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Strategic Acquisition of loop mobiles by Airtel

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  • 8/17/2019 Strategic Acquisition of loop mobiles by Airtel

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    0

    SUBMITTED TO:

    SUBMITTED BY:

    GROUP No.: B2

    GROUP NAME: STRATEGISTPGDM BATCH:  2013-2015

    COURSE: BPSM (BUSINESS

    POLICY AND STRATEGIC

    MANAGEMENT)

    DATE OF SUBMISSION:

    14-08-2014

    FINAL

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    Table of Contents

    1 Top! o" #$% S#&'...........................................................................................................................2

    2 I#*o'&!#o.....................................................................................................................................2

    2.1 AIRTEL LOOP A!+&,#o.....................................................................................................2

    3 S#*#%! I,,&%,................................................................................................................................2

    /o A*#% %%"#, "*o #$% A!+&,#o.........................................................................................2

    3.1 R%&#o* /&*'%,..................................................................................................................3

    4 SOT A,, o" A*#%.................................................................................................................3

    5 S#*#%! Mo'%, ' App*o!$%,...................................................................................................4

    5.1 PORTER6S GENERIC COMPETITI7E STRATEGIES........................................................4

    5.2 STRATEGIC DIAMOND........................................................................................................4

    9 :! A,,...........................................................................................................................9

    ; :o*%!,#,..........................................................................................................................................;

    8 R%!o%'#o,...........................................................................................................................8

    8.1 O*

    8.2.9 U'%*,#' #$% '""%*%!%, !&#&*%..........................................................................>

    8.2.; ?o #$% p%op%........................................................................................................10

    8.2.8 E p%op%.............................................................................................................10

    8.3 @SPM A,,......................................................................................................................10

    8.3.1 ?% #%* "!#o*,.......................................................................................................10

    8.3.2 E#%* "!#o* ,,...................................................................................................11

    > DUPONT A,,........................................................................................................................13

    >.1 ANALYSING COMPETITI7E AD7ANTAGES..................................................................13

    >.2 D& Po# A,,....................................................................................................................13

    Bibliography................................................................................................................... 15

    1

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    1 Top! of t"e St#$%

    I' , #$% o*', ,%!o'-*%,# #%%!o&!#o, *%#. T$% o% p$o% '&,#* I' ,% #o !o#*% US 400 o #o #$% !o&#*, *o,, 'o%,#! p*o'&!# (GDP) ' $, #$%

     po#%# #o %%*#% o 4.1 o ''#o o, 2020F , p%* M, A% Bo&=%*o#F D*%!#o* G%%*F ' G*o&p Sp%! Mo% A,,o!#o (GSMA). B$*# A*#% L#%'F !oo o ,A*#%F , I' &##o #%%!o&!#o, S%*=!%, Cop $%'+&*#%*%' N%D%$.

    I# op%*#%, 20 !o&#*%, !*o,, So$ A,F A"*!F ' #$% C$% I,',. A*#% $, GSM%#o* !o&#*%, $!$ # op%*#%,F p*o=' 2GF 3G ' 4G ,%*=!%, '%p%' &po #$%!o&#* o" op%*#o. B$*# A*#% $' %* 28; o !&,#o%*, !*o,, #, op%*#o, # #$% %'o" D%! 2013. (p%'F .'.) &oop MobleF "o*%* o , BP& MobleF , I' o%%#o* op%*#o*. O 18 :%*&* 2014F B$*# A*#% o&!%' #$# # $' *%%' #o !+&*% LoopMo% "o* ;00 !*o*% (US120 o). (p%'F .'.)

    ' Int(o$#!ton

    ')1 AIRTE& &OOP A!*#ston

    B$*# A*#%F I', *%,# o% op%*#o* ,&,!*%* ,%F o 18 #$ :%*&* 2014 %#%*%' #o ,#*#%! *%%%# #$ Loop Mo%F "o*%* o , BP& MobleF  #o !+&*% Loop,,&,!*%*,F , % , ,o% o" #, ,,%#,F "o* o R,.;00 !*o*%. T$% '% , ,&%!# #o *%&#o*pp*o=,. #$ #$, !+&,#oF B$*# %!o%, #$% #op op%*#o* #$ ,%=% o ,&,!*%*,"oo%' 7o'"o% #$ 9.8 o ,&,!*%*,. U'%* #$% *%%%#F Loop Mo%, #$*%%

    o ,&,!*%*, M& o A*#%, o=%* "o&* o ,&,!*%*,F !*%# &#!$%'o% %#o* M&. (Mo% Co#*oF 2014)

