Académique Documents
Professionnel Documents
Culture Documents
autumn 2015
Report on: Situation Analysis of Telecommunication Industry: Robi
Submitted To: Mohammad A. Arafat
(Sr. Lecturer)
Submitted By:
Name-ID
Fatima Amatun Rob - 1321033
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Introduction
People use many ways to communicate with each other from when human getting to be civilized
and day by day the ways of communication were updated. New innovation and demand makes
the people to do it. Those innovations were done by some gifted human beings for the well being
of human society. Telephone was one of these inventions that changed the way of
communication.
By changing of the Telephone era now we get Mobile phone as a new invention. Now a days
people facing like hack if a day they have without mobile phone. During the last decade,
telecommunication sector has grown up as one of the most competitive sector in the business
world. Mobile phones are spreading ubiquitously across the planet The power of telephony is
forging a new enterprise culture, from banking to agriculture to healthcare. The opportunities that
lie in the telecom industry seem endless and lucrative due to the continuous innovation and
growing demand for mobile-telephony.
An electronic telecommunications device often referred to as a cellular phone or cellphone or
mobile phone. Mobile phones connect to a wireless communications network through radio wave
or satellite transmissions. Most mobile phones provide voice communications, Short Message
Service (SMS), Multimedia Message Service (MMS), and newer phones may also
provide Internet services such as Web browsing and e-mail. Mobile phones are playing a great
role in telecommunication. Nowadays mobile phones have become an indispensable part of
Bangladeshi's everyday-life and we never want to leave this device at home while we head for
our work. about 3.5 billion subscribers and users worldwide, mobile phones have out-diffused
virtually every prior technology, including bicycles, radios, television (TV) sets, wallets, wire
line phones, and wristwatches, and have done so in twenty-five years (Kalba, 2008).
Despite being one of the poorest, most densely populated, least developed countries in the world,
Bangladesh has discovered a way to grow its telecommunications sector. Against the odds, this
nation of more than 160 million people and comparatively low GDP has been involved in the
creation of a highly competitive mobile market. Most noticeable has been the willingness to
encourage foreign participation in this endeavor. Following a number of years of strong growth,
starting from a very low base, mobile telephone penetration was approaching the 30% milestone
in early 2009.
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Methodology:
The choice of methodological approach depends upon the nature of the investigation to be
carried out, its purpose and scope. Some reliable sources are considered for the secondary
information. Some of them are; Bangladesh Telecommunication Regulatory Commission BTRC
web page, official web page and the latest annual report of Grameenphone, Banglalink, Airtel
and Teletalk and company web pages. Some information also has been collected from published
online articles regarding Bangladesh Telecom Industries and Internet version of Local news
paper.
About Robi
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Robi,
the
most
dynamic
and
rapidly-growing
telecommunications
operator
in
Robi draws from the international expertise of Axiata and NTT DoCoMo Inc. Services
support 2G and 3.5G voice, CAMEL Phase II & III and 3.5G Data/GPRS/EDGE service
with high speed internet connectivity. Its GSM service is based on a robust network
architecture and cutting edge technology. The company has the widest International
Roaming coverage in Bangladesh connecting 600 operators across more than 200
countries. Robis customer centric solution includes value added services (VAS), quality
customer care, digital network security and flexible tariffs.
Since its inception in 1996, Axiata Group and its predecessor Telekom Malaysia has
invested around BDT 11,000 crore in the form of equity till 2012. Moreover the
company has contributed almost BDT 10,000 crore to the Bangladesh Exchequer in the
same period.
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Companys Vision
"Robi aims to achieve its vision thorough being one not only in terms of market share,
but also by being an employer of choice with up to date knowledge and products geared
to address the ever changing needs of our budding nation."
Companys Mission
"To be a leader as a Telecommunication Service provider in Bangladesh."
Companys Objectives
Robi has been established to provide high-quality GSM cellular service at affordable
prices. Robi has a dual purpose:
To receive an economic return on its investment
To contribute to the economic development of Bangladesh where telecommunications
can play a critical role
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Situation Analysis:
Two considerations:
1.
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Now we are going fulfill that conditions by answering 7 question what basis on this above
conditions.
