ankush report final 4th sem

8/7/2019 Ankush Report Final 4th Sem

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A

Project Study Report

On

RELIANCE COMMUNICATIONS

Titled

COMPARATIVE ANALYSIS OF RCOM GSM SERVICES

WITH AIRTEL & BSNL

Submitted in partial fulfillment for the

Award of degree of

Master of Business Administration

Submitted in partial fulfillment of

Master of Business Administration

of the Jaipur Engineering College, Kukas

Submitted to : Submitted by:

Mr. Manish Sharma ANKUSH GARG

Dept of Mgmt Studies MBA 4th

Semester


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PREFACE

Quite frequently these days retailers talk of practical knowledge, both in academic institutions

and outside. At each and every aspect in life we require some sort of theoretical and practicalknowledge too.

The thing which is only static is change. In the earlier days communication with the

person residing in far away was very difficult and time consuming. But with the invention of cellula

phone it become as simple as eating a cake in hand. Cellular telephony is designed to provide

communication between two moving unit called Mobile Stations (MSs), or between one mobile unit and

one stationary unit One stationery unit often called a land unit. A service provider must be able to locate

and track a caller, assign a channel to the call, and transfer the channel from base station to base

station as the caller moves out of range.

In INDIA the company which provide GSM services are RCOM., AIRTEL, BSNL, VODAFONE, IDEA

etc. These companies with the help of GSM technology has made communication more easy and

intresting.

My survey is related to know the satisfaction level of customer in JAIPUR who are using GSM service

provider companies like RCOM for their communication.


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ACKNOWLEDGEMENT

No gain without pains is a common saying. Gratitude is the hardest of emotion to express andoften does not find adequate words to convey. Therefore, a Survey Project Report is not an effort of a

single person but it is a contributory effort of many hands and brains. So, I would like to thanks all those

who have helped me directly or indirectly during my Survey Project.

I express my sincere thanks to my project guide, Mr.Pramod Goyal for guiding me right from the

inception till the successful completion of the project. I sincerely acknowledge him for extending their

valuable guidance, support for literature, critical reviews of project and the report and above all the

moral support he had provided to me with all stages of this project.

I would like to thank all my teacher, staff members, and Library members for their valuableadvice and guidance which help me to make this report effective, interesting and purposeful.

I AM also thankful to the consumers for being a source of information in providing me the correct and

the fact data.

I thank my collage, Jaipur Engineering College, Kukas for having given me this opportunity to put to

practice, the theoretical knowledge that I imparted from the program.

(Ankush garg)


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EXECUTIVESUMMARY

The project COMPARATIVE ANALYSIS OF RCOM GSM SERVICES WITH AIRTEL & BSNL find the

Market share of RCOM Mobile Services in comparison to other communication companies. The aim o

this project was Evaluating and Managing the Market position of RCOM Mobile Services among

customers on different parameters, creating awareness about the various plans of the company, brand

image and generating leads for future business prospects.

Bright highlight of the methodology used for the survey project:-

1) Filling the questionnaires by various individuals which are given by my project guide.

2) Sampling on cluster random basis.

3) Coding

4) Analysis

5) Final report construction

In the current business scenario, to know about the competitors marketing policies and schemes is

equally important as emphasizing on companys own policies.


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CONTENTS

1. Introduction Of The Industry

2. Indian Telecom Industry

3. Cellular Operator

4. Brief history of Organization

5. The Marketing Mix

6. Market Share

7. Research Methodology

8. Data Interpretation9. SWOT Analysis

10. Conclusion

11. Suggestion

12. Questionnaire

13. Bibliography


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1.

INTRODUCTION OF THE

INDUSTRY


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INTRODUCTION OF THE INDUSTRY

History

Telecom in the real sense means transfer of information between two distant points in space. The

popular meaning of telecom always involves electrical signals and nowadays retailers exclude postal or

any other raw telecommunication methods from its meaning. Therefore, the history of Indian telecom

can be started with the introduction of telegraph.

Introduction of the Telephone:

In 1880, two telephone companies namely The Oriental Telephone Company Ltd. and The

Anglo-Indian Telephone Company Ltd. approached the Government of India to establish telephoneexchanges in India. The permission was refused on the grounds that the establishment of telephones

was a Government monopoly and that the Government itself would undertake the work.

By 1881, the Government changed its earlier decision and licence was granted to the Orienta

Telephone Company Limited of England for opening telephone exchanges at Kolkata, Mumbai

Chennai and Ahmedabad. January 28, 1882, is a Red Letter Day in the history of telephone in India.

On this day Major E. Baring, Member of the Governor General of India's Council declared open the

Telephone Exchange in Kolkata, Chennai and Mumbai. The exchange at Kolkata named "Centra

Exchange" was opened at third floor of the building at 7, Council House Street. The Central TelephoneExchange had 93 number of subscribers. Bombay also witnessed the opening of Telephone Exchange

in 1882 itself.

Further developments:

In 1902 first wireless telegraph station established between Saugor Islands and Sandheads. In

1907, first Central Battery working of telephones introduced in Kanpur. Between 1913 and 1914 first

Automatic Exchange was installed in Simla. On July 23, 1927 Radio Telegraph started workinbetween UK and India.

The beam station at Kirkee and Dhond opened by Lord Irwin and greetings exchanged with the

King of England. In 1933 Radio-Telephone also started between India and UK. 12 channel carrier

system was introduced in 1953. First subscriber trunk dialing route commissioned between Kanpur and

Lucknow in 1960. First PCM system between city and Andheri telephone exchanges commissioned in


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Mumbai in 1975. First digital microwave junction was introduced in 1976. First optical fibre system for

local junction commissioned at Pune in 1979.

First satellite earth station for domestic communications was established at Secunderabad(U.P.). Firs

analog Stored Program Control exchange for trunk lines was commissioned at Bombay. In 1984 C-

DOT was established for indigenous production and development of digital exchanges. In 1985 mobile

telephone service started (not commercially) in Delhi.

While all the major cities and towns in the country were linked with telephones during the British

period, the total number of telephones in 1948 was only around 80,000. Even after independence

growth was extremely slow.


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2.

INDIAN TELECOM INDUSTRY


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THE GENESIS OF THE TELECOM INDUSTRY:

Indian Telecom sector, like any other industrial sector in the country, has gone through many

phases of growth and diversification. Starting from telegraphic and telephonic systems in the 19th

century, the field of telephonic communication has now expanded to make use of advanced

technologies like GSM, CDMA, and WLL to the great 3G Technology in mobile phones. Day by day,

both the Public Players and the Private Players are putting in their resources and efforts to improve the

telecommunication technology so as to give the maximum to their customers.

In 1975, the Department of Telecom (DoT) was responsible for 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. In 1990s the telecom sector was opened up by the

Government for private investment as a part of Liberalisation-Privatization-Globalization policy.

Therefore, it became necessary to separate the Government's policy wing from its operationswing. The Government of India corporatised the operations wing of DoT on October 01, 2000 and

named it as Bharat Sanchar Nigam Limited (BSNL). Many private operators, such as Reliance India

Mobile, Tata Telecom, Vodafone, BPL, Bharti, Idea etc., successfully entered the high potential Indian

telecom market.

India has become one of the fastest growing mobile markets in the world [2]. The mobile services

were commercially launched in August 1995 in India. In the initial 5-6 years the average monthly

subscribers additions were around 0.05 to 0.1 million only and the total mobile subscribers base in

December 2002 stood at 10.5 millions. However, after the number of proactive initiatives taken byregulator and licensor, the monthly mobile subscriber additions increased to around 2 million per month

in the year 2003-04 and 2004-05.

The years 2005and 2006saw an increase in level of competition in the industry with more operators

being given license and fixed line providers also entering the mobile market. In 2007 Telecom

Regulatory Authority of India (TRAI) announced regulation of interconnects user charges to resolve

conflicts between cellular operators and fixed line operators.

Basic Services:

The major players providing basic services are BSNL, the Tata Tele services and reliance, which use

the code division multiple accesses (CDMA) standard, which provides limited mobility. Using CDMA,

calls can be made to and received from certain fixed areas.


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Cellular Services:

Operators providing cellular services use the global system for mobile communication (GSM) standard

using this, call can be made to and received from any place. The major players in this segment are

Bharti, Hutchison BPL and Idea.