    + St(ate,! Iss#es -t" t"e A!*#ston

    Ho- A(tel benefts f(o. t"e A!*#ston/

    A*#% !+&*%' >00M/< ,p%!#*& #$% *%!%# !o!&'%' &!#o $!$ , $%' o 13 #$ :%*&*

    2014 M&. T$, !+&,#o $%p # 00M/<

     ')F *%'&! *oo !p# %p%'#&*%. T$, o&' =o=% !+&,#o o" o#$ #$% ,,%#, (#o%*F

    %+&p%#6,F "%* op#! %#o* %#!.) ' !&,#o%*, o" Loop (T$% E!oo! T%,F 2014). B$*#!&**%# $, 21 *%=%&% *%# ,$*% =H, 7o'"o% # 39 M&. A!+&,#o o" Loop

    ,o $%p # **o #$% *%# ,$*% p ' =% # !!%,, #o Loop, po,#-p' ,&,!*%*,. (DSL

    I'F 2014)

    T$% *%%%# %,&*% !o#&# o" +&# ,%*=!%, #o Loop Mo%6, ,&,!*%*,F $% o""%*#$% #$% ''%' %%"#, o" A*#%6, o=#=% p*o'&!# po*#"ooF ' !!%,, #o ,&p%*o* ,%*=!%,Fo=#=% p*o'&!#, % 3GF 4GF A*#% Mo%F 7AS ' 'o%,#!H#%*#o *o "!#%,.Loop Mo% ,&,!*%*, %!o% p*# o" A*#%6, o %#o* #$# ,%*=%, o=%* 28> o!&,#o%*, 20 !o&#*%,. (Co&!#o, To'F 2014)

    2

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    T$% p*opo,%' #*,!#o * #o%#$%* Loop Mo%, 2GHEDGE %%' %#o* ,&ppo*#%' 2F500 p&, !% ,#%,F ' A*#%, 2G ' 3G %#o* ,&ppo*#%' o=%* 4000 !% ,#%, M&.(Mo% Co#*oF 2014)

    +)1 Re,#lato(% H#($les

    T$% Telecom Regulatory Authority of India 0TRAI $, *,%' +&%,#o, o=%* #$% ,% o" Loop Mo%I' L#' #o *= B$*# A*#% L#'F !# po,,% =o#o, o" *&%, o !%, ' Mo%

     N&%* Po*## (MNP)F , #$# &'%* MNP *&%,F ,&,!*%*, &,# % o%' #o !$oo,%$!$ op%*#o* #o po*# #o ' !o# % 2po(te$ o#t3  =o&#*. A,oF #$ #$, '%F #$%o=%*%# ,#', #o o,% ,&,## o&# , po*# "%%F ,' #$% *%&#o*. (G$o,$F L=% M#F2014)

    Telecom Regulatory Authority of India 0TRAI ,o *%"%*, #o #$% po*# "%% p' #o #$% MNP ,%*=!%

     p*o='%*. A, p%* MNP *&%,F "%% o" R,.1> , !$*%' "o* %=%* po*# ,&,!*%*. Loop , o #o

    #*,"%* 2.> o !&,#o%*,F ,o #$% #o# *%=%&% , o R,.5.5 !*. A' #$% MNSP &,# p 1 p%*!%# *%=%&% ,$*% #o #$% o=%*%#. (T%%!o T%*F 2014)

    T$% '% o# p*o='% ,p%!#*& #o B$*#F , Loop6, 20-%* !%,% "o* #$% $$ %""!%#

    >00 M/< ' %p*%, No=%%* #$, %*. (T$% E!oo! T%,F 2014)

    A!!o*' #o Telecom Regulatory Authority of India  0TRAI  #$% p*opo,%' !+&,#o 'o%, o#

    pp%* #o % % #$ #$% %,# *%&#o* ' !%, "*%o* ' &!%*## ,# oo,

    o=%* #$% "#% o" 2.> o ,&,!*%*, o" Loop o% M& #%%!o !*!% , #$% B$*# A*#%

      Loop '% #, !%*!% "*o #$% D%p*#%# o" T%%!o&!#o, (DoT) (13 #$ A&&,# 2014).

