Learning in Focus: (To Be Considered For Evaluation)
Learning in Focus: (To Be Considered For Evaluation)
Learning in Focus: (To Be Considered For Evaluation)
Learning in focus
In this week in industry, we have learned that there is no globally accepted defined list for
companies to list their competitors, and by failing to list their rival companies, they have lost
their position on the market. The rivals can be mapped by identifying the companies who
have very similar resources, but they are not present in the market , second by mapping the
companies who are their in the market and target your customers with different business
model and the 3rd most difficult way are the small challengers. The figuring of the
competitors are important to stay in the power of position
In this week in Industry we learnt that If you can foresee what your competitors are going to
do, then you can pre-empt your competitors. When you act before your opponents, you
have more flexibility and you can make it difficult for them to do what they want to do. All
these measures taken by the corporation would weaken the potential of business cases and
further hinder the entry of competitors. We have also learnt that the more you believe that
you have a monopoly, and nobody can reach you, the easier it is for the company to be
touched and demolished. The more cynical and rooted you are, the more you will be able to
dissuade the rivals.
Learning in context
Reliance Jio, an Indian telecommunications firm, was launched on 5 September 2016 and is
now India's largest mobile network [1]. Since Jio 's arrival, several companies have lost their
market share and even some lost their business in the Telecom industry, including Aircel,
MTS, Reliance Communications, Telenor and Tikona, while Vodafone India and Idea Cellular
have combined two former titans. Once the industry leader in the number of subscribers,
Airtel now ranked second behind Jio, while remaining active Vodafone and Idea merged
their business and ranked 3 in the number of subscribers [2].
If Bharti Airtel's parent company Airtel could have anticipated the behaviour of the rival Jio,
they could have avoided their revenue and market losses more effectively. Here we can
analyse how Airtel could have anticipated the entry of Reliance into telecom sector. To
understand how businesses can foresee and predict more, we should examine the
competitor 's belief, intention, past behaviour and capabilities to gain insight into their
actions and future.
Reliance Jio Infocomm limited was first registered on 15 February 2007 and acquired 95 per
cent of Infotel Broadband service limited for 4800Crore. Over the past, the Reliance industry
1. https://www.lightreading.com/asia/india-needs-u-turn-to-prevent-jio-monopoly/a/d-id/758142
2. https://en.wikipedia.org/wiki/List_of_telecom_companies_in_India
3. https://www.deshgujarat.com/2015/07/06/dhirubhai-ambani-and-digital-
revolution/#:~:text=Dhirubhai%20Ambani's%20dream%20project%20Reliance%20Infocomm
%20brought%20about%20telecom%20revolution%20in%20India.&text=Earlier%20when
%20Reliance%20was%20planning,at%20cost%20of%20a%20postcard.
has bought the telecommunications revolution in India, which was the dream and vision of
the Reliance founder in his opinion technology can only be of use if people can speak on a
cell phone at the cost of a postcard[3].
Belief
The Reliance industry believed in technology, and more on digital technologies, the vision of
the former head of Reliance in India was to launch a product that could also be used by a
small farmer or labourer. We would also have a telephone network and be able to chat on a
cell phone at the expense of a postcard. The organization has succeeded in any market they
have attempted to enter, which says a lot about their decisions and business cases.
Intentions
The Reliance company, with its aim to enter the digital world, was well established when it
acquired a 95 per cent stake in Infotel Broadband service for 4800Crore in 2010. The trust
industry even took control of it. Their goal was to divest their business and to become a
technology company in the future from being a petrochemical industry
Past Action
The Reliance industry has already had the expertise of introducing CDMA cell phones into
the industry. With the emergence of the CDMA network, a technological revolution has
taken place in India, as the cost of the network has become so low that average people can
afford it. If one could dive deeply into the past action of the Jio, one might find that
Samsung was one of the vendors of the Reliance industry, it is known that Reliance had
outsourced technological capabilities to Samsung to create 4 related software and
technology.
Capabilities
In this study, we analyse whether the competitor can enter into the new market. Do they
have enough resources to do so? The rivals are also judged on their relationship with other
vendors. In this business context Reliance industry had the resource and the experience to
enter the market, they even created the alliance of mobile network operators before
launching of their 4G service in India.
Conclusion
If Airtel could have evaluated and predicted what Reliance wanted to do, they could have
dissuaded or postponed their entrance into the Telecom market. While Reliance does not
seem to dissuade the Telecom industry from joining, the whole scenario would have
changed if Airtel had been more grounded and more modest that the introduction of Airtel
4G was not accessible to the general public.
Although one can contest the fact that everyone has been aware of the possible entry of
Reliance in the Telecom industry in the past, but no one can predict the pricing method that
they will use to attract customers, one can argue that this point could also have been
speculated if the vision of the Reliance industry in the Telecoms industry had been closely
monitored. They want to reach out to all parts of the population and, in their past acts, even
make changes to the industry by launching affordable CDMA phones for the Indian
population. And the key idea from this study is that if you are monopolistic, you can still be
grounded and cynical about your rivals, and this helps you to keep away from unreasonable
assumptions.
References:
1. https://www.lightreading.com/asia/india-needs-u-turn-to-prevent-jio-monopoly/a/d-id/758142
2. https://en.wikipedia.org/wiki/List_of_telecom_companies_in_India
3. https://www.deshgujarat.com/2015/07/06/dhirubhai-ambani-and-digital-
revolution/#:~:text=Dhirubhai%20Ambani's%20dream%20project%20Reliance%20Infocomm
%20brought%20about%20telecom%20revolution%20in%20India.&text=Earlier%20when
%20Reliance%20was%20planning,at%20cost%20of%20a%20postcard.
1. https://www.lightreading.com/asia/india-needs-u-turn-to-prevent-jio-monopoly/a/d-id/758142
2. https://en.wikipedia.org/wiki/List_of_telecom_companies_in_India
3. https://www.deshgujarat.com/2015/07/06/dhirubhai-ambani-and-digital-
revolution/#:~:text=Dhirubhai%20Ambani's%20dream%20project%20Reliance%20Infocomm
%20brought%20about%20telecom%20revolution%20in%20India.&text=Earlier%20when
%20Reliance%20was%20planning,at%20cost%20of%20a%20postcard.