DECLARATION

Hereby declare that the project report entitled “STUDY OF STUDENTS PREFERENCE
TOWARDS VARIOUS MOBILE SERVICE PROVIDERS” submitted for the degree of
Master of Business Administration, is my original work and the project report has not
formed the basis for the award of any diploma, degree, associate ship, fellowship or
similar other titles. It has not been submitted to any other university or institution for the
award of any degree or diploma.

Place:
Date: SHAH FAISAL
SUDARSHAN KUMAR
VINAYAK VERMA
MBA-III Sem

1
 CERTIFICATE

This is to certify that Mr. SHAH FAISAL, SUDARSHAN KUMAR and VINAYAK
VERMA of MBA third semester of RIMT, Mandi Gobindgarh has completed her project
report on the topic of “STUDY OF STUDENTS PREFERENCE TOWARDS VARIOUS
MOBILE SERVICE PROVIDERS” under the supervision of Mr. Dheeraj Sharma
faculty member of RIMT-IMCT.

To best of my knowledge the report is original and has not been copied or submitted
anywhere else. It is an independent work done by him.

Mr. Dheeraj Sharma

RIMT-IMCT
Mandi Gobindgarh

2
 ACKNOWLEDGEMENT
Survey is an excellent tool for learning and exploration. No classroom routine can
substitute which is possible while working in real situations. Application of theoretical
knowledge to practical situations is the bonanzas of this survey.

Without a proper combination of inspection and perspiration, it’s not easy to achieve
anything. There is always a sense of gratitude, which we express to others for the help
and the needy services they render during the different phases of our lives. I too would
like to do it as I really wish to express my gratitude toward all those who have been
helpful to me directly or indirectly during the development of this project.

First of all I wish to express my profound gratitude and sincere thanks to my esteemed
learned Director Dr. B.S. Bhatia, Director RIMT, Mandi Gobindgarh, who allowed
me to conduct the survey.

I would like to thank my professor Mr. Dheeraj Sharma who was always there to help
and guide me when I needed help. His perceptive criticism kept me working to make this
project more full proof. I am thankful to him for his encouraging and valuable support.
Working under him was an extremely knowledgeable and enriching experience for me. I
am very thankful to him for all the value addition and enhancement done to me.

No words can adequately express my overriding debt of gratitude to my parents whose

support helps me in all the way. Above all I shall thank my friends who constantly
encouraged and blessed me so as to enable me to do this work successfully.

Shah Faisal
Sudarshan Kumar
Vinayak Verma
MBA

3
 SCOPE OF THE STUDY

As learning is a human activity and is as natural, as breathing. Despite of the fact that
learning is all pervasive in our lives, psychologists do not agree on how learning takes
place. How individuals learn is a matter of interest to marketers. They want to teach
consumers in their roles as their roles as consumers. They want consumers to learn about
their products, product attributes, potential consumers benefit, how to use, maintain or
even dispose of the product and new ways of behaving that will satisfy not only the
consumer’s needs, but the marketer’s objectives.

The scope of my study restricts itself to the analysis of students preferences, perception
of different mobile service providers. The scope of my study is also restricts itself to
RIMT-IMCT only.

4
 OBJECTIVES OF THE STUDY

The subject matter for this research Project is to study the students preference towards the
various mobile service providers in RIMT-IMCT. This project consists of different
objectives. They are as follows:

 To know about the student preference level associated with different mobile
service providers.
 To find out the students satisfaction towards the various service providers.
 To know which advertisement media puts more impact on the buying
decision of students.

5
 RESEARCH METHODOLOGY
Survey design:
The study is a cross sectional study because the data were collected at a single point of
time. For the purpose of present study a related sample of population was selected on the
basis of convenience.

Sample Size and Design:

A sample of 300 people was taken on the basis of convenience. The actual retailers were
contacted on the basis of random sampling.

Research Period:
Research work is only carried for 2 or 3 weeks.

Research Instrument:
This work is carried out through self-administered questionnaires. The questions included
were open ended, dichotomous and offered multiple choices.

Data Collection:
The data, which is collected for the purpose of study, is divided into 2 bases:
 Primary Source: The primary data comprises information survey of
“Comparative study of retailer behavior towards ITC Candyman and Candico”.
The data has been collected directly from respondent with the help of structured
questionnaires.
 Secondary Source: The secondary data was collected from internet and
references from Library.

