Name: Kiran Bhatta

Roll no:19125 DIV: A

Q.1How will Idea Vodafone analyse the current situation vis a vis Jio and then
formulate a strategy to obtain competitive advantage.

As It is a known fact that the announcement of Jio seems to be nightmare to all the prevailing
telecom service providers at that point of time. The telecom sector goes to the tremendous
change after the incident. As they were compelled to cut off the prices of their services in
order to sustain itself in the market which has resulted in low or no profit margin. To cope up
with this change various telecom companies collaborate with each other. Most popular
example is Vodafone and idea merge themselves forming a new company called Vodafone
Idea limited. Since Vodafone Idea limited commonly known as ‘Vi’ owe heavy debt to telcos
since plead of Government has managed to provide the extention of 10 years. The merger of
Idea and Vodafone is one the largest merger which composes of 408 million subscribers- a
tally more than what reliance and Jio combined. Hence, following are some strategies that
Vodafone Idea (Vi) can look to adopt in order to gain competitive advantage over others:

Competitive Advantage

 Cost leadership strategy: The primary objective of using this strategy is to preserve the
market leadership position through efficient value chain management. Vodafone focuses
on affordability and easy accessibility of its produce across the globe, which leads
towards high brand awareness and high sales growth and provides a strong competitive
advantage basis.

 Differentiation: In a differentiation strategy a firm seeks to be unique in its industry

along some dimensions that are widely valued by buyers. It selects one or more attributes
that many buyers in an industry perceive as important, and uniquely positions itself to
meet those needs. It is rewarded for its uniqueness with a premium price.

 Innovation Strategy: Innovation is the key to progress in this competitive world.

Innovation is about finding new way or method of doing business. The most relatable
example is of Insightec which created a way to eliminate brain tumors and other cancers
without cutting into the body. Clearly they gain a competitive edge over traditional
surgeries by reducing pain, risk, and long recovery time. People can gain a competitive
edge as they discover and offer innovative ways of doing things for the company. If your
ideas consistently result in benefits to the company you’ll have that essential edge.
 Operational effective Strategy: Some companies just do what they do better than
anyone else. FedEx started out with an innovative strategy. But it continued its leadership
— even after dozens of other companies jumped into the overnight shipping business —
by doing it very well. For individuals, this may mean creating systems of operating or
new ways to analyze data.

 Technology based Competitive strategy: Since the time Henry Ford revolutionized the
auto industry with the assembly line, companies have sought for a competitive edge using
new technology or technology in a new way. Computers and applications continue to…
perhaps briefly… give companies an advantage over the competition.