The Institute of Chartered Financial Analysts of India University, Jharkhand

MANAGEMENT THESIS

ON

“A comparative study on services provided by different telecom operators in Dhanbad”

Submitted By

MD Iliyas Ansari

Enrollment No: 8NBDB015

IUJ National College

Dhanbad

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MANAGEMENT THESIS

On

“A comparative study on services provided by different telecom operators in Dhanbad”

SUBMITTED BY MD Iliyas Ansari

E.NO-8NBDB015

A report submitted in partial fulfillment ofThe requirements of MBA 2008-10IUJ NATIONAL COLLEGE, DHANBADSUBMISSION DATE: - 06th Nov 2009GUIDED BY:-PURNIMA SARKARFaculty IUJ National College, Dhanbad

c

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ACKNOWLEDGMENT

The satisfaction and exhilaration that accompanies the successful Completion of all my tasks would be incomplete without mentioning the People who made it possible, whose constant guidance and Encouragement, crowned all my efforts with success. At the outset I acknowledge the opportunity provided to me by Honorable Center Head Ms Rumna Bhattacharya.I am extremely grateful to my faculty supervisor Miss Purnima Sarkar, for his kind co-operation, valuable advice and support all along for the successful completion of this report.

I specially wish to thanks my Parents who helped me financially as well as morally in completing my Thesis. I also thank my friends for their constant support, encouragement, co-operation and valuable suggestion throughout the progress of project.

Thanking you

MD.Iliyas Ansari IUJ National College Dhanbad

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(Certificate from Faculty Supervisor)

CERTIFICATE

This is to certify that the Management Thesis titled “A COMPARATIVE STUDY ON SERVICES PROVIDED BY DIFFERENT TELECOM OPERATORS IN DHANBAD.” Submitted by MD. ILIYAS ANSARI Enrolment No: 8NBDB015 during Semester-III of the MBA Program (Class of 2008-10) embodies original work done by him.

Faculty Supervisor

(Miss. PURNIMA SARKAR) Faculty IUJ National college

DHANBAD

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DECLARATION

I, MD ILIYAS ANSARI, here by declaring that the dissertation entitled

“A COMPARATIVE STUDY ON SERVICES PROVIDED BY DIFFERENT

TELECOM OPERATORS IN DHANBAD” has been personally done by me under the

guidance of Miss PURNIMA SARKAR, in partial fulfillment of the requirement for the

completion of Degree of “MASTER IN BUSINESS ADMINISTRATION”

All the data represented in this dissertation is true & correct to the best of my knowledge

& belief. This work has not been submitted for any other degree/diploma exam

elsewhere.

Name:

Md Iliyas Ansari

E.No- 8nbdb015

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TABLE OF CONTENTS

S.NO: PAGE NO:

1. COVER…………………………………………………………....................01

2. TITLE PAGE…………………………………………………...……………02

3. ACKNOWLEDGMENT……………………………………...…...................03

4. CERTIFICATE………………………………………………………………04

5. DECLARATION…………………………………………………………….05

6. TABLE OF CONTENTS…………………………………………………….06

7. ABBREVIATION……………………………………………………………07

8. SUMMARY………………………………………………………………….09

9. INTRODUCTION………………………………………………...................10

10.OBJECTIVE OF THE PROJECT…………………………………………...11

11.LIMITATION OF THE STUDY…………………………………………….12

12.BACKGROUND…………………………………………………………….13

13.RESEARCH DESIGN/ METHODOLOGY...………………….....................21

14.LITERATURE REVIEW……………………………………………………25

15.EMPIRICAL ANALYSIS …………………………………………………..26

16.FINDING AND SUGGESTIONS…………………………………………...38

17.CONCLUSION AND RECOMMENDATION……………………. ……….40

18.APPENDICES……...………………………………………………………..42

19.REFERENCES………………………………………………………………44

20. GLOSSARY……………………………………………………………….45Page | 6

ABBREVIATION

GSM- Global System for Mobile communications

CDMA- Code Division Multiple Access

COAI- Cellular Operators Association of India

VAS- Value Added Service

WAP- Wireless Application Protocol

DoT- Department of Telecom

TRAI- Telecom Regulatory Authority of India

TTSL- Tata Teleservices Limited

RCom- Reliance Communications

EQM- Easier, Quicker, More

IRT- Indian Radio Telegraph Company

IRCC- Indian Radio and Cable Communication Company

PTT- Posts, Telephone and Telegraph

VSNL- Videsh Sanchar Nigam Limited

MTNL- Mahanagar Telephone Nigam Limited

BSNL- Bharat Sanchar Nigam Limited

NTP- National Telecommunications Policy

IUC- Interconnect Usage Charges

GCC- Global Calling Card

WLL- Wireless Local Loop

VPN- Virtual Private Network

NIB- Non Interference Basis

NLD- National Long Distance

ILD- International Long Distance

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WAN- Wide Area Network

MVNO- Mobile Virtual Network Operator

CRM- Customer Relationship Management

WTTIL- Wireless Tata Telecom Infrastructure Limited

IPR- Intellectual Property Rights

ISP- Internet Service Provider

GPRS- General Pocket Radio Service

SIP- Session Initiation Protocol

OCS- Overseas Communication Service

USB- Universal Serial Bus

WiMax- Worldwide interoperability for Microwave Access

PSTN- Public Switched Telephone Network

DSL- Digital Subscriber Line

Wi-Fi- Wireless Fidelity

USO- Universal Service Obligation

VPT- Village Public Telephone

ICT- Information and Communication Technology

FDI- Foreign Direct Investment

IP- Internet Protocol

VASP- Value Added Service Provider

CP- Content Provider

SMPP- Short Message Peer-to-Peer Protocol

SMSC- Short Message Service Centre

FII- Foreign Institutional Investor

IVR- Interactive voice response

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SUMMARYThe thesis title “A comparative study on services provided by different telecom operators

in Dhanbad.”Indian mobile services industry or the telecommunication services industry is currently witnessing a phase of tremendous growth. The major focus of the industry has been with the use of customer relation management (CRM) & customer satisfaction. So it is important to know the parameter affecting the customer perception as it will help in retaining the existing customers. There are eight mobile services providers in Dhanbad. They provide two types of services.

G S M (Global system for mobile) C D M A (Code division multiple access)Major Players in GSM service are:-

BSNL, RELIANCE SMART, AIRTEL, AIRCEL, IDEA CELLULAR, VODAFONE.

Major players in CDMA Service are specially three

RELIANCE INDIA MOBILE, TATA INDICOM, VIRGIN MOBILE.And one new CDMA service launch in Dhanbad that is MTS.

