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Executive Summary
This report is to describe the project objective
which is to understand the technology on
which mobile world is working and
simultaneously keeping the track of what
consumer thinks about it. Currently there are
two technologies on which mobile companies
are working. To start with most operators are
using GSM (Global System for Mobile) which
is very successful in the market. GSM
dominates the market as most of the service
providers are using this technology to give
service to consumers. Another technology is
CDMA (Code Division Multiple Access)
which is radically a new concept in wireless
communications. The main difference between
1
these two technologies is that GSM assigns
different frequency to different users at a
given point of time while CDMA assigns only
one frequency to all its users.
All the companies in the market are using
one out of the given two technologies to
provide service to the consumers. But
breaking this trend out Reliance
communications is the only company which is
working with both GSM as well as CDMA
technology simultaneously. Reliance has
entered very recently with the GSM service
but has taken up the pace pretty well. As
Reliance Communications has just entered
into GSM market so it is worth noting what
consumers feel about it. This report also
conveys information about the mobile service
2
providers like Aircel, Airtel, BSNL, Idea,
Reliance, Tata Indicom, Virgin and Vodafone.
It contains an overview of current players
working in the market with their market
shares, policies, different trends and
innovations. It clearly tells us that Airtel is
leading the chart when it comes to market
share followed by Reliance Communications
and other companies are also not far behind.
Reliance Communications is a part of Anil
Dhirubhai Ambani (ADA) Group, an offshoot
of the Reliance Group founded by Shri
Dhirubhai Ambani (1932-2002), ranks among
India’s top three private sector business
houses in terms of net worth. The group has
other businesses like Reliance Energy,
Reliance Mutual Fund, Reliance Life
3
Insurance, Reliance General Insurance and
Reliance Portfolio Management.
For the above mentioned objective the first
and foremost thing which was done that to
figure out what consumer thinks about it.
Different consumers were asked about the
technologies - GSM and CDMA. Most of the
consumers were unaware of what these are all
about. Next step was to visit the retail shops
and take their views and reviews. For this
different types of retailers and distributors
were asked the same question but more or less
responses were the same
For achieving the objective survey was
conducted through questionnaires by
personally interviewing each respondent on a
number of queries structured in questionnaire.
4
The data thus collected through survey was
organized in a database, which could be
referred for future endorsements. The data
thus collected was subjected to analysis by a
mixture of common and advanced statistical
technique. It was found in the survey that
many consumers are using CDMA technology
but still it is far behind when we compare it
with GSM and consumers are not aware how
these technologies are working.
5
TELECOM OVERVIEW
Telecom Industry in India
The Indian telecommunications industry is
one of the fastest growing in the world and
India is projected to become the second largest
telecom market globally by 2010.
India added 113.26 million new customers
in 2008, the largest globally. In April 2008,
India had already overtaken the US as the
second largest wireless market. With an
average 9.5 million customers added every
month. The telecom penetration is over 33%.
6
This means that 1/3 Indians has a telephone
connection.
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.
7
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
8
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
9
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 long distance and international
long distance services. 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
10
two categories: Global System for Mobile
Communications (GSM) and Code Division
Multiple Access (CDMA). The GSM sector is
dominated by Airtel and Vodafone, 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.
11
Companies in Telecom Sector
12
BSNL MTNL GSM CDMA
Fixed Service Provider Cellular Services
TELECOMMUNICATION SECTOR
Aircel
Airtel
Bsnl
Idea
Reliance
Tata Indicom
Virgin Mobile
Vodafone
13
14
Aircel Limited
Headquarters Chennai, India
Key people
Chairman: C
Sivasankaran
COO : Gurdeep
Singh
Aircel is a mobile phone service provider in
India. Aircel was founded by NRI
businessman C Sivasankaran. Aircel is a joint
venture between Maxis Communications
Berhad of Malaysia and Apollo Hospital
Enterprise Ltd of India with Maxis
Communications holding a majority stake of
15
74%. It is India’s seventh largest GSM mobile
service provider with a subscriber base of over
16 million. The company plans to become a
pan-India operator by 2009. Aircel are one of
the sponsors of the Indian Premier League
Cricket Team Chennai Super Kings captained
by Mahendra Singh Dhoni.It is also the
sponsor for Professional Golf Tour of India
from 2009 onwards.
VISION:
Become the Service Provider of Choice for the
Enterprise Segment
MISSION:
16
1. Entry into top 1,000
corporate as the most agile
service provider
2. Create well differentiated value
offerings for ready adoption by large,
medium and small enterprises
3. Own service offerings, platform and
delivery mechanism that keeps ahead of
competition now and during technology
shifts
17
18
Bharti Airtel
Headquarters
New
Delhi,
India
Key people
Chairman:
Mr. Sunil
Mittal
Net Profit
2008-2009
Rs. 8470
Crore
Increase in
Net Profit26%
USP Network
19
Bharti Airtel, formerly known as Bharti Tele-
Ventures LTD (BTVL) is India's largest
cellular service provider with more than 92
million subscribers as of February 2009. It
also offers fixed line services and broadband
services. It offers its TELECOM services
under the Airtel brand and is headed by Sunil
Bharti Mittal. The company also provides
telephone services and Internet access over
DSL in 14 circles. It also acts as a carrier for
national and international long distance
communication services. The company has a
submarine cable landing station at Chennai,
which connects the submarine cable
connecting Chennai and Singapore.
20
The businesses at Bharti Airtel have been
structured into three individual strategic
business units (SBU’s) - Mobile Services,
Airtel Telemedia Services & Enterprise
Services. The mobile business provides
mobile & fixed wireless services using GSM
technology across 23 telecom circles while the
Airtel Telemedia Services business offers
broadband & telephone services in 95 cities
and has recently launched a Direct-to-Home
(DTH) service, Airtel digital TV. The
company provides end-to-end data and
enterprise services to the corporate customers
through its nationwide fiber optic backbone,
last mile connectivity in fixed-line and mobile
circles, VSATs, ISP and international
21
bandwidth access through the gateways and
landing station.
Globally, Bharti Airtel is the 3rd largest in-
country mobile operator by subscriber base,
behind China Mobile and China Unicom.
VISION:
1. By 2010 AIRTEL will be the most
admirable brand in India.
2. Loved by more customer
3. Targeted by top talented
4. Benchmark by more business
5. First private telecommunication company
to launch long distance services.
