REPORT ON

BHARTI AIRTEL LIMITED

Submitted to
Prof.Saraswathi Kumar
Submitted By
Vinit Shah-09
Chirag Fariya-10
 CONTENTS
• Introduction

• Objectives &Mission

• Dynamic
• SWOT Analysis

• Environmental Analysis
• Competitors Analysis
• Core Competence
• Political Factor
• Business & Marketing Strategies
• Special Features
 Bharti Airtel
Type Public, BSE: 532454

Founded 1985 by Sunil Mittal

Headquarters New Delhi, Delhi, India

Key people Sunil Mittal (Chairman and CEO)

Industry Telecommunication

Mobile and Fixed-Line

Products
Telecommunication operator

Revenue $6 Billion

Website Bharti Group Airtel

 INTRODUCTION
• Incorporated on July 7, 1995, Bharti Airtel Ltd is a division of Bharti
Enterprises. The businesses of Bharti Airtel are structured into two
main strategic groups - Mobility and Infotel. The Mobility business
provides GSM mobile services in all 23 telecommunications circles
in India, while the Infotel business group provides telephone
services and Internet access over DSL in 15 circles.
• The company complements its mobile, broadband, and telephone
services with national and international long-distance services. The
company also has a submarine cable landing station at Chennai,
which connects the submarine cable connecting Chennai and
Singapore.
• Bharti Tele-Ventures provides end-to-end data and enterprise
services to corporate customers by leveraging its nationwide fibre-
optic backbone, last mile connectivity in fixed-line and mobile
circles, VSATs, ISP and international bandwidth access through the
gateways and landing station. All of Bharti Tele-Ventures' services
are provided under the Airtel brand
• As of September 2005, Bharti Tele-Ventures was the
only company to provide mobile services in all 23
telecom circles in India.
• By the end of October 2005, Bharti Tele-Ventures was
serving more than 14.74 million GSM mobile subscribers
and 1.10 million broadband and telephone (fixed line)
customers.
• The equity shares of Bharti Tele-Ventures are currently
listed on the National Stock Exchange of India Ltd (NSE)
and the Stock Exchange, Mumbai (BSE). As of
September 30, 2005, the main shareholders of Bharti
Tele-Ventures were: Bharti Telecom Ltd
• There are other 'firsts' credited to Airtel - many of them in the area of
innovative products and services. Today, Airtel innovates in almost
everything that it presents to the market. An excellent example is
Easy Charge - India's first paperless electronic recharging facility for
prepaid customers.
• As evidence of its fine record, Airtel has also been conferred with
numerous awards. It won the prestigious Techies Award for 'being
the best cellular services provider' for four consecutive years
between 1997 and 2000 - a record that is still unmatched. And in
2003, it received the Voice & Data Award for being 'India's largest
cellular service provider', amongst others.
• As part of its continuing expansion, Airtel has invested over Rs.
1,065 billion in creating a new telecom infrastructure. In 2003/04,
Bharti Tele-Ventures earned a gross profit of Rs. 16 billion on
revenues of Rs. 50 billion.
 OBJECTIVE & MISSION
• The Indian communications scenario has transformed
into a multiplayer, multi product market with varied
market size and segments. Within the basic phone
service the value chain has split into domestic/local calls,
long distance players, and international long distance
players. Apart from having to cope with the change in
structure and culture (government to corporate), Airtel
has had to gear itself to meet competition in various
segments – basic services, long distance(LD),
International Long Distance (ILD), and Internet Service
Provision (ISP).It has forayed into mobile service
provision as well.
• VISION:
• To make mobile communications a way of life
and be the customers' first choice.
MISSION:
• We will meet the mobile communication
needs of our customers through:
• •Error-free service delivery
•Innovative products and services
• Cost efficiency
• Unified Messaging Solutions
• What marketing strategies the Airtel is
implementing to defend and increase the market
share.
• To find who are the competitors of the Airtel and
the market shares of the competitors and what
strategies Airtel is implementing to beat its
competitors.
• To find out how Airtel react to the technology
changes in the communications sector,
 DYNAMIC
• The Company is a part of Bharti Enterprises, and is India's leading
provider of telecommunications services. The businesses at Bharti
Airtel have been structured into three individual strategic business
units (SBU’s) - 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 90
cities. The Enterprise services group has two sub-units - carriers
(long distance services) and services to corporate. All these
services are provided under the Airtel brand. Its include
• Voice Services
• Mobile Services
• Satellite Services
• Managed Data & Internet Services
• Managed e-Business Services
 VOICE SERVICE
• Bharti Airtel became the first private fixed-
line service provider in India. It is now
promoted under the Airtel brand. Recently,
the Government opened the fixed-line
industry to unlimited competition. Airtel
has subsequently started providing fixed-
line services in the four circles of Delhi,
Haryana, Madhya Pradesh, Karnataka,
Tamil Nadu & UP (West).
 MOBILE SERVICE
The company has several Firsts to its credit:

