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A REPORT ON

Achieving competitive advantages for


GRAMEEN PHONE Bd.
PREPARED FOR
Chowdhury Abdullah Al Mamun
University of Information Technology and Sciences (UITS)

PREPARED BY

The back benchers


Members:Md, Mamunur Rashid
12410068
Md. Khalid Hasan 12410067
Md. Ashraful Islam 12410052

Akash Sarkar
12410078
Md. Aminul Islam 12410089
DATE OF SUBMISSION: 03THJuly, 2015

L E T T E R

O F

T R A N S M I T TAL

3rd August, 2014


Chowdhury Abdullah Al Mamun
Lecturer
School of Business
University of Information Technology and Sciences (UITS)
Sub: Submission of Report on Achieved competitive advantage for A&E..
Dear Sir,
It is a great pleasure for us to submit the report on Achieved competitive advantage for Airtel
Bd. Acknowledgement that we have to submit for fulfillment of our academic requirement.
The study undertaken to complete the report was a pleasant and interesting one. Thank you for
providing us this opportunity. We also express our heartiest gratitude to you for your vigilant
guidance.
We have given our best effort to make our report fruitful and accurate. We hope that our
endeavor will meet your expectation. Nevertheless, if you need any clarification we would like to
clarify with pleasure.
Thanking You
Md. Sadequr Rahman ..12410080
Md. Fahim Hossain...12410057
Dewan Minhajul Abedeen12410074

Acknowledgement
At first we would like to thanks our God to give us our lives. Then we would like to express our
gratitude to our honorable course teacher Chowdhury Abdullah Al Mamun, Lecturer, School of
Business, University of Information Technology and Science (UITS) for giving us the
opportunity to prepare this report. We also thank our Lab coordinators to give us the internet
facilities and use it for prepare this report. We want to get a special thanks to our friends and
honorable teachers. Without those our report could not be completed. We really feel a better
because we got the chance to make this report. We would like to thanks again to our honorable
course teacher Chowdhury Abdullah Al Mamun for his effective class instruction and assistance
to make this report.
Finally, we remember all the care and love of my friends who made my every existence more
meaningful and worthy.

Thank you all.

Md. Sadequr Rahman ..12410080


Md. Fahim Hossain...12410057
Dewan Minhajul Abedeen12410074

Executive Summary
The aim of the report is to analyze how our organization obtain sustainable competitive
advantage and as a manager AIRTEL BD, and how to maintain the advantages in order to survive
in the market.
In todays tough economic climate, organizations need to compete smart to stay a step ahead.
This paper looks at savvy ways to gain a competitive advantage while ensuring the best response
to customers needs. Today, this means optimizing the modern workforce. Collaboration is the
order of the day and, with the advent of the internet, there are a myriad of ways to conduct
business. Work must often be organized, not as individual tasks, but as collaborative efforts
within projects. With this added complexity, it becomes critical to efficiently manage the
dispersed workforce and effectively track the time and to achieve competitive advantage. In this
report we conclude the steps we take to achieve competitive advantage for our thread industry.
And each of the steps is necessary to achieve competitive advantage.

INTRODUCTION
In 2010, Warid Telecom sold a majority 70% stake in the company to India's Bharti Airtel Limited for
US$300 million.[3] The Bangladesh Telecommunication Regulatory Commission approved the deal on
Jan 4, 2010.[4] Bharti Airtel Limited took management control of the company and its board, and
rebranded the company's services under its own Airtel brand from December 20, 2010.
On December 21, 2011, Airtel Bangladesh launched "Airtel Circle of Friends", the first ever
Interactive Commercial in Bangladesh, created and executed by Digimarka.
In March, 2013, Warid Telecom sold its rest 30% share to Bharti Airtels Singapore-based concern
Bharti Airtel Holdings Pte Limited.[5]
On September 8, 2013, Airtel Bangladesh received 5 MHz 3G spectrum with 1.25 million US$.

Vision: Their vision are given below:

AIRTEL BD Company Vision


A&E will achieve worldwide, preferred supplier status in each product line by:
1.
2.
3.

Supplying superior quality services and value to our Customers.


Practicing Quality Business Culture (QBC) throughout the company.
Collection of practices and processes driven by customer needs, focused on
process improvement, led by
4.
Management with associate involvement.

5.

