Introduction

Consumer Preference
In microeconomics, preferences of consumers and other entities are modelled with
preference relations. Completeness is more philosophically questionable. In most
applications, S is an infinite set and the consumer is not conscious of all preferences. For
example, one does not have to make up one's mind about whether one prefers to go on
holiday by plane or by train if one does not have enough money to go on holiday anyway
(although it can be nice to dream about what one would do if one would win the lottery).
However, preference can be interpreted as a hypothetical choice that could be made
rather than a conscious state of mind. In this case, completeness amounts to an
assumption that the consumer can always make up their mind whether they are
indifferent or prefer one option when presented with any pair of options.
CONSUMER PREFERENCES
The underlying foundation of demand, therefore, is a model of how consumers behave.
The individual consumer has a set of preferences and values whose determinations are
outside the realm of economics. They are no doubt dependent upon culture, education,
and individual tastes, among a plethora of other factors. The measure of these values in
this model for a particular good is in terms of the real opportunity cost to the consumer
who purchases and consumes the good. If an individual purchases a particular good, then
the opportunity cost of that purchase is the forgone goods the consumer could have
bought instead.
We develop a model in which we map or graphically derive consumer preferences. These
are measured in terms of the level of satisfaction the consumer obtains from consuming
various combinations or bundles of goods. The consumer’s objective is to choose the
bundle of goods that provides the greatest level of satisfaction as they the consumer
define it.
But consumers are very much constrained in their choices. These constraints are defined
by the consumer’s income, and the prices the consumer pays for the goods. We will
formally present the model of consumer choice. As we go along, we will establish a
vocabulary in order to explain the model. Development of the model will be in three

1
stages. After a formal statement of the consumer’s objectives, we will map the
consumer’s preferences. Secondly, we present the consumer’s budget constraint; and
lastly, combine the two in order to examine the consumer’s choices of goods.

Before a new product can be made, or an existing one varied, someone must have the
idea of doing so. Since market research as a business activity is conducted and paid for
by firms, the investigation of consumer wants and preferences is fairly well defined by
the spheres of interest that exist within the firm. There is little point in asking the public
the open-end questions, "What do you need, or want? What shall we make?" The
consensus appears to be that consumers themselves scarcely ever originate new product
ideas, that development of a specific product represents the functioning of creativity in
business, and that such creativity may be found among technical research, production
engineering, market research, or sales staff, all of whom have been responsible for one
idea or another.

Considering the magnitude of choice that confronts the American public, it is easy to
understand why this is true. Any household consumer is likely to deal in a far greater
variety of products and purchases than any firm, and any consumer's suggestions for new
items cover a broader field than that of any business interest. The firm is oriented to
production and marketing; the consumer, to his own needs and to an unlimited range of
alternatives.

The consumer may say, for example, in answer to the open-end question, "What do you
want?" "We'd like something to make shoe polishing less of a messy job." For the
manufacturer of shoe polish, however, this does not offer clear instructions on how to
adapt his paste, liquid, or spray toward even greater convenience. Nor does it produce for
the manufacturer of shoes a formula for a plastic shoe that can be so cheaply made; it will
be discarded when soiled.

One acceptable alternative, for consumers, might conceivably be for drug companies to
develop a toughening agent for feet so that shoes are no longer needed for protection, and
then for the world of fashion to insist that bare feet are the epitome of style. Thus,

2
consumers' suggestions rarely furnish new product ideas, either because consumers are
inarticulate about their own needs, or because they lack the technical competence to
specify feasible alternatives.
Customer Satisfaction
Customer satisfaction, a business term is a measure of how products and services
supplied by a company meet or surpass customer expectation. It is seen as a key
performance indicator within business and is part of the four perspectives of a Balanced
Scorecard. In a competitive marketplace where businesses compete for customers,
customer satisfaction is seen as a key differentiator and increasingly has become a key
element of business strategy.
Satisfaction is a person’s feeling of pleasure and disappointment resulting from
comparing a product’s perceived performance in relation to his or her expectations. It is
only the customer delight that marketer aims for. Increasing competition (whether for-
profit or nonprofit) is forcing businesses to pay much more attention to satisfying
customers. (It may help the reader to notice the role of customer satisfaction in the overall
context of product or service development and management. See Product/Service
Management Also notice the Related Info (including customer service) in the library.
Measuring customer satisfaction
Organizations are increasingly interested in retaining existing customers while targeting
non-customers; measuring customer satisfaction provides an indication of how successful
the organization is at providing products and/or services to the marketplace.
Customer satisfaction is an ambiguous and abstract concept and the actual manifestation
of the state of satisfaction will vary from person to person and product/service to
product/service. The state of satisfaction depends on a number of both psychological and
physical variables which correlate with satisfaction behaviors such as return and
recommend rate. The level of satisfaction can also vary depending on other options the
customer may have and other products against which the customer can compare the
organization's products.
Because satisfaction is basically a psychological state, care should be taken in the effort
of quantitative measurement, although a large quantity of research in this area has
recently been developed. Work done by Berry, Brodeur between 1990 and 1998 defined

