Wednesday, July 19, 2006

IT’S A WRONG CALL!



HTIL’S INVESTMENTS ARE MYOPIC!
Ever heard of the smart & early bird catching the rotten worm? If you have not, here’s to Hutchison Telecommunications International Limited (HTIL) for being the first to take advantage of the relaxed FDI norms to amplify its control in Hutchison Essar and increase its chances of extinction! HTIL bought-off Hindujas’ 5.11% stake in Hutchison Essar for $450 million on June 30, 2006, thus increasing their total control to 66.4%. HTIL’s current state in becoming the second-largest GSM operator in India (with 18.06 million customers), and the sector’s terrific performance (101 million customers), has motivated it to buy the stake, just as Dennis Lui, CEO HTIL proudly asserts, “We considered it a great opportunity to increase our commitment and the deal better positions us for future growth...” With more than 74.4% of new mobile additions being GSM, this deal may seem all positive for even cynical analysts! But in reality, the management seems ignorant of the fact that the potential lies elsewhere!

For Complete IIPM - Article, Click on IIPM-Editorial Link

Source:- IIPM-Business and Economy, Editor:- Prof. Arindam Chaudhuri - 2006


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Wednesday, July 05, 2006

IIPM-News:- Star Network Rubbished Zee's Claims



If it can happen once, it can happen again.” On the contrary, Ajay Vidyasagar, EVP-Marketing, Star Network rubbished Zee’s claims, “No one has been able to overtake Star in the past six years.” To his credit, subsequent weeks have seen Star Plus regain its leadership position. But Zee’s transformation from a mere contender to this ambitious position is no mean feat. And Kaul attributes the restructuring initiatives by Zee, which have led to change in leadership & mindset. Star Plus’ numbers have dwindled slightly in recent months, but the fall has not raised the alarm bells yet. Moreover, Star One, which was earlier a contender for the number two and three slot has since dropped to four and five. Still, snatching the top slot from Star Plus will not be cakewalk for Zee. As Star One has regained one of its major markets, Mumbai and Star Plus is also ready with its alluring baits on prime time, the dog fight over TRPs in the television space is going to be something to watch out for in the coming months for sure!
For Complete IIPM - Article, Click on IIPM-Editorial Link

Source:- IIPM-Business and Economy, Editor:- Prof. Arindam Chaudhuri - 2006
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IIPM-News:- Backlash of the Mogul

As Zee TV marches ahead, Star Plus will do anything but WATCH! Just like the daily soap operas, the Hindi entertainment television industry is not bereft of surprises. Th e dynamics of this space have changed dramatically in last six months. In what can be called the proverbial rise of the Phoenix, Zee TV has managed to trounce Sony in the battle for the number two slot. However, Star Plus(like always) leads with a market share of 56% in prime time (TAM Media). However, avid TV watchers have tracked Zee TV making waves on the teletube in an aggressive fashion since the beginning of this year. As per TAM figures, in the 9 p.m. to 10 p.m. time band, Zee did overtake Star in the week starting May 28, 2006 in the Hindi speaking markets, albeit by a few points. When contacted on this achievement, Ashish Kaul, Senior VP, Brand Development Group said, “The number two slot has been ours since March this year... and Star Plus has been overtaken by us in the prime band last week (week beginning May 28).

For Complete IIPM - Article, Click on IIPM-Editorial Link

Source:- IIPM-Business and Economy, Editor:- Prof. Arindam Chaudhuri - 2006
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