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Rough Draft
Research Report
INTERNATIONAL INSTITUTE OF INFORMATION TECHNOLOGY
Yash Choudhary MBA AUG 10
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DECLARATION
I, Yash Choudhary declare that the mini research project report entitledCustomer satisfaction for Samsung products and its after sales services. is a
bonafide record of the original project work carried out by me and it has not
been submitted earlier elsewhere for the award of any other degree or
diploma or any other similar title.
Place: Pune (Yash choudhary)
Date: MBA-BM AUG 10
105344429
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ACKNOWLEDGEMENTS
I would like to express my profound appreciation towards all those who
have been instrumental in preparation of the project report. I would like to
thank my faculty Dr T. S. Mallikharjuna Rao for his guidance and his entireefforts.
I would also like to thank Mr Kedar Agarwal, Manager of SAMSUNG
INDIA LIMITED Jaipur Showroom, with help and permission of whom I was able
to undergo my research project smoothly. I would like to thank all the
respondents who were so co-operative and patient in filling up the
questionnaire. I would like to thank all my friends who helped me with their
ideas to make this project a success.
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CERTIFICATE
This is to certify that the mini research project report entitled
Customer satisfaction for Samsung products and its after sales services. for
the partial fulfilment of the requirements of the degree of Master of Business
Administration (MBA) at International Institute of Information Technology is a
bonafide record of the original project work carried out by YASH CHOUDHARY
Registration No. 105344429 under my supervision and it has not been
submitted earlier elsewhere for the award of any other degree or diploma or
any other similar title. It is evaluated purely for internal assessment purpose
only.
Place: Pune
Date: (Dr T.S. Mallikharjuna Rao)
Project Supervisor
Assistant Professor
SOMT
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INDEX
Page No.
Chapter 1: Introduction.
Chapter 2: Review of Literature..
Chapter 3: Methodology..
Chapter 4: Analysis of Data
Chapter 5: Major Findings..
Chapter 6: Conclusion
BIBILIOGRAPHY
APPENDIX
6
9
11
12
28
30
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TABLES
CHARTS
Table No. Context Page no.
4.2.1 Product Category 12
4.2.2Perception
13
4.2.3 Likes & Dislikes 14
4.2.4 Quality of Product 16
4.2.5 Value of Product 17
4.2.6 Brand Preference & Loyalty18
4.2.7 Competitors 20
4.2.8Services 21
4.2.9 Likes & Dislikes (Services) 23
4.2.10 Demographic Features 25
Chart No. Context Page no.
4.2.1 Product Category 12
4.2.2Perception
13
4.2.3 Likes & Dislikes 14
4.2.4 Quality of Product 16
4.2.5 Value of Product 17
4.2.6 Brand Preference & Loyalty18
4.2.7 Competitors 20
4.2.8 Services 21
4.2.9 Likes & Dislikes (Services) 23
4.2.10 Demographic Features 25
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1.1 Introduction
To satisfy the customer is the ultimate goal for any company and a customer can be satisfied
not just providing him with a product but a package which involves product as well as
services.
To ensure the quality of the package and to update the package as desired by the customer
one needs to determine the factors affecting customer demands and satisfaction and data
to analyse it, so that proper steps can be taken to have an edge in the market.
For this purpose of improving the product package and to know the customer behaviourand current market trends, this research was conducted.
As we go through this report we will come across more detailed information about the
purpose, methodology, analysis and findings of this research.
1.2 Background to the research
The background of this research comprises of 3 major aspects. Firstly, to know the reason
for the declining share of the company in past few years. To reach to accurate area to we
worked upon, whether it is the competitors in the market providing better products and
services or the quality of products and services have declined
Second thing was to know the role of after sales services and how they affect the customers
purchasing decision and their brand loyalty.
Third aspect consists of the perception and views of customers about the products they are
using and what are their future expectations. And also to know the satisfaction level of thecustomers so that further improvements can be made in the areas which lack behind.
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1.3 Motivation for the research
The motivation was at two possible levels:
To contribute to the understanding, from an academic perspective, of the customer
behaviour and expectations.
To assist the case study organisation in gaining a deeper understanding of its own
situation.
1.4 Problem statement
The main research problem of the thesis is: To gain an understanding of the factors
reducing the customer base of SAMSUNG INDIA in its various product segments and
performance of its after sales services.
Various Subset problems were identified during the research to answer the main Problem
1.4.1 How can it help in the context of academic purpose?
1.4.2 What are the expectations of customers?
1.4.3 What are likes & disliked of customers?
1.4.4 What are factors contributing to the brand loyalty of customers?
1.4.5 How does a customer rate current products and services?
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1.5 HypothesesAs a researcher you do not know about a phenomenon, but you do have a hunch to form
the basis of certain assumption or guesses. You test these by collecting information that will
enable you to conclude if your hunch was right.
The verification process can have one of the three outcomes. Your hunch may prove to be:
1. Right2. Partially right
3. Wrong.
Without this process of verification, you cannot conclude anything about the validity of your
assumption.
Hence, a hypotheses is a hunch, assumption, suspicion, assertion or an idea about a
phenomenon, relationship or situation, the reality or truth of which you do not know. A
researcher calls these assumptions/ hunches hypotheses and they become the basis of an
enquiry.In most studies the hypotheses will be based upon your own or someone elses observation.
Hypotheses bring clarity, specificity and focus to a research problem, but are not essential
for a study.
You can conduct a valid investigation without constructing formal hypothesis.
1.6 Overall research design
It was decided that both qualitative and quantitative data will have to be considered while
doing the research. It also became clear after considering various research methods that
Questionnaire method will be the best way to conduct the research.
More details about the research method is provided in chapter 3
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The top two flat panel television (FPTV) makers - Sony and Samsung - are trying for the top
slot in the market share sweepstakes, riding on the current cricket fever set off by the WorldCup.
Both the firms are claiming leadership position on different counts - Sony based on
shipments, and Samsung based on customer sales. FPTVs include liquid-crystal display (LCD)
panel, light emitting diode (LED) panel and plasma television sets.
Sony India has planned for a Rs 100-crore multi-media campaign with its new brand
ambassador, Mahendra Singh Dhoni, the Indian skipper. As a special consumer connect
initiative, Sony has announced a lucky draw promotion, under which 100 lucky families willget a chance to meet Dhoni.
All the other companies in the industry are witnessing good growth in their sales during the
season, with special promotions becoming the norm. These companies include international
brands like LG and Panasonic, besides leading Indian brands like Onida and Videocon. Onida
has witnessed 15-20 per cent rise in sales of FPTVs during the World Cup season, so far,
taking its market share up from three per cent to six per cent this year. It is targeting a
market share of 10 per cent next year.
With the season coming up and all the competitors geared up to grab the larger chunk of
the market it becomes necessary for the company to be proactive than to be reactive.
2.1 About Samsung
In the Worlds Most Reputable Companies 2010 ranking published by Reputation Institute
of the United States, Samsung was placed at 22nd, a large advancement from the previousyears 74th. This ranking, compiled by the U.S. consulting company since 2006, reflects
survey results collected from consumers in 24 different countries for global 600 large
corporations in terms of annual revenue and its GDP share in respective countries. The
respondents answer questions in seven categories including products and services,
innovativeness, work conditions, corporate governance, social responsibility, leadership,
and financial performance.[1]
[1] Worlds Most Reputable Companies, Forbes, May 24, 2010
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Samsung was also ranked 11th in the 50 Most Innovative Companies 2010 [2] list put out by
Business Week, a five-notch increase from the previous years 16th. The ranking, collated
jointly by the U.S. weekly magazine and Boston Consulting Group since 2005, is based on
answers to innovation-related survey questions asked to executives of global corporations.
While survey answers take an 80-percent weight to the compilation of the ranking, the
remaining 20 percent is accounted for by annual share appreciation (10%) and three-yearaverage sales revenue and profit margin (5% each), respectively.
Samsung had emphasized innovation in its management strategy since the early 2000s and
it again highlighted innovation as part of core strategies when it announced the Vision 2020
in which the company set an ambitious goal of reaching the $400-billion sales revenue
within 10 years. In order to cement its leadership in the areas of memory chip and TV
production, Samsung has invested aggressively in research and development. The company
currently has 24 R&D centres around the world. In the 2010 Business Week innovation
ranking, Apple Computer and Google retained the leading positions as in the 2009 list,
followed by Microsoft, which gained one notch from 2009s fourth place.
Meanwhile, Samsung took the 33rd place in the Worlds Most Valuable Brands 2010 [3] list
made public by the Forbes magazine. Forbes said that Samsungs brand value was as much
as $12.8 billion with an average sale revenue growth rate of 17 percent for the past three
years.
2.2 CONSUMER SATISFACTION PROCESS
The paramount goal of marketing is to understand the consumer and to influence buying
behaviour. One of the main perspectives of the consumer behaviour research analyses
buying behaviour from the so-called information processing perspective. According to the
model, customer decision-making process comprises a need satisfying behaviour and a wide
range of motivating and influencing factors. The process can be depicted in the following
steps:
Need recognition realisation of the difference between desired situation and the
current situation that serves as a trigger for the entire consumption process.
Search for information - search for data relevant for the purchasing decision, both
from internal sources (one's memory) and/or external sources.
Pre-purchase alternative evaluation - assessment of available choices that can fulfil
the realised need by evaluating benefits they may deliver and reduction of the
number of options to the one (or several) preferred.
Purchase - acquirement of the chosen option of product or service.
Consumption - utilisation of the procured option.
Post-purchase alternative re-evaluation - assessment of whether or not and to what
degree the consumption of the alternative produced satisfaction.
Divestment - disposal of the unconsumed product or its remnants.
This research has addressed these points in order to evaluate the degree of customer
satisfaction and its application in improving the products and services.
[2]The 50 Most Innovative Companies 2010 Business Week, April 15, 2010
[3]The World's Most Valuable Brands 2010, Forbes, July 28, 2010
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This chapter explores the possible alternatives and preferred research methodology options
to be used in the conduct of the research project.
Research Methodology refers to a back philosophy of research. As an example of
methodology in theoretical work, the development of paradigms satisfies most or all of the
criteria for methodology. A paradigm, like an algorithm, is a constructive framework,
meaning that the so-called construction is a logical, rather than a physical, array of
connected or intercalated elements.
3.1 Method of Data Collection
Data collection method used in the research was primary data collection method and modeof inquiry was structured mode.
After considering all the other alternatives Questionnaire method was chosen for
conducting the research regarding it as the best suitable for the project.
3.2 Tools of Analysis
For the analysis of the data collected, graphs and tables are used which are prepared using
Microsoft Excel2010.The percentage of the data was calculated to know the share
acquired by the various variables of the research, so that they can we used to point out thepositive and the negative areas.
3.3 Area of Study
3.3.1 Geographic
The area selected for conducting the research was Jaipur, It being a fast growing
multicultural city which provided with variety of demographics to make the study effective.
3.3.2 Demographic
Study was conducted for people of all age and income groups to find the different behaviour
of different age and income groups.
3.3.3Period of Study
Study was conducted through the period of 5
th
March 2011 to 21
st
March 2011.
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This chapter talks about the elements of the empirical data which was gathered during theresearch project.
Though, it was difficult to analyse this data as there was a consensus in the answers given by
the respondents to every question. Most of the respondents answered the same answer.
4.1 Schematics
Following is the schematic of the different categories that are covered in coming up dataanalysis.
4.2.1 Product Category
4.2.2 Perception
4.2.3 Likes & Dislikes
4.2.4 Quality of Product
4.2.5 Value of Product
4.2.6 Brand Preference & Loyalty
4.2.7 Competitors
4.2.8 Services
4.2.9 Likes & Dislikes (Services)
4.2.10 Demographic Features
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4.2 Statistical Data
4.2.1 Product Category
1511
3 37
11
No.
of
People
Product Category
L.C.D T.V L.E.D T.V DVD Player Home Theatre Washing Machine Refrigerator
Which Product of Samsung do you use
Product No. Of People Percentage
L.C.D T.V 15 30
L.E.D T.V 11 22
DVD Player 3 6
Home Theatre 3 6
Washing Machine 7 14
Refrigerator 11 22
Table 4.2.1
Chart 4.2.1
This is the Product distribution of Samsungs various product ranges where we can see
that most of the share is acquired by the Television segment.
