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    REPORT ON UNINOR

    NC

    BY:

    ANKUR PUNDIR

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    Introduction

    yJoint venture between Telenor(67.25%) and Unitech Group(32.75%)

    y Started Mobile services in India in December2009 focusingontheGSM technology.

    y Indias 8th nation-wide mobile operatoroperatingin 10outof22telecom circles inthe country.

    y Headquarterin Gurgaon,India.

    yNo.of employees- 2000.

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    Introduction.

    y Hub Head Offices at Delhi/Noida, Kochi, Chennai, Bangalore,Hyderabad, Kolkata, Patna, Mumbai, Lucknow, Guwahati,

    Chandigarh, Indore.

    y The companyis targeting an 8 %pan-Indian market share, andthe

    openingofone millionretail points withinthree years.

    y Website- uninor.in

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    Parent Companies

    Telenor

    Foundedin 1855, Telenoris the largest companyin Norway,with

    headquarters located at Fornebu, close to Oslo.

    150years oftelecom experience

    An International wireless carrierwith operations inScandinavia,

    Eastern Europe and Asia.

    The 6th largest mobile phone operatorinthe world.

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    Presentin 14 countries worldwide with 174 million mobilesubscriptions as of Q4 2009.

    Over40,000 employees across the globe.

    TelenorGroup has invested INR 6135.63 crores through new sharesto hold67.25% equityinthe company.

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    Parent Companies

    Unitech

    Unitech Groupis Indias second largestreal estate investmentcompany, and has recently claimedto be the largestreal estatebuilderinthe country.

    Basedin New Delhi andranks 1484 in Forbes Global 2000companies,32nd in India.

    Its construction business includes highways,roads,powerhouses,transmission lines, andit has residential projects called UnitechCities/Uni World.

    Secured a 50 billionrupee ($1 billion) loan from State Bank of India(SBI.BO)to fundits mobile phone network rollout.

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    Formed by Ramesh Chandra andoriginally formed as UnitedTechnical Consultant Private Ltdin 1972 as a soil investigationcompany.

    30years ofpresence across locations nationwide.

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    Infrastructure

    Tower Sharing-Wireless-TT InfoService Ltd, Quippo TelecomInfrastructure Ltd.

    Telecom, network and radio services-Alcatel-Lucent,HuaweiTechnologies India, Nokia Siemens Networks and Ericsson.

    IT services and Infrastructure- Wipro Technologies

    Network management- Huawei, Ericsson and ZTE.

    Charging solutions for prepaid and postpaid customers-

    Telcordia.

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    Key people

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    Offices

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    Offices

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    4 Ps of marketing

    Product- Prepaid GSM mobile services in 10circles outof22 circles in India.

    Price- Talklonger@29p/min.

    198 unlimited call plan*.

    My connect90(internet).

    24*7 Badalta discountplan-DP plan.

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    Promotion-

    Slogan- Ab mera numberhai

    Brand Ambassador- Young, Energetic, Ambitious youth

    Contest- Uninorsona jeeto contest.

    Place- 10 circles of22 Indiantelecom circles- in cities 1.UttarPardesh(West)+Uttrakhand,2.UttarPradesh(East),3.Bihar+Jharkhand, 4.Karnataka,5.Andhra Pradesh,6.Tamil Nadu,7.Kerala , 8.Orissa,9.kolkota,10.restof bengal.(till may2010).

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    Tariffs and otherservices

    I save32

    Free 1000 minutes on calls from Uninor to Uninor .

    I save49

    Free 100 minutes on calls from Uninor to Uninor

    Local calls at29p/min

    STD calls at 49p/min

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    Tariffs and otherservices..

    I save429

    Free 1200 minutes on calls from Uninor to Uninor.

    Local calls at29p/min.

    STD calls at 49p/min.

    I save24 (national SMS pack)

    75 free local/national SMS

    All local/national SMSpost free SMS at 11p/SMS

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    Promotion

    Product Promotion

    Creative strategy- Informational with Positive appeal Pride.

    Slogan- Ab mera numberhai.

    AdvertisinginHindi, Kannada, English and many more Indianregional languages.

    The series oftelevision ads (by creative agency Leo Burnett) showyoungpeople inreal-life situations ratherthan models orcelebrities.

