Caselet Code : CLSDM011
Publication date : 2005
Subject : Sales and Distribution Management
Industry : Telecom
Length :
 5 Pages
Price :  Rs. 100 (Detailed Pricing Info)

To download this short case study (No. CLSDM011) click on the link below, and select from the list:

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Abstract

The caselet starts with a brief introduction of CDMA and GSM operators in India. It then focuses on Reliance's foray into the telecom sector and its aggressive pricing strategies, aimed at developing a substantial customer base. This caselet discusses the hidden costs in these strategies that mislead the customer. The caselet also describes incidents where the company was found guilty of violating licensing norms.

Issues:

» Regulatory issues in cellular services
» Impact of unethical practices
» Pricing strategies of cellular operators

 
Key words:

CDMA, GSM, Reliance Infocomm, Dhirubhai Ambani Pioneer Offer, Roaming, Telecom, Network, 40 Paisa, Call Divert, Telecom Regulatory Authority of India (TRAI), Monsoon, Hungama Offer, BSNL, MTNL, Ethical Principles.

Questions for Discussion:

1. Reliance followed an aggressive pricing strategy in a bid to improve sales and increase its market share. What were the effects of these strategies both on the company and customers?

2. "Reliance has deviated from established norms on more than one occasion." Explain. Do you think Reliance had acted as a socially responsible organization?