The research conducted was descriptive in nature. Dhanbad segment was surveyed to

attain certain results. The survey was conducted to analyze the customer Satisfaction for different

services providers in Dhanbad. The survey was to find out how much customers are Satisfied

with services provided by their telecom operators.

With these objectives in mind, a survey was conducted in the Dhanbad region.

Questionnaire method was used to obtain the required information. Convenient sampling was

used as the mode of conducting the survey. Care was taken that the respondents were as

diversified as possible, with all the regions being given equal weight age and the sample size

being suitably divided among various regions.

A sample size of about 150 people was taken for this purpose form various parts of

Dhanbad. After the survey was complete, the data was first sorted, and then analyzed on the

chosen parameters. This analyzed data was later converted into various forms of graphs such as

pie-chart bar graphs. This was to make results easily comprehensible by anyone going through the

report. This also made it easy to draw conclusions based on the research and provide a presentable

format of the report. Later on all this information was compiled in the form of a presentable and

comprehensible data.

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INTERODUCTION

TODAY, mobile phone is used for several functions by young people. It is important for telecom services providers how frequently they use their mobile phones for this function. The proper light on the mobile phone consumption pattern among college goers, understanding youngsters as one of the largest market provides a competitive advantage. This thesis is done to analyze to what extent, which brand is given the maximum importance, how brand recognition affects the sales & reputation of the company. Due to this recognized brand image, which mobile service have the highest market share, which service provider has penetrated the largest part of market, how customers loyalty is retained by service providers.

Finally, this thesis is prepared to know the various schemes & facilities provided by these service providers & check the Perception of users these mobile services. Customer perceptions are what indicate whether you have achieved satisfaction or not. In other words, they represent stepping stones along a continuum. Perceptions accumulate over time and gradually equate to either satisfaction or dissatisfaction. Our job is to understand and act on these perceptions so the final result is customer satisfaction.

The word ‘perception’ was used in ISO 9001, in my opinion, to highlight just how subjective this quality is. Perceptions can comprise just about anything: fact, fiction, and fantasy, whatever. If customers believe their perceptions, though, the perceptions have the weight of fact. That is why it is so important to reach out to customers and specifically ask them what they think. By their very nature, you probably won’t agree with all the perceptions. A perception equals fact in the mind of the customer, though. You must act on these perceptions and let the customer know what you’ve done.

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OBJECTIVE OF PROJECT

The purpose of the study a as its helps us to know about the customer perception towards different mobile services providers .because nowadays many mobile company inter the market through this compaction arise. My study concedes customer perception regarding customer services, facility, charge, network coverage, etc. This study will help me to find out the different mobile services provider perception in present scenario.

The main objective of the study is to identify the perception of mobile services. Study on relation of services quality, satisfaction and trust with customer and commitment towards their mobile services in Dhanbad .their objective to assess the relative contribution of services quality (Technical & functional) Objective of study related to

1. To know the user of services of different mobile like Reliance India mobile, Reliance smart, Airtel, Aircel, Tata-Indicom & recently launch Idea, Vodafone.

2. To know the facility provided by the different mobile services company.3. To know the growth of structure and development of new technology adopted in mobile

services industry.4. To recognize the brand image of their services providers by doing the survey of

customers.5. To know which services provider has penetrated the highest market share.6. To know how customer loyalty program are retained by the services provider.7. To analysis the satisfaction level of the mobile users of these competitive branded

companies.8. To determine the factors that are consider more influencing by the customers of mobile

services.

9. To study the customer perception towards various facilities provided by government telecom operator B.S.N.L. and other private operator.

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LIMITATIONS OF STUDY

1) Time Constraints

2) Geographical limitation as Dhanbad is a big place so it difficult to visit all those places.

3) Financial limitation.

4) Strong competition with other telecom companies.5) Corporate are too busy to lend us their precious time.

6) Companies are not ready to provide data for the project because of their privacy policies.

7) Every day companies bring a new schemes and policies, so the perception of people regarding image due to services is not same all customers.

8) Regarding services: different people have different opinions about the services provided to them by the service providers. Their views change according to schemes & facilities.

So, this is the biggest limitation that I cannot say that people are satisfied with mobile service providers or its services.

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BACKGROND

INDUSTRY PROFILE

The telecom industry is one of the fastest growing industries in India. India has nearly

200 million telephone lines making it the third largest network in the world after China and

USA. With a growth rate of 45%, Indian telecom industry has the highest growth rate in the

world. History of Indian Telecommunications started in 1851 when the first operational land

lines were laid by the government near Calcutta (seat of British power). Telephone services were

introduced in India in 1881. In 1883 telephone services were merged with the postal system.

Indian Radio Telegraph Company (IRT) was formed in 1923. After independence in 1947, all the

foreign telecommunication companies were nationalized to form the Posts, Telephone and

Telegraph (PTT), a monopoly run by the government's Ministry of Communications. Telecom

sector was considered as a strategic service and the government considered it best to bring under

state's control.

The first wind of reforms in telecommunications sector began to flow in 1980s when the private

sector was allowed in telecommunications equipment manufacturing. In 1985, Department of

Telecommunications (DOT) was established. It was an exclusive provider of domestic and long-

distance service that would be its own regulator (separate from the postal system). In 1986, two

wholly government-owned companies were created: the Videsh Sanchar Nigam Limited (VSNL)

for international telecommunications and Mahanagar Telephone Nigam Limited (MTNL) for

service in metropolitan areas.

In 1990s, telecommunications sector benefited from the general opening up of the economy.

Also, examples of telecom revolution in many other countries, which resulted in better quality of

service and lower tariffs, led Indian policy makers to initiate a change process finally resulting in

opening up of telecom services sector for the private sector. National Telecom Policy (NTP)

1994 was the first attempt to give a comprehensive roadmap for the Indian telecommunications

sector. In 1997, Telecom Regulatory Authority of India (TRAI) was created. TRAI was formed

to act as a regulator to facilitate the growth of the telecom sector. New National Telecom Policy

was adopted in 1999 and cellular services were also launched in the same year.