The First to launch full roaming service on pre-paid in the country.

The First to launch 32K SIM cards.

The First in Asia to deploy the multi band feature in a wireless

network for efficient usage of spectrum.

The First to deploy Voice Quality Enhancers to improve voice quality

and acoustics.

The First telecom company in the world to receive the ISO 9001:2000
certification from British Standards Institute
LICENSE
 SATELLITE SERVICE
• Airtel Enterprise Services provides you connectivity
where ever you take your business Our Satellite
Services bring you the benefits of access in remote
locations. Airtel Enterprise Services is a leading
provider of broadband IP satellite services and
DAMA/PAMA services in India. Our solutions
support audio, video and voice applications on
demand.
• Satellite Services include :  PAMA/DAMA
• BIT – Internet
• VPN
• Satellite based IPLCs for redundancy reasons
 SWOT ANALYSISfor AIRTEL
STRENGTH WEAKNESS

Very focused on telecom. Price Competition from BSNL and MTNL

Leadership in fast growing cellular segment. Untapped Rural market
Pan-India footprint.
The only Indian operator, other than VSNL, that has an
international submarine cable.

The fast-expanding IPLC market. Competition from other cellular and mobile operaters.
Latest technology and low cost advantage. Saturation point in Basic telephony service
Huge market.

OPPORTUNITIES THREATS
 STRENGTH
VERY FOCUSED ON TELECOM Bharti Airtel is largely focused
on the telecom, around 93% of the total revenue comes from
telecom(Total telecom revenue Rs 3,326).
• LEADERSHIP IN FAST GROWING CELLULAR SEGMENT
Airtel is holding leadership position in cellular market..
Bharti Airtel is one of India's leading private sector providers of
telecommunications services based on an aggregate
of 27,239,757 customers as on August 31, 2006, consisting
of 25,648,686 GSM mobile and 1,591,071 broadband &
telephone customers..