    The company has around2 lakh retail points across the country,includingrural areas, apart from 50 company-owned stores.

    Innovational promotionin small towns.

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    Promotion

    Institutional Promotion

    Forbrand empowerment,itis working anonline initiative with socialmedia.

    Brand Philosophy- EmpowerPeople.

    Media Mix

    Print and Broadcast ads

    Motion Pictures

    Brochure and booklets

    Posters Billboards

    POP displays

    Logos

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    Targeting

    The companyis targeting for8% market share in India by2018.

    The countrywill have over1.2 billion customers by2018 as against540 millionnow.

    Thus Uninor is targeting for80 million customers by2018.

    Break-evenin3years.

    Positive operating cash flowwithin5years in India.

    Targetingyouth as well as all the ambitious people.

    Selective specializationtargeting strategy

    Firstpriorityis toroll out across the country; a credible market sharecan be builtonly afterthat. They hope to launch across the entirecountry bythe endofthe year.

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    Value proposition

    Maximize the enabling effectof mobile telecommunications

    Promote saferproducts and services

    Make responsible business practices partof everything Uninor does.

    Various value packs forISD users- USA/Canada,

    Singa

    pore

    /Mala

    ys

    ia

    ,G

    ulf

    packs

    .

    Simple tariffplans which are easilyunderstandable.

    Quick responses through circle heads.

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    Strengths

    Joint venture betweenworlds 6th largesttelecom company andIndias 2nd largestreal estate company.

    Least capital investment as various services are outsourced.

    Leastnumberof employees.

    Decentralized management structure

    simple prepaidplaninwhich a local call is priced at29paisa aminute.

    The more youtalk,the lowerthe price gets.

    Use of real youngpeople inpromotioninsteadof anyrole model.

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    Weakness

    The f irst signs ofWeakness innew Operators is now evidentthatUninor[ a JV ofTelenorandUnitech Ltd] has confirmedthatitwillhave a focusedrolloutin majorityof22 circles,while meeting license

    obligations in all circles.

    Uninorhasjust 12,000 base stations installed, much lowerthanthebase stations required fornationwide launch.

    Ithas s

    till

    notla

    unche

    dpo

    stp

    aid

    schemes

    . Late entrantinthe market.

    Too much outsourcing maygo againstthe health ofthe company.

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    Opportunities

    With risingindividual savingrate with 9%growth rate, and expectedincrease in market size by500 millionin2010(almostdouble),thecompany has greatopportunities.

    Approximately 10-15 million mobile connections are being addedevery month. The national mobile tele-densityis about39perhundred, Urban areas-75(in Mumbai), but Rural areas-13.

    Micro segmentation strategyinrural markets adopted bythecompany.

    Falling handsetprices andtariffrates.

    Increasingnetwork distribution.

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    Threats

    Competitors like Airtel, Reliance, BSNL, Vodafone .

    Extensive Governmentregulations through TRAI as regards

    introductionofnew services.

    Bloodbath inthe marketdue toprice war.

    Uninor is likelyto be followed by Etisalat of United Arab EmiratesPvt. Ltd,the Videocongroup-promoted Datacom, and BahrainsBatelco co-ownedSTel.

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    BCG Analysis

    StarsAirtel, Reliance,

    BSNL,vodafone.Question Marks ?

    Local players, Uninor

    Dogs

    Virgin,aircel.

    Cash cows

    Tata Teleservices(TTL),idea.

    Marketgro

    wthrate

    Relative MarketShare

    High Low

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    Ansoff matrix

    Uninor

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    Porters Five Forces Model

    Threat of

    Substitute

    Products-

    Internet

    Threat of

    Substitute

    Products-

    Internet

    Threat of New

    Entrants-Etisalat,

    Datacom, STel

    Threat of New

    Entrants-Etisalat,

    Datacom, STel

    Industry competitors-

    Airtel, Reliance, BSNL,

    Vodafone, TTL, Idea

    Industry competitors-

    Airtel, Reliance, BSNL,

    Vodafone, TTL, Idea

    Bargaining

    Power of

    Buyers

    Bargaining

    Power of

    Buyers

    Bargaining

    Power of

    Suppliers-

    outsourcecompanies

    Bargaining

    Power of

    Suppliers-

    outsourcecompanies

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    THANK YOU