factories, hotels etc. Also it is very important to know about the service quality provided by their current ISP. To analyse the data collected from the customers and relate them with the parameters of Sify and make a suitable decision according to their requirement. To promote for Sify Wireless broadband connection in the SMEs and generate leads for the company. To make a detailed analysis of the research with the PLC, Ansoff‟s matrix, BCG and SWOT analysis. Finally, to get the corporate experience by meeting the corporate heads and to take and implement their advice and suggestions for personal benefit in future.

  

Methodology:
Research Procedure:
 First the company gave me a brief overview of itself and explained about the SME project with a presentation which I would do during my summers. After explaining, they gave me the regions where I could do the research. To begin with the project, first I did the secondary research from the internet to know about the SMEs present in those areas. Then I divided the whole area of survey into small subzones so that I can cover each one of them. I also prepared a weekly schedule so that a
3|P a ge

  

certain zone could be covered by the allotted time mentioned in the schedule.  Then I made a certain sample size where I should target as sample size is an important parameter based on which the final decision is taken whether the data taken are related with each other or not. Then I directly met with the customers and did a research on the internet connectivity and its status. This research helped me to know about the quality of service provided by their respective ISPs. Then I did a research on the number of organizations interested for the wireless connection and based upon that I made a hypothesis whether it would be feasible for my company to set up their product in that particular segment or not.

Method of data collection:
There are many methods of data collection in a survey. These are basically divided in two main types of methods. These are: 1. Primary data collection. 2. Secondary data Collection.

Primary data collection It is the method of data collection in which the marketers collect the data very first time or we can say that the collected data is fresh or first-hand data. We can collect primary data by:  Directly by the customer.  By observation method.  By telephonic Interview method.  By e-mailing the queries & etc.

Secondary data collection It is a method of data collection in which the collected data is not fresh data, i.e. data is collected from the report of any research, from internet or from
4|P a ge

It involves all the benefits of Sify and its wireless connection that was sufficient for a customer to get a brief idea. another important tool I used was Sify Information Brochure. These types of data collection methods are basically used when the sample size is very large. I used the Sify wireless broadband survey questionnaire where each questions carry equal weightage that helped me to take my decision in the end. Tools and techniques of analysis: The technique I used to analyse the data is the Chi-square test. meeting with them and get the relevant data are always fruitful than using any secondary medium like internet and telephone. Direct approach to the customers also creates interest among them about the particular subject. Direct approach to the customers. With the help of questionnaire. I used the simple form of data collection by direct approach to the customers. Survey questionnaire is a very important instrument for any researcher to collect the requisite information. Apart from the questionnaire. I took the help of following instruments:  Survey questionnaire  The Sify information brochure  Direct approach to customers instead of using any secondary mediums like telephones or internet. In this particular survey I have used the primary data collection method to collect the data.any government offices etc. In this particular method I directly went to meet to the customers and collected data. This also shows the marketing skills of a researcher. In Chisquare test. The questionnaire helps him to get a brief knowledge about a particular subject. Instruments Used: Basically for this project. he can make further analysis and able to make a decision and categorize each factor present in the questionnaire in a proper manner. I assumed a hypothesis based upon which I was able to make a 5|P a ge .

Oddly. Sify Technologies unveiled a new corporate identity. The new logo is a reflection of Sify's outlook and nature of business: a fresh. paper-free world. It is a large internet network provider in India. India. Apart from that I have also used the software tool like Microsoft Excel which was very useful for arranging the data in tabular form. vibrant and eco-friendly green signalling a new.suitable decision whether the data taken are related or not. For the promise of "Keeping you ahead" reiterates Sify's focus on technology. In January. The fonts are distinctive and futuristic. Literature review The Background Sify Technologies Limited is a major ISP company based in Chennai. dependable grey. I have used BCG matrix. Xerox which unveiled their new logo today also chose a lower case text for the name. the dot over the 'i' in the name has moved forward. counterpoised by a business-like. innovation and new services aimed at keeping customers in the lead by giving them a competitive edge using Sify's services. 6|P a ge . In graphic terms. PLC. and stands for the Company's promise to keep its customers and stakeholders ahead. with a wide array of internet based services. The purpose of using the Chi-square was the sample size of 70 which is greater than 30. Based on market share and market growth of wireless broadband in relation to the company. Ansoff‟s analysis and SWOT to get an overview of its current position in India. It made my work so simple that I hardly used any other instruments which I was using during primary data collection. This is probably one of the first Indian companies to take a stance on eco-friendliness.