The telecom sector requires very heavy investment (The National Telecom policy-1994 estimated a

resource gap of Rs. 230billion for the telecom targets of the eight five year plan, 1992-1997 to be met)

To meet the resource requirement and achieve the nations telecom targets, the government decided to

invite the participation of private players, and the telecom sector was opened up in 1992. (The early

1990s was a period of economic liberalization in India. Liberalization was initiated on a large scale

through the industrial policy Statement of 1991). The policy abolished the regime of public sector

supremacy and paved the way for private participation in the economy).

Cellular mobile services were one of the first areas to be opened up for private participation. Initially to

easy operations, the country was divided

The Importance of Telecom in India :

India has a huge disparity of income among its retailers. One reason for this is the lack of education. In

the days when telecom was a state monopoly, the government introduced education classes through

the state run TV channel. Even now, these classes are watched by huge numbers of students who

cannot afford to go to regular schools/colleges. An estimated 3.5 million students are enrolled in various

distance education universities throughout the country. Some foreign universities have seen this

potential market and set up programs.

Computer education is a route to generating more employment and prosperity. Due to the lack of

proper telecom infrastructure in the interiors of the country, there is general lack of awareness of globa

developments. The spread of telecommunications will help tap this potential market and the sheer

magnitude of the market will continue to beckon global players for years to come.

Entrance of private telecom operators various reports examines the emergency of innovation and value

creation for enhancing customers experience, as a result of increasing competition in the Indian

telecom industry during the late 1990s and early 2000s. The report provides a detailed account of the


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evolution of the Indian telecom industry. It traces various developments in the industry before, during

and after the liberalization of the Indian telecom sector.

It also provides information about the increasing popularity of cellular services, which led to the

emergence of several private telecom operators like BhartiTeli Ventures, Hutchison Essar Telecom

India, Idea Cellular Ltd., Reliance Communication and Tata Teleservices, etc. Due to the huge market

potential even public sector undertakings like BSNL and MTNL have also begun offering cellula

services apart from basic wire line services in February 2004. Bharti Airtel Telecom India Limited

(Airtel)Indias leading GSM service provider entered the Pre paid and Post paid mobile services

segment by offering subscription schemes that allowed customers to make use of a digital mobile

phone service at an affordable price.

MISSION, AIMS AND OBJECTIVES

Preamble

The Telecom Regulatory Authority of India (TRAI) has always endeavored to encourage greater

competition in the telecom sector together with better quality and affordable prices in order to meet the

objectives of New Telecom Policy, 1999. Vide a Notification dated 9th January, 2004 of the

Government; Broadcasting and Cable Services also have been brought within the definition of

telecommunication service in terms of section 2(k) of the Telecom Regulatory Authority of India Act

1997 as amended by the TRAI (Amendment) Act, 2000. A number of policy initiatives Were taken in

2007-2008 to transform the telecom sector including the broadcasting and cable services to extend the

scope, availability and reach of these services in India.

Mission of TRAI

TRAIs mission is to create and nurture conditions for the growth of telecommunications including

broadcasting and cable services in the country in a manner and at a pace which will enable India to

play a leading role in the emerging global information society.Aims and Objectives of TRAI

The goals and objectives of TRAI are focused towards providing a regulatory regime that facilitates

achievement of the objectives of the New Telecom Policy (NTP) 1999. As shown by the various

initiatives mentioned later in this Report, the goals and objectives of TRAI are as follows:

Increasing teledensity and access to telecommunications in the country at affordable prices,


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Making available telecommunication services which in terms of range, price and quality are

comparable to the best in the world,

Providing a fair and transparent policy environment which promotes a level playing field and

facilitates fair competition,

Establishing an interconnection regime that allows fair, transparent, prompt and equitable

interconnection,

Re-balancing tariffs so that the objectives of affordability and operator viability are met in a

consistent manner,

Protecting the interest of consumers and addressing general consumer concerns relating to

availability, pricing and quality of service and other matters,

Monitoring the quality of service provided by the various operators,

Providing a mechanism for funding of net cost areas/ public telephones so that UniversaService Obligations are discharged by telecom operators for spread of telecom facilities in

remote and rural areas,

Preparing the grounds for smooth transition to an era of convergence of services and

technologies,

Promoting the growth of coverage of radio in India through commercial and non-commercia

channels,

Increasing consumer choice in reception of TV channels and choosing the operator who would

provide television and other related services.

A decade of journey towards excellence in telecommunications

o India became the second largest wireless network in the world, overtaking the USA and second

only to China, with addition of about 8 million subscribers every month in the recent times.

o Subscriber base reached 300.49 million as on 31st March 2008 as compared to 14.88 million for

the same period in 1997.

o Tele density of 26.22 as on 31st March 2008 as compared to 2.30 for the same period in 1998

much ahead of the teledensity target set under NTP, 1999 of 15 by the year 2010.

o Rural teledensity at the end of March 2008 was 9.20 as compared to 0.40 for the same period in

1998 which too is much ahead of the NTP, 1999 target of 4 by the year 2010.

o Decline in Tariffs:

Local call tariff for mobile @ Rs. 15.00 is now less than Re. 1.00


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One minute STD call between Delhi and Mumbai at the rate of Rs.37.00 now cost Re. 1.00i.e. at the rate of local call

ISD call to American continent @ Rs. 75.00 now costs less than Rs. 7.00o Subscriber base of internet reached 11.09 million on 31st March 2008 as compared to 0.09

million in 1997

o Putting in place Interconnection and Cost Based Interconnection Usage Charges regime.

o Introduction, continuation and phasing out of Access Deficit Charges regime

o Introduction of Calling Party Pay regime

o Introduction of Mobile Termination Charges, which is lowest in the world

o Putting in place Tariff Order regime with the issue of Telecom Tariff Order 1999 and shift to a

regime of tariff de-regulation in gradual manner.o Important Recommendations on USO, Spectrum issues, Broadband, Internet Telephony

Growth of Telecom Sector in Rural areas facilitating the Government to formulate policies on

these issues.

o Putting in place a regulatory framework in the Broadcasting & Cable Sector after the same was

brought within the purview of TRAI in January 2004

o Successful roll out of Conditional Access System (CAS) in the metro city of Delhi, Mumbai,

Chennai and Kolkata

o Introduction of Tariff and Interconnection regime for the Broadcasting & Cable Sector.

o Tariff ceiling for cable subscribers in Non-CAS areas

o Ensuring orderly growth of the sector with a Consumer Centric approach

o Engaging consumer Advocacy Groups (CAGs) & NGOs in regulation of the telecom sector and

regular interaction

o Establishment of three tier consumer grievances redressal mechanism

o Establishment of Telecommunication Consumers Education and Protection Fund

o Putting in place a mechanism for restricting unsolicited commercial communications


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History of Indian Telecommunications

Year

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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About Telecommunication Industry:

Today the Indian telecommunications network with over 375 Million subscribers is secondlargest network in the world after China. India is also the fastest growing telecom market inthe world with an addition of 9- 10 million monthly subscribers.

The telecom network in India is the fifth largest network in the world meeting up with globa

standards. Presently, the Indian telecom industry is currently slated to an estimated

contribution of nearly 1% to Indias GDP.

Driven by rising income levels and favorable demographics, India is poised to at least

double its GDP in nominal terms from current levels by FY 2010, as stated in one of the

recent reports released by Merrill Lynch.

This era of rapid economic growth has been accompanied by exponential growth in thetelecom sector, particularly on the wireless side.

India has reached a wireless penetration of 8.3% in FY 2006, and its mobile base has

increased at a compounded annual growth rate of 85% over the last seven years.

With increasing network coverage and affordability this growth is expected to continue in the

medium term.

With about 20.93 million mobile and broadband & telephone customers on March 31, 2006

the Company is the largest private integrated telecom player in India

It has invested approximately Rs 215 billion in the telecom sector and had annual revenue

of Rs. 117 billion in the year under review.

The Company has a market capitalization of over Rs. 760billion and is among the top 10

listed entities in India.

Introduction:

The Indian Telecommunications network with 110.01 million connections is the fifth largest

in the world and the second largest among the emerging economies of Asia.