Data Analysis:
The data is analyzed on the basis of suitable tables by using mathematical techniques.
The technique that I have used is bar graphs.

6
 INTRODUCTION
Telecom Industry in India

The telecom industry is one of the fastest growing industries in India. India has nearly
200 million telephone lines making it the third 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.

- Much of the growth in Asia Pacific Wireless Telecommunication Market is spurred by

the growth in demand in countries like India and China.
- India‘s mobile phone subscriber base is growing at a rate of 82.2%.
- China is the biggest market in Asia Pacific with a subscriber base of 48% of the total
subscribers in Asia Pacific. Compared to that India ’s share in Asia Pacific Mobile
Phone
market is 6.4%. Considering the fact that India and China have almost comparable
populations, India’s low mobile penetration offers huge scope for growth.

7
 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.

8
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. 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, Vodfone-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.

Classification of Telecommunication services

1. Basic services
2. Cellular services
3. Internet Service Provider (ISP)

9
 Cellular Service

Overview

1. There are five private service operators in each area, and an incumbent state
operator. Almost 80% of the cellular subscriber base belongs to the pre-paid
segment.
2. The DoT has allowed cellular companies to buy rivals within the same
operating circle provided their combined market share did not exceed 67 per
cent. Previously, they were only allowed to buy companies outside their circle.

Growth Drivers

Opening up of international and domestic long distance telephony services are

growth drivers in the industry. Cellular operators now get substantial revenue
from these services, and compensate them for reduction in tariffs on air time,
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.

10
 The Key players in the Telecom Market in India

Cellular Service provider:

1. BSNL
2. Airtel
3. Vodafone
4. Reliance
5. Tata indicom
6. Spice

Subscribers

Wireless subscribers crosses 200 million mark

Tele density reaches 21.20%

The total number of telephone subscribers has reached 241.02 million at the end of
August 2007 as compared to 232.87 million in July 2007. The overall teledensity
has increased to 21.20% in August 2007 as compared to 20.52% in July 2007.
In the wireless segment, 8.31 million subscribers have been added in August 2007 while
8.06 million subscribers were added in July 2007. The total wireless subscribers (GSM,
CDMA & WLL(F)) base reaches 201.29 million at the end of August 2007.

The wireline segment subscriber base stood at 39.73 million with a decrease of 0.16
million at the end of August 2007. Circle wise wire line subscriber base of service
providers is given at following chart ..

11
Market Share of the telecom Company in India

12
 Company Profile

INTRODUCTION

“Bharti Airtel” formerly known as Bharti Tele-Ventures Limited (BTVL) is among India's
largest mobile phone and Fixed Network operators. With more than 60 million
subscriptions as of 13th February 2008.[2] It offers its mobile services under the Airtel
brand and is headed by Sunil Mittal. The company also provides telephone services and
Internet access over DSL in 14 circles. The company complements its mobile, broadband
& telephone services with national and international long distance services. The company
also has a submarine cable landing station at Chennai, which connects the submarine
cable connecting Chennai and Singapore. The company provides reliable end-to-end data
and enterprise services to the corporate customers by leveraging its nationwide fiber optic
backbone, last mile connectivity in fixed-line and mobile circles, VSATs, ISP and
international bandwidth access through the gateways and landing station.

Airtel is the largest cellular service provider in India in terms of number of subscribers.
Bharti Airtel owns the Airtel brand and provides the following services under the brand
name Airtel: Mobile Services (using GSM Technology), Broadband & Telephone

13
Services (Fixed line, Internet Connectivity(DSL) and Leased Line), Long Distance
Services and Enterprise Services (Telecommunications Consulting for corporates).
Leading international telecommunication companies such as Vodafone and SingTel held
partial stakes in Bharti Airtel.

In April 2006 Bharti Global Limited was awarded a telecommunications license in Jersey
in the Channel Islands by the local telecommunications regulator the JCRA. In
September 2006 the Office of Utility Regulation in Guernsey awarded Guernsey Airtel
with a mobile telecommunications license. In May 2007 Jersey Airtel and Guernsey
Airtel announced the launch of a relationship with Vodafone for island mobile
subscribers. In July 2007, Bharti Airtel signed an MoU with Nokia-Siemens for a 900
million dollar expansion of its mobile and fixed network.[3] In August 2007, the
company announced it will be launching a customized version of Google search engine
that will provide an 'array of services' to its broadband customers.

