Perfect Market

Perfect competition Pure competition

Imperfect market
Monopoly

Monopolistic competition

Oligopoly

1. Perfect competition describes markets such that no participants are large enough to have the market power to set the price of a homogeneous product. Specific characteristics may include: Infinite buyers and sellers Zero entry and exit barriers Perfect information Profit maximization Homogeneous products

2. Monopolistic competition is a type of imperfect competition such that one or two producers sell products that are differentiated from one another as goods but not perfect substitutes (such as from branding, quality, or location). Monopolistically competitive markets have the following characteristics: There are many producers and many consumers in the market, and no business has total control over the market price. Consumers perceive that there are non-price differences among the competitors' products. There are few barriers to entry and exit. Producers have a degree of control over price.

3. Monopoly competition: A monopoly exists when a specific person or enterprise is the only supplier of a particular commodity and dominates the market.

Monopolies are thus characterized by lack of economic competition to produce the good or services lack of viable substitute goods

4. Oligopoly market: It is a market form in which a market or industry is dominated by a small number of sellers (oligopolists). The decisions of one firm influence, and are influenced by, the decisions of other firms. Strategic planning by oligopolists needs to take into account the likely responses of the other market participants. Characteristics Ability to set price Entry and exit Handful Number of firms Product differentiation: Product may be homogeneous or differentiated.

Indian market structure for mobile handsets There are around sixty mobile companies selling in Indian market including all big, small and Chinese companies. Though market is dominated by only 5 major companies number of small players is very high. Small companies like Lava Maxx Micromax etc. are providing many features at lower price capturing big chunk of share in rural market. Major players in Indian market are Nokia The Finnish handset maker Nokia is at No.1 spot with a market share of 24.3 per cent in terms of units shipped. Nokia is currently offering 40 handsets in Indian market. Samsung The Korean electronics giant Samsung has retained the No. 2 position with a market share of 14 per cent in terms of units shipped. Samsung with a wide range of affordable handsets is becoming a rage in India. Samsung offers 50 handset models in India. Micromax Indian brands are now giving a tough competition to foreign brands in terms of price, handset models and services. About 80 per cent of companies' sales is driven by rural India. The company has presence in Sri Lanka, Hong Kong, Dubai and Nepal. Spice Spice Mobiles is a part of Spice Televentures, the telecom vertical of the diversified $2 billion Spice Global group India, selling nearly 1.5 million mobile handsets per quarter.

Indian mobile handset market do have lots of companies operating in country but all the small and local companies are inspired by the features and styling of Nokia and Samsung making them the market controller. Decisions taken by these two companies regarding style feature influence all the small players thus we can say that overall it is oligopolistic competition market.

By segmenting the Indian mobile handset market according to price range we can understand the market structure in better way.

Mobile phones in range on below Rs. 5000 Name of the company Rage Number of models 09 Features Dual SIM, Music player,2 MP camera, 3touch screen, internet, email Dual SIM, Music player,1.3 MP camera, touch screen, internet Dual SIM, Music player,2 MP camera, qwerty keypad, internet browsing Dual SIM, Music player,3 MP camera, qwerty keypad, internet browsing, Android Dual SIM, Music player,2 MP camera Dual SIM, Music player,1.3 MP camera, Internet browsing, slider, full touch screen, BADA Dual SIM, Music player,3.0MP camera, qwerty keypad, internet browsing, touch screen, slider design. Dual SIM, Music player,5 MP camera, qwerty keypad, internet browsing, Android Dual SIM, Music player, 3.0MP camera, qwerty keypad, internet browsing, touch screen, slider design. Dual SIM, Music player,5 MP camera, qwerty keypad, internet browsing 3 MP camera, touch screen with stylus, internet, email Dual SIM, Music player,3 MP camera, qwerty keypad,

Celkon

05

Karbon

80

Micromax

105

Nokia Samsung

21 28

Lava

07

Spice

74

Iball

36

Videocon

44

LG Lemon

19 10

Sony Ericsson Source: www.mysmartprice.com www.mobilepriceindia.co.in Sangeethamobiles.com

05

internet browsing 2 MP camera, Walkman, touch screen, internet

There are many producers and many consumers in the market, and no business has total control over the market price. Consumers perceive that there are non-price differences among the competitors' products thus this segment of mobile handset market is monopolistic competition market.

