Reliance Communication

RELIANCE COMMUNICATION

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INTRODUCTION A DREAM COME TRUE The Late Dhirubhai Ambani dreamt of a digital India — an India where the common man would have access to affordable means of information and communication. Dhirubhai, who single-handedly built India’s largest private sector company virtually from scratch, had stated as early as 1999: “Make the tools of information and communication available to people at an affordable cost. They will overcome the handicaps of illiteracy and lack of mobility.” It was with this belief in mind that Reliance Communications (formerly Reliance Infocomm) started laying 60,000 route kilometres of a pan-India fibre optic backbone. This backbone was commissioned on 28 December 2002, the auspicious occasion of Dhirubhai’s 70th birthday, though sadly after his unexpected demise on 6 July 2002. Reliance Communications has a reliable, high-capacity, integrated (both wireless and wireline) and convergent (voice, data and video) digital network. It is capable of delivering a range of services spanning the entire infocomm (information and communication) value chain, including infrastructure and services — for enterprises as well as individuals, applications, and consulting. Today, Reliance Communications is revolutionising the way India communicates and networks, truly bringing about a new way of life.

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INDIA ’S LEADING INTEGRATED TELECOM COMPANY Reliance Communications is the flagship company of the Anil Dhirubhai Ambani Group (ADAG) of companies. Listed on the National Stock Exchange and the Bombay Stock Exchange, it is India’s leading integrated telecommunication company with over 80 million customers. Our business encompasses a complete range of telecom services covering mobile and fixed line telephony. It includes broadband, national and international long distance services and data services along with an exhaustive range of value-added services and applications. Our constant endeavour is to achieve customer delight by enhancing the productivity of the enterprises and individuals we serve. Reliance Mobile (formerly Reliance India Mobile), launched on 28 December 2002, coinciding with the joyous occasion of the late Dhirubhai Ambani’s 70th birthday, was among the initial initiatives of Reliance Communications. It marked the auspicious beginning of Dhirubhai’s dream of ushering in a digital revolution in India. Today, we can proudly claim that we were instrumental in harnessing the true power of information and communication, by bestowing it in the hands of the common man at affordable rates. We endeavour to further extend our efforts beyond the traditional value chain by developing and deploying complete telecom solutions for the entire spectrum of society.

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LOOKING BACK, LOOKING FORWARD Reliance – Anil Dhirubhai Ambani Group, an offshoot of the Reliance Group founded by Shri Dhirubhai H Ambani (1932-2002), ranks among India’s top three private sector business houses in terms of net worth. The group has business interests that range from telecommunications (Reliance Communications Limited) to financial services (Reliance Capital Ltd) and the generation and distribution of power (Reliance Infrastructure Limited). Reliance – ADA Group’s flagship company, Reliance Communications, is India's largest private sector information and communications company, with over 80 million subscribers. It has established a pan-India, high-capacity, integrated (wireless and wireline), convergent (voice, data and video) digital network, to offer services spanning the entire infocomm value chain. Other major group companies — Reliance Capital and Reliance Infrastructure — are widely acknowledged as the market leaders in their respective areas of operation.

ABOUT SH. DHIRUBHAI AMBANI Few men in history have made as dramatic a contribution to their country’s economic fortunes as did the founder of Reliance, Sh. Dhirubhai H Ambani. Fewer still have left behind a legacy that is more enduring and timeless. As with all great pioneers, there is more than one unique way of describing the true genius of Dhirubhai: The corporate visionary, the unmatched strategist, the proud patriot, 4

the leader of men, the architect of India’s capital markets, the champion of shareholder interest. But the role Dhirubhai cherished most was perhaps that of India’s greatest wealth creator. In one lifetime, he built, starting from the proverbial scratch, India’s largest private sector enterprise. When Dhirubhai embarked on his first business venture, he had a seed capital of barely US$ 300 (around Rs 14,000). Over the next three and a half decades, he converted this fledgling enterprise into a Rs 60,000 crore colossus—an achievement which earned Reliance a place on the global Fortune 500 list, the first ever Indian private company to do so. Dhirubhai is widely regarded as the father of India’s capital markets. In 1977, when Reliance Textile Industries Limited first went public, the Indian stock market was a place patronised by a small club of elite investors which dabbled in a handful of stocks. Undaunted, Dhirubhai managed to convince a large number of first-time retail investors to participate in the unfolding Reliance story and put their hard-earned money in the Reliance Textile IPO, promising them, in exchange for their trust, substantial return on their investments. It was to be the start of one of great stories of mutual respect and reciprocal gain in the Indian markets. Under Dhirubhai’s extraordinary vision and leadership, Reliance scripted one of the greatest growth stories in corporate history anywhere in the world, and went on to become India’s largest private sector enterprise.

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Through out this amazing journey, Dhirubhai always kept the interests of the ordinary shareholder uppermost in mind, in the process making millionaires out of many of the initial investors in the Reliance stock, and creating one of the world’s largest shareholder families.