Sify will do this by empowering them with the potential of the Internet and by leveraging the capabilities of Indian Knowledge Resources. That is Sify is operating in whole India. Being the leader in terms of market share. quality. Networking and e-Commerce services. Vision Sify‟s vision is to be the dominant and profitable India centric Internet Company by:   Building on India's unique advantages. commercial operations in April 1998 stems from its Purpose and Vision. It provides integrated end-to-end solutions for both corporates & consumers. Everything that Sify has done or achieved since its beginning. Adding value to our stakeholders: namely investors. with a range of products and services delivered over a common Internet backbone infrastructure. customers.Sify began its commercial operations in April‟98. Now Sify has a license of Category A of service provider.   The Company and its product line: About Sify Broadband Sify is India‟s pioneer & leader in Internet. A key aspect is 7|P a ge . It was registered as Sify Limited and now it is Sify Technologies Limited. Purpose & vision of Sify Purpose Sify‟s purpose is to make a qualitative difference to the lives of millions of people and organisations by harnessing the power of India and of the Internet. revenue. growth and gross margins. and the first Indian Internet company to be listed on the Nasdaq National Market in the US. peers and associates. Being enablers and catalysts of the Internet for positive change.

Sify pioneered services and set standards for the Industry in diverse areas. Sify is a leader in every line of business and has won national and international recognition for both market leadership and the quality of its services. winning global recognition for its expertise. Fortune magazine. This was the first such business model in the world. selected Sify (then Satyam Infoway) as one of the world's ten hot technology companies to watch out for based on this innovative business model. 8|P a ge . Sify has become the market leader in most lines of business. We are unmatched in Internet and network services expertise and technology. in their December 2000 issue.Sify being an enabler and catalyst of the Internet for positive change in India. while catalyzing the market to growth. customer focus and standards along the way. software and processes in the business. with the best tools.a responsibility that we continue to carry. and appropriate for catalyzing the growth of the Internet and networking in an infrastructure starved market. performance. where each business supported the other. networking and e-Commerce business model. Sify began by developing India's first TCP/IP network and offering multiple services on a common backbone infrastructure for an integrated Internet. It also enabled a virtuous cycle. In doing this. From the start of commercial operations in April 1998.

The whole backbone network of Sify is based on ring topology. 9|P a ge .Sify’s Internet Backbone in India This is the backbone network of Sify through which Sify is operating in India.

and is India's leading provider of end-to-end corporate network. By ensuring uninterrupted and timely flows of information. Sify comes with a product range that covers the four Cs of cyberspace: connectivity. We design and develop a host of customised eCommerce and Network Connectivity Solutions that connect your critical business systems and offer a seamless data network directly with customers. Sify solutions help in quicker decision making and sharpen your competitive edge by compressing time to market as well as increase financial efficiencies that result from better supply chain management and lower inventories. These services are:  Corporate Services  Consumer Services  International Services Features of the products Corporate Services & its features Sify is the only integrated end-to-end eSolutions provider in India. Sify’s corporate services are: Sify Enterprise Solutions Sify Enterprise Solutions is the corporate services arm of Sify Limited. Sify eLearning Sify eLearning provides unique end-to-end solutions and dedicated services for corporates and eLearning organizations. So the main products of Sify are the services which it provides to its customers. Sify Enterprise Solutions is the first and only service provider in India to be ISO 9001:2000 certified in network operations. Sify Hosting Sify Network Services 10 | P a g e . content.Product Line of Sify Sify is basically a service provider. suppliers. commerce and community. vendors and staff. Sify is mainly providing three types of services.