Telecommunication sector in India can be divided into two segments: Fixed Service Provider

(FSPs), and Cellular Services. Fixed line services consist of basic services, national or domestic

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long distance and international long distance services. The state operators (BSNL and MTNL),

account for almost 90 per cent of revenues from basic services. Private sector services are

presently available in selective urban areas, and collectively account for less than 5 per cent of

subscriptions. However, private services focus on the business/corporate sector, and offer

reliable, high- end services, such as leased lines, ISDN, closed user group and

videoconferencing. Cellular services can be further divided into two categories: Global System

for Mobile Communications (GSM) and Code Division Multiple Access (CDMA). The GSM

sector is dominated by Airtel, Vodafone-Hutch, and Idea Cellular, while the CDMA sector is

dominated by Reliance and Tata Indicom. Opening up of international and domestic long

distance telephony Services are the major growth drivers for cellular industry. Cellular operators

get substantial revenue from these services, and compensate them for reduction in tariffs on

airtime, which along with rental was the main source of revenue. The reduction in tariffs for

airtime, national long distance, international long distance, and handset prices has driven

demand.

The share of Private operators and Public operators as on 31st March 2008

Private Operators 63%

BSNL 33%

MTNL 04%

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Private Operators63%

BSNL33%

MTNL4%

Market share

Source TRAI Annul Report as on 31st March 2008

Market share of Wireless (GSM and CDMA) Service Providers as on 31st March 2008

BSNL 15.62%

TATA INDICOM 9.32%

IDEA 9.19%

AIRCEL 4.06%

SPICE 1.61%

MTNL 1.35%

BPL 0.50%

HFCL 0.11%

SHYAM 0.04%

BHARTI AIRTEL 23.74%

RELIANCE 17.54%

VODAFONE 16.90%

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16%

9%

9%

4% 2%1%

1%0%0%24%

18%

17%

MARKET SHARE OF CDMA & GSMBSNL TATA INDICOM IDEA AIRCELSPICE MTNL BPL HFCLSHYAM BHARTI AIRTEL RELIANCE VODAFONE

Source: TRAI Annual Report 31st March 2008

Group company wise % market share Sep 2009

SI.NO. Name of the company Total Sub Figure

%Market Share

1 Bharti Airtel 110511416 32%

2 Vodafone Essar 82846046 24%

3 BSNL 53358992 15%

4 Idea 51454402 15%

5 Aircel 25728633 7%

6 Reliance Telecom 13723380 4%

7 MTNL 4369502 1%

8 Loop Mobile 2495087 0%

9 All India 344487458 100%

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Bharti Airtel33%

Vodafone Essar24%

BSNL15%

Idea15%

Aircel7%

Reliance Telecom4%

MTNL1%

All India GSM Subscriber

Source: TRAI Annual Report 2008

About BSNL

BSNL is a public sector telecommunication company in India. It is India's largest telecommunication company with 24% market share as on March 31, 2008. Its headquarters are at Bharat Sanchar Bhawan, Harish Chandra 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 has a customer base of 90 million as of June 2008.[1] It has footprints throughout India except for the metropolitan cities of Mumbai and New Delhi which are managed by MTNL. As on March 31, 2008 BSNL commanded a customer base of 31.55 million Wireline, 4.58 million CDMA-WLL and 54.21 million GSM Mobile subscribers. BSNL's earnings for the Financial Year ending March 31, 2007 stood at INR 397.15b (US$ 9.67 b) with net profit of INR 78.06b (US$ 1.90 billion). BSNL has an estimated market value of $ 100 Billion. The company is planning an IPO with in 6 months to offload 10% to public in the Rs 300-400 range valuing the company at over $100 billion.

The state-controlled BSNL operates basic, cellular (GSM and CDMA) mobile, Internet and long distance services throughout India (except Delhi and Mumbai).The aim is to provide a telephone density of 9.9 per hundred by March 2007. BSNL, which became the third operator of GSM mobile services in most circles, is now planning to overtake Bharti to become the largest GSM operator in the country. BSNL is also the largest operator in the Internet market, with a share of 21 per cent of the entire subscriber base.

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Cellular Mobile Telephone Services: BSNL is major provider of Cellular Mobile Telephone services using GSM platform under the brand name BSNL Mobile[2]. Prepaid cellular services of BSNL are also known as BSNL Mobile. As of March 31, 2007 BSNL has 17% share of mobile telephony in the country.

Internet: BSNL provides internet services through dial-up connection (Sancharnet) as Prepaid, (NetOne) as Postpaid and ADSL broadband (BSNL Broadband). BSNL has around 50% market share in broadband in India. BSNL has planned aggressive rollout in broadband for current financial year.

Intelligent Network (IN): BSNL provides IN services like televoting, toll free calling, premium calling etc.

About Aircel

Aircel, a joint venture between Maxis Communications Berhad and Apollo Hospitals Group, isIndia’s fifth largest GSM mobile service provider with a subscriber base of over 19 millioncustomers. It is among the fastest growing mobile operators in the country with marketleadership in the 4 circles of Tamil Nadu, Assam, North-East and Chennai. Aircel is currently operational in 17 Telecom Circles and with spectrum secured for all the remaining circles, the company is on track to become a leading Pan-India Operator. Aircel provides 2G, GPRS and advanced VAS services through its fully EDGE enabled network, and is also a licensed National and International long distance operator. It has also successfully concluded 3G trials on its network and is amongst the first to pioneer WiMax in India. WiMax services are targeted at the SME and enterprise markets. With a broad range of new propositions for its customers and key initiatives on branding, network coverage, innovative product and service offerings and refreshing customer experiences, Aircel has charted out a path for continued growth and creating the most exciting telecom brand in India. Aircel has also made great strides in redefining the service quality that a telecom player brings to the industry. In the IDC Indian Mobile Service Usage and Satisfaction Survey 2007, Aircel topped the overall Customer Satisfaction Index. Aircel was also recognized as among the Top 10 Medium Sized Companies in India by Businessworld in its 2007 rankings.

Aircel Ltd.5th Floor, Spencer Plaza769, Anna SalaiChennai – 600 002Tamil Nadu.

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About Bharti

Bharti Airtel is one of Asia’s leading providers of telecommunication services with presence in allthe 22 licensed jurisdictions (also known as Telecom Circles) in India, and in SriLanka. We served an aggregate of 96,649,487 customers as of March 31, 2009; of whom 93,923,248 subscribe to our GSM services and 2,726,239 use our Telemedia Services either for voice and/or broadband access delivered through DSL. The company is the largest wireless service provider in the country, based on the number of subscribers as of March 31, 2009. Airtel also offers an integrated suite of telecom solutions to our enterprise customers, in addition to providing long distance connectivity both nationally and internationally. The company has recently forayed into media by launching our DTH and IPTV Services. All these services are rendered under a unified brand “Airtel”. The company also deploys, owns and manages passive infrastructure pertaining to telecom operations under its subsidiary Bharti Infratel Limited. Bharti Infratel owns 42% of Indus Towers Limited. Bharti Infratel and Indus Towers are the two top providers of passive infrastructure services in India.

