Study of Consumer Buying Behavior regarding the different Brands of

Mobile Handsets

(Research Project Report)

Submitted to:-

University of Pune

In Partial fulfillment of the requirement for the award of the Degree of

Master in Marketing Management (2009-11)

Under the supervision of:- Submitted by:-

Mr. Ajit Borde Prashant Singh

Mr. Ullhas Pramanik MMM 2nd Sem,

Roll No. 93302

Institute Of Business Management and Research, Pune 1

Institute of Business Management & Research,

Chinchwad, PUNE

Acknowledgement

In the successful completion of this project inspiration and guidance of

many people was involved. A mere form of acknowledgement would be

demeaning the status of this whole effort which has had the blessings and

supervision of the eminent person around me.

First of all I would like to thank Mr. Ajit Borde & Mr. Ullhas

Pramanik who was there to guide me at every step during the course of

this project. They gave me tips for the improvement in project whenever

required. Apart from this I feel indebted to all faculty members of IBMR,

especially who have helped, developed the right kind of attitude and

scholastic excellence in me. Last but not the least; I am very much

thankful to my parents, friends and all those persons who made this

research project possible, for their consistent guidance and constructive

criticism.

Prashant Singh

MMM (II sem.)

Institute Of Business Management and Research, Pune 2

Roll No: 93302

Table of Contents

Chapter

No.

Particulars Page no.

1 Introduction 4-13

2 Research Methodology 14-17

3 Data Analysis and Interpretation 15-30

4 Results and Findings 31-32

5 Conclusion and Summary 33

Appendix 34-38

Bibliography 39

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List of tables

S.No. Particulars Page

No.Table 1.1 Showing market share of major global players of

mobile phones in 2009

7

Table 3.1 Showing number of respondents owing a mobile

phone

18

Table 3.2 Showing different brands of mobiles phones used

by the respondents

19

Table 3.3 Showing respondents using same brand as they

had earlier

20

Table 3.4 Showing reasons for using mobile phone by the

respondents

21

Table 3.5 Showing the factors considered by respondent

while purchasing a mobile hand set

22

Table 3.6 Showing the sources which influenced the buying

decision of the respondents

23

Table 3.7 Showing different purposes for which mobile is

used by the respondents

24

Table 3.8 Showing ranking of various features of mobile

handsets by the respondents according to their

preferences

25

Table 3.9 Showing range of price that respondents like to

spend on mobile hand set

26

Table

3.10

Showing features preferred in a particular brand of mobile phone

27

Table

3.11

Showing agreement level of the respondents on

various factors influencing purchase decision

27

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Table

3.12

Showing satisfaction level of the respondents 29

Table

3.13

Showing additional features required by the

respondents in their mobile handsets

30

List of Figures

S.No. Particulars Page

No.Figure

1.1

India’s mobile subscriber base

market share in percentage of the mobile phone

players in India

10

11

Figure

3.1

number of respondents owing a mobile phone 18

Figure

3.2

different brands of mobiles phones used by the

respondents

19

Figure

3.3

respondents using same brand as they had

earlier

20

Figure

3.4

reasons for using mobile phone by the

respondents

21

Figure

3.5

factors considered by respondent while

purchasing a mobile hand set

22

Figure

3.6

sources which influenced the buying decision of

the respondents

23

Figure

3.7

different purposes for which mobile is used by

the respondents

24

Figure

3.8

ranking of various features of mobile handsets

by the respondents according to their

preferences

25

Figure

3.9

range of price that respondents like to spend on

mobile hand set

26

Figure3.1

0

features preferred in a particular brand of mobile phone

27

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Figure3.1

1

agreement level of the respondents on various

factors influencing purchase decision

27

Figure3.1

2

Satisfaction level of respondents 29

Figure3.1

3

additional features required by the respondents

in their mobile handsets

30

Chapter 1

1.1 INTRODUCTION

Information technology is "the study, design, development,

implementation, support or management of computer-based information

systems, particularly software applications and computer hardware."

Encompassing the computer and information systems industries,

information technology is the capability to electronically input, process,

store, output, transmit, and receive data and information, including text,

graphics, sound, and video, as well as the ability to control machines of all

kinds electronically.