Today, it is the fastest growing market in the world and represents unique opportunities for

U.S. companies in the stagnant global scenario.


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The total subscriber base, which has grown by 40% in 2005, is expected to reach 250

million in 2007.According to Broadband Policy 2004, Government of India aims at 9 million

broadband connections and 18 million internet connections by 2007.

The wireless subscriber base has jumped from 33.69 million in 2004 to 62.57 million in FY2004-2005. In the last 3 years, two out of every three new telephone subscribers were

wireless subscribers. Consequently, wireless now accounts for 54.6% of the total telephone

subscriber base, as compared to only 40% in 2003.

Wireless subscriber growth is expected to bypass 2.5 million new subscribers per month by

2007. The wireless technologies currently in use are Global System for Mobile

Communications (GSM) and Code Division Multiple Access (CDMA).

There are primarily 9 GSM and 5CDMA operators providing mobile services in 19 telecomcircles and 4 metro cities, covering 2000 towns across the country.


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INTRODUCTION OF MOBILE SERVICES

India's mobile services have moved quickly from a class service to a mass service. The continuously

falling tariffs, increased coverage and customized services have made mobiles affordable and

indispensable to the common man. Cellular is also the fastest, most cost-effective, way to connect ruraIndia. 3G mobile will enhance coverage of low-cost voice telephony in rural and remote areas. It wil

also be a valuable tool for undertaking key social initiatives such as e-education and tele-medicine.

India has emerged as one of the fastest growing mobile markets of the world. Within ten years of the

introduction of mobile services in the

country, the total mobile subscriber base crossed 80 million in January 2006. When GSM mobile

services were first introduced in 1995 the total tele-density of the country was 0.8 per hundred persons,

and all were mandated fixed lines, there were no mobiles. In ten years since then, tele-density has

grown exponentially to nearly 12 per hundred persons. The contribution of mobile, especially GSM, to

this performance has been significant.

The Mobile-Fixed crossover was achieved in October 2004, when the number of mobiles exceeded tha

of fixed phones, demonstrating the powerful role being played by the cellular industry in powering

telecom growth in the country. The terrific growth of GSM led to another milestone, the GSM / Fixed

Crossover in April 2005. India is now among the nations adding 4-5 million subscribers a month and

over 80 per cent of all new subscribers continue to choose GSM month after month.

Indian telecommunications penetration is rapidly growing. Mobile services boast the worlds highest

growth rates. Regulatory measures have encouraged competition, drastically lowered rates, and

created broadly based conditions for growth. Nevertheless, rural penetration, Internet and broadband

usage are low and growing slowly. Indias urban telephony experience shows that new technologies,

competition, and pricing in line with the buying power of the masses can fuel explosive growth. Indias

economic growth will depend upon widespread access to telecommunications upon access to the

global economy.

During the entire 50 year post independence period of 1948 to 1998, teledensity grew a total of 2%

During the last two years teledensity grew 2% each year. Present trends point to annual teledensity


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growth rates of 3 to 5% in the coming year. In early 2003, mobile subscribers increased by 200

thousand per month.

Today, 5 million new subscribers are added monthly. India now has the highest rate of mobile

subscriber growth in the world equivalent to China in its best years. This, and Indias ever-growing

6% cable TV density, its growing DTH market, its 200 or so broadcast channels, and an expanding FM

radio market, show that Indias information society has arrived. Still, there are huge gaps in Indias

Internet, broadband and rural telephony coverage that present a huge dilemma for the government, its

regulator and its policy makers.

Recent things to watch out in Indian telecom sector are:

1. 3G

2. Mobile Number Portability

3. New Policy for Value Added Services

4. Market dynamics once the recently licensed new telecom operators start rolling out

5. Services.

6. Increased thrust on telecom equipment manufacturing and exports.

7. Reduction in Mobile Termination Charges.

8. Due to technological advancement and increase in traffic.


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3.

CELLULAR OPERATORS


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CELLULAR OPERATORS

SERVICE PROVIDERS IN INDIA:

Basic Service Licencees:Until recently, only the PSU's BSNL and MTNL were allowed to provide Basic Phone Service through

copper wires in India. MTNL is operating in Delhi and Mumbai only and all other parts are covered by

BSNL. However private operators have now entered the fray, although their focus is largely on the

cellular business which is growing rapidly.

There are three types of players in telecom services:

State owned companies (BSNL and MTNL)

Private Indian owned companies (Reliance Infocomm, Tata Teleservices,)

Foreign invested companies {Hutchison-Essar (Vodafone), Bharti Tele-VenturesEscotel, Idea Cellular, BPL Mobile, Spice Communications}

Cellular Mobile Service Licencees:

1. BSNL

2. MTNL

3. Bharti Hexacom Ltd

4. Idea Cellular Ltd

5. Reliance Telecom Ltd

6. Vodafone

7. Aircel

8. Spice9. BPL Mobile Communications Ltd

10. Escorts Telecommunications Ltd

11. Fascel Ltd

12. BTA Cellcom Ltd


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BSNL

On October 1, 2000 the Department of Telecom Operations, Government of India

became a corporation and was renamed Bharat Sanchar Nigam Limited (BSNL).

BSNL is now Indias leading Telecommunications Company and the largest public secto

undertaking. It has a network of over 45 million lines covering 5000 towns with over 35

million telephone connections.

The state-controlled BSNL operates basic, cellular (GSM and CDMA) mobile, Internet

and long distance services throughout India (except Delhi and Mumbai).

BSNL will be expanding the network in line with the Tenth Five-Year Plan (1992-97). The

aim is to provide a telephone density of 9.9 per hundred by March 2007.

BSNL, which became the third operator of GSM mobile services in most circles, is now

planning to overtake Bharti to become the largest GSM operator in the country. BSNL is

also the largest operator in the Internet market, with a share of 21 per cent of the entire

subscriber base.

BHARTI AIRTEL

Established in 1985, Bharti has been a pioneering force in the telecom sector with many

firsts and innovations to its credit, ranging from being the first mobile service in Delhi

first private basic telephone service provider in the country, first Indian company to

provide comprehensive telecom services outside India in Seychelles and first private

sector service provider to launch National Long Distance Services in India.

Bharti Tele-Ventures Limited was incorporated on July 7, 1995 for promoting

investments in telecommunications services. Its subsidiaries operate telecom services

across India. Bhartis operations are broadly handled by two companies: the Mobility

group, which handles the mobile services in 16 circles out of a total 23 circles across the


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country; and the Infotel group, which handles the NLD, ILD, fixed line, broadband, data,

and satellite-based services.

Together they have so far deployed around 23,000 km of optical fiber cables across the

country, coupled with approximately 1,500 nodes, and presence in around 200 locations.

The group has a total customer base of 6.45 million, of which 5.86 million are mobile and

588,000 fixed line customers, as of January 31, 2004.

In mobile, Bhartis footprint extends across 15 circles. Bharti Tele-Ventures' strategic

objective is to capitalize on the growth opportunities the company believes are available

in the Indian telecommunications market and consolidate its position to be the leading

integrated telecommunications services provider in key markets in India, with a focus on

providing mobile services.

MTNL

MTNL was set up on 1st April 1986 by the Government of India to upgrade the quality of

telecom services, expand the telecom network, and introduce new services and to raiserevenue for telecom development needs of Indias key metros Delhi, the politica

capital, and Mumbai, the business capital. In the past 17 years, the company has taken

rapid strides to emerge as Indias leading and one of Asias largest telecom operating

companies.

The company has also been in the forefront of technology induction by converting 100%

of its telephone exchange network into the state-of-the-art digital mode.

The Govt. of India currently holds 56.25% stake in the company. In the year 2003-04,

the company's focus would be not only consolidating the gains but also to focus on new

areas of enterprise such as joint ventures for projects outside India, entering into

national long distance operation, widening the cellular and CDMA-based WLL customer


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base, setting up internet and allied services on an all India basis. MTNL has over 5

million subscribers and 329,374 mobile subscribers.

While the market for fixed wireline phones is stagnating, MTNL faces intense

competition from the private playersBharti, Hutchison and Idea Cellular, Reliance

Infocommin mobile services. MTNL recorded sales of Rs. 60.2 billion ($1.38 billion) in

the year 2002-03, a decline of 5.8 per cent over the previous years annual turnover of

Rs.63.92 billion.

