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Minor Project Report For Bba 3rd Sem
Minor Project Report For Bba 3rd Sem
On
MOTOROLA PHONES
Prepared by
ATUL PANDEY
Faculty guide:
ASHA CHOWDHARY
CERTIFICATE
MAHARAJA SURAJMAL
INSTITUTE
Asha chowdhary
(M.S.I)
ACKNOWLEDGEMENT
Project work is never the accomplishment of an individual rather it is an
amalgamation of the efforts, ideas and co-operation of a number of entities.
I would like to thank GURU GOBIND SINGH INDRAPRASTHA
UNIVERSITY for giving an opportunity to work on a valuable project.
The completion of the project study that follows, seemed to be a distant goal
had it not been for the contribution of ASHA CHOWDHARY for allowing me to
work on a very intrinsic part on BRAND PREFERENCE OF MOBILE PHONES
with Special reference to MOTOTROLA PHONES.I thank her for the ideas and
basic concepts she delivered and shared with me, as they helped me a lot in
accomplishing this project of mine.
(Atul pandey)
PREFACE
The project gives an insight of the telecom sector through Motorola India ltd. It basically helps
understanding the brand preference of consumers with regard to mobile phones. It helps us to
know what are the basis on which a customer chooses a particular brand when he purchases a
new handset.
The project will help to learn about the growing telecom sector in India. The research will also
bring to light what all factors a customer considers at the time of purchase of a new mobile
phone.
TABLE OF CONTENTS
Chapter Chapter Name
No.
CERTIFICATE
ACKNOWLEDGEMNT
PREFACE
1.
INTRODUCTION
RESEARCH METHODOLOGY
4.
Recommendations
Limitations
Conclusions
9.
BIBLIOGRAPHY
Founded
Headquarters
1928
[1]
Key people
Industry
Telecommunications
Embedded systems
Microprocessors
Products
Mobile phones
Two-Way radios
Networking Systems
Market cap
Revenue
Operating
income
Net income
Employees
66,000 (2008)
Website
www.motorola.com
The Greater Noida manufacturing unit line has been designed with the latest technologies at
par with international standards at Korea and is one of the most Eco-friendly units amongst
all MOTOROLA manufacturing plants in the world.
The year 2001 witnessed MOTOROLA becoming the fastest growing company in the
consumer electronics, home appliances and computer peripherals industry. The company had
till the month of October 2001 achieved a cumulative turnover of Rs 5000 Crores in India
since its inception in 2003 , making it the fastest ever Rs 5000 Crores clocked by any
company in the Indian consumer electronics and home appliances industry. Having achieved
this milestone, MOTOROLA achieved another benchmark with the first ever sales of One
Lakh ACs (Windows and Splits) in a calendar year. MOTOROLA is poised to surpass its
turnover target of Rs. 2700 Crores this year and clock a turnover of Rs. 3000 Crores.
This year, MOTOROLA has emerged as the leader in Colour Televisions, Semi Automatic
Washing Machines, Air Conditioners, Frost-Free Refrigerators and Microwaves Ovens. In
Colour Televisions having set the sales target of one million units of Color Televisions for
2002, MOTOROLA has already achieved the one million mark in the month ahead of its
target.
MOTOROLA Electronics India is the fastest growing company in the consumer electronics,
home appliances and computer peripherals industry today.
MOTOROLA Electronics is continually providing superior technology products & value for
money to over 50 lac households in India.
Mr. K.R. Kim, Managing Director, MOTOROLA Electronics said, "I am extremely
pleased with our performance in 2006 as we have been able to sustain growth during
a year of slowdown in the consumer electronics and home appliances industry." He
added, "Our growth record has led us to expand manufacturing presence in India. We have
accordingly reinforced our sales and distribution network through the concept of area
offices to reach out more Indian consumers in semi urban and rural India."
History
Motorola started as Galvin Manufacturing Corporation in 1928. The name Motorola was
adopted in 1947, but the word had been used as a trademark since the 1930s. Founders Paul
Galvin and Joe Galvin came up with the name Motorola when their company started
manufacturing car radios. A number of early companies making phonographs, radios, and other
audio equipment in the early 20th century used the suffix "-ola," the most famous being Victrola;
RCA made a "radiola"; there was also a company that made jukeboxes called Rock-Ola, and a
film editing device called a Moviola. The Motorola prefix "motor-" was chosen because the
company's initial focus was in automotive electronics. Many of Motorola's products have been
radio-related, starting with a battery eliminator for radios, through the first walkie-talkie in the
world, defense electronics, cellular infrastructure equipment, and mobile phone manufacturing.