Analysis
Number of Buyers
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Product Differentiation
Product Innovation
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Pace of Technological
Change
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INDUSTRY SUBSTITUTES :
It is a high-tech industry and the factor, which can substitute that have to be so much strong
related to highly innovative .So that the threat from substitutes is weak in Bangladesh.
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tariff control by the authority, can also create difficulties to entrants. Hence it seems that the
threats of new entrants in mobile industry are moderate to weak.
INDUSTRY SUBSTITUTES :
Availability of greater substitutes creates additional competition forcing industry members to
drop prices. In case of Bangladesh mobile telecom industry, substitutes exist in the form of
government land lines and some upcoming PSTN operators. Some additional substitutes include
wireless Internet providers such as WiMax based companies, Bangla Lion and Augere, which has
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been desperately marketing its brand Qubee since its entry to the market. However, it is safe to
say that no direct, competitive substitutes exist at the present moment that can pose a threat to the
industry.
BARRIERS TO ENTRY:
While entering in a market, it is important to assess the barriers that could create hindrances
during entry. Low entry barriers create competition and vice versa, high competition creates low
entry barriers. Companys economy of scale (the capability of entering with large scale
investment) can ease some entry barriers. Existing companies that have created significant brand
positioning or have tied up relationships with suppliers and distributors can create barriers to
newcomers. Government rules and regulations can also create difficulties to entrants. In the
Bangladesh telecom industry, high competition has created opportunities for new entrants.
Together with high demand from subscribers, Bangladesh is seemingly a great prospect for new
entrants. However, as mentioned before, since licenses must be acquired from BTRC, and BTRC
reserves the right to issue licenses when and to whom they see fit, entry is relatively restricted at
the moment on the government regulatory fronts.
TECHNOLOGICAL CHANGE:
Technological factors can lower barriers to entry, reduce minimum efficient production levels,
and influence outsourcing decisions. Technological factors include R&D activity, automation,
technology incentives, and rate of technological change. Sadly Bangladesh does not have an
infrastructure that allows for research and development of large scale. However, recent drives to
automate day to day activities have been taken by a majority of telecom companies, most notable
by Robi with their new corporate headquarters that reportedly runs on its own power supply and
is fully automated (including doors, lights etc.).
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Product:
1. Continuousimprovementofquality
2. Repositioningofproductstodifferenttargetmarkets
3. AlwaysbrandingRobiwithallpackageswithaGSMservice
Price:
1. Necessarychangesintariffstructure,andchangesintermsandconditions.
2. Penetrationpricinginthefaceofcompetition.
3. Skimmingpolicypossible.
Promotion:
1.
2.
3.
4.
Brochureswithnecessaryinfo.
Pressads.
TVCs.
Billboards.
Place:
1. Makeeffectiveuseofdistribution.
2. Makeproductservicedeliverysystemmoreeffectiveandlesstimeconsuming.
3. Widerdistributionnetworktomakeservicemoreaccessible.
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People:
Consumersmakejudgmentsanddeliverperceptionsoftheservicebasedontheemployeesthey
interact with. Staff should have the appropriate interpersonal skills, attitude, and service
knowledgetoprovidetheservicethatconsumersarepayingfor.Robicontinuestoinvestin
humancapitalandempowermentofemployeesandhascontinuouslytrainedanddevelopedits
employees for enhancing their competencies and leadership qualities. As a result Robi
recognizedasnumberoneemployeebrandinthecountry
Process:
Referstothesystemsusedtoassisttheorganizationindeliveringtheservice.Servicedelivery
process of Robi is very fast. A consumer can get a connection easily by simply providing
necessaryinformation,priceandvoterID cardtoanyotherretailertogetserviceinstantly.
Prepaid connections activated instantly, but postpaid connections requires 24 hour for
activation.Evensubscribersgetveryfastcustomerservicethroughhotlinenumber.
Physical Evidences:
PhysicalEvidenceistheelementoftheservicemixeswhichallowstheconsumeragaintomake
judgmentsontheorganization.DecorationofRobiShebaPoint,companywebsite,thelogo,and
packagingofconnections,businesscardsandgiftitemsaremaintainedtopqualitysoconsumer
alwaysmakespositivejudgmentsaboutRobi.