TATA TEL

ES

ERVICES

Tata Teleservices is a part of the $12 billion Tata Group, which has 93 companies,over

200,000 employees and more than 2.3 million shareholders.

Tata Teleservices provides basic (fixed line services), using CDMA technology in six

circles:Maharashtra (including Mumbai), New Delhi, Andhra Pradesh, Tamil Nadu

Gujarat, and Karnataka. It has over 800,000 subscribers. It has now migrated to unified

access licenses, by paying a Rs.5.45 billion ($120 million) fee, which enables it toprovide fully mobile services as well.

The company is also expanding its footprint, and has paid Rs 4.17 billion ($90million) to

DoT for 11 new licenses under the IUC (interconnect usage charges) regime.

The new licenses, coupled with the six circles in which it already operates, virtually gives

the CDMA mobile operator a national footprint that is almost on par with BSNL and

Reliance Infocomm.

On April 1, 1986, the Videsh Sanchar Nigam Limited (VSNL) - a wholly Government

owned corporation was born as successor to OCS.


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The company operates a network of earth stations, switches, submarine cable systems

and value added service nodes to provide a range of basic and value added services

and has a dedicated work force of about 2000 employees.

VSNL's main gateway centers are located at Mumbai, New Delhi, Kolkata and Chennai

The international telecommunication circuits are derived via Intelsat and Inmarsa

satellites and wide band submarine cable systems e.g. FLAG, SEA-ME-WE-2 and SEA-

ME-WE-3.

The company's ADRs are listed on the New York Stock Exchange and its shares are

listed on major Stock Exchanges in India.

The Indian Government owns approximately 26 per cent equity, M/s Panatone Finvest

Limited as investing vehicle of Tata Group owns 45 per cent equity and the overseas

holding (inclusive of FIIs, ADRs, Foreign Banks) is approximately 13 per cent and the

rest is owned by Indian institutions and the public.

The company provides international and Internet services as well as a host of value-

added services.

Its revenues have declined from Rs. 70.89 billion ($1.62 billion) in 2001-02 to Rs. 48.12

billion ($1.1 billion) in 2002-03, with voice revenues being the mainstay.

To reverse the falling revenue trend, VSNL has also started offering domestic long

distance services and is launching broadband services. For this, the company is

investing in Tata Telservices and is likely to acquire Tata Broadband.

VODAFONE

Hutchs presence in India dates back to late 1992, when they worked with local partners

to establish a company licensed to provide mobile telecommunications services in

Mumbai.

Commercial operations began in November 1995. Between 2000 and March 2004

Hutch acquired further operator equity interests or operating licences.


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2. Asianet Satellite Communications Ltd.

3. BSNL

4. Bharti

5. CMC Ltd6. Comsat Max Ltd

7. Cyquator Technologies Ltd.

8. Data Access India Ltd.

9. Data Infosys Ltd.

10. Dishnet Wireless Ltd.

11. Ernet India

12. Estel Communications Pvt. Ltd.

13. Gateway Systems (India) Pvt. Ltd

14. GTL Limited

15. Guj Info Petro Ltd. (GIPL)

Major market trends:

J The telecoms trends in India will have a great impact on everything from the humble PC

internet, broadband (both wireless and fixed), and cable, handset features, talking SMS, sof

switches, and managed services to the local manufacturing and supply chain.

J This report discusses key trends in the Indian telecom industry, their drivers and the major

impacts of such trends affecting mobile operators, infrastructure and handset vendors.


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WIRELESS NETWORK IN INDIA

y Urban Population- 97%

y Rural Population-42%

y National Highways-50%

y Rail Lines- 58%

y Census Towns-3,381

y Non-census Towns/villages-


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4.

COMPANY PROFILE

RELIANCE COMMUNICATION

y OVER VIEW OF RELIANCE COMMUNICATIONS:

y RELIANCE GROUP

y RELIANCE PRODUCT

y MILE STONES OF RELIANCE COMMUNICATIONS

y AN OVERVIEW OF CURRENT MARKET SCENARIO:

y PRODUCTS & SERVICE OFFERED BY RELIANCE COMMUNICATIONS

y EXECUTIVE SUMMARY:

y

AWARDS & RECOGNITIONy MISSION

y VISION

BSNL

BHARTI AIRTELLIMITED


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BRIEF HISTORY OF ORGANIZATION

RELIANCECOMMUNICATIONOver View Of Reliance Communications:

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.

INDIA S LEADING INTEGRATED TELECOM COMPANY:

Reliance Communications is the flagship company of the Anil Dhirubhai Ambani Group (ADAG) ofcompanies. Listed on the National Stock Exchange and the Bombay Stock Exchange, it is Indias

leading integrated telecommunication company with over 80 million customers.

Our business encompasses a complete range of telecom services covering mobile and fixed linetelephony. It includes broadband, national and international long distance services and data servicesalong with an exhaustive range of value-added services and applications. Our constant endeavour is toachieve customer delight by enhancing the productivity of the enterprises and individuals we serve.

Reliance Mobile (formerly Reliance India Mobile), launched on 28 December 2002, coinciding with the joyous occasion of the late Dhirubhai Ambanis 70th birthday, was among the initial initiatives oReliance Communications. It marked the auspicious beginning of Dhirubhais dream of ushering in adigital revolution in India. Today, we can proudly claim that we were instrumental in harnessing the truepower of information and communication, by bestowing it in the hands of the common man at

affordable rates.

We endeavour to further extend our efforts beyond the traditional value chain by developing anddeploying complete telecom solutions for the entire spectrum of society.

Today, Reliance Communications is revolutionising the way India communicates and networks, truly

Vision of Reliance Communications

Reliance Communications will leverage its strengths to execute complex global-scale projects

to facilitate leading-edge information and communication services affordable to all individua

consumers and businesses in India.

Reliance Communications will offer unparalleled value to create customer delight and enhance

business productivity.

Reliance Communications will also generate value for Reliance Communications capabilities

beyond Indian borders and enable millions of India's knowledge workers to deliver service

globally.


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Reliance Product

Reliance Base Phone

Reliance Mobile

Reliance Data Card

Reliance Voucher, E-Recharge

Reliance PCO

Reliance Broad Band


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Mile Stones Of Reliance Communications

IN THE YEAR 1999

The Reality, November 15 Reliance Communications begins Project Planning

THE DREAM, 1999"Make a phone call cheaper than a Precard and you will usher in a revolutionary transformation in the

lives of millions of Indians" - Dhirubhai Ambani

IN THE YEAR 2008

January 12 Wereceives Start-up GSM Spectrum

Chairmans profile

Reliance Communications Limited founded by the late Shri. Dhirubhai H Ambani (1932-2002) is the

flagship company of the Reliance Anil Dhirubhai Ambani Group. It is India's foremost truly integratedtelecommunications service provider. With a customer base of over 36 million including close to one

million individual overseas retail customers, Reliance Communications ranks among the top ten Asian

Telecom companies. Its corporate clientele includes 600 Indian, 250 multinational corporations and

over 200 global carriers and owns and operates the world's largest next generation, IP enabled

connectivity infrastructure, comprising over 150,000 kilometers of fiber optic cable systems in India

USA, Europe, Middle East and the Asia Pacific region. Regarded as one of the foremost corporate

leaders of contemporary India, Shri Anil D Ambani, 48, is the chairman of all listed companies of the

Reliance ADA Group, amely, Reliance Communications, Reliance Capital, Reliance Energy andReliance Natural Resources.

He is also the president of the Dhirubhai Ambani Institute of Information and Communications

Technology, Gandhinagar An MBA from the Wharton School of the University of Pennsylvania, Shr

Ambani is redited with pioneering several financial innovations in the Indian capital markets.

He spearheaded the countrys first forays into overseas capital markets with international public

offerings of global depositary receipts, convertibles and bonds. Under his chairmanship, the constituent

companies of the Reliance ADA group have raised nearly US$ 3 billion from global financial markets in

a period of less than 15 months. Shri Ambani has been associated with a number of prestigiousacademic institutions in India and abroad.

