INTRODUCTION

Unlike other electronic companies SAMSUNG origins were not involving

electronics but other products . in 1938 the SAMSUNGs founder ByungChull Lee
set up a trade export company in korea ,selling fish , vegetables, and fruit to
china . Within a decade SAMSUNG had flour mills and confectionary machines
and became a co-operation in 1951 . from 1958 onwards SAMSUNG began to
expand in other industries such as financial, media, chemicals and ship building
throughout the 1970s . In 1969. SAMSUNG Electronics was established
producing what SAMSUNG Electronics is most famous for, Television , Mobile
phones ( throughtout 90s) , Radios,computer components and other electronic
devices. 1987 founder and chairman ,Byung-Chull Lee passed away and Kun-
Hee Lee took over as chairman . In the 1990s SAMSUNG began to expand
globally building factories in the US, Britain, Germany , Thailand , Mexico ,
Spain and China until 1997 nearly all Korean businesses shrunk in size and
SAMSUNG was no exception.

They sold businesses to relleve debt and cut employees down lowering
personnel by 50,000 . But thanks to the electronic Industry they managed to
curb this and continue to grow . In 1993 SAMSUNG developed the lightest
mobile phone of its era . the SCH-800 and it was available on CDMA networks .
Then they developed smart phones and a phone combined mp3 player towards
the end of the 20th century . To this date SAMSUNG are dedicated to the 3G
industry . Making video , camera phones at a speed to keep up with consumer
demand . Employing approximately 138,000 people In 124 offices in 56
countries .

In 1993 as a first step in its globalization drive , SAMSUNG

acquired a new corporate identity . It changed its logo and that of the group . In
the new logo , the words SAMSUNG Electronics were written in white colour on
blue colour background to represent stability , reliability and warmth . The
words SAMSUNG Electronics were written in English so that they would be easy
to read

and remember worldwide . The logo was shaped elliptical representing a

moving world-symbolizing advancement and change.

The quantity of portable endorsers in India has congested over

the most recent four years, expected to show quick development throughout
the next years. Ongoing years have seen a blast in portable Brands and their
advancements in highlights, execution, style, and cost. Versatile organizations
are jumping up to offer their best.

Samsung has been perhaps the biggest producer on the

planet. They have caught the whole market in a brief time frame. Samsung
mobiles are presently advertising in a few Asian and European nations. The
imaginative elements and fabricate quality made Samsung a top pick of
millions. In the year 2011, Samsung was the biggest merchant of PDAs in India.
These telephones come in all reaches and offer great types of assistance. It has
caught the market as well as made an exceptional spot in the hearts of
numerous clients. Other versatile brands couldn’t easily overlook this
tremendous and possible all out addressable market and are giving intense
rivalry to Samsung. The expanding pattern in Cell phone among individuals is
the primary explanation that has enhanced the interest to explore on the
theme. Individuals’ fixation on the Cell phone has been expanding.

The point of this examination is consequently to discover

purchaser conduct of Cell phone purchasers in Indian Market. The exploration
is attempting to discover that for what reason in all actuality do individuals
want to buy a Cell phone, what impact individuals in buying a Cell phone and
what propel them in settling on the buy choice. Various buyers have various
qualities in their day to day existence that likewise impacts their purchasing
conduct .

In this industry , of fierce competition , the companies have been forced

to come up with very creative technological innovation and winning
marketing strategies . When iPhone was launched by Apple Inc . in 2007 ,
they created the Smartphone market for the average consumers , before
that the producy was targeting only business users . From then Apples’
iPhone and Android phones, which are offered by Samsung, HTC and Nokia
have tried their best in competing in this ever changing high – tech
market and so far have qualified to be the big players in the
Smartphones industry . In a fast growing industry , time is everything and
every company wants to possess most innovative technology and products
before its competitors.

Samsung is currently the top Smartphone manufacturer in

Europe . At the end of 2012 Samsung had 32.3% share of the market
according to the figures from Comscore (n.d). Samsung overtook Nokia in
April 2012 to claim the top spot, a position it had maintained for long .
Apple came second with 20.5% market share, followed by Nokia at 16.3%
market share ( Samsung dominates European Smartphone market , 2013).
Being the top selling Smartphone brand in Europe , Samsung has captured
45% share of the European Smartphone market according to data from
Kantar World panel Comtech (n.d) . As the worldwide Smartphone sales
increased by 46.9% in 2012 and accounted for 39.6% of total mobile
sales increased by 46.9% in 2012 and accounted for 39.6% of total
mobile sales , according to Fartner research (n.d) , Samsung and iPhone
dominated the Smartphone market . Samsung mobile phone led with 98
million units in Q3, commanding 32.5% of the global Smartphone market
(Apple and Samsung lead global Smartphone race , 2012) Samsung Galaxy
Smartphone’s use Google,s operating system Android . They introduced its
first Windows phone in 2012 . They offer great variety of products that
target a wide range of

