1. Indian TelecomMarket Share PESTEL ANALYSIS

2. The Indian telecommunications has beenzooming up the growth curve at a feverishpace, emerging as one of the key sectorsresponsible for India's resurgent economicgrowth. It is the fastest growing telecommunicationmarket in the world, and with 281.62 milliontelephone connections is the third largesttelecom market. India has achieved its target of reaching 250million telephone subscribers by 2007, twomonths before target. 3. PESTEL analysis of any industry sector investigates theimportant factors that are affecting the industry and influencingthe companies operating in that sector. PESTEL is an acronym for political, economic, social,technological, legal and environmental analysis. Political factors include government policies relating to theindustry, tax policies, laws and regulations, trade restrictionsand tariffs etc. The economic factors relate to changes in the widereconomy such as economic growth, interest rates, exchangerates and inflation rate, etc. 4. Social factors often look at the cultural aspects and includehealth consciousness, population growth rate, age distribution,changes in tastes and buying patterns, etc. The technological factors relate to the application of newinventions and ideas such as R&D activity, automation,technology incentives and the rate of technological change. The industry's major service is the practice of law, which isproviding legal services to individuals which is Legalanalysis. Environmental analysis of an industry studies whether theindustry is working environmental friendly and following theethics or not. 5. Political Analysis 6. Telecom reforms in India began in the 1980s with the launch of aMission Better Communication program. Private manufacturing of customer premise equipment was allowedin 1984 and the Center for Development of Telematics (C-DOT) wasestablished for the development of indigenous technologies. Private franchises were freely given for public call offices (PCOs)that offered local, domestic and international calling services. Two large corporate entities were spun off from the Department ofTelecommunications, e.g. Mahanagar Telephone Nigam Limited(MTNL) for Delhi and Mumbai and Videsh Sanchar Nigam Limited(VSNL) for all international services. 7. The second phase of reform commenced with thegeneral liberalization of the economy in the early1990s and announcement of a New Economic Policy(NEP)-1991. 1991 telecom equipment manufacturing was de-licensedand value-added services were declared opento private sector. 1992 radio paging, cellular mobile and other valueadded services were opened to private sector. 1994 National Telecom Policy was announced andenhanced growth of private sector. 8. The most important landmark in telecom reformscame with the New Telecom Policy 1999 (NTP-99). There were major developments on the policy frontpost year 2000. Establishment of Bharat SancharNigam Ltd (BSNL) (2000), privatisation of VSNL(2002). Increase in FDI limits from 49% to 74% (2005) andproposal for mobile number portability (2006)which paved way for the remarkable growth in thesector. 9. Economic analysis 10. The Indian Telecom industry has been playing animportant role in the world economy and globalrevenues in 2008 were USD 4 trillion, expected to growat a steep 11% p.a. CAGR over the next 2 years. India's telecom service revenue was ~USD 30 billion in2008, and Ernst and Young analysts believe it isprojected to almost double to ~USD 55 billion by 2012. GDP contribution 2%. Output per annum - 136,833 crores per annum &Increasing 20% for every month. 11. Increase in disposable incomes.Greater network coverage.Greater affordability.Falling mobile phone prices.Falling call charges. 12. S 13. Change in lifestyleFast-changing lifestyles are forcing telecomcompanies to enlarge the breadth and depth oftheir services.Joint ventures in the entertainment sector to addmore services. For instance, 14. The rural Indian consumer managed to remain anattractive proposition, especially in the demand forconsumer goods and telecom services 3 lakh PCOs are providing community access inthe rural areas. Further, Mobile Gramin SancharSewak Scheme (GSS) a mobile Public CallOffice (PCO) service is provided at the doorstep ofvillagers. 15. Several areer paths lead to the Indian Telecom Industry. The telecomsector offers a variety of career options where there is room foreveryone a degree holder or a diploma holder, a candidate with apart-time certification course or one with a full-time degree. The Certificate Courses for employment in the industry are: Certificate in Telecom Engineering. Certificate in Information Technology. Certificate in Computer Science. Certificate in Management Information Systems. Certificate in Computer Forensics. 16. Technology analysis 17. Total spending on Research & Development Focus of technological efforts Productivity improvement 18. Global system for mobile communication (Gsm) Code division multiple access (Cdma) Wireless local loop (WLL) 3G Technology 19. Environmental Analysis 20. The strong growth of the telecom industry, and increasedequipment obsolescence have caused a dramatic rise inthe amount of electronic waste worldwide. Today, environmental issues have become one of themost important factors to be considered in the telecomindustry. Operators are paying increasing attention to theirenvironmental performance, and are cooperating moreclosely with telecom equipment manufacturers. China Mobile is one example. In December 2007, theylaunched the "Green Initiative" program, which aims tosave energy and reduce emissions for its outsourcingsystem and complementary equipment. 21. The process includes choosing the proper productsand networking solutions to reduce negative impacton the environment. 22. Legal analysis 23. The genesis of the Telecommunication RegulatoryAuthority of India (TRAI) lies in the bidding process forthe grant of cellular licenses. Consequently the Legal framework governingTelecommunication Sector is within the control of theUnion Government and the Parliament.In India Legal framework, covering telecom sectorinclude various services like internet, radio paging,voice mail , E Commerce, broadcasting services etc. Indian Legal framework with respect to telecominfrastructure is made up of five main acts 24. The Legal Framework is providedby: The Indian Telegraph Act 1885.The Wireless Telegraphy Act 1933. The Telegraph Wires (Unlawful Possession) Act1950. The Cable Television Network (Regulation) Act 1996. 25. According to the TRAI act amended in 2000, thefunctions of the original TRAI have now beendivided between two separate bodies.The Telecom Regulatory Authority of India(TRAI).The Telecom Disputes Settlement and AppellateTribunal.