MISSION:
22
1. We will meet the mobile communication
needs of our customer through error free
service delivery
2. Innovative product and services
3. Cost efficiency
4. Unified message solution
23
[ Bharat Sanchar Nigam Limited]
BSNL
AvailabilityIndia wide except Delhi
and Mumbai
Founded19th century,
incorporated 2000
Owner The Government of India
Key people Kuldeep Goyal (CMD)
24
Bharat Sanchar Nigam Limited (known as
BSNL, India Communications Corporation
Limited) is a public sector telecommunication
company in India 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). It has
footprints throughout India except for the
metropolitan cities of Mumbai and New Delhi
which are managed by MTNL.
25
Vision:
To become the largest telecom Service
Provider in Asia.
Mission:
To provide world class State-of-art
technology telecom services to its
customers on demand at competitive
prices.
To provide world class telecom
infrastructure in its area of operation and
26
to contribute to the growth of the country's
economy.
27
Idea Cellular
HeadquartersIndore, Delhi, Pune,
India
Key people
Chairman: Kumar
Mangalam Birla
MD: Sanjeev Aga
VP Corporate
Affairs: Rajat
Mukharjee
Net Profit 2008-
2009Rs. 10.423 billion
Decrease in Net
Profit6.42%
28
Idea Cellular is a wireless telephony
company operating in various states in India.
It initially started in 1995 as a joint venture
among the Tatas, Aditya Birla Group and
AT&T by merging "'Wings Cellular'"
operating in Madhya Pradesh, Uttar Pradesh
(UP) West, Rajasthan and Tata Cellular as
well as Birla AT&T Communications.
Idea Cellular won the GSM Association
Award for "Best Billing and Customer Care
Solution" for 2 consecutive years.
VISION:
29
To delight their customer while meeting their individual communication needs anytime anywhere
Mission:
1. The India footprint Idea
oAnywhere connectivity - bringing
India closer.
2. The Technology Advantage Idea
oTomorrow's technology to enrich
today.
3. The Customer Focus Idea
oMake a single interaction a lasting
relationship.
4. The Employee Focus Idea
30
oNurture the roots that nurture our
ideas.
31
Reliance
Communications Limited
Headquarters
Navi
Mumbai,
India
Key people
Chairman: Mr. Anil D Ambani.
Products CDMA
service,
GSM
service,
Broadband
32
Internet
Service
Net Profit
2008-2009
Rs 5907.55
crore
Increase in
Net Profit9%
USPUnlimited
Reliance Communications (formerly
Reliance Infocomm), along with Reliance
Telecom and Flag Telecom, is part of Reliance
Communications Ventures (RCoVL). It is an
Indian telecommunications company.
According to National Stock Exchange data,
Anil Dhirubhai Ambani controls 66.77 per
cent of the company, which accounts for more
than 1.36 billion shares. It is the flagship
33
company of the Reliance-Anil Dhirubhai
Ambani Group, comprising of power
(Reliance Energy), financial services
(Reliance Capital) and telecom initiatives of
the Reliance ADAG. It uses CDMA2000 1x
technology for its existing CDMA mobile
services, and GSM-900/GSM-1800
technology for its existing/newly launched
GSM services.
Reliance Communications is also into
Wireline Business throughout India and has
the largest optical fiber communication (OFC)
backbone architecture [roughly 110,000 km]
in the country.
Reliance Communications has interests in
Direct to Home (DTH) TV also, known as
34
"Big TV". It plans to launch its DTH business
by July 2008. Once launched, Reliance
Communications will have presence across all
B2C communications channel in one of the
fastest growing markets in the world.
Vision: “We will leverage our strengths to
execute complex global-scale projects to
facilitate leading-edge information and
communication services affordable to all
individual consumers and businesses in India.
We will offer unparalleled value to create
customer delight and enhance business
productivity.
We will also generate value for our
capabilities beyond Indian borders and enable
35
millions of India's knowledge workers to
deliver their services globally.”
36
Tata Communications
Headquarters
Navi
Mumbai,
India
Key people
Chairman:
Mr. Ratan
N. Tata,
Managing
Director:
Anil
Kumar
Sardana
37
Net Profit
2008-2009
Rs. 3,158
million
USPSuperior
Voice
Clarity
Tata Teleservices Limited (TTSL) is a part of
the Tata Group of companies, an Indian
conglomerate. It operates under the brand
name Tata Indicom in various telecom circles
of India. The company forms part of the Tata
Group's presence in the Telecommunication
Industry in India, along with Tata Teleservices
(Maharashtra) Limited (TTML) and TATA
COMMUNICATIONS LTD.
38
In February this year, TTSL announced that it
would provide CDMA mobile services
targeted towards the youth, in a joint venture
with Virgin, UK,on a Franchisee model basis.
Interestingly, Virgin Mobile is a direct
competitor of TTSL in a number of telecom
circles across the country.
Tata Teleservices is part of the Tata Group,
that has over 87 companies, over 330,000
employees and more than 2.8 million
shareholders. Tata Teleservices spearheads the
Group’s presence in the telecom sector.
Having pioneered the CDMA 3G1x
technology platform in India, Tata
Teleservices has established 3G ready telecom
infrastructure. It partnered with Motorola,
39
Ericsson, Lucent and ECI Telecom for the
deployment of its telecom network.
MISSION:
Invest in building long-lasting relationships
with customers and partners and lead the
industry in responsiveness and flexibility.
VISION:
Deliver a new world of communications to
advance the reach and leadership of our
customers
40
Virgin Mobile
Headquarters England
Key People Chairman :
Mr.
Richard
Brandson
Virgin Mobile is a brand used by many mobile
phone service providers based in the United
Kingdom, and operating in India, Australia,
Canada, South Africa, the United States and
France; the brand survived only briefly in
Singapore. The international Virgin Mobile
41
businesses each act as independent entities,
usually in a partnership between Sir Richard
Branson's Virgin Group and an existing phone
company. Virgin Group provides the brand,
and the phone company operates the network
infrastructure.
Virgin Mobile was the world's first Mobile
Virtual Network Operator when it launched in
the United Kingdom in 1999. It does not
maintain its own network but instead contracts
to use the existing network(s) of other
providers.
42
43
Vodafone Essar Limited
Net ProfitRs.11.8
billion
Increase in
Net Profit16.7%
Headquarters
Mumbai,
Maharastra,
India
USPValue
Added
Service
44
Vodafone Essar, previously Hutchison Essar
is a cellular operator in India that covers 23
telecom circles in India . Despite the official
name being Vodafone Essar, its products are
simply branded Vodafone. It offers both
prepaid and postpaid GSM cellular phone
coverage throughout India with good presence
in the metros.
Vodafone Essar provides 2.75G services based
on 900 MHz and 1800 MHz digital GSM
technology, offering voice and data services in
23 of the country's 23 licence areas. It is
among the top three GSM mobile operators of
India.
