“With this joint venture, Pantaloon is leveraging its already established presence in the retail space. This is a strategic business decision for Future Group and reinforces its commitment to be a serious player in the telecom wholesale, retail and after-sales service market in the country,” avers an industry expert. Pantaloon entered the mobile-phone retailing business in 2006.

Future Group with its wide presence and Axiom Telecom with its knowledge and expertise will be best positioned to retail and service the Indian telecom market. However, the company will have to deal with the short-interest span in new cell phone models and the competition from established chains like Virgin-Essar's Mobile Store and Subhiksha Mobile.

Last year, Essar Telecom Retail entered into an agreement with the UK-based Virgin Group for brand licensing, technical and consultancy services for its mobile-phone retail chain. It is learnt that the group has earmarked around Rs 1,500 crore for its new multi-branded telecom retail chain initiative over the next five years. The company plans to set up a chain of 2,500 outlets across 600 cities in the next three years. It recently tied up with Planet M to open The Mobile Store, a one-stop mobile solution retail chain, at Planet M outlets.

Winners
Nokia has teamed up with Srishti School of Art, Design and Technology in Bangalore to open its first studio in India . According to sources, the partnership is the first in a series planned to tap into the potential of countries, which are seen as design hotspots and best markets for the brand.

According to a Nokia official, “About 66.7 million mobile phones were sold in the country in 2006, the third largest in the world after the United States and China in terms of handsets sold. Out of the total, five per cent goes in organised trade. We are happy to see many organised retailers entering the market investing millions of dollars.” It is learnt that this is another reason for the company to set up its design studio, which is mainly focused at studying what Indian consumers require.

Whatever the stakes for the early entrants and the newcomers, the fight for the big pie will once again prove that the customer is king.