An extensive network of cyber cafes spread across the metropolitan cities of India. Forum ForumTM from SIFY is a revolutionary solution addressing the need to establish seamless connectivity with supply chain partners. Implementation & Procurement and Managed Security Services. data protection and privacy. Sify Security Services SifyGuardian provides a comprehensive suite of Enterprise Assurance. manual search engine submission. strong authentication.Sify Application Services An array of customizable Intranet and extranet web applications. website ranking in major search engines like Google. ranging from websites to workflow automation and eBusiness applications. ethical onpage and off-page SEO strategies. natural link development. Sify’s Consumer Services & its features: Sify Broadband Sify iway Sify Way2Talk Sify is India's largest provider of Broadband Services to explore the true potential of the Internet. Search Optimization Engine Sify provides a complete range of search engine marketing solutions in India and worldwide. Yahoo! and MSN etc. Digital Rights management and PKI are offered by SafeScrypt. a SIFY subsidiary Sify Infrastructure Sify‟s world class service operation centers deliver Management Services 24/7/365 availability and scalability to your business without your having to make high levels of investment. SafeScrypt Security Service Data Data Security solutions including encryption technologies. 11 | P a g e . specialized in search engine optimization. niche keyword phrase research. Way2Talk is Sify's Internet Telephony service to make calls across the world using a PC 2 Phone Dialer.

Our robust global service infrastructure helps in supporting clients from offshore command centers. on a 24X7X365basis. Over 1200 clients. clients use Sify's services to better align their IT operations & processes to meet business objectives. Sify imeet Sify WiZone Sify gamedrome International Services & its features Sify has specialist capabilities in remote infrastructure management. Sify has built on its growing online games business by not only providing contents at its iWay chain & its 200 exclusive gamedromes. facilities and services and information. including Whirlpool. Sify wizone offers blazing internet speeds at upto 11 mbps local connectivity and upto 384 kbps to the internet. Outsource with confidence. Sify leverages its deep expertise and proven transition & delivery methodologies to provide proficient support. depend on us to run their business critical applications. Outsource to Sify. By outsourcing day-to-day infrastructure management to Sify. clients are able to unlock their in-house resource potential for strategic work. Why just talk when you can now meet face to face. GE. Today. Gillette. This is no ordinary claim.Sify Sify.com is a popular consumer portal with comprehensive information. They save up to 50% of current operational costs while retaining complete control. 12 | P a g e . Video conferencing facility at the Sify iway.

 Institutes. Network management Achieve network optimization through monitoring and management of your networks and network devices. Colleges and Schools. so there are different strategies to reach these customers. by ensuring availability. storage and applications. integrity. For this purpose Sify has its own marketing department with a dedicated team which makes all the strategies. and non-repudiation. databases. Marketing Strategies Sify is an internet service provider and there are many players in the market which are also providing Internet services so it is very important to make marketing policies and strategies which are in favour of the organisation. including performance. Security management Help protect your information and systems. authentication. In corporate Sify is mainly targeting to:  Different SMEs in the NCR and Delhi. 13 | P a g e .Data center management Ensure operational efficiency and process compliance. through constant monitoring and management of your servers. Since Sify is providing services to both corporate and home users. confidentiality.

So with the help of these CTOs Sify is reaching to its home users. In today‟s environment almost every home has a cable TV connection and CTOs are the people who have their own image and reputation in their own area. Tata Indicom etc. Reliance. After creating its own image in the market Sify is also providing direct connectivity to the home users by the mean of wireless connectivity. For Consumer Services the main target of Sify is the Cable TV Operators (CTOs).To reach these customers. Competitors: These are the competitors of Sify:      BSNL MTNL VSNL Bharti Airtel Others (Spectranet. Partners are: - With the help of partners Sify is regularly improving in technology and its growth in terms of customers and market growth. the marketing executives of Sify regularly visit them and provide them information about its services at a reasonable cost.) 14 | P a g e . Along with its own capabilities Sify has also have some partners in the field of technologies so that Sify can acquire more growth in its market share.

50% Revenue NA 1.73M NA 2.  Less man power is also a major problem to resolve different issues regarding customers and CTOs.73% 14. they finally blame to the connectivity.83% 6% 5.40% NA NA 14. so if problem occur because of them. it gives chance to a customer to create an image which is not in favour of Sify.46% Revenue Growth% NA -1. 1 2 3 4 5 6 Company Name BSNL MTNL Sify VSNL Bharti Others Market Share 43% 19% 11.67M Major Problems During my training period at Sify I had recognize some problems with Sify. Some of these problems are:  Sify is operating its consumer services with the help of CTOs. These CTOs have their own image in their respective area. These are: - 15 | P a g e . Some of CTOs are not behaving good with the customers so ultimately CTOs are creating bad image of Sify. Achievements During the time of its starting Sify has awarded by many awards.60B 7.03B 151.70% 22.Comparison of Sify with its competitors in terms of market share Serial No. antivirus and other technical aspects.  Connectivity related problems due to cables are occurring very frequently.  Some customers are also not educated about the internet.

