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Reliance Jio Infocomm is a telecom company headed by Mukesh Ambani. In the name of Reliance Jio, Ambani has entered the 4G market in late 2016 with a bang. Jio aims to be the largest telecommunications player within 3 years of launch. Freepbx synology. Entry strategy to achieve this is really strong as explained in the case.

Unique selling prepositions and the impact in the market are explained in the case. Case also covers oligopoly market structure and how telecom industry in India is behaving after the launch of Jio.

After effects in the market by consumers and service providers are explained in detail. Challenges to attract the customers and retain them on the same platform is a question to discuss in the case. The Indian telecoms sector, which is primarily voice calls driven, is now changing gears towards data driven.

The voice calls, as it appears now, are going to be free. This shift in business model from voice centric to data centric can significantly impact the strategies of current players as there would be an increased pressure on profitability. Thanks to the entry of Reliance Jio. The rules of the game are re-written in the telecom industry.

With its disruptive entry strategy, it has made most of the current strategies of competitors out-of-date. It perhaps created history in customer acquisition rate that it is hard to find a parallel example. This turbulence induced by the entry of Jio is impacting the industry in multiple ways. On one side, due to the availability of affordable data plans and smart-phones, the digitalized consumerism is bound to grow exponentially impacting almost every aspect of life. On the other hand, due to increased competition among the telecom companies, consumer acquisition and retention is going to be more expensive by further increasing the pressure on the profitability. These factors, along with high spectrum prices and friendly M&A policies may prompt industry consolidation leading to fewer and stronger players left out in the fray. This case systematically analyses the impact of Jio’s entry on Indian telecom industry and consumers.

It also discusses the challenges that Jio has to face to make its presence sustainable in the highly competitive market.

Case overviewMukesh Ambani’s announcement about the launching of Reliance Jio at the 41st Annual General Meeting (AGM) of Reliance Industries Limited (RIL) in June 2015 sent shock waves in the telecom industry. Everyone, including the customers, competitors and the entire telecom industry, was excited to know whether Reliance Jio would be able to make a dent or fizzle out like a weak firecracker.

Was it time for the top players to be worried and pull their socks up or will it be an inconsequential ripple in the ocean? Mukesh Ambani saw the telecom sector from a new viewpoint and proposed a complete set of solution in the form of Reliance Jio SIM card that addressed the different needs of customers through various applications.

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This has spread rumors of a merger between Idea and Vodafone in India, which can have a huge impact on Reliance Jio and the telecom sector in general. The profitability indicator that was earlier determined as the average revenue per user (ARPU) will continue to dominate. The companies will be scrambling to find different ways to increase the ARPU to maximize the returns. This would also lead to a downsize in the cost in such a way that their operations do not suffer and profitability is also not negatively affected. Subject codeCSS 8: Marketing.

This case is written solely for educational purposes and is not intended to represent successful or unsuccessful managerial decision-making. The authors may have disguised names; financial and other recognizable information to protect confidentiality.

Citation, and (2018), 'Entry of Reliance Jio in the telecom industry: a ripple in the ocean', Vol. 3.Publisher:Emerald Publishing LimitedCopyright © 2018, Emerald Publishing Limited.