Introduction

MTS- Mobile Tele-Systems initiated its operations in India with an aim to offer the value for money data packages to the Indian customers. Since its inception, the companystrategicallycateredthe market needand analyzed thetrends to support the business operations.In doing so, the company also collaborated with mobile manufacturers in order to offer cheap mobile sets to thecustomersin order to complement its service in the market.

In addition to this, the company also developed the value for moneymodel, analyzing the trend of price consciousness.Though the companyremains a substantialplayer in the market, however, the changing governmentregulations to control the telecomindustrygreatly affected the profitability of the company. Moreover,theinternalcompetition from the local players such as Tata and others is also positing the threat of low profits, leading to shrunkenmarket share and profitability.

In such a situation,the company is presented with three options (1) Organic growth (2) Partnership (3) Exit the market.

All these options have certain pros and cons, which are discussed below along with the other frameworks to offer concrete analysis of the organizational stance in the given situation.

Problem Statement

Due to non-supportive telecommunication strategy and government regulations, the company is unable to attain the market share in the market as it aimed to achieve.In such a situation, it has to take the decision on whether to remain operational in the market orleave the market by selling the business to the local market player.

Analysis

Value Proposition

The company offers exquisite services to the customers by offering high speed internet at reduced rates. Since the company has a strong financial back and strong hands on technology, it offers the customers, an extended data set of 3G and 4F with free websitedownloads, aligning its offering set with the market dynamics of India.In addition to this, since thecompany has a vast network in India, it has the ability to offer reduced rates of inter-city call rates and other packagessuch as internet.Moreover sue to strong financial back, the company has strong collaboration with the mobile phone providers thatcomplement its businessesand easy spread in the market.Since theIndian market is poor andfails to afford costly handsets, thecompany has aligned with theses manufactures in order to offer cheap handsets, complementingits services and creating a strongcompetitive edge in the Indian market.

Resources and Capabilities

MTS has a strong brandimageand operations base outside India, making it a strong and substantial player in the telecom market. The companyhas been operating inmultiple cities and regions offering similar telecom services. Suchextended network and supply chain base allows it to harvest its capabilities into theIndianmarket.

Since in the initial period,thecompany analyzed the inability of the Indiancustomer to purchase smartphones, it levereditscapabilitiesto partner with the mobile manufacturers in order to offer low cost mobiles to the customers.

In addition to this, the company also has strong financialresources, allowing it to invest deeply into the Indian market and telecomindustry. In addition to this, the company also has strong technologicalresources, enabling it to offer cheap data sets and high speed internetusing thedifferent innovative internetmodels, making it astrongplayer in the market................

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