Bharti Airtel LimitedTower A, 4th Floor,Unitech Cyber ParkSector 39, Gurgaon -122 001

About Idea

Idea Cellular Limited is a publicly listed company, having listed on BSE and NSE in March 2007. It has licenses and spectrum to operate in all 22 service areas of India, with commercial operations currently in 15 service areas. With a customer base of > 43 million as on March 31st, 2009,the footprint currently covers approximately 80% of India’s potential telecom market. IDEA was the first company in India to commercially launch next generation EDGE technology in Delhi in 2003. It has been a leader in the introduction of value added services. From basic voice and SMS services to offering high end VAS such as Mobile TV, Games etc, IDEA is seen as an innovative, customer focused brand. IDEA has received international recognition for its path-breaking innovations when it won the GSM Association Award for “Best Billing and Customer Care Solution” for 2 consecutive years. IDEA Tariff plans are customer friendly and cater to unique needs of different segments. IDEA ‘Women’s Card’ caters to the special needs of the women on move, and ‘Youth Card’ covers emerging youth segment. IDEA ‘My Gang’ – the widely popular closed user group product recently bagged the prestigious ‘Golden Peacock Award 2008’ under the Most Innovative Product category at the “19th World Congress on Total Quality”. IDEA Cellular is part of the Aditya Birla Group, India’s first truly multinational corporation. The Group is anchored by an extraordinary force of over 125,000 employees, belonging to 25 different nationalities, and is in the League of Fortune 500 companies. The Group has been adjudged “The Best Employer in India and among the top 20 in Asia” by the Hewitt-Economic Times and Wall Street Journal Study 2007.

Idea Cellular Limited‘Windsor’ 5th FloorOff CST Road, Near Vidya Nagari,Kalina, Santacruz (East)

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Mumbai 400098

About Reliance TelecomReliance Telecom Limited (RTL) is a wholly-owned subsidiary of the Reliance Communication Limited, a member of Reliance ADA Group. Reliance ADA Group’s flagship company.Reliance Telecom Limited (RTL) began operations in 1997-98. It provides GSM based Mobilityservices, Value Added Services & Applications in 8 telecom circles covering 15 Indian states. The states covered are Assam, Arunachal Pradesh, Bihar, Chhattisgarh, Himachal Pradesh, Jharkhand, Madhya Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Orissa, Sikkim, Tripuraand West Bengal (including Metro city Kolkata). RTL has undertaken a major expansion and increased its coverage to 6,300 towns. This has enabled RTL to significantly scale up subscriber base to 11.5 million as of March 31, 2009. RTL is in the process of further expanding its coverage to 12,000 towns under its licensed areas. RTL’s Business has been further strengthened and complimented by its parent company’s GSM expansion to remaining 14 Circles across various Indian states. Parent company’s rapid and successful ramp up in GSM based Mobile services has provided an added advantage to RTL of a bigger in-house ecosystem. This has enabled RTL to serve Customers with enhanced domestic roaming and VAS services.

Reliance Telecom LimitedDhirubhai Ambani Knowledge City,Thane - Belapur Road, NaviMumbai – 406709About Tata Teleservices

Tata Teleservices Limited spearheads the Tata Group’s presence in the telecom sector. TheTata Group had revenues of around US $62.5 bn in Financial Year 2007-08, and includes over90 companies, around 350,000 employees worldwide and more than 3.2 million shareholders.Incorporated in 1996, Tata Teleservices is the pioneer of the CDMA 1x technology platform inIndia. Late last year, the company along with Tata Teleservices (Maharashtra) Ltd] has beenpermitted to offer GSM services and plans to start launching these from early 2009. So far, thecompany has already received spectrum in 18 Circles. The GSM network of the company is expected to match the robust and reliable 3G-compliant telecom infrastructure it has developedfor CDMA services. The company has partnered with leading telecom vendors for deploymentof its reliable and technologically advanced network across technologies.In November 2008, Tata Teleservices entered into an agreement with Japanese telecom majorNTT DOCOMO, as part of which the Japanese company acquired a 26% stake in TTSL for USD2.7 billion. The transaction marks a key step in the strategic evolution of Tata Teleservices, as itmoves towards a pan-India dual network presence. The company also recently announced aunique reverse equity swap strategic agreement between its fully-owned telecom towersubsidiary, Wireless TT Info-Services Limited, and Quippo Telecom Infrastructure Limited—with the combined entity kicking off operations with 18,000 towers, thereby becoming the largest independent entity in this space—with the highest tenancy ratio in the Indian telecom industry. Within two years, the new entity will have a portfolio of 50,000-plus towers.Tata Teleservice Ltd.Blocks A, E & F, Voltas Premises,Chinchpokli,Mumbai.

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About Vodafone Essar

Vodafone Essar is the Indian subsidiary of Vodafone Group and commenced operations in 1994when its predecessor Hutchison Telecom acquired the cellular license for Mumbai. Thecompany now has operations across the country with 68.76 million customers (as of March 31,2009). Over the years, Vodafone Essar, under the Hutch brand, has been named the ‘MostRespected Telecom Company’, the ‘Best Mobile Service in the country’ and the ‘Most Creativeand Most Effective Advertiser of the Year’.Vodafone is the world’s leading international mobile communications company. It currently hasequity interests in 27 countries across 5 continents and more than 40 partner networks with over289 million proportionate customers worldwide. The Essar Group is Vodafone’s principal partnerin India.Vodafone Essar LimitedPeninsula Corporate ParkGanpath Rao Kadam MargLower Parel, Mumbai – 400 013

RESEARCH DESIGN / METHODOLOGY

(A) Research Plan

Research Type: Qualitative exploratory research

Research Method: Survey method

Research Tool: Structured questionnaire.

(B)Sampling Plan

Sample population area target: Dhanbad city (Govindpur, Hirapur, Jharia Bank more) Sample population type/ unit: Student, professional, Businessman,& self employee

Sampling method: Non-probability sampling (Convenience sampling)

Sample size: 150

(C) Data sources:

Primary data sources: Respondents

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Secondary data sources: Printed & Digital information, Internet, Magazine

(D) Data collection tools:

Primary data collection method: Direct personal interview, Questionnaire

Secondary data collection method: Magazine, Paper, Internet, Books, Journals

(E)Statistical Tools :

CHI-SQUARE TEST

Chi-square test is one of the simplest and most widely used nonparametric tests

statistical work. This test was first used by Karl Pearson in the year 1900. The quantity

describes the magnitude of the discrepancy between theory and observation. It is a

method to test the relationship between the theoretical (hypothesis) & the observed value.

