CASE STUDY

PRESENTED BY: Vinayak Nandikal & Group

Telecom Journey: Moving in Top Gear

• ‘Poster Child’ of India’s Economic

Liberalization

• Teething troubles faced in the initial stages

• New telecom policy of 1999

• Introduction of CPP

• The entry of third operator (MTNL & BSNL )

MARKET SHARE
 Bharat Sanchar Nigam
Limited(BSNL)
• World’s 7th largest & India’s
No.1 Telecommunication
company

• 47.3 million line basic

telephone capacity, 4 million
WLL capacity, 20.1 Million
GSM Capacity, 287 Satellite
Stations, 7330 cities/towns
and 5.5 Lakh villages

• The present turnover of

BSNL is more than
Rs.351,820 million (US $ 8
 Picture slide

• Bullet 1
• Bullet 2
 BSNL Objectives
• To provide each & every village with a
telephone

• To encourage development of
telecommunication facilities in remote,
hilly, tribal areas of the country

• To make available affordable & effective

communications for the citizens

• To expand broadband, leased lines, cellular

, WLL services with the state of the art
technology
BSNL is an Integrated telecom service
provider which provides all types of
telecom services.

 Wire Line Services

 CDMA WLL Limited Mobility Services
 National Long Distance Services
 International Long Distance Services
 Broadband & Internet Services
 In Services viz. Prepaid calling card etc.
 New Initiatives
 WiMAX: Tender Invited for 1000 BTS at Rural
Block HQs
covering 25000 village
communities centres
 IPTV

Launched in Three Cities viz. Bangalore,

Pune & Kolkata
Agreement signed with Franchisees for
another 50 Cities

 VOIP EOI under Issue

Developmental Plans (2008-09)
 Expansion of 13.5 m GSM lines.

 Expansion of 3m Broadband.

 Expansion of 2 m WLL (CDMA) lines

 Introduction of 200K IP Transit Switch.

 Addition of 1206 K TDM TAX

 Addition of 200 IDRs Satellite System for

Inaccessible Stations.
Selecting the Right person : A Sales
person

• Should be… • Should not be…

Honest/trustworthy Arrogant/rude
Friendly/Pleasing Indifferent
Interesting Sarcastic/superior
Good listener Impatient
Polite Aggressive
Flexible Defensive
Knowledgeable Negative
Empathizing Lazy
He should know:
 Market Positioning Strategy
Market analysis
• Size
Estimated to be around $8.1 billion and
estimated to reach $18 billion by the financial
year 2010
• Composition
Fixed, Cellular, Internet Service Provider (ISP),
National Long Distance (NLD), International
Long Distance (ILD)
• Trends
Data and Value Added Services
 Market Positioning Strategy
Internal Analysis
• Resources
• Its own service network, which is the largest
• Reputation
• Currently the No. 1 telecommunications company
• PSU
• Values
• To increase the reach of its services to a
maximum number of Indians
 Market Positioning Strategy
Competitor Analysis

• Range of Services
• Pricing Strategy
Positioning
• BSNL
• Low-cost service provider for common man
• Hutch
• Niche player mainly operating in urban and semi-urban
market with focus on quality service
• Reliance Infocomm
• Competing on Value-Added services such as R-World.
 Position map

High Tariffs

Airtel
Reliance
Vodafone Idea
Narrow Network
Coverage Wide Network Coverage

BSNL

Low Tariffs
 Pricing Strategies

• Market skimming strategy

• Market Penetration strategy

The Pricing Tripod Model
Pricing
Strategies

Value to
cost customer
Compe
tition
 Revenue Generation

Prepaid cards

Postpaid cards

Fixed rentals and call cards

Internet access charges

Extra charges for value –added services

WHAT IS QUALITY ?
“Quality in a product or
service is not what the
supplier puts in. It is
what the customer gets
out and is willing to pay
for.” -  

                              Peter F. Drucker 
Example Bullet Point
SERVQUAL MODEL
Slide
PERCEIVED SERVICE QUALITY
Grönroos's Service Quality
Model
VALUE NETWORK
FUTURE BLUEPRINT
Future Scenario
Issues of concern
 RECOMMENDATIONS
• CUSTOMER CARE

• HIGH SPEED INTERNET INFRA

• DISINVESTMENT