He is currently a member of:

y Wharton Board of Overseers, the Wharton School, USA

y Board of Governors, Indian Institute of Management (IIM), Ahmedabad

y Board of Governors, Indian Institute of Technology (IIT), Kanpur

y Executive Board, Indian School of Business (ISB), Hyderabad


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OrganizationalStructure:

CHAIRMAN

PRESIDENT

(PersonalBusiness)

Senior V.P.

V.P.

GM

DGM

AGM

SeniorManager

Manager

Deputy

Manager

Asst.

Manager

Management

Training

PRESIDENT

(EnterprisesBusiness)

PRESIDENT

(HomeBusiness)


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AN OVERVIEW OF CURRENT MARKET SCENARIO:

Reliance Communications (formerly Reliance Communications Ventures) is one of India's

largest providers of integrated communications services. The company has more than 20 million

customers and serves individual consumers, enterprises, and carriers, providing wireless, wire line

long distance, voice, data, and internet communications services through a number of operating

subsidiaries. The company sells communications and digital entertainment products and services

through its chain of Reliance Web World retail outlets. The company's Reliance Communications

subsidiary provides wireless communications services throughout India. Reliance Communications is

part of the Reliance - Anil Dhirubhai Ambani Group. The current network expansion undertaken by

Reliance is the largest wireless network expansion undertaken by any operator across the world. It was

with this belief in mind that Reliance Communications (formerly Reliance Communications) 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 Dhirubhais 70th birthday, though sadly after his

unexpected demise on 6 July 2002. Reliance Communications has a reliable, high-capacity, integrated

(both wireless and wire line) and convergent (voice, data and video) digital network. It is capable of

delivering a range of services spanning the entire Communications (information and communication)

value chain, including infrastructure and services for enterprises as Well as individuals, applications

and consulting.

Today, Reliance Communications is revolutionizing the way India communicates and networks

truly bringing about a new way of life. Reliance Communications will leverage Reliance

Communications strengths to execute complex global-scale projects to facilitate leading-edge

information and communication services affordable to all individual consumers and businesses in India

Reliance Communications will offer unparalleled value to create customer delight and enhance

business productivity. Reliance Communications will also generate value for Reliance Communications

capabilities beyond Indian borders and enable millions of India's knowledge workers to deliver their

services globally.

Products & Service OfferedBy Reliance Communications:Some of the products that are offered by Reliance communications are as follows

1. Reliance CDMA mobile service

2. Reliance GSM mobile service

3. Reliance Broadband+ Net connect

4. Reliance Hello Desk Phone Fixed line service


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5. Reliance Big TV

6. Reliance CDMA 1x net connect

Reliance Communications is the flagship company of the Anil Dhirubhai Ambani Group

(ADAG) of companies. Listed on the National Stock Exchange and the Bombay Stock Exchange, it is

Indias leading integrated telecommunication company with over 35 million customers.

Our business encompasses a complete range of telecom services covering mobile and fixed line

telephony. It includes broadband, national and international long distance services and data services

along with an exhaustive range of value-added services and applications.

Our constant endeavor is to achieve customer delight by enhancing the productivity of the

enterprises and individuals we serve.

Reliance Mobile (formerly Reliance India Mobile), launched on 28 December 2002, coinciding with

the joyous occasion of the late Dhirubhai Ambanis 70th birthday, was among the initial initiatives ofReliance Communications. It marked the auspicious beginning of Dhirubhais dream of ushering in a

digital revolution in India. Today, we can proudly claim that we were instrumental in harnessing the

true power of information and communication, by bestowing it in the hands of the common man at

affordable rates.

We endeavor to further extend our efforts beyond the traditional value chain by developing and

deploying complete telecom solutions for the entire spectrum of society.

Executive Summary:

Board of Directors:

y Mr. Anil D. Ambani - Chairman

y Mr. Ramachandran

y Mr.S.P. Talwar

y Mr. Deepak Shourie

y Mr. A.K.Purwar

Company Secretary & Manager:

y Mr.Hasit Shukla

Auditors:

y M/s. Chaturvedi & Shah

y M/s. BSR & Co.


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Awards & Recognition

2007

January 10

Reliance Communications adds a record 1.4 million subscribers in December 06

January 18

Say Hello on Reliance Simply 2030

January 30

Reliance joins Lenovo and Intel for "Internet on the Move"

February 2

Reliance Communications market capitalization tops Rs 1 lakh crore ( 1 trillion rupees or 24.39 billion

US dollars) on Bombay Stock Exchange

February 16

Reliance Communications offers best value on roamingMarch 23

Govts Rural Telephone Scheme(RDEL)through Reliance Communications successfully closes by

March 31,2007

April 6

Reliance Communications acquires 1.2 million subscribers in March 2007.

May 2

A Classic Bonanza Reliance Communications unveils handsets @ Rs 777

May 10

Reliance sets a new record, one million Classic handsets sold in just one week

May 14

Reliance Communications launches Classic Color Bonanza - Color handsets @ Rs 1234

June 6

Reliance Communications adds 1.4 million new mobile subscribers in May2007

June 6

Reliance Classic' Makes Music - FM Radio Phones Launched at just Rs.1888

2006

January 01

Reliance Infocomm launches "One Nation, One Tariff" to enable Reliance India Mobile prepaid users

to call anywhere in India at Re one per minute.

March 06

Reliance Communications Ventures Ltd. (RCVL), India's leading integrated telecommunications


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company, a member of the Reliance - Anil Dhirubhai Ambani group, lists on the Bombay Stock

Exchange and National Stock Exchange.

June 22

Reliance Communications ties up with Disney to offer on Reliance Mobile World India's first 3D

animation on mobile.November 17

Reliance Communications launches Free Group Term Life Cover for its CDMA subscribers

December 28

Reliance Communications FLAG Telecom announces FLAG Next Gen to cover 60 countries

2005

January 04

Reliance introduces first e-recharge facility in CDMA in India.

January 24

Reliance India Mobile announces mega rural plan to cover 4 lakh villages and 65 crore Indians by

December 2005.

June 26

Anil Ambani appointed Chairman of Reliance Infocomm

July 30

Air Deccan and Reliance Web World join hands to offer air ticket booking facility at Reliance Web

World.

August 18

Reliance Infocomm rolls out international roaming facility across several countries to become the first

Indian CDMA operator to offer its customers such a service.

September 21

Apollo Hospital and Reliance Infocomm join hands to provide top class healthcare service to millions

of Indians in over a hundred Indian cities.

December 12

Reliance Infocomm and China Telecom sign agreement for telecom services to provide direct

telecommunication service, including a global hubbing service, to subscribers in the two countries.

2004

January 12

International wholesale telecommunications service provider, FLAG Telecom amalgamates with

Reliance Gateway, a wholly owned subsidiary of Reliance Infocomm


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February 9

Launches RIM Prepaid with attractive offer - For Rs 3500 get a Motorola C131 mobile phone and Rs

3240 worth of recharge vouchers instantly and stay connected for 1 year

February 17Reliance subsidiary Flag Telecom announces FALCON Project - a major new Middle East Loop

Terabits Submarine Cable System with links to Egypt and Hong Kong via India

April 23

Reliance Infocomm introduces first ever auction facility on Mobile phones through R World.

June 8

Reliance Infocomm introduces World Card - a Prepaid International calling card for affordable and

convenient ISD calls from India.

August 5

launches the first regional Customer Contact Centre in Chennai

2003

February 14

Launches Reliance Web World in top 16 cities

March 31

Launches International Long Distance Services

April 25

Introduces colour handsets

May 1

Launches Reliance India Mobile Service commercially in top 92 cities

with one million customers.

