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BW Businessworld

A Problem Of Plenty

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Are too many tariff schemes a good thing or bad? The much-hyped per-second pulse tariff by Tata DoCoMO is just one of the 3,000-odd tariff plans monitored by the Telecom Regulatory Authority of India (Trai).

One reason why there are so many plans is that operators do not need Trai's permission to launch new schemes. Too many plans might be confusing consumers, but operators have a different take. "We want to empower the customer," says Atul Bindal, president of mobile services at Bharti Airtel. Since operators can have up to 25 plans at a time, they tend to change schemes quite often. "We want to give something simple to the customers," says Deepak Gulati, president of Tata DoCoMo. Reliance Communications's president-MDCS Mahesh Prasad says though the firm has never had too many plans, it might introduce some in the future.

For customers, however, a plethora of options to choose from is not a bad thing.

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STRICTLY BUSINESS

China's 4-trillion yuan ($586-billion) stimulus package is doing more harm than good, says a study by the European Union Chamber of Commerce in China. The study finds that stimulus is creating overcapacity in the steel, aluminium, cement, chemical, refining and windpower equipment industries. China is adding capacity when demand is yet to recover.

(This story was published in Businessworld Issue Dated 07-12-2009)