Close Competitors:
1)
2)
3)
4)
GrameenPhone
Banglalink
Airtel
Teletalk
Distance Compactors:
1) Dhaka Phone
2) Citycell
3) Rankstel
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4) Peoples Telecom
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cable network leased from Bangladesh Railway. In April 2004, Robi had 750 base stations. Now
till May05, it has 1750 base stations. Furthermore, considering the subscribers need of quality
network and extensive coverage, the company is planning to set up another thousand base
stations in the following year. Recently Robi has doubled its speech quality 900GSM MHz to
1800 GSm MHz. Already the company has expanded its network to 61 districts out of 64
districts and 400 upazilas out of 460 upazillas. It is the only company, which covers the
most of the land areas with its network. Robis network covers approximately 52% land
area. In over all, Robi offers the most competitive network facility to its subscribers, and
continue improving it. Existing coverage areas are divided into seven zones according to
the divisional boundary. These are
Dhaka
Sylhet
Chittagong
Rajshahi
Khulna
Barisal
CUSTOMER SERVICE:
Robi has always been committed to provide quality after-sales service to its customers. It
was the first company to setup a 24-hour Call Center in the country in 1999.In order to
make customer service more easily accessible, the Robi customer service desk concept
was developed in 2005. There are now more than 600 Robi Customer Service desks in
operation around the country. These service desks have remarkably reduced travel time
for customers from as much as eight hours to a maximum of one hour for any after- sales
service. The flagship Robi Centers were also launched last year to provide a "one-stop
solution" for all customers.The centers are designed to increase customer satisfaction byi
ntegrating all sales and after-sales services in an open, friendly and comfortable
environment. Presently, there are 80 Robi Centers in operation around the country.
VALUE ADDED SERVICE:
Robi also offers different value added services including SMS, MMS, Welcome Tunes (Ring
back Tones), Voice SMS, SMS Push-Pull Service, Voice Mail Service (VMS), and Fax and Data
among others. Robi was the first mobile operator in Bangladesh to offer EDGE services to its
subscribers.
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has been clearly noticed that as the market is growing, proportionately all the operators are
getting new subscribers depending on their nationwide coverage. And due to the high growth rate
of the industry each company is being benefited, despite strong bargaining power of the
customers and intense rivalry between the competitors. We can say the mobile telecom industry
in Bangladesh is attractive and still has huge potential for growth.
Core Competencies
For competitive advantage, it must have superior core competencies that are relevant in the
marketplace. A core competence is something that a company does well relative to other internal
activities. Core competencies are resources and capabilities that the firm utilizes in an
exceptional manner- in comparison to its competitors- to gain a competitive. a core competence
is something that a company does well relative to other internal activities, a distinctive
competence is competitors. For Robi core competencies are the followings:
EXCELLENCE IN NETWORK:
Network has always been a strong point for Robi and seen as the best network by the
mobile phone users in Bangladesh
BRANDING AND MARKET POSITION:
Robi branding their tariffs or packages by many types of slogan,creating many types of
differentiate images, by many social welfare advertisement. Which makes their market
position strong.
TOP MANAGEMENT:
Robi has a strong professional management team which is the best in the in the industry
and highly valued by all the stakeholders. The top management is well experienced from
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SWOT Analysis
The method of SWOT analysis is to take the information from an environmental analysis and
separate it into internal (strengths and weaknesses) and external issues (opportunities and
threats). Once this is completed, SWOT analysis determines what may assist the firm in
accomplishing its objectives, and what obstacles must be overcome or minimized to achieve
desired results.
SWOT analysis of Robi is given below:
STRENGTHS
GOOD NETWORK: Robi has a Good network system all over Bangladesh. They are trying to
connect all the people of our country and the have gone where people even think about to go
there.
SKILLED HUMAN RESOURCES : Robi hired those employees who are skilled and effective in
their own job responsibility. Human Resource Department of Robi work really hard for this,
which give strength to Robi.
NETWORK AVAILABILITY: Robi has the widest network coverage and a large number of BTS
station (Tower) all over Bangladesh. Thats why the company can provide better connectivity in
most of the area of the country.
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WEAKNESS
NETWORK LIMITATION:
Call drop, congestion, and poor connectivity with BTTB result in bad image of the company.
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OPPORTUNITIES
THREATS
Competitor Analysis
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It should develop more resilience in its business model to absorb the uncertainty
stems from the macro environment
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