14
INTRODUCTION

A DREAM COME TRUE

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
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.

15
Today, Reliance Communications is revolutionising the way India communicates and
networks, truly bringing about a new way of life.

Reliance Communications (formerly Reliance Infocomm), along with Reliance Telecom

and Flag Telecom, is part of Reliance Communications Ventures (RCoVL). According to
National Stock Exchange data, Anil Ambani controls 66.75 per cent of the company,
which accounts for more than 1.36 billion shares of the company.[1]Reliance Infocomm
is an Indian telecommunications company. It is the flagship company of the Reliance-
Anil Dhirubhai Ambani Group, comprising of power (Reliance Energy), financial
services (Reliance Capital) and telecom initiatives of the Reliance ADA Group. Reliance
Infocomm is currently managed by Anil Dhirubhai Ambani.It uses CDMA2000 1x
technology

HISTORY

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

FOOTPRINT

At present, Reliance Telecom's GSM cellular services are available in 340 towns within
its eight-circle footprint. Reliance's CDMA services are available in 19 states and cover
about 65% of the country, state wise. Reliance Infocomm also offered for the first time in
India, mobile data services through its R-World mobile portal. This portal leverages the
data capability of the CDMA 1X network.

16
BUSINESS REVIEW

During the twelve months ended March 31, 2007, revenues of the Wireless business
increased by 46% to Rs. 10,728 crore (US$ 2,489 million) from Rs. 7,364 crore (US$
1,709 million).

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

EBITDA of the Global business increased by 98% during the twelve months ended
March 31, 2007 to Rs. 1,271 crore (US$ 295 million). EBITDA margins increased to
24% from 12% last year.

In the same period, the Broadband business achieved revenue growth of 123% to Rs.
1,144 crore (US$ 265 million), and EBITDA increased by more than 6 times, to Rs. 519
crore (US$ 120 million). The EBITDA margin crossed 45% in the twelve months ended
March 31, 2007, from 15% in the corresponding period in the previous year.

17
TATA TELESERVICES

INTRODUCTION

Tata Teleservices Limited (TTSL) is part of the Tata Group of Companies, an Indian
Conglomerate. It runs the brand name Tata Indicom in India in various telecom circles of
India. The company forms part of the Tata Group's prescence in the Telecommunication
Industry in India, along with Tata Teleservices (Maharashtra) Limited (TTML) and
VSNL.

TTSL was incorporated in 1995 and was the first company to offer CDMA Mobile
services in India, specifically in the state of Andhra Pradesh.

In December 2002, the company acquired the erstwhile Hughes Telecom (India) Ltd.
which was renamed Tata Teleservices (Maharashtra) Limited.

In September 2007, Tata Indicom launched the Talk World plan, an International Long
Distance Plan.

Tata is the direct competitor with Reliance, both CDMA operators in India. The company
provides unified telecommunication solutions including mobile, fixed wireless, fixed line
and broadband. Other competitors are Vodafone, Airtel, Aircel, Idea, MTNL, BSNL
providing GSM based mobile telephony.

18
The company was first in India to provide free intra network calling within city limits.
They launched a unique scheme providing lifetime rental free connectivity on its mobile
and fixed wireless for a one time charge.

Tata Teleservices is part of the INR Rs. 119000 Crore (US$ 29 billion) Tata Group, that
has over 87 companies, over 250,000 employees and more than 2.8 million shareholders.
With a committed investment of INR 36,000 Crore (US$ 7.5 billion) in Telecom (FY
2006), the Group has a formidable presence across the telecom value chain.

Tata Teleservices spearheads the Group’s presence in the telecom sector. Incorporated in
1996, Tata Teleservices was the first to launch CDMA mobile services in India with the
Andhra Pradesh circle.

