Rakesh S K
Giriraj Navander
Anjani Krishna K S
Narla Venkat Nikhil
Ajay Milind Halepaty
Koppineni V N S Rohit Kumar
INTRODUCTION
Incorporated on July 7, 1995 for promoting telecommunications services.
It is one of Indias leading private sector providers of telecommunications
services with more than 249.31 million customers with market share of
24%.
Its revenue for financial year 2014-15 stood at 920,394 million
The net profit for the financial year 2014-15 was 51,835 million
The ROE of Airtel is 8.52%
Growth rate of the company is 7% for the financial year 2014-15
Growth rate of the Indian telecom industry for financial year 2014-15 is 11%
Purpose of the Analysis:
We are doing this analysis to understand how the Airtel company is presently
dominating the telecom market in India. What are their strengths and weaknesses
internally and opportunities and threats externally and what strategy they have to
adopt in order to maintain their position and to compete with their competitors.
Value Chain
Firm infrastructure - CRM tools, MIS, ERP, Networking
Primary Activities
Supporting
Activities
Operations
Network
Integration
2. System
Integration
3.Infrastructur
al
Development
4. GSM
Services, VAS,
BASE
Outbound
Logistics
Marketing &
Sales
Post Sale
Service
1. Outsourcing
major services
1. Sound
Distributor
2. Retail
network
across India
for both
prepaid and
post paid
services
3. Online
Ordering of
VAS
1. Online
marketing
2. Celebrity
endorsement
3. Brand
positioning
4. Promotional
Bundle offers
Extra
minutes/ Text
or Handsets
5. Promotion
at events,
organizations
1. Multilingual
Customer
Service Center
2. Informative
website
3. Customer
Retention
4. Easy online
payment
options for
both pre paid
& post paid
services
1.
VRIO Analysis:
Primary Activity
Valuabl Rare
e
Inimitabl
e
Seamlessly
Organised
VRIO
Compatibili
ty
Inbound
Logistics
Equipment
Vendor Chip
level.
Yes
No
No
Yes
No
Operations
Network
integration
Yes
No
No
Yes
No
Outbound
Yes
Logistics
Outsourcing and
Sound
Distributor
Yes
Yes
Yes
Yes
Marketing
and Yes
Sales
Online Marketing
&
Brand
Yes
Yes
Yes
Yes
Threat Of Substitutes
Revenue being effected by internet telephonic
services such as Whatsapp, etc.
Issue of Reliability, Flexibility and Portability exist
and also switching costs associated make mobiles
preferred choice.
Strengths
Strategic Alliance
Strong Brand Image
Well Established
Infrastructure
Renowned Company
Weakness
Outsourcing Operations
Less Rural Presence
Perceived as Expensive
Brand
Internal
Analysis
SWOT
Oppurtunities
Untapped Rural Market
3G & 4G markets
Strategic Partnerships
Entering into
Developing Economies
Threats
Mobile Number
Portability
Strong Visibility of
Competitors
Continuous Improvement
in Competitors Services
External
Analysis
Opportunitie
s
Aggressive
Strategy
Strength
s
Weakne
ss
Threats