Information technology is comprised of computers, networks, satellite

communications, robotics, videotext, cable television, electronic mail ("e-

mail"), electronic games, and automated office equipment. The

information industry consists of all computer, communications, and

electronics-related organizations, including hardware, software, and

services. Completion of tasks using information technology results in rapid

processing and information mobility, as well as improved reliability and

integrity of processed information. It is a convenient term for including

both telephony and computer technology in the same word. It is the

technology that is driving what has often been called "the information

revolution". Nowadays it has become popular to broaden the term to

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explictly include the field of electronic communication so that people tend

to use the abbreviation ICT (Information and Communication Technology).

"Electronic and information technology" is a term used in the 1998

amendments to Section 508 of the Rehabilitation Act. The term is used

to define the scope of products covered under Section 508. Section 508

requires that electronic and information technology that is developed,

procured, maintained, or used by the federal government be accessible.

Electronic and information technology includes computer hardware and

software, operating systems, web-based information and applications,

telephones and other telecommunications products, video equipment

and multimedia products, information kiosks, and office products such as

photocopiers and fax machines.

1.2 History

Information technology dates back to 5000BC, when people started using

alphabets as a medium of communication. However, its actual emergence

started with the first ever use of the computer. The real modern

mechanical computer was conceived in 1822 by Charles Babbage. Then

came the electromechanical age in 1840s with the discovery of different

ways to harness electricity and the information was converted into electric

impulses. This led to the beginning of telecommunication and telegraphy

in late 1800s. As the loading coil and vacuum tube made possible the

early telephone network, the wireless revolution began only after low

cost microprocessors and digital switching became available.

Since then, four generations of computers have evolved. Each generation

represented a step that was characterized by hardware of decreased size

and increased capabilities. The first generation used vacuum tubes, the

second transistors, and the third integrated circuits. The fourth (and

current) generation uses more complex systems such as Very-large-scale

integration or System-on-a-chip.

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Mobile rigs were the beginning of mobile phones for use in vehicles such

as taxicab radios, two way radios in police cruisers, and the like. A large

community of mobile radio users, known as the mobileers, popularized the

technology that would eventually give way to the mobile phone. The

concept of using hexagonal cells for mobile phone base stations was

invented in 1947 by Bell Labs engineers at AT&T and was further

developed by Bell Labs during the 1960s.

One of the first truly successful public commercial mobile phone networks

was the ARP network in Finland, launched in 1971.The first hand held

mobile phone to become commercially available was the Motorola

DynaTAC 8000X, which received approval in 1983. Until the late 1980s,

most mobile phones were too large to be carried in a jacket pocket, so

they were usually permanently installed in vehicles as car phones. With

the advance of miniaturization and smaller digital components, mobile

phones got smaller and lighter.

1.3 Current scenario

Mobile phones have gained a lot of popularity and are the considered to

be great multimedia tools. Mobile phones are being used for

entertainment purposes due the introduction of new features everyday.

They have become more than just call making and receiving devices.

Mobile phone handsets now have more business-friendly applications that

can enhance anybody’s business. With emerging technology, mobile

phones have become more than communication devices; they are the

tools to stay ahead of competitors and peers in the present times. Soon

mobile phones will evolve from communication tools to integrated

communication devices, media terminals, credit cards, and remote

controls.

1.4 Global mobile handset market

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The phenomenal rise of the mobile phone has seen its image change from

a yuppie status symbol to a daily essential. Along the way, it has created

thousands of jobs, changed the way we do business, and made an awful

lot of money for investors. Today Key Handset technologies include GSM,

CDMA, and 1xEV-DO, WiFi VoIP, TDMA, 3G, 4G and Blue Tooth. Worldwide

mobile phone sales cruise to 990.8 million units in 2006, up a hefty 21.3%

from 2005’s 816.6 million units. The estimated growth figures are—6.4%

in 2007, 4.8% in 2008 and 2.6% in 2009. Notwithstanding the gradual

decline in the growth figures, the annual handset sales are predicted to

reach more than US $ 3 Billion by 2009.The total number of mobile phone

subscribers in the world was estimated at 2.14 billion in 2005.