    (T%%!o T%*F 2014)

    4 S5OT Anal%ss of A(tel

    STRENGHTH

    S&p%*o* o=%* %#o* +&# ' *%#

    /$ *' %+&#

    Cop%##=% A'=#% o=%* o#$%* P%*,

    /$ %#o* !o=%*% Loop Mo%

    5EA6NESS

    L#% 'op#o o" 3G ' '=!%' *%%,,

    #%!$oo%, D%# ' "!%,

    OPPORTUNITIES:

    G o*% *%# ,$*%

    To #p #$% &#pp%' *%# ,%%#

    T/REATS

    P*!% !op%##o "*o BSNL ' MTNL

    E#* o" % %#*#,

    P*o% p%%# Mo% N&%* 

    Po*## I!*%,% #$% !o,# o" &' ' &p*'

    #$% #%%!o "*,#*&!#&*%

    3

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    7 St(ate,! Mo$els an$ App(oa!"es

    7)1 PORTER8S GENERIC COMPETITI9E STRATEGIES:Po*#%*6, %%*! ,#*#%%, , o'% $!$ '%,!*%, $o !op p&*,&%, !op%##=% '=#%

    !*o,, #, !$o,% *%# ,!op%. So $%*% % $=% pp%' #$, o'% #$, B$*# A*#% !,% 'Loop o% !+&,#o #o o $# '""%*%# ,#*#%%, ! % pp%'. D""%*%# ,#*#%%,'%,!*%' %o.

    Cost &ea$e(s"p St(ate,%: A "* , !o,# %'%*,$p '&,#* $% #, !o,# o" p*o'&!#o ,o%* #$ #$# o" #, !op%##o*,. A*#% $, %' !o,# %'%*,$p #, p*o!%,,%, '*%,o&*!%, %""!%# ' %""%!#=%. A*#% ,%%, #o !*%#% =&% #$*o&$ '=%*,"!#o o=!*o,, &,%,,%, #$# ,$*% o#$ op%*#o ' !o*po*#% *%#%'%,,. #$ #$, pp*o!$F # %p%!#,#o !$%=% $$ *%,o&*!% ,$* ' !o,%+&%#F ,"!# !o,# *%'&!#o. A*#% $, #%'#, !o,# %'%*,$p *%'&! #, op%*#o !o,#, ' #, &+&% &,%,, o'%- $!$ o,o&*!%, o* "&!#o, %!%p#F ,%,F *%# ' "!%. (&%,,,F 2012) B * 'o #,

    op%*#o !o,#,F A*#% , % #o o""%* #, p*o'&!#, ' ,%*=!%, # o%* p*!%,. E!oo%, o" ,!%' %""!%# o* !p# %%# $%p%' A*#% #o oo,# #, p*o"# *. (G&*F 2008)

    Dffe(entaton St(ate,%: T$% '""%*%##o ,#*#% 'op#%' #$% "*, %%', #o po,,%,,,&""!%# ,, ' #%, #o '""%*%##% #$% p*o'&!# "*o #$# o" #$% !op%##o*, ,%' o ,o%##*%, #$# o #$% !o,&%*, #o p%*!%=% #$% p*o'&!# , '""%*%# "*o o#$%*,. D""%*%##o ,##%p#%' A*#% #$ #$% $%p o" =&% ''%' ,%*=!%,. I# p*o='%, &%*o&, =&% ''%' ,%*=!%,,&!$ , .oble apps "ello t#nes .;!o..e(!e -(eless nte(net et!)  B$*#-A*#% %' '""%*%# '=#% o #$% !!o&# o" %,# "*,#*&!#&* !p#. A*#% p*o='%, ,%*=!%%=% #$% *%o#% *%,F %p$, o,&,!*%* #$*o&$ #$% !+&,#o o" Loop Mo%.

    7)' STRATEGIC DIAMOND

    • A S#*#% Do' , !*,p #o ,%F =,&

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    A(enas < 25"e(e -ll -e be a!t=e an$ -t"

    "o- .#!" e.p"ass/3

    • A*%, %!op,, !$o!%, '% o $%*%

    #o !op%#% #$% %#%* %=*o%# ,&!$ ,

     p*o'&!# o* ,%*=!% *%#,F %o*p$! *%#,o* !$%,. A*%, ,o '%#" =&% !$!#=#%, o* =&% !*%#o ,#%, #$# *%,o&*!%' o* o,o&*!%'.

    • T$% !o*% p*o'&!# o* ,%*=!% B$*# A*#%

    • B$*# G*o&pF $, '=%*,% &,%,, po*#"oo

    ' $, !*%#%' o *', #$%#%%!o&!#o ,%!#o*. B$*# A*#%F ,A,, %' #%*#%' #%%!o ,%*=!%,

     p*o='%* #$ op%*#o, I' ' S*L. So% o" #$% p*o'&!#, A*#% , #,o'%F S !*' ' *o'' %#!. B &,%,, o" A*#% , ,%*=!% ,%!#o* #o #$%#%%!o !o,&%*,. O o" #$# ,o% *% 3G ,%*=!%F 4G ,%*=!%F A*#% o%F S*# D*=%%#!. (p%'F .'.)