16 | P a g e .

A.020 31-Mar08 31-Mar08 31-Mar08 31-Mar08 31-Mar08 31-Mar08 31-Mar08 2.302.852 0.21 $2. 94.255 $2.910 MERRILL LYNCH & CO.621 08 Credit Agricole S.624 3.033.11.22 0.523 $3.393 31-Mar08 31-Mar08 6. Sify is listed in NASDAQ since from 2003.109.86.86 MATTHEWS INTERNATIONAL CAPITAL MANAGEMENT LLC 16.67 0. The table of major share holders of Sify is: ShareHolder All insiders and owners Institutional and Mutual Fund Owners %age of floating held by Institutions & Mutual Funds Percentage of shares 43% 21% 36% TOP Institutional Holders Holder Shares % Out Value* Reported 31-Mar$13..334 Credit Suisse 1.Share market Position Sify is the only ISP which is listed in NASDAQ.275.075 17 | P a g e .719 $223.16.12 $1.133 1.9 Shah Capital Management FINANCIAL & INVESTMENT MANAGEMENT GROUP LTD Chilton Investment Company.25 0.425 5.556 BEAR STEARNS & COMPANY 50.377 6.560 $498.26 0.000 1.07.859 $481.16.148 1.39. 29.44 1. LLC DELAWARE MANAGEMENT BUSINESS TRUST WEXFORD CAPITAL LLC 6. INC.80.69.278 $421.749.59 $7.446.

624 3.467 National & International Image Sify is an Internet Service Provider in India. Sify has a market stake of 11. e-education.072 0 $5.700 0.42 $849.000 1. 18 | P a g e .200 $217.500 29-Feb08 31-May08 31-May08 31-Dec07 31-May08 31-May08 30-Apr08 31-Jan08 30-Apr08 1.80.500 DELAWARE VIP EMERGING MARKETS SERIES 1. VOIP.605 $117. MTNL. e-ticket booking etc.83% in the field of broadband connectivity and competing with the big telecom giant like BSNL.523 DELAWARE GROUP GLOBAL & INTERNATIONAL FDS-EMG MKTS SER 1.170 Reported 31-Mar08 Utopia Growth Fund 1. Network Securities.000 0.06 0 0 $743. In consumer services Sify is providing wireless connectivity with value added services like e-billing.500 Utopia Core Conservative Fund Utopia Yield Income Fund FIDELITY NASDAQ COMPOSITE INDEX FUND APEX MID-CAP GROWTH FUND FIDELITY NASDAQ COMPOSITE INDEX TRACKING STOCK 44.888 $7. These are corporate services and consumer services.69. and other services to the corporate consumers. Sify has a large market in the SMEs and institutions and provide them their corporate services. VPN. Sify provides IPTV.675 $541.9 $7.07. AIRTEL etc.1 0. It provides mainly two types of services in India.290 Utopia Core Fund 1.446.280 $525.24 0.02.52.35 0.500 24.360 $9.Top Mutual Fund Holders Holder Shares % Out Value* Matthews Asian Fds-Matthews India Fd 16.939 1.25 0.

Sify 19 | P a g e . Mr.K.Sify has a very good national and international image in the mind of corporate world and the direct consumers. High uptimes and prompt customer service has made Sify an integral part of our product offering”. It is the first Indian broadband service provider company which is listed in NASDAQ. secure and reliable connectivity. Angshuman Roychoudhury Customer Support Manager Taco Mobiapps “ERP and connectivity cannot be looked at in isolation.A. Sify has a very good international image also. Pradyumna Poddar General Manager Usha International Ltd. and we realized they could provide world class network security services to us.Jitendra Sarode IT Infrastructure Head Pantaloon "We Chose Sify to conduct our Security Consulting Audit as they are our Internet Bandwidth service provider.Sircar Controller . Our experience with Sify for the security audit has been very good. Mr.Information Technology Organon (India) Limited “Partnering with Sify has given us a robust infrastructure whereby our vehicle tracking system has been appreciated by a plethora of our customers. ERP's success largely depended on a scalable. I believe we made the right decision and it has been a pleasure working with their competent and service focused team". Here are some comments on Sify by the corporate world: "Sify was chosen because they are the one of the leaders in implementing Last Mile wireless solutions with a fail-safe infrastructure and an extensive presence in the country". Mr. which was provided by Sify”.

