Market Share of Reliance Communication

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COMPANY]


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Few men in history have made as dramatic a contribution to theircountry s economic fortunes as did the founder of Reliance, Sh.Dhirubhai H Ambani. Fewer still have left behind a legacy that ismore enduring and timeless.

As with all great pioneers, there is more than one unique way of describing the true genius of Dhirubhai: The corporate visionary,the unmatched strategist, the proud patriot, the leader of men, thearchitect of India s capital markets, the champion of shareholderinterest.But the role Dhirubhai cherished most was perhaps that of India sgreatest wealth creator. In one lifetime, he built, starting from theproverbial scratch, India s largest private sector enterprise.When Dhirubhai embarked on his first business venture, he had aseed capital of barely US$ 300 (around Rs 14,000). Over the nextthree and a half decades, he converted this fledgling enterprise into

a Rs 60,000 crore colossus an achievement which earned Reliancea place on the global Fortune 500 list, the first ever Indian privatecompany to do so.


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AWARDS AND ACHIVEMENTS

Conferred the CEO of the Year 2004 in the Platt's Global EnergyAwardsRated as one of India s Most Admired CEOs for the sixthconsecutive year in the Business Barons TNS Mode opinion poll,2004Conferred The Entrepreneur of the Decade Award by the BombayManagement Association, October 2002Awarded the First Wharton Indian Alumni Award by the WhartonIndia Economic Forum (WIEF) in recognition of his contribution tothe establishment of Reliance as a global leader in many of its

business areas, December 2001Selected by Asia week magazine for its list of Leaders of theMillennium in Business and Finance and was introduced as the only

new hero in Business and Finance from India, June 1999.


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COMPANY AND ITS PRODUCT LINE

Reliance communication basically deals in communication business. RelianceCommunication is a organization under the flag of Reliance ADAG group.Product/ services offered by reliance are

Reliance Base Phone

Reliance gramin phone

Reliance Mobile (GSM and CDMA)

Reliance Data Card

Reliance Voucher, E-Recharge

Reliance PCO

Reliance Broad Band


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OTHER COMPANIES OF RELIANCEADAG GROUP

Reliance Energy Ltd. Reliance Mutual Fund

Harmony Reliance Communications

Reliance Life Reliance Anil Dhirubhai Ambani Group


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COMPETITORS OF RELIANCECOMMUNICATION

Reliance deals in both CDMA and GSM. in CDMA very poorcompetition is here but in GSM very cohesive competition is here.Its competitor is

AIRTELIDEAVODAFONETATA INDICOMBSNL

There are some other competitors exits but those are silent playersbecause such competitors are having very less market share.Market leader is Airtel and least market share is of Tata indicom.


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SWOT ANANYSIS OF RELIANCECOMMUNICATION

SWOT analysis is a basic, straightforward model that providesdirection and serves as a basis for the development of marketingplans. It accomplishes this by assessing an organizations strengths(what an organization can do) and weaknesses (what anorganization cannot do) in addition to opportunities (potentialfavorable conditions for an organization) and threats (potentialunfavorable conditions for an organization). SWOT analysis is animportant step in planning and its value is often underestimateddespite the simplicity in creation. The role of SWOT analysis is totake the information from the environmental analysis and separateit into internal issues (strengths and weaknesses) and external

issues (opportunities and threats). Once this is completed, SWOTanalysis determines if the information indicates something that willassist the firm in accomplishing its objectives (a strength oropportunity),


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Strength

y Low Entry Costy Commission Structurey Fast Activation Processy Network y Connectivityy Data GPRS

Weakness

y

Branding Imagey Distribution problemy Lack of Competitive Strengthy Lack of proper communication

Opportunity

y Preference of GSM over CDMAy

New Specialist applicationy Rural Telephonyy New Market, Vertical, Horizontaly Competitors` Vulnerabilities

T hreaty Political destabilization.y New Entrantsy IT Developmenty Market Demandy Seasonality, Weather Effects


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OBJECTIVE OF THE PROJECT

To identify the company position amongcompetitors .

To identify the market share of Rcom .


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SAMPLING

SAMPLING TECHNIQUE USEDIn this project the technique of sampling used wasudgment sampling. Judgment sampling involves the

choice of subjects who are most advantageously placed or

in the best position to provide the information required.

SAMPLE UNITIn this project case sample is retailers of Dwarika an Palamterritory & the aim is to know the market share of reliancecommunication in those territories. Reliancecommunication and the competitors present in the market.

SAMPLE SIZE:187 Retailers.


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Data Analysis

Types of data analysis techniques used in theproject:

Tabular analysis.Graphical analysis.Percentage analysis.


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2000 4000 6000 8000

reliance GSM

relianceCDMA

airtel

vodafone

idea

tata indicom

bsnl

TOTAL ACTIVATIONS

Total activation of all telecommunication players exist in Dwarika and palamarea.


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airtel

vodafone

reliance GSM

reliance CDMAtata indicom

bsnl

idea

Total prepaid value transferred by all players


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reliance com.(25.53 %)

other (74.47%)

Market share of reliance communication (revenue basis)


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reliance com. (33.66 %)

others (66.34 %)

Market share of reliance communication (activation basis)


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Findings and Conclusions

On the basis of all the study we found that reliance is a big brand which deals inGSM and CDMA. Due to deals in GSM and CDMA its market share combined issatisfied in given territories but when we see them separately it looks less marketshare.As I go through whole study I found that reliance GSM have 5267 activation in amonth while CDMA activations are 1750.When I analyze on revenue basis that was GSM, Rs 2256000 and CDMA Rs3470000.Whole data shows a satisfactory position of reliance communication in Dwarikaand Palam territory it is approximately jointly 25% as revenue basis and 34% onactivation basis.If reliance pay more attention than its market share can go upwards becausereason is that reliance deals in GSM and CDMA while its combined market share isless than Airtel. So by more focusing its market share can be increased.Second thing I observed that retailer is not satisfied neither with distributor norwith company so if company will focus in this area definitely market share of reliance communication will increase.


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LIMITATIONS

During the summer training weather was too hotso I faced climatic problem.Some times in rural areas where same shop is

owned by many persons, they do not haveapproximate idea of sell.Sometimes retailer in not happy with reliance insuch situation he is not willing to give meinformation.That was major problem which creates a barrierin the research. To visit whole area two monthtime was less.


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SUGGESTION AND RECOMENDATION

Supply should be regular to all the outlets including mobile and electronicsshop.

Provide consistent service to retailers as this will help gain companygoodwill in the market.

Do not change distributor frequently, because he is the only person whoact as a connecting link between company and retailers.

Retailer should aware about new schemes and new features aboutproduct.

Recharge should be available on time at each shop by which the retailercan give full satisfaction to the customer.

Market Share of Reliance Communication

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