Chi – square test (X2) = Σ (O – E) 2 / E

Degrees Of Freedom = V = (R – 1) (C -1)

Where, ‘O’ = Observed Frequency ‘E’ = Expected Frequency ‘R’ = Number of Rows ‘C’ = Number of Columns

(F)Hypothesis:

(i) Hypothesis – It is a statement or assertion about the statistical distributor or parameter of statistical distribution. Alternatively hypothesis is a claim to be tested.

(ii) Null hypothesis – A hypothesis of ‘no difference’ is called null hypothesis

(iii) Alternative Hypothesis – It is a hypothesis to be accepted in case null hypothesis is rejected. In other words, a complementary hypothesis to null hypothesis is called alternative hypothesis.

Ho = There is significant relation between mobile services and customers satisfaction.H 1 = There is no significant relation between mobile services and customers satisfaction.

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(G) Statistical treatment of data collected: TYEPS OF SERVICES

Lower price of call rate

Easy to use Availability of Network

Better services

Total

Satisfied 62 12 39 37 150

Unsatisfied 88 138 111 113 450

150 150 150 150 600

The no. of satisfied consumers = 150/ 600 = 0.25

The no. of unsatisfied consumers = 1-0.25 = 0.75

No of Total subscribers

Lower price of call rate

Easy to use Availability of Network

Better services

Satisfied 150*0.25

=37.5

150*0.25

=37.5

150*0.25

=37.5

150*0.25

=37.5

Unsatisfied 150*0.75

=112.5

150*0.75

=112.5

150*0.75

=112.5

150*0.75

=112.5

CALCULATION OF CHI SQUARE TEST

fofe fo-fe (fo-fe)2 (fo-fe)2 /fe

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62 37.5 24.5 600.25 16.00

12 37.5 -25.5 650.25 17.34

39 37.5 1.5 2.25 00.06

37 37.5 -0.5 0.25 00.007

88 112.5 -24.5 600.25 05.34

138 112.5 25.5 650.25 05.78

111 112.5 -1.5 2.25 00.02

113 112.5 0.5 0.25 00.002

Total 44.549

X2 = 44.56

Degree of freedom = (No. of row -1) (No of colums-1)

= (2-1) (4-1)

= 1 * 3

= 3.

Level of significance = 10%

The area under the right tail is 0.10

And the chi square statistic is = 6.251

Since, the sample chi square statistic does not fall in the acceptance region .So null hypothesis is rejected and the alternate hypothesis is accepted

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LITERATURE REVIEW

NAMAN SHAH (2006-08) A student of IIPM Ahmadabad Analyzed the “Critically analyze the customer preference and satisfaction measurement in Indian Telecom Industry”

MR. SACHIN JAIN (2006-08) A student of INC SAGAR analyzed the “Measurement of customers satisfaction on STD/PCO services offered by Bharti televentures in Bhopal with respect to TATA INDICOM”

MOHAMMED NAZAR A student of Nesamony Memorial Christion college Marthandam Kanyakumari had analyzed “A study on customer perception of broadband services among small medium enterprises”

ANAND PRASAD GUPTA (2007-09) A student of BHARAT UNIVERSITY analyzed the “Swot analysis of Reliance communication with competitor in Dhanbad and surrounding office of Reliance communication ltd.

Pardip Dey (2008) A student of NSHM Knowledge campus Durgapur, Kolkata analyzed “Consumer buying behavior with a focus on perception towards Internet Data card in Reliance communication ltd.”

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I have critically analyzed the Annual Report 2007-08 of Telecom Regulatory Authority of India

EMPIRICAL ANALYSIS

Q. No 1 Are you a mobile subscriber?

Yes No0

20406080

100120140160

Mobile subscriber of Dhanbad

Mobile subscriber of Dhanbad

INTERPRETATION

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Yes 150 100%

No 00 00

I have collected 150 data from the respondents all respondents were mobile subscriber and they were using different services. This shows the awareness among the people and the increased usage of telecom services.

Q No.2 Which service do you prefer?

GSM CDMA

109

41

Graph 2Graph 2

INTERPRETATION:

The above graph shows that 73% subscribers were using GSM services and 27% subscribers were using CDMA. So I can say that the no. of GSM subscriber increasing rapidly.

Q NO.3 Is your current mobile phone on

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GSM 109 73%

CDMA 41 27%

90%

10%

Graph 3Prepaid Mode Postpaid Mode

INTERPRETAION:

With the help of above graph it shows that 90% of people were using prepaid mode services & only 10% people using postpaid services. Thus it can be clearly seen that prepaid mode services is the most preferred brand among customers.

Q No. 4 which GSM mobile service do you use?

Reliance Smart 47 31%

Airtel 12 08%

BSNL 10 07%

Aircel 11 07%

Idea 25 17%

Vodafone 04 03%

Total 109 73%

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Prepaid Mode 135 90%

Postpaid Mode

15 10%

Reliance Smart43%

Airtel11%

BSNL9%

Aircel10%

Idea23%

Vodafone4%

Graph 4

Interpretation:On the basis of GSM subscriber it can be interpreted that Reliance smart has maximum users of 43%, Idea with 23%, Airtel with 11%, Aircel with 10% BSNL with 9%, and least number of customers Vodafone with 4%.

Q No.5 Which CDMA services do you use?

Interpretation:On the basis of CDMA subscriber it can be interpreted that Tata Indicom has maximum users of 49%, Reliance India Mobile with 44%, and least number of customers of Virgin mobile with 7%.

Q No. 6 How important mobile services are to your daily life?

Important 60 40%

Very Important 73 49%

Extremely Important 17 11%

Interpretation:Out of 150 respondents 40% users said that Important, 49% said that Very Important, and only 11% said that Extremely Important. So I can said that the highest number of users said that mobile is very important in their daily life.

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Reliance 18 12%

Tata Indicom 20 13%

Virgin Mobile

03 02%

Total 41 27%

Q No. 7 why do you prefer a particular brand of mobile service?

Lower price of call rate 62 41%

Easy to use 12 08%

Availability of network 39 26%

Better services 37 25%

41%

8%

26%

25%

Chart TitleLower price of call rate Easy to use Availability of network Better services

Interpretation:With the help of above pie chart I can said that 41% users said that they use mobile services due to lower price of call rate,26% said that availability of network, 25% said that better services, and only 7% said that easy to use. So I observe that the facility which adds the most to the success is the lower price of call rates.