The company was also strong in semiconductor technology, including integrated circuits used in
computers. Motorola has been the main supplier for the microprocessors used in Commodore
Amiga, Apple Macintosh and Power Macintosh personal computers. The chip used in the latter
computers, the PowerPC family, was developed with IBM and in a partnership with Apple
(known as the AIM alliance). Motorola also has a diverse line of communication products,
including satellite systems, digital cable boxes and modems
Products
Motorola creates several different products for use of the government, public safety officials,
business installments, and the general public. These products include cell phones, laptops, and
radios.
Spinoffs
Motorola developed the first truly global communication network using a set of 66 satellites.
The business ambitions behind this project and the need for raising venture capital to fund the
project led to the creation of the Iridium Company in the late 1990s. While the technology was
proven to work, Iridium failed to attract sufficient customers and they filed for bankruptcy in
1999. Obligations to Motorola and loss of expected revenue caused Motorola to spin off the ON
Semiconductor (ONNN) business August 4, 1999, raising for Motorola of about $1.1 Billion.
Further declines in business during 2000 and 2001, caused Motorola to spin off its government
and defense business to General Dynamics. The business deal closed September 2001. Thus GD
Decision Systems was formed (and later merged with General Dynamics C4 Systems) from
Motorola's Integrated Information Systems Group
On October 6, 2003, Motorola announced that it would spin off its semiconductor product sector into
a separate company called Free scale Semiconductor, Inc.. The new company began trading on the
New York Stock Exchange on July 16th of the following year.
Quality systems
The Six Sigma quality system was developed at Motorola even though it became best known
through its use by General Electric. It was created by engineer Bill Smith, under the direction of Bob
Galvin (son of founder Paul Galvin) when he was running the company. Motorola University is one
Motorola is known around the world as an innovator and leader in wireless and broadband
communications. It is committed to helping the people get and stay connected simply and
seamlessly to the people, information and entertainment they want and need. Motorola do this by
designing and delivering "must have" products, "must do" experiences and powerful
networks with a full complement of support services as well. A Fortune 100 company with
global presence and impact, Motorola had sales of US$42.8 billion in 2006.
for digital subscriber line and cable networks; and, broadband access systems (including cellular
infrastructure systems) for cable and satellite television operators, wire line carriers and wireless
service providers. With these solutions, Motorola empowers consumers by connecting their
homes easily keeping contacts, content and services within reach.
Mobile Devices:
As a pioneer in wireless communications, Motorola has transformed the cell phone into an
icon of personal technology an integral part of daily communications, data management
and mobile entertainment. Motorola not only designs, manufactures sells and services
wireless handsets, but also licenses its vast portfolio of intellectual property. Our collection
spans all cellular and wireless systems and includes integrated software applications as well
as
one
large complement
of Bluetooth-enabled
accessories.
We
offer
customers innovative product designs that deliver "must have" experiences, such as mobile
music and video enabling seamless connectivity at work or at play.
COMPANY SUCCESS
Yitzhak Rabin Israeli National Quality Award, Israel Society for Quality, Israel, 2007
Deal of Distinction Award: Patent generation and robust licensing program, Licensing
Executives Society, USA and Canada, 2005
Winner: WiMAX Flexible Point Access System, Best of WiMAX World Europe Awards,
2007
Home-Networking Winners: Mot SVG2500 Wireless VoIP Cable Modem Gateway and
Mot SBV5400 VoIP Cable Modem/ Cordless Phone System, International CES Design and
Engineering Awards, 2006
Winner: Best Home Wireless Product, CES Mark of Excellence Awards, 2006
100 Most Technologically Significant Products of the Year: Printed Active Displays,
R&D 100 Awards, 2007
Best of ITS Research & Innovation Winner: MOTODRIVE, ITS America Awards, 2006
CORPORATE RESPONSIBILITY
Corporate responsibility means harnessing the power of our global business to benefit people.
It also means doing the right thing in all aspects of our business, including how we treat the
environment, our employees, our customers, our partners and our communities.