June 10

Launches India's first wireless Point of Sale (POS)

July 3

Launches R Connect Internet connection cable

Aug 26Introduces Reliance India Phone Fixed Wireless Phone and Terminal

October 6

Launches integrated broadband centre at Reliance Web World, Bangalore

October 30

Reliance becomes India's largest mobile service provider within 7 months of commerciallaunch

November 3

Customer base touches 5 million


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November 16

Launches National Roaming

2002

February 25Obtains International Long Distance License from Govt. of India

December 22

Commissions 1st Optic Fibre Backbone ring

December 24

Establishes 1st Point of Interconnect (POI) in New Delhi

2001

May 10

Optic fibre laying process commences in Gujarat, Andhra Pradesh & Maharashtra2000

The Dream, 1999

"Make a phone call cheaper than a postcard and you will usher in a revolutionary transformation in

the lives of millions of Indians" - Dhirubhai Ambani

1999

The Reality, November 15

Reliance Infocomm begins Project Planning


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Mission

Excellence in Communication initiatives

y To attain global best practices and become a world-class communication service provider

guided by its purpose to move towards greater degree of sophistication and maturity.y To work with vigour, dedication and innovation to achieve excellence in service, quality,

reliability, safety and customer care as the ultimate goal.

y To earn the trust and confidence of all stakeholders, exceeding their expectations and make

the Company a respected household name.

y To consistently achieve high growth with the highest levels of productivity.

y To be a technology driven, efficient and financially sound organization.

y To contribute towards community development and nation building.

y To be a responsible corporate citizen nurturing human values and concern for society, the

environment and above all, the retailers.

y To promote a work culture that fosters individual growth, team spirit and creativity to overcome

challenges and attain goals.

y To encourage ideas, talent and value systems.

y To uphold the guiding principles of trust, integrity and transparency in all aspects of

interactions and dealings.

Vision

We will leverage our strengths to execute complex global-scale projects to facilitate leading-edge

information and communication services affordable to all individual consumers and businesses in

India.

We will offer unparalleled value to create customer delight and enhance business productivity.We will also generate value for our capabilities beyond Indian borders and enable millions of India's

knowledge workers to deliver their services globally.


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Company Facts - Reliance Communication

Registered Address

H Block, 1st Floor,

Dhirubhai Ambani Knowledge City,

New Mumbai

Maharashtra

400710

Tel: 022-30386010 022-30386286

Fax: 022-30376622

Email:[email protected]

Website:http://www.rcom.co.in

Explore Reliance Comm connections

RegistrarsKarvy Computershare Private Ltd. Plot No. 17-24,

Vittal Rao Nagar,

Madhapur,

Tel: 1-800-3454001

Fax: 23420814, 23311968

Email:[email protected]

Website:www.karvycomputershare.com

Listing Details - Reliance Communications

Key Dates

Year Ending Month Mar


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AGM Date (Month) Sep

Book Closure Date (Month) Sep

Listing InformationFace Value Of Equity Shares 5

Market Lot Of Equity Shares 1

BSE Code 532712

NSE Code RCOM

BSE Group A

Whether The Company Forms A Part Of The Following Indices -

Sensex Yes

Nifty Yes

BSE-100 Yes

BSE-200 Yes

S&P CNX 500 Yes

CNX Midcap No

CNX FMCG No

Listing On :

Listed On

The Stock Exchange, Mumbai, National Stock

Exchange of India Ltd., Luxembourg Stock

Exchange


46/95

BSNL(BHARAT SANCHAR NIGAM LTD.)

Founded in 2000, Bharat Sanchar Nigam Ltd. is India's largest public sector Telecommunication

Company providing a wide variety of telecom services. Its service range covers Wireline, CDMA mobile

GSM Mobile, Internet, Broadband, Carrier service, MPLS-VPN, VSAT, VoIP services, IN Services, etc.In 2005-06, the BSNL earned revenues of Rs. 40,177 crore, representing a growth rate of 11.32 % ove

the previous year. BSNL's Board of Directors consists of CMD Shri A.K. Sinha & five full time Directors

Director of Human Resource Development (HRD), Director of Planning & New Services, Directo

Operations, Director Finance and Director of Commercial & Marketing.

Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th largest Telecommunication

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. Withi

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, expandin

the network, introducing new telecom services with ICT applications in villages and wining customer'

confidence. Today, it has about 47.3 million line basic telephone capacity, 4 million WLL capacity, 20.

Million GSM Capacity, more than 37382 fixed exchanges, 18000 BTS, 287 Satellite Stations, 48019

Rkm of OFC Cable, 63730 Rkm of Microwave Network connecting 602 Districts, 7330 cities/towns an

5.5 Lakhs villages

BSNL is the only service provider, making focused efforts and planned initiatives to bridge the Rura

Urban Digital Divide ICT sector. In fact there is no telecom operator in the country to beat its reach wit

its wide network giving services in every nook & corner of country and operates across India excep

Delhi & Mumbai. Whether it is inaccessible areas of Siachen glacier and North-eastern region of th

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 rangin

& most transparent tariff schemes designed to suite every customer.

BSNL cellular service, CellOne, has more than 17.8 million cellular customers, garnering 24 percent o

all mobile users as its subscribers. That means that almost every fourth mobile user in the country has

BSNL connection. In basic services, BSNL is miles ahead of its rivals, with 35.1 million Basic Phon

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 acces

Internet through various modes viz. Dial-up, Leased Line, DIAS, Account Less Internet(CLI). BSNL ha

been adjudged as the NUMBER ONE ISP in the country


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

convergent services like voice, data and video through the same Backbone and Broadband Acces

Network. At present there are 0.6 million DataOne broadband customers

The company has vast experience in Planning, Installation, network integration and Maintenance o

Switching & Transmission Networks and also has a world class ISO 9000 certified Telecom Trainin

Institute.

VISION

To become the largest telecom Service Provider in South East Asia.

MISSION1. To provide world class State-of-art technology telecom services on demand at affordable price.

2. To Provide world class telecom infrastructure to develop the country's economy.

OBJECTIVES

y To be a Lead Telecom Services Provider.

y Build customers confidence through quality and reliable service.

y Provide Bandwidth on demand.

y Contribute towards:

i. National Plan Target of 250 million subscriber base for the country by December 2007.

ii. Broadband customers base of 20 million in the country by 2010 as per Broadband Policy

2004.

iii. Telephone in all villages.

iv. Implementation of Triple play as a regular commercial proposition.


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Cellone is the Post paid service of the BSNL. It offers you a host of value added services and

unmatched features not found in any other Cellular serviceAs a proud subscriber of CellOne service you will stay in touch with your nears and dears any where in

India because Cellone is the only Cellular service which is available in all major cities and covers al

major highways. CellOne gives you all India roaming facility (including Delhi and Mumbai) and

International roaming facility to more than 300 networks across the world.

As a CellOne subscriber you will enjoy benefits like:

No security Deposit if you are an existing BSNL subscriber

No security deposit or monthly rental for national roaming

facility in Plan-325 & 525.

Voice Mail recording and receiving facility free.

CLIP free

Call waiting and Call holding facility


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EXCEL Pre paid service of the CellOne Cellular Service of BSNL. It offers you a host of value added

services and unmatched features not found in any other Cellular service. All India roaming facility is

also available on Excel Power service.

Initial activation charges for Excel Power is only Rs. 200/- and free talk value of Rs. 50/- is given to al

subscribers.

Excel Power Pre paid cards are available in the denominations of Rs. 70,150, 300, Rs. 500, Rs. 1000

and Rs. 2000 validity period of which are 7,15, 30, 45, 120 and 180 days respectively.

A. GLIMPSES OF MAIN SERVICES OFFERED

1. BASIC AND LIMITED MOBILE TELEPHONESERVICES

BSNL is the leading service provider in the country in the Basic Telephone Services. As of now

more than 35 million Direct Exchange Lines & more than 2.2.Million telephones in the Limited Mobile

telephone Services are existing. BSNL has provides a number of attractive tariff packages & Planswhich shall further strengthen its subscriber base.


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2. CELLUL

ARM

OB

IL

E TEL

EPH

ON

ES

ERVICES

BSNLs GSM Technology based Cellular Network reached a long way, covering 20,836 cities/towns

with a subscriber base of over 4.67 Crores as on 31st March 2009 out of which 4.31 crores cellular

telephone are in pre-paid segment

India's fastest growing cellular service , along with postpaid and prepaid services brings cellula

telephony to the masses, through innovative technology and strategic pricing.

This ambitious service uses state-of-the-art GSM technology to attain global excellence and leadership

in business. Our entry into this sector has brought GSM cellular service at an affordable cost to thecommon man. All serving a single objective, to provide better communication to millions across India

Customers have reposed tremendous faith in BSNL and it has enrolled over 30 Lakh Cellular

customers within ten months of launch of Cellular service, an unprecedented mark in Indian Cellula

Market.

