Q1. What were the sources of Bhartis success and the key competitive advantages built over 19952003?

A1. Sources of success

1. They tied up with Siemens for delivery of complete list of telephone components before the
government had licensed it. When the license came through they beat the competition by 10
months
2. They made their presence felt by securing a partnership with Emtel, MSI and CGE of France to
bid in the cellular licensing.
3. Their call rates were cheaper as compared to competition
4. He expanded distribution to unconventional outlets e.g drugstores, corner groceries and stalls
5. They had single minded devotion to the project and the industry.
6. They were the first private operator to launch long distance service.
7. They targeted corporate which gave higher ARPU
Q2. How can a relatively small first generation entrepreneur compete and successfully outgrow
established incumbents, in a business that is capital intensive, especially in a time when the Indian
Financial markets lacked the breadth and depth to finance this growth?
A2. The success of the first generation entrepreneurs derives from the fact that they dont carry a
baggage of any industry. They bring fresh perspective to the industry and focus their energy completely
on a single target rather than simultaneously thinking about different available options. The case
example showcase that Sunil Mittal was clear in his vision about the industry, had deep domain
expertise and was willing to learn, listen and change. Under an inspiring leadership of the first
generation entrepreneurs, these start up gain their strength from the likeminded investors who are
willing to take big risks and are looking forward to gain first mover advantage in the developing market.
Also these first generation entrepreneurs are very passionate about the industry and are able to foresee
the changes and modify their business strategy accordingly. Such entrepreneurs find angel investors
even if the domestic capital market is not strong. There are always a few companies looking for big ideas
and an entry into the developing market through capital investments.
Q3. How should Bharti neutralize the threats posed by Reliance and Tatas, both larger in terms of
reputation & financial standing and , in addition, possessing an alternate cheaper switch technology
(WLL-M) that can depose Bharti in its chosen segments
A3. To neutralize threats by Tata and and Reliance, and WLL-M technology Airtel should adopt the
following approaches:
1. Reliance Infocom will focus on broadband data connectivity owing to the huge investments
made by the company. Airtel can significantly undermine this big ticket investment by offering
wireless 3G dongle services to the customers in future.

2. Tata Docomo is mainly is WLL-M service provider which means it will be able to offer services to
the customers with local mobility. Roaming tariffs will be high for WWL-M users. Airtel can come
up with attractive STD packs taking advantage of its operations in widely spread circles.
3. WLL-M technology needs specially enabled handsets. Customers have to maintain long lasting
relationship with WLL-M provider once they purchase the mobile device which can not be used
with any other network. Airtel can tie up with OEM mobile set manufacturers to offer
discounted price to the customers. Selling WLL-M phones was a mode of revenue generation for
Tata Indicom. Airtel can significantly hurt the company by making variety of mobile phones
easily available with its postpaid connections by tying up with mobile set companies.

Q4. What could Bhartis choices be in revamping its business model which would mean relooking at
its geographic network , investment plans, brand, Customer Value Proposition, technology , and
business infrastructure .
A4. As Bharti has proved its expertise in India, It should try extending the business to similar developing
nations or even underdeveloped nations. While in India even when it has captured a huge market, there
is still a huge scope for expanding it. It should try to innovate in terms of technology to stay as the
technological leader. It should provide various value added services to increase customer satisfaction. In
new markets it should use its fast service and new offers to attract customers. Overall, it needs to be
perceived as a brand that satisfies the customers needs and also innovate with time

Q5. How can Bharti be transformed into a well - run consumer business from what it is primarily - a
good project executor?
A5. Bharti faces stiff competition from other telecom giants like Vodafone, Reliance and Tata Indicom. It
has been a fine executer of its projects. However it should switch to being more a customer centric
business.

Bharti introduced 4G to the public, which has not been very successful. To make it popular it
must try to reduce the tariffs.
Bharti should take the opportunity to penetrate into various rural areas of the country where
teledensity is very low.
Bharti must tie up with the government in offering WIMAX services in tier one cities.
Broadband connectivity is very low in India due to high cost of devices such as PCs etc. Bharti
can take the opportunity of tying up with PC companies and offer broadband services.
There is lack of infrastructure in rural and semi- rural areas. Bharti Infratel, a subsidiary of Bharti
Enterprises which primarily makes towers should grab the opportunity of develop telecom
infrastructure in those areas.