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4.2.2 Perception
What is your overall perception of the product described above?
Perception No. Of People Percentage
Poor 0 0
Average 3 6
Good 26 52
Excellent 21 42
0 3
2621
No.
of
People
Perception
Poor Average Good Excellent
Table 4.2.2
Chart 4.2.2
We can clearly see here that majority of the people consider Samsung as good or highquality product and none of the customers think it is of poor value.
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4.2.3 Likes & Dislikes
Characteristics No. Of People Percentage
Features 27 54
Design 8 16
User Friendliness 2 4
Durability 10 20
Price 3 6
278
2
10
3
No.
ofP
eople
Likes about Product
Features Design User Friendliness Durability Price
Table 4.2.3.1
Chart 4.2.3.1
Features of the products have emerged as the most appealing point about the
products, with user friendliness being the area to be worked upon the most.
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Characteristics No. Of People Percentage
Features 12 24
Design 20 40
User Friendliness 2 4
Durability 9 18
Price 7 14
1220
2 9 7
No.
of
People
Dislikes about product
Features Design User Friendliness Durability Price
Table 4.2.3.2
Chart 4.2.3.2
Design of the product is the point which is most unappealing to customers and should
be considered while launching new products.
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4.2.4 Quality of Product
Quality No. Of People Percentage
Low Quality 0 0
Average Quality 1 2
Good Quality 34 68
High Quality 15 30
0 1
3415
No.
of
People
Quality of Product
Low Quality Average Quality Good Quality High Quality
Chart 4.2.4
Table 4.2.4
Most of the customers are very much satisfied and happy about the product quality.
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4.2.5 Value of Product
Ratings No. Of People Percentage
Not a Value 0 0
Average Value 6 12
Good Value 38 76
Excellent Value 6 12
0 6
38
6
No
.of
People
Perceived value of product
Not a Value Average Value Good Value Excellent Value
Table 4.2.5
Chart 4.2.5
Customers regard their individual products and good value product. They dont
consider them as no value product but still company need to work upon making it
excellent value product.
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4.2.6 Brand Preference & Loyalty
Attractions No. Of People Percentage
Brand name 10 20
Better features 4 8
User friendly 1 2
Better Looks 3 6
All the above 32 64
104 1 3
32
No.
of
People
Brand Preference
Brand name Better features User friendly Better Looks All the above
Table 4.2.6.1
Chart 4.2.6.1
Despite being told the fact to the customers that they may be paying extra to
Samsung for the same features which may be available in other brands also people
like to prefer Samsung. This clearly indicates their good experience with the brand.
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Opinion No. Of People Percentage
Yes 45 90No 5 10
45
5
No.
of
People
Brand Loyalty
Yes No
Table 4.2.6.2
Chart 4.2.6.2
This could have been a surprise if we havent seen the trends in the above questions.
Almost all the customers would like to stick to the brand, no doubt because they
perceive it as a high value & high quality delivering brand.
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4.2.7 Competitors
Brands No. Of People Percentage
Sony 24 48
LG 15 30
Philips 6 12
Videocon 0 0
Whirlpool(Refrigerator) 3 6
IFB(Washing machine) 1 2
Godrej( Refrigerator) 1 2
24 156
03 1 1
No.
of
People
Competitors
Sony LG Philips
Videocon Whirlpool(Refrigerator) IFB(Washing machine)
Godrej( Refrigerator)
Table 4.2.7
Chart 4.2.7
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4.2.8 Services
Opinion No. Of People Percentage
Yes 49 98
No 1 2
49
1
No.
of
People
After Sales ServicesYes No
Table 4.2.8.1
Chart 4.2.8.1
This embarked as the USP of the company as the people enjoyed the aftersales
services, which is clearly a sign that they are confident that they will not face any
problems with the product for a long time.