 Sify‟s future target is to provide a more reliable and secure network to its customers.completed its successful 5 years in the list of NASDAQ. The company has added 836 new iWays during the year. Cyber Cafes are a key piece of the internet penetration equation in India. since PC/broadband costs are still not at a point where India‟s vast population can afford them easily. 20 | P a g e . and will continue to remain so for the next decade. and a great vehicle for India‟s development. Sify is lead by a great management team headed by the CEO and MD Mr. and provide them various services in the field of internet. Sify has many International Clients also. For those unfamiliar with India‟s consumer situation. Sify‟s iWay cyber cafe chain has expanded to 153 cities with the addition of 58 new cities in the last one year.  Sify is now also targeting corporate to provide them the services of VPN. Raju Vegesna.  Sify is going to concentrate on VOIP and IPTV technology. Sify is the organisation which changes itself according to the market requirement. at an average of more than two cafes a day leading to more than 3000 outlets across the country. Future Prospects  Sify‟s main target is to provide wireless connectivity to its customers in all over India. Sify has good image in international market this is because it has a foreign promoter Infinity Capital Ventures which has approximately 32% shares of Sify Technologies Limited. Conclusion Sify is a regularly growing organisation in the field of internet solutions. Sify could be a multi-billion dollar enterprise.

About the Project: The project is based on many parameters like:  To know about the broadband connectivity in the SMEs. Easy Scalability.Advantage Opportunity: • • • • • • • • Association with SIFY. About the “Sify Wireless Connection”: SIFY .  Meeting with the IT heads/Admin heads. 1st. Effective need based products to suit different profile of SME customers. Most superior technology Real Time Broadband High Speed ( from 256kbps to 1 Mbps… ) 24x7 Help Desk Technical Support. 21 | P a g e .Voice as additional Value Add.  To promote for the Sify wireless connection.

 24x7 Help Desk Support.Voice. Shared Broadband with QoS. Sify Advantage:  Dedicated wireless last mile via R. Video conference. Complete Scalable Solution. Established Corporate and Retail leadership experience.Product Deliverables:         Always ON Internet. giving a feel of enterprise class service. Mail Applications.  Broadband router: To facilitate single/admin login for all users. Presence in over 200 cities. 22 | P a g e . Server Hosting.F.  Partnership with India‟s best in Class IP services Provider. – For best possible throughput with virtually no possibility of physical damage. Cellular Broadband Technology Advantage. CuG for Inter Office.  Static IP. cable cut and with highest service levels.To facilitate triple play. Provision of VAS. (Ideal for SME presence). Video Data & better/instant connectivity. VoiP for International Calls. Sify Solution-Advantage: Strengths: • • • • • • • Wireless based Product solution. Security. 100% Uptime as compared to Wireless Network.

BCG matrix in relation to the company: Analysis with SWOT: Strengths       Last mile wireless solutions with a fail-safe infrastructure Extensive presence in India World class network securities Scalable.Broadband Map: Analysis with SWOT. Free anti-virus to all customers 2. Secure and reliable connectivity International MPLS services for VPNs Value added services to the customers 1. Technical support in case of some issues 23 | P a g e .

 World class wireless solutions are provided by Sify. so there is a great business opportunity for Sify in wireless technology.company relations International internet gateways for global connectivity An array of customizable Intranet and extranet web applications.  More of the network is based on wired technology so more connectivity related issues occur due to cable. so Sify has an opportunity to grow with the customers. telephone bills) 5. Raju Vegesna (CEO.  No direct customer reach. cost-effective solutions that can quickly web enable your enterprise. MD) 24x7 customer care services Very good Investors .  Opportunity in rural broadband. Easy recharge of account Dedicated Management team headed by Mr. Easy to deploy. ranging from websites to workflow automation and e-Business applications. Opportunities  Very low broadband penetration India. Weakness  In many areas networks are on leased fibres. Airline bookings) 4. E-billing (Electricity. VSNL which are providing data cards for internet access due to which customers have mobility in terms of connectivity.     3. 24 | P a g e . Customer education on internet 6. Airtel.  Business opportunities in the field of VOIP and IPTV. Threats  Competition with telecom giants like Reliance. E-travelling (Trains.