VISION:
45
To be the world’s mobile communications
leader-enrich customers’ lives and helping
individuals, business and communities. Be
more connected in mobile world
MISSION:
Driving in wireless world. Vodafone is
primarily a user of technology rather than
developer of it
46
Market Share (2008-2009):
Companies Subscriber
Base (Mn)
Market
Share
March’09
(%)
AIRCEL 16.76 4.63
AIRTEL 88.38 24.44
BPL 2.00 0.55
BSNL 47.58 13.16
IDEA 40.02 11.07
MTNL 4.30 1.18
RELIANCE 66.30 18.34
47
Tata
Teleservices
32.79 9.07
VODAFONE 63.34 17.52
TOTAL 361.49 100
Source: COAI & TRAI
48
Interpretation:
AIRTEL is the market leader holding
24.44%.
oNOTE: It has a subscriber base of
88.38 million customers.
49
RELIANCE is challenging Airtel with
18.34% market share.
oNOTE: It’s subscriber base is around
66.30 million customer which includes
CDMA as well as GSM subscriber.
Vodafone is not far behind following with
17.52% market share.
oNOTE: It is catching up with 63.34
million customers.
BSNL is the public sector telecom which
holds 13.16% of the market share.
oNOTE: Subscriber base of 47.58
million customers.
50
IDEA is also fighting hard in the market
and its market share is 11.07%
oNOTE: It has subscriber base of 40.02
million customers.
TATA TELESERVICES is trying hard
to cope up with other service providers
with 9.07% of market share.
oNOTE: Subscriber base of 32.79
million customers.
Aircel has increased its circles and is no. 7
in the list with 4.63% of market share.
oNOTE: It has subscriber base of 16.76
million customers.
51
MTNL works only in Delhi and Mumbai
still it has market share of 1.18%.
oNOTE: It is having 4.30 million
customers.
BPL is the last one in the list with 0.55%
market share.
oNOTE: BPL has 2 million customers.
This can be seen that the direct competition of
Reliance is with Vodafone. Both are working
head-to-head. They are fighting for the second
position spot in the industry. Reliance with
18.34% of the market share is the first
company in the history of India to have
CDMA as well as GSM service. Though it is a
52
leader in CDMA service but when it comes to
GSM service it still has to climb mountains.
53
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New Entrants
Videocon-promoted Datacom
Unitech
Etisalat’s - Swan Telecom
Loop Telecom
57
The above mentioned providers will be given
4.4 MHz spectrum for starting the GSM-based
cellular services. The move indicates that the
Communication Ministry is all set to allocate
radio frequencies to the new players in other
Circles as well. A number of companies have
gone to court contesting the Government’s
policy of allocating spectrum on a first-come-
first-served basis. DoT had earlier released
CDMA spectrum to Sistema backed Shyam
Telelink across 12 circles. New operators
could result in lower tariffs and better quality
of services for consumers.The Government is
also looking at introducing mobile number
portability which would make it easy for
58
existing subscribers to new operator without
giving up on their phone number
59
Company Profile:
Reliance Communications
The Late Dhirubhai Ambani dreamt of a
digital India — an India where the common
man would have access to affordable means of
information and communication. Dhirubhai,
who single-handedly built India’s largest
private sector company virtually from scratch,
had stated as early as 1999: “Make the tools of
information and communication available to
people at an affordable cost. They will
overcome the handicaps of illiteracy and lack
of mobility.”
It was with this belief in mind that Reliance
Communications (formerly Reliance
60
Infocomm) started laying 60,000 route
kilometres of a pan-India fibre optic backbone.
This backbone was commissioned on 28
December 2002, the auspicious occasion of
Dhirubhai’s 70th birthday, though sadly after
his unexpected demise on 6 July 2002.
Reliance Communications has a reliable, high-
capacity, integrated (both wireless and
wireline) and convergent (voice, data and
video) digital network. It is capable of
delivering a range of services spanning the
entire infocomm (information and
communication) value chain, including
infrastructure and services — for enterprises
as well as individuals, applications, and
consulting.
61
Today, Reliance Communications is
revolutionising the way India communicates
and networks, truly bringing about a new way
of life.
About Sh. Dhirubhai Ambani
Few men in history have made as dramatic a
contribution to their country’s economic
fortunes as did the founder of Reliance, Sh.
Dhirubhai H Ambani. Fewer still have left
62
behind a legacy that is more enduring and
timeless.
As with all great pioneers, there is more than
one unique way of describing the true genius
of Dhirubhai: The corporate visionary, the
unmatched strategist, the proud patriot, the
leader of men, the architect of India’s capital
markets, the champion of shareholder interest.
But the role Dhirubhai cherished most was
perhaps that of India’s greatest wealth creator.
In one lifetime, he built, starting from the
proverbial scratch, India’s largest private
sector enterprise.
63
When Dhirubhai embarked on his first
business venture, he had a seed capital of
barely US$ 300 (around Rs 14,000). Over the
next three and a half decades, he converted
this fledgling enterprise into a Rs 60,000 crore
colossus—an achievement which earned
Reliance a place on the global Fortune 500
list, the first ever Indian private company to do
so.
Dhirubhai is widely regarded as the father of
India’s capital markets. In 1977, when
Reliance Textile Industries Limited first went
public, the Indian stock market was a place
patronised by a small club of elite investors
which dabbled in a handful of stocks.
64
Undaunted, Dhirubhai managed to convince a
large number of first-time retail investors to
participate in the unfolding Reliance story and
put their hard-earned money in the Reliance
Textile IPO, promising them, in exchange for
their trust, substantial return on their
investments. It was to be the start of one of
great stories of mutual respect and reciprocal
gain in the Indian markets.
Under Dhirubhai’s extraordinary vision and
leadership, Reliance scripted one of the
greatest growth stories in corporate history
anywhere in the world, and went on to become
India’s largest private sector enterprise.
65
Through out this amazing journey, Dhirubhai
always kept the interests of the ordinary
shareholder uppermost in mind, in the process
making millionaires out of many of the initial
investors in the Reliance stock, and creating
one of the world’s largest shareholder
families.
66
India’s leading integrated telecom company
Reliance Communications is the flagship
company of the Anil Dhirubhai Ambani
Group (ADAG) of companies. Listed on the
National Stock Exchange and the Bombay
Stock Exchange, it is India’s leading
integrated telecommunication company with
over 77 million customers.
Our business encompasses a complete range
of telecom services covering mobile and fixed
line telephony. It includes broadband, national
and international long distance services and
data services along with an exhaustive range
of value-added services and applications. Our
constant endeavour is to achieve customer
67
delight by enhancing the productivity of the
enterprises and individuals we serve.
Reliance Mobile (formerly Reliance India
Mobile), launched on 28 December 2002,
coinciding with the joyous occasion of the late
Dhirubhai Ambani’s 70th birthday, was
among the initial initiatives of Reliance
Communications. It marked the auspicious
beginning of Dhirubhai’s dream of ushering in
a digital revolution in India. Today, we can
proudly claim that we were instrumental in
harnessing the true power of information and
communication, by bestowing it in the hands
of the common man at affordable rates.
68
We endeavour to further extend our efforts
beyond the traditional value chain by
developing and deploying complete telecom
solutions for the entire spectrum of society.
69
Looking back, looking forward
Reliance – Anil Dhirubhai Ambani Group, an
offshoot of the Reliance Group founded by
Shri Dhirubhai H Ambani (1932-2002), ranks
among India’s top three private sector
business houses in terms of net worth. The
group has business interests that range from
telecommunications (Reliance
Communications Limited) to financial
services (Reliance Capital Ltd) and the
generation and distribution of power (Reliance
Infrastructure Limited).
Reliance – ADA Group’s flagship company,
Reliance Communications, is India's largest
private sector information and
communications company, with over 77
70
million subscribers. It has established a pan-
India, high-capacity, integrated (wireless and
wireline), convergent (voice, data and video)
digital network, to offer services spanning the
entire infocomm value chain.
Other major group companies — Reliance
Capital and Reliance Infrastructure — are
widely acknowledged as the market leaders in
their respective areas of operation.
71
Reliance Energy
Ltd.
Reliance Mutual Fund
Harmony
Reliance
Communications
Reliance Life
Insurance
Reliance Anil
Dhirubhai Ambani
Group
Reliance Portfolio
72
Reliance General
InsuranceManagement Service
Reliance Big
Entertainment
73
Chairman's Profile Anil D. Ambani
Regarded as one of the foremost corporate
leaders of contemporary India,Shri Anil D
Ambani, 48, is the chairman of all listed
companies of the Reliance ADA Group,
namely, Reliance Communications, Reliance
Capital, Reliance Energy and Reliance Natural
Resources limited.
He is also Chairman of the Board of
Governors of Dhirubhai Ambani Institute of
Information and Communication Technology,
Gandhi Nagar, Gujarat.
74
Till recently, he also held the post of Vice
Chairman and Managing Director of Reliance
Industries Limited (RIL), India’s largest
private sector enterprise.
Anil D Ambani joined Reliance in 1983 as
Co-Chief Executive Officer, and was centrally
involved in every aspect of the company’s
management over the next 22 years.
He is credited with having pioneered a number
of path-breaking financial innovations in the
Indian capital markets. He spearheaded the
country’s first forays into the overseas capital
markets with international public offerings of
global depositary receipts, convertibles and
bonds. Starting in 1991, he directed Reliance
Industries in its efforts to raise over US$ 2
75
billion. He also steered the 100-year Yankee
bond issue for the company in January 1997.
Acquisitions
In its first overseas acquisition, the Reliance
group has amalgamated the United States-
based Flag Telecom for $ 211 million [roughly
Rs 950 crore (Rs 9.50 billion)].
Nationwide GSM Launch
On the 30th December 2008, Reliance
Communications became the first telecom
operator in the history of Indian
telecommunications to simultaneously launch
its GSM services in 14 circles, namely Andhra
Pradesh, Chennai, Delhi, Gujarat, Haryana,
Jammu & Kashmir, Karnataka, Kerala,
76
Maharashtra, Mumbai, Punjab, Rajasthan,
Tamil Nadu, Uttar Pradesh(East & West)
thereby establishing itself as a pan-India
operator.It already operates GSM services in 8
circles namely Assam, Bihar, Himachal
Pradesh, Kolkata, Madhya Pradesh, North
Eastern states, Orissa, West Bengal.
77
Division of Reliance Communications
Reliance communications have been divided
into four main heads:
78
1. Home
2. Enterprise Business
3. Personal Business
4. Shared Services
Home: Home is further divided into three sub
heads:
Big T.V
Big F.M
Big Artist
Enterprise Business: This is business to
business unit. In this business is done for big
enterprises. Main businesses are done for:
Companies
A.T.M
79
Personal Business: It is a unit which deals
directly with consumers. The main parts of
this unit are:
Mobile
Data
Shared Services: This unit is mainly made for
backup and support. FLAG Telecom is a part
of shared services and includes:
Technical Services
Commercial Services
SAP Team.
80
Circle Warehouse
Cluster Warehouse
Distributor
Retailer Retail Mobile Store
Direct Selling Team
Subscribers
Sales and Distribution Channel
Firstly Stock reaches circle warehouse from
the main warehouse. This Warehouse is the
head of the Circle. Circle warehouse passes it
to different cluster warehouse. There are eight
81
cluster warehouses in UP (E). They are
Allahabad, Jhansi, Varanasi, Kanpur,
Lucknow, Gorakhpur, Faizabad and Sitapur.
From here stocks are forwarded to Distributor.
Distributor gives it to retailers and Retail
Mobile Store (RMS) Retailer sells directly to
subscribers while RMS gives it to Direct
Selling Team (DST) which ultimately sells it
to subscribers.
82
ORGANISATION HIERARCHY
83
D H (Urban)
D H (Rural)
MARCOM Head
Acquisition Head
Usage and Retention Head
Distribution Head
Retail Head(Post paid)
Regional Head UP (East & West)
CEO (Cluster Head)
CommercialHead
Marketing & Sales Head
HR Head
R H (Urban)
R H (Rural)
Customer Service Delivery Head
TechnicalHead
MarketingHead
SalesHead
Conceptual Review
1. GSM
2. CDMA
GSM (Global System for Mobile
Communication)
This is one of the most used and famous
mobile communication technology which uses
TDMA, FDMA and SDMA techniques
together
.
TDMA: Time Division Multiple Access
FDMA: Frequency Division Multiple
Access
SDMA: Space Division Multiple Access
84
Working:
Voice or data communication uses
modulation technique to transfer data. In
modulation, transfer is done using higher
frequency. In order to communicate, particular
frequency is required or assigned to a user.
FDMA:
Frequency division multiple access is a
technique which is used to divide frequency
band such that more number of users can
communicate.
GSM 900, 1800, 2100 are some types of GSM
implementation based on frequency. In GSM
85
900 – 890 MHz to 960 MHz frequency band is
assigned out of which 890 to 915 MHz is
uplink frequency that means in this transfer is
done from mobile entity to base station & 935
to 960 MHz is downlink frequency that means
in this transfer is done from base station to
mobile station. 25 MHz each assigned for
uplink band as well as downlink band. These
bands are divided in channels of 200 KHz in
which transfer actually happens for a
particular user. So there are 125 channels for
each band. This division of frequency is
termed as FDMA. Each user is assigned with
one uplink and one downlink channel.
86
TDMA: Time division multiple access is a
technique in which users are provided channel
for a particular unit of time and then it is
assigned to others.
We as human cannot catch changes if they are
occurring faster then what we can receive for
example Video (we can’t see changes in
picture because of fast speed of change).So for
lots of time channel is free. So we can assign
87
particular channel to particular person and
then to other. For doing this time is divided in
slots (Time division multiplexing) and for
particular slot is allocated to user. This also
helps in increasing number of users.
SDMA: Space division multiple access is a
technique in which number of user are
increased by reusing frequencies by repeating
them over different cell for which space are
divide into smaller units named as space.
Each cell has base station and has particular
number of frequencies associated to it and
88
they are not repeated over adjacent cell this is
done to avoid inter frequency disturbance.
Each hexagon here represents cell and color
shows channel. This diagram then clearly
shows the reuse of frequency channel and
difference between them is kept such to avoid
disturbance.
CDMA:
89
Code Division Multiple Access, a cellular
technology orginally known as IS-95,
competes with GSM technology for
dominance in the cellular world.
Code Division Multiple Access (CDMA) is a
radically new concept in wireless
communications. It has gained widespread
international acceptance by cellular radio
system operators as an upgrade that will
dramatically increase both their system
capacity and the service quality.
This uses SDMA and CDMA technique
together.
CDMA: Code Division Multiple Access
90
SDMA: Space Division Multiple Access
CDMA:
Code Division Multiple Access, is different
than those traditional ways in that it does not
allocate frequency or time in user slots but
gives the right to use both to all users
simultaneously. To do this, it uses a technique
known as Spread Spectrum. In effect, each
user is assigned a code which spreads its
signal bandwidth in such a way that only the
same code can recover it at the receiver end.
This method has the property that the
unwanted signals with different codes get
spread even more by the process, making them
like noise to the receiver.
91
Example,
Assume there is party going on in a room in
which people of different country are present
and if there is one person speaks in French and
other in Chinese .If there is a listener who
knows French he /she will listen to everything
but will discard other languages but will only
take out French word and deduce meaning.
This is a concept in which CDMA works.
Every user has a particular code according to
which it communicates. Usually computer
works on 0 and 1. Now when CDMA is used
each user uses different code word to represent
92
0 or 1. Like there is a user A who sent 0 as
100101 (this will be code) and one will be
011010.
In CDMA all the data is send on same
frequency but code used by all the users are
orthogonal because of which data can be
differentiated after getting mixed and there is
no disturbance.
CDMA is a form of Direct Sequence Spread
Spectrum communications. In general, Spread
Spectrum communications is distinguished by
three key elements:
1. The signal occupies a bandwidth much
greater than that which is necessary to send
93
the information. This results in many benefits,
such as immunity to interference and jamming
and multi-user access, which we'll discuss
later on.
2. The bandwidth is spread by means of a code
which is independent of the data. The
independence of the code distinguishes this
from standard modulation schemes in which
the data modulation will always spread the
spectrum somewhat.
3. The receiver synchronizes to the code to
recover the data. The use of an independent
code and synchronous reception allows
multiple users to access the same frequency
band at the same time.
94
Comparison:
Properties GSM CDMAMethod of multiple Access
SDMAFDMATDMA
SDMACDMA
Interference/Voice Clarity
More Interference because of frequency sharing. So lesser clarity.
Less Interference. This result in better voice clarity
Security Lesser secure
More secure transmission because of code word used.
Availability Available in most of countries. So better coverage.
Limited coverage.
Deployment and More Lesser
95
operational cost because of fewer cell site
Hand over Hard and soft handover both are possible but usually call is lost.
Soft handover, resulting in better call handling while mobile is moving
Noise Immunity Lesser Immune
More Immune
Transmission power
Require more power
Require lesser power
Data Transfer speed
Lesser in comparison to CDMA
Better speed
Latest Technology EDGE having potential of providing better transfer speed than
WCDMA
96
earlier CDMA but has comparable speed to WCDMA
97
RESEARCH METHODOLOGY
1. Objective of the study
This project aims at understanding the CDMA
and GSM technology keeping consumer
perspective in mind. Consumer is taken as
king so to know about his preference and
meeting it is the most significant thing for the
management as it provides useful information
for decision making.
Thus objectives of the study include:
To know the difference between CDMA
98
and GSM technology.
To know about consumer perspective
when it comes to CDMA and GSM.
To analyze the preference of consumer
towards different CDMA and GSM service
providers.
2. Sample of the study
Convenient Sampling method has been
adopted for this study. The population
covered for the present study consisted of
students, private employees, government
employees, businessman, housewife and self-
99
employed people.
The study covered a sample of 200
respondents belonging to Lucknow region.
3. Methodology of the project
The project work has been carried out in three
stages, a structured questionnaire with
objective and question was communicated
tested and finalize. During the second stage,
personally each questionnaire was filled up by
interviewing the respondents. The work
relating to data entry compilation, data
analysis and report writing constituted the
100
third stage.
The details of the methodology adopted are
presented below:
The Questionnaire
Keeping in view the objective of the study,
questionnaire was designed and tested on 20
respondents. After getting the proper response
and sanction from the concerned department
the questionnaire was finalized.
Data entry and analysis
It has been an uphill task to enter the
enormous data received through the
101
questionnaire which consisted more than 10
questions.
102
4. Limitations of the Study:
Time was not sufficient to conduct
detailed study.
Study has been conducted only in a
few areas of Lucknow
For few questions researcher was not
able to get proper response which are as
follows:
i. Reasons for Switching
ii. GSM and CDMA as a
technology.
iii. Monthly Income.
103
104
Data Analysis & Interpretations
Table 1: Preference towards Mobile
Services
Service
Type
Total
Respondents(200)
In %
CDMA 56 28%
GSM 144 72%
Chart I: Preference towards Mobile
Services
105
28%
72%
CDMA
GSM
Interpretation
Out of the given respondents 28% are using
CDMA services while rest 72% GSM users. It
clearly denotes the demonomancy of GSM
users in the market.
106
CDMA Study
Table 2: Type of CDMA Users
Service Type Total
Respondents
( 56)
In %
Prepaid 44 79%
Postpaid 12 21%
Chart II: Type of CDMA Users
107
79%
21%
Prepaid
Postpaid
Interpretation
Out of 56 who are using CDMA services 79%
are prepaid users and rest 21% are using
postpaid service.
108
Table 3 : Preference towards CDMA
service provider
Service
Providers
Total
Respondents
( 56)
In %
Reliance 40 72%
Tata Indicom 12 21%
Virgin 4 7%
Chart III: Preference towards CDMA
service provider
109
72%
21%
7%
Reliance
Tata Indicom
Virgin
Interpretation
The CDMA market is dominated by Reliance
as 72% are using Reliance service, 21% are
using Tata Indicom while only 7% are Virgin
users.
110
Table 4 : Influencer for CDMA Service
Service
Providers
Total
Respondents
( 56)
In %
Advertisement 10 18 %
Friends &
Family
14 25 %
Dealer 5 9 %
Feel good 12 21%
Offers 15 27 %
Chart IV : Influencer for CDMA Service
111
18%
25%
9%
21%
27%
Advertisement
Friends & Family
Dealer
Feel good
Offers
Interpretation
Main factor which made consumers to buy
CDMA mobiles are its Offers with 27%, 25%
purchased because of their Friends and
Family, 21% bought due to Feel Good factor,
18% bought it after seeing Advertisement and
9% got influenced from Dealer.
112
Table 5 : Monthly Expense (CDMA users)
Service
Providers
Total
Respondents
( 56)
In %
Below 150 12 21 %
Between 150
- 300
10 18 %
Between 300-
450
16 29 %
Between 450
- 600
12 21 %
600 & Above 6 11 %
Chart V : Monthly Expense (CDMA users)
113
21%
18%
29%
21%
11%
Below 150
Between 150 - 300
Between 300-450
Between 450 - 600
600 & Above
Interpretation
29% of the respondent spends between
Rs.300-450, 21% spends between Rs.450-600,
21% spends below Rs.150, 18% spends
between Rs.150-300 while 11% spends Rs.600
& above.
114
Table 6 : Preferred Features (CDMA
Users)
Weight
Assigned 6 5 4 3 2 1
Total
%
ageFeatures
Ranking
1 2 3 4 5 6
Call
Rates 12 12 12 12 8 0 232 20
SMS
Rates 8 16 16 12 4 0 236 20
MMS &
GPRS
Rates 0 8 0 0 12 36 100 9
Network 28 4 12 8 4 0 268 22
Voice
Clarity 4 16 8 20 4 4 208 18
115
Value
Added
Services 4 0 8 4 24 16 132 11
Chart VI : Preferred Features (CDMA
Users)
20%
20%
9%22%
18%
11%
Call Rates
SMS Rates
MMS & GPRS Rates
Network
Voice Clarity
Value Added Services
Interpretation
As per the study main preference for features
came out to be Network which is leading the
116
chart with 22%. It is followed by both Call
Rates and SMS Rates with 20% each. Third is
given to voice clarity with 18% of respondents
preferring it. 11% look for Value added
services while MMS and GPRS Rates are least
preferred with 9%.
117
Table 7 : Preferred Service Providers
(CDMA Users)
Weight
Assigned 9 8 7 6 5 4 3 2 1
Total
Service
Provider
Ranking
1 2 3 4 5 6 7 8 9
Aircel 0 0 4 0 8 0 12 20 12 156
Airtel 12 0 12 8 4 12 4 0 4 324
BSNL 4 12 8 8 8 8 4 0 4 324
IDEA 4 12 8 12 4 4 4 4 4 320
Reliance
GSM 0 12 4 4 8 8 8 4 8 260
Vodafone 16 8 4 8 12 4 4 0 0 372
Reliance
CDMA 12 8 4 8 8 8 4 4 0 340
TATA 8 0 12 4 4 8 12 8 0 284
118
Indicom
Virgin 0 4 0 4 0 4 4 16 24 140
Chart VII : Preferred Service Providers
(CDMA Users)
6%
13%
13%
13%
10%
15%
13%
11%
6%
Aircel
Airtel
BSNL
IDEA
Reliance GSM
Vodafone
Reliance CDMA
TATA Indicom
Virgin
Interpretation
First preference has come of Vodafone with
15%, Second preference has a mixed
responses of Airtel, BSNL, Idea and Reliance
CDMA with 13% each, 11% preferred Tata
119
Indicom, 10% are looking for the recent
entrant Reliance GSM while last preference
can be seen for Aircel and Virgin with 6%
each.
120
Table 8 : Preference towards Number
Portability option (CDMA Users)
Choice
Total
Respondent
s (56)
In
%
Yes 42 75
No 14 25
Chart VIII : Preference towards Number
Portability option (CDMA Users)
121
75%
25%
Yes
No
Interpretation
75% of the respondents said they will switch
to other network while 25% are against
changing their service provider.
122
Table 9 : Consumer Preference towards
Number Portability options (CDMA Users)
Service
Providers
Total
Respondent
s (42)
In
%
Aircel 0 0
Airtel 6 14
BSNL 10 24
IDEA 15 36
Reliance GSM 2 5
Vodafone 6 14
Reliance CDMA 2 5
TATA Indicom 0 0
Virgin 1 2
123
Chart IX:Consumer Preference towards
Number Portability options (CDMA Users)
14%
24%
36%
5%
14%
5%0%
0% 2%
Aircel
Airtel
BSNL
IDEA
Reliance GSM
Vodafone
Reliance CDMA
TATA Indicom
Virgin
Interpretation
It can be seen that 36% of the users are
looking for Idea as their future service
provider. 24% have trust in BSNL, Airtel and
Vodafone are jointly present at third position
with 14% each, Reliance CDMA and Reliance
GSM preference is 5% each, Virgin got 2%
preference while Aircel and Tata Indicom got
124
0% preference when it comes to Number
Portability option.
Personal Profile of CDMA Users
Table 10: Gender
Gender Total
Respondents
(56)
In %
Male 36 64
Female 20 36
Interpretation
64% of the respondents are male while 36%
are female.
125
Table 11 : Age Group
Age Group Total
Respondents
(56)
In %
12-25 30 54
25-40 12 21
40-55 8 14
55 & Above 6 11
Interpretation
54% are between 12-25, 21% are between 40-
55, 14% are between 40-55 and rest 11% are
above 55 years of age.
126
Table 12 : Occupation
Occupation Total
Respondents
(56)
In %
Student 26 46
Government
Employee
8 14
Private
Employee
9 16
Businessman 5 9
Housewife 6 11
Self
Employed
2 4
Interpretation
127
Respondents occupation can be classified as
46% Students, 16% are Private employee,
14% are Government Employee, 11% are
Housewife, 9% are Businessman while only
4% are Self-Employed.
Table 13 : Monthly Income
Income Total
Respondents
(56)
In %
Below 5000 30 54
5000-15000 12 21
15000-30000 6 11
30000-45000 5 9
45000 &
Above
3 5
128
Interpretation
Respondents Income can be classified as 54%
are below Rs.5000, 21% are between Rs.5000-
15000, 11% between Rs.15000-30000, 9%
between Rs.30000-45000 while 5% monthly
income exceeds Rs.45000.
