Telecom industry is on the verge of default. Its borrowings are amount to Rs 8 L Crores.
Now,Govt is trying to extend the tenure of loans to 40 years to ease the payment. I consider it as bad decision.
NPAs should be treated as criminal activity.Govt should act tough.
'Idhuvum Kadandhu Pogum "
Even this challenging situation would ease
As Neeraj said, other telecom companies' loans might become NPAs, putting huge pressure on banks and the total economy as a whole.
Ultimately once the monopoly comes the rates will go up and already habituated people has to pay very higher money for the services. Short term gains are not to be considered as good. We should view the effect on long term
Reliance has to be credited with its business strategy. It is a win-win situation for the company a well as the users. The numbers show the proof.Reliance was from the days of its founder a company that always thought of benefits to its shareholders ,employees and customers. Hence it grew to this stature. The only aberration was the short period after the demise of the founder and the 2008 stock market misadventure. People really doubted about the intention of the brothers and felt that they are deviating from the values of founder.The mobile communication came to be cheap only after Reliance entered the field.
My concern for future:
These type of promotion,free offer, extra benefits etc.will all benefit customers until when competition exists.
Once the competition disappears and one Mega monopoly develops then that will be the end of customer benefit and customers will have to shed tears and simply comply the Big Monster as there will not be an alternative. Hope the Big fish allows small fry also to exist.