The BCG has identified four following categories of SBU‟s and suggested the appropriate strategy for each one 1) Star 2) Cash Cow 25 | P a g e . The basic idea behind it is that the bigger the market share a product has or the faster the product's market grows. a company should have a portfolio of products that contains both high-growth products in need of cash inputs and low-growth products that generate a lot of cash. the better it is for the company. To ensure long-term value creation. It has 2 dimensions: market share and market growth.Analysis with BCG Matrix: The BCG matrix method used to determine what priorities should be given in the product portfolio of a business unit.

2) Cash Cows Characteristics  Profitable Product  Generate more cash than needed to maintain market share. Use excess cash to support research and growth elsewhere in the company.3) Problem Child / Question mark 4) Dog 1) Star Characteristics     Market Leaders Fast growing Substantial Profits Require large finance growth Strategies  Protect existing share  Reinvest earnings in form of price reductions. providing better market coverage. increase production efficiency. Maintain price leadership. etc. product improvements.  Obtain large share of the new user. 3) Problem Child / Question mark Characteristics  Rapid growth  Poor profit Margins 26 | P a g e . Strategies     Maintain market dominance. Invest in process improvements and technological leadership.

This shows that Market Growth is quite high. Buy existing market shares by acquiring competitors.Deletion from the product line.Sale of a growing concern. to record a growth of around 7. If we see Broadband‟s market growth and Sify‟s market share over the years. Markets are not growing: therefore.  Abandonment. Strategies       Invest heavily to get a disproportionate share of new sales. Strategies  Focus on a specialised segment of market that can be dominated and protected from competitive inroads.  Harvesting – Cut back all support cost to minimum level: support each over the product remaining life  Divestment. 27 | P a g e .4%. 4) Dogs Characteristics     Greatest number of product falls in this category. Enormous demand for cash strategies. we find that Broadband internet market is a rapid growing market segment. Operate at a cost disadvantage. little new business. Few opportunities for at a reasonable cost. Divestments ( see Dogs ) Harvesting ( see Dogs ) Abandonment ( see Dogs ) Focus on a definable niche where dominance can be achieved. The Broadband has continued with its growth trajectory till the previous year and this year as well.

00% 2001 2002 2003 2004 2005 2006 2007 The market share of Sify as compared to other telecom giants like BSNL and MTNL is not very low.Broadband in India 8.00% 2.00% 0. 5.00% 6.00% Percentage 3. It gives a strong competition to them and continues to improve its market share in the field of broadband internet over the years.00% 7.73% 6% 11.00% 4.00% 5.83% 14.00% 1.46% 43% 1 BSNL 2 MTNL 3 Sify 4 VSNL 19% 5 Bharti 6 Others 28 | P a g e .

In this situation. and once the market approaches saturation another strategy must be pursued if the firm is to continue to grow. it can leverage its strengths by developing a new product targeted to its existing customers. it may be concluded that “Sify and its products” can be placed in „Question Mark‟ segment on the BCG matrix. and there may exist opportunities to increase market share if competitors reach capacity limits. However. Because the firm is expanding into a new market. Similar to the case of new market 29 | P a g e . A product development strategy may be appropriate if the firm's strengths are related to its specific customers rather than to the specific product itself. The development of new markets for the product may be a good strategy if the firm's core competencies are related more to the specific product than to its experience with a specific market segment. a market development strategy typically has more risk than a market penetration strategy. market penetration has limits.From the above analysis. Market development options include the pursuit of additional market segments or geographical regions. simply maintaining market share will result in growth. In a growing market. It can be shown by the following diagram: Selecting a Product-Market Growth Strategy The market penetration strategy is the least risky since it leverages many of the firm's existing resources and capabilities.

diversification may be a reasonable choice if the high risk is compensated by the chance of a high rate of return. its main aim was to target the thickly populated Areas mainly metro cities like Bangalore. This became Sify‟s Market Development strategy. In case of Sify. However. Delhi. Diversification is the most risky of the four growth strategies since it requires both product and market development and may be outside the core competencies of the firm. Sify sought to increase the number of purchases by existing customers with a Product Development strategy with new facilities like Sify : Business 2 Business           Electronic Data Interface Virtual Private Networks Security Services Network Management Services E-Solutions Internet Consulting Solutions Architectures Design and Development of Solutions Hosting and Management Services E-Commerce products 30 | P a g e . when it first launched its products and services by entering into the world of broadband internet. Mumbai and applied the same successful formula that had worked wonders for Sify. this quadrant of the matrix has been referred to by some as the "suicide cell". there came a revolution as by that time no one was providing such services. After establishing its corporate office at Chennai. In fact. Other advantages of diversification include the potential to gain a foothold in an attractive industry and the reduction of overall business portfolio risk. Kolkata. This became Sify‟s Market Penetration strategy. Hyderabad. new product development carries more risk than simply attempting to increase market share.development. Once the company established itself as a presence in many cities nationally.

