Airtel as a brand is well known to most people. This has helped the company to leverage its brand name to establish a relationship based on trust with its customers.
Strong Customer Base:
It has more than 65 million customers (July 2008). It is the largest cellular provider in India, and also supplies broadband and telephone services - as well as many other telecommunications services to both domestic and corporate customers.
The company has covered the entire Indian nation with its network. This has underpinned its large and rising customer base.
Other stakeholders in Bharti Airtel include Sony-Ericsson, Nokia - and Sing Tel, with whom they hold a strategic alliance. This means that the business has access to knowledge and technology from other parts of the telecommunications world.
Lack of Initial Experience:
When the business was started by Sunil Bharti Mittal over 15 years ago, the business has little knowledge and experience of how a cellular telephone system actually worked. So the start-up business had to outsource to industry experts in the field.
Until recently Airtel did not own any towers, which was a particular strength of some of its competitors such as Vodafone. Towers are important if a company wishes to provide wide coverage nationally.
Overloading of towers:
They have been frequency criticised for overloading their towers by more than150% which results in network jamming.
Indian telecommunication sector is in its nascent stages. With just 19.86% teledensity, India offers a huge potential for telecom companies.
Telephone penetration is still lower in rural areas of India with just about 2% teledensity. With proper infrastructure and reach, this market can be captured. With enough resources, Reliance Communications has a good chance of making the best of this opportunity.... [continues]
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