Why should people choose BSNL Mobile?

y For the first time in the country, all major towns and cities are covered through our network

y All major national and state highways are covered

y National and International SMS facility

y International roaming available for more than 300 networks across the world.

y The facility of one number roaming across the country

y Appropriate and reasonable tariff packages to suit every pocket

y Absolute transparency in billing. All regular features of cellular telephony, such as SMS as wel

as advanced features like MMS are available.

y 24 Hour helpline all across the country.

y The only Mobile service available throughout the country including Jammu and Kashmir andNorth Eastern states like Arunachal Pradesh, Nagaland, Mizoram etc.


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3. INTERNETSERVICESBSNL offers Dialup Internet services to the customers by Post-paid service with the brand name

Netone, and pre-paid service with the brand name Sancharnet. The post-paid service is a CLI based

access service, currently operational in 100 cities. Sancharnet is available on local call basis throughout

India to ISDN and PSTN subscribers. The Internet Dhaba scheme of the Company aims to further

promote Internet usage in rural and semi urban areas.

5.BROADBAND SERVICES

BSNL has launched its broadband services under brand name BSNL BROADBANDon 14-01-05

This offers High Speed Internet Access with speed ranging from 256 Kbps to 8 Mbps. Ever since its

inception BSNL is continuously expanding its broadband network in response to ever growing demand

of broadband service throughout India

Present customer base is 3.56 million, with equipped capacity of 6.1 million. BSNL Broadband service

is available in more than 3800 cities & 83000 villages.

The services provided are

y High Speed Internet Connectivity(up to 8 Mbps)

y Band width on Demand(planned)

y Virtual Private Network(VPN) service over broadband

y Dial VPN services to MPLS VPN customers

y IPTV services(at present available in 66 cities)

y Games on Demand Service

y Video tutoring service

y VOIP

y Video Surveillance service

y Entertainment portal.


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SWOT ANALYSIS OF BSNL

Strength :-

y It has a competitive pricing policy.y BSNL provides continuous training, career advancement opportunities and a self motivated

work environment to its employees.

y BSNL has a corporate culture of mutual respect and is an excellent service provider.

y BSNL maintains solid partnerships with its customers.

Weaknesses :-

y Although it is investing too much in R&D but its marketing skills are below average.

y Although it is growing very fast but at the same time it is losing its customers as well because

the competitors are chasing close behind.

Opportunities :-

y BSNL can retain its customers by improving its marketing skills.

y It can establish a world-wide knowledge-broadcast system via the internet.

y The group can strengthen and expedite research & development in order to deliver products of

top international standards.

Threats :-

y External factors like political instability and economic instability which are affecting the business

environment.

y The other threats can be the market saturation in term of business opportunities available in the

conventional telecom business.


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BHARTI AIRTEL LIMITED

Bharti Airtel established its presence in India in 1994 by acquiring the cellular license for

Mumbai. It now has operations in 16 circles accounting for 70% of India's mobile customer base. With

over 27.7 million customers, it is one of India's most reputed telecom companies.

Bharti Airtel, under the Airtelbrand, over the years, has been named the 'Most Respected Telecom

Company', the 'Best Mobile Service in the country', and the 'Most Creative and Most Effective

Advertiser of the Year'.

Bharti Airtel is now part of Airtel - the world's leading international mobile communications company.

Airtel now has operations in 26 countries across 5 continents and 36 partner networks with about 225

million proportionate customers worldwide. Airtel has tied up with Essar as its principal joint venture

partner for the Indian operation.

The Airtel Group is one of India's largest corporate houses with interests spanning the manufacturing

and service sectors like Steel, Oil & Gas, Power, Telecom & BPO, Shipping & Logistics and

Engineering & Constructions. The Group has an asset base of over Rs.20 billion (US$ 4.4.billion) and

employs over 4000 retailers.

Bharti Airtel Limited, a part of Bharti Enterprises, is India's leading provider of telecommunicationsservices. The businesses at Bharti Airtel have been structured into three individual strategic business

units (SBUs) - mobile services, broadband & telephone services (B&T) & enterprise services. The

mobile services group provides GSM mobile services across India in 23 telecom circles, while the B&T

business group provides broadband & telephone services in 94 cities. The Enterprise services group

has two sub-units - carriers (long distance services) and services to corporates. All these services are

provided under the Airtel brand


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Bharti Airtel, formerly known as Bharti Tele-Ventures Limited (BTVL) is among India's largest

mobile phone and Fixed Network operators. With more than 28.6 million subscriptions as of Septembe

2006, the company is one of the world's fastest growing telecom companies. It offers its mobile

services under the Airtel brand and is headed by Sunil Mittal, one of India's richest men with a tota

worth of US$2.6 billion. The company is the only operator to provide mobile services in all the 23 circles

in India. 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 internationa

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 internationa

bandwidth access through the gateways and landing station

Airtel is the largest cellular service provider in India. 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 and Internet Connectivity), Long Distance Services and Enterprise

Services (Telecommunications Consulting for corporates). There is fierce competition among loca

telecommunications companies to provide better service and Airtel is regarded as one of the top

communications service provider in the Asian region too.

As of September 2006, Airtel has 28.6 million subscribers[2] World leaders in the telecom industry such

as RCOM and SingTel hold partial stakes in Airtel.


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VISION

By 2010 Airtel will be the most admired brand in India:

y Loved by more customers

y Targeted by top talent

y Benchmarked by more business

HIGHLIGHTS

AIRTEL partners with Google to offer search services on Airtel Mobile

Airtel Presents 'SongCatcher' - India's First Ever Instant Music on Mobile

Bharti Airtel and Microsoft enter into a strategic partnership to offer Software and Services

for Small and Medium Business (SMB) Market in India

Bharti Airtel signs MoU to connect Adani Groups Mundra Port and Special Economic Zone

Bharti Airtel inks USD 400 million network expansion contract with Nokia

Bharti Airtel Limited: Q2 Cash Profit exceeds Rs. 1600 crores, PBT crosses Rs. 1,000

crores

COMPANYS QUALITY POLICY

QUALITY AND CUSTOMER SATISFACTION IS OUR BASIC BUSINESS PRINCIPLE.

Bharti Airtel is committed to strive for the leadership in its product market by way of continuous

improvement in the quality of its products and services and meeting the customer needs in time and

every time at competitive price.

This shall be achieved through continuous up gradation of technology and process improvement by

involving all the employees, vendor, dealer and customers.


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5.

THE MARKETING MIX


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THE MARKETING MIX

Marketing professionals and specialist use many tactics to attract and retain their customers

These activities comprise of different concepts, the most important one being the marketing mix. Thereare two concepts for marketing mix: 4P and 7P. It is essential to balance the 4Ps or the 7Ps of the

marketing mix. The concept of 4Ps has been long used for the product industry while the latter has

emerged as a successful proposition for the services industry.

7Ps of Marketing:

Product

It must provide value to a customer but does not have to be tangible at the same timeBasically, it involves introducing new products or improvising the existing products.

Price

Pricing must be competitive and must entail profit. The pricing strategy can comprise discounts

offers and the like.

Place

It refers to the place where the customers can buy the product and how the product reaches out

to that place. This is done through different channels, like Internet, wholesalers and retailers.

Promotion

It includes the various ways of communicating to the customers of what the company has to

offer. It is about communicating about the benefits of using a particular product or service rather than

just talking about its features.

Retailers


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Retailers refer to the customers, employees, management and everybody else involved in it. It

is essential for everyone to realize that the reputation of the brand that you are involved with is in the

retailers's hands.

Process

It refers to the methods and process of providing a service and is hence essential to have a

thorough knowledge on whether the services are helpful to the customers, if they are provided in time, if

the customers are informed in hand about the services and many such things.

Physical (evidence)

It refers to the experience of using a product or service. When a service goes out to the

customer, it is essential that you help him see what he is buying or not. For example- brochures

pamphlets etc serve this purpose.

