In: Operations Management
The recent judgement by the Supreme Court with regards to AGR has forced Vodafone Idea to pay a huge amount as fine before the deadline. This hurts the already bleeding company even more. Post the entry of Jio, the telecom market has gone through a complete turmoil with the low rates and growing taxation burden. The situation has turned so bad that Vodafone wants to quit the Indian Market. The recent price increase has not helped improve the situation a lot. Can you as a student of Service Marketing analyze the problem at hand and provide possible solutions and revenue streams or methods to contain losses? Use the SERVQUAL Model to analyze the same? Also use the concept of Customer Loyalty to your advantage?
ANSWER
In this project question as a student of service marketing, I have to analyze the problem that is related to telecom companies. The recent judgment by the Supreme Court with regards to AGR has forced Vodafone Idea to pay a huge amount as fine before the deadline. This hurts the already bleeding company even more. Post the entry of Jio, the telecom market has gone through a complete turmoil with the low rates and growing taxation burden. The situation has turned so bad that Vodafone wants to quit the Indian Market. The recent price increase has not helped improve the situation a lot.
As per the information given Vodafone Idea is facing the problem related to financial burden and this company is thinking to quit the Indian market. In my opinion this organization is fails to understand the needs and demands of the customers. This organization was not working according to the satisfaction of the Indian customers and it became the reason for this company to lose the interest of the Indian customers and Jio took the advantage of the situation and won the competitive advantage. So in my opinion, for Vodafone it is necessary to understand the needs of the customers and for that purpose organization can do market research it will help the organization to know the interest of the Indian customers. Organization should understand the political and economic environment of the country it will help the organization to gain the competitive advantage in the country.
In the revenue streams price drop is not the only option. So company should understand the market first and with the price drop, company should provide additional benefits to the customer so that company can attract the customers towards the new plans of the company. Organization should invest on the advertisement also because effective and strong advertisement help the organization to gain competitive advantage.
According to the SERVQUAL model, company should focus on the service quality. In this method organization compare service quality performance with customer service quality needs. This method is used to do a gap analysis of an organization's service quality performance against the service quality needs of its customer. This method basically analyze the factors like -
Organization should focus on the customer loyalty also because loyalty help the organization to get the customer satisfaction and with the loyal and reliable customers, organization can achieve its mission and vision. This organization should make strategies according to the needs of the customers.