129
Table 14 : Marital Status
Choice
Total
Respondent
s (56)
In
%
Yes 25 45
No 31 55
Interpretation
Out of the 56 respondents 45% are married
while 55% are unmarried.
130
GSM Study
Table 15 : Type of GSM Users
Service Type Total
Respondents
( 144)
In %
Prepaid 107 74
Postpaid 37 26
Chart X: Type of GSM Users
Total Respondents ( 144)
74%
26%
Prepaid
Postpaid
131
Interpretation
Out of 144 who are using GSM services 74%
are prepaid users and rest 26% are using
postpaid service.
132
Table 16: Preference towards GSM service
provider
Service
Providers
Total
Respondents
( 144)
In %
Aircel 12 8
Airtel 35 25
BSNL 22 15
IDEA 32 23
Reliance
GSM
15 10
Vodafone 28 19
Chart XI: Preference towards GSM service
provider
133
8%
25%
15%23%
10%
19%
Aircel
Airtel
BSNL
IDEA
Reliance GSM
Vodafone
Interpretation
The GSM market is dominated by Airtel as
25% are using this service, 23% are using
Idea, 19% are using Vodafone, 15% are BSNL
users, 10% are Reliance GSM users while
only 8% are using Aircel.
134
Table 17 : Influencer for GSM Mobiles
Service
Providers
Total
Respondents
( 144)
In %
Advertisement 45 33
Friends &
Family
21 16
Dealer 4 3
Feel good 24 18
Offers 40 30
Chart XII: Influencer for GSM Mobiles
135
33%
16%3%
18%
30%
Advertisement
Friends & Family
Dealer
Feel good
Offers
Interpretation
Main factor which made consumers to use
GSM service are advertisement with 33%,
30% purchased because of its Offers, 18%
bought due to feel good factor, 16% bought it
because of Friends and Family and 3% got
influenced from dealer.
136
Table 18 : Monthly Expense (GSM Users)
Service
Providers
Total
Respondents
( 144)
In %
Below 150 28 19
Between 150
- 300
45 32
Between 300-
450
38 26
Between 450
- 600
20 14
600 & Above 13 9
Chart XIII: Monthly Expense (GSM Users)
137
19%
32%26%
14%
9%
Below 150
Between 150 - 300
Between 300-450
Between 450 - 600
600 & Above
Interpretation
32% of the respondent spends between
Rs.150-300, 26% spends between Rs.300-450,
14% spends below Rs.150, 19% spends
between Rs.450-600 while 9% spends Rs.600
& above.
138
Table 19 : Preferred Features (GSM Users)
Weight
Assigned 6 5 4 3 2 1
Total
%
ageFeatures
Ranking
1 2 3 4 5 6
Call
Rates 64 48 20 8 4 0 736 24
SMS
Rates 28 24 20 44 24 4 552 18
MMS &
GPRS
Rates 0 0 16 28 24 76 272 9
Network 32 48 20 16 24 4 612 20
Voice
Clarity 16 16 48 32 20 12 516 17
Value 4 8 20 16 48 48 336 12
139
Added
Services
Chart XIV : Preferred Features (GSM
Users)
24%
18%
9%
20%
17%
12%
Call Rates
SMS Rates
MMS & GPRS Rates
Network
Voice Clarity
Value Added Services
Interpretation
As per the study main preference for features
came out to be Call Rates which is leading the
chart with 24%. It is followed by Network
with 20%. Third is given to SMS Rates with
18% of respondents preferring it. Fourth
140
preference is given to voice clarity with 17%,
12% look for Value added services while
MMS and GPRS Rates are least preferred with
9%.
141
Table 20 : Preferred Service Providers
(GSM Users)
Weight
Assigned 9 8 7 6 5 4 3 2 1
Total
%
age
Service
Provider
Ranking
1 2 3 4 5 6 7 8 9
Aircel 8 4 4 4 4 12 24 40 44 420 6
Airtel 48 24 28 20 4 4 4 8 4 1008 15
BSNL 12 28 24 28 16 20 4 4 8 856 13
IDEA 20 24 32 16 32 12 0 4 4 912 14
Reliance
GSM 12 8 8 24 16 32 20 20 4 684 11
Vodafone 36 48 12 16 20 0 4 0 8 1008 16
142
Reliance
CDMA 8 8 20 28 36 24 16 0 4 772 12
TATA
Indicom 0 0 12 4 12 32 56 24 4 516 8
Virgin 0 0 8 0 4 4 20 44 64 304 5
Chart XV: Preferred Service Providers
(GSM Users)
6%
15%
13%
14%11%
16%
12%
8%5%
Aircel
Airtel
BSNL
IDEA
Reliance GSM
Vodafone
Reliance CDMA
TATA Indicom
Virgin
Interpretation
First preference has come of Vodafone with
16% followed by Airtel with 15%, Next
143
preference has come of Idea with 14%, BSNL
is fourth preferred brand with 13%, Reliance
CDMA is next with 12%,11% are looking for
Reliance GSM as next preferred brand, Tata
Indicom at seventh spot with 8%, On 8th spot
Aircel have come while last in the list can be
seen as Virgin with 5%.
144
Table 21 : Preference towards Number
Portability option (GSM Users)
Choice
Total
Respondent
s (144)
In
%
Yes 121 84
No 23 16
Chart XVI: Preference towards Number
Portability option (GSM Users)
145
84%
16%
Yes
No
Interpretation
84% of the respondents said they will switch
to other network while 16% are against
changing their service provider.
146
Table 22 : Consumer Preference towards
Number Portability options (GSM Users)
Service Providers
Total
Respondent
s (121)
In
%
Aircel 2 2
Airtel 29 24
BSNL 5 4
IDEA 25 21
Reliance GSM 13 11
Vodafone 23 19
Reliance CDMA 16 13
TATA Indicom 5 4
Virgin 3 2
Chart XVII: Consumer Preference towards
Number Portability options (GSM Users)
147
2%
24%
4%
21%11%
19%
13%
4% 2%
Aircel
Airtel
BSNL
IDEA
Reliance GSM
Vodafone
Reliance CDMA
TATA Indicom
Virgin
Interpretation
It can be seen that 24% of the users are
looking for Airtel as their future service
provider. 21% have trust in Idea, Vodafone is
present at third position with 19% each,
Reliance CDMA is fourth with 13%. Reliance
GSM preference is 11%, Tata Indicom and
BSNL have 4% each while Aircel and Virgin
got 2% each preference when it comes to
Number Portability option.