3
ten 'Quality Values' which influence satisfaction behavior, further expanded by Berry in
2002 and known as the ten domains of satisfaction. These ten domains of satisfaction
include: Quality, Value, Timeliness, Efficiency, Ease of Access, Environment, Inter-
departmental Teamwork, Front line Service Behaviors, Commitment to the Customer and
Innovation. These factors are emphasized for continuous improvement and organizational
change measurement and are most often utilized to develop the architecture for
satisfaction measurement as an integrated model. The usual measures of customer
satisfaction involve a survey with a set of statements using a Likert Technique or scale.
The customer is asked to evaluate each statement and in term of their perception and
expectation the of the performance of the organisation being measured.
Customer Satisfaction – a Critical Component of Profitability
Exceptional customer service results in greater customer retention which in turn results in
higher profitability. Customer loyalty is a major contributor to sustainable profit growth.
To achieve success, you must make superior service second nature of your organization.
A seamless integration of all components in the service-profit chain – employee
satisfaction, value creation, customer satisfaction, customer loyalty, and profit and
growth – links all the critical dynamics of top customer service.
Sadly, mature companies often forget or forsake the thing that made them successful in
the first place: a customer-centric business model. They lose focus on the customer and
start focusing on the bottom line and quarterly results. They look for ways to cut costs or
increase revenues, often at the expense of the customer.
They forget that satisfying customer needs and continuous value innovation is the only
path to sustainable growth. This creates opportunities for new, smaller companies to
emulate and improve upon what made their bigger competitors successful in the first
place and steal their customers.

4
 Significance of the problem

The clear purpose or objective of the research enables the researcher to collect –
necessary relevant information. The objective of the research is to know the Customer
preferences with regard to specific brands of mobile handsets (NOKIA,
MOTOROLA, SONY ERICSSON) between price range-12000-20000 Rs.category
between the age group of 18-25 College going student on the basis of Price, Brand,
Music Player, camera and Battery Backup. No study is devoid of certain
shortcomings. Obviously, some problems I also encountered in my study like:
 Time Constraints
 Area Constraints
 Lack of Respondents Response:
 Small Sample Size
 Lack Of Experience

5
LITERATURE REVIEW
The Research Project is to know the Customer preferences with regard to specific brands
of mobile handsets (NOKIA, MOTOROLA, SONY ERICSSON) between price range-
12000-20000 Rs.category between the age group of 18-25 College going student on the
basis of Price, Brand, Music Player, camera and Battery Backup.
 Bitta, Della, Loudon , “Consumer Behaviour and concepts and applications”
Fourth Edition, Tata Mc Graw Hill, New Delhi, PP 5-8,9,19
“ Defining consumer behaviour, significance” is studied from this book &
siginificance of consumer behaviour for a marketer. is studird
 Leon G. Schiffman and Lesli Lazar kanauk, Consumer Behavior, Eight Edition,
Prentice Hall of India, New Delhi, PP 8,9,11,19,20
Study of the customer behaviour is the study of how individuals make decisions
to spend their available resources (Time, Money and Efforts) on consumption
related items. It includes the study what they buy, whey they buy it, when they
buy it, where they buy it, how often they buy it and how often they use it.
 “Kothari C.R.,” Research Methodology Methods and Techniques (Second
Edition) New Age International Publishers, Ansari Road, Daryaganj, New Delhi-
110002. Chapter 4, Page 55-58. Chapter 6, Page 95,100,111.

6
 FOCUS OF STUDY
 To study effect of different factor in consumer preference:-
 Price
 Brand name
 Music player
 Camera
 Design
 Battery Backup
 To know the Basic consumer buying behaviour and the reasons because of which
they switch from one company to another.
 To know about the company’s details (profile, Products)
 This study would help in revealing the type and specific qualities of the mobiles
offered by the company to their consumers.

Objectives of the study

The clear purpose or objective of the research enables the researcher to collect –
necessary relevant information. The objective of the research is to know the
Customer preferences with regard to specific brands of mobile handsets
(NOKIA, MOTOROLA, SONY ERICSSON) between price range-12000-20000
Rs.category between the age group of 18-25 College going student on the basis of
Price, Brand, Music Player, camera and Battery Backup.
PRIMARY OBJECTIVES
 To know the impact of various external factors on Consumer preference:-
 Price
 Brand name
 Music player
 Camera
 Battery Backup

7
 SECONDARY OBJECTIVES
 To find out the market share of Mobile handset companies.
 Determine the influence of reference group in the purchase decision of college
going students.
 To find the cause behind choice of particular brand of mobile handsets.
 To study effect of advertisement on the purchasing decision of the consumers.
Study area: YAMUNA NAGAR
Target segment: COLLEGE GOING STUDENTS
Hypothesis Testing (By applying Chi-Square)
Chi-square test is used when the set of observed frequencies obtained after
experimentation have to be supported by hypothesis or theory. The test is known as X2-
test of goodness of fit and is used to test if the deviation between observation
(experiment) and theory may be attributed to chance (fluctuations of sampling).
Here we have the assumption of H0 and H1. If the values come in accordance to the
depicted values then the hypothesis is accepted else it’s rejected.
Σ (O-E) 2
x2 = ——— where,
E

O = observed frequency
E = Expected frequency

8
LIMITATIONS OF THE STUDY

No study is devoid of certain shortcomings. Obviously, some problems I also

encountered in my study.

 Time Constraints:
Time is too short to conduct the study in depth .But I will try my best efforts to collect the
data.

 Area Constraints:
My area of study is Yamuna Nagar, Due to shortage of time I can not cover whole area.

 Lack of Respondents Response:

Some respondents hesitated to respond to my questions openly. Due to this, response of
some questions can tend to be biased.

 Small Sample Size

As due to shortage of time, I can not cover whole population. So there is a chances of
error in sample size.