CHAIRMAN'S PROFILE Regarded as one of the foremost corporate leaders of contemporary India,Shri Anil D Ambani, 48, is the chairman of all listed companies of the Reliance ADA Group, namely, Reliance Communications, Reliance Capital, Reliance Energy and Reliance Natural Resources limited. He is also Chairman of the Board of Governors of Dhirubhai Ambani Institute of Information and Communication Technology, Gandhi Nagar, Gujarat. Till recently, he also held the post of Vice Chairman and Managing Director of Reliance Industries Limited (RIL), India’s largest private sector enterprise. Anil D Ambani joined Reliance in 1983 as Co-Chief Executive Officer, and was centrally involved in every aspect of the company’s management over the next 22 years. He is credited with having pioneered a number of path-breaking financial innovations in the Indian capital markets. He spearheaded the country’s first forays into the overseas capital markets with international public offerings of global depositary receipts, convertibles and bonds. Starting in 1991, he directed Reliance Industries in its efforts to

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raise over US$ 2 billion. He also steered the 100-year Yankee bond issue for the company in January 1997.

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HISTORY OF RELIANCE COMMUNICATION Late Dhirubhai Ambani had a vision of making tools of communication available to commoners thereby allowing them to overcome barriers of mobility. Likewise, Reliance Communications is capable of delivering services covering entire gamut of information and communication value chain. Their products and services include infrastructure setting, applications and consultancy. Brief history Reliance Communications was set up as Reliance Infocomm in 1999 and from 2000 onwards laying of optical fibers started in Maharashtra, Gujarat and Andhra Pradesh. Reliance Infocomm was inaugurated in 2002 and first of interconnect (POI) was established in New Delhi in same year. Also in that year, Reliance Communications commissioned their 1st optic fiber backbone. In 2005, this company launched global roaming facility and CDMA services. Reliance Communications was formed in 2006 and listed in Bombay and National stock exchanges. Reliance Communications Limited founded by the late Shri. Dhirubhai H Ambani (19322002) is the flagship company of the Reliance Anil Dhirubhai Ambani Group. It is India's foremost truly integrated telecommunications service provider. With a customer base of over 36 million including close to one million individual overseas retail customers, Reliance Communications ranks among the top ten Asian Telecom companies. Its corporate clientele includes 600 Indian, 250 multinational corporations and over 200 global carriers and owns and operates the world's largest next generation, IP enabled 8

connectivity infrastructure, comprising over 150,000 kilometers of fiber optic cable systems in India, USA, Europe, Middle East and the Asia Pacific region. For more information, visit: Regarded as one of the foremost corporate leaders of contemporary India, Shri Anil D Ambani, 48, is the chairman of all listed companies of the Reliance ADA Group, namely, Reliance Communications, Reliance Capital, Reliance Energy and Reliance Natural Resources. He is also the president of the Dhirubhai Ambani Institute of Information and Communications Technology, Gandhinagar An MBA from the Wharton School of the University of Pennsylvania, Shri Ambani is credited with pioneering several financial innovations in the Indian capital markets. He spearheaded the country’s first forays into overseas capital markets with international public offerings of global depositary receipts, convertibles and bonds. Under his chairmanship, the constituent companies of the Reliance ADA group have raised nearly US$ 3 billion from global financial markets in a period of less than 15 months. Shri Ambani has been associated with a number of prestigious academic institutions in India and abroad. He is currently a member of: •

Wharton Board of Overseers, The Wharton School, USA

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•

Board of Governors, Indian Institute of Management (IIM), Ahmedabad

•

Board of Governors, Indian Institute of Technology (IIT), Kanpur

•

Executive Board, Indian School of Business (ISB), Hyderabad

In June 2004, Shri Ambani was elected as an Independent member of the Rajya Sabha – Upper House, Parliament of India, a position he chose to resign voluntarily on March 25, 2006. Select Awards and Achievements •

Voted ‘the Businessman of the Year’ in a poll conducted by The Times of India – TNS, December 2006

•

Voted the ‘Best role model’ among business leaders in the biannual Mood of the Nation poll conducted by India Today magazine, August 2006

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Conferred ‘the CEO of the Year 2004’ in the Platts Global Energy Awards

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Conferred 'The Entrepreneur of the Decade Award' by the Bombay Management Association, October 2002

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Awarded the First Wharton Indian Alumni Award by the Wharton India Economic Forum (WIEF) in recognition of his contribution to the establishment of Reliance as a global leader in many of its business areas, December 2001

Selected by Asiaweek magazine for its list of 'Leaders of the Millennium in Business and Finance' and was introduced as the only 'new hero' in Business and Finance from India, June 1999.

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VISION OF RELIANCE COMMUNICATION VISION “We will leverage our strengths to execute complex global-scale projects to facilitate leading-edge information and communication services affordable to all individual consumers and businesses in India. We will offer unparalleled value to create customer delight and enhance business productivity. We will also generate value for our capabilities beyond Indian borders and enable millions of India's knowledge workers to deliver their services globally.” Reliance Communications is now among the three most valuable private sector companies in India, and the five most valuable telecom companies in Asia. In the current Fiscal, Reliance Communications will spend Rs 16,000 crore to further expand and strengthen its network coverage across India and the rest of the world. In addition to organic growth, Reliance Communications will leverage the advantages derived from this impressive financial platform to explore and pursue any significant Opportunities available in the telecommunications sector. "We are currently evaluating a number of inorganic opportunities in select international markets to further expand our footprint," Ambani said.