148
Personal Profile of GSM Users
Table 23 : Gender
Gender Total
Respondents
(144)
In %
Male 85 59
Female 59 41
Interpretation
59% of the respondents are male while 41%
are female.
Table 24 : Age Group
Age Group Total
Respondents
(144)
In %
12-25 44 31
25-40 36 25
149
40-55 42 29
55 & Above 22 15
Interpretation
31% are between 12-25, 25% are between 40-
55, 29% are between 40-55 and rest 15% are
above 55 years of age.
Table 25 : Occupation
Occupation Total
Respondents
(144)
In %
Student 48 33
Government
Employee
20 14
150
Private
Employee
15 10
Businessman 11 8
Housewife 27 19
Self
Employed
23 16
Interpretation
Respondents occupation can be classified as
33% Students, 14% are Government
Employee, 10% are Private employee, 19%
are Housewife, 8% are Businessman while
16% are Self-Employed.
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Table 26 : Monthly Income
Income Total
Respondents
(144)
In %
Below 5000 62 43
5000-15000 25 17
15000-30000 19 13
30000-45000 17 12
45000 &
Above
21 15
Interpretation
Respondents Income can be classified as 43%
are below Rs.5000, 17% are between Rs.5000-
15000, 13% between Rs.15000-30000, 12%
between Rs.30000-45000 while 15% monthly
income exceeds Rs.45000.
152
Table 27 : Marital Status
Choice
Total
Respondent
s (144)
In
%
Yes 82 57
No 64 43
Interpretation
Out of the 144 respondents 57% are married
while 43% are unmarried.
153
Major Findings
Mobile Market is dominated by GSM
service providers
Prepaid consumers are much more than
postpaid consumers
In CDMA Reliance while in GSM Airtel is
leading the chart of market share
.
Consumer gets more influence from offers
in CDMA but when it comes to GSM
Advertisements are the main influencer.
154
Few years back mobile connections were
not common among the students. But with
the mobile revolution now we can find
almost every student with mobile phone.
Dominancy of monthly expense in GSM is
between Rs.150-300 while in CDMA it is
between Rs.300-450.
CDMA users have an inclined towards
Network while GSM users have given Call
Rates as their main preference.
Vodafone ruled the chart for preference of
service provider for both CDMA as well as
GSM subscribers.
155
Both CDMA as well as GSM users are not
very much satisfied with their existing
service providers as more than 75% of
them are ready to switch to some other
network
Idea from CDMA users while Airtel from
GSM users have leaded the preference in
Number Portability Option.
Consumers are aware only that in GSM
different cell phones can be used while in
CDMA variety of handsets are limited.
156
157
RECOMMENDATIONS
From the research study, it has been found
out that the Customers are very particular
about the Quality of the Telecom services
and hence they want Reliance to increase
the Quality of their services.
Customers were unaware about the new
Jaadu Packs provided by Reliance, so
effective media campaign is a must to
enhance the awareness level.
Customer care of Reliance should be
improved a lot.
158
During the rainy season network gets
disturb so reliance should work on this to
make it better.
Customers perceived that the bills are
always inflated so steps should be taken in
this matter.
159
Conclusion
The telecom industry of India has registered
manifold growth in the recent years.
Personalized telecom access is essential
necessity of life for increasing number of the
people. The sector offers unlimited prospects
when we consider future growth. Both Public
Players and Private Players are enhancing
their technologies and taking the telecom
industry to a much higher growth state. Not
only service providers but also handset
manufacturers are contributing significantly to
the industry and economy of India. Each
Player is introducing new plans due to high
competition. New service providers such as
Swantel, Unitech etc are coming by the end of
160
this year in India. So the competition is
heating up more day by day. RCOM is
emerging as one of the main contributor to this
sector. RCOM net profit is up by 9.4% in the
FY 09 to RS. 5,908 Crore. It added 11.3
million new subscribers from Jan to March. It
is the only telecom service provider in the
history of India till date which has CDMA as
well as GSM Service simultaneously. Keeping
these things in mind it can be said that there
are numerous opportunities in this sector it all
depends who and grabs it.
161
BIBLIOGRAPHY
BOOKS:
Marketing Research – G. C. Beri
Research Methodology – C.R Kothari
Principles of Marketing – Philip Kotler
Web Resources:
www.trai.gov.in
http://www.tataindicom.com/t-
aboutus-ttsl-organization.aspx
162
http://www.rcom.co.in/webapp/
Communications/rcom/Aboutus/
aboutus_home.jsp
http://www.ideacellular.com/
IDEA.portal?
_nfpb=true&_pageLabel=IDEA_Pag
e_AboutIdea
http://www.bsnl.co.in/about.htm
www.wikipedia.org
www.economictimes.com
www.timesofindia.com
www.domainb.com
www.businessstandard.com
163
164
APPENDIX
Questionnaire
Dear Sir/Madam, This research is conducted to determine consumer preference for telecom operators in Lucknow. Kindly give your views in this regard and don’t skip any question.
1. Which Mobile Service do you have?□ GSM□ CDMA
2. Which type of user are you?□ Prepaid□ Postpaid
3. Which Service Provider do you use?□ Aircel□ Airtel□ Bsnl□ Idea□ Reliance GSM□ Vodafone□ Reliance CDMA
165
□ Tata Indicom□ Virgin
4. What made you to go for this mobile service provider?
□ Advertisement□ Family and Friends□ Dealer□ Feel Good□ Offers□ Any Other- Specify
5. What is your monthly average expense on your mobile?
□ Below 150□ Between 150-300□ Between 300-450□ Between 450-600□ 600 & Above
6. Rank the following features as per your preference ( 1 to 6):
Features RankCall RatesSms RatesMMS and GPRS Rates
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NetworkVoice ClarityValue added services(Where 1-Most Preferred and 6-Least Preferred)
167
7. Rate the following Service Provider as per your preference(1 to 9):
Service Provider
Rank
AircelAirtelBsnlIdeaReliance GSMVodafoneReliance CDMATata IndicomVirgin(Where 1-Most Preferred and 9-Least Preferred)
8. Provided Number Portability Option which service provider you would go for and why?
168
9. What do you think of GSM and CDMA as a technology?
10. Suggestions ( if any):
Personal Profile Gender:
□ M□ F
Age Group:□ 12-25□ 25-40□ 40-55□ 55 & Above
Occupation:□ Student□ Government Employee□ Private Employee□ Businessman□ Housewife□ Self Employed□ Other – Specify
169
Monthly Income:□ Below 5000□ 5000 - 15000□ 15000 - 30000□ 30000 - 45000□ 45000 & Above
Marital Status:□ Yes□ No
Thank You
170