Description
MIPI specifications provide interface solutions for mobile handsets. As the traditional mobile ecosystem has expanded to include tablets, laptops and more
Through Michael Porter’s Five Forces Analysis
Existing Competitive rivalry
? Major Players ? State owned companies - BSNL, MTNL ? Pvt. Indian owned companies-Reliance, Tata Tel ? Foreign invested companies-Vodafone, Idea, Spice
Negotiating power of buyer
Service provider are the main driver whereas equipment manufacturers are witnessing growth and decline in successive quarter as sales is dependent on order undertaken by companies.
Market share of operator till September 2009
2008
BSNL Bharti AIRTEL Reliance Vodafone TATA Telecom Service Limited IDEA Others
September 2009 12% 24% 19% 18% 10% 11% 1%
19% 23% 17% 16% 10% 9.6% 5.4%
Negotiating power of supplier
? Role of supplier is almost negligible ? Mobile handset supplier
? Nokia, Sony Ericsson,Motorola,Siemans
? Some companies have their own like Reliance and Tata indicom ? Tie up with other companies like Reliance have tie up with Samsung and LG
Negotiating power of supplier
Contd.........
? Optical fibre supplier, Aluminium supplier - Bargaining power is limited ? Software service providerTCS,INFOSYS,WIPRO have bargaining power
Threat from new entrants
?Various opportunities for foreign companies in various areas such as- 3G, international long distance call, Value added service ?3rd largest sector to attract FDI in post liberalisation era ?Large no. Of player are emerging in the market on the national level from its state level existence such as- Aircel, Virgin, Spice, Idea, Uninor
Substitute to product
?Wide range of service are available?VoIP ,Broadband carrier.
?Internet telephone- Emerging as the best option
Market share of internet services
INTERNET SERVICE PROVIDER BSNL MTNL SIFY Bharti AIRTEL RELIANCE MARKET SHARE 45.2% 19% 8.9% 6.8% 6.1%
Nature of Industry
? Perfect competition ? Differentiation practice by different player ? various offer ? free issue of SIM ? Less call rate ? Relative strength and weakness ? BSNL -- Network in every nook and corner, network busy ? Airtel
SWOT Analysis
Strength
? Huge wireless subscriber potential. ? One of the fastest growing sector. ? Consumers are ready to pay for cutting edge services. ? FDI limit are 74%.
Weakness
?Wide scales of consumer churn in this sector. Now the number portability is coming up so it will increase the consumer churn rate. ?Value Added Services (VAS) is restricted because of literacy and language problems. ?Problem of limited spectrum availability and the issue of interconnection charges between the private and state operators.
Opportunities
? To offer more VAS on GSM, CDMA. ? Language independent services. E.g. sending the message in local language, information available in local language. ? Foreign investments in form of equity or technology.
Threat
?Weak Intellectual Property Rights (IPR). ? Threat of low cost service providers. ? A huge initial fixed cost is required to make a mark in rural markets. Achieving break-even under these circumstances may prove to be difficult.
Strengths & weaknesses
Strength BSNL Weakness Presence every Network busy nook & corner Presence every Call rate high nook & corner Large number of offer Network connectivity
Airtel
Reliance
Emerging Trend
?Growth rate - CAGR of around 15% ?Launch of advanced telecom service like 3G and IPTV will advance the growth of industry. ?5.5 million Indians are signing up each month. ?GSM subscriber base increases by 13.7 million in January
Thank You
Anubhav Bhushan Email – [email protected] [email protected] Mobile No. +91-969 211 4858 Centurion School Of Rural Enterprise Management
doc_553744454.ppt
MIPI specifications provide interface solutions for mobile handsets. As the traditional mobile ecosystem has expanded to include tablets, laptops and more
Through Michael Porter’s Five Forces Analysis
Existing Competitive rivalry
? Major Players ? State owned companies - BSNL, MTNL ? Pvt. Indian owned companies-Reliance, Tata Tel ? Foreign invested companies-Vodafone, Idea, Spice
Negotiating power of buyer
Service provider are the main driver whereas equipment manufacturers are witnessing growth and decline in successive quarter as sales is dependent on order undertaken by companies.
Market share of operator till September 2009
2008
BSNL Bharti AIRTEL Reliance Vodafone TATA Telecom Service Limited IDEA Others
September 2009 12% 24% 19% 18% 10% 11% 1%
19% 23% 17% 16% 10% 9.6% 5.4%
Negotiating power of supplier
? Role of supplier is almost negligible ? Mobile handset supplier
? Nokia, Sony Ericsson,Motorola,Siemans
? Some companies have their own like Reliance and Tata indicom ? Tie up with other companies like Reliance have tie up with Samsung and LG
Negotiating power of supplier
Contd.........
? Optical fibre supplier, Aluminium supplier - Bargaining power is limited ? Software service providerTCS,INFOSYS,WIPRO have bargaining power
Threat from new entrants
?Various opportunities for foreign companies in various areas such as- 3G, international long distance call, Value added service ?3rd largest sector to attract FDI in post liberalisation era ?Large no. Of player are emerging in the market on the national level from its state level existence such as- Aircel, Virgin, Spice, Idea, Uninor
Substitute to product
?Wide range of service are available?VoIP ,Broadband carrier.
?Internet telephone- Emerging as the best option
Market share of internet services
INTERNET SERVICE PROVIDER BSNL MTNL SIFY Bharti AIRTEL RELIANCE MARKET SHARE 45.2% 19% 8.9% 6.8% 6.1%
Nature of Industry
? Perfect competition ? Differentiation practice by different player ? various offer ? free issue of SIM ? Less call rate ? Relative strength and weakness ? BSNL -- Network in every nook and corner, network busy ? Airtel
SWOT Analysis
Strength
? Huge wireless subscriber potential. ? One of the fastest growing sector. ? Consumers are ready to pay for cutting edge services. ? FDI limit are 74%.
Weakness
?Wide scales of consumer churn in this sector. Now the number portability is coming up so it will increase the consumer churn rate. ?Value Added Services (VAS) is restricted because of literacy and language problems. ?Problem of limited spectrum availability and the issue of interconnection charges between the private and state operators.
Opportunities
? To offer more VAS on GSM, CDMA. ? Language independent services. E.g. sending the message in local language, information available in local language. ? Foreign investments in form of equity or technology.
Threat
?Weak Intellectual Property Rights (IPR). ? Threat of low cost service providers. ? A huge initial fixed cost is required to make a mark in rural markets. Achieving break-even under these circumstances may prove to be difficult.
Strengths & weaknesses
Strength BSNL Weakness Presence every Network busy nook & corner Presence every Call rate high nook & corner Large number of offer Network connectivity
Airtel
Reliance
Emerging Trend
?Growth rate - CAGR of around 15% ?Launch of advanced telecom service like 3G and IPTV will advance the growth of industry. ?5.5 million Indians are signing up each month. ?GSM subscriber base increases by 13.7 million in January
Thank You
Anubhav Bhushan Email – [email protected] [email protected] Mobile No. +91-969 211 4858 Centurion School Of Rural Enterprise Management
doc_553744454.ppt