customer segments in the market . Example is the Galaxy Music ,which

are for music lovers . It includes features like easy acccesss to music and
surrounds sound . For the people who value innovative technology , they
are offered Galaxy S3, which has also a mini version for those who find it
too big . (Smasung Mobile devices , 2013) The prices for these Smartphones
vary greatly to meet different consumers’ needs . Some time back ,
Samsung was struggling to catch up with big players like iPhone in the
Smartphone market . And now it is the leading company in the market
with the addition of being the largest technology company by revenue .
With the introduction of Galaxy S4 Smartphone , they have brought a
whole new package of Smartphone with impressive featured .

Samsung has always been under accusation of

copying iPhone , which got them into trouble by losing a high-profile
case to Apple Inc . for imitating Apples design . This was seen when a
nine person Jury awarded Apple more than $ 1B , when founded Samsung
infringed Apples patent . The Jury found Samsung to have infringed the
Apples Utility , that is Design patents but not for all products . Damages
owed by Samsung was $10.5 billion (Lowensohn, 2012) Luckily for them this
legal and marketing warfare didn’t slow its momentum nor dimmed its
ambitions . Samsung is focusing in increasing its annual revenue to about
$400 billion in some few years from now, which will see them in same
heights with the likes of Wal-Mart Inc. who are world’s largest
companies . Samsung still lags behind Apple even after its success in the
perception of most innovative company . The company leaders are now
working towards changing Samsung’s culture and strategy to be classified
as an innovative company and change its reputation of being a fast
fowwower (O’ Brien, 2013 )

LITERATURE REVIEW

Lee and feich (2001) - contend that customer loyalty contributes

emphatically to client maintenance . Lee and feich (2001) observed that
exchanging cost assumes an indispensable part in clarifying the
connecetion . Exchanging costs additionally connected with quality . The
versatile organization’s attention on quality will increment consumer
loyalty .

Jonathan , Lee, Janghyuk , Lee and Lawrence , Feick (2001) - dissected

that directing job of exchanging costs in the consumer loyalty devotion
connect ; and to recognize client sections and to hold them . Subsequently the
reason for this paper are; to inspect the directing job of exchanging costs in
the consumer loyalty dependability connect; and to distinguish client portions
and afterward investigate the heterogeneity in the fulfillment reliability
interface among the various fragments . An exact model is a view of the cell
phone administration market in france demonstrates support for the directing
job of exchanging costs .Administrative ramifications of the outcomes are
examined .
 Liu (2002) - in a paper , examined and observed that the decision of the cell
phone is described by two particular perspectives towards brands; mentalities
towards the cell phone brand and disposition towards the organization .
Client’s decision of cell phone brand is essebtially impacted by new highlights
more than size . This pattern of picking is most certainly towards telephones
with better limit bigger screens .

Heikki Karjaluoto , Jari karvonent al, (2005) - had examined that cell phone
market are one of the most tempestuous market conditions today

because of expanded rivalry and change . Hence , it is of developing worry to

see computer purchasing choice cycle and cast light on the variables that at last
decided buyer decisions between various cell phone brands . On this premise ,
this exploration manages shopper’s decision rules in cell phone markets by
concentrating on factors that impact aim to obtain new cell phones on one
hand and factors that effect on cell phone change on the other are a few
general factors that appear to direct the decisions . The two examinations show
that while specialized issues are the essential motivation to change cell phone
among understudies ; value , brand , connection point , and properties are the
most compelling elements influencing the real decision between brands .

Serkan Aydin , Gokhan Ozer , Omer Arasil, (2005) - had zeroed in on to

quantify the impacts of consumer loyalty and trust on client faithfulness ,
and the immediate and circuitous impact of “ exchanging costs “ on clients
steadfastness . The discoveries of this study that the exchanging costs
factor straightforwardly influences unwaveringness , and has a mediatot
impact on both consumer loyalty and trust .
Shibashishb , Chakraborty and Kalyan Sengupta (2008) - attempts to make
a nitty gritty review on significant factors of clients imfluencing brand
exchanging of clients . This study will feature relevant parts of forecast of
changing proclivity of clients starting with one specialist co-op then on to
the next .

The Dream Catchers Group (2008) – explored if segment factors or then

again on the off chance that phone highlights rembered for telephones
understudies previously claimed were prescient of youthful

customers’ view of packaged highlights . Moreover, this review set off to

decide whether there were any huge contrasts in understudies’ view
of packaged highlights across segment factors (provincial opposite HBCU,
orientation , grade level, cell phone brand , major, and age) .