4Ps of Marketing:

Marketing decisions generally fall into the following four controllable categories:

y Product

y Price

y Place (distribution)

y Promotion

The term "marketing mix" became popularized after Neil H. Borden published his 1964 article, The

Concept of the Marketing Mix. Borden began using the term in his teaching in the late 1940's after

James Culliton had described the marketing manager as a "mixer of ingredients". The ingredients in

Borden's marketing mix included product planning, pricing, branding, distribution channels, personal

selling, advertising, promotions, packaging, display, servicing, physical handling, and fact finding and

analysis. E. Jerome McCarthy later grouped these ingredients into the four categories that today areknown as the 4 P's of marketing, depicted below:

The Marketing Mix:


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These four P's are the parameters that the marketing manager can control, subject to the internal and

external constraints of the marketing environment. The goal is to make decisions that center the four

P's on the customers in the target market in order to create perceived value and generate a positive

response.

1. PRODUCT DECISIONS:

The term "product" refers to tangible, physical products as well as services. Here are some examples of

the product decisions to be made:

y Brand name

y Functionality

y Styling

y Quality

y

Safetyy Packaging

y Repairs and Support

y Warranty

y Accessories and services


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2. PRICE DECISIONS:

Some examples of pricing decisions to be made include:

y Pricing strategy (skim, penetration etc.)

y Suggested retail price

y Volume discounts and wholesale pricing

y Cash and early payment discounts

y Seasonal pricing

y Bundling

y Price flexibility

y Price discrimination

3. DISTRIBUTION (PLACE) DECISIONS:

Distribution is about getting the products to the customer. Some examples of

distribution decisions include:

Distribution channels

Market coverage (inclusive, selective, or exclusive distribution)

Specific channel members

Inventory management

WarehousingDistribution centers

Order processing

Transportation

Reverse logistics

4. PROMOTION DECISIONS:

In the context of the marketing mix, promotion represents the various aspects of marketingcommunication, that is, the communication of information about the product with the goal of generating

a positive customer response. Marketing communication decisions include:

y Promotional strategy (push, pull, etc.)

y Advertising

y Personal selling & sales force

y Sales promotions


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y Public relations & publicity

y Marketing communications budget.

Limitations of the Marketing Mix Framework:

The marketing mix framework was particularly useful in the early days of the marketing concept when

physical products represented a larger portion of the economy. Today, with marketing more integrated

into organizations and with a wider variety of products and markets, some authors have attempted to

extend its usefulness by proposing a fifth P, such as packaging, retailers, process, etc. Today however

the marketing mix most commonly remains based on the 4 P's. Despite its limitations and perhaps

because of its simplicity, the use of this framework remains strong and many marketing textbooks have

been organized around it.

Summary of Marketing Mix:

Product Price Place Promotion

Functionality List price

Channel

members Advertising

Appearance Discounts

Channel

motivation

Personal

selling

Quality Allowances Market coverage

Public

relations

Packaging Financing Locations Message

Brand

Leasing

options Logistics Media

Warranty Service levels Budget

Service/Support


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The market share:

COMPANY REVENUE

(Rs.Crore)

SUBSCRIBER

BASE(million)

VALUATION

(Approx.)

Bharti Airtel 18,250 60 $40 bn

Reliance Comm. 4,874 44 $30 bn

Vodafone Essar NA 44 $28-30 bn

BSNL 39,750 33 $55 bn

Tata Tele Services NA 24 $16 bn

Idea Cellular 5,694 21 $18 bn

Spice Comm. 28,522 3.5 $1.5 bn

MTNL 1,220 3 $3 bn

Shyam Telelink 160 2.5 $116 mn

HFCL Infotel NA 0.4 $90 mn

*source: Businessworld


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6.RESEARCH METHODOLOGY

y Research Problem

y Title Of The Project

y Research Objectives

y Significance of Study

y Scope of the Study

y Information Requirement

y Choice of Research Design

y Research Instrument Use

y Sampling

y Field Work Method used for data collection


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RESEARCH METHODOLOGY

The marketing research process:

1. Research Problem :

y To know the consumer perception and their behaviour towards RCOM services.

y To find out if the retailers are not satisfied with the commission provided by RCOM.

y To find whether they sell the RCOM products or not, if no then why?

y To find whether the distributers visit the market and supply the products to the retailers.

2. Title Of The Project

Comparative Analysis of RCOM GSM Services With AIRTEL & BSNL

3. Research Objectives:

Define the problem,

the decision

alternative, and the

research objectives

Develop the

research plan

Collect the

information

Analyze the

informationPresent the findings Make the decision


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The main objective of this study lies in studying and understanding the retailers and consumers

perception and opinion about the product, GSM service, introduced into India, by the RCOM, AIRTEL &

BSNL Company. Perception can be defined as intuitive recognition of a truth, aesthetic quality and the

way a person sees or understands. In the case GSM service level of RCOM, AIRTEL & BSNL one

could define perception as the levels of awareness and acceptance among retailers towards the

product. Hence the main Objectives of the study are:

Primary Objective-

To analyses the effectiveness of communication of RCOM, AIRTEL & BSNL

To improve the service maintain long term relationship with customers.

To know the customers satisfied with these companiess current Service/Supply?

Secondary objective-

y To increase the sales and revenue.

y To defeat its competitors.

y To find out the strategies adopted by the other companies.

y To find why are those companies doing better than RCOM.

y What are the areas where RCOM is lacking.

4. Significance of Study:

The study signifies the survey on Comparative studies among the GSM mobile services (RCOM,

AIRTEL & BSNL) In Jaipur city from retailers point of view.

5. Scope of the Study:y So far as I believe that this research is going to be a huge success, because the kind of

objective it has is mind-blowing. This project will surely help RCOM to get its position back. This

project has a vast scope in JAIPUR because it has been planned in this manner.

y Its very obvious that retailers have their trust on RCOM and has a big number of subscribers.

RCOM is not only into mobile services but also it is INDIAs biggest landline service provider.


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BSNL has recently launched 3G mobile service which is a revolution in telecom sector. RCOMs

broadband internet service is a mile stone. Services of RCOM are all perfect but right approach

and strategy will make it easier for the customers to be familiar with it.

y I believe that the research programme will surely help RCOM to get a strong grip into the

market. This kind of research programme should be conducted time to time to find whats going

on it the market and what is to be done to handle the scenario.

y From my studys point of view it was a great experience. I interacted with the retailers and tried

my level best to find out problems and best solutions of those problems. I used all my skills and

knowledge in that research. I learned a lot from this research and it helped me to remove the

hesitations that I had earlier in interacting with the retailers. I came to know how the systemworks in corporate world.

6. Information Requirement:

First I had to know about the entire competitor present in telecom services segment (reputed and

well established companies).

Before going for the survey I had to know the comparative services and rates of all the competitors

existing in the market. Because at the time of retailers interview they used to ask several questions

regarding RCOM GSM Services and Schemes. I had to know about the distributers and the respected

areas they were dealing in. these were some of the informations that I must know to make the

interview interactive and interesting.

7. Choice of Research Design:

To know about the present condition and status regarding particular item or group of items, descriptive

research is conducted. The descriptive research is description of the state of affairs as it exists a

present. As the result we were required in analytical form. The survey was conducted using

questionnaire method. By using this method we found the present situation and the findings and its

analysis is described in the further parts.

8. Research Instrument Used:


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If one wants to know that how much retailers buy a particular brand or what they think about the

brand or a particular company. Thus the questionnaire method has come to be the more widely used of

the true data collection method. The questionnaire method in general has a number of advantages. A

questionnaire consists of list of questions to be asked from the respondents and the space provided to

record the answer.

Questionnaire in the project consists of:

Multiple Choice questions question of this type offer the respondents an alternative to choose right

answer among other.

Sample design is a definite plan of obtaining some items from the whole population. The sample

design used in this project is:

Convenience Sampling This type of sampling is chosen purely on the basis of convenience of the

interviewer.

9. Sampling:

y Sampling technique : non- probability sampling(simple random sampling)

y Sample units : retailers of different GSM companies (RCOM, Airtel &

Bsnl) in jaipur city.

y Sample size : 88 Respondents

y Method : Direct interview through Questionnaire

y Data analysis method : Graphical method

y Area of Sampling : Jaipur City

10. Field Work Method used for data collection:

y Questionnaire was prepared keeping the objective of research in mind.

y Questions were asked to the respondents as regards to their willingness to sell RCOM services.

ankush report final 4th sem

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