MOBILE RANGING 15001-20000

NAME OF COMPANY HTC

NO. OF MODELS OF HANDSETS 7

FEATURES DUAL SIM,ANDROID,5 MP CAMERA WITH LED FLASH

NOKIA

full tilt slider QWERTY Keypad 4 inch AMOLED Touch screen, Gorilla Glass,. 3G and W-Fi Camera 8MP dual LED Flash. 3.7 inches, android 2.3, 5 MP Floating Touch,1 GHZ Dual core processor 5 MP ,ANDROID 3.0,1 GHZ PROCESSOR,LED FLASH 4.3 INCHES,5 MP,ANDROID V4,1 GHZ PROCESSOR 4.0" Super AMOLED screen Android 2.3, 1.4 GHz processor 5MP camera secondary VGA camera 4.03 TFT LCD,8 MP camera, Secondary 1.3MP Camera,Flash,Android 2.3, 1.6Ghz 3.7 Inches TFT LCD,Optical

SONY

ACER LG SAMSUNG

1 4 6

LAVA

BLACKBERRY

Trackpad,5 MP Camera OS:BlackBerry 7 OS Processor:1.2 GHz

Price range of Rs. 20000-25000

Mobiles(price range-2000025000) Samsung Number of handsets 40 Features Type Super AMOLED capacitive touchscreen, Proximity sensor for auto turn-off, Android OS, v4.0 Processor CPU Dual-core 1. microUSB GPS Support: Yes, with A-GPS support Large space screen Display and 12 MP camera & Xenon Flash . It has HDMI port and 4-row QWERTY keypad and Social networking integration. 3.2 Inch Fully Touch Screen Display, Meego Operating System Processor 1.2ghz,multimedia player, 5 megapixel camera, internet, wifi, 8GB memory, qwerty keypad, display TFT LCD

Nokia

Blackberry

16

HTC

19

Wi Fi with A2DP for wireless stereo headsets, GPS with A GPS support. Camera 5 MP, LED flash. Display 3.7 inches, Multi touch input method, Accelerometer sensor for auto rotate, Proximity sensor for auto turn off, Platform Android OS, v2.1 1 GHz processor. External Memory microSD to 16GB.., Voice memo, Digital compass, Dedicated search key. Talk time Up to 6 h 40 min 2G

Name of the company

Number of phones

Features

Sony Ericson

15

side-sliding QWERTY keyboard for the texting, 8megapixel camera with Geotagging, Face recognition, Image stabilizer ability to shoot HD resolution videos. Also it has wifi, 3G, & GPS
.

Price range of 25000-30000

Samsung

OS Android OS, v2.3 (Gingerbread) CPU Dual-core 1.2GHz ARM CortexA9 proccessor, MMS, Email, Push Mail, IM, RSS Radio Stereo FM radio with RDS GPS Yes, with A-GPS support Document editor (Word, Excel, PowerPoint, PDF) - Google Search, Maps, Gmail, YouTube, Calendar, Google Talk, Picasa integration - Adobe Flash 10.1 support - Predictive text input (Swype)

HTC

Android v2.3 (Gingerbread)Processor1.5 GHz Multimedia Music Player 3GP, 3G2, HD Video Document editor (Word, Excel, PowerPoint, PDF) - Google Search, Maps, Gmail, YouTube, Calendar, Google Talk, Picasa integration - Adobe Flash 10.1 support Android OS, v2.3 (Gingerbread), core 1.5 GHzMultimedia- LED-backlit Processor1.2 GHz Multimedia Music Player HD Video Playback BluetoothYes DisplayType: TFT LCD Office source, email PoP

Sony ericsson Blackberry

2 2

Mobile phone above Rs. 30000 Name of company Apple Samsung No of models 4 4 Features 16-64GB Memory, iOs6.1, 3.5 Retina display, 8MP camera, 3.5g, HD recording, GPS voice assist

Android v4.0 OS 8 MP Primary Camera

Secondary Camera Support 4.8-inch

Expandable Memory

Touchscreen 1.4GHz Quad core Processor 32 GB memory

Sony Ericsson

Sony Ericsson xperia ion

Android v4.0 OS 8 MP Primary Camera

Secondary Camera Support 4.0-inch Touchscreen 1.5Ghz quad core cpu 32GB memory

HTC

Blackberry

32GB, 3.4 Amoled screen, android 4.1, 8 MP camera, HD recording, Nvidia graphics, Quad core CPU BB OS 7.1, 1.2 Ghz processor, Liquid display, 32 GB memory, Slim (1cm) body

As the number players in this segment of market are very few and each firm is offering both homogenous and heterogeneous product offering and they are also price setter we can conclude the market as oligopolistic competition market.