All it takes is Rs.777!

IIPM BEST MBA INSTITUTE

Imagine a cell phone for a song! That’s exactly what Indian customers are going to get used to now! Reliance Communications has just released in the Indian marketplace what will be one of the cheapest handsets in the world; the Chinesemade Classic 202, which is SIMbased, and priced at Rs.777! If the price tag wasn’t all that mattered, then do have a look at the valueadds that it offers: FM radio, polyphonic ring tones, et al. Other than the 202, Reliance also launched the Classic 204 and Classic 203 – priced at Rs.844 and Rs.888, respectively. S. P. Shukla, President (Personal Business), Reliance Communications, declared, “We believe that this would provide customers, looking at second-hand phones, an opportunity to buy a new handset. The lowering of handset prices would also increase the telephony penetration in the country.” The company hopes to sell 3-4 million handsets annually. And things only seem to be getting better and better. Earlier, unlike GSM handsets, CDMA handsets could not be swapped with other service providers – basically, if you bought a handset from a particular CDMA service provider, then you were stuck with that service provider only. With this model, you can easily move from one CDMA service provider to another. Now isn’t that cool enough?!

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Source : IIPM Editorial, 2007

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative