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What do 1-bob Airtel calls mean for Safaricom share price?
erifloss
#141 Posted : Wednesday, January 26, 2011 8:12:33 PM
Rank: Member


Joined: 6/21/2010
Posts: 514
Location: Nairobi
In the short run whatever airtel is doing is sustainable but in the long run i have my doubts. Look at what happened to them in India, it went to an extent where the profit margins were so low that they had to meet with reliance to iron out issues within the industry...
'They say money cannot buy me happiness but when i compare when i had none and now, i'm happier' Kevin O'leary
Bettertry
#142 Posted : Wednesday, January 26, 2011 11:54:37 PM
Rank: Member


Joined: 9/19/2010
Posts: 237
Location: Republic of Graham & Doddsville
Saw an excerpt interview of Rene Mezza on NTV biz news, he's was saying one of reason they're waging a price war is to break the mobile monopoly kenyans have been subjected to for a long time. l guess by that he meant they're willing to incur losses if that's what it'll take to break the monopoly, punda afe na mzigo ufike ! ! ! All l can say is good luck bratha + Pray Pray Pray na roho juu.
We Will Either Find a Way or Create One - HANNIBAL
hisah
#143 Posted : Thursday, January 27, 2011 6:58:28 AM
Rank: Chief


Joined: 8/4/2010
Posts: 8,977
@Bettertry - Airtel are already in full kamikaze deadly assault mode, so the fatality level is high in the name of breaking the monopoly. If biz was religion their sacrifice would be rewarded, but it doesn't work that way in the corporate game. They need to read more on 'the art of war'. You don't kill a great army through direct attack when inferior, you infiltrate it and kill it from within. They can start by getting back Claire Ruto.
In the meantime the 1/- promo has received numb response from the other 3 telcos, worrying to airtel and too bad for me coz I wont get safcom shares below 4/- as i had anticipated a panic sell bout. This 4-4.40 range has solid support since late 2009 especially foreigners.
$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
hisah
#144 Posted : Thursday, January 27, 2011 11:30:39 AM
Rank: Chief


Joined: 8/4/2010
Posts: 8,977
Mpesa has been operational in Fiji... I was not aware of this. http://www.fijitimes.com/story.aspx?id=163669

Wikipedia's info is not conclusive about the current Mpesa markets - http://en.wikipedia.org/wiki/M-Pesa
$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
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