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Anshu Samsung Project Report
Anshu Samsung Project Report
On
“INTERNATIONAL BUSINESS AT SAMSUNG”
FROM
MAGADH UNIVERSITY, BODH GAYA
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DECLARATION
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GUIDE CERTIFICATE
Dr…………….
Deptt. Of Management
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ACKNOWLEDGEMENTS
.
Without the priceless contribution and coveted guidance of all the
above mentioned people, this project would have never got a shape of
reality and emerged before all of you in the manner and in the style as
it now appears.
Anshu Kumari
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EXECUTIVE SUMMARY
The duration of my project was 60 days. During the 60 days I traveled extensively to try
& cover maximum dealers of CDMA market of Mumbai.
The main objective of the survey was to know the position of Samsung in market and
present scenario of CDMA mobile market.
The project was done in coordination with the dealers of CDMA mobile market.
The work atmosphere at Samsung was very good. There was sufficient encouragement
for even a management trainee to try and contribute the development of the company.
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CONTENTS Page no.
1. Introduction 6
2. Project Design 13
A. Problem identification 14
B. Development of an approach to the problem 15
C. Research design formulation 17
3. Marketing View 35
A. Competitor analysis 36
B. SWOT Analysis 40
C. 5 Force model 41
4.
A. Conclusion And Recommendations 43
B. Questionnaire 47
C. Bibliography 49
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List of figure and charts
2. Mission of company 8
4. Samsung handsets 10
6. Availability of handsets 17
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1. INTRODUCTION
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A. Mobile Market in India
India is one of the fastest growing mobile markets in the world, having more than 400+
million mobile subscribers. Currently in India 2.5G and 2.75G are in the existence in
GSM Technology. Whereas another technology is CDMA (code division multiple
access), 3G is coming into the existence.
As per as mobile market in India is concerned there are number of GSM service provider
such as:
o Airtel
o Vodafone
o Idea
o BSNL
o TATA DOCOMO etc.
Whereas in CDMA there are few number of player as compare to GSM mobile, such as:
o TATA (TTSL/TTML)
o Reliance India mobile
o Virgin
o MTS.
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o LG
o Mototola
o Sony
o Haier
o Intex
o HTC
o I-star
o Chinese mobiles
B. Company Profile
INDIA
Samsung India is the hub for Samsung's South West Asia Regional operations. The South
West Asia Headquarters, under the leadership of Mr. J S Shin, President & CEO,
Samsung India which commenced its operations in India in December 1995 enjoys a
sales turnover of over US$ 1Bn in just a decade of operations in the country.
Headquartered in New Delhi, Samsung India has widespread network of sales offices all
over the country. The Samsung manufacturing complex housing manufacturing facilities
for Color Televisions, Mobile phones, Refrigerators and Washing Machines is located at
Noida, near Delhi.
o Semiconductor Business
o Telecommunications
Samsung India Mobile a telecom equipment manufacturer, head office in New Delhi and
country head Mr. Sunil Dutt. Samsung has divided the mobile business in to areas:
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CDMA Mobile Business.
C. Vision Of Company
Samsung believe that through technology innovation today, we will find the solutions we
need to address the challenges of tomorrow.
It’s our aim to develop innovative technologies and efficient processes that create new
markets, enrich people’s lives and continue to make Samsung a trusted market leader.
Mission of Company
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D. Samsung CDMA Mobile Business
In CDMA segment Samsung is in market with two functional area that are:
Operator handsets.
Open handsets
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E. Product Profile
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2. PROJECT DESIGN
Find Out the consumers expectation to buy a particular brand of CDMA mobile.
How a consumer choose a new CDMA handset, how does a CDMA mobile
consumer upgrade handset choice, it mean what features he/she wants in handset.
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What features customer likes more in handset?
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In Indian Mobile CDMA Market the SAMSUNG CDMA mobile is in growth
stage.
Promotion test: By this study we would know what are the factors that
improve the sales of Samsung CDMA mobile handsets?
We have to visit the whole Mumbai: for the proper plan of action of the project
we divided the Mumbai into the following regions:
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South Mumbai:
Central Mumbai:
Western Mumbai:
Thane:
Navi Mumbai:
Where to visit: Web worlds, TVH, TVS, Modern Trade, Retailers, and
Distributors.
Purpose of visit:
Where the Samsung CDMA mobile is, in Customers and Sellers mind.
Plan of action:
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The research was conducted in Mumbai to find the market potential of CDMA handsets.
The study determines the future potential of CDMA handsets in a booming economy
where organization is going for new technologies in order to maintain their supremacy
over other.
Scope study
The internship was done under Samsung India Electronics Limited Mumbai. The CDMA
mobile market is going for a boom in world market. This study provides an insight to the
current scenario as well as the future trends of CDMA market. Thus it can help to find
out or to predict the future of CDMA in Indian market.