Around 80% of world's population have mobile phone coverage as of

2006. This figure is expected to increase to 90% by the year 2010. With

the periodic introduction of new features and multimedia tools in the

mobile handsets due to technological advances, more and more people in

the Asian continent fancy buying them. There are many diversities and

complexities in the Asian mobile handset market due to types of

customers, government regulations, regional/geographical wireless

infrastructure, and the purchasing power. Basically, the Asian market

looks at the mobile handsets as status symbols. The market is seen best

for the low-end phones, but there is a huge rise in the demand for flashier

and costlier phones. India, China, Korea, and Malaysia are fast evolving as

the biggest markets for mobile handsets and in coming years they will

mainly carry on the global handset sales.

1.5 Major Global Players

Table 1.1: showing market share of major global players of mobile

phones in 2009

Company 2009 Market Share

(%)

Nokia 38

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Samsung 20

LG 10

Sony Ericcson 5

Motorola 5

ZTE 4.5

Kyocera 4

Others 13.5

Total 100.0

Nokia Corporation is currently the world's largest manufacturer of

mobile telephones. It produces mobile phones for every major market and

protocol, including GSM, CDMA, and W-CDMA (UMTS).The corporation also

produces telecommunications network equipment for applications such as

mobile and fixed-line voice telephony, ISDN, broadband access, voice over

IP, and wireless LAN.

Nokia's Mobile Phones division provides the general public with mobile

voice and data products across a wide range of mobile devices. The

division aims to target primarily high-volume category sales of mobile

phones and devices, with consumers being the most important customer

segment. Nokia believes that design, brand, ease of use and price are

mainstream mobile phones' most important considerations to customers.

Nokia's product portfolio includes camera phones with features such as

megapixel cameras which appeal to the mass market.

Motorola is an American multinational communications company based

in Schaumburg, Illinois, a Chicago suburb.Most 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. Motorola has

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recently been regaining market share in the cellular-phone business from

Nokia, Samsung, and others due to stylish new cellular phone designs.

Samsung Electronics is one of the world's largest IT companies by

revenue. The company also claims to be have the highest brand value

among consumer electronics companies. Headquartered in Seoul, South

Korea, it is part of the Korean Samsung Group, operating in approximately

over 100 countries.It is the number 1 mobile phone manufacturer in Asia.

Sony Ericsson is a joint venture established in 2001 by the Japanese

consumer electronics company Sony Corporation and the Swedish

telecommunications company Ericsson to make mobile phones. Both

companies have stopped making their own mobile phones. The reason for

this merger is to combine Sony's consumer electronics expertise with

Ericsson's technological leadership in the communications sector. The

company's global management is based in Hammersmith, London. It also

has research & development teams in Sweden, Japan, China, Canada, the

Netherlands, the United States,India and the United Kingdom.

LG Electronics is one of the world's leading electronics companies. It is

part of the Korean LG Group, operating in approximately 80 countries. Its

mobil phones division provides CDMA, GSM, 3G Handsets.

ZTE (Zhong Xing Telecommunication Equipment Company

Limited) is a publicly-owned, Chinese corporation that designs and

manufactures telecommunications equipment and systems. Based in

Shenzhen, and established in 1985 ZTE offers a wide variety of

telecommunication products that provide services, including value-added

services such as video on demand and streaming media to its customers,

which are primarily telecommunications service providers, mobile network

operators, etc

Kyocera Communications Inc.(KCI) is a manufacturer of mobile

telephones for CDMA networks and is a wholly owned subsidiary of

Kyocera Corporation that was formed in February 2000 when Kyocera

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acquired QUALCOMM's San Diego, California-based terrestrial handset

division. It produces mobile phones, cellular routers, and Mobile PC Cards

for markets in North America, South America, Australia, and New Zealand.

1.6 Mobile Handset Market in India

The cell phones industry has shown a remarkable growth in the last

decade. In 1989 the number of its subscribers was zero in India. India’s

love affair with cell phones started in the mid-1990s, as the mobile

revolution took hold and India had just 10 million mobile and landline

connections. Delhi was the first state to launch cell phones in India.