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Reliance Communication’s One India, One Tariff plan allowed millions to connect across India at just one rupee a minute. The company was the first one to break the Rs 1,000 entry-barrier with the launch of the lowest-cost classic brand handset at Rs 777. As per its expansion plan, Reliance Communications will have the single largest wireless network in the world, covering over 900 mn Indians or more than 15% of the global population. It will cover 23,000 towns or every single Indian habitation with a population of over 1,000. Reliance Communications will cover almost 100% of all rail routes, providing seamless voice, video, radio, and Internet connectivity to 14 mn commuters every day. It will also cover almost 100% of all national highways, and 84% of all state highways, giving millions of users the power to talk, text, surf, play, chat or simply stay in touch across nearly the entire length of India's 2,00,000-km-long road network. Having achieved tremendous growth, the main challenge for Reliance Communications is to improve quality of service and ARPU. Its enterprise business is also not in a position to compete with the global majors. Stock market valuations may boost the fortunes of an entrepreneur, but Ambani needs to address the issues faced by the growing mobile customer base, especially in India, where bureaucracy takes pride in checking the businessman.

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CORPORATE PROFILE Organizations, like individuals, depend for their survival, sustenance and growth on the support and goodwill of the communities of which they are an integral part, and must pay back this generosity in every way they can... This ethical standpoint, derived from the vision of our founder, lies at the heart of the CSR philosophy of the Reliance – ADA Group. While we strongly believe that our primary obligation or duty as corporate entities is to our shareholders – we are just as mindful of the fact that this imperative does not exist in isolation; it is part of a much larger compact which we have with our entire body of stakeholders: From employees, customers and vendors to business partners, eco-system, local communities, and society at large. We evaluate and assess each critical business decision or choice from the point of view of diverse stakeholder interest, driven by the need to minimize risk and to pro-actively address long-term social, economic and environmental costs and concerns. For us, being socially responsible is not an occasional act of charity or that one-time token financial contribution to the local school, hospital or environmental NGO. It is an ongoing year-round commitment, which is integrated into the very core of our business objectives and strategy. Because we believe that there is no contradiction between doing well and doing right. Indeed, doing right is a necessary condition for doing well.

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Board of Directors •

Shri Anil D. Ambani - Chairman

•

Prof. J Ramachandran

•

Shri S.P. Talwar

•

Shri Deepak Shourie

•

Shri A.K.Purwar

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ORGANIZATIONAL SET UP CHAIRMAN

PRESIDENT

PRESIDENT

(PRESONAL BUSINESS) (ENTERPRISES BUSINESS)

PRESIDENT (HOME BUSINESS)

SENIOUR V.P V.P GM DGM AGM SENIOUR MANAGER MANAGER DUPTY MANAGER ASST. MANAGER MANAGEMENT TRAINING

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Code of Conduct (Adopted by the Company) Reliance Anil Dhirubhai Ambani Group of Companies continually reviews corporate governance best practices to ensure that they reflect global developments. It takes feedback into account, in its periodic reviews of the guidelines to ensure their continuing relevance, effectiveness and responsiveness to the needs of local and international investors and other stakeholders. The Code of Conduct(s) and Business Policies adopted by the Reliance Anil Dhirubhai Ambani Group (RADAG) Companies are given here. Values and Commitments Introduction Every significant management decision has ethical value dimensions. Managing ethics is particularly relevant for RADAG Companies today because it is critical to understand and manage highly diverse values in the workplace. Attention to business ethics is critical during times of fundamental change – times much like those faced now by businesses like ours. In times of such fundamental change, values that were previously taken for granted are now strongly questioned. Many of these values are no longer followed. Consequently, there is no clear compass to guide us through complex dilemmas about

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what is right or wrong. To that end, RADAG Companies’ Values and Commitments are presented here. These should be used to guide our actions in business conduct. Ethics and Values at RADAG Companies Background At RADAG Companies, the issue of ethics is simple: it is a simple process that involves defining what is right or wrong, and then doing the right thing. Ethics Management at RADAG Companies is about values and associated behaviors. It is a process of defining values and ensuring that corporate and individual employee behaviors epitomize those values. We at RADAG Companies believe that any business conduct can be ethical only when it rests on the nine core values of Honesty, Integrity, Respect, Fairness, Purposefulness, Trust, Responsibility, Citizenship and Caring. Strong commitments to these high values have long been building principles for RADAG Companies. These values are not to be lost sight of by anyone at RADAG Companies under any circumstances irrespective of the goals that are intended to be achieved. To us, means are as important as the ends. Though the deeper significance of these values for us can not be captur ed in words, a brief description of what we really feel about these virtues is outlined below: Honesty We are committed to be truthful in all our actions. We strive to be honest and forthright with one another and with all our stakeholders.

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Integrity RADAG Companies insists on honesty, integrity and fairness in all aspects of its business and expects the same in its relationships with all those with it does business. There exists a clear vision and picture of integrity throughout RADAG Companies. Our reward and promotion systems are aligned with this vision of integrity. Upholding the RADAG Companies reputation is paramount. We are judged by how we act. Our reputation will be upheld if we act with integrity in all our dealings, even at a personal level, and we always do what we think is right at all times. We say what we mean, and deliver what we promise, and promise to stand for what is right. We always honour all our commitments. We stand for loyalty and trustworthiness. Respect We are committed to treat everyone fairly and with respect and dignity. We appreciate and value the skills, strengths, and perspectives of our diverse workforce. We request the uniqueness of each employee. We believe that each employee makes a meaningful contribution in RADAG Companies’ success. Fairness RADAG Companies is firmly committed to fairness and objectivity in all its action and interactions. Justice and fairness imbibed in the Organization’s fabric ensure procedural fairness, impartiality and consistency in RADAG Companies operations.

