Bharti Airtel Limited and the Indian Telecom Sector
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Case Details:
Case Code : BSTR300
Case Length : 21 Pages
Period : 2005-2008
Pub Date : 2009
Teaching Note : Available
Organization : Bharti Airtel Ltd.
Industry : Telecom Countries : India; Global
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Emerging Market Champion Contd...
According to the Cellular Operators'Association of India (COAI)7, BAL retained its leadership position in the Indian telecom market with a
market share of 31.88% in 2007. The valuation of BAL stood at US$ 40 billion as
of February 2008.8 BAL's spectacular growth matched the growth in the Indian
telecom sector, which was the fastest in the world. The Indian telecom sector
was adding 8 million customers per month as of early 2008.
On becoming the tenth largest telecom company in the world, the CEO of BAL Manoj
Kohli (Kohli), said, "The last journey for first 50 million (customers) was
completed within 12 years of starting operations in November 1995.
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This puts Bharti Airtel among the top telecom companies in
the world. Our next target is to reach 100 million mark by 2010."9
BAL was the only small initial entrant in the Indian telecom market which managed to survive consolidation in the sector. Despite tough competition from other private companies such as Hutchison Essar Ltd (Hutch), Reliance Communications Ltd11 (Reliance), Tata Teleservices Ltd12 (Tata), and the state-owned Bharat Sanchar Nigam Ltd13 (BSNL), it emerged as the undisputed leader in the Indian mobile telecom market...
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