Starting with the major acquisition of Hughes Tele.com (India) Limited [now renamed
Tata Teleservices (Maharashtra) Limited] in December 2002 the company swung into an
expansion mode. With the total Investment of Rs 19,924 Crore, Tata Teleservices has
created a Pan India presence spread across 20 circles that includes Andhra Pradesh,
Chennai, Gujarat, Karnataka, Delhi, Maharashtra, Mumbai, Tamil Nadu, Orissa, Bihar,
Rajasthan, Punjab, Haryana, Himachal Pradesh, Uttar Pradesh (E), Uttar Pradesh (W),
Kerala, Kolkata, Madhya Pradesh and West Bengal.

Having pioneered the CDMA 3G1x technology platform in India, Tata Teleservices has
established a robust and reliable 3G ready telecom infrastructure that ensures quality in
its services. It has partnered with Motorola, Ericsson, Lucent and ECI Telecom for the
deployment of a reliable, technologically advanced network.

19
The company, which heralded convergence technologies in the Indian telecom sector, is
today the market leader in the fixed wireless telephony market with a total customer base
of over 3.8 million.

Tata Teleservices’ bouquet of telephony services includes Mobile services, Wireless

Desktop Phones, Public Booth Telephony and Wireline services. Other services include
value added services like voice portal, roaming, post-paid Internet services, 3-way
conferencing, group calling, Wi-Fi Internet, USB Modem, data cards, calling card
services and enterprise services.

Some of the other products launched by the company include prepaid wireless desktop
phones, public phone booths, new mobile handsets and new voice & data services such as
BREW games, Voice Portal, picture messaging, polyphonic ring tones, interactive
applications like news, cricket, astrology, etc.

Tata Indicom redefined the existing prepaid mobile market in India, by unveiling their
offering – Tata Indicom ‘Non Stop Mobile’ which allows customers to receive free
incoming calls. Tata Teleservices today has India’s largest branded telecom retail chain
and is the first service provider in the country to offer an online channel www.ichoose.in
to offer postpaid mobile connections in the country.

Tata Teleservices has a strong workforce of 6000. In addition, TTSL has created more
than 20,000 jobs, which will include 10,000 indirect jobs through outsourcing of its
manpower needs.

Today, Tata Teleservices Limited along with Tata Teleservices (Maharashtra) Limited
serves over 21 million customers in over 4000 towns. With an ambitious rollout plan
both within existing circles and across new circles, Tata Teleservices offers world-class
technology and user-friendly services in 20 circles.

20
 BSNL

INTRODUCTION

Bharat Sanchar Nigam Limited (known as BSNL, India Communications Corporation

Limited) is a public sector communications company in India. It is the India's largest
telecommunication company with 25.14% market share as on December 31, 2007. 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
BSNL has a customer base of 68.5 million (Basic & Mobile telephony). It has footprints
throughout India except for the metropolitan cities of Mumbai and New Delhi which are
managed by MTNL. As on December 31, 2007 BSNL commanded a customer base of
31.7 million Wireline, 4.1 million CDMA-WLL and 32.7 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). Today, BSNL is
India's largest Telco and one of the largest Public Sector Undertaking with estimated
market value of $ 100 Billion. The company is planning an IPO with in 6 months to
offload 10 % to public.

Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th largest
Telecommunications Company providing comprehensive range of telecom services in
India: Wireline, CDMA mobile, GSM Mobile, Internet, Broadband, Carrier service,
MPLS-VPN, VSAT, VoIP services, IN Services etc. Within a span of five years it has

21
become one of the largest public sector unit in India.

BSNL has installed Quality Telecom Network in the country and now focusing on
improving it, expanding the network, introducing new telecom services with ICT
applications in villages and wining customer's confidence. Today, it has about 47.3
million line basic telephone capacity, 4 million WLL capacity, 20.1 Million GSM
Capacity, more than 37382 fixed exchanges, 18000 BTS, 287 Satellite Stations,
480196 Rkm of OFC Cable, 63730 Rkm of Microwave Network connecting 602
Districts, 7330 cities/towns and 5.5 Lakhs villages.

BSNL is the only service provider, making focused efforts and planned initiatives to
bridge the Rural-Urban Digital Divide ICT sector. In fact there is no telecom operator in
the country to beat its reach with its wide network giving services in every nook & corner
of country and operates across India except Delhi & Mumbai. Whether it is inaccessible
areas of Siachen glacier and North-eastern region of the country. BSNL serves its
customers with its wide bouquet of telecom services.

BSNL is numero uno operator of India in all services in its license area. The company
offers vide ranging & most transparent tariff schemes designed to suite every customer.
BSNL cellular service, CellOne, has more than 17.8 million cellular customers, garnering
24 percent of all mobile users as its subscribers. That means that almost every fourth
mobile user in the country has a BSNL connection. In basic services, BSNL is miles
ahead of its rivals, with 35.1 million Basic Phone subscribers i.e. 85 per cent share of
the subscriber base and 92 percent share in revenue terms.

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

22
BSNL has set up a world class multi-gigabit, multi-protocol convergent IP infrastructure
that provides convergent services like voice, data and video through the same Backbone
and Broadband Access Network. At present there are 0.6 million DataOne broadband
customers.
The company has vast experience in Planning, Installation, network integration and
Maintenance of Switching & Transmission Networks and also has a world class ISO
9000 certified Telecom Training Institute.

Scaling new heights of success, the present turnover of BSNL is more than Rs.351,820
million (US $ 8 billion) with net profit to the tune of Rs.99,390 million (US $ 2.26
billion) for last financial year. The infrastructure asset on telephone alone is worth about
Rs.630,000 million (US $ 14.37 billion).

BSNL plans to expand its customer base from present 47 millions lines to 125 million
lines by December 2007 and infrastructure investment plan to the tune of Rs. 733 crores
(US$ 16.67 million) in the next three years.

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

History

The foundation of Telecom Network in India was laid by the British sometime in
19th century. The history of BSNL is linked with the beginning of Telecom in India. In
19th century and for almost entire 20th century, the Telecom in India was operated as a
Government of India wing. Earlier it was part of erstwhile Post & Telegraph Department
(P&T). In 1975 the Department of Telecom (DoT) was separated from P&T. DoT was
responsible for running of Telecom services in entire country until 1985 when Mahanagar
Telephone Nigam Limited (MTNL) was carved out of DoT to run the telecom services of

23
Delhi and Mumbai. It is a well known fact that BSNL was carved out of Department of
Telecom to provide level playing field to private telecoms.Subsequently in 1990s the
telecom sector was opened up by the Government for Private investment, therefore it
became necessary to separate the Government's policy wing from Operations wing. The
Government of India corporatised the operations wing of DoT on October 01, 2000 and
named it as Bharat Sanchar Nigam Limited (BSNL).BSNL operates as a public sector.

24
 SPICE COMMUNICATIONS LIMITED

Spice Communications is a joint venture between Spice corp. (India)- the flagship
company of MCorp Global” that first introduced India to mobile phone services and has
interests in the field of telecommunications, office automation and information
technology and DISTACOM (Hong Kong)-a company with over 20 years of experience
in mobile communication which was responsible for bringing mobile telephony to Hong
Kong along with Hutchison Telecom.
Spice Corp was the first private sector organization to make a strategic shift into the
telecommunications arena in 1995 as it launched India's first Cellular Service
network in the metro of Calcutta.
Spice Communications is one of the largest high value networks in India. Starting
operations in June 1997, Spice today is also the singular cellular operator in Punjab with
an extensive highway coverage that links nearly 76 key towns and cities, accounting for
95% of the urban population and over 1000 villages across the state. Spice Punjab has
already achieved coverage of 95% District head quarters as per DoT tender conditions,
having already covered 14 out of 15 Districts HQs, including Chandigarh.

Launched over nine years ago under the brand name of "Spice Telecom", the Company's
cellular services have already built up a strong customer base of over 1.5 million in two
of India's most challenging and lucrative markets – Punjab and Karnataka.

25
FOREIGN PARTNERS
The Foreign partners for Spice Communications Karnataka are Distacom, AIG and
Prudential.

INFRASTRUCTURE VENDORS
The infrastructure vendors are Siemens and Motorola.

LAUNCH OF SERVICE
Launched over six years ago under the memorable brand name of "Spice", the Company
offers cellular services in Punjab and Karnataka. Spice Karnataka launched its services in
April 1997.

Pre-paid /post-paid Service

Spice Communications Limited is presently operating Cellular Phone Services in the
states of Punjab and Karnataka. The pre-paid service in Karnataka operates under the
brand name "Simple" and In Punjab under the brand name “spice”.

26
 VODAFONE ESSAR

Vodafone Essar, previously Hutchison Essar is a cellular operator in India that covers
16 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 and is especially strong in the major metros.

Vodafone Essar provides 2G services based on 900 MHz and 1800 MHz digital GSM
technology, offering voice and data services in 16 of the country's 23 licence areas.

Vodafone Essar, previously Hutchison Essar is a cellular operator in India that covers
16 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 and is especially strong in the major metros.

Vodafone Essar provides 2G services based on 900 MHz and 1800 MHz digital GSM
technology, offering voice and data services in 16 of the country's 23 licence areas.

OWNERSHIP:

Vodafone Essar is owned by Vodafone 52%, Essar Group 33%, and other Indian
nationals, 15%.

On February 11, 2007, Vodafone agreed to acquire the controlling interest of 67% held by
Li Ka Shing Holdings in Hutch-Essar for US$11.1 billion, pipping Reliance
Communications, Hinduja Group, and Essar Group, which is the owner of the remaining
33%. The whole company was valued at USD 18.8 billion . The transaction closed on
May 8, 2007.

27
PREVIOUS BRANDS:

In December 2006, Hutch Essar re-launched the "Hutch" brand nationwide, consolidating
its services under a single identity. The Company entered into agreement with NTT
DoCoMo to launch i-mode mobile Internet service in India during 2007.

The company used to be named Hutchison Essar, reflecting the name of its previous
owner, Hutchison. However, the brand was marketed as Hutch. After getting the
necessary government approvals with regards to the acquisition of a majority by the
Vodafone Group, the company was rebranded as Vodafone Essar. The marketing brand
was officially changed to Vodafone on 20 September 2007.

On September 20, 2007 Hutch becomes Vodafone in one of the biggest brand transition
exercises in recent times.

Vodafone Essar is spending somewhere in the region of Rs 250 crores on this high-profile
transition being unveiled today. Along with the transition, cheap cell phones have been
launched in the Indian market under the Vodafone brand. There are plans to launch co-
branded handsets sourced from global vendors as well.

A popular daily quoted a Vodafone Essar director as saying that "the objective is to
leverage Vodafone Group's global scale in bringing millions of low-cost handsets from
across-the-world into India."

While there is no revealing the prices of the low-cost Vodafone handsets, the industry is
abuzz that prices might start at Rs 666, undercutting Reliance Communications' much-
hyped 'Rang Barse' with cheap handsets beginning at Rs 777.

Meanwhile, Vodafone Essar sources said there would be no discounts or subsidized

handset offers -- rather handset-bundled schemes for customers.

Incidentally, China's ZTE, which is looking to set-up a manufacturing unit in the country,
is expected to provide several Vodafone handsets in India. Earlier this year, Vodafone
penned a global low-cost handset procurement deal with ZTE.

GROWTH OF HUTCHISON ESSAR (1992-2005):

In 1992 Hutchison Whampoa and its Indian business partner established a company that
in 1994 was awarded a licence to provide mobile telecommunications services in

28
Mumbai (formerly Bombay) and launched commercial service as Hutchison Max in
November 1995. Analjit Singh of Max still holds 12% in company.

By the time of Hutchison Telecom's Initial Public Offering in 2004, Hutchison Whampoa
had acquired interests in six mobile telecommunications operators providing service in 13
of India's 23 licence areas and following the completion of the acquisition of BPL that
number increased to 16. In 2006, it announced the acquisition of a company that held
licence applications for the seven remaining licence areas.

In a country growing as fast as India, a strategic and well managed business plan is
critical to success. Initially, the company grew its business in the largest wireless markets
in India - in cities like Mumbai, Delhi and Kolkata. In these densely populated urban
areas it was able to establish a robust network, well known brand and large distribution
network -all vital to long-term success in India. Then it also targeted business users and
high-end post-paid customers which helped Hutchison Essar to consistently generate a
higher Average Revenue Per User ("ARPU") than its competitors. By adopting this
focused growth plan, it was able to establish leading positions in India's largest markets
providing the resources to expand its footprint nationwide.

In February 2007, Hutchison Telecom announced that it had entered into a binding
agreement with a subsidiary of Vodafone Group Plc to sell its 67% direct and indirect
equity and loan interests in Hutchison Essar Limited for a total cash consideration (before
costs, expenses and interests) of approximately US$11.1 billion or HK$87 billion.