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Purposefulness RADAG Companies sees its activities in terms of higher purposes and ideals. This purposefulness is a way of operating which ties RADAG Companies to its environment at a mutually beneficial dimension. Trust We endeavor to foster a participatory work environment where trust and confidence between team members is spontaneous. We always encourage teamwork with open, candid and speedy communication. Responsibility Our employees are expected to demonstrate highest levels of personal responsibility and continually affirm that they are responsible to themselves for the pursuit of excellence. At RADAG Companies accountability is individual rather than collective. Our employees are committed and enthusiastic to assume responsibility for actions for the organization. Citizenship We are a fiercely patriotic company, fully committed to achieving and participating in every conceivable way in the progress and integrity of India. We are committed to obey all the law s of India and the countries in which we do business and to do our part to make the communities in which we live better.

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Caring Compassion, sharing and kindness are values that we try to inculcate in our decision making process to achieve fairness. It is imperative that each one of us gets intensely driven from the heart towards upholding of these values in our day to day conduct. This initiative will further stimulate the creation and maintenance of a highly ethical work environment. Commitments Background A firm belief that every RADAG Companies team member holds is that the other person’s interests count as much as his / her own. It is not surprising that RADAG Companies has always been able to strike a mutually profitable equilibrium with ease while interacting with diverse internal and external stakeholder groups. RADAG Companies strives to make the good of these diverse stakeholder groups as part of its good. RADAG Companies recognizes that maintaining the trust and confidence of all its stakeholders is crucial to its continued growth and success. We are aware that a company must be an integral part of the society in which it operates: that it must fulfill a number of different expectations – financial, social and environmental: and tha t there is no substitute to being right. We seek success by being sensitive and alive to the interests and concerns of others in the society, and by working constructively with them to find solutions of mutual benefit. In pursuit of these values outlines above, we are committed to the ethical treatment of all our stakeholders.

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Commitment to Stakeholders In all our relationships we demonstrate our steadfast commitment to all our stakeholders: Our employees RADAG Companies recognize that its commercial success depends on the full commitment of all employees. We are committed to respect the human rights of our employees. We strive to treat our employees with honesty, just management, due dignity and fairness. We are committed to provide our employees with a good, safe and healthy environment and competitive terms and conditions of service. RADAG Companies promotes the development and best use of human talent. It encourages the involvement of employees in the planning, direction and fair appraisal of their work. The employees are also encouraged to participate in the application of these ethics and values within the company. Our customers We are committed to produce reliable, world-class quality products and services, delivered on time, at a fair price. RADAG Companies strives to win and maintain customers by developing and providing products and services which offer value in terms of price, quality, safety and environmental impact, which are supported by the requisite technological, environmental and commercial expertise.

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Our environment RADAG Companies are committed to acting as a concerned and responsible community participant reflecting all aspects of good corporate citizenship. RADAG Companies are committed to achieving the global standards of health, safety and environment. RADAG Companies works with its community by volunteering and supporting education, medical welfare and other worthy causes that lead to sustainable development. Our shareholders We are committed to pursuing sound growth and earnings objectives and to exercising prudence in the use of our assets and resources. Enhancing shareholder value remains the prime driving force of RADAG Companies’ business and financial decisions. We will ensure our success by satisfying our customers and increasing shareholder value. Our lenders and other investors We are committed to truthful disclosure of all material facts and the regular and timely payment of all our debt service obligations. Our Suppliers and other service providers We are committed to fair competition and the sense of responsibility required of a good customer.

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The government RADAG Companies are fiercely patriotic company and is enthused and proud to be a home-grown enterprise. We are committed to the payment of all-applicable taxes and duties and adherence to allapplicable laws and regulations. Ethics Management RADAG Companies have established an elaborate Ethics Management Organization to underscore our commitment to ethical conduct throughout our Company. It is a key part of vigorous corporate-wide efforts to p romote a positive and ethical work environment. Ethics Compliance Process RADAG CompaniesCode of Ethics and Business Policies are applicable to: · all personnel in the management cadre; and · all full-time consultants, representatives, suppliers, contract ors and agents Applicability of the code and policies to other employees will be reviewed at a later date. Step 1 : Adoption and Acceptance of the Code and Policies All employees should adopt and accept the code and policies with immediate effect. A letter containing an affirmation / undertaking to that effect will be kept on record from each employee in and above the management cadre. This will be a one-time requirement. Such acceptance of the code and the policy will be considered as an automatic amendment of the terms and conditions of employment as outlined in the letter of

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appointment. Refusal by an employee to accept this policy / code will lead to his / her dismissal. Step 2 : Disclosure Every person covered under this code shall submit, no later than fifteen days from the date of the acceptance letter as explained in step 1, to the Ethics Office all the information required for the implementation and enforcement of the Code of Ethics. This will also be a one-time requirement Step 3 : Annual Reporting Every person covered under this code shall file, before each January 1, with the Ethics Office: · an affirmation of personal compliance with Code of Ethics and Business Policies in the preceding year, and · a statement listing all his potential conflicts of interest as defined in the Code of Ethics, or if there are none, a statement to that effect. · the duly filled questionnaire on ethics compliance; and · the duly filled information disclosure forms. Step 4: Compliance review process The Ethics Compliance Process comprises of the following: 1. Employees are urged to resolve all conflicts of interest and violations of the policy by self-regulation.