    • $!$ %o*p$! *%, # ,%*=%,

     

    A*#% , #$% o% o" #$% *%,# o% op%*#o* #$% o*' #%*, o" ,&,!*%* ,% '

    $, !o%*! p*%,%!% 20 !o&#*%,. A*#% op%*#%, ' !o#*o, #%%!o !*!%,o" I'. I# $, =,# %#o*. P*%,%# #, %#o* , !o=%* pp*o#% 89.; o" #$%!o&#*6, pop&#o , o" S%p#%%* 2012.A*#% , #$% *%,# op%*#o* *&* I' #$ 88o ,&,!*%*, , o" Ap* 2013. (p%'F .'.) (A*#%F 2014)

    9e"!les < 2Ho- -ll -e ,et t"e(e/• 7%$!%, '%#" #$% '%*%% #o $!$ #$% ,#*#% *%%, o #%* '%=%op%# %""o*#,

    *%#=% #o p*#%* #$ o* !+&,#o o" %#%* p*#%,. So !o,'%* #$, ,#%F $oB$*# A*#% #*%, #o %# % !&,#o%*, #$*o&$ #%* %, o* %=% #$o&$ !+&,#o.

    • So "#%* 'o #$% ,#*#%! *%%%# #$ #$% oop o%F A*#% o&' % #$% M&,

    *%,# o% %#o*F #$ !o%' &,%* ,% o" *o&' ; o !o%!#o, #$%*%o 4 o #$ A*#% ' 3 o #$ Loop Mo%. T$, ,#*#%! !#o ,oo""%* !&,#o%*, #$% '%,# %!&,=% *%# *%!$ #$ 220 o%#, #$# %% %,#--!,,!&,#o%* ,%*=!%. (T*&F 2014)

    Dffe(entato( < 2Ho- -ll -e -n/3

    • D""%*%##o*, *% #$o,% "!#o*, #$# *% %%=%' #o o #$% "* #o #, #*%#%'

    *%,F p*#!&* %#%* *%,. D""%*%##o*, ! !&'% %F p*!%F *%#F 'o#$%* % p,.

    • So $%*% #$% !o*% !op%#%!%, &,# !&'% #, #$% p*%,%!% o=%* I'. I# $, #$% p*%,%!%

    %=%* p!% o" I' ' #, !&,#o%* ,%*=!% $, p!%' #,%" #$% #op po,#o #$, $$ !op%##=% !o&!#o *%#. To '""%*%##% #,%" I'6, $$!op%##=% !o&!#o, %=*o%# %,&* !&,#o%* *%#o, '%$# #$*o&$

     p%*,o

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    Sta,n, an$ Pa!n, < 25"at -ll be o#( spee$ an$ se*#en!e of .o=es/3

    • S# ' p! *%"%* #o #$% ,%+&%!% ' ,p%%' o" ,#*#%! o=%,. T$, %%%# $%p,

    '%#" '%!,o po#, ,!% ,#*#%! o=%, 'o6# $=% ,% po,,% p#$. T$, po%*"& "!%# o" ,#*#%51.80 38F338.>0 42F228.50 49F814.00To# Ep%'#&*% 21F028.53 22F029.90 24F9;;.40 2;F>90.10 31F880.20

    Op%*# P*o"# 13F519.1> 13F>25.20 13F991.50 14F298.40 14F>33.80

      I#%*%,# 1F952.30 1F3>9.20 324.1 -598 2F148.38

    A'&,#%' N%# P*o"# ;F531.38 >F2>5.44 ;F920.22 5F98>.43 5F042.45

    Anal%ss: :*o #$% o=% =% :! "&*%, % !

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    A, % ! ,o !o!&'% "*o #$% 2013 "&*%, #$# #$% #%*%,# , *% o 2148.38 !*o*%, $!$'!#%, #$# !op $, &'%*o% ,o% o*% '%# % "o* #$% %p,o ' !+&,#o o" Loop o% #$# $pp%%' 18 :%*&* 2014. ($##pHH.!p#%.!oHF .'.)

    6e% Fnan!al Ratos:

    6e% Fnan!al Rato8s

    Ma(;?@ Ma(;1? Ma(;11 Ma(;1' Ma(;1+

    D%#-E+&# R#o 0.3 0.2 0.21 0.2> 0.2>

    C&**%# R#o 0.91 0.; 0.4> 0.54 0.52

    ROCE () 33.1; 29.2; 18.03 13.29 11.99

    P*!% E* (PHE) 15.4; 12.95 1;.;3 22.59 22.02

    Anal%ss: Loo # ,o% po*## :! R#o,F % ! 33.80

    19F088.25

    1;F2>1.>;

    18F538.38

    A, p%* #$% p,# #*%'F #o# !o% o" B$*# A*#% , !o,## !*%, ' "#%* #$% !+&,#o o" Loop o% 2014 # !*%,% ,o% o*% o&#. So #$% *o#$ *#% o" !o% #$#% $=% ,,&%' , 12 , % , #$% %p%'#&*% ,o !*%,% ,o ,,&p#o "o* #$%%p%'#&*% , 14.