Q No. Are the customer care services prompt to your queries?

Page | 30

Yes69%

No31%

Graph8

Interpretation:The above pie chart says that 69% respondents said that the customer care services prompt to solve their queries and 31% said that they do not solve our queries.

Q No. 9 Are you satisfied with the way your call is handled?

Yes No

129

21

Graph 9

Interpretation:It can be interpreted that 86% subscribers are satisfied and 14% subscribers are not satisfied with the way of call is handled by customer care.

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Yes 103 69%

No 47 31%

Yes 129 86%

No 21 14%

QNo.10 How would you rate the customer care services of your mobile?

Excellent Very Good Average Poor0

10

20

30

40

50

60

70

80

Graph 10

Graph 10

Interpretation:The above diagram said that 12% users said that customer care services is excellent, 29% said very good, 48% said average and 11% said poor. So it can be interpreted that the highest rank is 48 %. The satisfaction level is average.

Q No. 11 Which of the following function do you use the most on your mobile services?Internet 18 12%

Voice mail 7 05%

Balance Information 51 34%

SMS 44 29%

Area Information 03 02%

Easy Recharge Facility 27 18%

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Excellent 18 12%

Very good 44 29%

Average 72 48%

poor 16 11%

Internet

Voice m

ail

Bal Inform

ation

SMS

Area In

formati

on

Easy

Recharg

e faci

lity

18

7

5144

3

27

Graph 11Graph 11

Interpretation:On the basis of above diagram the most use of mobile services by the subscribers, 12% users used Internet, 5% users used voice mail,34% users used balance information,29% users used SMS, 2% users used area information and 18% users used easy recharge facility.So I can said that the most use of mobile services are balance information and least use of mobile services are area information.

Q No. 12 Compared to other mobile services that are available how would you rank your brand you are using?

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67%

26%

7%

Graph 12Better Much Better Worse

. Interpretation:Compare to other mobile services 67% subscribers said that better, 26% said that much better and 07% said that worse.

Q No. 13 Are you planning to switch over to new mobile services?

Very likely 64 43%

Unlikely 86 57%

Very likely Unlikely0

102030405060708090

Graph13

Graph13

Interpretation:From the above diagram I can be interpreted that 43% users wants to switch over to new mobile services and 57% users doesn’t want to switch over to new mobile services.

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Better 101 67%

Much Better 39 26%

Worse 10 07%

Q No. 14 If you have to recommend your friend to use a particular mobile service which one would you recommends?

Reliance Smart 31 21%

Airtel 22 14%

BSNL 07 5%

Aircel 13 9%

Idea 50 33%

Vodafone 04 3%

Tata Indicom 23 15%

Reliance Smart21%

Airtel 15%

BSNL5%Aircel

9%

Idea33%

Vodafone3%

Tata In-dicom15%

Graph 14

Interpretation:Out of 150 respondents, 21% respondents recommended to their friend to use Reliance smart, 14% recommended Airtel, 5% recommended BSNL, 9% recommended Aircel, 33% recommended Idea, 3% recommended Vodafone, 15% recommended Tata Indicom. So the highest recommended by the users is Idea and the least recommendation is Vodafone.

Q No.15 Are you sure that your service provider is going to have a good market in Dhanbad?

Page | 35Yes 130 87%

No 20 13%

87%

13%

Graph 15Yes No

Interpretation:87% subscribers consider that their service provider is going to have a good market in Dhanbad, and 13% subscribers don’t consider.

Q No.16 How did you come to know about the better future of the particular services provider?

Through print media 17 11%

Through advertisement 57 38%

The actors appearing is the Ad 22 15%

Word of mouth publicity 54 36%

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Through print media11%

Throughadver-tisement

38%

The actors appearing is the Ad

15%

Word of mouth publicity36%

Graph 16

Interpretation:On the basis of above data it can be interpreted that 11% awareness of people is through print media, 38% awareness of people is through advertisement, 15% awareness of people by the actors appearing in the Ad, and 36% awareness of people by word of mouth publicity. Thus it can be interpreted that the best way of awareness of people is advertisement and ‘word of mouth publicity’ proves to be a good tool for company’s promotion.

Q No. 17 According to you, how will you rank the 8 best services provider in telecom sector? (Rank 1 to 8)

Companies Name Total number of Rank Rank

Reliance 30 1

Idea 24 2

Airtel 22 3

BSNL20 4

Tata Indicom 17 5

Aircel 15 6

Vodafone 12 7

Virgin mobile 10 8

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Relian

ceIdea

Airtel

BSNL

Tata

indicom

Aiecel

Vodafone

Virgin m

obile

30

2422

2017

1512

10

1 2 3 4 5 67 8

Chart TitleGraph 17 Rank

Interpretation:

From the above diagram it shows that Reliance got highest rank 30That is 1st rank, Idea got 24 that is 2nd rank, Airtel got 22 that is 3rd rank BSNL got 20 that is 4th rank, Tata Indicom got 17 that is 5th rank, Aircel got 15 that is 6th rank Vodafone got 12 that is 7th rank Virgin mobile got10 that is 8th rank. So I can say that the 1st Rank is Reliance and the least rank is Virgin mobile.

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FINDINGS AND SUGGESTIONS

FINDINGS

On the basis of Serve maximum respondents use telecom services. This shows the

awareness among the people and the increased usage of telecom services.

Among the all users Reliance smart is highest that is 31%,Airtel is 8% Aircel is

7%,BSNL is 7%,Idea 17%,Vodafone 3%,Rim 12%,Tata Indicom is 13% and Virgin

mobile is 2%.So I can say that the highest preference of user is Reliance GSM and lowest

user is Virgin mobile.

Out of 150 respondents 40% users said that Important, 49% said that Very Important, and only 11% said that Extremely Important. So I can say that the highest number of users said that mobile is very important in their daily life.

With the help of above pie chart I can said that 41% users said that they use mobile services due to lower price of call rate,26% said that availability of network, 25% said that better services, and only 7% said that easy to use. So I observe that the facility which adds the most to the success is the lower price of call rates.

The above pie chart says that 69% respondents said the customer care services prompt to solve their queries and 31% said that no they did not solve our queries.

It can be interpreted that 86% subscribers are satisfied and 14% subscribers are not satisfied with the way of call is handled by customer care.

The above diagram said that 12% users said that customer care services is excellent, 29% said very good, 48% said average and 11% said poor. So it can be interpreted that the highest rank is 48 %. The satisfaction level is average.

