Market Entry Strategies of Foreign Telecom Companies in India

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1 Kiruba Jeyaseeli Benjamin Levi Market Entry Strategies of Foreign Telecom Companies in India With forewords by Prof. Dr. Rudolf Griinig and Prof. Prabhu Guptara Deutscher Universitats-Verlag

2 Brief contents Dedication Foreword Preface Brief contents Contents List of figures List of tables List of abbreviations v vii xiii xvii xix xxiii xxv xxvii I. Preliminary remarks 1 II. Strategic management and market entry strategies in the literature 17 III. Telecom market in India 63 IV. Description and assessment of cases on market entry strategies of foreign companies in Indian telecom market 117 V. Recommendations and guidelines for foreign companies entering the Indian telecom market in future 189 VI. Final remarks 213 Appendices 217 Company specific sources 261 Bibliography 269

3 Contents Dedication v Foreword vii Preface xiii Brief contents xvii Contents xix List of figures xxiii List of tables xxv List of abbreviations xxvii I. Preliminary remarks 1 1. Relevance of the topic of the research Indian telecom market as a market with great future Entering the Indian telecom market as a very difficult task Research questions as a summary 4 2. Objective of the research 5 3. Methodology of the research Process of the research Applied tools in the research General remarks Survey of literature Survey of internet Survey of company documents Interview Case Study Structure of the book 14 II. Strategic management and market entry strategies in the literature An overview of the chapter Strategic management and its purpose 19

4 Contents 2.1 Tasks of strategic management Main purpose of strategic management Strategies and strategic planning Realized and intended strategy Corporate and business strategy Corporate strategy Business strategy The process of strategic planning Market entry strategy and related terms Global operation strategy as framework for market entry strategy Mode ofentry as a component of a market entry strategy Overview Exporting Licensing Franchising Strategic alliances and joint ventures Wholly owned subsidiary Summary of mode ofentry Dependence between the global operation strategy and mode of entry Criteria for selection of a mode of entry External criteria Internal criteria Process of market entry Criteria for a good market entry strategy Implication for the research project 62 III. Telecom market in India An overview of the chapter World telecom market Recent trends in the world telecom market Submarkets Major players 69

5 Contents 3. Indian telecom market at a glance India as a huge and growing market The Indian telecom market Submarkets in Indian telecom market Services submarket Equipment submarket Infrastructure providers submarket Foreign Direct Investment Major players in the Indian telecom market Regulatory bodies and rules Regulatory bodies Rules Attraction of the Indian telecom market for foreign investors Important facts about entry in the Indian telecom market Summary and implication 113 IV. Description and assessment of cases on market entry strategies of foreign companies in Indian telecom market An overview of the chapter Case research method Application of case research method in this research Description and assessment of cases First Pacific The company The market entry strategy Analysis of the case Conclusion Swisscom The company The market entry strategy Analysis of the case Conclusion Alcatel The company 156

6 xxii Contents The market entry strategy Analysis of the case Conclusion Avaya The company The market entry strategy Analysis of the case Conclusion Comparative analysis of the cases Conclusions Conclusions concerning the market entry strategy Conclusions concerning the Indian telecom market Summary and implication 188 V. Recommendations and guidelines for foreign companies entering the Indian telecom market in future An overview of the chapter Recommendations and guidelines concerning current laws applicable to the Indian telecom market Recommendations and guidelines concerning entry strategies into the Indian telecom market Recommendations and guidelines concerning attractive investment areas in the Indian telecom market Summary 210 VI. Final remarks An overview of the chapter Summary Limitations of the research and suggestions for future research Appendices 217 Company specific sources 261 Bibliography 269

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