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EVALUATION OF PRICING STRATEGIES IN TELECOM

SERVICES WITH SPECIAL REFERENCE TO MOBILE

SERVICES

Dissertation submitted in partial fulfillment of the requirements

Of

MASTER OF BUSINESS ADMINISTRATION

Bangalore University

Submitted by

PATOLIYA SACHIN P.

Reg. No: - 08 JQCM 6064

Under the Guidance of

Prof. ANJU KUMAR

Jayanagar, 7th block, Bangalore

2008 - 2010


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COLLEGE CERTIFICATE

This is to certify that Mr. PATOLIYA SACHIN P. Reg. No. 08

JQCM 6064 has completed and submitted the Dissertation report, titled

EVALUATION OF PRICING STRATEGIES IN TELECOM SERVICES

WITH SPECIAL REFERENCE TO MOBILE SERVICES under the

guidance of Prof. ANJU KUMAR in partial fulfillment of the requirement of

MBA of Bangalore University.

Date:05/05/2010 Dr. K.R.Mukunda

Place: Bangalore B.E., MBA (PGDM IIM B), Ph.D.

Director

Department of Management Studies

City College


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STUDENT DECLARATION

I, PATOLIYA SACHIN P, Register Number 08JQCM 6064student

of City College, Bangalore studying in fourth semester; here by declare that

this Dissertation entitled EVALUATION OF PRICING STRATEGIES IN

TELECOM SERVICES WITH SPECIAL REFERENCE TO MOBILE

SERVICES has been prepared by me in partial fulfillment for the award of

MBA Degree of Bangalore University.

This has not been submitted in part or full towards any other Degree

or Diploma to any University or Institution. I also declare that all

information, data and input which I have used and referred to in this report

are meant only for academic purpose and will not be parted with or used for

any commercial or other purpose.

Date: 05/05/2010 PATOLIYA SACHIN P.

Place: Bangalore Reg. No: 08 JQCM

6064


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GUIDE CERTIFICATE

Certified that this dissertation entitled EVALUATION OF

PRICING STRATEGIES IN TELECOM SERVICES WITH SPECIAL

REFERENCE TO MOBILE SERVICES submitted in partial fulfillment for

the award of MBA Degree of Bangalore University was carried out by,

PATOLIYA SACHIN P. Reg.No.08JQCM 6064 under my guidance. This

has not been submitted to any other University or institution for the award of

any degree/diploma/certificate

Date: 05/05/2010 PROF. ANJU KUMAR

Place: Bangalore


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ACKNOWLEDGEMENT

.

I am grateful to Dr.Vijayalakshmi, Principal, City College, Bangalore

for permitting me to do this project. I express my deep sense of gratitude to

our Director Dr.K.R.Mukunda, MBA, Director, Department of Management

Studies, City College, Bangalore. I express my thanks to Prof. H.S.Murthy,

MBA Head of the Department of Management Studies for his valuable

support and guidance to complete my project in proper way.

I wish to take this opportunity to express my gratitude to my guide

Prof. ANJU KUMAR, Department of Management Studies, City College,

Bangalore.

I would like to convey my regards to our Lecturers for their co-

operation and best guidance in carrying out the project work successfully.

Finally it is my foremost duty to thank all my respondents who helped

me to complete my fieldwork, without which this project would not have

been possible.

Date: 05/05/2010 PATOLIYA SACHIN P.Place: Bangalore Reg. No: 08 JQCM 6064


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CHAPTER

No.

CONTENTS PAGE

No.

I Introduction 1

II Research Design 16

III Company Profile 22

IV Analysis and

Interpretation 38V V.I Findings 73

V.II Suggestions 74V.III Conclusion 75

Bibliography 77Annexure 78

LIST OF TABLE

Serial CONTENTS PAGE


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No. No.

1 4.1 The age group of respondents 39

2 4.2 The occupation of respondents 41

34.3 The Brand of Cellular Phones used

434 4.4 Types of services that are subscribed 45

5 4.5 The schemes that are used 47

6 4.6 Prepaid /Postpaid scheme used in Vodafone 49

7 4.7 Prepaid /Postpaid scheme used in Airtel 51

8 4.8 Prepaid /Postpaid scheme used in Reliance 53

9 4.9 The call cost of the service 55

10 4.10 The present network of mobile phone service 57

11 4.11 The nature of the customer care service 59

12 4.12 The number of customer browsing GPRS 61

13 4.13 The users using plan for Browsing 63

14 4.14 The download speed for Browsing 65

15 4.15 The types of download by users 67

16 4.16 The opinion about sound clarity 69

17 4.17 The users response level with the mobile 71

18 3.1 Vodafone Financial Statement 7819 3.2 Airtel Financial Statement 78

20 3.3 Reliance Financial Statement 79

LIST OF CHARTS

SerialNo.

CONTENTS PAGENo.

1 3.1 Organization Chart of Vodafone Company 22

2 3.2 Organization Chart of Airtel Company 27

3 3.3 Organization Chart of Reliance Company 32


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4 4.1 The age group of respondents 40

5 4.2 The occupation of respondents 42

6 4.3 The Brand of Cellular Phones used 44

74.4 Types of services that are subscribed

468 4.5 The schemes that are used 48

9 4.6 Prepaid /Postpaid scheme used in Vodafone 50

10 4.7 Prepaid /Postpaid scheme used in Airtel 52

11 4.8 Prepaid /Postpaid scheme used in Reliance 54

12 4.9 The call cost of the service 56

13 4.10 The present network of mobile phone service 58

14 4.11 The nature of the customer care service 60

15 4.12 The number of customer browsing GPRS 62

16 4.13 The users using plan for Browsing 64

17 4.14 The download speed for Browsing 66

18 4.15 The types of download by users 68

19 4.16 The opinion about sound clarity 70

20 4.17 The users response level with the mobile 72

LIST OF ABBREVIATIONS

ABBREVIATION MEANING

TRAI Telecom Regulatory Authority of IndiaTDSAT Telecom Dispute Settlement and Appellate

Tribunal

GSMGlobal System Mobile


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CDMA Code Division Multiple Accesses

WLLWireless Local Loop

IT Information Technology

IFRS International Financial Reporting Standards

DTH Direct to Home

GDP Gross Domestic Product


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CHAPTER I

INTRODUCTION

CHAPTER I

Introduction

Pricing strategy is one of the important issues in telecom industry for

each player. Being a conjunctive focus between users and service provider,carrier's pricing strategy takes an outstanding role in telecom chain. Pricing

strategies comparing three companies namely Vodafone, Airtel and

Reliance.


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Pricing is a fundamental aspect of financial modeling, and is one of

the four Ps of the marketing mix. The other three aspects are product,

promotion, and place. It is also a key variable in microeconomic price

allocation theory. Price is the only revenue generating element amongst the

four Ps, the rest being cost centers. Pricing is the manual or automatic

process of applying prices to purchase and sales orders, based on factors

such as: a fixed amount, quantity break, promotion or sales campaign,

specific vendor quote, price prevailing on entry, shipment or invoice date,

combination of multiple orders or lines, and many others. Automated

systems require more setup and maintenance but may prevent pricing errors.

Pricing is the process of determining what a company will receive in

exchange for its products. Pricing factors are manufacturing cost, market

place, competition, market condition, Quality of product.

The effective price is the price the company receives after accounting

for discounts, promotions, and other incentives.

Price lining

Price lining is the use of a limited number of prices for all your

product offerings.

Promotional price

Promotional pricing refers to an instance where pricing is the key

element of the marketing mix.