Top 100 Corporate Citizens: No. 4, Corporate Responsibility Officer Magazine, USA,
2007
MOBILE DEVICES
Winner: CNET Peoples Voice Award, ROKR E8, Consumer Electronics Show (CES), 2008
Winner: CNET Best of CES, Cell phones and Smartphones category, ROKR E8, Consumer
Electronics Show, 2008
Winner: Top 20 Products of CES Editor's Choice Award, ROKR E8, Popular Mechanics
magazine, 2008
Winner: Best of CES 2008: Best Cell Phone, ROKR E8, LAPTOP magazine, 2008
Winner: 2008 CES Best of Innovations Design and Engineering Award, headphones category,
MOTOROKR S9, Consumer Electronics Show, 2008
Best Ultra Low Cost Handset, 3GSM Global Mobile Awards, 2006
Winners: MOTORIZR and MOTOKRZR K1m, International CES Design and Engineering
Awards, 2006
Unique Product Winner: Motorola Audex Protective Gear, Bluetooth SIG Best of CES
Awards, 2006
First Place Hardware/Mobile Phone: SLVR L7, CTIA Wireless E-tech Awards, 2006
1.2 INTRODUCTION
HISTORY OF CELLULAR TELEPHONY IN INDIA
Cellular Telephony
The technology that gives a person the power to communicate anytime, anywhere - has spawned
an entire industry in mobile telecommunication. Mobile telephones have become an integral part
of the growth, success and efficiency of any business / economy.
The most prevalent wireless standard in the world today, is GSM. The GSM Association (Global
System for Mobile Communications) was instituted in 1987 to promote and expedite the
adoption, development and deployment and evolution of the GSM standard for digital wireless
communications.
The GSM Association was formed as a result of a European Community agreement on the need
to adopt common standards suitable for cross border European mobile communications. Starting
off primarily as a European standard, the Group Special Mobile as it was then called, soon came
to represent the Global System for Mobile Communications as it achieved the status of a worldwide standard. GSM is today, the world's leading digital standard accounting for 68.5% of the
global digital wireless market.
The Indian Government when considering the introduction of cellular services into the country,
made a landmark decision to introduce the GSM standard, leapfrogging obsolescent technologies
/ standards.
Although cellular licenses were made technology neutral in September 2005, all the private
operators are presently offering only GSM based mobile services. The new licensees for the 4th
cellular licenses that were awarded in July 2001 too, have opted for GSM technology to offer
their mobile services.
telecommunications infrastructure and information is the key to rapid economic and social
development of the country. It is critical not only for the development of the Information
Technology industry, but also has widespread ramifications on the entire economy of the
country. It is also anticipated that going forward, a major part of the GDP of the country would
be contributed by this sector. Accordingly, it is of vital importance to the country that there be a
INDUSTRY PROFILE
In the early 1990s, the Indian government adopted a new economic policy aimed at improving
India's competitiveness in the global markets and the rapid growth of exports. Key to achieving
these goals was a world-class telecom infrastructure.
In India, the telecom service areas are divided into four metros (New Delhi, Mumbai,
Chennai and Kolkata) and 20 circles, which roughly correspond to the states in India. The
circles are further classified under "A," "B" and "C," with the "A" circle being the most
attractive and "C" being the least attractive. The regulatory body at that time the
Department of Telecommunications (DOT) allocated two cellular licenses for each metro
and circle. Thirty-four licenses for GSM900 cellular services were auctioned to 22 firms in
1995. The first cellular service was provided by, Modi Telstra in Kolkata in August 1995. For
the auction, it was stipulated that no firm can win in more than one metro, three circles or
both. The circles of Jammu and Kashmir and Andaman and Nicobar had no bidders, while
West Bengal and Assam had only one bidder each.
In 1996, the Telecom Regulatory Authority of India (TRAI) bill was introduced in the Lok
Sabha, and the president officially announced the TRAI ordinance on 25 January 2003. The
government decided to set up TRAI to separate regulatory functions from policy formulation,
licensing and telecom operations. Prior to the creation of TRAI, these functions were the sole
responsibility of the DOT.
High license fees and excessive bids for the cellular licenses put tremendous financial burden
on the operators, diverting funds away from network development and enhancements. As a
result, by 2005 many operators failed to pay their license fees and were in danger of having
their licenses withdrawn. In March 2005, a new telecom policy was put in place (New
Telecom Policy 2005). Under this new policy, the old fixed-licensing regime was to be
replaced by a revenue-sharing scheme whereby between 8-12 percent of cellular revenue
were to be paid to the government.
1.4 OBJECTIVES
The Primary Objective was to study the perception & buying behavior of customers towards
various mobile brands with special reference to MOTOROLA.
The Secondary Objectives of this study were to identify:
Factors that influence decision-making in purchasing a mobile phone.
Major features, which a customer looks for in a mobile before making a purchase.
Brand awareness of MOTOROLA mobile phones in the market.
Factors, which help in increasing the sale of mobile phones.
Various Sources from which mobiles are purchased.
SAMPLING METHODOLOGY:
2.1 Sampling Size 25 respondents
2.2 Sampling Area - Delhi and N.C.R.
Sampling Technique - Random Sampling technique
2.3 RESEARCH DESIGN: Visited the customers across Delhi and NCR & gathered information required as per the
questionnaire.