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    2011 2012 2013 2014 2015 201610,000.00

    12,000.00

    14,000.00

    16,000.00

    18,000.0020,000.00

    22,000.00

    24,000.00

     Operating Proft

    A!!o*' #o :o*%!,#%' "&*%, o" 3 %*,F % ! !o!&'% #$# !o %*, Op%*# p*o"# o" 

    #$% B$*# A*#% , o #o !*%,% #$% %p,o , % , #$% !+&,#o o" Loop o%.

    Re!o..en$atons

    )1 O(,anatonal St(#!t#(e an$ C#lt#(e

    O(,anaton !#lt#(e an$ st(#!t#(e of B"a(t A(tel an$ &oop .obles

    B$*# A*#%, O*

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    • C&,#o%*, %%"# "&*% "*o #$% o# !p#%, o" %!$ %## , # $%p

    '%#" #$% %,# "%#&*%, o" o#$ #$% !op%, ' %,&*% #$# #$%,% *% #!#.

    • E=o= !%* =,o ' &,%,, ,#*#% o" #$% !+&,#o '&* #$% p*o!%,, o" 

    %o##o ' $= # *%' "o* !o&!#o !*o,, #$% #o !op%, o&' $%p*%# #$% %po%%, o" Loop o%, ' B$*# A*#%. (D&*F 200>)

    )')' C"an,n, pol!es an$ p(a!t!es

    • I=o= #$% /R %* #$% !!% o" %o##o, #o p #$% $%**!$! ,#*&!#&*% o" o#$

    #$% !op%,F ' $%*%=%* %!%,,*F %=o= !o*po*#% o* Un$e(stan$n, t"e $ffe(en!es n !#lt#(e

    • T$% #%*#o o % ,&!!%,,"& " #$% !op%, #* #o &'%*,#' #$% '""%*%!%,. T$%

    '""%*%!%, !oo *% #$% !o*po*#% !&#&*% ' =&% ,,#%,F %=%, o" ,#"" +&"!#o, ' !op%#%!%,F %'%*,$p ,#%,.

    • A!!o*' #o #$% %po%%, o" #$% Loop o%F #$, !op $, %!%%# o* !&#&*%.

    I# ,o $%p, p*o=' %p%*#,% ,%' #*, ' #%* o=%%#, *% =% , p%* #$% , ,%#, # *%&* #%*=,. (#%,oF 2014)

    • I B$*# A*#%F #$% o* !&#&*% , '""%*%# , # , %-%,#,$%' ' *%* 

    o*,#o , !op*%' #o Loop Mo%. (#%,o,F 2014)

    9

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    • I o*'%* #o % #$, !+&,#o ,&!!%,,F B$*# A*#% $, #o %,&*% #$% o* "% !% o" 

    #$% %po%%, o" Loop Mo% ' #*,p*%# !o&!#o %#%% #$% %%#' %po%%,.

    )') 6no-n, t"e people

    •I# , po*## #o '%#" #$% % ,#%$o'%*,H%'%*,H"&%!%*,H%po%%, #$ #$% %%## +&! ' ,o ,#% ' ''*%,, #$%* "%*, ' !o!%*,. Ao&! #%*#%'!o*% #%F '* "*o &#p% "&!#o, o" o#$ %##%, o&' % *%,po,% "o* !*%#Fo#o* ' #*! #$% #%*#o p #$ #,, ' #%%, # po,#-!+&,#o!#o, *% !op%#%'.

    • Mo,# o" Loop Mo%6, ;50 %po%%,F !&' ,o% 400 &'%* !o#*!#F "%* #$% o&'

    o,% #$%* o "#%* #$, !+&,#o. So %%# o" B$*# A*#% $, #o !o=% #$# $o %po%%, o" Loop Mo% % *%#%' "#%* #$% !+&,#o. A''#o #o #$,F B$*#A*#% %%' #o #% !*% o" #$% #%*%,#, o" #$% ,#%$o'%*, ' "&%!%*, o" Loop Mo%.(G&p#F 2014)

    )') En,a,n, people• T$% ,#*#% #o*', *o#$ $, #o % $o%,#F #*,p*%# ' !'' #o #$% #*&,# '

    !*%'# o" #$% %po%%,. @&! , #$% #%*#o p*o!%,, %%' #o % !%%*#%' ' ,%,% o" po,#=% &*%! %%', #o % !*%#%'.