1992: Hutchison Whampoa and Max Group established Hutchison Max

2000: Acquisition of Delhi operations Entered Calcutta and Gujarat markets through
ESSAR acquisition

2001: Won auction for licences to operate GSM services in Karnataka, Andhra Pradesh
and Chennai

2003: Acquired AirCel Digilink (ADIL - Essar Subsidiary) which operated in Rajastan,
Uttar Pradesh East and Haryana telecom circles and renamed it under Hutch brand

2004: Launched in three additional telecom circles of India namely 'Punjab', 'Uttar
Pradesh West' and 'West Bengal'

2005: Acquired BPL, another mobile service provider in India

2008: Vodafone acquired Dishnet Wireless, a service provider in Orissa and has
successfully launched its services in the following circle.

2008: Vodafone launched the Apple iPhone 3G to be used on its 17 circle 2G network.

29
Hutch was often praised for its award winning advertisements which all follow a clean,
minimalist look. A recurrent theme is that its message Hello stands out visibly though it
uses only white letters on red background. Another recent successful ad campaign in
2003 featured a pug named Cheeka following a boy around in unlikely places, with the
tagline, Wherever you go, our network follows. The simple yet powerful advertisement
campaigns won it many admirers.

30
 DATA ANALYSIS AND INTERPRETATION

DEMOGARPHIC FEATURES OF REPONDENTS

1. Sex ratio of the respondents

PARTICULARS NUMBER %AGE

MALE 120 40%
FEMALE 180 60%

200
180
160
140
120
MALE
100
FEMALE
80
60
40
20
0
NUMBER %AGE

INTERPRETATION: The graphical representation of the table shows that out of

300 respondents 120 were male and 180 were female.

1. Do you have any mobile Connection?

31
 PARTICULARS NUMBER %AGE
Yes 300 100%
No 0 0%

350

300

250

200
Yes

150 No

100

50

0
NUMBER %AGE

INTERPRETATION:
All the respondents had mobile connections.

2. How many mobile connections do you have?

32
 particulars No. of respondents
1 243
2 57
3 0
>3 0

No. of respondents

300
243
250

200

150 No. of respondents

100
57
50
0 0
0
1 2 3 >3

INTERPRETATION:
out of 300 respondents 243 says that they had 1 connection while 57 were having 2
connections.

3. Which service are you using?

Particulars No. of respondents
Prepaid 187

33
postpaid 113

No. of respondents

200 187
180
160
140
113
120
100 No. of respondents
80
60
40
20
0
Prepaid postpaid

INTERPRETATION:
Out of 300 respondents 187 were using prepaid connections while 113 respondents were
using postpaid connections.

4. Which Mobile connection are you currently using?

PARTICULARS NO.OF
RESPONDENTS

34
 AIRTEL 154
VODAFONE 98
BSNL 19
SPICE 19
RELIANCE 6

TATA INDICOM 4

NO.OF RESPONDENTS

180
160
140
120
100
NO.OF RESPONDENTS
80
60
40
20
0
M
NE

E
L

CO
E
L

NC
TE

IC
O

BS

DI
SP
R

A
AI

DA

IN
LI
RE

A
VO

T
TA

INTERPRETATION:
Out of 300 respondents 154 were using airtel, 98 were using Vodafone, 19 were using
BSNL and spice, 6 were using reliance while 4 were using tata indicom.

5. Are you satisfied with the services?

PARTICULARS NUMBER

35
 Yes 237
No 63

NUMBER

250 237

200

150
NUMBER
100
63
50

0
Yes No

INTERPRETATION:
Out of 300 respondents 237 respondents were satisfied with the services of there
particular service providers while only 63 were not satisfied.

6. Which facility attracts you most?

PARTICULARS No. of respondents

36
 COVERAGE 182

CALL CHARGES 63

ROAMING CHARGES 5

G.P.R.S. 44

OTHERS 6

No. of respondents

200 182
180
160
140
120
100 No. of respondents
80 63
60 44
40
20 5 6
0
COVERAGE CALL ROAMING G.P.R.S. OTHERS
CHARGES CHARGES

INTERPRETATION:
Out 300 respondents 182 respondents were attracted by the coverage facility, 63 by call
charges, 5 by roaming charges, 44 by G.P.R.S while 6 were attracted by others.