Growth then soared in the last four years due to regulatory change and

falling costs of calls and handsets. India’s wireless market is a test bed for

alternative infrastructure, handsets, billing systems, business models and

marketing strategies that will likely prove applicable to other developing

countries.

On a numerical basis, India is the biggest growth market adding about 6 million

cell phones every month. CAGR for mobile phones is 86% in India. It is one of the

fastest growing mobile markets in the world; in April 2006 mobile subscriber

base crossed 100 million mark. This has been accomplished by rethinking

handsets, network infrastructure, enhanced services and content. More than two-

third of mobile subscriptions are with GSM operators and rest with CDMA. India

has one of the lowest mobile phone tariffs in the world resulting in low Average

Revenue per User (ARPU) of 9.04 USD per year (CDMA 5.74 USD and GSM 8.89

USD).

Indian land area covered by mobile networks is approx 30%. CAGR of Mobile

Market Value for 2004- 2009 is 36.9%.With 156.31 million cell phones;

teledensity in the country is still low at 17.45%. Fewer than eight in every 100

Indians use mobiles, compared with China's 30 per cent. In India, about 13

percent of people have cell phones which has increased from 8% in 2005 and is

expected to reach 40 percent within a few years. A lack of investment in the

infrastructure needed to support landline services means there are only 50

million fixed-line users in the country, leaving the stage set for mobile operators.

India is expected to have the third largest mobile user base, behind China and

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the US, by the year end and will become the second largest market of mobile

handsets by 2010. Indian cellular market would account for 11% of the overall

Asia Pacific and Japan market by 2009 and is expected to reach 500 million

subscribers by end of 2010 with CAGR of 33.7% for 2004- 2010.

Fig. 1.1 India’s mobile subscriber base

1.7 Major players in India

The major players in the handsets segment in India include Nokia,

Motorola, Sony Ericsson, Samsung, LG, Philips, Panasonic, Bird, Sagem

and BenQ. Nokia has retained the top slot in Indian market with 70 %

share, while US giant Motorola has 15 % share and Sony Ericsson has

gained around 8% share this year. Samsung has 5% share and LG has

1.8% share.

Fig. 1.2 market share in percentage of the mobile phone players

in India

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market share %

70

15

8 5 1.8 0.02

nokia motorola sony ericsson samsung LG others

1.8 Consumer Buying Behavior

Everybody in the world is the consumer. Each of us buys and sells or

consumes goods and services in the life. Consumer behavior is very

complex and is determined to a large extent by social and psychological

factors. Consumer behavior can be defined as those acts of individuals

directly involved in obtaining, using and disposing of economic goods and

services.

The relevance and importance of understanding consumer behavior is

rooted in the modern marketing. The needs of not even two consumers

are the same. Therefore, they buy only those products and services, which

satisfy their wants and desires. To survive in the market, a firm has to be

constantly innovating and understand the latest consumer needs and

tastes it will be extremely useful in exploiting marketing opportunities and

in meeting the challenges that the Indian market offers. A study of

consumer behavior is significant for regulating consumption of goods and

thereby maintaining economic stability. Within the broad framework of

marketing, the area that entices the most researchers is the study why a

consumer behaves in a particular way. The complexity of the behavior,

however, varies with the nature of the product and the need, which it is

required to satisfy. The study of consumer behavior is the study of how

individuals make decisions to spend their available resources on

consumption of related items.

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Consumer behavior is an applied discipline. Its application exists at two

different levels of analysis. One is at the micro level perspective and other

at the macro level perspective. Micro level seeks application of the

knowledge faced by the individual, firm or an organization. The macro

perspective applied knowledge of consumer includes the aggregate level

of problem faced by large groups or by society as a whole.

Consumer behavior provides a sound basis for identifying and

understanding consumer needs. It is the act of the individuals directly

involved in obtaining and using economic goods and services.

The study of consumer behavior is an essential component of marketing.

The adoption of marketing concept by the marketers provides the impetus

for the study of consumer behavior.

