1. STRATEGIC MANAGEMENT
OF

2. OVERVIEW
• Bharti Airtel Limited, commonly known as Airtel, is an
Indian telecommunications services company headquartered at New
Delhi, India.
• Bharti Airtel Limited is a leading integrated telecommunications
company with operations in 20 countries across Asia and Africa.
• The company ranks amongst the top 5 mobile service providers
globally in terms of subscribers. In India, the company's product
offerings include 2G, 3G and 4G services, fixed line, high speed
broadband through DSL, IPTV, DTH, enterprise services including
national & international long distance services to carriers
• Airtel is the world's fourth-largest mobile telecommunications
company with over 261 million subscribers across 20 countries as of
August 2012.
• It is the largest cellular service provider in India, Ithad over 246
million customers across its operations at the end of February 2012.

3. VISION
To be globally admired for telecom services that delight
customers
MISSION
"A spirit charged with energy, creativity and a team
driven "to seize the day" with an ambition to become the
most admired telecom service provider globally".

4. HIGHLIGHTS
 Bharti Airtel becomes the fourth largest mobile
operator in the world
 Airtel rolls out Maharashtra's first 4G service in Pune
 F1 now on your fingertips with Airtel India Grand Prix
mobile application
 Ace designer Michael Foley creates trophy for 2012
Airtel Indian Grand Prix
 Bharti airtel to Observe Silent period from September
30, 2012airtel launches Smart Drive, a voice based real
time navigation service

5. STRATEGIES ADOPTED BY AIRTEL
Business Process Outsourcing
 Airtel follows the strategy of outsourcing the non-core
activities and focus on the core.
 Airtel is known for being the first mobile phone company in
the world to outsource everything except marketing and sales.
 The firm outsources many of its most fundamental functions
and
infrastructures, including its information technology (IT) opera
tions to IBM, Nortel and Wipro;
 Its communications networks to Ericsson and Nokia Siemens;
and
 Its contact centre operations to Nortel and Wipro and recently
with Cisco and Servion to provide hosted contact centre
services.

6. INNOVATION IN VALUE ADDED SERVICES
 Airtel has separate value added services for consumers, s
mall business and business enterprises.
 Airtel’s online desktop for airtel broadband users
provides free online space for storing , editing
and sharing data .
 It also provides free antivirus package, free software and
updates on rental basis for small businesses and this is
one of the VAS which is not provided by other service
providers.

7. M-Commerce
 Airtel has an idea of introducing m-commerce as one of its
value added service.
 According to its CEO Sanjay Kapoor there is an 80 to 85 per
cent of the population which is still unbanked and looking to
do financial transactions using mobile technologies.
 By providing m- commerce Airtel plans to bring a revolution
by making mobile phones work as ATM machines.
Network
 Airtel packs a punch when it comes to network coverage. The
aim of Sunil Bharti Mittal was to create a network which is
clear even when in the basement. Airtel has done just that
and beyond.

8. Declining ARPU
 With more than 10 million subscriber additions a
month, the Telecom Sector continues to maintain its
growth momentum.
 Due to the entry of new players in the market a high
level of competition prevails and this has lead to a
decrease in the Average Revenue Per User.
 Thus in order to sustain its competitive position Airtel
has started focusing on increasing the revenue from
Minutes of Usage MoU

9. PORTER’s FIVE MODELS
Threat of New Entrant
• 12 major number of players in India
• The concept of per second billing brought in
bt Tata docomo
• Uninor’s variable pricing has left feathers
ruffled
• Challenges have also been posed by inclusion
of 3G technology

10. Power of Suppliers
• There is a large number of equipment makers
around which dilutes the bargaining power of
suppliers
• There is monopoly with the government in
allocation of bandwidth
• The system lacks transparency which leads to
several losses
• The limited pool of talented managers and
engineers

11. Power of Buyers
• The end user is the happiest as the price wars are
prevelant
• Telecom in the present day holds low brand loyalty
Availabiity of Substitutes
• Advent of internet into the domain of mobile
• Due to high speed internet on mobiles the role of
phone calls and short messages has diminished
• Chief source of revenue is the inclusion of internet

12. Competitive Rivalry
• Indian telecom is a big pie being shared by many
people
• The impact made by newer companies has led to a
major price war among all the players
• The changes being brought forward are too many and
those who adapt will survive
• Competitors of Airtel are flanking it from the side by
trying out newer ways to woo the customer
• Airtel works very similar to a bank which likes to have
more money coming in through valued customers
rather than low cost urban connections

13. SWOT Analysis
Strengths Weakness
• Largest wireless network and market • Reduced profit margin
share • Increased debt
• Effective Value added services • Penetration into rural market
• Looking forward into the domain of
• Charging for customer care
cloud computing
• Partners with leading Phone
manufacturers for distribution
Opportunities Threats
• Too many players
• The entry into the newer markets of
Africa • Internet based services taking over a
• Telecom is looked upon as a • part of the telecommunications Domain
commodity so higher quality at a • Government regulations over the
lesser price is needed bandwidth
• Large section of the population which • Customer preference of price over
is not exposed to internet and need performance
better connectivity • Failure of expansion operations
• Mobile Banking Services