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2. Ethics Office will use information collected from the disclosure and annual report process and if required obtain additional information to ensure that no conflict of interest or violation of ethics policy exists. 3. Conflicts of interest and violation of the policy will be promptly resolved by immediate termination of relevant contracts and / or appropriate disciplinary action. 4. For current year (2006 ), all conflicts of interest and violation of the policy will be resolved by termination and / or disciplinary action within 15 days of acceptance of the policy / code. The employee should note the following details: All actual / existing conflicts of interest and violations of the code should be promptly resolved by the employee by the process of self-regulation involving immediate termination of relevant contracts / arrangements. If the employee cannot for any reasons resolve conflicts and violations by self-regulation, he or she should to seek clarification of, and discuss questions about, each actual or potential conflicts and violations of the policy with the Ethics Office. Each actual or potential conflict of interest or violation of policy should be reported promptly with full disclosures to the Ethics Office as soon as the conflict / violation arise. Employee must also note the conflicts / violation in his / her annual business ethics report. Requests for a conflict of interest and violation of policy determination will be reviewed on a case-by-case basis. The request should include, as a minimum, the following information: A description of the employee’s duties and responsibilities with RADAG Companies . In respect of actual or potential conflict of

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interest, a description, in general terms, of the proposed outside activities to be performed by the employee, including the name, product lines, and market of the outside company or business in which the employee proposes to become involved. A description of the relationship of the outside company or business to RADAG Companies , if any (for example, supplier, customer, similar products o r, competitor). The proposed level of the employee’s involvement in, or proposed position to be held with, the outside company or business (for example, owner, employee, representative, consultant, advisor). Any other details in respect of an actual or p otential violation of the code. If the situation is deemed not to be a potential conflict of interest or a violation of the code, management should notify the employee of the decision in writing. When the potential conflict of interest or a violation exists and it is considered to be unacceptable the Ethics Office should promptly resolve the matter by initiating the actions that lead to termination of relevant contracts and / or appropriate disciplinary action. All information disclosed to management as required by this code shall be treated confidentially, except to the extent necessary to protect the Company’s interest; principles of natural justice would be applicable to the decisions and review processes of the Ethics Office. Step 5: Ongoing Counseling and Ethics Education In order to support its ethics programme, RADAG Companies will develop a comprehensive ethics education and communication programme. These programmes will be developed to provide employees with job-specific information to raise their level of awareness and sensitivity to key ethical issues. While strongly recommending that

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employees err on the side of the caution, to begin with, here are some practical ways to hone individual sensitivities towards ethical dimensions in decision making.

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PRODUCTS AND SERVICES MOBILE  Reliance Base Phone  Reliance Mobile  Reliance Data Card  Reliance Voucher, E-Recharge  Reliance PCO  Reliance Broad Band STD CALLING CARD MRP

TALKTIME

VALIDIY

ON-NET

OTHER

(NIGHT) RS. 95

84.66

1 5DAY

1.25

RS. 115

102.35

15 DAY

1.20

RS. 125

111.25

15 DAY

1.20

RS. 225

200.25

30 DAY

1.10

RS. 280 RS. 525 RS. 650

249.20 467.25 578.50

30 DAY 30 DAY 30 DAY

1.10 RS. 0.40 FREE

RS. 1.00 RS. 1.00

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PRODUCTS Rs. 55

FULL T.T of 55 (off net 43+on net 12)

TOP

Rs. 77

FULL T.T of 77(off net)

UPs

Rs. 210

TALK TIME of Rs. 222 (off net)

Rs. 310

TALK TIME of Rs. 333 (off net)

Rs. 510 Rs. 195

TALK TIME of Rs. 555 (off net) Local on-net mobile unlimited FREE (validity 30 days)

Rs. 496

Local & STD on-net mobile unlimited FREE (validity 30 days)

Rs. 35

All STD@ Rs. 1 per minute (validity 30 days)

Rs. 79

All Local@ Rs. 0.50/min and all STD@ Rs.1/min (valid. 30

STVs

days) Rs. 49 On-net Local@33PAISE, Off-Net Local@49 Paise (valid. 30 Rs. 99 days) Rs. 98 On-net Local@33PAISE, Off-Net Local@Paise, all STD@99 Paise (30D) On-net Local FREE between 10PM to 8AM& other local@50 paise (30D)

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Rs. 250

FREEDOM TARIFF, TALKTIME Rs. 147.5 AND VALIDITY 30 DAYS F.T, TALKTIME RS. 888 AND VALI. OF 8 MONTHS

RCVs

Rs. 888 Rs. 399

Talk Time 175/ & Local On-net Unlimited FREE ( 30 days)

Rs. 499

Local Reliance Mobile & Reliance Smart Unlimited FREE ( 30 days)