• THE ONLY OPERATOR IN INDIA OTHER THAN VSNL

HAVING INTERNATIONAL SUBMARINE CABLES. Airtel, the
monopoly breaker shattered the Telecom monopoly in the
International Long Distance space with the launch of
International Submarine cable Network i2i jointly with Singapore
Telecommunications Ltd. in the year 2002. This has brought a
huge value to the IPLC customers, delivering them an option
besides the incumbent carrier, to connect to the outside world.
 WEAKNESS
• Price Competition from BSNL and MTNL.
Airtel is tough competition from the operators
like BSNL nd MTNL as these two operators are
offering services at a low rate.
• Untapped Rural market. Although Airtel have
strong Presence throughout the country but still
they are far away from the Indian rural part and
generally this part is covered by BSNL so
indirectly Airtel is loosing revenue from the rural
sector.
 OPPORTUNITIES
• LATEST TECHNOLOGY AND LOW COST ADVANTAGEThe
costs of introducing cellular services for Airtel are marginal in
nature, as it needs only to augment its cellular switch/equipment
capacity and increase the number of base stations. The number of
cities, towns and villages it has covered already works to its
advantage as putting more base stations for cellular coverage in
these areas comes with negligible marginal cost. Besides such cost
advantages, it has also other cost advantages for the latest cellular
technology. As a late entrant into the cellular market, it has dual
advantage of latest technology with modern features, unlike other
private cellular operators who started their service more than 4-5
years back and low capital cost due to advantages of large scale
buying of cellular switch/equipment.
• THE FAST EXTENDING IPLC MARKET An IPLC
(international private leased circuit) is a point-to-point
private line used by an organization to communicate
between offices that are geographically
dispersedthroughout the world. An IPLC can be used for
Internet access, business data exchange, video
conferencing, and any other form of telecommunication.
Airtel Enterprise Services and SingTel jointly provide
IPLCs on the Network i2i. The Landing Station in
Singapore is managed by SingTel and by Airtel in
Chennai (India). Each Landing Station has Power
Feeding Equipment, Submarine Line Terminating
Equipment and SDH system to power the cable, add
wavelengths and convert the STM-64 output to STM-1
data streams respectively.
• HUGE MARKETThe cellular telephony market is
presently expanding at a phenomenal /
whopping __ rate every year and there is still
vast scope for Airtel to enter /expand in this
market. Besides there is a vast rural segment
where the cellular services have not made much
headway and many customers are looking
towards Airtel for providing the service to them.
With its wide and extensive presence even in the
remotest areas, Airtel poised to gain a big
market share in this segment when it expands
cellular services into the rural areas.
 THREATS
• COMPETITION FROM OTHER CELLULAR It is time for BSNL to
improve/expand its cellular services. Fierce and cut-throat
competition is already in place with the markets ever abuzz with
several tariff reductions and announcement of attractive packages,
trying to grab most of the ‘mind share’ of the ‘king’ - ‘the consumer’,
whose benefits are increasing with passing of everyday. If BSNL is
not innovative and agile, its cellular service will be a flop. It needs to
be proactive with attractive packaging, pricing and marketing
policies lest its presence in the market be treated with disdain by the
private cellular companies. The launch of WLL services by Reliance
Infocomm has aggravated the situation.
• MARKET MATURITY IN BASIC TELEPHONY SEGMENT Although
Airtel entered in the basic telephony market it’s a biggest there for
the company as the basic telephony market has reached
ENVIRONMENTAL ANALYSIS
• It is a systematic examination of all 3 levels of
the environment with at least three purposes:
• Detecting important economic, social, cultural,
environmental, health, technological, and
political trends, situations, and events
• Identifying the potential opportunities and threats
for the institution implied by these trends,
situations, and events
• Gaining an accurate understanding of your
organization’s strengths and limitations
• STEEP refers to changes in the social, technological,
economic, environmental, and political sectors that affect
organizations directly and indirectly.

• A STEEP analysis of the macro environment indicates that

economic and social factors have forced the pace of utilization
of technology. Increasing customer awareness has raised
expectations and vocal demands are being articulated for
consumer rights; such political factors have in turn impacted the
competitive environment by way of entry of private players,
independent regulation, and a policy framework tilted towards a
‘level playing field’ for new entrants. A near environment
analysis indicates that the competitors are becoming active
resource rivals apart from applying pressures as customer
rivals. The customer has, needless to say, benefited from
increased choice from within the communications services
basket itself.
 CORE COMPETENCE

• Airtel core competencies are sales & promotions

and as of now Airtel is leading brand in mobile
services in India. Airte have three big personality
Viz. Sachin Tendulkar , Shahrukh Khan and
music maestro A. R. Rahman for endorsing
there product and services currently Airtel is
outsourcing there no competence function and
try to fully concentrate on his core competency
that is sales promotion.
 COMPETITORS
S.No. Service Subscribers Market Share
Provider (in millions) (% age)
s
1
BSNL 36.8 78.02
2
MTNL 3.94 8.35
3
Tata 3.23 6.85
4
Reliance 1.86 3.94
5
Bharti 0.97 2.06
6
HFCL 0.21 0.44
7
Shyam 0.16 0.34
All India 47.17 100
• Subscriber base
• The Airtel subscriber base according to TRAI - Telecom
Regulatory Authority of India as of February 2009[7] was:
• Chennai - 2,133,677
• Delhi - 4,671,177
• Mumbai - 2,791,963
• Kolkata - 2,456,896
• Madhya Pradesh - 7,690,609
• Gujarat - 3,981,660
• Andhra Pradesh - 8,892,353
• Karnataka - 9,820,812
• Tamil Nadu - 6,003,040
• Kerala - 2,169,633
• Punjab - 3,754,405
• Maharashtra - 6,248,906
• Uttar Pradesh (West) - 2,256,862
• Uttar Pradesh (East) - 5,722,386
Rajasthan - 6,704,274
West Bengal & Andaman and Nicobar - 3,501,560
Himachal Pradesh - 951,121
Bihar - 7,152,245
Orissa - 2,811,453
Assam - 1,448,389
North Eastern States - 890,054
Jammu & Kashmir - 1,590,935