The research design is probability research design and is descriptive research.
Primary data has been used by me in the form of Questionnaire & Observation, which are the
two basic methods of collecting primary data, which suffices all research objectives.
Secondary data sources like catalogue of the company, product range book of the company &
various internet sites such as motorola.com & google.com have been used.
FINDINGS
Nokia, Samsung, Motorola and Sony Ericsson are the favorite as brands among the customers
in Delhi Market, closely followed by others.
The brand awareness of MOTOROLA mobile phones seems to be almost 100%.
The general opinion about MOTOROLA mobile phones is that it is either good or
satisfactory.
1.)
NO
3rd Qtr
4th Qtr
0%
0%
100%
Figure 1
Interpretation: It was found out that all the 50 respondents were using mobile phones.
2.)
samsung
motorola
sony ericsson
others
10%
12%
44%
22%
12%
Figure 2
Interpretation:The above chart (Figure2) shows the percentage of various handsets used by the respondents.
3.)
Satisfaction
yes
no
16%
84%
Figure 3
Interpretation: The chart (Figure3) shows maximum number of respondents who were satisfied with their
handsets.
4.)
AWARENESS
NOT AWARE
AWARE
2%
98%
Figure 4
Interpretation: The pie chart(Figure4) shows the percentage of respondents who were aware of the brand
Motorola.
5.)
In what time you are thinking to change your handset or buying a new
one?
a month
20%
six months
a year
18%
22%
40%
Figure 5
Interpretation: The above chart (Figure 5) depicts the respondents buying behavior with reference to time.
samsung
motorola
sony ericsson
others
12%
36%
28%
10%
14%
Figure 6
Interpretation: -
This chart (Figure 6) depicts the respondents next preference for mobile phones.
grey market
12%
16%
72%
others
Figure 7
Interpretation: This shows (Figure 7) the source of purchase of handset of the respondents.
8.) Do you think Motorola mobile phones are value for money?
no
20%
80%
Figure 8
Interpretation: This shows (Figure 8) that maximum respondents consider Motorola mobile phones value for
their money.
9.) What according to you is the most important additional feature that should
Features Preferred
camera
bluetooth
mp3
mms
others
8%
24%
12%
12%
44%
Figure 9
Interpretation: This shows (Figure 9) the various additional features which customer takes into account while
purchasing handset.
gives preference to mp3, 6 gives preference to mms while the rest 4 respondents prefer to have
some other additional features apart from these.
imp
average
6%
32%
62%
Figure 10
Interpretation: This shows (Figure 10) that the after sales service is considered to be of prime importance to the
respondents.
The biggest advantage that has worked in Nokias favor is its marketing strategy, which focuses
more on their state of the art Handsets. They were the first company to come with a mobile with
an in-built camera in it and they surely knew how to sell their product. Today almost all mobile
companies have followed suit and come out with their own in-built camera mobiles.
Nokia is certainly a value for money mobile as more than 90% of the dealers interviewed agreed
on this statement, not only is the after sale service excellent but also the quality and pricing of
products is excellent. In such a scenario not only the existing companies but also the new
entrants such as MOTOROLA, BenQ, Alcatel etc will have to justify their launch in the long
run.
with the latest technology available in the market, suiting his pocket need and requirement.
Mobile these days are being added with new features every second day to lure the customer, and
it is due to these very features only that becomes the purchasing factor for the customer. Some of
the most common features that a customer demands these days are:
1. Color Screen Color Screen phones are the latest and the most wanted trend in the market
these days as these phones boast of a High Color Resolution Display so that the customer can
enjoy in his/her phone an exhilarating melange of colors. Most of the color phones boast of
65000-color display, which makes not only the resolution but also the picture quality treat to the
eyes. Color screen phones are in major demand by the public, which accounts for at least 50% in
the survey conducted.
2. MMS (Multimedia Messaging Service) - With MMS, it is not only possible to send your
multimedia messages from one phone to another, but also from phone to e-mail, and vice versa.
This feature dramatically increases the possibilities of mobile communication, both for private
and corporate use.
3. Integrated Camera The latest in-thing, mobile phones with in-built camera. These
phones serve the twin service of mobile and a camera. One can not only click but also store
photos and even send it to their near and dear ones. Camera phones accounted for at least 10%
respondents in the survey conducted.
4. Tri-Band A tri-band facility is useful for people who are constantly going abroad as a triband enabled handset lets one access the network of another country also and also keeps you
connected with people back home.