7. Which advertisement media puts more impact on your

buying decision?
PARTICULARS NO. OF RESPONDENTS

37
 T.V. 92

MAGAZINES 7

NEWSPAPERS 65

INTERNET 88

OTHERS 48

NO. OF RESPONDENTS

100
80
60
NO. OF RESPONDENTS
40
20
0
S

ET
ES

S
R

ER
PE
V.

N
N

R
T.

TH
AZ

TE
SP

O
G

IN
EW
A
M

INTERPRETATION:
Out of 300 respondents 92 gets aware of cellular services by T.V, 88 by internet,65 by
news papers, 48 by others while 7 by magazines.

8. How much is your monthly expenses on mobile phones?

PARTICULARS NO. OF RESPONDENTS

Less than 150 88

38
 150-350 157

350-500 34

Above 500 21

NO. OF RESPONDENTS

180
160
140
120
100
NO. OF RESPONDENTS
80
60
40
20
0
Less than 150 150-350 350-500 Above 500

INTERPRETATION:
Out of 300 respondents most of the respondents monthly expenses were 150-350, 88 had
monthly expenses of less than 150, 34 had 350-500 while only 21 were having monthly
expenses of above 500.

9. From how long you are availing the services of this

particular service provider?

PARTICULARS NO. OF RESPONDENTS

1 year 92

39
 2 years 143
3 years 50
More than 3 years 15

NO. OF RESPONDENTS

160 143
140
120
100 92

80 NO. OF RESPONDENTS
60 50
40
15
20
0
1 year 2 years 3 years More than 3
years

INTERPRETATION:
Out of 300 respondents 165 were availing the services of there particular service
providers since 2 years, 80 since 1 year, 40 since 3 years while only 15 were availing the
services from more than 3 years.

10. Would you like to change your current service provider in

future?

PARTICULARS No. OF RESPONDENTS

Yes 67
No 233

40
 No. OF RESPONDENTS

250 233

200

150
No. OF RESPONDENTS
100
67

50

0
Yes No

INTERPRETATION:
Out of 300 respondents 233 did not want to change there current service providers while
only 67 respondents want to change there current service providers.

FINDINGS
• 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.
• Most of the students prefer prepaid connections than postpaid connections.

41
 • Most preferred cellular company amongst the students is airtel and the least
preferred company is reliance.
• Mostly the students are satisfied with the services provided by the different
cellular companies.
• Maximum number of respondents were attracted towards the coverage facility and
the least like the roaming services.
• T.V. and internet are the best media advertisements that put more impact on the
students buying decisions
• The monthly expense of maximum students was ranging from 150-300.
• Maximum number of students are loyal to there particular service providers and
they were using there connections since 2 years.

BIBLIOGRAPHY

BOOKS:
• Marketing Research – G. C. Beri

42
 • 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
• http://www.rcom.co.in/webapp/Communications/rcom/Aboutus/aboutus_home.js
p
• http://www.ideacellular.com/IDEA.portal?_nfpb=true&_pageLabel=IDEA_Page_
AboutIdea
• http://www.bsnl.co.in/about.htm

QUESTIONNAIRE
For
“STUDY OF STUDENTS PREFERENCE TOWARDS VARIOUS
MOBILE SERVICE PROVIDERS”

43
Name –
Contact no.-
Sex- male female

4. Do you have any mobile Connection?

Yes No
5. How many mobile connections do you have?
1 2
3 >3
3. Which service are you using?
Prepaid Postpaid
4. Which Mobile connection are you currently using?
Airtel Vodafone
BSNL Spice
Reliance Tata indicom
5. Are you satisfied with the services?
Yes No
6. Which facility attracts you most?
Coverage Call charges
Roaming facility G.P.R.S
Others Specify……………………………………………

44
7. Which advertisement media puts more impact on your buying
decision?
T.V Magazines
Newspapers Internet
Others
8. How much is your monthly expenses on mobile phones?
Less than 150 150-350
350-500 Above 500
9. From how long you are availing the services of this particular
service provider?
1 year 2 years
3 years More than 3 years
10. Would you like to change your current service provider in
future?
Yes No
If yes then why…………………………………………………

45