    • A *%&* #o "%%'! %!$, %%', #o % ,%# &p ,o #$# #$%*% , ,&""!%# p

    "*o #$% o*

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    A*#% $, %% #$% *%# "o* 18 %*, ' #$&, $, #o%*, ' !$& o=%* #$% !o&#*.T$, , o* '=#%. D%po%# o" % #%!$oo%, o* !*%, !p!# # #%, *%+&*%,,o"#*% ' $*'*% &p*'%. /= "*,#*&!#&*% *%' o #$% *o&' %, #$#

     p*o!%,, &!$ ",#%* ' ,oo#$%*. S%!o'F # , %,%* #o !p#&*% % !&,#o%*, " #%!o *%'$, %#o* p!%.

    4)  S#pe(o( o=e(all net-o( *#alt% an$ (elablt%

    B$*# A*#% *&, o% o" #$% %##%* o% %#o*, I'. I# $, ,#*o #%%!o #o%* p*%,%!% %=%* *&* ' &* *%,. T$% $=% #o'% p%%#*#o. I# o""%*, $$%* +&# #%%!o,%*=!% %p%*%!% , !op*%' #o o,# o#$%* T%!o,.

    7)  H," Tele;$enst%

    T%%p$o% '%,# o* T%%-'%,# , #$% &%* o" #%%p$o% !o%!#o, "o* %=%* $&'*%''='&, = #$ *%. I# =*%, '% !*o,, #$% #o, ' ,o %#%% &* ' *&*

    *%, #$ !o&#*. I I' #$% T%% '%,# , ;2.>0. T$% &* T%%-'%,# , 149.15 ' *&*T%%-'%,# , 40.81. So o o" #$, B$*# A*#% $, o*% T%% '%,#.

    >)  O#tso#(!n, of !o(e s%ste.:

    B$*# A*#% o,o&*!%, #, !o*% ,,#% #o % #$% #op p%* I' *%#. B%!&,% o,o&*! # ! %# %,# ,%*=!%, "*o %,# p%* o*'. I# $, !$o,% IBM #o &' ' %IT ,,#%.

    ;.  Debt an$ fnan!es:

    T$% o,# *%% %#o* B$*# A*#% , ,%# #o #p #$% o=%*,%, o' *%#, #$ 400

    o ,,&% #%* #$, o#$ #o *%p $$ !o,# o,. A# #$% %' o" %* 2013-14F A*#% , &*'%%'  10.4 o %# '%#. D%p*%!# *&p%% , ,o ,,&% ,!% # *%,&#, "o*% %!$%o,,%, ' !*%,%, #$% "! !o,#. (B$*# A*#% #o ,% A"*! #o%*, #o '%#F '% !o&' *% 3 oF 2014)

    )  C#sto.e( affo($ablt%:

    A, # $, =,# %#o* ,o ,o%#%, B$*# A*#% !# ""o*' #$% !&,#o%*,. T$% ' o" ,%*=!%, % '%=%*%' AIRTEL 'o%, o# &p #o #$% *. So%#%, # $' $pp%%' #$# #$% o#$ $' p,,%' #$# #$% %#o* , p*o% , o# p*o=%' #$% p*o% o" "&*% o" %#o* !o#&%'.

    )+)' Ete(nal Fa!to( Anal%ss

    1)  E!ono.!s en=(on.ent

    E!oo! "!#o*, !&'% *o#$ *#% o" #$% '&,#*F p%* !p# !o%F I"#o *#%F GDP*#% %#!... T$%,% *% #$% "!#o*, #$# $=% o* p!# o #$% op%*#o ' =*o&, '%!,o, #$#*% #o % #% #o *& #$% !op. I' , '%=%op !o&#* ' "=o*% %!oo! !o'#o,

     p o* *o% ,&!!%,, o" !op. T$o&$ A*#% , *%# %'%* "=o*% %!oo!!o'#o , o* %#%* "!#o* "o* ,&!!%,, o" #$% !op.

    ')  Polt!al an$ le,al en=(on.ent

    Po#! ' % %=*o%#, '%#%*% $o #o ' $# '%*%% o=%*%# po!%, '

    *%&#o, ""%!# #$% %!oo ' #$% #%%!o '&,#*. S#% po#! ' % %=*o%# *%o% o" #$% "!#o*, %!%,,* "o* #$% ,&!!%,, o" #$% #%%!o !op%, ' #$% '&,#* o#$.