 Lack Of Experience
I am doing first time research about particular topic and area of research is very vast.
I don’t know how to conduct the research.

9
Chapterization
Chapter 1:
This chapter contains the information about the introduction of the topic i.e.
“Customer preferences with regard to specific brands of mobile handsets (NOKIA,
MOTOROLA, SONY ERICSSON) between price range- Rs.12000-20000 category
between the age group of 18-25 College going student on the basis of Price, Brand,
Music Player, Design, camera and Battery Backup”.
Chapter 2:
This chapter contains the information about the Research Methodology and Profile
of the organization.
Chapter 3:
This chapter contains the information about the Micro Analysis means Objective
wise Analysis.
Chapter 4:
This chapter contains the information about the Macro Analysis and this analysis is
important as it contains the conclusion of this study also.
Chapter 5:
This chapter contains the information about the Summary of major observations &
Recommendations.

10
 References

 Nair, Suja R. ,Consumer Behaviour in Indian Perspectives (First Edition: 2001),

Himalaya Publishing House, Mumbai-400004. Chapter 1, PP 3-6.

 Bennett Peter.D. And Kassarjian Haroldh -

 Bitta, Della, Loudon , “Consumer Behaviour and concepts and applications”

Fourth Edition, Tata Mc Graw Hill, New Delhi, PP 5-8,9,19

 Leon G. Schiffman and Lesli Lazar kanauk, Consumer Behavior, Eight Edition,
Prentice Hall of India, New Delhi, PP 8,9,11,19,20

 “Kothari C.R.,” Research Methodology Methods and Techniques (Second

Edition) New Age International Publishers, Ansari Road, Daryaganj, New Delhi-
110002. Chapter 4, Page 55-58. Chapter 6, Page 95,100,111.

 .Jain, ,T.R., and Aggarwal, Dr. S.C., Statistics For M.B.A, 2nd Edition,VK
publication, PP1-3 Part b, PP 131-134 Part c

11
RESEARCH METHODOLOGY
Universe and survey Population

Sampling may be defined as the selection of some parts of an agreement or

totality for the purpose of study. in the case sample survey method is chosen
under which units are selected in such a way that they represent the entire
universe.

• CENSUS METHOD: - All the items in any field of inquiry constitute a

‘Universe’ or ‘Population’. A complete enumeration of all the items in the
‘Population’ is known as a Census inquiry. It can be presumed that in such an
inquiry, when all items are covered, no element of chance is left and highest
accuracy is obtained.
• SAMPLING METHOD:- When field studies are undertaken in practical life,
consideration of time and cost almost invariably lead to a selection of respondents
i.e. selection of only few items. The respondent selected should be as
representative of total population. These respondents constitute what is
technically called a ‘Sample’ and the selection process is called ‘Sampling
Technique’. The survey so conducted is known as ‘Sample Survey’.

I. Type of universe: - First and the foremost step is to clearly define the
universe to be studied. As I have taken the area of Yamuna Nagar City
(Haryana), so for me here the universe is Yamuna Nagar area. No doubt
it is a finite universe but the area is very big and can’t be covered easily
due to shortage of time.
II. Sampling unit: - A decision has to be taken concerning a sampling unit
before selecting sample. Here my sample unit includes college going
students who own bikes.

12
Research Design
The present study is Descriptive in nature, as it seeks to discover ideas and insight to
bring out new relationship. Research design is flexible enough to provide opportunity for
considering different aspects of problem under study.
Sample size: This refers to the number of items to be selected from the universe to
constitute a sample. Here I have taken the sample of 100 College going students who
have bikes.
Sample techniques: - Finally the technique of selecting the sample is to be dealt
with. That means through which method the sample has been collected. There are various
types of selecting the sample. This includes probability sampling, random sampling,
stratified sampling, cluster sampling, convenience sampling. Here I have used the cluster
sampling method for data collection, as Yamuna Nagar area is very big and there are
many colleges as well as the hostels.
Analysis Pattern:- Graphs and Pie chart

DATA COLLECTION

 PRIMARY DATA:
 Questionnaire
 Observation
 Personal interview
 SECONDERY DATA:
Books, magazine, newspaper, Internet, publications and reports.

Analytical Tools
After collection of data another work necessary for any data collector is to correctly
analysis that data. So statistical tolls helps us to correctly analysis the data .As I am here
using the software for analysis of the data XLSTAT. I will use following statistical tools:

13
Following statistical tools has been used:-
 MDS
 Factor Analysis
 Principle Component Analysis (PCA)

Multi Dimension Scaling:

Multi dimension scaling is asset of related statistical techniques often used in data
visualization for exploring similarities or dissimilarities in data. Mds is a special case
of ordination .An MDS algorithm starts with a matrix of item-item similarities, and
then assigns a location of each item in a low –dimensional space, suitable for
graphing or 3D visualization
Factor Analysis
The purpose of factor analysis is to describe a set of variables using a linear
combination of common underlying factors, and a variable representing the specific
part of the original variables. The variance of an original variable may be broken
down into a part shared with other variables (explained by the factors) called the
communality of the variable, and a specific part called the specific variance.
Principal component analysis
Principal component analysis (PCA) expresses a set of variables as a set of linear
combinations of factors that are not correlated between them; these factors represent
an increasingly small fraction of the variability of the data. This method allows you to
represent the original data (observations and variables) with fewer dimensions than
the original, while keeping data loss to a minimum. Representing the data in a limited
number of dimensions (2 dimensions in this case) greatly facilitates analysis.
PCA differs from factor analysis in that it creates a set of factors that have no
correlation to one another; this corresponds to the special case where all
communalities are equal to 1 (null specific variance).