In case of New Product Introduction in the market, there is a risk of

product failure. To increase the chances of success of new products,

better information of the consumer behavior is required. Their desires,

tastes and preferences are to be taken care of. So from all these aspects

the study of consumer behavior is important.

1.9 About the Project

The importance of cell phones goes way beyond the ability to make or

receive phone calls. Today's technically advanced cell phones can perform

as many or even more tasks than a home computer. They are capable of

internet access, sending and receiving photos and files, storing data, to

name just a few of the available options. So a question arises as to why

different people choose different brands and what are the features they

look for while purchasing a mobile handset.

Hence a study was undertaken in IBMR College among the mobile phone

user students. It provides a scope to understand the consumers buying

behavior (especially students) towards the mobile handsets. The

increasing importance of cell phones has made them almost a necessity

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for most people. Mobile penetration is on rise. It has even exceeded

landline connections. Since various brands of mobile phones are in the

market for quite a long time, their performance provides sufficient data

for study. The results of the study would give the mobile manufacturing

companies an insight about the preferences of the consumers and also

their expectations from the mobile phones. This would help the companies

to understand the potential of the market and target the right consumers.

1.10 Objectives of the study are:

1. To examine the factors those influence the customer choice while

purchasing a mobile hand set.

2. To know which features in a particular brand are preferred by the

mobile phone users.

3. To find out what additional features are demanded by consumers.

4. To study the satisfaction level of mobile phone users.

Chapter 2

RESEARCH METHODOLOGY

This chapter describes the research methodology adopted to achieve the

objectives of the study. It includes the scope of the study, research

design, collection of data, analysis of data and limitations of the study.

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2.1 Scope of the study

The scope of the study is to get the first hand knowledge about the

buying behavior of consumers towards different brands of mobile

handsets in IBMR students. The scope is restricted to study the factors

affecting the preference of consumers while choosing a mobile handset in

IBMR college students. This is done to avoid perceptual bias and for

providing objectivity to the study.

2.2 Research Design

The research design constitutes the blueprint for the collection,

measurement and analysis of data. It is the strategy for a study and the

plan by which the strategy is to be carried out.

The research design of the project is descriptive as it describes data and

characteristics associated with the population using mobile phones.

Descriptive research is used to obtain information concerning the current

status of the phenomena to describe "what exists" with respect to

variables in a given situation.

2.3 Data Collection

2.3.1 Primary Data

Primary data is that data which is collected for the first time. It is

original in nature in the shape of raw material. For the purpose of

collection of primary data, a well structured questionnaire was framed

which was filled by the respondents. The questionnaire comprises of close

ended as well as open ended questions. In close ended questions

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dichotomous, ranking, checklist questions and multiple choice questions

are used.

2.3.2 Secondary Data

Secondary data is the data which is already collected by

someone. They are secondary in nature and are in shape of finished

product. Secondary data was collected so as to have accurate results.

Required data was collected from various books, magazines, journals and

internet.

2.4 Sampling Design

Sampling refers to selecting some of the elements in a population by

which one can draw conclusions about the entire population.

2.4.1 Universe

Universe is the infinite number of elements which the researcher is

targeting in his study. Since the study is restricted to IBMR students only

the universe for the study consists of all the mobile phone owners in IBMR.

2.4.2 Population

Population is finite number of elements which the researcher is going to

target in particular area. All the mobile phone user students in IBMR

college form the population for the study.

2.4.3 Sampling Unit

Sampling Unit is the single unit of the population. A single individual who

owns a mobile phone form the sampling unit of the study.

2.4.4 Extent

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Extent refers to the geographical area where there is a scope of

population. The extent of the study is IBMR, Pune.

2.4.5 Sampling Technique

The selection of the respondents was done on the basis of convenience

technique based on the non probability method of sampling.

2.4.6 Sample size

Sample size is the size of sample drawn from the population which is the

true representative of the research.

The number of respondents included in the study was 50 for convenience

in evaluating and analyzing the data and because of time constraint.