Rama Krishnan Venkatesakumar and D. Ramakumar and P . Thillai Rajan

(2008) -- confirms that brand loyalty and brand switching behavior of the
consumers are evergreen issues of research and strategic importance to
the marketers and academic researchers . The current research aims to
address the significance of products attributes in brand switching behavior
through multi- dimensional scaling and results suggest that a set of
product attributes trigger the intention to switch the current brand .

Mack and Sharpies (2009) – showed that accessibility is the most urgent
determinant of versatile decision . Different ascribes, especially highlights ,
feel, and cost, have suggestions for portable brand decision .
Wafa’ N. Muhanna and Awatif M. Abu-AL-Sha’r (2009) - targets exploring
Jordanian college undergrad and graduate understudies’ perspectives
towards the learning climate wher phones and utilized as learning
instruments in study hall. The review included two free factors , level
and orientation, as covariates . The discoveries demonstrate that students
are more great for PDA climate that graduate understudies than on female
understudies.

Brenda, Mak, Robert Nickerson and Henri Isaac (2009) - The factors
affecting the attitudes toward the social acceptance of mobile phones in
public places and how this attitude affects its usage Results of the
analysis

indicate that the attitudes about mobile phones use in public places
depend on country, and age factors . This attitude in turn significantly
affects the usage frequency of mobile phones In addition, usage
frequency also is affected by gender and work status .

Oyeniyi, Omotayo Joseph - Abioudun , Abolaji Joachim (2010) – emphasis

on customer loyalty and customer switching cost . Switching costone of the
most discussed contemporary issues in marketing in attempt to explain
consumer behavior . The present research studied switching cost and its
relationship with customer retention , loyalty and satisfaction in the
Nigerian telecommunication market . The study finds that customer
satisfaction positively affects customer retention and that switching cost
affects significantly the level of customer retention .
Arvind Sahay and Nivedita Sharma (2010) -- focused on brand relationship
are indeed important for different categories of young consumers ; second,
to investigate the effect of peer influence , family influence , and brand
relationships on switching intentions amongst young consumers; and
third , to look at the impact of price changes o switching intentions in the
context ‘of brand relationships . Reasearcher’s results suggest that young
consumers develop relationships on all brand relationship dimensions .

Shakir Hafeez and SAF Hasnu (2010) -- states that Consumers Satisfaction
is a crucial element for the success of all businesses . One of the biggest
challenges for a market is how to satisfy and retain the customers . This
study is based on Mobilink’s prepaid customers The findings suggest that
overall customer satisfaction and customer loyalty in Pakistan’s mobile
sector is relatively low because it is an emerging industry, new service

providers . However it is expected that when the industry will be well

established , the results will be more comparable to other studies .

Androulidakis and G Kandus (2011) – correlated the brand of mobile

phones to users’ security practices, Users show different behavior in any
array of characteristics, according to the brand of mobile phone they area
using . As such, there is a categorization of areas, different for each brand
, where users are clearly lacking security mind, possibly due to lack of
awereness . Such a categorization can help phone manufacturers enhance
their mobile phones in regard to security , preferably transparently for
the user .

Harsha de Silva (2011) -- generally shows that adoption of (primarily)

mobile telephones has significant benefits not just to the adopter , but to
the community at large . In the context, the objective of the current
article is to examine , from a user perspective, the influences ( as well as
the interplay of these influences) on mobile phone adoption by the poor
in a slected set of countries in the emerging Asian region .
Sany Sanuri Mohd. Mokhtar and Ahmed Audu Maiyaki and Norzainibt
Mohd Noor (2011) – explores the relationship between service quality and
customer satisfaction on customer loyalty with regards to mobile phone
usage among the postgraduate students of a university in Northern
Malaysia . The results show that both service quality and customer
satisfaction significantly affect the level of customer loyalty of mobile
phone users in Malaysia . It was therefore, recommended that mobile
service providers should pay special attention to their service quality and
the factors that drive customer satisfaction .

Mehran Rezvani and Seyed Hamid Khodadad Hosenini and Mohammad

Mehdi samadzadeh (2012) - investigates the impact of Word of Mouth
(WOM) on Consumer Based Brand Equity (CBBE) creation . WOM
characteristics such as , volume , valence , and source quality are studied
to

finf how intensely they each affect brand awaereness , perceived quality ,
and brand association . The results suggested that volume and valence ,
two elements of WOM , affect CBBE and no significant relationship
between source type and brand equity was seen .