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Ratings No. Of People Percentage
Very good 33 66
Good 17 34
Neither good nor bad 0 0
Bad 0 0
Very bad 0 0
33
17
0 0 0
No.
of
People
Service RatingsVery good Good Neither good nor bad Bad Very bad
Table 4.2.8.2
Chart 4.2.8.2
Customers are very much satisfied with the after sales services and regard it as
excellent.
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4.2.9 Likes & Dislikes (Services)
Features No. Of People Percentage
Promptness 21 42
Hospitality 0 0
Value for money 2 4
Timeliness 1 2
Home service 26 52
21
0 2 1
26
No.
of
People
Positve Features of Service
Promptness Hospitality Value for money Timeliness Home service
Table 4.2.9.1
Chart 4.2.9.1
Home Service is the best feature liked most by the customers and should be
maintained in order to keep customers satisfied.
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Features No. Of People Percentage
Promptness 17 34
Hospitality10 20
Value for money 2 4
Timeliness 8 16
Home service 0 0
None of the Above 13 26
1710
28
0
13
No.
of
People
Negetive Features of Service
Promptness Hospitality Value for money Timeliness Home service None of the Above
Table 4.2.9.2
Chart 4.2.9.2
Promptness is the area where the company is lacking, reason being a large customer
base. Company should try to employ more service personals and open more service
centres to cater to every customer.
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4.2.10 Demographic Features
Age No. Of People Percentage
20-29 25 50
30-39 23 46
40-49 2 4
Over 50 0 0
25 23
2 0
No.
of
People
Age Range
20-29 30-39 40-49 Over 50
Table 4.2.10.1
Chart 4.2.10.1
Majority of customer base is of young people and therefore company should make
products and marketing strategy keeping in mind the perspective of young people.
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Income in Rs. No. Of People Percentage
Below 20k 13 26
20K29K 12 24
30K39K 8 16
40K49K 11 22
Over 50K 6 12
13 12
8
11
6
No.
of
People
Income Range
Below 20k 20K29K 30K39K 40K49K Over 50K
Table 4.2.10.2
Chart 4.2.10.2
It is a distributed data when it comes to income group, but we can clearly make out
that most of the portion is covered by average income group or middle class people
and so the products and marketing strategy should be made accordingly.
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Chapter5.arFindings
Findings can be explained as a conclusion reached after examination or investigation. It is a
statement or document containing an authoritative decision or conclusion.
This chapter will talk about some of the findings that came up during this research
One of the major findings is perception of customers about the product and brand.People perceive it as a very good value package, which clearly leads to high brand
loyalty percentage.
One more major finding has been the satisfaction level of customers about the after
sales services. People are really very satisfied and it has contributed greatly to give
Samsung an edge in market as people prefer the brand more than its competitors.
Another important finding has been about the customer base. It is clear with the
research that the major portion of income is not from the very high income group
but from average income group.
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5.1 Suggestions
More focus on physical appearance of the product should be given in order to satisfy
the visual appeal of the customer.
Though services are doing well still improvement needs to be done in regard to
promptness. I would suggest a quarterly call up service to customers, to know if their
product is working fine. This way company can be more proactive that being reactive
and will cut short the time to deliver the services.
Research should be done on its nearest competitor to know why it is the best
alternative for Samsung and what can be done to avoid losing customers to it.
Products for lower segment of the market should be introduced in order to increase
its customer base in masses.
5.2 Limitations of the Study
Every project has certain limitations and it is important to keep in view of these limitations
while concluding any research report.
As the research was conducted in Samsung showroom the customers may have
chosen to say more positive points than negative.
Again as the research was done on the people who were in the showroom implies
that those were the people who were already considering buying the product and
hence were satisfied about the product.
Another constraint was the time period. As it was a selling season, many new
products were launched and advertised making the sales figures not accurate and
also affecting behaviour of the people and most of the purchases are impulse
purchases during the season.
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Chapter6 C
According to the research done here and the data collected, it can be said that people
perceive Samsung as a high quality brand, which is why the expectations from the company
are also high to deliver innovative and quality products.
Though the company is performing well and is satisfying customer, because of the cutting
edge competition from other companies like Sony and LG it needs to be on its toes and try
to minimize the error margin.
Company should not only work upon the weak areas but also should come up with newinnovative products and services to place it well in the market and bypass the competition
to some extent. This will also help company not only in increasing customer base but in
retaining them too.
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Bibliography
http://businesstoday.intoday.in/story/sony-and-samsung-battle-it-out-for-flat-tv-market-
share/1/14082.html (Review of literature, Cover story)
http://en.wikipedia.org/wiki/Methodology (Methodology)
http://en.wikipedia.org/wiki/Samsung_Electronics (Profile of the company)
http://upetd.up.ac.za/thesis/available/etd-07302006-065725/unrestricted/01chapter1.pdf
(sample research work)
http://www.businessweek.com/interactive_reports/innovative_companies_2010.html?chan
=magazine+channel_special+report (Report on innovative company rankings)
http://www.businessweek.com/interactive_reports/innovative_companies_2010.html
(Rankings of innovative companies)
http://www.forbes.com/2010/05/23/apple-google-sony-cmo-network-global-reputable-
companies_2.html (Rankings of reputed companies according to their global market
reputation)
http://www.ihmctan.edu/PDF/notes/Research_Methodology.pdf (Concepts of Researchmethodology)
http://www.iiiee.lu.se/publication.nsf/$weball/38f5dcb1ca0cb7e9c1256d9b0044c760/$file/
customer%20satisfaction.pdf (Concept of Customer Satisfaction)
http://www.ruf.rice.edu/~bioslabs/tools/report/reportform.html (Sample Report)
http://www.thefreedictionary.com/findings (Definition findings)
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Appendix
Questionnaire
ID Question Selection Response/Comments
1 Which Product of
Samsung do you use?
1. LCD T.V
2. LED T.V
3. DVD Player
4. Home Theatre
5. Washing Machine6. Refrigerator
2 What is your overall
perception of the
product described
above?
1. Poor
2. Average
3. Good
4. Excellent
3 What do you like most
about this product?
1. Features
2. Design
3. User Friendliness4. Durability
5. Price
4 What do you like least
about this product?
1. Features
2. Design
3. User Friendliness
4. Durability
5. Price
5 Which level of quality
best describes this
product?
1. Low Quality
2. Average Quality
3. Good Quality
4. High Quality
6 Select how you feel
about the product
described above.
1. Not a Value
2. Average Value
3. Good Value
4. Excellent Value
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ID Question Selection Response/Comments
7 Samsung is costlier as
compared to other
brand products that
provides same
features as Samsung,
but still why do you
prefer Samsung?
1. Brand name
2. Better features
3. User friendly
4. Better Looks
5. All the above
8 If another company
offers same features,
quality and price as
Samsung, will u still go
for Samsung?
1. Yes
2. No
9 Which other brand do
you prefer other than
Samsung?
1. Sony
2. LG
3. Philips
4. Videocon
10 Do Samsung provide
good after sales service
compared to other
brands?
1. Yes
2. No
11 How do you rate the
after sale service of
Samsung?
1. Very good2. Good
3. Neither good nor
bad
4. Bad
5. Very bad
12 What things you like
about the after sales
service of Samsung?
1. Promptness
2. Hospitality
3. Value for money
4. Timeliness
5. Home service
13 What things you dislike
about the after sales
service of Samsung
1. Promptness
2. Hospitality
3. Value for money
4. Timeliness
5. Home service
14 What is your age range? 1. 20-29
2. 30-39
3. 40-49
4. Over 50
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ID Question Selection Response/Comments
15 What is your Gender 1. Male
2. Female
16 What is your income
range?(Per Month)
1. Below 20k
2. 20K29K
3. 30K39K
4. 40K49K
5. Over 50K
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