2.5 Data Analysis and Interpretation

For the purpose of analyzing, raw data was summarized in a

master table and from this table the results have been carried out. The

questions having multiple/ alternative choices were analyzed by taking

percentages. In the case of questions on likert scale, the mean scores

were calculated.

In case of ranking questions the total score has been added and

final ranking is given by calculating mean. In case of checklist questions

the average of total no. of responses was calculated. In case of

explanatory questions, the general suggestions were summarized.

Limitations of the study

Sincere efforts have been made to collect authentic and reliable

information from respondents, however the report is subject to following

limitations:

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i. Some respondents were reluctant to give the information, so their

responses may be biased.

ii. Time could be a major limitation as it may have affected the

inferences drawn in the study. Only 50 respondents have been

contacted due to time constraint.

iii. Sample may not be the true representative of the universe.

iv. Study was conducted in IBMR, Pune only. So the results of the study

may not be applicable in other areas.

Chapter 3

ANALYSIS AND INTERPRETATION

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This chapter analyse the behavior and preferences of the consumers for

various brands of mobile hand set based on various factors which

influence their buying decision.

This chapter therefore deals with analysis and discussions of the project.

Results of the study

Table3.1: Showing number of respondents owing a mobile phone

No. Of Respondents %

Yes 50 100

No 0 0

Total 50 100

Fig.3.1

Yes No

% 100 0

5152535455565758595

perc

enta

ge

Table3.2: Showing different brands of mobiles phones used by the

respondents

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Brands No. of respondents %

Nokia 31 62

Sony Ericsson 3 6

Motorola 6 12

Samsung 4 8

LG 2 4

Others 4 8

Total 50 100

Fig.3.2

Nokia62%

Sony Ericsson6%

Motorola12%

Samsung8%

LG4% Others

8%

Interpretation:

From the above table and figure, we can conclude that out of 50

respondents 62% have Nokia hand set,6% have Sony Ericsson , 12% use

Motorola ,8% have Samsung, 4% have LG. Apart from these brands 8% of

respondents have other brands like Spice, Micromax, Panasonic etc. It’s

evident from the figures that Nokia is most preferred brand of the

students in IBMR College.

Table3.3: Showing respondents using same brand as they had earlier

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RESPONSES NO. OF RESPONDENTS PERCENTAGE

Yes 32 64

No 18 36

Total 50 100

Table3.3

0

10

20

30

40

50

60

70

yes noresponses

Interpretation:

From the above, it is interpreted that 64% of the respondents had same

brand of mobile hand set earlier while 36% had different brands. Some

switched over due to new features available in other brands and others

due to inefficiency in earlier brand. But above figures conclude that most

of the respondents are brand loyal.

Table3.4: Showing reasons for using mobile phone by the respondents

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Reasons No. of Respondents %

Communication 19 38

Status 18 36

Don’t have landline 3 6

Others 10 20

Total 50 100

Fig.3.4

Communica-tion38%

Status36%

Don’t have landline

6%

Others20%

Interpretation:

Above table and figure depict that 38% of respondents use mobile for

communication, 36% use it as a status symbol, 6% use mobile because

they don’t have landline connections and 20% of respondents have other

reasons like necessity, games, music etc.

Table 3.5: Showing the factors considered by respondent while

purchasing a mobile handset

Factors No. of responses Average

Price 23 0.19

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Appearance 24 0.20

Brand 24 0.20

Features 32 0.26

Easy to carry/Weight 18 0.15

Total 121 1

Fig.3.5

0.19

0.2

0.2

0.26

0.15 Price

Appearance

Brand

Features

Easy to carry/Weight

Interpretation:

From above it can be concluded that features in a mobile hand set is the

most important factor which is considered by the respondents while

purchasing the mobile phone. Brand and Appearance are the other very

important factor influencing the purchase decision. Price is also an

important factor. Easy to carry is the least important factor that is

considered in the purchase decision. It’s clear that students at IBMR give

maximum importance to features, appearance and brand of a mobile

phone.