The price/quality relationship refers to the perception by most

consumers that a relatively high price is a sign of good quality. The belief in

this relationship is most important with complex products that are hard to

test, and experiential products that cannot be tested until used (such as most

services). The greater the uncertainty surrounding a product, the more
http://en.wikipedia.org/wiki/Financial_modelinghttp://en.wikipedia.org/wiki/Four_Pshttp://en.wikipedia.org/wiki/Marketing_mixhttp://en.wikipedia.org/wiki/Distribution_(business)http://en.wikipedia.org/wiki/Microeconomichttp://en.wikipedia.org/wiki/Four_Pshttp://en.wikipedia.org/wiki/Marketing_mixhttp://en.wikipedia.org/wiki/Financial_modelinghttp://en.wikipedia.org/wiki/Four_Pshttp://en.wikipedia.org/wiki/Marketing_mixhttp://en.wikipedia.org/wiki/Distribution_(business)http://en.wikipedia.org/wiki/Microeconomichttp://en.wikipedia.org/wiki/Four_Pshttp://en.wikipedia.org/wiki/Marketing_mix


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consumers depend on the price/quality hypothesis and the more of a

premium they are prepared to pay. The classic example of this is the pricing

of the snack cake britannia, which were perceived as low quality when the

price was lowered. Note, however, that excessive reliance on the

price/quantity relationship by consumers may lead to the raising of prices on

all products and services, even those of low quality, which in turn causes the

price/quality relationship to no longer apply.

Premium price

Premium pricing (also called prestige pricing) is the strategy of

consistently pricing at, or near, the high end of the possible price range tohelp attract status-conscious consumers. A few examples of companies

which partake in premium pricing in the marketplace include Rolex and

Bentley. People will buy a premium priced product because:

1. They believe the high price is an indication of good quality;

2. They believe it to be a sign of self worth - "They are worth it" - It

authenticates their success and status - It is a signal to others that

they are a member of an exclusive group;

3. They require flawless performance in this application - The cost of

product malfunction is too high to buy anything but the best -

example: heart pacemaker.

The term Goldilocks pricing is commonly used to describe the

practice of providing a "gold-plated" version of a product at a premium price

in order to make the next-lower priced option look more reasonably priced;

for example, encouraging customers to see business-class airline seats as

good value for money by offering an even higher priced first-class option.

Similarly, third-class railway carriages in Victorian England are said to have

been built without windows, not so much to punish third-class customers
http://en.wikipedia.org/wiki/Rolexhttp://en.wikipedia.org/wiki/Bentleyhttp://en.wikipedia.org/wiki/Rolexhttp://en.wikipedia.org/wiki/Bentley


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(for which there was no economic incentive), as to motivate those who could

afford second-class seats to pay for them instead of taking the cheaper

option. This is also known as a potential result ofprice discrimination.

The name derives from the Goldilocks story, in which Goldilocks

chose neither the hottest nor the coldest porridge, but instead the one that

was "just right". More technically, this form of pricing exploits the general

cognitive bias ofaversion to extremes. This practice is known academically

as "framing". By providing three options (i.e. small, medium, and large;

first, business, and coach classes) you can manipulate the consumer into

choosing the middle choice and thus, the middle choice should yield the

most profit to the seller, since it is the most chosen option.

Demand based price

Demand-based pricing is any pricing method that uses consumer

demand - based on perceived value - as the central element. These include :

price skimming, price discrimination and yield management, price points,

psychological pricing, bundle pricing, penetration pricing, price lining,

value-based pricing, geo and premium pricing. Pricing factors are

manufacturing cost, market place, competition, market condition, quality of

product.

Multidimensional price

Multidimensional pricing is the pricing of a product or service using

multiple numbers. In this practice, price no longer consists of a single

monetary amount (e.g., sticker price of a car), but rather consists of various

dimensions (e.g., monthly payments, number of payments, and a down

payment). Research has shown that this practice can significantly influence

consumers' ability to understand and process price information.
http://en.wikipedia.org/wiki/Price_discriminationhttp://en.wikipedia.org/wiki/Goldilockshttp://en.wikipedia.org/wiki/Cognitive_biashttp://en.wikipedia.org/w/index.php?title=Aversion_to_extremes&action=edit&redlink=1http://en.wikipedia.org/wiki/Price_skimminghttp://en.wikipedia.org/wiki/Price_discriminationhttp://en.wikipedia.org/wiki/Yield_managementhttp://en.wikipedia.org/wiki/Price_pointshttp://en.wikipedia.org/wiki/Psychological_pricinghttp://en.wikipedia.org/wiki/Product_bundlinghttp://en.wikipedia.org/wiki/Penetration_pricinghttp://en.wikipedia.org/wiki/Value-based_pricinghttp://en.wikipedia.org/wiki/Geo_(marketing)http://en.wikipedia.org/wiki/Price_discriminationhttp://en.wikipedia.org/wiki/Goldilockshttp://en.wikipedia.org/wiki/Cognitive_biashttp://en.wikipedia.org/w/index.php?title=Aversion_to_extremes&action=edit&redlink=1http://en.wikipedia.org/wiki/Price_skimminghttp://en.wikipedia.org/wiki/Price_discriminationhttp://en.wikipedia.org/wiki/Yield_managementhttp://en.wikipedia.org/wiki/Price_pointshttp://en.wikipedia.org/wiki/Psychological_pricinghttp://en.wikipedia.org/wiki/Product_bundlinghttp://en.wikipedia.org/wiki/Penetration_pricinghttp://en.wikipedia.org/wiki/Value-based_pricinghttp://en.wikipedia.org/wiki/Geo_(marketing)


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Pricing Strategies

Price planning that takes into view factors such as a firm's overall

marketing objectives, consumer demand, product attributes, competitors'

pricing, and market and economic trends.

Pricing strategy is one of the important issues in telecom industry for

each player in the tri-game model. Being a conjunctive focus between users

and service provider, carrier's pricing strategy takes an outstanding role in

telecom chain.

Marketing Mix (Seven Ps):

Product Solution

Promotion Information

Price Value

Placement Access

Process Delivered

Physical Evidence Tangible evidence

People Dealing

Pricing Strategies:

Premium Pricing, Penetration Pricing

Economy Pricing, Value Pricing

Price Skimming, Promotional Pricing

Psychological Pricing, Geographical Pricing


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Background of the study

Indian telecom sector is one of the oldest and largest networks in the

world. With more than 40 million telephone lines spread across all the states

Indian telecom is a giant setup. The sector that was tilled recently dominated

only by the government is now seeing the rise of the private service provider

for the first time. The sector was one of the biggest monopolies in the

country. The Indian telecom sector consists of the communication ministry

at the top. There is an autonomous regulatory body called the Telecom

Regulatory Authority of India (TRAI). The government issues the licenses to

service provide under various categories to provide the telecom services to

the consumer.

The Structure of Indian Telecom Industry

Low Quality High

Low

Price

High

Pricing Strategies Matrix

Penetration

Skimming Premium

Economy


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Major Telecom Services

The major telecom services available in the country are classified as

given.

Fixed land line or Basic Services

Cellular Services

National Long Distance Services

Internet and Data Services

Paging Services

Satellite Telephony

Brief History

Over 150 years ago a new industry began in India that transformed the

country forever. It was the beginning of the telegraph industry in India. This

Ministry of

Communication

BSNL /MTNL

Government

Department of

Telecom

TRAI

Regulator

Basic Telecom

Service

Other Service

Provider

Cellular Service

Provider


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was followed few years later by the launch of telephone services in country.

It is important to note the fact that the Indian telecom was entirely in the

hands of private sector till all the operators were taken over by the

government in 1943. India has less than subscribers at the time of

independence. In 1997 government passed the TRAI Act and it was

amended in the year 2000 to recognize and strengthen the regulator. A new

body called TDSAT (Telecom Dispute Settlement and Appellate Tribunal)

was also constituted to resolve any dispute between the services provider

and the government. The government decision to liberalize the sector way

back in 1999 has made it an exciting one. India today has 40million fixed

telephone lines and 14 million mobile phone users.

Geography of Indian Telecom

The entire country was divided in to different circles for ease of

administration. In majority of the case the boundaries of circle and states

were the same. The government used the same circle for allocation of license

to the private services providers. The licenses were issued according to the

circle. An unlimited number of private players have been allowed in each

circle. There are a total of 24 telecom circle in the country. However for

private services providers the license was issued only for 21 circles.

History of Telecom

Were Alexander Graham Bell to be here today, he would be one

proud man. When he invented the telephone, Bell summed up his approach

to life and invention. Leave the beaten track occasionally and dive into the

woods. Every time you do so you will be certain to find something that you

have never seen before. Follow it up, explore all around it, and before you

know it, you will have something about occupies your mind. All really big


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discoveries are the result through. It has been said that Bell invented by

searching for it in places were other inventors would never think to look. It

was Bell ability to believe in the impossible that gave world one of most

important inventions.