5. Size/Weight These days mobile handsets come in various shapes and sizes with different
weights. The needs and requirements of a customer differ from person-to-
bigger sets with minimum weight whereas there are some who prefer lighter sets with lighter
weights.
Of 4-6 hrs on various handsets, but ultimately its the customer who has to decide and make the
best choice for him.
7. WAP (Wireless Application Protocol) WAP lets one access the Internet-based services
supported by your network, such as news, weather reports and flight timings etc, even when you
are mobile.
8. Battery Every customer wants his/her battery to last the longest and all mobile companies
fight out promising that their battery backup is the best. A mobile function on a battery and a
cheap and sub-standard battery always makes the customer vary of the companies products and
services.
9. Mp3 Ring Tones An mp3 ring tone is the next generation of ring tones that has better
sound quality than traditional monotone or a polyphonic ring tones. Mp3 ring tones sound great
and truly make your phone unique. Mp3 ring tones phones are in major demand by the
customers.
SWOT ANALYSIS
STRENGTH: A well established brand name helps in promoting a new range of products. MOTOROLA is a
Multinational Company based in South Korea, which is considered to be a technically advanced
country with advanced products to meet the requirement of target customers internationally.
The company has a wide range of products to suite the purse & the taste of various segments of
customers.
The company has a huge advertisement budget which helps in brand positioning & recall.
It has a well established sales network of more than 4000 dealers & branch offices around the
globe & the company makes such of its products available as are in demand in each particular
area.
WEAKNESS:
The company needs to evolve a comprehensive plan & strategy to make inroads into a part of
middle class & upper middle class.
Lack of production centers in India makes the product costlier as most of the parts have to be
imported.
Lack of R & D centers also makes it difficult to launch new products over here.
OPPORTUNITIES:
The present rate of growth of the Entertainment & Telecommunication Industry & a large
potential available in these areas provides excellent opportunity for the company to widen its
market.
With the fast growing economy the pricing strategy needs to be tackled with care as it can
decide upon long term decisions of the company.
THREATS: It is natural that threats from the existing as well as new entrants will affect the present turnover
& Market share. The nearest competitors having the identical product range are the greatest
threat to the company.
CHAPTER 4
RECOMENDATIONS
The company should try to reach maximum Consumers in INDIA by making distribution
channel more effective.
The company should continue to work on the Strategy of T.Q.M (Total Quality Management)
The MOTOROLA is a brand in itself and non-of the other brands are in a position to compare
with it in Quality, Reliability, Brand Image. Even then a number of other brands are entering
the market and are acquiring a good market share. The main reason behind it is that the
distributors of the company are not able to provide regular supply to the retailers in all the
areas.
Consumers do not get satisfied with the promotional policies of the company. New
techniques of promotion is required to create awareness about the entire range of
MOTOROLA products
LIMITATIONS
A small sample size of 50 customers was considered due to lack of time & resource
constraints.
The scope of the project is limited to the city of Delhi and N.C.R. So, we cannot say that the
same response will exist throughout India.
With regard to uneducated customers it was difficult to get across to them all the features of
their respective mobile phones.
CONCLUSION
Hereby I can conclude from this research that Nokia has the maximum brand preference as
compared to other brands.
Most of the dealers are selling more than one brand. They sell different brands to gain more
volume & more availability to the customers. So dealers preference to push a particular brand to
the customer plays a major role in the mobile market.
According to the dealers advertising & promotional schemes along with other schemes also
affect the consumers willingness. Aggressive advertising put into effect for a long time in the
customers mind, which influence the people, are T.V, Newspapers & magazines.
Consumers prefer a MNC brand due to the quality & technological superior features. Consumers
also judge the after sale service availability of the company before purchasing a mobile.
BIBLIOGRAPHY
WEBSITES:
Http://en.wikipedia.org/wiki/Motorola
http://www.google.co.in/search?hl=en&q=motorola&meta=
Http://www.motorola.com/content.jsp?globalObjectId=8592-11929
http://www.fonearena.com/motorola-phones.html
ANEXURE
QUESTIONNAIRE
Name: _________________________________
Age: _____yrs
Occupation: _______________
Q1. Are you using a mobile?
Yes
No
Nokia
Samsung
Motorola
Sony Ericsson
Others
Yes
No
Yes
No
Q5. In what time you are thinking to change your handset or buying a new one?
Within a week
Within a month
Within a year
Nokia
Samsung
Motorola
Sony Ericsson
Others
Dealers
Grey market
Others
Q8. Do you think Motorola mobile phones are value for money?
Yes
No
Q9. What according to you is the most important additional feature that should be present in a
mobile phone?
Integrated camera
Bluetooth
Mp3
MMS
Others
Very important
Important
Average