On the basis of above diagram the most use of mobile services by the subscribers, 12% users used Internet, 5% users used voice mail,34% users used balance information,29% users used SMS, 2% users used area information and 18% users used easy recharge facility. So I can said that the most use of mobile services are balance information and least use of mobile services are area information.

From the above diagram I can be interpreted that 43% users wants to switch over to new mobile services and 57% users doesn’t want to switch over to new mobile services.

Out of 150 respondents, 21% respondents recommended to their friend to use Reliance smart, 14% recommended Airtel, 5% recommended BSNL, 9% recommended Aircel, 33% recommended Idea, 3% recommended Vodafone, 15% recommended Tata Indicom. So the highest recommended by the users is Idea and the least recommendation is Vodafone.

From the above diagram it shows that Reliance got highest rank 30That is 1st rank, and Virgin mobile got10 that is 8th rank.

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Suggestions:

On the basis of extensive study and research, here are some recommendation and suggestion which may help the company to market the product and service more Profitability and increase its share in the Telecom market.

1. PROMOTIONAL ACTIVITIESThe company expands the budget allocation for promotional campaign in center Bihar & Jharkhand. It has affected the sale service brand image of Reliance especially in Jharkhand. Low supports in promotion have lead to fluctuation in sale. There may be some useful tools which can be summed as follows:-

A. Advertising – advertising should have a clear objective and message, which has not been found in recent ads. Reliance is a faster growing provider service in each state .every offers and schemes they should show with proper message for benefit to the customer. In busy life customer do not remembered any offers and which service we can provided for the customer therefore they should by force showing advertisement in growing market and among customer. customers wants continuously exposure in Cable and Local newspapers.

B. Persuasive Advertising:-

Now there is a need of persuasive advertising for Reliance service which can be moved into the category of “comparative advertising”. It will help the company to establish the superiority of its brand service through specific comparison of one or more attributes and features.

C. Technical Expertise:-

The advertisement should show the companies expertise, experience and pride in market the product service sales media. A combination of print ads and TV commercial do a better job. Local ads and publicity should be giving more stress. Hoardings, banners, wall painting should be promoted, as some expenses are also beard by dealers. Ads on Cable network result greater audience attention, Schemes, gift offers etc must be highlighted through Radio and Local newspapers.2. SALES PROMOTIONCash discount, Premiums, Appointment of sale promoter, Financial schemes

3. OCCASIONAL DISCOUNT

The company may go for occasional discount offers or price off from time to time specially during any festival. Off season discount may also prove helpful to check fluctuating sales.

4. PRODUCT QUALITY AND TECHNICAL FEATURES

As for as some hand set mobile product quality is concerned, there is an urgent need of technical up gradation of Reliance mobile product line. It would be beneficial for company to launch some colors mobile hand set with the some added feature and minimum price.

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CONCLUSION AND RECOMMENDATION

CONCLUSIONIt is interpreted that the no. of Reliance subscriber is comparatively more than the other company’s subscribers. Through this survey I found mostly customers seek for lower price of call rates and different types of offers and schemes provided by the company. But it was also concluded that mostly subscribers are not satisfied by the network availability. In Dhanbad, many new competitors are entered in the market with new schemes and plans. This is a big threat for the existing telecom operators of Dhanbad. Also it is going to be proved as best career choice for students who seek a job in telecom sector. Because many new companies are entering into the market.

Globally I can say that India has one of the world’s largest telecommunication networks. The telecom story continues to be the best evidence of the efficacy of the reforms process. In just six years, the number of mobile subscribers has gone up from just about one million to 100 million, a subscriber base that only four other countries China, the US, Japan and Russia can boast of. None can doubt the correlation between this explosive growth in numbers and the steep decline in the cost of the mobile phone and of its usage. Effective tariffs have dropped from over Rs 14 a minute to Re 1, bringing the phone within reach of people even below the middle-class. The Government may have, therefore, landed itself a winner in the mobile phone service providers, but the task of taking telecom to the other 90 percent of the population will call for even greater innovation in policymaking, technology and marketing. Still three-fourths of the land mass is not illuminated by a cellular signal and the price of the instrument is beyond the reach of a substantial section of the population let alone the charges for its use. These issues, of course, can be resolved by decisive policy action, such as a creative use of the Universal Services Obligation fund that now has over Rs 70 billion, releasing adequate spectrum to operators in the metros, and proactive investment policy that invites many more equipment manufacturers to set up base in this country. The number portability issues will solve many problems and will help the end users, which will change the whole scenario of competition and will make the game tougher for the service providers.

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RECOMMENDATION

It can reduce their call rates. Provide better network service. Provide new schemes and offers. Do promotions to acquire customer reach. It should provide better customer care service. They should try to rich lower income person by providing cheap mobile handset. It should provide a better internet service. They should have a perfect customer relationship segment. It should rural areas and try to set their image. There should no constraint for mobile users using in roaming areas.

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APPENDICES

QUESTIONNAIRE

“A comparative study on services provided by different telecom operators in Dhanbad”

1. Are you a mobile subscriber?

(A) Yes (B) No

2. Which services do you prefer?

(A) GSM (B) CDMA

3. Is your current mobile phone on a ………..

(A) Pre paid mode (B) Post paid mode

4. Which GSM mobile service do you use?

(A) Reliance Smart (B) Airtel (C) Bsnl

(D) Aircel (E) Idea (F) VODAFONE

5. Which CDMA mobile service do you use?

(A) Reliance (B) Tata Indicom (C) Virgin mobile

6. How important mobile services are to your daily life?

(A)Important (B) Very Important (C) Extremely important

7. Why do you prefer a particular brand of mobile service?

(A)Lower price of call rate (B) Easy to use

(C)Availability in network (D) Better services

8. Are the customer care services prompt to your queries?

(A)Yes (B) No

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9. Are you satisfied with the way your call is handled?

(A) Yes (B) No

10. How would you rate the customer services of your mobile?

(A)Excellent (B) very good

(C)Average (D) poor

11. Which of the following function do you use the most on your mobile Services?

(A)Internet (B) Voice mail (C) Balance Information

(D) SMS (E) Area information (F) Easy recharge facility

12. Compared to other mobile services that are available how would you rank your

brand you are using?

(A)Better (B) Much better (C) Worse

13. Are you planning to switch over to new mobile services?

(A) Very likely (B) Unlikely

14. If you have to recommend your friend to use a particular mobile service ` which one would you recommend?

(A) Reliance Smart (B) Airtel (C) Bsnl (D) Aircel

(E) Idea (F) VODAFONE (G) TATA INDICOM

15. Are you sure that your service provider is going to have a good market in ` Dhanbad?

(A) Yes (B) No

16. How did you come to know about the better future of the particular service ` provider?

(A)Through print media (B) Trough advertisement

(C)The actors appearing is the Ad (D) Word of mouth publicityPage | 44

17. According to you, how will you rank the 8 best service providers in telecom ` sector? (Rank 1to 8)

18. On an

average how much do you spend every month on your mobile?