14
 PROFILE OF THE ORGANISATION

The Mobile handsets segment is Dominated by 3 major players viz. NOKIA ,

MOTOROLA, SONY ERICSSON. Besides these, there are players like – SAMSUNG ,
LG, HAIER etc.
In last decade Indian mobile phone industry has witnessed a dramatic growth. Cheap
mobile handsets, affordable airtime rates, low initial cost and affordable monthly rentals
made it easy for anybody to go mobile. As per latest statistics India has around 140
million mobile subscribers.
Mobile Phone Technologies
Mobile phone operators are using mainly two basic technologies in India, GSM and
CDMA. GSM stands for Global System for Mobile Communications and it is the most
widely used mobile technology in the world with 2 billion subscribers in 212 countries.
Code division multiple access or CDMA is another mobile technology used in India.

BIG PLAYERS IN THE MOBILE HANDSETS SEGMENT

NOKIAKeilaniemi, Espoo

The Nokia House, Nokia's headquarters located by the Gulf of Finland in, was
constructed between 1995 and 1997. It is the working place of more than 1,000 Nokia
employees.

15
 Public – Oyj
Type
(OMX: NOK1V, NYSE: NOK, FWB:NOA3)
Founded Nokia, Finland (1865)
Headquarters Espoo, Finland
Fredrik Idestam, Founder in 1865
Kari Kairamo, CEO in the 1980s
Key people
Olli-Pekka Kallasvuo, President & CEO
Jorma Ollila, Chairman
Industry Telecommunications
Mobile phones
Smartphones
Products Multimedia computers
Networks
Software and services
Revenue ▲ €51.058 bn (2007)[1]
Operating income ▲ €7.985 bn (2007)
Net income ▲ €7.205 bn (2007)
Employees 112,262 as of December 31, 2007[2]
Nokia Siemens Networks
Subsidiaries
Vertu Navteq (pending merger)
Slogan Connecting People
Website http://www.nokia.com/
ABOUT NOKIA
Nokia Corporation (OMX: NOK1V, NYSE: NOK, FWB:NOA3) is a Finnish
multinational communications corporation, focused on wired and wireless
telecommunications, with 112,262 employees in 120 countries, sales in more than 150
countries and global annual revenue of 51.058 billion euros as of 2007.[1][3] It is the
world's largest manufacturer of mobile telephones: its global device market share was
about 40% in Q4 of 2007.[2] Nokia produces mobile phones for every major market
segment and protocol, including GSM, CDMA, and W-CDMA (UMTS). Nokia's

16
subsidiary Nokia Siemens Networks produces telecommunications network equipments,
solutions and services.
Nokia's corporate headquarters are located in Espoo, a city neighbouring Finland's capital
Helsinki. It has sites for research and development, manufacturing and sales in many
continents throughout the world. Nokia employed 21,453 people in R&D in 2006.[3]
Nokia Research Center, founded in 1986, is Nokia's industrial research unit of about 800
researchers, engineers and scientists.[4] It has sites in seven countries: Finland, Denmark,
Germany, China, Japan, United Kingdom and United States. Production facilities are
located at Espoo, Oulu and Salo, Finland; Manaus, Brazil; Beijing, Dongguan and
Suzhou, China; Fleet, England; Bochum (closing planned for mid-2008),[5] Germany;
Komárom, Hungary; Chennai, India; Reynosa, Mexico; Cluj-Napoca, Romania[6] and
Masan, South Korea.[7][8] Nokia's Design Department remains in Salo, Finland.
Nokia plays a very large role in the economy of Finland: it is by far the largest Finnish
company, accounting for about a third of the market capitalization of the Helsinki Stock
Exchange (OMX Helsinki) as of 2007; a unique situation for an industrialized country.[9]
It is an important employer in Finland and several small companies have grown into large
ones as Nokia's subcontractors. Nokia increased Finland's GDP by more than 1.5% in
1999 alone. In 2004 Nokia's share of the Finland's GDP was 3.5% and accounted for
almost a quarter of Finland's exports in 2003. In 2006, Nokia generated revenue that for
the first time exceeded the state budget of Finland.
Finns have ranked Nokia many times as the best Finnish brand and employer. Nokia is
listed as the 5th most valuable global brand in BusinessWeek's Best Global Brands list of
2007 (1st non-US company),[10] the 20th most admirable company worldwide in Fortune's
World's Most Admired Companies list of 2007 (1st in network communications, 4th non-
US company),[11] and is the world's 119th largest company in Fortune Global 500 list of
2007, up from 131 of the previous year.[12]

Vision & Strategy

Everyone has a need to communicate and share. Nokia helps people to fulfill this need
and we help people feel close to what matters to them. We focus on providing consumers
with very human technology – technology that is intuitive, a joy to use, and beautiful.

17
We are living in an era where connectivity is becoming truly ubiquitous. The
communications industry continues to change and the internet is at the center of this
transformation. Today, the internet is Nokia's quest.
Nokia's strategy relies on growing, transforming, and building the Nokia business to
ensure its future success.
STRUCTURE

In 1992, Nokia decided to focus on its telecommunications business. This was

probably the most important strategic decision in its history.
As adoption of the GSM standard grew, new CEO Jorma Ollila put Nokia at the
head of the mobile telephone industry’s global boom – and made it the world
leader before the end of the decade...

