Name: Sharif Khan, Hakim Ali, Mohaib Jan, Mehboob Adil

Enrollment#: 2016-BBA 07,24, 15, and 09.

Subject: International Business.

Assigned By: H/ Sir Mir Saddat Baloch.

 JIO Reliance Telecommunication Company

Introduction:

 The company was registered in Ambawadi, Ahmedabad, Gujarat on 15 February 2007 as

Infotel Broadband Services Limited (IBSL). In June 2010, Reliance Industries (RIL)

bought a 95% stake in IBSL for ₹4,800 crore (equivalent to ₹87 billion or US$1.2 billion

in 2019). Although unlisted, IBSL was the only company that won broadband spectrum

in all 22 circles in India in the 4G auction that took place earlier that year. Later

continuing as RIL's telecom subsidiary, Infotel Broadband Services Limited was renamed

as Reliance Jio Infocomm Limited (RJIL) in January 2013.

In June 2015, Jio announced that it would start its operations throughout the country by

the end of 2015. However, four months later in October, the company postponed the

launch to the first quarter of the financial year 2016–2017.

The 4G services were launched internally on 27 December 2015. The company

commercially launched its 4G services on 5 September 2016, offering free data and voice

services till 31 December, which was later extended till 31 March 2017. Within the first

month, Jio announced that it had acquired 1.6 crore (16 million) subscribers and has

crossed 5 crore (50 million) subscriber mark in 83 days since its launch, subsequently

crossing 100 million subscribers on 22 February 2017. By October 2017, it had about 13

crore (130 million) subscribers.

.
Vision Statement:

“To transform India with the power of digital revolution - to connect everyone and

everything, everywhere – always at the highest quality and the most affordable price”.

Business Plan of Jio Reliance Telecom to enter Pakistan

PEST analysis of Pakistan

Political factors affecting trade in Pakistan

International trade assumes a great significance in economic development of both

developed and developing countries. In the last three decades, particularly during 1990s

and 2000s, most of the countries liberalized their trade as a part of economic reforms

adopted by them and facilitated by the WTO policies.

However, the potential of bilateral trade between India and Pakistan has not materialized

till yet.India-Pakistan trade has the potential to increase many fold to scale US$10bn in

the next very few years if the ‘normal’ relations establishes. The reason is that Pakistan

has not yet reciprocated most favoured nation (MFN) status for India.. Poor

transportation linkages make trade costly, with railway and road connections inadequate

and sea shipments constrained by both limited port facilities and bureaucratic regulations

and restrictions. Unfortunately, recent years have observed a deceleration in significance

of bilateral trade in each other’s territory. India – Pakistan bilateral trade as the

percentage of India’s total trade has been decelerated significantly during the recent

years.

Economic factors affecting trade in Pakistan

Pakistan eyes on becoming the world’s one of the top 25 economies by 2025 and one of

the top 10 high income economies by 2047. Though it must walk a long way to achieve

the aims, it is worth mentioning that Pakistan has made significant economic growths

over the years. According to the World Bank, cited in Trading Economics (2020), the

GDP of Pakistan in 2019 was worth 320 billion US dollars FDI inflow has been an

important aspect of the economy of Pakistan. China is the largest investor in the country,

while countries such as the USA, the UK, Japan, South Korea, and Hong Kong have also

stepped up their investments. Attracting more FDI inflows and keeping domestic

investors spending more in the country should help Pakistan make further economic

progress. However, a selective justice system, lack of friendly business environment, and

poor law and order conditions often discourage domestic investors from investing in the

country (Raza, 2018).

Social factors affecting trade in Pakistan

Pakistan is one of the largest domestic markets in the world. Level of poverty is

declining, and a stronger middle class is steadily emerging. The country also has an

affordable and abundant workforce. Family loyalty is very crucial, and nepotism is often

viewed positively in workplace as this guarantees the hiring of people who can be trusted.

However, there are some social challenges facing Pakistan today. For instance, poor

literacy, terrorism, food and water crisis, poor housing quality and affordability, poor

transportation, poor health care system, and gender discrimination to name but a few.

Pakistan is the 5th most populous country in the world. As of March 2020, the total

population is approximately 219 million. The major religion is Islam and a small
percentage of population follows Christianity and Hinduism. The major languages are

English, Urdu, Punjabi, Sindhi, Pashto, and Balochi (BBC, 2019). The life expectancy for

men is 66 years and while 68 years for women in Pakistan. Families are quite large by

Western standards

Technological factors affecting trade in Pakistan

Pakistan has made significant progress in science and technology over the years. It is a

nuclear power to the astonishment of many great global powers. A good number of

online retailers are trading very well, Alibaba’s and recently AMAZON entry into the

country has also been hailed as a great boost for digital economy. Vast majority of people

have cellular phone subscriptions and the Internet usage has increased significantly as

well.