It was on Sunday June 25, 1876, in Philadelphia, when Bell

demonstrated his new invention at the centennial exhibition. The exhibition

was organized to celebrate the 100th anniversary of the singing of the

declaration of independence. The telephone was its star attraction. It was

here that the first word crackling over the telephone wire. Pandemonium

broke out as scientists raced to see if Bell voice another room indeed

produced the sounds. It is believed that shortly after the telephone invention,

Bell wrote to his father, The day is coming when telegraph wires will lie

onto houses just like water or gas, and friends will converse with each other

without leaving home. Bell certainly had no doubts about the importance of

his new invention, but would he ever have imagined telephone lines being

used to transmit video images? Since his death in 1992, the

telecommunication has undergone an amazing revolution. Bells Electrical

speech machine has paved the way for the information superhighway.

Mobile Services

Cellular services operations made their debut in India in the year 1995

96. License in the metros began their operations and 15 other were given

license to provide services in 18 circles. Modi Telstra in Calcutta was the

first to start, followed by Bharti cellular in Delhi. Delhi had the largest

number of subscribers during this period and Bharti had the lead in this

market.

Industry Profile


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Communication is believed to be one of the most crucial factors in the

evolution of mankind. It was only after groups of people settled in various

parts of the globe started interacting with each other that ideas and more

importantly, knowledge began to be exchanged. In the modern world too a

strong communication system is perhaps the first visible symbol of enhanced

awareness and therefore, development. The oldest telecommunications

service in India is the telegraph services, which was introduced in 1851.

Mobile

A mobile or cellular phone as it is generally called, is a two way

communication device, which enable us to receive as well as transmit vocal(conversational or telephonic) message anywhere or anytime however the

clause anywhere and anytime depend upon a particular services provider

network.

The governments of India recognized that the provision of a world

class telecommunication infrastructure and information is the key to rapid

economic and social development of the country. It is critical not only for

the development of the information technology industry, but also widespread

ramification on the entire economy in the country. It is also anticipated the

going forward, a major part of the GDP of the country would be contributed

by this sector.

Accordingly, it is of vital importance to the country that there are a

comprehensive and forward looking telecommunication policy which creates

an enabling framework for development of this industry.

Mobile Phone Network


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Call from the

Mobile phone toNetwork

Reception and

TransmissionTower

Reception andTransmission

Tower

To AnotherMobile


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Vodafone

Vodafone (Hutch) is brought to you by Hutchisson telecom, on of the

worlds leading cellular services providers. Vodafone chairman is a Sir John

Bond. And market capital is a 1, 26,920 million pound. We are known for

our innovation approach and world class technology. Our goal is to provide

you superior product and services, anytime and anywhere. Hutchisson

established its presence in India in 1994, through a joint venture with max

India Ltd. In 1995, Hutchisson max telecoms become the first operator in

India to launch its cellular services.

Today, Hutchisson is one of the largest providers of cellular services

in India with presence in the entire major region orange in Mumbai and

Vodafone in Gujarat, Calcutta, Andhra Pradesh, Karnataka, Delhi and

Chennai. It is also the countrys largest roaming operator, with a more

extensive network in India and around the world than any other operator.

To Another Cellular Network

Mobile Switching

Center The DOTExchange


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It is part of the Hong Kong based multinational conglomerate

Hutchisson Whampoa limited, a fortune 500 company and one of the largest

company listed on the Hong Kong Stock Exchange. Its operations span 36

countries across the Asia pacific region Europe and the Americas. Hutch in

now Vodafone but for this project report we consider name as Hutch only

comfort for the respondent. Vodafone using technology is only for GSM.

Features

Highly satisfied customers

Strong Network Coverage

Easy Billing, Easy Payment Options. Anytime Anywhere

Long Distance Calling Facility

Credit limit

GPRS - Roaming

Airtel

Airtel comes to you from Bharti Cellular Limited. A part of the

biggest private integrated telecom conglomerate Bharti Enterprises. Airtel

chairman is a Mr. Sunil Mittal. And market capital is an Rs.1, 06,038 crores.

Airtel launched its services in Delhi on November 14, 1995. It has present

over six lakh fifty thousand customers in its six year of pursuit of grater

customer satisfaction. Airtel has redefined the business through marketing

innovations continuous technological up gradation of the network

introduction of new generation value added services and the highest standard

of customer care. Bharti Enterprises has been at the forefront of technology

and has revolutionized telecommunication with it is world class product and

services.


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Established in 1976, Bharti has been a pioneering force in the telecom

sector with many firsts and innovations to its credit. Bharti provides a range

of telecom services. Which include cellular, basic, internet and recently

introduced National Long Distance? It has over one million satisfied

customers. Technology is using for the GSM and WLL.

Features

Largest numbers of customer base

Easy Payment Options, Anytime Anywhere

Credit limit, Best Value Plan

Strong Network Coverage Long Distance Calling Facility

Widest Roaming - National and International, GPRS -

Roaming

Say it. In more than just words, with Services from Airtel

Reach us, Anytime Anywhere

RelianceDhirubhai Ambani had dreams to place the power of information and

communication technology in the hands of the common man to change the

way Indian communicates and connect with the world. Reliance

communication is run by Anil Dhirubhai ambani Group. And market capital

is an Rs.3, 21,395 crores. Reliance infocom is recommitted to make that

dream come true. This is a built a state of the art infrastructure cutting

across the length and breadth of India. It is offer multiple services in the

fixed line as well as mobile space, voice, data and value added services.

Dhirubhai was not just firmly rooted in tradition Indian values but was also a

quintessential modern man the man of the new millennium. This was clearly


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reflected in his passion for mega sized projects. The most advanced

technology the highest level of productivity.

The corporate philosophy he followed was short simple and succinct

Think big. Think differently. Think fast. Think ahead. Aim for the best.

He inspired the reliance team to do better than best not only in India but also

in the world. Dhirubhai Ambani, founders chairman of the Reliance Group

had an acute sense that education alone empowers people. He was a grater

communicator. He communicated to inspire, to guide, to educate and to

motivate. He employed telephone as a powerful tool to achieve these goals.

He used telephone to defect distance to compare time and to remain abreast

of events. He was acutely aware of the power of information and

communications. With mobile devices net ways and broadband system

linked to powerful digital networks, Reliance infocom usher fundamental

changes in the social and economic landscape of India. Technology using is

a CDMA, GSM, and WLL

Nokia and Reliance Communications Ltd have joined hands to

market.

Reliance Comm. forays into video conferencing

Reliance Communications rolled out a range of mobile handsets

Priced at between Rs. 777 and Rs. 888, sharing by half to one-third

the existing entry level mobility costs in the country.

Reliance Communications Ltd has informed that the Board of

Directors of the Company at its meeting held on July 17, 2007, has

appointed Shri. A K Purwar, former Chairman of State Bank of India,

as Director of the Company with effect from July 17, 2007.


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Reliance Communications Ltd has launched Money Transfer through

Mobile phones across the country through it's tie-up with ICICI Bank.

Features

Wide Rang mobile phone

CDMA, GSM, and WLL Technology

Cheapest calling rate

Widely establish network

Largest numbers of customer base

Easy Payment Options, Anytime Anywhere

Technology

CDMA

CDMA Stands for Code Division Multiple Accesses. Both data and

voice are separated from signals using codes and then transmitted using a

wide frequency range. Because of this, there are more space left

for data transfer (this was one of the reasons why CDMA is the preferred

technology for the 3G generation, which is broadband access and the use

of big multimedia messages). 14% of the worldwide market goes to

CDMA. For the 3G generation CDMA uses 1x EV-DO and EV-DV. It

has a lot of users in Asia, especially in South Korea.

GSM

GSM stands for Global System Mobile. Even though it is sold as "the

latest technology" in several countries, this technology is older than

CDMA (and also TDMA). But keep in mind that this doesn't mean that


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GSM is inferior or worse than CDMA. Roaming readiness and fraud

prevention are two major advantages from this technology. GSM is the

most used cell phone technology in the world, with 73% of the

worldwide market. It has a very strong presence in Europe.