will enable Sify customers to access a global high-speed. including key business-centric venues such as airports. As of now its services are limited to internet only. Till date. It has not entered into any other sector. Hence the company‟s Diversification strategy has not yet come. Sify has been developing as a leading firm in the field of Internet over the years. On this year May 2008. powered by leading enterprise mobility provider iPass (NASDAQ: IPAS). Sify Technologies has announced the launch of its Roam Connect International service in India . Learnatsatyam. reliable and secure wireless Broadband service when on the move. The Roam Connect International service. An extensive network of cyber cafes spread across the metropolitan cities of India. hotels. conference centers and retail venues.000 broadband locations globally. facilities and services and information.com is a popular consumer portal with comprehensive information. Way2Talk is Sify's Internet Telephony service to make calls across the world using a PC 2 Phone Dialer. customers will now be able to access their data from more than 100. Sify. India's most preferred private Internet Service Provider with tens of thousands of subscribers accessing Net. 31 | P a g e .Sify : Business 2 Customers Sify is India's largest provider of Broadband Services to explore the true potential of the Internet.com uses the Internet to educate a global classroom of learners. With Roam Connect International.

understand the marketing implication of each phase and responsible to re-build the most effective strategy in order to survive in competition thus generate revenue. It starts with preparations for the product's launch Stages in the cycle are: 1. 4. Introduction Growth Maturity Decline Product Life Cycle (PLC) 32 | P a g e .Analysis with PLC: Product life cycle concept provides basic structure that allows a company to see where the company is. and what lies ahead. All products have a life-cycle. Help a manager to conclude where the company phase. 2. 3.

 Promotion is targeted to create brand differentiation.  Increased competition creates a downward movement in prices.  Sales begin to level off. Stage 4: Sales Decline  Sales continue to decline.  The competition gets tougher as more competitors have entered the market.  Promotion is aimed at a broader audience.  More distribution channels are established. Stage 3: Market Maturity  Most common stage in the cycle.  Shrinking market 33 | P a g e .  Customers may not be aware of the product‟s benefits and features and may not be aware of the product itself.  Pricing  Low penetration pricing  High skim pricing Stage 2: Market Growth  Rapid growth in sales and profits  More product awareness  Competitors see the opportunity and enter the market.  A lot of money is spent on promotion and product development to build product awareness.  Most companies experience losses during the market introduction stage.  The new entries result in more product variety.  Industry profits are largest.  Some competitors will copy the product or may try to make it better or more appealing to other target markets.Stage 1: Market Introduction  Sales are low as the new idea is first introduced to the market. but it is also when industry profits begin to decline.  Promotion is aimed at innovators and early adopters.

 When in the decline stage.  Discontinue: sell the product to another firm. 34 | P a g e .331 to 81. The public access through iWay chain of cyber outlets has dropped by 9.466 by end of the fiscal. This is despite showing a dip of 8% in the overall subscriber base. 36. New products replace the old.  Companies may be able to keep some sales by appealing to their most loyal customers.  Harvest: reduce costs and continue to offer the product to a targeted niche. thereby asserting a growth of 13% over last year's revenue of Rs 371 crore.2%.  Firms will often try to use extension strategies. falling from 572. leased lines and other Internet services during FY '06-07. a firm may:  Maintain: enhance the product by finding new uses or by adding new features.670 by the end of the fiscal.  Sify's dial-up subscriber base dropped 40% from 1. or liquidate inventory. Sify Technologies lies in Growth stage in PLC because of following points:- PLC OF SIFY  Sify has managed to garner revenue of Rs 420 crore in the last four quarters from dial-up.724 at the beginning of the year to 519.