Top social networking sites in Pakistan are Facebook, Twitter, Pinterest, Instagram,

YouTube, and LinkedIn (StatCounter, 2020). The number of social media users is

growing rapidly; however, unavailability of the Internet in many places has been

hindering the digital progress. To realise the full potential of the digital revolution,

Pakistan must enhance Internet connectivity, and improve digital infrastructure.

Likewise, it also needs to invest in digital skills and literacy, and promote innovation and

entrepreneurship (Jahangir, 2020)

Jio Reliance in Pakistan

In first phase Jio reliance will be launched in major cities of the Pakistan such as Karachi,

Lahore, Islamabad, Peshawar and Quetta. The estimated cost for launching Jio will be

around 300 million US Dollars, Analyzing the current condition of Pakistan the Jio
Reliance will offer GSM, 3G and 4G services in selected cities. In upcoming years Jio

Reliance will be offering 5G service in Pakistan. Furthermore the Jio reliance aims to

expand its services to other cities.

Market entry and barriers;

Entering a new market can be a smart business move, but it comes with its share of

challenges. To leverage this opportunity effectively, Jio Reliance modify certain aspects

of its business strategy and develop a ‘market entry strategy’. It’s vital to understand the

challenges, as much as the opportunities, before entering a new market. Consider things

like:

 behaviors of your new target customers

 communication channels (and their usage)

 cultural differences in certain markets and regions

 currencies

 common payment methods

 regional regulations

Entering a new market is a proven growth strategy, especially if you’re operating in an

industry niche with little local competition. However, meeting the needs of the new

market and addressing the potential challenges and risks is vital. Your ability to handle

these challenges will determine your capacity for growth and your market entry strategy

will be your foundation for success.

Organizational Structure
Organizational structure of the company is multi-divisional structure whereby every

project undertaken by the company is managed by different groups having their own

management team for each project such as, within multi-divisional structure there is sub-

hierarchical organizational structure for each project.

Marketing Mix

Marketing Mix of Reliance Jio analyses the brand/company which covers 4Ps (Product,

Price, Place, Promotion) and explains the Reliance Jio marketing strategy. There are

several marketing strategies like product/service innovation, marketing investment,

customer experience etc. which have helped the brand grow.

Reliance Jio Product Strategy:

Reliance Jio is a leading telecom operator in India, which has disrupted the Indian market

with its services. Jio has rolled out a number of products & services in its marketing mix

for the benefit of the Indian population including the roll out of Internet services to

promote Internet penetration within the country and promote the digitization initiatives

followed. JioPhone is one of the most popular service rolled out by Jio, wherein the first

affordable 4G phone has been launched by Reliance which is powered by Kai Operating

System. Peripheral services like messaging and music are offered by the 4G internet

services that Jio offers along with the various data and voice over services. Apart from

this, Jio also produces the LYF smartphones. Even though in the initial months of its

launch agreement with Intex, Jio was supposed to purchase the smartphones

manufactured by Intex, Jio decided on making its own handsets compatible with the 4G

VoLTE technology. Reliance Jio, prior to its launch of 4G services within the country,
also started providing free hotspots of Wi-Fi in a number of cities within the country.

This initiative was undertaken in an attempt to gauge the interest in Internet penetration

within the country, and develop a culture wherein people are exposed to Internet usage.

More so, in the month of March 2016, Wi-Fi was provided to spectators in 6 cricket

stadiums that had partnered to host the ICC World Cricket Tournament matches.

Pricing

At the outset, in an attempt to promote Internet usage within the country and to make the

availability of Internet to people from all walks of life, Reliance Jio undertook the

initiative of providing SIMs free of cost to any individual against their CNIC number and

unique mobile number identity.

Following the stint of rolling out services free of charge for the users, Jio has rolled out

reasonable pricing plans wherein consumers are charged reasonably for the data

consumption that they undertake. Voice calling however, is still free for its users who

mainly pay for the data usage. Reliance Jio Phones including the LYF series were priced

affordably with a security deposit of Rs 1500 that could be withdrawn by the user after

usage of the phone for three years. LYF devices start at prices as low as Rs.2999 and

JioFi is priced at ranges as low as Rs1999.

Place

Reliance Jio has a strong presence in the Indian subcontinent because of the extremely

well developed infrastructure that the firm offers. Now its time to capture the Pakistani

market starting with major cities.

Promotion
Jio has partnered with a number of organizations and agencies like The BT group,

Millicom, Orange S.A. In September 2016, it even signed a pact with BSNL for intra-

circle roaming services to be offered in partnership with one another. Jio has also signed

up for a partnership with Samsung for rolling out LTE Advanced Pro and 5G in the

country. Reliance Jio was responsible for launching the much talked about Augmented

Reality game called Pokémon Go, which excited the youth and revolutionized the way

games were thought as. Jio promotes itself extensively through campaigns on Television,

Social Media, print Media, outdoor media publishing activities and so on. The brand

ambassadors for the brand promotion are the most iconic stars.