live project on "a study on inc porvorim students preference towards various mobile service...

8/14/2019 Live Project on "A STUDY ON INC PORVORIM STUDENTS PREFERENCE TOWARDS VARIOUS MOBILE SERVICE PROVI

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A LIVE PROJECT REPORT

ON

A STUDY ON INC PORVORIM

STUDENTS PREFERENCE TOWARDS

VARIOUS MOBILE SERVICE

PROVIDERS

BY

Mr. BASANGOUDA GONAL

8NBGP020

(MBA 2008-2010)

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DECLARATION

I Hereby declare that the project report entitled A STUDY ON INCPORVORIM STUDENTS PREFERENCE TOWARDS VARIOUSMOBILE SERVICE PROVIDERS submitted for the degree of Masterof Business Administration, is my original work and the project reporthas not formed the basis for the award of any diploma, degree, associate

ship, fellowship or similar other titles.

Place:Date:

BASANGOUDA GONAL8NBGP020

MBA-II Sem2


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ACKNOWLEDGEMENT

Survey is an excellent tool for learning and exploration. No classroomroutine can substitute which is possible while working in real situations.Application of theoretical knowledge to practical situations is the

bonanzas of this survey.

Without a proper combination of inspection and perspiration, its noteasy to achieve anything. There is always a sense of gratitude, which weexpress to others for the help and the needy services they render duringthe different phases of our lives. I too would like to do it as I really wishto express my gratitude toward all those who have been helpful to medirectly or indirectly during the development of this project.

I would like to thank my Faculty Guide Mr. Chetan Hiremath who wasalways there to help and guide me when I needed help. His perceptivecriticism kept me working to make this project more full proof. I amthankful to him for his encouraging and valuable support.

Working under him was an extremely knowledgeable and enrichingexperience for me. I am very thankful to him for all the value additionand enhancement done to me.

Above all I shall thank my friends who constantly encouraged and

blessed me so as to enable me to do this work successfully.

-BASANGOUDA GONAL8NBGP020

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MBA 2008-2010

EXECUTIVE SUMMARY

All companies emphasize the importance of marketing in general and

customer preference in particular. The competition among various

mobile service providers is increasing steeply with the entry of new

players. Also very high expectations of the mobile users and their

increased demand towards specific esrvices have forced these service

providers to analyze and constantly keep track of the customer

expectations and needs. This indeed forms the need for study about

various services to be provided and how to analyze the customer

preferences towards different factors.

The title of the Live Project undertaken by me is A STUDY ON INC

PORVORIM STUDENTS PREFERENCE TOWARDS VARIOUS

MOBILE SERVICE PROVIDERS The basic objective of this study was

to understand the various factors which the INC students give

importance when they have to make a choice among various mobile

services available.

My research objective was to analyze the students satisfaction towardsvarious service providers. Also to analyze the impact of various

advertisement and promotional schemes launched by these service

providers. I have done a descriptive research survey on INC Porvorim

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students about their preference and behavior towards these service

providers.

The findings and analysis were focused on whether advertisement hasany effect on the preference or not.

I have undertaken a descriptive research methodology which includes an

analysis of primary as well as secondary data.

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TABLE OF CONTENT

SR NO. CONTENT PAGE NO.

ACKNOWLEDGMENT

EXECUTIVE SUMMARY

1 INTRODUCTION 8

2 OBJECTIVES 9

3 BACKGROUND 10

4 RESEARCH METHODOLOGY 21

5 DATA ANALYSIS 23

6 FINDINGS 27

7

8

CONCLUSIONSBIBLIOGRAPHY

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SCOPE OF THE STUDY

As learning is a human activity and is as natural, as breathing. Despite of

the fact that learning is all pervasive in our lives, psychologists do notagree on how learning takes place. How individuals learn is a matter ofinterest to marketers. They want to teach consumers in their roles astheir roles as consumers. They want consumers to learn about their

products, product attributes, potential consumers benefit, how to use,maintain or even dispose of the product and new ways of behaving thatwill satisfy not only the consumers needs, but the marketers objectives.

The scope of my study restricts itself to the analysis of studentspreferences, perception of different mobile service providers. The scopeof my study is also restricts itself to INC Porvorim students only.

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OBJECTIVES OF THE STUDY

The subject matter for this research Project is to study the INC Porvorim

students preference towards the various mobile service providers. Thisproject consists of different objectives. They are as follows:

To know about the student preference level associated withdifferent mobile service providers.

To find out the students satisfaction towards the various serviceproviders.

To know which advertisement media puts more impact on thebuying decision of students.

INTRODUCTION8


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Telecom Industry in India

The telecom industry is one of the fastest growing industries in India.India has nearly 200 million telephone lines making it the third largestnetwork in the world after China and USA. With a growth rate of 45%,Indian telecom industry has the highest growth rate in the world.

Much of the growth in Asia Pacific Wireless TelecommunicationMarket is spurred by the growth in demand in countries like India

and China.

Indias mobile phone subscriber base is growing at a rate of 82.2%.

China is the biggest market in Asia Pacific with a subscriber baseof 48% of the total subscribers in Asia Pacific. Compared to thatIndias share in Asia Pacific Mobile Phone market is 6.4%.

Considering the fact that India and China have almost comparablepopulations, Indias low mobile penetration offers huge scope forgrowth.

Cellular Service Overview9


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1. There are five private service operators in each area, and anincumbent state operator. Almost 80% of the cellular subscriber base

belongs to the pre-paid segment.

2. The DoT has allowed cellular companies to buy rivals within the sameOperating circle provided their combined market share did not exceed67 per cent. Previously, they were only allowed to buy companiesoutside their circle.

Growth Drivers

Opening up of international and domestic long distance telephonyservices are growth drivers in the industry. Cellular operators now getsubstantial revenue from these services, and compensate them forreduction in tariffs on air time, which along with rental was the mainsource of revenue. The reduction in tariffs for airtime, national longdistance, international long distance, and handset prices has drivendemand.

The Key players in the Telecom Market in India

Cellular Service provider:

1. BSNL

2. Airtel

3. Vodafone

4. Reliance

5. Tata Indicom6. Idea

Subscribers:

Wireless subscribers crosses 200 million mark

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Tele density reaches 21.20%

The total number of telephone subscribers has reached 241.02 million atthe end of August 2007 as compared to 232.87 million in July 2007. The

overall teledensity has increased to 21.20% in August 2007 as comparedto 20.52% in July 2007.

In the wireless segment, 8.31 million subscribers have been added inAugust 2007 while 8.06 million subscribers were added in July 2007.The total wireless subscribers (GSM, CDMA & WLL (F)) base reaches201.29 million at the end of August 2007.

Market Share of the telecom Company in India

Company Profile

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INTRODUCTION

Bharti Airtel formerly known as Bharti Tele-Ventures Limited(BTVL) is among India's largest mobile phone and Fixed Networkoperators. With more than 60 million subscriptions as of 13th February2008.[2] It offers its mobile services under the Airtel brand and isheaded by Sunil Mittal. The company also provides telephone servicesand Internet access over DSL in 14 circles. The company complementsits mobile, broadband & telephone services with national andinternational long distance services. The company also has a submarine

cable landing station at Chennai, which connects the submarine cableconnecting Chennai and Singapore. The company provides reliable end-to-end data and enterprise services to the corporate customers byleveraging its nationwide fiber optic backbone, last mile connectivity infixed-line and mobile circles, VSATs, ISP and international bandwidthaccess through the gateways and landing station.

Airtel is the largest cellular service provider in India in terms of numberof subscribers. Bharti Airtel owns the Airtel brand and provides thefollowing services under the brand name Airtel: Mobile Services (usingGSM Technology), Broadband & Telephone Services (Fixed line,Internet Connectivity (DSL) and Leased Line), Long Distance Servicesand Enterprise Services (Telecommunications consulting for corporate).Leading international telecommunication companies such as Vodafoneand SingTel held partial stakes in Bharti Airtel.

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In April 2006 Bharti Global Limited was awarded a telecommunicationslicense in Jersey in the Channel Islands by the local telecommunicationsregulator the JCRA. In September 2006 the Office of Utility Regulation

in Guernsey awarded Guernsey Airtel with a mobile telecommunicationslicense. In May 2007 Jersey Airtel and Guernsey Airtel announced thelaunch of a relationship with Vodafone for island mobile subscribers. InJuly 2007, Bharti Airtel signed a MoU with Nokia-Siemens for a 900Million dollar expansion of its mobile and fixed network. [3] In August2007, the company announced it will be launching a customized versionof Google search engine that will provide an 'array of services' to its

broadband customers.

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INTRODUCTION

A DREAM COME TRUEThe Late Dhirubhai Ambani dreamt of a digital India an India wherethe common man would have access to affordable means of informationand communication. Dhirubhai, who single-handedly built Indiaslargest private sector company virtually from scratch, had stated as earlyas 1999: Make the tools of information and communication available to

people at an affordable cost. They will overcome the handicaps ofilliteracy and lack of mobility.

It was with this belief in mind that Reliance Communications (formerlyReliance Infocomm) started laying 60,000 route kilometres of a pan-India fibre optic backbone. This backbone was commissioned on 28December 2002, the auspicious occasion of Dhirubhais 70th birthday,though sadly after his unexpected demise on 6 July 2002.

Reliance Communications has a reliable, high-capacity, integrated (both

wireless and wireline) and convergent (voice, data and video) digitalnetwork. It is capable of delivering a range of services spanning theentire infocomm (information and communication) value chain,including infrastructure and services for enterprises as well asindividuals, applications, and consulting.

Reliance Communications (formerly Reliance Infocomm), along withReliance Telecom and Flag Telecom, is part of RelianceCommunications Ventures (RCoVL). According to National Stock

Exchange data, Anil Ambani controls 66.75 per cent of the company,which accounts for more than 1.36 billion shares of the company.Reliance Infocomm is an Indian telecommunications company. It is theflagship company of the Reliance- Anil Dhirubhai Ambani Group,comprising of power (Reliance Energy), financial services (RelianceCapital) and telecom initiatives of the Reliance ADA Group. Reliance

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Infocomm is currently managed by Anil Dhirubhai Ambani.It usesCDMA2000 1x technology.

HISTORY

Reliance Infocomm was founded by Dhirubhai Ambani. Between 1999to 2002 Reliance Infocomm built 60,000 km of fiber optic backbone inIndia. This network was commissioned on December 28, 2002.

FOOTPRINT

At present, Reliance Telecom's GSM cellular services are available in340 towns within its eight-circle footprint. Reliance's CDMA servicesare available in 19 states and cover about 65% of the country, state wise.

Reliance Infocomm also offered for the first time in India, mobile dataservices through its R-World mobile portal. This portal leverages thedata capability of the CDMA 1X network.BUSINESS REVIEW

Wireless EBITDA increased to Rs. 3,984 crore (US$ 924 million) fromRs. 2,250 crore (US$ 522 million). Margins expanded to 37% from 31%.

EBITDA of the Global business increased by 98% during the twelvemonths ended March 31, 2007 to Rs. 1,271 crore (US$ 295 million).EBITDA margins increased to 24% from 12% last year.In the same period, the Broadband business achieved revenue growth of123% to Rs. 1,144 crore (US$ 265 million), and EBITDA increased bymore than 6 times, to Rs. 519 crore (US$ 120 million). The EBITDAmargin crossed 45% in the twelve months ended March 31, 2007, from15% in the corresponding period in the previous year.

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INTRODUCTION

Bharat Sanchar Nigam Limited (known as BSNL, IndiaCommunications Corporation Limited) is a public sectorcommunications company in India. It is the India's largesttelecommunication company with 25.14% market share as on December31, 2007. Its headquarters are at Bharat Sanchar Bhawan, HarishChandra Mathur Lane, Janpath, New Delhi. It has the status of Mini-ratna - a status assigned to reputed Public Sector companies in India.

BSNL is India's oldest and largest Communication Service Provider(CSP). Currently BSNL has a customer base of 68.5 million (Basic &Mobile telephony). It has footprints throughout India except for themetropolitan cities of Mumbai and New Delhi which are managed byMTNL. As on December 31, 2007 BSNL commanded a customer baseof 31.7 million Wireline, 4.1 million CDMA-WLL and 32.7 millionGSM Mobile subscribers. BSNL's earnings for the Financial Year

ending March 31, 2007 stood at INR 397.15b (US$ 9.67 b) with netprofit of INR 78.06b (US$ 1.90 billion). Today, BSNL is India's largestTelco and one of the largest Public Sector Undertaking with estimatedmarket value of $ 100 Billion. The company is planning an IPO with in6 months to offload 10 % to public.

Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7thlargest Telecommunications Company providing comprehensive rangeof telecom services in India: Wireline, CDMA mobile, GSM Mobile,

Internet, Broadband, Carrier service, MPLS-VPN, VSAT, VoIPservices, IN Services etc. Within a span of five years it has become oneof the largest public sector units in India.

BSNL has installed Quality Telecom Network in the country and nowfocusing on improving it, expanding the network, introducing new

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telecom services with ICT applications in villages and wining customer'sconfidence. Today, it has about 47.3 million line basic telephonecapacity, 4 million WLL capacity, 20.1 Million GSM Capacity, more

than 37382 fixed exchanges, 18000 BTS, 287 Satellite Stations,

480196 Rkm of OFC Cable, 63730 Rkm of Microwave Networkconnecting 602 Districts, 7330 cities/towns and 5.5 Lakhs villages.

BSNL is the only service provider, making focused efforts and plannedinitiatives to bridge the Rural-Urban Digital Divide ICT sector. In factthere is no telecom operator in the country to beat its reach with its widenetwork giving services in every nook & corner of country and operatesacross India except Delhi & Mumbai. Whether it is inaccessible areas of

Siachen glacier and North-eastern region of the country. BSNL serves itscustomers with its wide bouquet of telecom services.

BSNL is numero uno operator of India in all services in its license area.The company offers vide ranging & most transparent tariff schemesdesigned to suite every customer. BSNL cellular service, CellOne, hasmore than 17.8 million cellular customers, garnering 24 percent of allmobile users as its subscribers. That means that almost every fourth

mobile user in the country has a BSNL connection. In basic services,BSNL is miles ahead of its rivals, with 35.1 million Basic Phonesubscribers i.e. 85 per cent share of the subscriber base and 92 percentshare in revenue terms.

BSNL has more than 2.5 million WLL subscribers and 2.5 millionInternet Customers who access Internet through various modes viz. Dial-up, Leased Line, DIAS, Account Less Internet (CLI). BSNL has beenadjudged as the NUMBER ONE ISP in the country.

BSNL has set up a world class multi-gigabit, multi-protocol convergentIP infrastructure that provides convergent services like voice, data andvideo through the same Backbone and Broadband Access Network. At

present there are 0.6 million DataOne broadband customers. Thecompany has vast experience in Planning, Installation, networkintegration and Maintenance of Switching & Transmission Networks

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and also has a world class ISO 9000 certified Telecom TrainingInstitute.

Scaling new heights of success, the present turnover of BSNL is more

than Rs.351,820 million (US $ 8 billion) with net profit to the tune ofRs.99,390 million (US $ 2.26 billion) for last financial year. Theinfrastructure asset on telephone alone is worth about Rs.630, 000million (US $ 14.37 billion). BSNL plans to expand its customer basefrom present 47 millions lines to 125 million lines by December 2007and infrastructure investment plan to the tune of Rs. 733 crores (US$16.67 million) in the next three years.

The turnover, nationwide coverage, reach, comprehensive range oftelecom services and the desire to excel has made BSNL the No. 1Telecom Company of India.

VODAFONE ESSAR

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Vodafone Essar, previously Hutchison Essar is a cellular operator inIndia that covers 16 telecom circles in India Despite the official name

being Vodafone Essar; its products are simply branded Vodafone. Itoffers both prepaid and postpaid GSM cellular phone coverage

throughout India and is especially strong in the major metros.

Vodafone Essar provides 2G services based on 900 MHz and 1800 MHzdigital GSM technology, offering voice and data services in 16 of thecountry's 23 license areas.

Vodafone Essar, previously Hutchison Essar is a cellular operator inIndia that covers 16 telecom circles in India. Despite the official name

being Vodafone Essar, its products are simply branded Vodafone. Itoffers both prepaid and postpaid GSM cellular phone coveragethroughout India and is especially strong in the major metros.

Vodafone Essar provides 2G services based on 900 MHz and 1800 MHzdigital GSM technology, offering voice and data services in 16 of thecountry's 23 license areas.

OWNERSHIP:

Vodafone Essar is owned by Vodafone 52%, Essar Group 33%, andother Indian nationals, 15%. On February 11, 2007, Vodafone agreed toacquire the controlling interest of 67% held by Li Ka Shing Holdings inHutch-Essar for US$11.1 billion, pepping Reliance Communications,Hinduja Group, and Essar Group, which is the owner of the remaining33%. The whole company was valued at USD 18.8 billion. Thetransaction closed on May 8, 2007.

PREVIOUS BRANDS:

In December 2006, Hutch Essar re-launched the "Hutch" brandnationwide, consolidating its services under a single identity. TheCompany entered into agreement with NTT DoCoMo to launch i-modemobile Internet service in India during 2007.

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The company used to be named Hutchison Essar, reflecting the name ofits previous owner, Hutchison. However, the brand was marketed asHutch. After getting the necessary government approvals with regardsto the acquisition of a majority by the Vodafone Group, the company

was rebranded as Vodafone Essar. The marketing brand was officiallychanged to Vodafone on 20 September 2007.

On September 20, 2007 Hutch becomes Vodafone in one of the biggestbrand transition exercises in recent times. Vodafone Essar is spendingsomewhere in the region of Rs 250 crores on this high-profile transition

being unveiled today. Along with the transition, cheap cell phones havebeen launched in the Indian market under the Vodafone brand. There are

plans to launch cobranded handsets sourced from global vendors as well.A popular daily quoted a Vodafone Essar director as saying that "theobjective is to leverage Vodafone Group's global scale in bringingmillions of low-cost handsets from across-the-world into India."While there is no revealing the prices of the low-cost Vodafonehandsets, the industry is abuzz that prices might start at Rs 666,undercutting Reliance Communications' much hyped 'Rang Barse' with

cheap handsets beginning at Rs 777.

RESEARCH METHODOLOGY

Survey design:

The study is a cross sectional study because the data were collected at a

single point of time. For the purpose of present study a related sample ofpopulation was selected on the basis of census.

Sample Size and Design:

A sample size of 70 students was taken on the basis of census.20


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S=Z2*P*(1-P)C2

Assuming significance level C=5%Then for c=5% Z=1.64The proportion p=0.12

Hence we get S=112

Research Instrument:

This work is carried out through self-administered questionnaires. Thequestions included were open ended, dichotomous and offered multiplechoices.

Data Collection:

The data, which is collected for the purpose of study, is divided into 2bases:

Primary Source: The primary data comprises informationsurvey of target students. The data has been collected directly fromrespondent with the help of structured Questionnaires.

Secondary Source: The secondary data was collected frominternet and References from Library.

Data Analysis:

The data is analyzed on the basis of suitable tables by usingmathematical techniques. The technique that I have used is pie charts,Spearmens Rank correlation coefficient and Kruskal-Wallis test.

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DATA ANALYSIS AND INTERPRETATION

Sex ratio of the respondents

Particulars Number %

Male 36 52

female 34 48

1.Do you have any mobile Connection?

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Yes 70 100

No 0 0

2.How many mobile connections do you have?Particulars Number %

One 49 79

Two 18 25

Three 1 2

>three 2 3

3. Which service are you using?


Prepaid 58 83

Postpaid 10 14

both 2 3

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5. Which Mobile connection are you currently using?