WLL

WLL (wireless local loop) technology is poised for greatness. While

the WLL market has fallen behind the mobile wireless market for now,

improvements in 3G technologies will create a major market for fixed

WLL systems by 2006. In addition to cellular and PCS LMDS andMMDS will become key technologies to deliver voice video and data

services to underserved markets.


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CHAPTER II

RESEARCH DESIGN

CHAPTER II

Research DesignThis chapter briefly describe the design of the study, beginning from

the title of the study and goes on to explain the objective, scope of the study,

methodology, sampling, field work, analysis and finally the limitation of the

study.


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Meaning of the Research Design

Research design is the arrangement of condition and analysis of data

in a manner that aims to combine relevance to the research purpose with

economy in procedure. In other words it is a logical and systematic plan

prepared for directing a research study. It specifies the objective of the

study, the methodology and the techniques to be adopted for achieving the

objectives.

Nature of Research Design

A research design is indispensable for a research project unlike the

building plan which is precise and specific. Research design is a tentative

plan with series of guide posts to keep one going on in a right direction. It

undergoes modifications, as circumstances demand when the study

progresses. New aspects, new conditions and new relationship come to light

when the study deepens.

A research is purely and simply the frame work or plan for a study that

guides the collection and analysis of the data. It is a blue print that is

followed in completing a study.

The study must be relevant to the problem.

The study must employ economical procedures.

The design of investigation should stem for the problem.

The basic research designs are whether the design is productive in

given problem setting depends on how imaginatively they are applied.

An understanding of the basic design is needed so that they can be

modified to suit specific purpose.

Statement of the problem


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Today is the world of inventions and innovations and that lies in a

customer who is dynamic in his beliefs, attitude and his satisfaction level. It

is needless to affirm that marketing is a new way of thinking about how

companies and other organization can develop beneficial change with target

customer who is always inclined in seeking to satisfy some needs and wants.

Hence the problem is how we can find more customers for what services we

provide, how the company can live up to their expectations and understand

the different aspects of the customers views.

Need for the study

Cell phone has become a part of everyones life. In this study we try tounderstand Bangalore users who are using different services provided by the

subscriber. So there is also needed to study.

What services are provided by the various cellular services providers

now a days and how they can provide better services to the

subscribers.

Understand different aspects of customers views and satisfactions.

What new services are being provided by the various service

providers?

Objectives of the study

This study is to understand the services and pricing strategies in India.

To find out the strengths and the weakness of pricing strategies intelecom service in India of the selected companies namely Vodafone,

Airtel and Reliance.


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To study the present network of the mobile phone services provided at

Bangalore and identify various complaint of the subscribers on

various aspect like clarity, distribute and call cost, services charges.

To study the level of customer satisfaction of the various users of

services provider and to know which services provider has the

maximum number of satisfied customers.

To study the companies response to customer needs and wants.

To suggest the measures for service improvement.

Scope of the study

Today the telecommunications industry is undergoing a revolution.

Many types of branded companies are entering in to this field. This has

given rise to the opening of the competitive mobile phone service stations

like Airtel, Vodafone, and Reliance infocom, Spice, BSNL and Tata indicom

to offer the requisite services to the cellular users. With the study we can get

some suggestions from subscribers for services improvements in terms of

quality. In the study we can find out the level of customer satisfaction. Wecan also identify the causes for customer dissatisfaction like disturbance, call

cost, more service charge and clarity of sound and delivery of the product.

Research Methodology

Descriptive research design are determined for some definite purpose

a number of research studies can be based on such design it is focused on

accurate description of the variables present in the problem.

Source of data


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Secondary data

Secondary data refers to that which has already been

collected by someone. Secondary data for the study was

collected from

- Published literature

- Brochures, Books

- Internet

Primary data

Primary data refers to collection of fresh data and

recorded for the first time. The primary data for the study

was collected through questionnaire. The various

methods of collecting primary data is conducting

surveys, through observation or through direct

communication with respondents.

- Questionnaire method

Sampling technique

Convenience sampling technique

Sample size

A total number of 100 respondent were included in the study of these

most were software engineers of software companies and student and also

the general public.

Out of the sample collected the break up of the sample size was on the

following parameters.

The respondents were taken from all the kinds of class i.e. high, lower

and middle classes. The respondents have been chosen on random

basis.


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These respondents were the software engineers, businessman,

government employees, students etc.

Some were students of engineering college, management colleges and

under graduate colleges.

Also the opinion of local people had been taken.

The sample size consists of 100 respondents.

Sample Frame

As Bangalore city is a metropolitan and its population is in millions

and there are large number of sectors. The population universe in the city of

Bangalore being vast in size, it was difficult to conduct 100 percent coverage

of the study within the limited period. Hence the sample survey method is

adopted for this study.

Analysis technique

Analysis technique used here is questionnaire method, and tabulations

method to be used etc.

A Market analysis is a documented investigation of a Market that isused to inform a firm's planning activities particularly around decision of

inventory, purchase, work force expansion/contraction, facility expansion,

and purchases of capital equipment, promotional activities, and many other

aspects of a company.

Limitation of the study The users of cellular phones are geographically wide spread and hence

contacting all them might not happen in the given duration.


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The information collected may not be sufficient and reliable in terms

of total market condition in India as Bangalore represents only a small

portion of the total national market.

Respondents may be inaccurate or biased.

Research limited to Bangalore City only.

Some of the organization respondents may not provide complete data.

Possibility of error in data collection.


34/100

CHAPTER III

COMPANY PROFILE

CHAPTER III


35/100

Vodafone

Organization Chart

Chart No.3.1 Organization Chart of Vodafone Company

Vodafone

Vodafone Essar is the Indian subsidiary of Vodafone Group and

commenced operations in 1994 when its predecessor Hutchison Telecom

Vittorio

colaoCEO

Michel

Combes

CEO Europe

Region

Andy

Halford

CEO

Greece

United

Kingdom

Nick Read

CEO

Asia Pacific

East Region

China

Human

Resource

Business

Developm

ent

Italy

Germany

Global

Technology

GlobalMarketin

g

Egypt

India

Strategy

Improvem

ent

Group

Legal


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acquired the cellular license for Mumbai. The company now has operations

across the country with over 94.14 million customers

Vodafone is the world's leading international mobile communications

group with approximately 333 million proportionate customers as on 31

December 2009. Vodafone currently has equity interests in 31 countries

across five continents and around 40 partner networks worldwide.

Vodafone Group Plc (Vodafone) is engaged in providing service, such

as voice, messaging, data and fixed line and others. Voice services include

provision of mobile voice communications. Messaging include text, picture

and video messaging using mobile devices. Date services provide e-mail,

mobile connectivity and Internet on Your mobile. Fixed lines provide

customers with fixed broadband and fixed voice and date solutions.

Other services include mobile advertising and business managed

services, as well as incoming roaming and wholesale mobile virtual network

operators. On December 30, 2008, Vodacom Group (Pty) Limited

(Vodacom) acquired the carrier services and business network solutions

subsidiaries of Gateway Telecommunications SA (Pty) Ltd. In January 2009,

Verizon Wireless completed its purchase of Alltel Corporation from Atlantis

Holdings LLC. On April 20, 2009, the Company acquired an additional 15%

stake in Vodacom. On May 18, 2009, Vodacom became a subsidiary of the

Company.

Product Profile

Products promoted by the Group include Vodafone live!, Vodafone

Mobile Connect USB Modem, Vodafone Connect to Friends, Vodafone
http://en.wikipedia.org/wiki/Vodafone_live!http://en.wikipedia.org/wiki/Vodafone_Mobile_Connect_USB_Modemhttp://en.wikipedia.org/wiki/Vodafone_Mobile_Connect_USB_Modemhttp://en.wikipedia.org/w/index.php?title=Vodafone_Connect_to_Friends&action=edit&redlink=1http://en.wikipedia.org/wiki/Vodafone_live!http://en.wikipedia.org/wiki/Vodafone_Mobile_Connect_USB_Modemhttp://en.wikipedia.org/wiki/Vodafone_Mobile_Connect_USB_Modemhttp://en.wikipedia.org/w/index.php?title=Vodafone_Connect_to_Friends&action=edit&redlink=1


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Passport, Vodafone Freedom Packs, Vodafone at Home, Vodafone 710 and

Amobee Media Systems. Between June and August 2009, Vodafone

suspended roaming charges within 35 different countries, allowing their

customers to take their standard UK price plan abroad.