18
1992: Jorma Ollila becomes President and CEO
Jorma Ollila becomes President and CEO of Nokia, focusing the
company on telecommunications.

1992: Nokia’s first GSM handset

Nokia launches its first GSM handset, the Nokia 1011.

1994: Nokia Tune is launched

Nokia launches the 2100, the first phone to feature the Nokia Tune.

1994: World’s first satellite call

The world’s first satellite call is made, using a Nokia GSM handset.

1997: Snake – a classic mobile game

The Nokia 6110 is the first phone to feature Nokia’s Snake game.

1998: Nokia leads the world

Nokia becomes the world leader in mobile phones.

19
1999: The Internet goes mobile
Nokia launches the world's first WAP handset, the Nokia 7110.

Nokia’s story continues with 3G, mobile multiplayer gaming, multimedia

devices and a look to the future...

2002: First 3G phone

Nokia launches its first 3G phone, the Nokia 6650.

2003: Nokia launches the N-Gage

Mobile gaming goes multiplayer with the N-Gage.

20
2005: The Nokia Nseries is born
Nokia introduces the next generation of multimedia devices, the Nokia
Nseries.

2005: The billionth Nokia phone is sold

Nokia sells its billionth phone – a Nokia 1100 – in Nigeria. Global mobile
phone subscriptions pass 2 billion.

2006: A new President and CEO

Olli-Pekka Kallasvuo becomes Nokia’s President and CEO; Jorma Ollila
becomes Chairman of Nokia’s board. Nokia and Siemens announce plans for
Nokia Siemens Networks.

21
MOTOROLA

MOTOROLA WORLDWIDE
We’re scientists. We’re artists. Most of all, we are a global communications
leader, powered by, and driving, seamless mobility. Motorola is revolutionizing
broadband, embedded systems and wireless networks – bringing cutting-edge
technologies into your everyday life, with style.
About Motorola
Motorola is a global leader in providing integrated communications solutions and
embedded electronic solutions. These include:
• Software-enhanced wireless telephone, two-way radio and messaging products
and systems, as well as networking and Internet-access products, for consumers,
network operators, and commercial, government and industrial customers.
• End-to-end systems for the delivery of interactive digital video, voice and high-
speed data solutions for broadband operators.
• Embedded semiconductor solutions for customers in the networking and
computing, transportation, wireless communications and digital consumer/home
networking markets.
• Embedded electronic systems for automotive, industrial, transportation,
navigation, communication and energy systems markets.
• Motorola is a U.K based company and now Motorola climbed from no. 5 to no. 2
in 12 months. In dec. 2005 Motorola had 2.5% market share. But after endorsing
the Abhishek Bachhan as a Brand Ambassador Motorola climbed from no.5 to
no.2 with 15% market share in India.
OUR BUSINESS UNITS
Motorola is known around the world as an innovator and leader in wireless and
broadband communications. We are committed to helping you get and stay connected
simply and seamlessly to the people, information and entertainment you want and
need. We do this by designing and delivering "must have" products, "must do"
experiences and powerful networks — with a full complement of support services as

22
well. A Fortune 100 company with global presence and impact, Motorola had sales of
US$36.6 billion in 2007. Learn more about our three primary business units in the links
below:
Enterprise Mobility Solutions: This group includes the mission-critical
communications offered by our government and public safety sectors and our enterprise
mobility business. We design, manufacture, sell, install and service analog and digital
two-way radio as well as voice and data communications products and systems. We
deliver mobile computing, advanced data capture, wireless infrastructure and RFID
solutions not only to clients in the public sector, but also to retail, manufacturing,
wholesale distribution, healthcare, travel and transportation customers worldwide.
Through innovative technology, we help people integrate, optimize and manage their
networks to seamlessly stay connected as they move about their daily lives.
Home & Networks Mobility: Operators today are being asked by their subscribers
to deliver bandwidth-intensive, experience-based services — regardless of the network
architecture. Motorola is uniquely positioned to capitalize on this trend, providing
integrated, end-to-end systems that seamlessly and reliably enable uninterrupted access to
digital entertainment, information and communications services over a variety of wired
and wireless solutions. Motorola designs, manufactures, sells and services digital video
system solutions and interactive set-top devices; wireline carriers and wireless service
providers.
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. 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.

23
SONY ERICSSON

Type Joint venture

Founded 11. September 2001
Head Office:
London, United Kingdom
Headquarters
Incorporated:
Sweden

Key people Hideki Komiyama (President) Anders Runevad (EVP)

Industry Telecommunications
Mobile phones
Mobile music devices
Wireless systems
Products
Wireless voice devices
Hi-Tech accessories
Wireless data devices
Revenue €10,959 million (2006)
Net income €997 million (2006)
Employees ~8,000
Sony Corporation (50%)
Parent
Ericsson AB (50%)
Website http://www.sonyericsson.com/

24
ABOUT COMPANY
Sony Ericsson Mobile Communications was established in 2001 by telecommunications
leader Ericsson and consumer electronics powerhouse Sony Corporation. The company is
owned equally by Ericsson and Sony and announced its first joint products in March
2002.
Sony Ericsson products have universal appeal and are different in the key areas of
imaging, music, design and applications. The company has launched products that make
best use of the major mobile communications technologies, such as the 2G and 3G
platforms, while enhancing its offerings to entry level markets.

