Strategies for Sustainable Channel Relations in Mobile Telecom Sector
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Date
2011-01
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Abstract
The telecom sector in India largely comprises of wireless connections for phones. As of
today, there are approximately 21 network providers in the country with about 7 per each circle,
each offering competitive pricing to the consumers. The main objective of the study is to provide an
accurate role for the company executive in developing channel relations. Further to this, the study
explores the strategies which can sustain a good working relationship between the company and its
channel members in the mobile telecom sector. The constructs identified for developing sustainable
relationships were Setting distribution objectives, Channel design, Logistics, Image Building,
Inventory management, Channel management, Payment & credit, Promotional assistance, Setting
targets, Coverage frequency , Motivating channel members to perform. The sample selected
contained distributors from the Mobile telecom sector and company executives/channel managers of
leading telecom companies. Factor analysis and Friedman’s test was applied. The findings revealed a
correlation in attitude between distributors and the executives. Motivating distributors was rated as
the most important strategy by the company. The distributors felt that all channel partners needed to
have positive attitude towards the channel while company executives felt that aggression made
channel members perform effectively. Such findings will be of use to mobile telecom companies who
are new entrants to the Indian market and to existing companies who plan to expand their coverage.
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Keywords
Distribution Channels, Channel Relations, Channel Management, Mobile Telecom, Distributor
Citation
Journal of Economics and Behavioral Studies, Vol. 2, No. 1, pp. 7-18, Jan 2011