In October 2009, it launched Vodafone 360 a new internet service for

the mobile, PC and Mac. On February 15, 2010 Vodafone launched world's

cheapest mobile phone known as Vodafone 150, will sell for below $15

(10) and is aimed at the developing world. It will initially be launched in

India, Turkey and eight African countries including Lesotho, Kenya and

Ghana

Company Background

Type : - Limited

Founded : - 1994 as Hutchison Essar

Headquarters : - Mumbai, Maharashtra, (India)

Industry : - Mobiletelecommunications

Products : - Mobile networks, Telecom services, Etc.

Owner(s) : - Vodafone Group (67%), Essar Group (33%)

Employees : - 10,000 March 31, 2009

Website : - www. Vodafone India.com

Company Vision
http://en.wikipedia.org/wiki/Amobee_Media_Systemshttp://en.wikipedia.org/w/index.php?title=Vodafone_150&action=edit&redlink=1http://en.wikipedia.org/wiki/Types_of_business_entityhttp://en.wikipedia.org/wiki/Limited_companyhttp://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/Maharashtrahttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Industryhttp://en.wikipedia.org/wiki/Mobile_phonehttp://en.wikipedia.org/wiki/Telecommunicationshttp://en.wikipedia.org/wiki/Product_(business)http://en.wikipedia.org/wiki/Ownershiphttp://en.wikipedia.org/wiki/Vodafone_Grouphttp://en.wikipedia.org/wiki/Essar_Grouphttp://en.wikipedia.org/wiki/Employmenthttp://en.wikipedia.org/wiki/Websitehttp://www.vodafone.in/pages/index.aspxhttp://en.wikipedia.org/wiki/Amobee_Media_Systemshttp://en.wikipedia.org/w/index.php?title=Vodafone_150&action=edit&redlink=1http://en.wikipedia.org/wiki/Types_of_business_entityhttp://en.wikipedia.org/wiki/Limited_companyhttp://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/Maharashtrahttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Industryhttp://en.wikipedia.org/wiki/Mobile_phonehttp://en.wikipedia.org/wiki/Telecommunicationshttp://en.wikipedia.org/wiki/Product_(business)http://en.wikipedia.org/wiki/Ownershiphttp://en.wikipedia.org/wiki/Vodafone_Grouphttp://en.wikipedia.org/wiki/Essar_Grouphttp://en.wikipedia.org/wiki/Employmenthttp://en.wikipedia.org/wiki/Websitehttp://www.vodafone.in/pages/index.aspx


38/100

To enrich our customer's lives through the unique power of mobile

communication

Company Mission

Passion for Customers

Our customers have chosen to trust us. In return, we must strive to

anticipate and understand their needs and delight them with our

service.

Value our customers above everything else and aspire to make

their lives richer, more fulfilled and more connected.

Must always listen and respond to each of our customers.

Strive to delight our customers, anticipating their needs and

delivering

Passion for our People

Outstanding people working together make Vodafone

exceptionally successful.

Attract, develop, reward and retain outstanding individuals.

Empowerment and personal accountability and enjoy what we do.

Passion for Results

Action-oriented and driven by a desire to be the best.\We are

committed to be the best in all we do.

All play our part in delivering results and speed flexibility and

efficiency in all we do.


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Passion for the World around Us

Recognize the responsibilities that accompany the growth we have

achieved.

This will be a force for good in the world.

A spirit of partnership and mutual respect is critical in all our

activities.

Future Plan

Email Accounts:- You can add up to 10 business and/or personal

email accounts easily and configure each one individually though the

Internet or from your Blackberrysmart phone

Organizer: - Stay updated with timely access to Contacts, Calendar,

Tasks, and Memo pads even when you're away from your desktop

Instant Messaging: - Blackberry smart phones support Instant

Messaging with YahooMessenger and Google Talk, so you can stay

in touch with your contacts while on the move.

View attachments: - Check all the most widely used attachment

formats including JPEG, BMP, TIFF, Microsoft Word, Excel and

PowerPoint, CorelWordPerfectand AdobePDF.

Easy set up: - Set up your email accounts in just a few clicks. Youcan do it online at your computer, or right from the smart phone itself.

The set up does not need any server installation or IT resources.


40/100

Airtel

Organization Chart

Chart No.3.2 Organization Chart of Airtel Company

Chairman and

Managing

Director

CEO India /

South Asia

CEO Internal

Business

PresidentEnterprise

Services

Director DTH

Services

President

Mobile Services

Telemedia

Services

Executive

DirectorNetwork

Services

Executive

Director Human

Resource

Director Legal

and Regulatory

Executive

Director Supply

Chain

Executive

Director

Finance

Director IT


41/100


42/100

Company Background

Name : - Bharti Airtel Limited.

Business Description : - Provides GSM mobile services in all the 22

telecom circles in India, the first private operator

to have an all India presence fixed line and

broadband services through DSL in 95 cities in

India.

Established : - July 07, 1995, as a Public Limited Company

Proportionate Revenue : - Rs.369, 615 million (March 31, 2009)

Proportionate EBITDA : - Rs.151, 678 million (March 31, 2009)

Shares in Issue : - 3,796,951,980 as at Dec 31, 2009

Listings : - The Stock Exchange, Mumbai (BSE)

The National Stock Exchange of India Limited

(NSE)

Customer Base : - 118,864,031 GSM mobile

Registered Office : - Bharti Airtel Limited (A Bharti Enterprise)

Bharti Crescent, 1 Nelson Mandela Road, Vasant

Kunj Phase II, New Delhi - 110 070


43/100

Company Vision

Airtel Nigeria's primary focus is on various aspects of the

telecommunications industry in Nigeria and our vision is to excel in

the following core telecommunications areas.

Electronic Distribution involves the trading of airtime electronically

via Point of Sale Terminals over the GSM networks backbone.

This ensures that subscribers can acquire airtime for their phones

without unnecessary stress of the purchasing of phone cards.

Company Mission

Sales and after sales service of mobile phones and accessories.

This aspect of our business entails the sales and distribution of a new

line of very functional mobile phones, after sales service and sale of

accessories under an Agency Agreement. Airtel is currently the sole

distributor of Sagem mobile phones and accessories in Nigeria.

GSM Payphones In a bid to ensure availability of a means of

communication round the country. Airtel will be deploying GSM payphones in and around Nigeria, with

special emphasis in the rural areas.

Phones, Fax Machines and Photocopiers. This area of our business is

centered on the sale of wireless office equipment for the operations of

vast business industries and communities in Nigeria.

Future Plan

Easy Billing: - Enjoy a host of rich features only with Airtel e-bill.

Register free on My Airtel section and view your monthly bill with

call details for last three months.


44/100

Easy Payment Options: - Anytime Anywhere You can choose from a

host of convenient payment options only with Airtel.

Credit limit: - Your pre-set credit limit mentioned on your monthly

bill helps you keep your mobile charges in control, keeps track of

your usage and ensures that your mobile phone is not misused

Strong Network Coverage: - Enjoy complete clarity when calling

with Airtel .It offers you world class technology and unbreakable

network coverage that spans over 23 circles across the country.

Long Distance Calling Facility: - Call long distance calls in India

and Overseas with STD / ISD facility on your Airtel.

GPRS Roaming: - Use Airtel Postpaid GPRS services, while

roaming, to access the internet and office mails (e.g. Blackberry

services), from almost anywhere in India and abroad.