UNTalk Time Rs. 399.37 & Local On-net FREE B/W 11pm to LIMITED Rs. 533 E-SMS

Rs. 49

6am, ( 30 D) 500 LOCAL SMS FREE & VALIDITY 30 DAYS

RELIANCE MOBILE HAND-SET MOBILE

CUSTOMER PRICE

RETAILAR PRICE

RD LG 3000

1199/-

1165/-

RD LG 3500

1299/-

1265/-

RD LG 3600

1799/-

1690/-

RD LG 6100

2699/-

2540/-

FULL NAME OF SOME KINDS OF SERVICE LTV – Life Time Validity CAF – Customer Application form

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GSK – Get started Kit FWP – Fix Wireless Phone STV – Special Tariff voucher OTAF – Over The Air Fulfillment FRC – First Recharge Coupon GSM – Global System of Mobility CDMA – Code Dual Module Assessment

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Mobile : CDMA | GSM Wireless Phone Wireless Terminal BlackBerry Roaming BroadNet Reliance Landline Reliance Netconnect R World : CDMA | GSM Reliance Global Call Reliance Passport Reliance IPTV Common Service Center

BlackBerry Office Centrex E1DID One Office Duo Audio Conferencing Reliance PCO Toll-Free ITFS Broadband Business Broadband Internet Leased Line IPLC Ethernet Leased Lines Virtual Private Network (VPN) Wireless Data VPN Video Conferencing Internet Data Center (IDC)

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Mobile : CDMA Prepaid Designed for Your Calling Needs Reliance Mobile postpaid plans are 'designed to fit' your calling needs. If you are looking for some great tariffs, we are sure to have one appropriate for you. You can choose your plan from a variety of affordable tariff plans. Local Plans

Plan name

Rental Clip Plan Charges Monthly commitment Free SMS(Rs)

Free intra circle talk time worth Rs.

SP 149 Supe Supe NJ r 199 r 250 JAAD Grou 199 RJ U 249 p Loca l 124 199 199 250 249 25(option 0 0 0 al) 0 0 0 0 124 199 199 250 249 NA 0 0 0

NA

0

0

NJ 750 Plan

750 0 0 750 NA

150 Rs.150 Local (Intra & 150 & Intercircle) (Loca Intra - = 1500 l) Onnet onnet mins + [email protected]/ Offnet min

My My local MBL 299 Unltd R Onnet 770 299 770 0 299

770

Rs 150 Loca l onne t& Rs 150 local offn et

0

33

Intra circle On Net

0.5

Cell Fixed

0.5 1

1 1

Inter circle On Net

1.5

Cell Fixed International US, Canada,Fixed Lines in Europe,Australia,Newzea land and South East Asia Mobile phones in Europe, SAARC,Gulf,Middle East,UAE,Africa and Rest of the world. Bissau,Nauru,Norflok island,Sao Tome,Sakhalin,Solomom n Island,Tokelau,Tuvalu,Va nuatu Rate /SMS(164 characters) Local SMS National SMS

0.05 0.49

0.5

0.50

0.15

0.49 0.49

0.5 0.5

0.50 0.50

0.8 1.2

1.5

1.5

1.5

1

1.5

1.5 1.5

1.5 1.5

1.5 1.5

1.5 1.5

1 1

1.5 1.5

Onnet Mobile =0 1.5 Onnet others @ Re. 1 1.5 1 1.5 1

6.40

6.40 6.40 6.40

6.4

6.40

6.40

6.40

9.19

9.19 9.19 9.19

9.19

9.19

9.19

9.19

40.00

40.00

40

40.00

40.0 40.00 0

1 2

1 2

0.5 1

1 2

40.0 40.00 0

1 2

0.5 2

Onnet Mobile =0 0.50 Onnet others @ .50p 0.50 0.50 0.50 0.50

1 2

0.5 1 34

International SMS

5

5

5

5

5

5

5

5

Roaming Rates Local Onnet Off net Landine

1 1 1

1 1 1

1 1 1

1 1 1

1 1 1

1 1 1

1 1 1

1 1 1

1.5 1

1.5 1

1.5 1

1.5 1

1 1

1.5 1

1.5 1

1 1

STD Incoming

Post paid Load it forget it  Discover the power of prepaid. No more headaches of paying monthly rents, or the shock of running up huge bills. Our prepaid plans are specifically designed to suit each and every budget. We offer a wide choice of plans with economical tariff rates.: Basic Plan:

Tariff

Roaming

All Local Calls

Rs. 0.99

All STD Calls

Rs. 1.50

All Incoming & Local Outgoing calls

Rs.1.00

All STD Outgoing calls

Rs.1.50

International Call Rates :

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New Tariff One All other

Countries/Region

Nation Plans Plans

USA, Canada, Fixed lines in Europe, Australia, New Rs.6.00 per

Rs.6.40

Zealand

min.

per min.

Rs.8.00 per

Rs. 9.19

min.

per min.

Rs.40.00

Rs. 40.00

per min.

per min.