Sony Ericsson, a 50:50 joint venture of Sony Corporation and Telefonaktiebolaget LM

Ericsson, was established in October 2001.

MISSION
Our mission is to establish Sony Ericsson as the most attractive and innovative global
brand in the mobile handset industry

Phone series description

Series Branding Description Origin

C Cyber- Camera focused phones. 'C'yber-shot

25
 shot
T-mobile network exclusive
D T-Mobile 'D'eutsche Telekom
phones.
Vodafone network exclusive
F Vodafone Voda'f'one
phones.
G - Compact Touchscreen series. 'G'eneration Web
J - Low-end series 'J'unior
Cyber-
'K'amera (Swedish for
K shot All-around phones
"camera")
(partial)
Business focused
M - 'M'essaging
smartphones.
Business and power-user
P - 'P'DA
smartphones.
Phones with built-in AM/FM
R - 'R'adio
radio
Fashion and camera focused
S - 'S'wivel, 'S'lider, 'S'napshot
phones.
T - All-around phones 'T'ala (Swedish for "talk")
Vodafone network exclusive
V Vodafone 'V'odafone
phones.
W Walkman Music-focused phones. 'W'alkman
Convergence and
X XPERIA 'X'peria
powerhouse devices.
'Z'e Bobber (Swedish for
Z - Design-oriented phones
"clamshell")

Financial information
Sony Ericsson posted its first profit in the second half of 2003. Since then, the sales
figures from phones have been:
• 2004: 42 million units

26
 • 2005: 50 million units
• 2006: 74 million units
• 2007: 103.4 million units
Also, Sony Ericsson sold 60m music enabled phones in 2006, including 17m Walkman
devices, underlining how its products are more popular than Apple's iPod. Apple sold
39m iPods in its 2006 fiscal year, which ended on September 30. According to the
Swedish Magazine M3s issue 7/2006 Sony Ericsson is the best-selling phone brand in the
Nordic countries, followed by Nokia.
According to the IT research firm Gartner, in the third quarter of 2006, Sony Ericsson
was the fourth largest mobile phone manufacturer in the world after Nokia, Motorola and
Samsung. It held a 9% global market share.

27
 MICRO ANALYSIS

MACRO ANALYSIS
INTERPRETATION OF DATA

The data collected in the aforesaid manner have been tabulated in condensed from
to draw the meaningful results. The different techniques are adopted to analyse
the data. All the data and material is arranged through internal resources and the
last part of the project consists of the conclusions drawn from the report,.

Research Methodology is a way to systematically solve the research problem, which is a

science of study how research is done scientifically.

28
 Q1. Which Brand of the mobile do you have?

Response Nokia Motorola Sony Ericsson Any Other

Percentage 56 22 16 6

Percentage

Nokia
Motorola
Sony Ericsson
Any Other

Many respondents in the sample have Mobiles, either Nokia, Motorola or Sony Ericsson.
56% out of the total sample have Nokia Mobile. So Nokia is the most preferable brand of
consumers. 22% consumers prefers Motorola brand.

Q2.Are you aware about the music edition mobiles available in the market?

29
 Response Fully Aware Neutral Less Aware Not So
Aware much
Percentage 34 25 21% 12 8

Percentage

40
34
35

30
25
25
Percentage

21
20 Percentage

15 12
10 8

0
Fully Aware Aware Neutral Less Aware Not So
Much
Responses

34% of the respondents are fully aware about the music edition mobiles that are
available in the market.40-45% of the people are aware and some of them are neutral
regarding the awareness.12% of the people are less aware about the availability of
these mobiles.8% people are not so much aware.

30
Q3.which of the following model of mobile you like the most-

Response Nokia Nokia Motorokr Motorazr Sony Sony

N73M N80 E6 v8 ericsson ericsson
w880 k790
Percentage 26 21 13 16 15 9

Percentage

9
26
Nokia N73M
15
Nokia N80
Motorokr E6
Motorazr v8
16 Sony ericsson w880
21 Sony ericsson k790

13

26% of the customers are preferring Nokia N73m while they are going for purchase,
21% prefer Nokia N80. so we can say that nokia is most preferred brand by
consumers. Only 29% prefer Motorola models & 24% consumers prefer sony
ericsson models.

31
Q4 How did you come to know about this brand/mobile-

Responses Through Family Advertisement Publicity Any

Percentage 29 12 32 17 10

Percentage

10

29
Through friends
17
Family members
Advertisement
Publicity
Any other
12

32

Involvement means how much the person takes interest in buying a particular
thing.
29 respondents of the sample get information about the brand through friends.
Advertisement plays very important role in providing the information about brand.
32 respondents get information from advertisements. Some respondents also get
information from their family members.

32
Q5. How Much is the Extendable memory of your mobile?

Response 256 MB 512 MB 1 GB 2 GB 8 GB

Percentage 6 13 23 45 13

Percentage

13 6
13
256 MB
512 MB
1 GB
2 GB
23
8 GB
45

Today every customer prefer those mobiles which has camera, music player etc. so 45
respon dents from the sample are having those mobiles which has 2 GB extendable
memory in their mobile. So we can say that consumers are very much keen regarding
music player and 13 respondents are having 8 GB mobiles.