45/100

Reliance

Organization Chart

Chart No.3.3 Organization Chart of Reliance Company

Board of

Director

President

Director

Marketing

Director

Research

Development

Director

Corporate

Finance

Director

Finance

Director

Equity

Division

Fixed

Income

Division

Finance

/Account

Division

Risk

Management

Division

Business

DevelopmentDivision

Strategic

DevelopmentDivision

Information

TechnologyDivision

ResearchDivision

Corporate

SecretarySecretary


46/100

Reliance

The Reliance Group, founded by Dhirubhai H. Ambani (1932-2002),

is India's largest private sector enterprise, with businesses in the energy andmaterials value chain. Group's annual revenues are in excess of US$ 28

billion. The flagship company, Reliance Industries Limited, is a Fortune

Global 500 company and is the largest private sector company in India.

Backward vertical integration has been the cornerstone of the

evolution and growth of Reliance. Starting with textiles in the late seventies,

Reliance pursued a strategy of backward vertical integration - in polyester,

fiber intermediates, plastics, petrochemicals, petroleum refining and oil and

gas exploration and production - to be fully integrated along the materials

and energy value chain.

The Group's activities span exploration and production of oil and gas,

petroleum refining and marketing, petrochemicals (polyester, fiber

intermediates, plastics and chemicals), textiles, retail and special economic

zones.

Reliance enjoys global leadership in its businesses, being the largest

polyester yarn and fiber producer in the world and among the top five to ten

producers in the world in major petrochemical products.

Major Group Companies are Reliance Industries Limited (including

main subsidiary Reliance Retail limited) and Reliance Industrial

Infrastructure Limited
http://www.ril.com/http://www.ril.com/


47/100

Product Profile

The Company expanded into textiles in 1975. Since its initial public

offering in 1977, the Company has expanded rapidly and integrated backwards into other industry sectors, most notably the production of

petrochemicals and the refining of crude oil.

The Company now has operations that span from the exploration and

production of oil and gas to the manufacture of petroleum products,

polyester products, polyester intermediates, plastics, polymer intermediates,

chemicals and synthetic textiles and fabrics.

The Company from time to time seeks to further diversify into other

industries. The Company's subsidiary Reliance Jamnagar Infrastructure

Limited is currently establishing infrastructure facilities such as roads and

buildings for the proposed Special Economic Zone (SEZ) at Jamnagar,

Gujarat.

The Company's major products and brands, from oil and gas to

textiles are tightly integrated and benefit from synergies across the

Company. Central to the Company's operations is its vertical backward

integration strategy raw materials such as PTA, MEG, ethylene, propylene

and normal paraffin that were previously imported at a higher cost and

subject to import duties are now sourced from within the Company.

The Company believes that this strategy is also important in

maintaining a domestic market leadership position in its major product lines

and in providing a competitive advantage.


48/100

The Company's operations can be classified into four segments namely:

Petroleum Refining and Marketing business

Petrochemicals business

Oil and Gas Exploration & Production business

Others

The Company has the largest refining capacity at any single location.

Largest producer of Polyester Fiber and Yarn

4th largest producer of Polypropylene (PP) and Paraxylene (PX)

6th Largest producer of Purified Terephthalic Acid (PTA)

7th largest producer of Mono Ethylene Glycol (MEG)

Company Background

Type : - Public (NSE: RELIANCE)

Founded : - 1966 As Commercial Corporation

Headquarters : -Navi Mumbai, India

Key people : - Mukesh Ambani (Chairman) & (MD)

Industry : - OilConglomerates

Products :-Petroleum and Petroleum Products

Retail stores, Polymers, Polyesters,

Chemicals, Textile
http://en.wikipedia.org/wiki/Types_of_business_entityhttp://en.wikipedia.org/wiki/Public_companyhttp://en.wikipedia.org/wiki/National_Stock_Exchange_of_Indiahttp://www.nseindia.com/marketinfo/equities/quotesearch.jsp?companyname=RELIANCE&submit1=go&series=EQ&flag=0http://en.wikipedia.org/wiki/Navi_Mumbaihttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Mukesh_Ambanihttp://en.wikipedia.org/wiki/Chairmanhttp://en.wikipedia.org/wiki/Managing_Directorhttp://en.wikipedia.org/wiki/Industryhttp://en.wikipedia.org/wiki/Oilhttp://en.wikipedia.org/wiki/Conglomerate_(company)http://en.wikipedia.org/wiki/Product_(business)http://en.wikipedia.org/wiki/Retailinghttp://en.wikipedia.org/wiki/Polymerhttp://en.wikipedia.org/wiki/Polyesterhttp://en.wikipedia.org/wiki/Chemicalhttp://en.wikipedia.org/wiki/Textilehttp://en.wikipedia.org/wiki/Types_of_business_entityhttp://en.wikipedia.org/wiki/Public_companyhttp://en.wikipedia.org/wiki/National_Stock_Exchange_of_Indiahttp://www.nseindia.com/marketinfo/equities/quotesearch.jsp?companyname=RELIANCE&submit1=go&series=EQ&flag=0http://en.wikipedia.org/wiki/Navi_Mumbaihttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Mukesh_Ambanihttp://en.wikipedia.org/wiki/Chairmanhttp://en.wikipedia.org/wiki/Managing_Directorhttp://en.wikipedia.org/wiki/Industryhttp://en.wikipedia.org/wiki/Oilhttp://en.wikipedia.org/wiki/Conglomerate_(company)http://en.wikipedia.org/wiki/Product_(business)http://en.wikipedia.org/wiki/Retailinghttp://en.wikipedia.org/wiki/Polymerhttp://en.wikipedia.org/wiki/Polyesterhttp://en.wikipedia.org/wiki/Chemicalhttp://en.wikipedia.org/wiki/Textile


49/100

Corporate Office : - Reliance Industries Limited

Makers Chambers - IV,

Nariman Point,

Mumbai 400 021. India.

Revenue : - US$27.43 billion (2009)

Total equity : - US$21.31 billion (2009)

Website : - www.RIL.com

Company Vision

Our strengths to execute complex global-scale projects to facilitate

leading-edge Information and communication services affordable to

all individual consumers and businesses in India.

This offer unparalleled value to create customer delight and enhance

business productivity.

Generate value for our capabilities beyond Indian borders and enablemillions of India's knowledge workers to deliver their services

globally.

Company Mission

Global best practices and become a world-class communication

service provider guided by its purpose to move towards greater degree

of sophistication and maturity.

Innovation and dedication to achieve excellence in service quality,

reliability, safety and customer care as the ultimate goal.

Achieve high growth with the highest levels of productivity.

Encourage ideas, talents and value systems.
http://en.wikipedia.org/wiki/Revenuehttp://en.wikipedia.org/wiki/US$http://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Websitehttp://www.ril.com/http://en.wikipedia.org/wiki/Revenuehttp://en.wikipedia.org/wiki/US$http://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Websitehttp://www.ril.com/


50/100

Promote a work culture that fosters individual growth, team spirit and

creativity to overcome challenge and attain goals.

Future Plan

Reliance has approached the government seeking Spectrum in 1800

MHz frequency to start GSM services in the country.

Reliance Communication, has been offering GSM-based services in

six circles including Kolkata, West Bengal, Madhya Pradesh, Orissa,

Bihar and North-East while the parent company operates CDMA

services in these circles as well as rest of India.

If Reliance Communication plans to start GSM services, the company

would have to pump in as much as Rs 1,200 crore in two cities of

Delhi and Mumbai alone to set up the network, going by the industry.

The company has been talking to various GSM equipment vendors to

look at various options.


51/100

CHAPTER IV

ANALYSIS AND INTERPRETATION OF DATA


52/100

Chapter IV

Introduction to analysis Data

The process of arranging data in to groups or classes according to

resemblance and similarities is technically called classification.

Classification is the process of arranging the data into sequences and

groups according to their common characteristic or separating them into

different related parts. The data can be calculated on the following bases of

geographical area.


53/100

Section A

1. Table Showing The age group of respondents

Age No. of Respondents Percentage

15 20 Year 17 17

21 30 Year 52 52

31 40 Year 19 19

41 Year Above 12 12

Total 100 100

Source:Survey Data

Interpretation:

This table shows that majority of respondents belong to the age group

between 21 30 year is a 52 percent, 19 percent are of the age group

between 31 40 year, 17 percent are of the age group between 15 20 year

and the rest 12 percent are of the age group between 41 year above.