Mobile phones in Europe, Bangladesh, Bhutan, Maldives, Gulf, Middle East, UAE, Africa, Rest of World Cook Island, Cuba, Diego Garcia, Guinea Bissau, Nauru, Norfolk Island, Sao Tome, Sakhalin, Solomon Island, Tokelau, Tuvalu, Vanuatu Satellite calls to Inmarsat region (00870) - call rate at Rs.5.83/second National Roaming :

All Incoming & Local Outgoing calls

Rs.1.00

All STD Outgoing calls

Rs.1.50

SMS

Local

Rs.1.00

Application

Rs.3.00

National

Rs.2.00

international

Rs.5.00

SMS 51234. Get tips on lifestyle, sports, news cricket scores, entertainment and a whole lot more. Just SMS 51234. Reliance Mobile World. Experience movie clips, music, TV news channels, live cricket updates and more only on R World just at the press of a button. (Available on select handsets)

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Reliance Netconnect. Get connected to the Internet instantly and experience high speed access of up to 144 Kbps, even while you're on the move. With RIM Prepaid's revolutionary Reliance Netonnect. Value-added services at the best rates Voicemail retrieval will be charged at local call rates to RM i.e. 99 paise per minute.

Reliance Netconnect has no rental, Just usage charge.

More coverage. More clarity. More affordable.

A 80,000 km seamless, pan-India fibre optic backbone ensures a congestion free network and almost zero call drops, in addition to superior voice clarity in every corner of the country. GO MOBILE WITH RELIANCE MOBILE PREPAID'S UNBEATABLE OFFER For further details contact any of our Reliance Worlds / Authorised Retail Centers / Independent Sales Agents or call 30336969 Conditions Apply. Incoming calls are free in home circle only and not while Roaming. Reliance Communications Limited reserves the right to withdraw and or alter any of the terms and conditions of this offer at any time without prior notice. For circle definition click here. This brochure contains information for the Guidance of customers without creation of liability. Marketed by Reliance Communications Infrastructure Limited.. Internet services provided by Reliance Communications Infrastructure Limited

GSM

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India's best tariff plan... Welcome to Reliance Mobile GSM Service with 3G Ready network capabilities. Reliance Mobile is the only operator in the country with CDMA and GSM dual technology. Our next generation GSM network lets you enjoy seamless coverage across India and unleashes a world of endless possibilities. Beyond calling and messaging, it lets you e-mail, MMS, download videos, get live cricket scores, listen to music of your choice, blog and even surf the Net. All this made vey simple, flexible and convenient to meet your every demand. So let's get started and explore our unparalled services that will bring alive your conversations and enrich your every experience like never before. Base Tariff Plan

All Local/Intra Circle Calls

Rs.1.00

All STD Calls

Rs.1.50 All Incoming

Rs.1.00

& Local Outgoing Roaming

calls All STD

Rs.1.50

Outgoing calls

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Local Application National international

SMS

Rs.1.00 Rs.3.00 Rs.1.50 Rs.5.00

International Call Rates : Countries/Region

All other Plans

USA, Canada, Fixed lines in Europe, Australia, New

Rs.6.40 per min.

Zealand Mobile phones in Europe, Bangladesh, Bhutan, Maldives,

Rs. 9.19 per min.

Gulf, Middle East, UAE, Africa, Rest of World Cook Island, Cuba, Diego Garcia, Guinea Bissau, Nauru,

Rs. 40.00 per min.

Norfolk Island, Sao Tome, Sakhalin, Solomon Island, Tokelau, Tuvalu, Vanuatu

BLACK BERRY It's smart and stylish! BlackBerry® from Reliance Mobile is empowered with a smart CDMA technology that allows faster downloads of emails and attachments, faster internet browsing, instant chats, and much more. Whether you are a working executive, a student, a professional or a businessman operating on your own, BlackBerry® from Reliance helps you communicate better and stay connected, always

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Easy communication with colleagues, friends and family: Experience clarity and reach on through the Reliance network across 15, 000 towns and 4 lakh villages as well as key national highways and major railway routes in India on BlackBerry® . Sending/receiving e-mails: With the BlackBerry® from Reliance Mobile , you can easily send/receive pop3 enabled e-mails from wherever you are Text & Multimedia Messaging communicate with your colleagues through an easy mode of SMS & MMS Instant messaging You shouldn't have to quit chatting just because you're away from your computer. now, you can stay in touch with all your Im contacts just about anytime on yahoo!® Messenger and googletalk™ from wherever you choose. On your BlackBerry®from Reliance Mobile smartphone you'll find many of the same desktop instant messaging features you already know and love. Organize work efficiently:

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You can organize your work and schedule your activities easily with a BlackBerry® device from Reliance Mobile.the BlackBerry® is packed with applications, which include:  calendar  address book  task list  memo pad  calculator

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RESEARCH METHODOLOGY A Research Design is the framework or plan for a study which is used as a guide in collecting and analyzing the data collected. It is the blue print that is followed in completing the study. The basic objective of research cannot be attained without a proper research design. It specifies the methods and procedures for acquiring the information needed to conduct the research effectively. It is the overall operational pattern of the project that stipulates what information needs to be collected, from which sources and by what methods. RESEARCH PROBLEM  Collection of Data of other companies –Tata indicom, Airtel & BSNL  Retailers some time gives wrong data  Limitation of time and money RESEARCH OBJECTIVE •

To know the demand of Rcom bundle offer along with LGRD 3000 and 6100 as Ill as the demand of Rcom Bachat pack Sim in the market

•

To help in development and introduction of new product

•

To identify the company position among competitors

•

To determine those factors which persuade retailers for sale of RCOM sims/product

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•

To find out which type of schemes retailers prefer and why?