Being recognized as a leader by our Customers, Associates, Suppliers and


Community in our contributions to
6.
Society and the environment through AIRTEl BDs continuing global commitment
to sustainability.
COMPETATIVE ADVANTAGES:
Competitive advantage is a business concept describing attributes that allow an
organization to outperform its competitors. These attributes may include access to natural
resources, such as high grade ores or inexpensive power, highly skilled personnel,
geographic location, high entry barriers, etc. New technologies, such as robotics and
information technology, can also provide competitive advantage, whether as a part of
the product itself, as an advantage to the making of the product, or as a competitive aid
in the business process .
Our organization name is Airtel Bd. and we follows following measures to achieve competitive
advantage.
1. Product differentiation Airtel Bds strategies revolve around product differentiation have a
loyal base of customers who prefer its products to all others in the marketplace.
2. Customer service Airtel Bd wish to wins customer service.
3. Operational efficiency Airtel Bd generally provides commodities and win by being more
efficient.
To be successful, our companies must have a competitive advantage in at least one discipline,
and must be competent in the other two. We must also understand work efforts from a macro
level, and how work contributes to competitive advantage and profitability.
Businesses are constantly seeking competitive advantages in the marketplace. There
are many different ways in which this can be done, but many will focus on a few tried
and true methods of gaining a leg up on the competition. These methods can generally
be classified into about four different primary categories.
Cost Leadership
Cost leadership is the first competitive advantage businesses often attempt to gain.
Cost leadership as an advantage occurs when a business is able to offer the same
quality product as its competitors, but at a lower price. Cost leadership can occur when
a company finds ways to produce goods at a lower cost through the perfection of
production methods or by the utilization of resources in a more efficient manner than
competitors. Other factors, such as proprietary technology, can also factor into this type
of advantage. Cost leadership may be classified as an offensive strategy, whereby
businesses attempt to drive competitors out of the market by consistently using price
strategies designed to win over consumers.

Differentiation
Differentiation is a second strategy that businesses often use to set themselves apart
from competitors. In a differentiation strategy, low cost is only one of many possible
factors that may set aside a business from others. Businesses that differentiate
themselves typically look for one or more marketable attributes that they have that can
set them apart from their competitors. They then find the segment of the market that
finds those attributes important and market to them. The process can also work in the
other direction with businesses conducting research to determine which things
consumers find most important and then developing a niche market for those products
or characteristics.
Defensive Strategies
Another way for a business to gain a competitive advantage is to utilize a defensive
strategy. The advantage gained by this type of strategy is that it allows the business to
further distance itself from its competition by, in some sense, maintaining a competitive
advantage it has gained. Therefore, this strategy is closely related to differentiation and
cost leadership because it is a method used by businesses to keep those advantages in
place once they have been attained. Whereas the other two strategies are more
offensive in nature, this strategy becomes an actual advantage as it becomes
increasingly difficult for so-called competitors to offer any real opposition to the
business.
Alliances
Competitive advantages can also be gained by businesses that seek strategic alliances
with other businesses in related industries or within the same industry. Businesses have
to be careful not to cross the line between alliances and collusion, though. Collusion
occurs when businesses within the same industry work together to artificially control
prices. Strategic alliances, on the other hand, are more along the lines of joint ventures
that businesses use to pool resources and gain themselves exposure at the expense of
other competitors not in the alliance.

5 Steps to Creating a Sustainable Competitive


Advantage
As a manager of Airtel Bd Company, we think there are five steps to create sustainable
competitive advantage.

Whether we are pitching investors or launching a new product, success is more likely if
we can create and communicate a sustainable competitive advantage.
Being first to market isnt enough, as someone bigger with something better will come
along and leave us in the dust. And it doesnt matter if there isnt a product in the
market thats exactly the same as ours. If another company is solving the same pain
were addressing, for the same customers they are competition.
While creating a sustainable competitive advantage is not easy, the following will help
ensure us get and remain ahead of the field.
1. Establish Brand Loyalty. Customers will often remain with a brand they have loyalty
towards, even though the company does not offer the cheapest or most effective
product. Focus on building strong relationships with our customers and delivering a
great customer experience and service.
2. Patent our Product. There has been a lot of debate recently about the true value of
a patent. While patents are not a cure all, they are an important weapon in an
entrepreneurs competitive advantage arsenal.
3. Continually Innovate. Customers like updates and upgrades. Keeping our product
fresh and compatible with the market place (particularly if software), is essential.
4. Hire Connected Team Members. If our market includes large companies and
government departments, connections to key individuals within these organizations can
dramatically accelerate our ability to meet and secure contracts. Try to have at least one
member on our team who is connected.
5. Use Long Term Contracts and Incentives. This step has to be executed carefully,
as it can backfire. If we can establish a long term contract with our customer, then
clearly they are less likely to switch to a competitor. If we only offer long terms contracts,
however, and our competitors are offering short terms contracts, then we are likely to
lose business.
Ideally we want to incentivize our customers to enter into a long term contract with us,
possibly by providing a slight reduction in cost or a bonus. Equally, customers are more
likely to be willing to enter into a long terms contract if they have just completed a
successful short term contract with us.
As a manager of Airtel Bd company, we can build sustainable competitive advantage by
adopting following measures:

Focusing on building blocks of competitive advantages:


The building blocks of competitive advantage are efficiency, quality, innovation, and
customer responsiveness. These building blocks are generic in that they provide four
basic ways to lower cost and achieve differentiation. Airtel Bd adopts these. Efficiency
is based on the cost of inputs required to produce a given output. The more efficient a
firm, the lower the cost of its inputs required to produce a given output. Efficiency helps
our firm attain a low-cost competitive advantage. Employee productivity can be the key
to efficiency. The impact of high product quality on competitive advantage is the creation
of a brand name reputation, greater efficiency and, thus, lowers costs. This enhanced
reputation allows the firm to charge a higher price. At the same time the costs are down
so profits are much higher, thus a higher competitive advantage. Quality has become
imperative for survival in Innovation is defined as anything new or novel about our firm's
operation or product. Innovation gives our firm something unique. To achieve customer
responsiveness our firm must deliver exactly what the customer wants when the
customer wants it. Our firm must do everything it can to identify and satisfy customer
needs. Steps taken to improve quality and efficiency are consistent with the goal of high
customer responsiveness. There may be a need to customize goods and services to
meet the demands of individual customers. Customer response time has become a big
factor in increasing customer responsiveness. Other areas that aid in achieving higher
customer responsiveness are superior design, superior service, and superior after-sales
service and support.
Developing distinctive competencies:
As a A&E manager, I have to develop distinctive competencies in order to sustain competitive
advantage. Distinctive competence can be built in a number of ways. A&E hire more
qualified professionals than those employed by competitors; they can find and exploit
previously neglected market niches; and they can be especially innovative or can gain
advantage over competitors through sheer strength of management. There are
numerous areas in which our firm can have a distinctive competence. Our companies
have distinctive competence because we manufacture a product with superior quality.
Our firms excel in technological innovation, research and development, or new product
introduction.
Creating an environment of organizational learning:
A&E s manager promotes learning within the organization. It keeps our organization at the top of
all competitors because we are always in search of knowledge. In the process of seeking and
disseminating knowledge, we learn from prior mistakes and improve our work processes over the
time.
Instituting continuous improvement mechanism:
As a manager of this company, we need to devise dynamic ways to improve quality on a
continuous basis. We tried to improve quality through instituting total quality management
(TOM) program and business process reengineering>

Instituting best practices:


We are searching out and adopting best practices is integral to effective implementation.
Benchmarking is the backbone of the process of identifying, studying, and implementing best
practices.
Overcoming barriers to change:
As a manager of Airtel Bd organization, we are achieving to competitive advantages because we
are able to adapt to changes in the organization. Otherwise if we are unable, we need to
overcome the resistances to change so that we can maintain competitive advantages.

Another Six Steps to Achieving Competitive Advantage


through Cost Excellence:
1. Build consensus and commitment on goals and scope
2. Select the right methodologies. In order to sort out exactly how cost reduction
opportunities will be identified and quantified, companies can select from a
number of well-proven methodologies on the basis of the goals and scope of the
program
3. Determine how efficient and effective the organization is and set targets for
change. With the methodology and tools selected, the in-depth diagnostics start.
Take the case of personnel costs. One of the most common methodologies for
analyzing personnel costs is activity-based optimization.
4.

Develop a plan to hit the targets. A bottom-up process is the best way to
generate ideas about how to deliver the programs quantitative and qualitative
goals.

5.

Drive implementation of the changes.

6. Make the change sustainable. Just as important as the execution, of course, is


the effort to make changes stick. After all, old habits are often cemented in a
companys processes and can reverse hard-earned progress.

Findings:
In these report we can find that:

1. To achieve Competitive advantage is very necessary for our organization.


2. One of the main advantages of competition in the workplace is that it can create
an environment where employees push each other to exceed their normal limits,
which can result in increased production, both at an individual level and among
the entire workforce as a whole.

3. As a business manager or owner, the biggest threat we face is losing sight of our
most important target our customer. He is the one who can blow up our
business simply by going elsewhere. we may play golf with him, bend over
backward to rush a delivery to him, and even consider him a friend. But we can
lose him to a competitor if you lose sight of our competitive advantage.
4. Competitive advantage is what separates us from the rest of the herd. Its what
keeps our business alive and growing. In short, its the reason we are in
business.
5. A step of achieving competitive advantage thats Airtel Bd applies.

Limitations:
Competition in the workplace can be a good thing for a number of different reasons. By
the same token though, competition can also have some disadvantages. Some
industries are more conducive to competition in the workplace than others.
Nonetheless, a little competition in even the least competitive industries can be positive.
Workplace competition is not always positive. It can create unhealthy rivalries that result
in workers resenting one another, which is especially true if one person or team always
wins the competitions.

Conclusion:
So at the end of our report we can say that, we took steps which will help us to achieve
competitive advantage from our competitor and our eventual goal should be to come up
with a hard list of competitive advantages that we can use to increase profits at our
company. Competitive advantage can be also viewed as any activity that creates
superior value above its rivals. Our company wants the gap between perceived value
and cost of the product to be greater than the competition.

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