33
 Q7. What type of camera you have got in your mobile phone?

Response VGA 1.3 Mega 2 Mega 3.2 Mega 5.1 Mega

Camera Pixel pixel Pixel Pixel

Percentage 18 32 35 13 2

2
13 18

VGA Camera
1.3 Mega Pixel
2 Mega pixel
3.2 Mega Pixel
5.1 Mega Pixel
35
32

Today every customer prefer those mobiles which has camera, music player etc. so 35
respon dents from the sample are having those mobiles which has 2 mega pixel camera in
their mobile. So we can say that consumers are very much keen regarding digital camera
in mobiles and 2 respondents are having 5.1 mega pixel camera in their mobiles.

34
Q9 Which type of media influences your purchase behaviour?

Response T.V Newspaper Wall Hoarding Magazine

painting
Percentage 66 20 2 3 9

Percentage

70

60

50

40
66 Percentage
30

20
20
10
9
2 3
0
T.V Newspaper Wall painting Hoarding Magazine

When its comes to the type of media which influences the purchase behaviour of the
customer, then it is t.v. 66 of the sample thinks that they are influenced by T.V when
they are going to purchase.20 consumers are influenced by Newspaper. hoarding,
Magazine and wall painting have very small influence on the purchase behaviour.

35
Q10. In your opinion, what role advertisement plays?

Response Provides Creates awareness Misleading

important details

Percentage 34 52 14

14

34

Provides important details

Creates awareness
Misleading

52

Out of the total sample 34 of the respondents think that advertisements provides
important details that proved to be very useful when they are going to purchase. Most
of them near by half are saying that it provides awareness. 12 people are saying that
advertisement leads to misguide them while they are going for purchase.

36
Q11. Which factor influence you more to purchase the mobile?

Responses Price Brand Music Camera Battery

Name Player Backup
Percentage 29 18 25 22 6

29
22
Price
Brand Name
Music Player
Camera
Battery Backup

18
25

When a person is going to purchase something then a no. of items that reflects a
consumer. Here when a person is going to purchase a Mobile then price play a very
vital role.29 respondents of the sample thinks that they are mostly influenced by the
Price. After that Music player and Camera influenced the purchase decision. 47
respondents consider music player and camera as a big factor while purchasing a
mobile.

37
Q12. Who influenced you more in your buying decision of Mobile?

Response Self Family Friends/Relatives Promotional Advertisements

Members Activities
Percentage 20 34 21 8 17

Percentage

17 20

Self
8 Family Members
Friends/Relatives
Promotional Activities
Advertisements
21
34

When a person is going to purchase something then a no. of items that reflects a
consumer. Here when a person is going to purchase a Mobile then Family Members
play a very vital role.34 of the sample thinks that they are mostly influenced by the
Family Members. After that Advertisement and the Friends/ relatives also influenced
the purchase decision.

38
Q13. What extent price influences your purchase of Mobile?

Responses High High Average Low Low

Average Average
Percentage 35 26 19 12 8

Percentage

12
35 High
High Average
Average
19 Low Average
Low

26

Mostly Respondents are influenced by the price when they are going to purchase the
Mobile.35 respondents think that they are highly influenced by the price when they are

39
going to purchase Mobile. 26 respondents of the sample thinks that they are influenced at
high average and at the average level 19 respondent are influnced. 20 respondents of the
sample does not have any influence of price at their purchasing.

Q14. Are you satisfied with Overall Performance of Your Mobile?

Response Fully Satisfied Average Less Dissatisfied

satisfied satisfied
Percentage 18 33 23 17 9

Percentage

9 18
17 Fully satisfied
Satisfied
Average
Less satisfied
33 Dissatisfied
23

Satisfaction plays a very important role to the consumers as well as to the sellers.
The sample that I have taken shows that they most of them are satisfies with their
mobile that they have purchased.65 to 70 respondents of the sample are Fully
satisfied, Satisfied and average satisfied with their mobile. 26 respondents of the

40
sample somehow are not satisfied with their mobile whatever the reason may be
like after sale services, promotional schemes etc.

41
Q15. According to you, which company gives the most benefits to customers?

Response Nokia Motorola Sony ericsson Any other

Percentage 46 27 21 6

Percentage

21
46 Nokia
Motorola
Sony ericsson
Any other

27

Now when its come to giving benefits to customers Nokia here also occupying the
first place, 46 people agree with this. Only 27 people think that Motorola provides
benefits to customers. Only 6 people think that other companies like Samsung, LG
etc, are also providing better benefits to customers.

Q16. If anybody ask you about which mobile purchased then your behaviour towards
your brand?

42
 Response Highly Recommend Neutral Not Never
recommend recommend recommend
Percentage 21 32 26 14 7

Percentage

35

30

25
20
32
15 26 Percentage
21
10
14
5 7
0
Highly Neutral Never
recommend recommend

In today’s time all companies are providing after sale service to customers. So many
respondents recommend their mobile to other persons. 53 respondents are those who
recommend their mobile to other customer if they asked. 21 respondents do not want
to recommend their mobile to others because they are not satisfied.

Q17. Which Company’s Advertisement you like most

43
 Responses Nokia Motorola Sony Ericson Any Other

Percentage 45 24 13 18

18

45 Nokia
13
Motorola
Sony Ericson
Any Other

24

As we all know that advertisement plays a very important role. So now a day
all the companies whether they are Indian or foreign they are going for this. 45
people of the sample like the advertisement of Nokia. Sony Ericsson’s Ad is
not so much familiar among the respondents only 13 people like that
advertisement. 18% of the sample like the advertisements of the other
companies due to the creativity concept.

SUMMARY OF MAJOR OBSERVATIONS

44
 Market share of Nokia is approximately 65% which is higher in mobile handset
companies.

 More customers prefer Nokia mobiles due to their design.

