mts project

8/4/2019 MTS Project

1/35

A

PROJECT REPORT

ON

COMPARATIVE ANALYSIS OF MTS Data Card M-BLAZE WITH OTHER BRANDS

DEVELOPED

FOR

SUBMITTED BY

Surojit Nag

REGD NO-102500710040

A REPORT SUBMITTED IN PARTIAL FULFILLMENT OF

THE REQUIREMENT OF MBA (INDUSTRY INTEGRATED) COURSE

SESSION: 2010-2012

Swami Vivekananda institute of management & computer science, Kolkata


2/35

DECLARATION

I Jayanta Ghosh here by declare that the projectComparative Analysis of MTS 3G with other Companies brands is being submitted in partial fulfillment

of is my Master of Business Administration 2009-2011 was carried by me with the sincere intention of

benefiting the organization.

To the best of my knowledge it is an original piece of work done be me and it has neither

been submitted with any other institution nor published at anywhere before.

SUROJIT NAG

MBA

Enrolment No: 102500710040 of 2010-2012

*ACKNOWLEDGEMENT*


3/35

Whatever I do and whatever I achieve during the course is just not done only by my own effort but there is always

some amount of hard effort contributed by other people, associated with it directly or indirectly.

I express my heartiest gratitude and offer my sincere thanks to Mr. Biplab Sadhu ofMTS 3G,under whose

jurisdictions I had completed my project. He has given me this opportunity to undertake this work and provided allguidance and help.

I am also indebted to Prof, Mr. P. K. Mathur ( Campus head SMU, Howrah )and my internal guide Mr.

Bhadury, Placement Cell and my faculties who acted as my mentor and helped me during my entire project.

Lastly I express my cordial gratitude to all my friends who directly or indirectly helped me to fulfill this project.

Thanking you,

Jayanta Ghosh

CONTENT


4/35

TITLE NAME PAGENO.

COMPANY PROFILE 5

MAJOR BRANDS 6

MTS PREFACE 7

OBJECTIVE OF THE RESEARCH 8

RESEARCH AND DEVELOPMENT 9

METHODOLOGY

RESEARCH METHODOLOGY 10

METHOD OF DATA COLLECTION 11

DATA INTERPRETATION 12-16

QUESTIONAIRE 17-18

LIMITATIONS 19

FINDINGS 20

RECOMMENDATION 21

LEARNINGS 22


5/35

CONCLUSION 23

*COMPANY PROFILE*

MTS is: The leading mobile phone operator in Russia and CIS A top 10 global mobile operator One of the 100 most powerful brands in the world*

A growing base of over 95 million subscribers within a market populationof 230 million

MTS, together with its subsidiaries, expanded its total subscriber base to over95 million as at December 31, 2008 The Russian regions, together with Ukraine, Uzbekistan, Turkmenistan,Armenia and Belarus, in which MTS and its associates and subsidiaries arelicensed to provide GSM services, constitute a total population of more than 230million people

Mobile TeleSystems OJSC ("MTS") is the leading telecommunications group inRussia, EasternEurope and Central Asia, offering mobile and fixed voice, broadband,pay TV as well as content andentertainment services in one of the world's fastestgrowing regions. Including its subsidiaries, as of December 31, 2009, the Groupserviced over 102.4 million mobile subscribers in Russia, Ukraine,Uzbekistan,

Turkmenistan, Armenia and Belarus, a region that boasts a total population of more

than230 million. The Groups fixed business, as of December 31, 2009, had a totalof 7.5 millionhouseholds passed, 1.3 million broadband Internet and 2.1 million pay-TV subscribers.MTS has been listed on the New York Stock Exchange since July2000 and trades under the ticker MBT. The Companys shares have been listedlocally on Moscow Interbank Currency Exchange(MICEX) since November 2003under the symbol MTSI. The free float of the Companys shares isapproximately46.7%. MTS is 52.8% majority-owned by Sistema, the largest private sectorconsumer services company in Russia and the CIS. In 2009, MTS' revenues reached$9.8 billion. According to Informa Telecoms & Media's World Cellular Information


6/35

Service, MTS ranks as the 9th largest operator in the world by proportionatesubscriptionsat the end of 2009.

Continued development of our value-added services (VAS) and high-speednetworks

MTS is focused on delivering the highest-quality products and services to itscustomer base, including VAS services such as:o Voicemailo Texto SMS and MMSo Internet (mobile broadband)o Newso Entertainment

o Emailo Ring-back toneso Mobile advertisingo Other data and content services

The Groups products, services and VAS are enabled by GSM, CDMA and3G/HSPA networks, with 3G services already available in 20 cities across Russia,in five cities in Uzbekistan, in three cities in Armenia and nationwide in Ukrainethrough a CDMA-450 network (as of April 2009)

Strong history of delivering shareholder value

MTS completed its IPO and listed its Level-III ADRs on the NYSE in July 2000,under the symbol MBT the second-ever Russian company to list on the NYSE The Companys shares have been listed locally on MICEX since November2003, under the symbol MTSI The free float of the Companys shares is approximately 46.7%* MTS is 52.8% majority-owned by Sistema, the largest diversified publiccorporation in Russia and the CIS The Company became SOX-compliant in 2007 MTS has been ranked as one of the most transparent companies in Russia byStandard & Poors MTS was named winner of the Best Investor Relations by a RussianCompany Award at the 10th annual IR Magazine Continental Europe Awards 2008

Garnering international recognition for our corporate accomplishmentsand the strength of our brand

In January 2008, MTS became the first Russian company to receive anomination in the 13th Annual Global Mobile Awards hosted by the GSMAssociation (GSMA), the global trade association for the mobile industry


7/35

In April 2008, MTS became the first Russian brand to be named among thetop 100 most powerful brands in BRANDZ 100, a ranking published bythe Financial Times and Millward Brown In May 2008, MTS was included in the InfoTech 100 ranking of the best-performing technology companies by Business Week In June 2008, MTS was recognized by Readers Digestas the Most Trusted

Brand among mobile operators in Russia In September 2008, MTS received three nominations for the WorldCommunications Awards 2008. The Company made the shortlist in the BestBrand, Best Mobile Operator and Best Project Management award categories In October 2008, MTS became the first and only Russian company to join theMobile Marketing Association

* Includes shares repurchased by the Company as part of the official stockrepurchase program and the mandatory buy-out in Q3 2008.

*Major Brands*

MTS BrandMTS launched its current brand in 2006, building on the reputation as the leader and highestquality operator in the region. The brand was developed to attract customers in a variety ofcultural, socio-geographic and income segments with the consistent message of quality andleadership. The strength of the brand was recognized internationally in 2008, when MTSbecame the first and only Russian company to enter BRANDZ Top 100 Most PowerfulBrands, a ranking published by the Financial Times and Millward Brown, a leading globalmarket research and consulting firm. In December 2008, MTS extended its brand outside

the CIS borders. MTS and Shyam Telelink Limited, JSFC Sistema's telecommunicationssubsidiary in India, announced the agreement to allow Shyam Telelink to use MTS brand inIndia. The decision to introduce the brand to India is reflective of the brands success inthe Companys markets of operation since its launch in May 2006

MTS is the global telecom brand of Mobile Tele Systems (MTS) OJSC (NYSE: MBT) of Russia. In December2008, Sistema Shyam Tele Services Ltd, a joint venture between Sistema (LSE-SSA) of Russia and ShyamGroup of India, brought the MTS brand into India under a brand license agreement with Mobile TeleSystems (MTS) OJSC. This extended the brand of MTS beyond the CIS. The agreement with MTS does notinclude participation of SSTL for launching MTS products, operations or services in India. The MTS brand isone of the most recognized in the world. The latest rankings from Millward Brown Optimor features theMTS brand as the 72nd most powerful brand globally with a value of $9.7 billion. In2008, MTS becamethe first and only Russian brand to enter BRANDZ Top 100 Most Powerful Brands, a ranking published

by the Financial Times and Millward Brown. MTS launched its current brand in 2006 in Russia, building onits reputation as the leading telecommunication group and highest quality operator in Russia,Eastern Europe and Central Asia. Currently the MTS brand operates in India offering voice & data servicesto over 4 million subscribers in the circles of Rajasthan, Bihar/Jharkhand, Kolkata, West Bengal & Sikkim,Chennai, Tamil Nadu, Kerala, Karnataka, Mumbai, Maharashtra/Goa, and Haryana/Delhi & NCR. With thelaunch of the Andhra Pradesh circle, MTS will be in 12 circles. MTS launched the high-speed mobilebroadband service, MBlaze, in November 2009 and has seen tremendous market acceptance with over70,000 satisfied customers in a short span of time. In April 2010, MTS launched MTS TV for MBlazecustomers


8/35

Geographic Coverage

Russia**Read Statistics

Population 140.7 mln

Population density 8 per km2

Mobile penetration 129%

MTS subscribers 64.6 mln

Market share 34%

Ukraine**Read Statistics

Uzbekistan**Read Statistics

Turkmenistan**

Read Statistics

Market Trends
http://annualreview2008.mtsgsm.com/overview/geographic_coverage/http://annualreview2008.mtsgsm.com/overview/geographic_coverage/http://annualreview2008.mtsgsm.com/overview/geographic_coverage/http://annualreview2008.mtsgsm.com/overview/geographic_coverage/http://annualreview2008.mtsgsm.com/overview/geographic_coverage/http://annualreview2008.mtsgsm.com/overview/geographic_coverage/http://annualreview2008.mtsgsm.com/overview/geographic_coverage/http://annualreview2008.mtsgsm.com/overview/geographic_coverage/


9/35

Russia and CIS Markets Maintain Solid Growth & Superior Profitability

MTS operates in markets with high-growth potential. As a Moscow-based operator, MTSviews Russia and the CIS as the Companys home market for a number of reasons,including:

A shared recent history

Common language & culture Long-established business & economic ties

The regions in which MTS operates have experienced a volatile market environment duringthe latter part of 2008; however within the core market of Russia, growth in ruble terms hasremained strong. MTS believes that the telecom sector is amongst the more resilient sectorsin a weaker macroeconomic environment.

While the Company monitors the signs of a weakening macroeconomic environment bothglobally and within MTS own markets, the nature of the products that the Company offersand its organizational efficiency enable it to meet challenges that may arise. With market-leading operations in four of the five largest markets in the CIS, MTS is very well positioned

to take advantage of the regions continuing development and to seek further opportunitiesfor expansion.

Strong Underlying Trends in Core Markets, Though Lower Visibility for 2009

Russia and Ukraine are the two largest markets for MTS, both in terms of subscribers andrevenue. In 2008, the underlying developments within these markets remained generallypositive and included:

High mobile penetration

Strong sustained demand for mobile services

Generally positive usage trends

Increased consumption of data and VAS

However, these growth factors may be tempered by macroeconomic developments, whichbegan to influence the mobile markets in both of these countries in the second half of theyear. These trends included:

Exchange rates volatility in our functional currencies

Flat or negative GDP growth trends

Higher unemployment

Lower consumer spending

As the macroeconomic situation becomes more stable, MTS management believes that theunderlying strength of the organization will lead to greater medium- and long-term growthand efficiency. The investments MTS is making today will provide the Group with greaterrevenue growth and value-accretive opportunities in the future.


10/35

*OBJECTIVE OF THE

RESEARCH*

The OBJECTIVES of a research project summarize what is to be achieved by the study.

They are

IDENTIFY THE COMPARISON PARAMETERS.

PRESENT SCENARIO OF PRODUCT.

BRAND AWARENESS OF THE PRODUCT.

IDENTIFY THE COMPETITORS BRAND.

IDENTIFY THE CHANGES WITH OTHER BRANDS.

CUSTOMER NEEDS AND EXPECTATION TOWARDS THIS PRODUCT.

BUILDING CUST0MER RELATIONSHIP.

FRESH LOOK OF PROMOTION AND DISTRIBUTION PATTERN.

ANALYSIS OF STRENGTH AND WEAKNESS IN COMPARISION OF COMPETITORS

PRODUCT.

Business Strategy


11/35

MTS primary goal is to maintain its position as a leading mobile operator in Eastern Europeand Central Asia. The Company seeks to take advantage of opportunities to expand itsnetwork coverage in the Russian Federation and other countries where natural synergiescan be found, particularly within the CIS.

In 2008, MTS continued to develop its redefined approach to customers through the

promotion of its brand and the introduction of new products and services. During the year,the Company launched HSPA-enabled 3G networks and a number of initiatives to promoteVAS in many of its countries of operation, and will continue to do so during 2009.

The 3+2 Strategy

The 3+2 Strategy: Driving Growth & Enhancing Efficiency

First launched in 2007, MTS 3+2 strategy combines the two key elements of growth andefficiency. This Group-level set of priorities is designed to take the Company through itscurrent stage of evolution, and aims to deliver more for shareholders, customers andemployees.

The 3+2 strategy is organized along the following key principles:

Growth

1 Delivering the best customer experience

Ensuring superior quality at all touch points

Increasing customer lifetime value Driving demand stimulation

2 Driving data & content services

Compelling internet user experience

Innovative services & leading content portfolio

Broad & rapid 3G infrastructure deployment

3 Expansion in CIS & developing markets

Market consolidation in existing CIS presence

Enlarging CIS footprint

Realizing growth opportunities outside CIS


12/35

Efficiency

+1 Cost efficiency

Continuous cost & process efficiency focus

Exploiting synergies within CIS operations

Optimal technology solutions

+2 MTS Group development

Efficient Group organization & processes

Build-up of best-in-class workforce & capabilities and attractive corporate culture

Active corporate & social responsibility

Strategic Priorities

To achieve the objectives set out in the Companys 3+2 strategy, MTS is continuouslypursuing the following key priorities:

Optimizing Group CAPEX

Developing the Companys distribution network

Measured deployment of pan-regional 3G/EDGE infrastructure and the acquisition of

3G licenses in other CIS countries Expansion into other CIS and developing markets as and when appropriate financingis available

Enhancing innovation and technology, especially in the more developed markets ofRussia and Ukraine

Increasing cost efficiency in the countries where MTS operates, including takingadvantage of synergies and economies of scale within the CIS

Operational Review


13/35

Strong Business Performance in 2008

During 2008, MTS improved its financial performance as a result of the successful executionof the Companys corporate strategy by the management team, in spite of the difficultmarket conditions experienced towards the end of the year. The continued execution of the3+2 strategy, which was developed in 2007, has enabled MTS to fulfill its objectives relatingto:

Capturing growth in MTS core markets

Creating value in developing markets

Developing mobile broadband in the Companys markets of operation

Maintaining cost efficiency & further developing the Group

The execution of the 3+2 strategy was strengthened by continued success in promoting theMTS brand, as well as the development of new marketing approaches and a more customer-centric strategy.

MTS total consolidated revenue was up by 24% year-on-year in 2008, amounting to $10.2billion. Key drivers for revenue growth during the year included:

Continued growth in voice usage

Increasing usage of messaging services

Further adoption of data service & content

A focus on cost efficiency throughout the Group and sustained value growth enabled MTS toachieve an OIBDA margin of 50% for the full year.

Revenue Growth

Revenue Growth of 24% & OIBDA Growth of 22%

During 2008, MTS delivered strong financial results as it continued to successfully executeupon its corporate strategy.

During the year:

Consolidated revenue grew by 24.2% to $10,245.3 million in 2008 from $8,252.4million in 2007

Operational income before depreciation and amortization (OIBDA) increased by 2.2%year-on-year to $5,140.3 million from $4,223.4 million in 2007

Consolidated net income was down year-on-year by 7% to $1,930.4 million from$2,071.5 million, mainly due to a non-cash FOREX loss through US GAAP translation of USdollar-denominated debt


14/35

Strong Cash Flow Generation

Strong Cash Flow Generation in 2008

MTS net income decline highlighted the fact that approximately 80% of the Groups debt is

currently US dollar- or Euro-denominated. The resulting non-cash FOREX losses amounted to$563 million due to the decline in the value of the functional currencies in the Companysmarkets of operation versus the US dollar and the Euro. This resulted in net incomedecreasing by 7% from $2.1 billion to $1.9 billion for the full-year. Earnings per ADR weretherefore down by 5% from $5.25 to $5.00 per ADR in 2008.

As part of the Companys efforts to re-leverage its debt, MTS has successfully placed threeruble bonds in 2008 amounting to RUB 30 billion.

Through the continued execution of the 3+2 strategy, MTS generated significant cash flowduring the year, with free cash flow of $2.1 billion in 2008, up from $964 million in 2007. Inaddition, net cash flow from operations increased by 32% in the year to $4.4 billion.

Financial Position

Strong Financial Position Provides Flexibility for the FutureOverall, MTS debt levels remained manageable during the year, with total Group debt amounting to $4.1 billion as ofDecember 31, 2008, resulting in a ratio of total debt to OIBDA of 0.8 times. Net debt amounted to $3.0 billion at the end ofthe year, with a net debt to OIBDA of 0.6 times.


15/35

During the year, MTS successfully placed three ruble bonds worth a total of RUB 30 billion. In December 2008, theCompany received a 300 million Euro loan from Gazprombank.

MTS spent approximately RUB 11.1 billion ($440 million) on the repurchase of 37.8 million ordinary shares in conjunctionwith the mandatory buyback of securities related to the merger of two subsidiaries in the third quarter of 2008. Under theexisting share repurchase program, the Company acquired 39.4 million shares in 2008; no shares were acquired in thefourth quarter. The total number of shares on the balance sheet stands at 108.3 million shares of which approximately 63%

is in the form of ADRs.

The Group is in as strong a position as can be expected given the current externalmacroeconomic constraints. MTS is focused on cash flow maximization in order to meet its

business and financing needs, and expects its relationship lenders and other banks to be receptive

should the Company have the need to return to credit markets in the coming quarters. Thisflexibility will prove beneficial to MTS and its shareholders when it comes to meeting the

competitive and financial challenges that arise in the Companys markets of operation.

Share Structure & Performance

Share Structure

MTS common stock has been listed on the Moscow Interbank Currency Exchange since December 2003. AmericanDepositary Shares, each representing five of the Companys common stock, have been listed on the New York StockExchange under the symbol MBT since June 30, 2000.

MTS share capital comprises of 1,993,326,138 outstanding common shares, of which 108,273,338 are treasury shares, asof December 31, 2008. 777,396,505 ordinary shares are in the form of ADRs.

On August 28, 2008, MTS Board of Directors approved a share repurchase related to the merger of Mobile CommunicationSystems and BashCELL CJSC into MTS. Under the terms of the repurchase, MTS acquired approximately 37.8 millionshares from investors who submitted requests to participate in the legally mandated buyback by the deadline of August 11,

2008. In total MTS spent RUB 11.1 billion, or no more than 10% of its net asset value as of 31 March 2008 as stipulated byRussian Law and approved at the meeting of MTS Board of Directors in May 2008.


16/35

Share Performance

The Companys management believes that MTS stock performance is reflective of the macroeconomic climate and the

overall negative investor sentiment in 2008 rather than the Companys performance, which was in line with management

expectations for the year.

Dividends

In 2007, the Board of Directors approved a dividend policy whereby the Group willaim to make dividend payments to shareholders in the amount of at least 50% ofannual net income under U.S. GAAP. The dividend could vary depending on anumber of factors, including the outlook for earnings growth, capital expenditurerequirements, cash flow from operations, potential acquisition opportunities, as wellas the Groups debt position. Annual dividend payments, if any, so long as they do

not exceed 100% net income according to RAS, must be recommended by theBoard of Directors and approved by the shareholders.

MTS paid a cash dividend of $1.1 billion for the fiscal year 2007, which equated to$2.80 per ADR and $0.55 per ordinary share. Under Russian law, dividends paid to anon-resident holder of the shares generally will be subject to Russian withholdingtax at a rate of 15%. The domestic tax rate applicable to dividends payable byRussian companies to non-resident individuals has been reduced from 30% to 15%effective from January 1, 2008.


17/35

On May 21, 2009, MTS Board of Directors recommended the annual generalmeeting of shareholders (AGM) approve annual dividends of RUB 20.15 perordinary MTS share (approximately $2.96 per ADR) for the 2008 fiscal year,amounting to a total of RUB 39.40 billion ($1,158.3 million) or approximately 60% ofUS GAAP net income. The AGM is to be held on June 25, 2009.

The dividend yield per share is 8.0%. No dividend will be paid on the 37,762,257shares that were acquired by MTS as part of the mandatory buyback in September2008. According to the Russian Central Bank exchange rate of 34.0134 RUB/USD as ofMarch 31, 2009. The dividend amount is set in Russian rubles by the Board ofDirectors; U.S. dollar amounts provided for reference using the foreign exchangerates as of March 31, 2009.

Debt Instruments & Credit Ratings

Debt Instruments

MTS has 2 Eurobonds currently traded on the Luxembourg Stock Exchange,amounting to $400 million each, with maturities in 2010 and 2012.

In January 2008, MTS redeemed its $400 million Eurobond which matured onJanuary 30, 2008. The coupon payments for the entire period, including the lastcoupon payment which took place simultaneously with the retirement of Eurobond,

amounted to $195 million. The Eurobond was issued in January 2003 in the amountof $400 million, with a semi-annual coupon rate of 9.75%.

MTS entered the ruble bond market in June 2008 by placing a RUB 10 billion bond.The bond will mature in 2018, with the notes carrying a coupon of 8.70%. The bondissue was 1.7 times oversubscribed and foreign investors constituted one third ofthe total investor group. The bond is listed in the V quotation list on the MoscowInterbank Currency Exchange (MICEX). The bond will have a two-year put option,with coupons being paid semi-annually. Funds raised through the placement will beused for general corporate purposes, including investments into further companygrowth and ongoing business development.

On October 25 and 28, 2008, MTS issued two further ruble denominated bondsworth RUB 10 billion each, with five and seven years maturity respectively. Thecoupons from these bonds will be paid semi-annually. The Board approved the rightof bondholders to have their securities repurchased by the Company after a periodof 18 months from the issuance date as a condition of the placement. LeadArrangers of the bond were Gazprombank, Raiffeisenank, Sbeank and Troika Dialog.


18/35

Additionally, on January 20, 2009, MTS announced that the Company had secured aloan worth EUR 300 million. The loan was negotiated with Gazprombank andexpires in 2.5 years. Funds from the loan will be used for general corporate needs.

Credit Ratings

Moodys, Standard & Poors and Fitch have assigned the following ratings to theCompanys debt:

Moodys: Ba2, outlook stable S&P: BB, outlook positive Fitch: BB+, outlook negative

*RESEARCH AND DEVLOPMENT*

GPI firmly believes that quality is not a specifically assignable task. It needs to be firmly rooted andinstitutionalized in the culture and value system of the Company. ITC nurtures a culture of striving forcontinuous improvement in quality, be it in products, services, systems or performance. The Company iscommitted to the establishment of systems and processes to promote organizational creativity andinnovation.

GPI Research & Development

In GPI Research & Development the Company has assembleda pool of world-class scientists focused on providing the requisiteR&D support to its established and new businesses enabling theCompany to consistently attain internationally benchmarkedquality standards and constantly offer product innovations.

GPI R&D provides systemized service to the entire range of GPIbusinesses through Product Technology Cells, CommonService Modules, Advanced Research Initiatives andnetworking with national and international R&D centers.

Product Technology Cells (PTCs) are product-specific. Each PTC caters to the needs of the businessesthrough Market Intelligence, Product Testing & PQRS services, Prototyping services through advancedpilot plants, flavour and fragrance development services, periodic audit of factory quality systems andProduct Knowledge and Training Workshops.

PTCs assist businesses through sensory evaluations by highly trained and specialized panelists.Common service modules like Packaging and Advanced Analytical labs offer their services across allbusinesses.


19/35

This R&D facility, the first of its kind for the Company, will work on multiple businesses built on a commonset of core competencies. The initial set of core competency areas identified are: Plant Breeding andGenetics, Agronomy, Microbiology, Molecular Biology and Silviculture. The facility aims to create

'Centers of Excellence' in these areas. A second hub of ITC R&D located in Bengaluru focuses on Bio-sciences and houses scientists with substantial research experience in Cell Biology, Proteomics,Genomics, Biochemistry and Ingredient Sciences.

GPI comprehensive R&D facilities cover all aspects of tobacco crop cultivation. In collaboration with theCentral Tobacco Research Institute and the Tobacco Board, GPI pioneered tobacco cultivation in India.GPI continued focus on crop development has resulted in new varieties of seeds and hybrids, which havesignificantly improved farm yields and helped fulfill the demands of a dynamic global market.

The Company's R&D team collaborates with other centers of excellence, and leverages expertise fromseveral leading institutes..

RESEARCH METHODOLOGY

From my market survey to my project report I follow these

steps.

Gathering of Raw data

Creating data structure

Data Analysis

Data interpretation


20/35

First, The Raw Data represent the actual first hand responded that are obtained

about an object of investigation by asking questions or observing actions. These

initial responses have not been analyzed or given an interpretive meaning.

Sampling is selected at random from various areas of the Kolkata city.

Second, Data Structure represents the results of combining individual raw response

into group of raw data using some type of quantitative and qualitative analysis

procedure (e.g. content analysis, calculation of sample statistics).

Third, after creating data structure I tried to analysis the data and to find out the

problems and solution part.

Fourth, the set of facts derive from data structure. And after that interpret the data

structures and attach a narrative meaning to them.

SOURCES OF DATA

a) Primary Data :Primary data are collected from

i) Interview Method :-

a. Personal Interview

ii) Through Questionnaires

b) Secondary Data :Secondary data are collected from

i) Website

ii) Company Records


21/35

Here structured questionnaire is the method which is

used for data collection. The data is collected by direct

visiting to the customers.

SAMPLE

UNIVERSE :- The users of Cigarettes.

SAMPLING UNIT :- Kolkata City.

SOURCE LIST :- List of Databases made by me.

SIZE OF SAMPLE :- 4000

SAMPLING PROCEDURE :- Convenience Sampling.

I collected my data from shops that I got on my way of survey and the

records (databases) that are provided by company.

DATA-INTERPRETATION

1. Percentage of respondent: When we are collecting information

from the market potential so we must have to know our respondent

customer.


22/35

From 3000 samples, we found 94% is smoker and rest 6% people bring

the cigarettes from others.

2. Age of Respondent: when we want to know about the market

potential and scenario so we must have to know at what age of

people our respondent.


23/35

Out of 3000 samples we found the age of respondent of our

questionnaires is shown in the figure.

3. Current Brand Use by the Customer: when we want to know

the present scenario of the Red &White cigarette so we must have

to know which brand customer currently use.


24/35

Out of 3000 samples we found 43% usingWFF, 20%GF, 13%R&W,

SES13%, OTHERS7%.

4. Product Awareness: When we collecting information about

market potential then you must have to know how much customer

is aware of Red&White cigarette.


25/35

Out of 3000 samples we found only 70% customer are aware of

Red&White cigarette.

5. Taste Preference of RWFS: When we collecting information

from the market through sampling we are able to know the

preferences of people about red&white cigarettes.


26/35

So according to consumer there taste preferences are mention in above picture.

Online Survey

We would like your thoughts on our online review, so that we can continue to provide you with the bestpossible service.

Please let us know about you

1. Where do you live?


27/35

Country

2. Which of the following roles best describes you?

Analyst/Broker

Institutional Investor

Private Investor

Potential Investor

Journalist

Researchers

Government Official

MTS supplier

MTS customer

MTS employee

Prospective employee

Student/Graduate

Other (please specify)

This year's online annual review

3. On a scale from 1 to 5 please specify how much you agree/disagree with thefollowing statements? (1 = strongly disagree; 5 = strongly agree)

The design of this year's annual review is engaging.

1 2 3 4 5

The content of this year's annual review satisfied my requirements.


28/35

1 2 3 4 5

I found the information I was looking for easily.

1 2 3 4 5

The interactive tools added to my experience of this year's annual review.

1 2 3 4 5

I would prefer a printed report.

1 2 3 4 5

4. Please specify which sections of the review are of most interest to you.

Overview

Strategic review

Business review

Governance

Financial statements

Other information

5. Do you have any suggestions or additional comments that we can use to improveour annual review for next year?

Suggestions

Submit

THE LIMITATIONS OF PROJECT REPORT

Certain limitations hindered my project work while I was taking the

survey part in the market in order to find out the presence of Red&White


29/35

Brand in the Cigarette market. The limitations of the project are as

follows:

The shops where I visited are fully crowded with customer, so ittakes lot of time to collect information.

There was always a factor of time constraint hence detailed.

Convincing them to fill questionnaire is the challenging job as the

some customer are not interested to give time for interview.

The survey was conducted in the Kolkata region only, hence if the

survey was performed in the different part of W.B or INDIA it

would be carried out with a sense of diversity.

The sample size I took only 3000, but if my sample size would

have been larger then the outcomes would be more accurate.

The time available for the project was only one month. In case

more time was available, the report could have come out with a

different and better result.

FINDINGS1. The brand pull by customer as per rank is as follows:


30/35

WFF

GF

SES

RWFS

2. Only 70% customer aware of RWFS cigarettes.

3. The price is not only factor to promote any product. Quality is also

important then price.

4. All shops sell products as per customer requirements.5. We found the sell of RWFS is very low in the market.


31/35

RECOMMENDATION

SAfter the whole process of Market Research on the Project

and after detail analysis the following recommendations are

advised:

The quality should be improved.

Need more advertisement for brand awareness.

Customer awareness is more important for any product.

Proper supply and distribution of proper range.

New scheme should be provided to the customer for more

sell and brand awareness.


32/35

LearningsI have learned many things from this project whichare as follows:

Marketing is not a one day process. It is whole day work.

Everyday is a new and fresh day but the past experience help in

present and future.

The customer want Quality, so the Manufacturers should maintain

it. Otherwise they will suffer a huge loss in future (if gain in

present).

Customer always focus on product that is if the product is gainful

for them or not.

Customer is ready to give interview only in the case if I success in

making him/her realize by this interview that there is some profit

for the them.

Brand is most important.

The product should be according to region, age, sex, e.t.c.

Market survey is must for any product because by this we know

the taste and choice of customer which changed after a certain

time.


33/35

CONCLUSION

The stability of the business is found from the market. Very few people

heard about RWFS.All shops are not sell RWFS because of lack of

demand. Very few hoardings are Shawn in the shops. But before

introduction of any new product awareness is necessary.

The most popular brand in this segment is WFF.Actually most of the

customer feels WFF is best for them. It because of good-will in the

market.

All shops sell products as per customers requirement and they feel price

is not only the factor to promote any product. They feel quality &

services are important then price.


34/35

*REFERENCES*

RESEARCH METHODOLOGY

(SECOND REVISED EDITION)

AUTHOR: C. R. KOTHARI


35/35

SMU STUDY MATERIALS

http:www.google.co.in/

www.godfrey Phillips india ltd.com/
http://www.godfrey/http://www.godfrey/

mts project

Documents