Table3.6: Showing the sources which influenced the buying decision of

the respondents

Sources No. of respondents %

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Friend 18 36

Family member 9 18

Advertisement 15 30

Dealer 8 16

Total 50 100

Fig.3.6

36%

18%

30%

16%Friend Family member Advertisement Dealer

Interpretation:

From the above table it is concluded that out of 50 respondents, 36% and

18% respondents purchased the mobile hand set under the influence of

their friends and family member, 30% respondents under the influence of

various advertisements, 16% respondents bought the car on the

suggestion of dealer.

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Table3.7: Showing different purposes for which mobile is used by the

respondents

Diff. Purposes No. of Respondents Average

Receiving/making calls 50 0.34

SMS/MMS 35 0.23

Games 13 0.08

E-mail/Internet 12 0.04

Music 25 0.17

Camera 20 0.14

Total 155 1

Fig.3.7

0.34

0.23

0.08

0.04

0.170.14

0

0.05

0.1

0.15

0.2

0.25

0.3

0.35

0.4

avera

ge

Interpretation:

From the above figures it can be concluded that in spite of using mobile

phone for calls and SMS which are its basic purposes, Students of IBMR

are using them increasingly for Music and Camera. Using Internet on

mobile phones is still not common.

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Table 3.8: Showing ranking of various features of mobile handsets by

the respondents according to their preferences

Fig.3.8

Bluetooth MP3 Player

Camera Data Stor-age Capac-

ity

GPRS Personal Info. Man-agement

mean score 3.29 3.16 3.23 3.13 4.87 3.32

0.51.52.53.54.55.5

mea

n sc

ore

Interpretation:

Since 1 is given to the most preferred feature and 6 to the least preferred

feature in a mobile hand set, therefore from the table, we can conclude

that data storage capacity is the most preferred feature in a mobile hand

set. 2nd and 3rd ranks are given to MP3 player and camera in the mobile

phone respectively. After them the features of personal information

management and Bluetooth are given preference. GPRS is the least

preferred feature in the mobile phones. Therefore it’s clear from above

that students of IBMR give more preference to the feature of data storage

and MP3 player.

Institute Of Business Management and Research, Pune 28

Features Mean scores RankBluetooth 3.29 5th

MP3 Player 3.16 2th

Camera 3.233rd

Data Storage Capacity 3.13 1st

GPRS 4.87 6th

Personal Info. Management 3.32

4nd

Table 3.9: Showing range of price that respondents like to spend on

mobile hand set

Range No. of respondents %

Below 5000 16 32

5000-10000 20 40

10000-15000 11 22

Above 15000 3 6

Total 50 100

Fig. 3.9

32%

40%

22%

6%

below 50005000-1000010000-15000above 15000

Interpretation:

From above it is interpreted that 39% of respondents prefer to spend

between the ranges of Rs. 5000-10000, 22% between Rs. 10000-15000,

7% above Rs. 15000and 32% below Rs. 5000. It concludes that mobile

Institute Of Business Management and Research, Pune 29

phone users here are price sensitive. Mobile phones are no longer a status

symbol instead they have become a necessity.

Table 3.10: showing features preferred in a particular brand of mobile phone

Camera Bluetooth Music Player

Memory

No. of respondentsNokia 34 31 15 37

Motorola 9 13 8 5

Sony Ericsson

7 5 27 8

Samsung 0 0 0 0

Total 50 50 50 50

Fig. 3.10

Camera Bluetooth Music Player Memory0

5

10

15

20

25

30

35

NokiaMotorolaSony EricssonSamsung

features

No.

of r

espo

nden

ts

Interpretation:

From above table and figure it is concluded that students of IBMR prefer

Camera, Bluetooth and Memory features of Nokia and music player of

Sony Ericsson. Features of Motorola and Samsung are also liked by some

respondents but features of LG are not at all preferred by them.