 Many of customer consider price as major factor before purchasing the mobile
handset.

 More customers is satisfied from services provided by Nokia company to

customer.

 Many of customer influences from advertising of mobile handsets.

 Now a day’s youth is going for design and music edition in mobile rather than
battery back-up

45
 RECOMMENDATIONS
I have chosen this topic because now a days mobile handsets are growing by
100% in India. In India only 140 million people has mobile handsets. The
expanding Indian market, the growing size of the middle class and the rise in
aspirations of the youth along with opening up of the Indian economy have
collectively influenced the steady growth of the mobile handsets in India. In the
last 5 to 6 years, the craze for mobile handsets over the telephones has picked
up and one can find today even girls crazy for a mobile not only in the Metros but
in small towns and cities also.

46
BIBLIOGRAPHY
Books
 Bitta, Della, Loudon , “Consumer Behaviour and concepts and applications”
Fourth Edition, Tata Mc Graw Hill, New Delhi, PP 5-8,9,19
“ Defining consumer behaviour, significance” is studied from this book &
siginificance of consumer behaviour for a marketer. is studird
 Leon G. Schiffman and Lesli Lazar kanauk, Consumer Behavior, Eight Edition,
Prentice Hall of India, New Delhi, PP 8,9,11,19,20
Study of the customer behaviour is the study of how individuals make decisions
to spend their available resources (Time, Money and Efforts) on consumption
related items. It includes the study what they buy, whey they buy it, when they
buy it, where they buy it, how often they buy it and how often they use it.
 “Kothari C.R.,” Research Methodology Methods and Techniques (Second
Edition) New Age International Publishers, Ansari Road, Daryaganj, New Delhi-
110002. Chapter 4, Page 55-58. Chapter 6, Page 95,100,111.

Websites
 www.nokia.com
 www.motorola.com
 www.sonyericsson.com
 www.mobilegazette.com

47
Magazines

 Electronics For You, November 2007, Page No.78

 Data quest, November 15,2007, page no.105-106
 Lifestyle magazine, September 2007, page no.46
JOURNALS
• Kelly Robert(1962) ,”The search
component of the Cdp- A theoretic Examination,” in Robert L King ,
Marketing and the new Science of Planning , American Marketing
Association, Chicago p. 273
• Kassarjian Harold(1978),”Advance in
consumer Research,” Association for Consumer Research, Volume 5,pp 12-14
• Howard , john (1989), Consumer Behavior
in marketing strategy ,Prentice Hall, pp 361-364
• Engel, James; Blackwell, Roger. And
Miniard, Paul(1990) Consumer Behavior,(6/e),The Dryden Press, Chicago

48
QUESTIONNAIRE

Q1. Which Brand of the mobile do you have?

• Nokia
• Motorola
• Sony Ericsson
• Any Other

Q2.Are you aware about the music edition mobiles available in the market?
• Fully aware
• Aware
• Neutral
• Less aware
• Not so much

Q3.which of the following model of mobile you like the most-

• Nokia N73M
• NokiaN80
• Motorokr E6
• Motorazr v8
• Sony ericsson w880
• Sony ericsson k790
Q4. How did you come to know about this brand/mobile-
• Through friends
• Family members
• Advertisement
• Publicity
• Any other

49
Q5. How Much is the Extendable memory of your mobile?
• 256 MB
• 512 MB
• 1 GB
• 2 GB
• 8 GB

Q6. Are you satisfied with memory provided by your Mobile?

• Fully Satisfied
• Satisfied
• Neutral
• Dissatisfied
• Fully Dissatisfied

Q7. What type of camera you have got in your mobile phone?

• VGA Camera
• 1.3 Mega Pixel
• 2 Mega pixel
• 3.2 Mega Pixel
• 3.2 Mega Pixel
• 5.1 Mega Pixel

Q8. Are you satisfied with camera quality provided by your Mobile?

• Fully Satisfied
• Satisfied
• Neutral
• Dissatisfied

50
 • Fully Dissatisfied

Q9. What is Battery Backup of your Mobile?

• Less than 4 hrs.
• 4hrs.-8hrs
• 8hrs.-12hrs
• 1 Day
• More than 1

Q10. Which type of media influences your purchase behaviour?

• T.V
• Newspaper
• Wall painting
• Hoarding
• Magazine

Q11. In your opinion, what role advertisement plays?

• Provides important details
• Creates awareness
• Misleading

Q12. Which factor influence you more to purchase the mobile?

• Price
• Brand Name
• Music Player
• Camera
• Battery Backup

51
Q13. Who influenced you more in your buying decision of Mobile?
• Self
• Family Members
• Friends/Relatives
• Promotional Activities
• Advertisements

Q14. What extent price influences your purchase of Mo5bile?

• High
• High Average
• Average
• Low Average
• Low

Q15. Are you satisfied with Overall Performance of Your Mobile?

• Fully Satisfied
• Satisfied
• Average
• Less satisfied
• Dissatisfied

Q16. According to you, which company gives the most benefits to customers?

• Nokia
• Motorola
• Sony ericsson

52
 • Any other

Q17. If anybody ask you about which mobile purchased then your behaviour towards
your brand?

• Highly recommend
• Recommend
• Neutral
• Not recommend
• Never recommend

Q18. Which Company’s Advertisement you like most

• Nokia
• Motorola
• Sony ericsson
• Any other

53
54