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    +)  Te!"n!al En=(on.ent

    T%!$! %=*o%# !o,,#, o" #$% #%!$oo! ,p%!#, ,&!$ , RDF o#oF '

    #$% *#% # $!$ #%!$oo !$%,. T$%,% ! % po*## ,p%!#, , "* , #%%!o '&,#* ,!o!%*%'. :&*#$%*o*% #%!$oo! ,$"#, ! ""%!# !o,#F +&# ' %' #o o=#o.

    4)  T"(eat of ne- ent(ants

    T$% #$*%# o" % %#*#, $=% ,"!# p!# o #$% ,#*#%! '%!,o, #$# *% #o % #% #$% "*. T$o&$ #$%*% *% $$ %#* **%*, % $$ # ,%#&p !o,#F !%, *%+&*%%#,F'""!&# ## !&,#o%*,F !o#&o&, #$*%# o" % %#*# !o #o '&,#* , ,#$%*%.

    7)  Intenst% of (=al(% a.on, f(.s

    I #$% !,% o" #%%!o ,%!#o* #$%*% *% o "% o* p I' op%*#o*,F *=* o #$% ,=%* $$. E!$ op%*#o* , #* #o * #$% & *%# ,$*% ' ##*!# !&,#o%*, o" o#$%* "*,. A,o #$%*% , =%* ##% p*o'&!# '""%*%##o %#%% '""%*%# op%*#o*, $!$ !*%#%,

    $$ *=* o #$% "*, op%*# #$% '&,#*.>)  In!(easn, S#bstt#tes 0S%pe G Tal Fa!eboo =$eo !"at et!)

    I!*%, &,% o" % !o!%p#, % Sp%F :!%oo ='%o !$#F Goo% $o ' ,%*=!%, %$#,-pp $=% #% $# o #$% "*, op%*# #$% '&,#* ' $=% "o*!%' #$% !op%,#o !$% #$%* ,#*#%%, #o o=%*!o% #$%,% ,,&%,. (M%%# P*',%F 2012)

    I #$% "oo #% % $=% !o,'%*%' #o ,#*#%%, $%#$%* #$% ,$o&' !+&*% !op%##o*, I' *%#, o* #$% ,$o&' %p' o.

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    • B , @SPMF % *%!o%' #$# #$# A*#% ,$o&' #* ' %p' #%*#o

    *%#, % A"*! ' o#$%* %%* *%#, %!&,% *o#$ oppo*#&#%, *% =%* $$ #$% !o&#*%, $%*% #%%!o '&,#* , ,# #$% ,!%# p$,% ' A*#% !o&' #* #o!p#&*% o* ,$*% #$%,% %%* *%#,. A!+&* !op%, I' #%%!o'&,#* o# % #$# ##*!#=% op#o , #$% oppo*#&#%, % =%* #%'.

    • I!*%, &,% o" % !o!%p#, % Sp%F :!%oo ='%o !$#F Goo% $o ',%*=!%, % $#,App *% # $# o #%%!o !op%,. /%!% #$% !op ! #* #o!o% &p #$ p*o'&!# #o !o&#%* ,&!$ ,&,##%, ' #%*#% #$, #$ #$% %,# #%%,%*=!%,.

    @ DUPONT Anal%ss

    @)1 Anal%n, Co.pett=e A$=anta,es

    To &'%*,#' #$% p%*"o*!% o" #$% !op % %%' #o p%*"o* oo' #%* ,,F %%' #o % % #o

  • 8/17/2019 Strategic Acquisition of loop mobiles by Airtel

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    ROS: R%#&* o S%,COGS: Co,# o" Goo', So'

    SGA: S%,F G%%*F ' A',#*#=% Ep%,%,

    PPE: P*op%*#F P#F ' E+&p%#

    % $=% '='%' R%#&* o ,%, #o Co,# o" oo', ,o' o=%* S%, ' S%, %%* '',#*#=% %p%,%, o=%* S%,.

    Cp# #&*o=%* , '='%' #o o* !p# o=%* ,%, ' P*op%*#F p# ' %+&p%# o=%* S%, "o* #$% %##%* ,, o" !op, p*o"## ' op%*#o %""!%!.

    :*o #$% *p$ =% o=% % ! !o!&'% ,o% po#, *%#%' #o #$% op%*# %""!%! o" #$%B$*# A*#% , =% %o

    • R%#&* o ,%, o" B$*# A*#% , o*% #$ #!% #$ R%#&* o ,%, o" I'% !%&* '

    R%!% !o&!#o. T$, , a ,oo$ s,nal fo( t"e B"a(t A(tel.

    • COGSHS%, *#o o" #$% B$*# A*#% , ,o %,, #$ I'% !%&* ' R%!%

    !o&!#o $!$ , #$% ,oo$ s,n. I# ,, #$ o %,, o&# o" oo', ,o'FB$*# A*#% , %%*# o*% ,%,.