•

To study the effect of irregular supply on the sale of the product

SUB OBJECTIVE •

To compare the Airtel and Tata indicom Bundle offer with RDLG 3000, 3500 & 6100 for analyzing the status of RCOM Bundle Offer

•

To identify the Market share of RCOM

•

To find out the basic problems of retailers

•

To find out the performance of Distributor

•

To find out the basic problems of Channel of Distributor

•

To find out the Claims pending of Retailers

INFORMATION REQUAREMENT Complete Price structure of Rcom, Airtel & Tata indi.offer which includes •

Sim Processing Fees

•

Discount Offered

•

Schemes offered

•

Service Tax

SOURCES OF INFORMATION •

Data collected from the Company

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•

Secondary Data

•

Internet

•

Retailers

•

Distributor

•

Sales Executives

•

Other Trainees (Runner)

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FINDINGS RELIANCE COMMUNICATION LIMITED Strength

Weakness

•

Low Entry Cost

•

Branding Image

•

Commission Structure

•

Distribution problem

•

Fast Activation Process

•

Limited product portfolio- Only

•

Network

•

Connectivity

•

Lack of Competitive Strength

•

Data GPRS

•

Limited Budget

Opportunity

Mobile

Threat

•

Preference of GSM over CDMA

•

Political destabilization.

•

New Specialist Application

•

New Entrants

•

Rural Telephony

•

IT Development

•

New Market, Vertical, Horizontal

•

Market Demand

•

Competitors` Vulnerabilities

•

Seasonality, Weather Effects

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PROBLEM BEING FACED  Lack of communication between retailers and distributor  Lack of improper distribution channel  Competitors  Not regular visit of DSE and Runner  All retailers are not aware of new scheme of RCOM  Lack of sales promotion and advertisement  Retailer doesn’t get claim at proper time  No visit of TSM or any other person to the retailer’s shop WHAT DOES COMPANY EXPECT TO DO BY SOLVING THE PROBLEM  Customer Satisfaction  Retailer Satisfaction  Increase in Sale  Sales Promotion  Proper Distribution Channel

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Conclusion Indian economy is an emerging one and is growing very fast at the average GDP rate 89% so in this emerging market competition level among telecommunication services provides new players are coming who will necessarily intensify the competition. New products and new schemes are being offered by the telecom service providers. The need for large information capacity has grown tremendously due to the demand of real time information. Telecommunication has now become a major information transmission system and telecom has undoubtedly emerged as the most important industry in India. Indian telecom companies are putting in their best offer to rope in major telecom operators of the world e.g. Vodafone, Aircel and MTN etc. are playing their role in synergy with the operation of the Indian companies. Process of acquisition and merger are in process and future will be only for those companies who have an edge over others in the field. Service provided and the better quality of network etc. is provided at affordable cost. In this process of competition it is assumed that only those companies will survive who adopt suitable market strategy and technology innovation and up gradation to suit the aspiration and demand of the consumer. RCOMM cellular ltd. An Anil Ambani Group of cos. Is very fast catching up with the market by providing cheaper calling rates. The market strategies adopted by its executives are bearing fruits and the company although being the Second one to enter the market of Delhi has found a suitable niche and recognition in the consumer. But this is not a thing for self contentment as the survey reveals that in network, service and distributor, its place is very far behind to other competitors viz. Airtel, MTNL, and Tata 47

indicom etc. so to withstand the competition resources mobilization and technological innovation on the part of cos. To upgrade its quality of network and services is urgently called for. Market access and growth is alright but the improvement of quality on the above counts is necessity of the time.

Retailers Finding Services provided by Retailers: All the retailers are dealing in all services i.e. providing Recharge Voucher, SIM, and Tariff Voucher of all the cellular service companies present in Delhi zone. Also most of them provide only pre-paid connection. Satisfaction: Most of the retailers i.e. around 74% of respondents are satisfied with RCOMM brand, 10% of them push RCOMM brand to the customer and rest 16% retailers are not satisfied with RCOMM brand due to claim pending and the distributor. The retailers don’t get schemes communicated in time by distributor and distributor does not provide RCV & eTop properly.

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Problems: Around 15% of the respondents that there is network problem with RCOMM, on the other hand they found its competitors viz. Airtel, BSNL, TATA indicom network connectivity of very good to good level. Around 16% retailers which are under puja enterprises distributor projected problem with distributors. They don’t get schemes communicated in time by distributor and distributor does not provide RCV & e-Top. Support from company: Most of the retailers ensnared that they are supported by the companies’ personnel & companies’ helpline. All companies provide POP at right time and in adequate number. Claim process:In case of RCOMM process is be claimed very belatedly i.e. almost 77% of the cases take 60-90 days, where as in case of Airtel most of the i.e. 88% is being finalized in time limit 0-30 days. The claim process services of other competitors viz. AirCel, Smart, & Tata Indicom are almost at par with the IDEA cellular ltd.

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Bibliography •

2007 Annual Corporate Report

•

RELIANCE COMMUNICATION's Corporate History

Web •

www.RELIANCE COMMUNICATION.com

•

www.google.com

•

www.wikipedia.org

•

www.yahoo.com

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