p how Jio by entrepreneurial marketing tries to overcome

p { margin-bottom: 0.25cm; direction: ltr; line-height: 120%; text-align: left; }a:link { color: rgb(0, 0, 255); }

In
the novel, “Through the Looking Glass”, Alice sees the Red Queen,
life-size animated chess piece that runs relentlessly. Alice comments
breathlessly that everyone in the range of Red Queen seems to be
running continuously. The faster she runs, more she remains at same
place relative to others in uncertain environment.
The
Red Queen runs continuously. In the businesses, competition is
self-escalating and co-evolving. As in today’s world, there is
cut-throat competition and due to which margins are declining. The
rules of game in a hypercompetitive environment are dynamic. The Red
Queen effect is bad when new entrants come into the market. In the
competitive world, existing firms struggling to capture their shares
by improving efficiency and new entrant captures the niche in new or
existing market. Telecom industry is not escaped, Jio, a new rival
has changed the rules of game followed by other opponents earlier.
Marketers in this 21st
century must always be determined whether to create change or respond
to it. This paper reveals out how Jio by entrepreneurial marketing
tries to overcome Red Queen effect.

We Will Write a Custom Essay Specifically
For You For Only $13.90/page!


order now

Entrepreneurial
Marketing

Based
on a synthesis of perspectives (Bjerke and Hultman, 2002; Hills et
al., 2010; Morris et al., 2002), Entrepreneurial Marketing (EM) can
be defined as ‘the proactive identification and exploitation of
opportunities for acquiring and retaining profitable customers
through innovative approaches to risk management, resource leveraging
and value creation’.

The
traditional marketing concept focuses on customer and all activities
are directed to meet the needs of target segment. EM focuses on the
entrepreneur, a central force in marketing. EM gives the radar of
ship in the hands of entrepreneur and spotlight the entrepreneurial
role in marketing. Entrepreneur searches for and exploits
opportunities alongwith taking operating as well as strategic
decisions impacting market.

EM
is a tool for running effectively and efficiently in 21st
century competitive market environment and escaping Red Queen effect.

EM
as a tool for competitive advantage

The
primary objective of business is to earn profits by fulfilling the
needs of customers. To sustain in this competitive world, firms has
to have competitive advantage. For achieving competitive advantage,
firms have to be strategic. As resources are declining and
competition is increasing, firm need to adopt blue ocean strategy,
where new entrant create new market such as Cirque du Soleil
positioning as a new genre and away from traditional circus
entertainment (Kim and Mauborgne, 2004). Cirque du Soleil marketing
strategy focuses to be proactive as well as opportunity driven and
conforms to Morrish et al.’s (2010) conceptualization of EM
strategy. Firms that adopt for EM are entrepreneurial firms whether
they are large or small in size (Morrish et al., 2010). Reliance Jio
adopted opportunity-focused EM strategy which helps Reliance in
achieving the large customer base.
Jio
drove the market by influencing other firms in telecom sector
removing disagreeable firms to the rule of market framed by it and
created new preference among customers for high speed internet. This
type of work not only needs acquaintance with market but also with
the entrepreneurial drive and determination to achieve the best for
the organization (Matsuno et al., 2002).
EM
firms focuses towards market and entrepreneurial orientation.
Innovative marketing strategies gives competitive advantage to EM
firms whether they are pioneer in the industry or not. Jio was a
late follower in Indian telecom industry where existing players-
Vodafone, Idea, Airtel, BSNL and many others running on same business
model focusing voice as their revenue. It is the innovativeness of
Mukesh Ambani to provide unlimited free voice calls and 4G internet
at rock-bottom prices which distinguish it from other firms and
provide edge over them. This entrepreneurial approach to their
business is characterized by innovations allows later entrants to be
successful (Han et al. 2001).
Firms
having inclination to entrepreneurial face will have commitment to
innovation, risk taking and proactivity (Matsuno et al., 2002).
Reliance favored innovation and launched- Jio as a basis of
competitive advantage, quite unlike the nature of market orientation
firms, which seek to fulfill data with voice call needs cheaply in
quality and speedy manner. Instead of trying to understand what the
customer wants, Reliance allocated time and money in a Jio, what they
think customers want, an inherently risky strategy. Entrepreneurial
firm are proactive whereas market oriented firms are reactionary.
With the launch of Jio, all other telecom firms have changed their
tariffs and reacted to combat with the situation in order to survive
in Indian telecom sector.