1. Chart Showing The age group of respondents


54/100

17

52

1912

0

10

20

30

40

50

60

15 20 Year 21 30 Year 31 40 Year 41 Year Abo

Age Group of Respondents

No.ofResp

ondents

Source: Table No.1

Inference:

This shows that the major section of the age group of respondents from age

group of 21 30 and the total response from them is 52 percent.

2. Table Showing The occupation of respondents


55/100

Occupation No. of Respondents Percentage

Student 55 55

Employee 29 29

Self Employed 16 16

Total 100 100

Source:Survey Data

Interpretation:

Majority of respondents were students at 55 percent, 29 percent were

employee and the rest 16 percent were self employed.

2. Chart Showing The occupation of respondents


56/100

55

29

16

0

10

20

30

40

50

60

Student Employee Self Employed

Respondents occupation

No.ofResp

ondents

Source: Table No.2

Inference:

This shows that the major section of the age group of respondents from

group of students and the total response from them is 55 percent.

Section B


57/100

1. Table Showing The Brand of Cellular Phones used

Mobile Brand No. of Respondents Percentage

Nokia 66 66Motorola 12 12

Ericsson 12 12

Samsung 6 6

Siemens 0 0

Others 4 4

Total 100 100

Source:Survey Data

Interpretation:

This table shows that majority of the respondents use nokia i.e.66 percent,

12 percent uses Motorola and Ericsson, 6 percent uses Samsung and 4

percent of the respondents use other brand cell phone.

1. Chart Showing The Brand of Cellular Phones used


58/100

66

12 126

04

0

10

20

30

40

50

60

70

80

Nokia Motarola Ericsson Samsang Siemens Others

Brands of Cellular Phones

No.o

fRespon

dents

Source: Table No.1

Inference:

This shows that the major section of the group of respondents who are using

Nokia mobile phones and the total response from them is 66 percent. There

is no response for Siemens cellular phone.

2. Table Showing The services that are subscribed


59/100

Services No. of Respondents Percentage

Vodafone 34 34

Airtel 48 48

Reliance 18 18

Total 100 100

Source:Survey Data

Interpretation:

That table shows that 48 percent of the respondents use Airtel, 34 percent of

the respondents use Vodafone and 18 percent uses Reliance.

2. Chart Showing The services that are subscribed


60/100

34

48

18

0

10

20

30

40

50

60

Vodafone Airtel Reliance

Services

No.ofRespo

ndents

Source: Table No.2

Inference:

This shows that the major section of the services users from Airtel only and

the total response is 48 percent.

3. Table Showing The schemes that are used


61/100

Schemes No. of Respondents Percentage

Prepaid 80 80

Postpaid 20 20

Total 100 100

Source:Survey Data

Interpretation:

Majority of the respondents use prepaid connection i.e. 80 percent and 20

percent use postpaid connection.

3. Chart Showing The schemes that are used


62/100

80

20

0

10

20

30

40

5060

70

80

90

Prepaid Postpaid

Scheme used by Respondents

No.ofRespon

dents

Source: Table No.3

Inference:

That shows that the major respondents are using prepaid service only and

total response is 80 percent.

4. Table Showing The Prepaid /Postpaid scheme used in

Vodafone


63/100


Night Calling 6 17.65

SMS Pack 20 58.82Full Talk Time 6 17.65

V To V Free 2 5.88

Total 34 100

Source:Survey Data

Interpretation:

Table shows that 58.82 percent of the respondents use Vodafone sms pack,

17.65 percent of the respondents use Vodafone night calling and full talk

time and 5.88 percent of respondents use Vodafone to Vodafone free.

4. Chart Showing The Prepaid /Postpaid scheme used in

Vodafone


64/100

6

20

6

2

0

5

10

15

20

25

Night

Calling

SMS Pack Full Talk

Time

V To V

Free

Prepaid/Postpaid scheme in Vodafone

No.ofRespondents

Source: Table No.4

Inference:

This shows that the major respondents are using Vodafone SMS Pack

service and the total response is 58.82 percent.


Airtel



65/100

Night Calling 4 8.33

SMS Pack 16 33.33

Full Talk Time 22 45.84

A To A Free 6 12.50

Total 48 100

Source:Survey Data

Interpretation:

Table shows that 45.84 percent of the respondents use Airtel full talk time,

33.33 percent of the respondents use SMS Pack, 12.50 percent Airtel to

Airtel free and 8.33 percent of respondents use Airtel Night Calling.


Airtel


66/100

4

16

22

6

0

5

10

15

20

25

Night

Calling

SMS Pack Full Talk

Time

A To A

Free

Prepaid/Postpaid scheme in Airtel

No.ofRespondents

Source: Table No.5

Inference:

This shows that the major respondents are using Airtel full talk time service

and the total response is 45.84 percent.


Reliance


67/100


Night Calling 0 0

SMS Pack 6 33.33

Full Talk Time 4 22.22

R To R Free 8 44.45

Total 18 100

Source:Survey Data

Interpretation:

Table shows that 44.45 percent of the respondents using Reliance to

Reliance free, 33.33 percent of the respondents use SMS Pack, 22.22 percent

of the respondents Reliance full talk time and none of the respondents were

using Reliance Night Calling.


Reliance


68/100


69/100

Average 27 19 14

Low 6 8 2

Total 43 36 21

Source:Survey Data

Interpretation:

It is clear from the table that most of the Vodafone users i.e. 10 respondents

feel that the call costs are high, 27 respondents feel that it is average and 6

feel that it is low. The majority of the Airtel users i.e. 9 respondents feel that

the call costs are high, 19 respondents feel that it is average and 8 feel that it

is low. The Reliance users i.e. 5 respondents feel that the call costs are high,

14 respondents feel that it is average and 2 feel that it is low.

7. Chart Showing The call cost of the service


70/100

10 9

5

27

19

14

68

2

0

5

10

15

20

25

30


No.ofRespo

ndents

Hi h Avera e Low

Source: Table No.7

Inference:

This shows that the major respondents are feeling that the present call cost of

Vodafone is very high compare to other service providers and the total

response is 27.

8. Table Showing The present network of mobile phone

service


71/100

Network Vodafone Airtel Reliance

High 9 17 12

Normal 19 22 9

Low 7 3 2

Total 35 42 23

Source:Survey Data

Interpretation:

It is clear from the table among the Vodafone users, 9 respondents are highly

satisfied with the network, 19 respondents feel that it is normal and 7 feelthat it is low. The majority of the Airtel users i.e. 3 respondents are not

satisfied with the network, 22 respondents feel that it is normal and 17 feel

that it is high. The users of Reliance i.e. 2 respondents are not satisfied with

the network, 9 respondents feel that it is normal and 12 feel that it is high.

8. Chart Showing The present network of mobile phone

service


72/100

9

17

12

1922

97

3 2

0

5

10

15

20

25


No.ofRespo

ndents

Hi h Normal Low

Source: Table No.8

Inference:

This shows that the major respondents are feeling that the present network of

Airtel is very high and powerful compared to other service providers and the

total response is 22.

9. Table Showing The nature of the customer care service

Nature Vodafone Airtel Reliance

Very Helpful 15 9 6


73/100

Helpful 27 22 9

Not Helpful 6 2 4

Total 48 33 19

Source:Survey Data

Interpretation:

It is clear from the table that most of the Vodafone users i.e. 15 respondents

are very highly satisfied with the customer care, 9 respondents feel that it is

helpful and 6 feel that it is not helpful. The majority of the Airtel users i.e. 2

respondents are not satisfied with the customer care, 22 respondents feel that

it is the helpful and 9 feel that it is very helpful. The users of Reliance are 4

respondents are not satisfied with customer care, 9 respondents feel that it is

helpful and only 6 feel that it is very helpful.

9. Chart Showing The nature of the customer care service


74/100

15

96

27

22

96

24

0

5

10

15

20

25

30


No.ofRespo

ndents

Ver Hel ful Hel ful Not Hel ful

Source: Table No.9

Inference:

This shows that the major respondents are feeling that the present customer

care service of Vodafone is very helpful compare to other service providers

and the total response for that are 27.