The total is 101,114,971 or 24.2% of the total 375,742,592 GSM +

CDMA mobile connections in India till February 2009
 POLITIICAL ENVIRONMENT
• New government policy to facilitate faster rollout of 3G
spectrum[edit]
• In the 2nd quarter of 2008/09, the Indian Department of
Telecommunications announced a new 3G policy which set the
base price for access to the Indian 3G spectrum at Rs. 20.2 billion,
allowed foreign players to participate in 3G spectrum auctions and
imposed a hoarding cess of 2.5% per quarter if awarded telcos
failed to rollout 3G services.[17] Third generation wireless, or 3G, is
a technology that enables high-speed wireless data transfer for
applications like mobile video, secure mobile e-commerce, location-
based services and mobile gaming. Using a 2.0G or 2.5G network,
a 3 minute song takes between 6 and 9 minutes to download.[18]
Using a 3G network, however, the time taken is between 10 to 90
seconds.[18] The launch of 3G services would enable the company
to shift existing high-usage 2G subscribers to the 3G spectrum, thus
freeing up space for new subscribers in the 2G spectrum.[17]
• Falling handset prices could increase
wireless penetration rate in rural India.
• In 2007/08, the average selling price (ASP) of
a mobile handset in India fell 38% to Rs.
3,150. Buyers are also becoming
accustomed to more choices at various price
points. With India's average annual per capita
income of Rs. 25,000 and average spending
of 4% of per capita income on
communication-related expenses
 TYPES OF SALES
• THREE TYPES OF SALES:
• Primary Sales - Organisation to
Distribution of Prepaid, Postpaid Cards,
Coupons, easy recharge etc.
• Secondary Sales - Distributor to Retailers
• Tertiary Sales - Retailer to Customer.
 BUSINESS & MARKETING
STRATEGIES
• Some Marketing And Business Tools Adopted By AIRTEL As To
• Promote Its Activities:
• Seminars: seminars are conducted at different places by the expert
time by time to make people aware.
• Publicity: publicity is done through various media.
• Stalls at famous places: they conduct their stall after a particular
period of time on the famous and public place to attract them towards
themselves.
• DSA (Direct Sales Agency)
• Print media
• Hoarding
• Banners
• Advertisement
• Leaflets
• Follow ups
• By KNOP
 FEATURES
• Total Cost Control
Enjoy the liberty of total cost control with your Airtel Pre-
paid! Re-charge as much as you feel the need to! Now
that's what we call complete freedom!
No Rentals
Buy an Airtel prepaid card without having to pay any
rentals!
No deposits
Your Airtel prepaid card comes without you having to pay
heafty deposits!
STD/ISD facility till the last rupee
Now experience complete freedom like never before with
Airtel! Our STD/ISD facility allows you to make long
distance calls in India and Overseas from your cellular
phone!
• Instant Balance Inquiry
Check your talk-time instantly by calling our toll-
free number!
60 second pulse
Airtel provides you with a 60-second pulse rate!
Freedom for you to experience like never before!

Instant Recharge
Avail of instant recharge on your Airtel prepaid
card with just a few simple steps!
24-hour recharge facility
With our round-the-clock recharge facility,
recharge you Airtel prepaid card anytime,
anywhere!
• Short Messaging Service (SMS)
With Airtel’s Short Messaging Service (SMS),
send messages and jokes to your friends and
colleagues, anytime anywhere!

• SMS based Information Services

With Airtel's SMS based information services;
you can get up to-the-minute cricket scores,
order flowers as well as send couriers or check
your daily horoscope
Corporate Structure