Question

1. Compare and contrast the mobile banking scenario in India and in African countries

2. What are the environmental differences between Indian and African countries and how have these contributed to the success of Airtel in African countries?

3. What are the future prospects of mobile money transfer services in India? What future road map should providers like Airtel prapre granted macro environmental factorsas well as competing/substitute services and products.

Answer 1

1)

Africa or African countries which are already a step ahead in the mobile phone market from any other country must not be facing a big issue in developing a mobile banking system.

 

Africa compared to India has very less organizationally established banking infrastructures. But the other categories are doing their job extremely well. The banks are not necessary for operating banking services. India is well established with the banking sector and the companies undertaking banking services are not getting a better response.

 

Africa with about 80% of the population has Mobile phones which is comparatively more than India so Mobile banking had been proven to be the best solution for transactions. That's why Africa has become the fastest developing country in the Mobile banking sector.

 

2)

Comparison environment between Indian market and African market are as follows:

· The Indian climate is mostly monsoon in the south and temperate in the north. On the contrary, the climate in African countries is semiarid. Hot mornings and cool nights are characteristics

· Telcom policies in India are supportive to telecom industry. Previously, African nations did not have proper regulations which support telecom industry. However, the situation is changing in African countries too.

· The competitive situation in the Indian telecom industry is larger than African telecom industry

· The environment of the Indian telecom market is privately owned and has strong internal policies in the respective companies. The internal environment of telecom sector in African nations is not sufficiently sustainable as Indian market.

· Strategy makers in the African telecom organizations are effectively capable of making strategies for competitive advantage. However, internal strategies in the Indian telecom sector is not as effective as African.

· The average GDP growth of African nations is higher than Inia

 

Contribution over the success of Airtel in Africa are mentioned below:

· Low competitive threats are reducing challenges in the external environment

· Investment growth and government support have helped Airtel to flourish in African nations

· Effective strategy making has assured infrastructural development of Airtel

 

3)

With the enabling of UPI as well as internet banking, it can actually be mentioned that over the last 5 years there has been numerous application that was developed to make the money transfer more easy and secure and people have been moving from the conventional ways of money transfer like visiting the bank and then getting it to transfer to the online mode through form and this is indeed a good sign for the digital economy and this market seem to be growing and in future also it can grow to cover the entire population who got to have bank it accounts on the whole. However, it can also be mentioned that there are many factors influencing the transfer where the biggest river that the consumers are worried about is the security of the transfer where recently many of the digital complaints have been recorded and that is the reason why the mobile companies in the future should be ready to enhance more and more security features and install it which is the utmost priority right now.

1)

Africa or African countries which are already a step ahead in the mobile phone market from any other country must not be facing a big issue in developing a mobile banking system.