Particulars Number %BSNL 6 9

Airtel 8 12

Vodafone 36 51

Reliance 3 4

Tata Indicom 2 3

Idea 15 21

6.Are you satisfiedwith the

services?


Yes 58 83

No 12 17

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7. Which factor do you give the highest preference?


Coverage 34 49

Call charges 22 31

Promotional Schemes 9 13

GPRS 5 7

OTHERS 0 0

8. Does

advertisement

play important role in

your preference

making?

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9. Which Advt. media puts more impact on your

preferencemaking?

10. Would you like to change your current service

provider in the near future?

STASTICAL ANALYSIS AND FINDINGS

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Yes 17 24

No 53 76


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COVERAGE CALL CHARGES ADVERTISEMENT

BSNL 4 2 0

AIRTEL 2 6 5

VODAFONE 20 8 36

RELIANCE 3 0 3

TATA INDICOM 2 3 2

IDEA 6 9 15

37 28 61

Null Hypothesis Ho= No significant preference for coverage, callcharges and advertisement as far as overall service is concerned.

Alternate Hypothesis HA = a significant preference for various factors

is given attention as far as the overall mobile service is concerned.

Analytical Tool used = Kruskal-Wallis Test when more than two

factors are considered testing.

Assigning Ranks

Coverage Call charges Advertisement

BSNL 9 14.5 17.5

Airtel 14.5 6.5 8

Vodafone 2 5 1

Reliance 11 17.5 11

Tata 14.5 11 14.5

Idea 6.5 4 3

57.5 (R1) 58.5 (R2) 55 (R3)

Formula:

H= 12 [ R12/n1 +R2

2/n2 + R32/n3] 3(n+1)

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n(n+1)

Calculated H= 0.389

DOF=2

Assuming =5%

Chi Square value X2=5.991

Since the calculated value is within the acceptance region, hence we

accept the null hypothesis stating that there is No significant preference

for coverage, call charges and advertisement as far as overall service isconcerned.

This is again proved by the individual ranks also(R1, R2, R3) which show

no significant variation.

But since the overall observations show that there is a high preference

for the advertisement factor, so we have to analyze this test across the

rows also.

Null Hypothesis Ho= No significant difference in preference exists evenwhen individual service providers are considered.

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Alternate Hypothesis HA= A significant difference exists whenindividual mobile service provider is considered.

Coverage Call Charges Advertisement BSNL 9 14.5 17.5 41

Airtel 14.5 6.5 8 29

Vodafone 2 5 1 8

Reliance 11 17.5 11 39.5

Tata 14.5 11 14.5 40

Idea 6.5 4 3 13.5

Formula:

H= 12 [ R12/n1 +R2

2/n2 + R32/n3] 3(n+1)

n(n+1)

Calculated H= 12.34

DOF=5

Assuming =5%

Chi Square value X2=11.024

Result:

The null hypothesis is rejected and we conclude that the preference forvarious factors plays an important role when individual mobile service

providers are considered.

FINDINGS

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As concluded from the stastical analysis there is No

significant preference for coverage, call charges and

advertisement as far as overall service is concerned.

The most important variable which has a major impact

or the most important factor is the coverage provided.

As observed from the pie chart that more than 87% of

the students feel that they are influenced by

advertisements of their services.

CONCLUSIONS

Vodafone provides the highest coverage area in Goa.30


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T.V. is the best media advertisement media that put more impacton the INC students buying behavior.

One interesting analyses found out is that students using BSNLservices say that any type of advertisement media has no impact ontheir preference while buying.

BIBLIOGRAPHY

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BOOKS:

Principles of Marketing Philip Kotler

Marketing Management ICFAI Publications

Business Research Methods ICFAI Publications

Web Resources: www.google.com

www.trai.gov.in www.bsnl.co.in www.goaedu.org
http://www.google.com/http://www.trai.gov.in/http://www.bsnl.co.in/http://www.goaedu.org/http://www.google.com/http://www.trai.gov.in/http://www.bsnl.co.in/http://www.goaedu.org/

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