(Making call, Sending SMS)

(A)Less then Rs 100 (B) Rs 101 to Rs 300

(C) 301 to Rs500 (D) Rs 501 to Rs 800

(E)Rs 801 to Rs 1000 (F) Above Rs 1000

19. What is your occupation?

(A) Student (B) Businessman

(C)Professional (D) Self employed

20. NAME ------------------------------------------------------------------------------------

AGE ----------- Nationality ----------------------- Mobile no -----------------------

Address------------------------------------------------------------------------------------

------------------------------------------------------------------------------------

“Thank you very much for your co-operation”

Page | 45

Name of the Companies Rank Name of the Companies

Rank

Bharat Sanchar Nigam Limited

Idea

Tata Indicom Vodafone

Airtel Aircel

Reliance Virgin mobile

REFERENCES

WEBSITES:

1. www.bsnl.co.in

2. www.dot.gov.in

3. www.google.com

4. www.iloveindia.com

5. www.micrositemobile.com

6. www.trai.gov.in

7.www. Scribd. Com

8.www. Clickindia. Com

9.Economic Times

10. BOOKS:

Philip Kotler (1999):’Marketing Management’ Prentice Hall of India Pvt. Ltd.,

Kothari, C.R (2001):’Research Methodology’, Vishwa Publication.

ICFAI marketing management book.

......................... Service Providers.....................

Company: BSNL (GSM)

Reliance

Telecom (GSM)

AIRTEL (GSM)

AIRCEL (GSM)

Reliance

Infocomm (CDMA)

TATA (CDMA)

Customer Care No.:

9400024365 98350983509934099340

98351543219852012345

30333333

*369

9234012345, 9234008282

GLOSSARY

APage | 46

Advertising Paid non-personnel communication with a target market, advertising media include television, radio, news paper, magazines, and direct mail.

AIDA Model an acronym for awareness, interest, desire and action, which represent the psychological steps a customer, goes through on the way toward making a purchase.

Allocating breaking accumulated supplies into smaller units that are easier fir later intermediaries and customers to handle.

Area sample a type of cluster sample in which geographic units are used to define the cluster of the population.

B

Brand A name, term, phrase, design, symbol or any combination of these chosen by an individual or organization to distinguish a product competing products.

Brand extension Assigning an existing brand name to a new product in the same product line.

Brand loyalty the level of commitment that customer feel toward a given brand, as represented by their continuing purchase of that brand.

Brand name the portion of a brand that can be expressed verbally, including letters, words, or members.

Buying power the consumer’s ability to purchase product.

C

Competition The rivalry among sellers trying to increase sales, or market share while addressing the same set.

Page | 47

Competitive advertising Advertising that rises to promote specific product features as better than those offered by the competition.

D

Database A computerized system that stores and retrieves a variety of data.

Differentiated marketing A marketing approach that aims specialized products or product lines at target markets, using different marketing mixes for each segment.

Distribution The process of moving products from the producer to the consumer, which may involve several steps ad the participation of multiple companies

Distribution center A private warehouse specialty designed to provide the fast transfer of goods from suppliers to retailers or final customers

Distributor A general term usually applied in organizational markets to intermediaries that perform the equivalent function of both wholesalers and retailers.

E

Environmental Analysis The interpretation o data generated in environmental scanning

F

Feedback Communication from the audience back to the sources

Franchise A business entity licensed to use the trademarks, operations and other attributes of a business.

Frequency marketing programs that reward customers for repeat purchase of specific goods and services.

H

Hypothesis The marketer’s untested assumption about the probable solution to the marketing problem.

I

Independent retailers Retailers that are not part of large retail organization, but are owned by one person, two or more partners or a family.

Page | 48

Intensive Distribution A channel strategy that seeks to make products available in as many appropriate places as possible.

Internal marketing marketing to employees with the ultimate goal of improving customer satisfaction.

L

Logo A Unique symbol that represents a specific firm or a brand name written in a distinctive type style.

M

Market the customer and potential customer who want or need a product and who are willing and able to exchange something for it

Market segmentation A way of dividing a large market into smaller groupings of consumers of organizational in which each subset has a common characteristic.

Market shares An organization’s portion of the total sales in a given market, expressed as a percentage.

Marketing the process o developing and exchanging ideas, goods and services that satisfy customers, using the principles o pricing, promotion ,and distribution.

Marketing channel A system designed to move gods and services from producers to customers, which consist of people and organization supported by various facilities, equipment, and information resources.

Marketing Database A computerizes system to store and retrieve data as needed by marketers.

Marketing mix the four key elements of marketing strategy; product, promotion, distribution, and price.

P

Population The universe of people, place, or things to be investigated in a specific research study.

Page | 49

Primary data Data that is gathered directly from the subjects or through on-site research for specific marketing research program.

Product A good, services or idea for which customers will exchange money or something else of value; a product is bundle of features and benefits designed t meet needs of target customer.

Promotion A verity f techniques, including advertising, sales, promotion, public relation, and personal willing, that are used to communicate with the program

Psychological influences Characteristics within the individual that influence consumer behavior.

Pull strategy A promotional strategy that primarily builds demand with the final customer to request the product from the marketing channel; the opposite of push strategy

Push strategy A promotional strategy that relies primarily on pushing products through each stage of the marketing channel from producer to wholesaler to retailer to customer; push strategy can also be pushed in direct channels, with sales people presenting products to customer.

R

Retailers Intermediaries that sell to final customer; they purchase goods from wholesaler or in some cases, directly from producers.

S

Sample A portion of population that represents the whole in a research study.

Page | 50

Sampling error A measure of the discrepancy between the result of surveying a sample and the expected results of conducting a census of the entire population.

Simple random sample A probability sample in which all the members of the population have an equal probability of being picked for survey.

Source The person r organization that originates and encode a message.

Survey A method of gathering data directly from consumers via a questionnaire.

T

Target Market The market you’ve selected is the focus of your marketing program; it covers the potential costumers you think are most likely to need or want your product.

W

Wheel of retailing A theory that divides the cyclical patterns in retail evolution into three stages: innovation, trading up and vulnerability.

Wholesalers Intermediaries that perform a variety of marketing channel functions to move goods and services through the channel to retailers and organizational customers.

Page | 51