10. Table Showing The number of customer browsing GPRS


75/100

Service No. of Respondents Percentage

Yes 60 60

No 40 40Total 100 100

Source:Survey Data

Interpretation:

Most of the people using the service of GPRS for browsing the net, for

different reason and at different level among 100 people survey 60 percent

people are using the GPRS service and rest of the 40 percent people do not

use the service at all.

10. Chart Showing The number of customer browsing GPRS


76/100

60

40

0

10

20

3040

50

60

70

Yes No

Usage of Services

No.ofResp

ondents

Source: Table No.10

Inference:

This shows that the major respondents are using GPRS services and total

response for that 60 percent.

11. Table Showing The users using plan for Browsing


77/100

Plans No. of Respondents Percentage

Daily 16 25.81

Weekly 18 29.03

Monthly 14 22.58

Yearly 14 22.58

Total 62 100

Source:Survey Data

Interpretation:

This table shows that 25.81 percent of the respondents use daily plan, 29.03

percent use it as weekly plan and 22.58 percent use it monthly and yearly.

11. Chart Showing The users using plan for Browsing


78/100

1618

14 14

0

5

10

15

20

Daily Weekly Monthly Yearly

Browsing Plans

No.ofResp

ondents

Source: Table No.11

Inference:

This shows that respondents of the browsing plan. More respondents are

using weekly service and the total response is 29.03 percent.

12. Table Showing The download speed for Browsing


79/100

Download Speed No. of Respondents Percentage

Strongly Satisfied 6 8.57

Satisfied 34 48.57

Moderate 22 31.43

Dissatisfied 8 11.43

Total 70 100

Source:Survey Data

Interpretation:

This table shows that 48.57 percent of the respondents are satisfied with the

download speed for the browsing, 31.43 percent of the respondents are

moderate with download speed and 8 percent of the respondents are not

satisfied with the download speed for the browsing.

12. Chart Showing The download speed for Browsing


80/100

6

34

22

8

0

10

20

30

40

Strongly

Satisfied

Satisfied Moderate Dissatisfied

Download Speed

No.ofRespondents

Source: Table No.12

Inference:

This shows that more numbers of respondents are satisfied with the

download speed for the browsing and total response is 48.57 percent.

13. Table Showing The types of download by users


81/100

Types of Download No. of Respondents Percentage

Study Material 26 28.89

Entertainment 18 20

Spiritual 24 26.66

Finance 14 15.56

Others 8 8.89

Total 90 100

Source:Survey Data

Interpretation:

Majority of respondents were student is 28.89 percent. And they download

mostly study material. And second majority response is entertainment,

finance and others downloads.

13. Chart Showing The types of download by users


82/100

26

18

24

14

8

0

5

10

15

20

25

30

Study

Material

Entertainment Spiritual Finance Others

Types of Download

No.ofRespondents

Source: Table No.13

Inference:

This shows that types of download by users and more numbers of

respondents are downloading study material and the total response is 28.89

percent. And other respondent is the purpose spiritual, finance,entertainment etc.

14. Table Showing The opinion about sound clarity


83/100

Sound Clarity Vodafone Airtel Reliance

Good 28 19 7

Average 17 13 10Bad 2 1 3

Total 47 33 20

Source:Survey Data

Interpretation:

It is clear from the table that most of the Vodafone users i.e. 28 respondentssays that the sound clarity is good, 17 respondents feel that it is average and

2 feel that it is bad. The majority of the Airtel users i.e. 1 respondent is not

satisfied with the sound clarity, 13 respondents feel that it is average and 19

feel that it is very good. The majority of the Reliance users i.e. 7 respondents

say that the sound clarity is good, 10 respondents feel that it is average and 3

feel. That it is bad.

14. Chart Showing The opinion about sound clarity


84/100


85/100

Users Response No. of Respondents Percentage

Strongly Satisfied 26 26

Satisfied 46 46Moderate 18 18

Dissatisfied 8 8

Strongly Dissatisfied 2 2

Total 100 100

Source:Survey Data

Interpretation:

Majority of the respondents were dissatisfied with the mobile services i.e. 8

percent and the 46 percent were satisfied with the service provided and 26

percent is strongly satisfied with the mobile phone services provided.

15. Chart Showing The users response level with the mobilephone services


86/100

26

46

18

82

0

10

2030

40

50

60

Strongly

Satisfied

Satisfied Moderate Dissatisfied Strongly

Dissatisfi

Users Response for Mobile Phone Services

No.ofRes

pondents

Source: Table No.15

Inference:

This shows the response of respondents toward their satisfaction, and major

group of respondent are satisfied with the mobile phone service providers

services and the total response is 46 percent.


87/100

CHAPTER V

SUMMARY OF FINDINGS, SUGGESTIONS

AND CONCLUSION

Chapter V

Findings


88/100

Mobile phones are used by all walks of society and a clear cut

demarcation cannot be made.

Respondents in the age group of 21-30 are the heavy users of mobile

phones.

Nokia brand of mobile is a clean winner as subscriber.

Subscribers are mainly using prepaid services instead of postpaid

services.

Airtel is a clear winner among all service providers as it is having

highest network, however Vodafone has got reasonable response in

terms of the low call cost and they are charging less then other service

provider.

Airtel has very good customer care services than the other service

providers.

Vodafone and Reliance have come out as providing bad customer

service.

Mobile phones in general are nowadays used for browsing but its havemoderate satisfaction level among all customers of all services

providers with speed as its very low and costly too.

Most of the respondents are satisfied with the services.

Suggestions


89/100


90/100

Conclusion

The deployment of alternative across networks has been recognized as

a means towards greater service competition and lesser regulation in the

telecom industry. In simple terms, the idea is that one each consumer could

choose from among multiple service providers, the need to regulate access

would wane. Competition in network provision or in access provision is

therefore considered to be the key to both fostering retail competition and to

reducing market power in the network provision side.

During the 1990s cellular access networks emerged as the most viable

alternative access network to the incumbents fixed access network. Cellularmobile telephony services were launched in the early 1980s as an expensive

service tailored to business customers. Since then cellular networks have

made tremendous contributions to reforms in telecommunications by

demonstrating the benefits of competition and innovation and by extending

connectivity. Cellular subscription has grown exponentially, exceeding

penetration rate of 60 percent in many countries, while the number of mobile

subscribers is rapidly overtaking the number of fixed lines. Mobile

telecommunications not only add the feature of mobility, but they also

complement and compete with the fixed line network for voice

communication. Cellular services have created a new way for entrants gain

access to customers and appear to have the maximum potential in breaking

the incumbents monopoly control over customer access for long major

problem in the telecommunications industry. Significantly mobile

telecommunications can play an increasingly important role in providing

universal service at a lower cost than fixed line service.

For users, mobile telecommunication offers the obvious benefits of

mobility and better service quality. Given the large benefits users are


91/100


92/100

BIBLIOGRAPHY

Reference Books

Philip Kotler S. ,Principles of Marketing, Pearson Publication, new

delhi, 11th Edition

Philip Kotler, Marketing Management, Millennium Edition, Prentice

Hall India, September 1999.

Valerie. Zeithamal, Service Marketing, the Mc Graw Hill

Companies, October 2002.

Adrian Payne, The essence of Service Marketing, Prentice Hall of

India, February 2001.

Ronald Rust and Anthony, Service Marketing, International student

edition, January 2002.

Magazine Referred

Business Today

India Today

Business Line

Website

www.NetMBA.com

www.google.com

www.Vodafone India.com

www.RIL.com

www.airtel.com
http://www.netmba.com/http://www.google.com/http://www.vodafone.in/pages/index.aspxhttp://www.ril.com/http://www.airtel.com/http://www.netmba.com/http://www.google.com/http://www.vodafone.in/pages/index.aspxhttp://www.ril.com/http://www.airtel.com/


93/100

ANNEXURE


94/100

Financial Statement

Vodafone reports its results in accordance with International Financial

Reporting Standards (IFRS)

YearTurnover

m

Profit

before

tax m

Profit for

the year

m

Basic

EPS

Pr

Anil Proj Evaluation of Pricing Strategies in Telecom Services With Sp

Documents