1. BARRIERS TO ENTRY ANALYSIS Group 8 Sana Nabi KirtiSiddapur Mandanna TM Rohan Nair SudiptaSar

2. Barriers to Entry Definition: The term refers to hindrances that an individual may face while trying to gain entrance into a profession or trade. Barriers to entry restrict competition in a market.

3. Reliance Telecommunications Product differentiation Economies of scale Customer loyalty TRAI Regulations and policies

4. New Entrant TATA DOCOMO Branding Perception

5. Petrochemicals Industry overview Production process – Cracking Crude Oil and Polymerization (polymers, polyesters, fibre intermediaries and other industrial chemicals) 4 main players Reliance Industries Ltd (RIL) Indian petrochemicals Corporation Ltd (IPCL) Gas Authority of India Ltd (GAIL) Haldia Petrochemicals Ltd (HPL) RIL and IPCL account for 70% of production capacity in India

6. Petrochemical Industry – Entry Barriers Capital Requirements The minimum economic size of an integrated plant is around 1 million tonnes per annum High lead-time before the assets generates a reasonable return on investments Investment in R&D Economies of Scale Lower operating costs Product Differentiation Minimal product differentiation, ccompetition is largely price based International competition from countries like China and other South East Asian countries Manufacturing flexibility Level of integration in operations

7. Petrochemical Industry – Entry Barriers contd.. Government Policy Deregulation in Natural Gas pricing Lowering of Import duties Technology requirement Developed in-house and kept as a closely guarded secret Competitive advantage

9. BARRIERS OF ENTRY ECONOMICS OF SCALE CAPITAL INVESTMENT GOVERNMENT POLICIES

10. ECONOMICS OF SCALE Hindustan Zinc Limited Bharat Aluminum Company Sesa Goa Neyveli Lignite Corporation National Aluminum Company Hindalco Industries Dempo

12. CAPITAL INVESTMENT WHEEL LOADER TRUCK LOADER EXCAVATOR

13. Articulated Trucks

14. GOVERNMENT POLICIES The Mines and Minerals (Regulation and Development) Amendment Act, 1958 The Mines and Minerals (Regulation and Development) Amendment Act, 1972 The Mines and Minerals (Regulation and Development) Amendment Act, 1986 The Mines and Minerals (Regulation and Development) Amendment Act, 1994 The Mines and Minerals (Regulation and Development) Amendment Act, 1999

15. the minimum period of a mining lease is twenty years and a maximum period of thirty years. Area restrictions notified for reconnaissance permit, prospecting license and mining lease have been made applicable state-wise, instead of the country as a whole.

16. In the interest of scientific mining, minimum area for grant of mining lease has been fixed as one hectare in respect of small deposits (including float ore deposits), two hectares for beach sands or placers; and four hectares for all other mineral deposits.

17. The royalty that companies have to pay state governments for extracting minerals is around 2-3 per cent of the price that minerals fetch in the market!

18. Entry Barriers For

19. Entry Barriers for the Industry Capital requirement - Plant, location, machines etc. Distribution channels Economies of scale

20. Government policy Ex: Environment Stds, Safety, Export & Import Duties etc Advertisements Globalizations

21. Maruti Suzuki India Ltd Leading four wheeler automobile manufacturer in south Asia. Leader in small car segment Most trusted automobile brand in India Large domestic Market Share.

22. MSIL Efficient after sales service,2628 Authorized Service stations Advertisements Efficient Distribution channels

23. MSIL Additional service:- Maruti insurance - Vehicle insurance as a value added service. Maruti finance -To Promote bottom line growth Maruti True value Maruti driving school - As a CSR Initiative

24. Entry Barriers for MSIL Product Differentiation Technology

26. Barriers to entry-Consultancy High Barriers to Entry-Low exit barriers High profit margins

27. Barriers to Entry- New Entrant Customer loyalty Network Effect Intellectual Property Globalization

28. Barriers of entry-Mindtree Service Differentiation Poaching Local Networks R&D

29. Non Disclosure Agreement A non-disclosure agreement (NDA is a legal contract between at least two parties that outlines confidential material, knowledge, or information that the parties wish to share with one another for certain purposes, but wish to restrict access to by third parties. It is a contract through which the parties agree not to disclose information covered by the agreement.

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