and Ghaziabad.3 million compared to a net loss of $3. the number of users are more than any other sectors.  The sample size I have taken is 70.Raju Vegesna. With the above analysis. 35 | P a g e .50 million for the previous fiscal. Hence they want the wireless connection that gives a speed of minimum 2 MBPS. Greater Noida. It also earned a Net profit for the year was $ 2.  During research I also found that most of the SMEs mainly in the companies. mainly in the colleges. about 70% of them were interested for taking wireless connection or want to switch over to another service provider who would give them better service with minimum rates as compared to their current connection. it can be said that Sify Technologies Ltd. the enterpreneur who has made several billion dollars with his other company Server works. So I find it quite a difficult task to conduct a cold calling meeting. is in growth stage.  Some SMEs are satisfied with their service provider and some want to switch over to another who can provide them mainly with broadband speed with minimal charges.  The research includes questionnaire filling by the customers.  Among those to whom I was able to meet. his company has earned a maiden profit after 10 years of its existence. In most SMEs. Raju. Sify is now owned by Mr. Under the leadership of Mr.  The main areas for my research are Noida. IT-heads were very busy with their working schedule. Summary of market research:  This research was done to find out the response of SMEs about their willingness to the Sify wireless connection.

The questions were simple. short and clearly understandable. Feedback: Suggestions & Recommendation:    Company should maintain very strong corporate relations especially with SMEs to make new clients and to maintain relations with existing clients. So the customers get only a part of information from me. The one and only main problem is that when there is a power cut. and for those who provide the 36 | P a g e    . So I would recommend Sify to upgrade its Wireless plans to compete with other telecom giants. This is something which happens on a regular basis in India. told them about Sify benefits and advantages of Sify wireless broadband connection. I directly approached to them. Sify‟s wireless broadband speed is limited to 1MBPS only.Surveys. The questionnaire format which I had used for my survey was given in the Annexure. then all of a sudden the broadband connection is down. I had to design a questionnaire that contains the basic questions. The main purpose of the survey was to get a clear understanding of the market and set up a plan based upon the data collected. And also I came to know about their current service provider and their service. During my training. Hence they have to involve in a partnership with them. the company wouldn‟t provide me the complete Sify wireless Plans list. So I would recommend Sify to provide the summer trainees with the complete set of information about their products and services so that customers can get full information at the same time. All the technical support teams should report their respective head on the daily basis to report him about the complaints and their resolutions. Till now. Then I got my questionnaires filled and gathered my relevant information. So it becomes dependent on them. I was told to only speak about Sify benefits to the SMEs. Sify is providing its service through CTOs. not the whole. But the SMEs like colleges want a minimum speed of 2-4MBPS. I would suggest Sify to provide its own service rather than through CTOs. To start with the survey. Feedback and Data Analysis: Surveys: The basic task I was given by the company was to conduct a market survey.

The main problem the SMEs are facing is the complex and expensive wired technology which they are bound to use over the years until the wireless technology comes. It has brought a revolution by bringing the wireless technology to the SMEs with a cheaper rate so that they can easily afford it and enjoy more reliable and secure network than they have ever used. SWOT and BCG matrix analysis. 37 | P a g e . Sify can be in directly contact with the customers and can handle them according to their policy of customer handling. security problems etc. cable cut. The project also helps me to learn and experience the corporate life style. Finally I can conclude that Sify has come a long way in the business of internet and is growing still further. During the project. I have also analysed the Sify‟s current market position in relation to its wireless broadband technology with PLC. need to have a backup for their users.internet. So this has been a good learning experience for me. With the wireless technology. Conclusion: “Wireless in SMEs” is a project which definitely shows the accessibility and requirement of wireless internet in the remote areas. By this type of connectivity. so that the service is sufficient and the best. they can be relieved from the problems like failure of connectivity. I met different corporate people who gave me valuable tips and advice which I should follow during my training and in the future also.

gov.org/wiki/Broadband_Internet_access www.com www.org/wiki/Wireless_internet_service_provider www.wikipedia.Fcc.gov http://en.com www.sifycorp.in www.com 38 | P a g e .com www.sify.sifybroadband.wikipedia.Bibliography Internet          http://en.google.com www.dot.broadbandindia.

39 | P a g e .

40 | P a g e .

Sign up to vote on this title
UsefulNot useful

Master Your Semester with Scribd & The New York Times

Special offer: Get 4 months of Scribd and The New York Times for just $1.87 per week!

Master Your Semester with a Special Offer from Scribd & The New York Times