    • SGAHS%, *#o o" B$*# A*#% , 18.05 $!$ , o*% #$ I'% !%&* ' R%!%

    !o&!#o ' a (e$ s,n. /%*% B$*# A*#% ,$o&' #* #o ,% #$, *#o

    , S%,F %%* ' ',#*#=% %p%,%, 'p# p*op%* ,#*#%%,.• o* !p#HS%, *#o o" B$*# A*#% , %,, #$ R%!% !o&!#o #$# , ,oo$F

      o*% #$ I'% !%&*. B$*# A*#% ,$o&' #* #o ,% #$, *#o #$# %, # ,$o&'&,% %#$o', #o %%*#% o*% S%, #$ %,, o* !p#.

    • PPEHS%, *#o o" B$*# A*#% , %,, #$ o#$%* !op%##o* !o,'%*%' 0,(een fla, 

    ,# # ,$o&' #* #o ,% #$% =%,#%# o" P*op%*#F p# ' %+&p%# ' %%*#%o*% S%,.

    • B$*# A*#% ,$o&' #* #o *%'&!% #$%* ,%, %%* ' ',#*#=% %p%,% , % ,

     p*op%*# p ' %+&p%# =%,#%# "o* #$% "&*%.

    Sources of Financial Data (Boo%* B&,%,,%%F 2014) (Boo%* B&,%,,%%F

    2014) (Boo%* B&,%,,%%F 2014)

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    Bblo,(ap"%(2012). "ri"+"& ro* Bhari !ir"l o s"ll !ri'a o-"rs o ill &"b, &"al 'oul& ra" i

    /3 billio# hp#---.u"ssays.'o*"ssaysbusi"ssh"sra"gi'*aag"*"

    pro'"ssiair"lbusi"ss"ssay.php

     Airtel. (2014, "bruary 19). "ri"+"& ro* ---.air"l.o# hp#---.air"l.iaboubhari*"&ia'"r"bhariair"l"-s'orpora"air"l'ross"s200*illio

    *obil"'uso*"r*arii&ia

    Bhari !ir"l o s"ll !ri'a o-"rs o ill &"b, &"al 'oul& ra" i /3 billio. (2014, u" 3).

    The Economic Times.

    Bloomber Businessweek . (2014, !ugus 13). "ri"+"& ro* %+"sig.bloo*b"rg#

    hp#i+"sig.busi"ss-"".'o*r"s"ar'hso'sa'ialsa'ials.aspi'"r%D!#%

    Bloomberg Businessweek . (2014, !ugus 13). "ri"+"& ro*

    i+"sig.busi"sss-"".'o*#hp#i+"sig.busi"ss-"".'o*r"s"ar'hso'sa'ialsa'ials.aspi'"rB!:%#%

    Bloomberg Businessweek . (2014, !ugus 13). "ri"+"& ro* %+"sig.bloo*b"rg#hp#i+"sig.busi"ss-"".'o*r"s"ar'hso'sa'ialsa'ials.asp

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    Cellular News. (.&.). "ri"+"& ro* hp#---.'"llular"-s.'o*sory64529.phpCommunications Today . (2014, "bruary 19h). "ri"+"& ro*

    ---.'o**ui'aioso&ay.'o*#

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    Dugar, >. (2009, Au" 05). http://www.businessgyan.com/node/!"!. "ri"+"& ro*---.busi"ssgya.'o*# hp#---.busi"ssgya.'o*o&"5787

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    hosh, >. (2014, uly 15). "ri"+"& ro* hp#---.li+"*i.'o*#

    hp#---.li+"*i.'o*%&usry:8!ElD4->sBg-bbgDMBhariFoop&"al+iola"srul"soli'"sigMCsays:rai.h*l

    hosh, >. (2014, Au" 30h ). &i'e (int . "ri"+"& ro* li+"*i.'o*#

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    http://www.airtel.in/about)bharti/media)centre/bharti)airtel)news/corporate/bharti)

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    "ri"+"& ro* ---.air"l.i# hp#---.air"l.iaboubhari*"&ia

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    '"r"bhariair"l"-s'orpora"bhari""rpris"saou'"s"-ap"?l"+"l

    sra"gi'orgaiIaiosru'ur"

    http://www.capitaline.com/ . (.&.). "ri"+"& ro* hp#---.'apiali".'o*#

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    p"ror*a'"*aag"*"

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    times$ob. (2014). "ri"+"& ro* hp#obbuII.i*"sobs.'o*#hp#obbuII.i*"sobs.'o*'o*payFoopMobil"$28i&ia$29

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    17