Sample Size
Limitations of Study
Lack of time
Low awareness
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In the data collection phase I traveled extensively to try & cover maximum dealers of
CDMA market of Mumbai.
Following are the list of locations where I visited during data collection phase:
o Dahisar.
o Matunga
o Matunga Road
o Mahim
o Santacruz
o Fort
o CST
o Churchgate
o Kandivili
o Kurla
o Vile parle
o Thane
o Andheri
o Ghatkopar
o Dadar
o Borivali
o Bandra
o Malad
o Mulund
3. ANALYSIS OF DATA
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In this market survey, we have collected data from 132 dealers/retailers (sample size) of
Mumbai region. All data is base on the market research of the 132 retail store.
SAMSUNG
LG
SPICE
HUAWEI
MICROMAX
HAIER
ZTE
NOKIA
OTHERS (INTEX, HTC, I-STAR etc.)
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Above figure shows that Samsung is most preferred brand in CDMA mobile
handsets among all the brands.
The availability of Spice, Huawei and Haier is also good in CDMA market with
availability more than 50% mobile retail stores.
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Zigzag line shows CDMA market shares in retail stores.
Majority of CDMA mobile market share in stores vary between 20% - 40%.
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Samsungs market share is high among all the brands. In majority of mobile retail
stores Samsungs CDMA mobile market share is half or more than 50%.
In most of the mobile stores Samsungs CDMA mobile market share is 30% -
40%.
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Comparative study of Market Share
As per the above figure the market share of Samsung and LG are overlaping in
some of the stores. It mean where demand of both the brand is equal.
The above figure indicated that LG and Samsung are the close competitors.
Somewhere LG is leading in CDMA market share, somewhere Samsung is
leading.
Majority of availability of Spice mobile in retail stores is less than 20% of market
share.
Where as almost Samsungs market share in mobile stores is more than 20%.
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Sales of Haier mobile are very good in some of mobile stores because of low
price of handsets available in Haier.
In some of the stores Haier mobile market share is more than 40%.
But its market share is less as compare to Samsung.
The above figure shows that Samsung is most preferred brand in the CDMA
segment by consumers.
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Consumer Demand of CDMA handsets of different brands (in 132 shops)
The above tables shows the number of retail mobile stores where consumer demand of
each brand of handsets.
In brackets the percentage is given of consumer demand for each brand of handsets.
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Extremly high Average Less No response or product is not available
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Comparative Study of Consumer demand:
Above figure shows consumer demand of Samsung CDMA mobile is very high.
In 61% of retail mobile stores consumer demand is very high.
Haier demand is also very good among the consumer because of low price
handsets.
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Consumer pull
More than 50% of mobile retail stores in Mumbai where consumer pull for
Samsung CDMA handsets is very high.
Almost 80% of the mobile retail stores where consumer pull for the Samsung
mobile is satisfactory.
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After sales service
From the above graph we can conclude that after sales service of LG CDMA
mobile is some what better than Samsung CDMA mobile.
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Distribution
In some mobile stores of the Mumbai region where distribution of Samsung is not
up to the mark.
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Interpretations / Conclusion for Samsung (By SPSS software)
Note: This is conclusion concluded by Chi square test by SPSS software. Only
major component has taken.
High 4 38 14
Medium 2 25 9
Average - 4 -
There is very high consumer pull despite average after sales services.
In most of the shops after sales service is good but not very good despite this
consumer pull is high, where as in some shops after sales service is just average
but consumer pull is high.
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So we can say that there is no significance impact of after sales service to
consumer pull.
Consumer pull – Distribution
Note: This is conclusion concluded by chi square test by SPSS software. Only
major component has taken.
Distribution
High 29 26 3 1
Medium 24 14 1 -
Average 1 2 1 -
Very good distribution in some places but there is medium consumer pull.
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Key challenges in CDMA facing by dealers.
Handsets:
Market:
It is main market for first time buyer.
Very good market for low income people.
Very limited selling of high range phones.
But Sales is increase day by day.
Good market for price range 900-3000 Rs phones.
Good Market because FM + color display is available in just 1300 Rs.
Some of the models are not coming in the market.
Nokia is not available in CDMA market, except single model.
Price:
CDMA is low price handset market.
Only 1k-2k models are in demand.
Very less selling of more than 3000 Rs handset.
LG/Haier is cheaper handsets.
Samsung is little bit costlier than LG/Haier.
Price of CDMA handsets are high compare to GSM handsets.
Recently price is increased that impacted the CDMA market.
High switching cost in CDMA.
Nokia is giving Bluetooth + Camera + FM in just 3000 Rs. CDMA
customer also expect it.
Price of CDMA handsets should reduce.
Network:
Reliance and TATA are doing good in CDMA market.
More operator should come in CDMA.
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There are very limited plan and scheme are available in CDMA.
2k Rs model.
Better quality phones, sound quality should be like sony erriction and battery
quality should be like Nokia.
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Key motivator for dealers to sell particular open CDMA handsets
Generally customer asks for memory, how many songs can be stored.
More variant of slide phones and touch screen phones should available.
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Key factor that motivate consumer to buy CDMA handsets
Customer wants better display, good battery backup, good sound quality.
Customer pays 1000 Rs for basic handsets, 1500 Rs for handsets with FM and in
3000 Rs customer expects camera and memory.
Customer CDMA handsets feature and quality should better than GSM handsets.
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Key Factor that consumer consider while making 1st time handsets purchase
Customer goes for basic models but if FM facility is there than prefer that.
Customer pays 1000 Rs for basic models and more than that amount they expect
FM.
Display of handsets and software of handsets is also play major role while
purchasing.
Other features like phone book memory at least 500 contacts storage should be
there.
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Key Factor looked in handsets by consumer while upgrade of handsets
CDMA + GSM handsets have more no of selling than GSM + GSM handsets.
Attractive model look, thin model and light weight model customer want.
Customer goes for display quality, clarity of display and software used in model.
Bluetooth is must.
Extra accessories like head phones, data cables CDs should provide by company.
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Dealers Suggestions to promote CDMA handsets
Handsets:
Offers / Marketing
Company should provide free ring tones, wallpapers, and softwares in CDMA.
Company should provide extra accessories like headphone, data cable & CDs.
Create awareness about CDMA brands.
Advertisement, branding is requiring of CDMA handsets.
Large advertisement board is required.
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Offers, consumer offers, festive offers.
Improve the distribution of CDMA handsets.
4. MARKETING VIEW
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Competitors Analysis
o LG
o Huawei
o Haier
o Micromax
o Nokia
o Spice
o Intex
o HTC
o I-Star
1. Product LG 3100
:
Name CDMA Handset
FM Radio Speaker 32 Polyphonic
Ringtones Long Battery Life,
1 e-mail 3 Way Calling and more..
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2. Product LG 3500
:
Name CDMA Handset
LG 3500 Mobile phone comes with Reliance have the distinguish
Features as good battery backup ...
3. Product LG RD 3000
:
Name , CDMA Handset
Stylish looking bar type color phone High capacity battery 32
polyphonic rington ...
[ Read More ] [ Specifications ] [ Description ]
Category : CDMA Handsets
Brand : LG
Price Range : Rs. 1199* ( * approx. price)
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4. Product
: LG VX8300 Cellular Phone, CDMA Handset
Name
This slim and sleek VX8300 is built for serious mobile fun.
Exchange vCards ...
5. Product
: LG Chocolate VX8500 Cellular Phone CDMA Handset
Name
LGs mobile treat, the VX-8500 Chocolate offers minimalist-
inspired style and more…
Category : CDMA Handsets
Brand : LG
Price Range : Rs. 12000* ( * approx. price)
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6. Product name : Haier Sumukha CDMA
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5 Force Model
There are lot of competition in Indian telecom market ,Chinese mobile companies are
also entering into the sector. In Indian telecom market having more than 400+ million
subscribers with 42% of teledensity, still there is lot of potential is remaining.
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- Bargaining power of buyers [ High]
Indian market is very price sensitive market. Awareness about the mobile is very high so
that bargaining power of the customer is also very high.
There if very high competition among the mobile equipment manufacturer. Chinese
companies also coming in Indian market.
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SWOT Analysis
Strength:
Weakness:
Opportunity:
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o Foreign telcos are coming into Indian market would be
opportunity for direct market.
Threats:
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5. CONCLUSIONS & RECOMMENDATIONS
Conclusions
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Recommendations
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Good quality of software should come in operator handsets.
At least some memory should also give to the operator handsets
Only basic model should come in 700 Rs.
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QUESTIONNAIRE
Retailer Name___________________________________________________________
1.
a. Total Handset Sales : ____________________________
b. CDMA handset sales, total : _______________________
c. CDMA Handset Sales share in % of the following brands
2. Please rank the following CDMA brand in terms of best consumer demand for the brands.
Others ________
3. What are the key Challenges that you are facing in CDMA?
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4. What are the key motivators for you to sell particular CDMA handsets? Also Rank the order
of importance?
5. What are the key factors that motivate a consumer to buy a particular brand of CDMA
Handset? Also Rank the order of importance.
7. What are the key factor that consumer consider while making a first time handset
purchase from an operator.
6. What are the key factors looked in handsets by a consumer who upgrades in CDMA?
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9. What are the key steps any brand should take to increase the sales of CDMA handsets
from your shop?
Bibliography
www.samsung.com
www.themobilestore.com
www.mobileindia.com
www.spssinc.com
www.compareindia.com
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