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Table 3.11: Showing agreement level of the respondents on various

factors influencing purchase decision

Factors

Strongl

y

Disagre

e -2

Disagr

ee

-1

Neutr

al

0

Agree

1

Strong

ly

Agree

2

Mean

Score

Repairable -2(2) -1(1) 0(6) 1(21) 2(20) 56/50=1.12

Availability of

spare parts

-2(2) -1(3) 0(10) 1(20) 2(15) 44/50=0.88

Proximity to

service provider

-2(1) -1(2) 0(21) 1(19) 2(7) 31/50=0.62

Promotional

activities

-2(1) -1(7) 0(16) 1(18) 2(8) 24/50=0.48

Fig. 3.11

Repairable Availability of spare parts

Proximity to service provider

Promotional ac-tivities

mean 1.12 0.88 0.620000000000002

0.48

0.1

0.3

0.5

0.7

0.9

1.1

mea

n sc

ore

Interpretation:

From the above table we can conclude that respondents strongly agree

with the repairable factor of a mobile phone, the mean score being 1.12.

Respondents are also to a large extent agreeing with the factor of

Institute Of Business Management and Research, Pune 31

availability of spare parts and proximity of service provider but as far as

promotional activities are concerned they are neutral towards this factor.

Table 3.12: Showing satisfaction level of the respondents

No. of Respondents %

Yes 46 92

No 4 8

Total 50 100

Fig. 3.12

92%

8%

YesNo

Interpretation:

From the above table, we can conclude that out of 50 respondents, 92%

respondents are satisfied with the performance of their mobile hand set

whereas 8% are not completely satisfied. The main problem faced by

them is the battery life of their hand sets. In general, students of IBMR

are satisfied with their brand of mobile phone.

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Table 3.13: Showing additional features required by the respondents in

their mobile handsets

Features No. of responses Average

Wi-Fi 19 0.26

TV 17 0.23

Video Conferencing 18 0.25

Windows 19 0.26

Total 73 1

Fig. 3.13

26%

23%25

%

26%

WiFiTVVideo ConferencingWindows

Interpretation:

From above table and figure it is concluded that features of Wi-Fi and

Windows are more in demand. TV and Video Conferencing too are

considered almost equally important.

Chapter 4

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FINDINGS OF THE STUDY

1. Nokia is the most popular and widely used brand by students of IBMR.

2. Brands like Motorola and Sony Ericsson are also gaining ground with

regard to popularity but not like Nokia.

3. 64% of the respondents used same brand earlier. It shows that most of

the mobile users of IBMR are brand loyal.

4. But on the other side 36% of response depicts the fact that people

constantly switch from one brand to another on the dearth of new

features and advance technology.

5. Mobile phone is no more a status symbol now for the students of IBMR.

It has increasingly become a necessity to reduce communication gap

and to maintain mobility.

6. It is clear from the above that students of IBMR give due importance

to factors like features, appearance and brand of mobile phones while

making purchase decision.

7. Price comes after the satisfaction of above factors and easy to carry

facility is least considered during purchase decision.

8. It’s clear that people in students of IBMR purchase a particular brand

of mobile handsets on the basis of the positive report about their

performance received from their friends and family members who

already own that brand.

9. Advertisements also play an important role in influencing the buying

decision.

10. Besides receiving and makings calls and SMS students of IBMR are

also using mobile for listening music and camera.

11. Use of mobile for games has significantly reduced. And still people

are not accustomed with the use of internet on their mobile phones.

12. As far features of mobile phones are concerned it’s clear from above

that students of IBMR give more preference to the features of data

storage, MP3 and Camera. GPRS is the least preferred feature in the

mobile phones.

Institute Of Business Management and Research, Pune 34

13. Students of IBMR prefer to spend between Rs. 5000 and Rs. 10000

on a mobile phone. It again depicts that mobile phones are no longer a

status symbol now and has become necessity.

14. Students of IBMR agree that factors like reparability and availability

of spare parts are important to consider while making buying decision

for a brand of mobile phone. But as far as promotional activities are

concerned they are neutral towards this factor.

15. Most of the population is satisfied with their existing brands. The

main problem faced otherwise is related to the battery life of a mobile

hand set.

16. Students of IBMR require additional features of Wi-Fi, Windows, TV

and Video Conferencing in their mobile phones. It depicts that people

here are techno savvy and want to use innovative features.

Chapter 5

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CONCLUSION AND SUMMARY

The Mobile phone represents the convergence instrument of the future. It

have become a necessity for many people throughout the world. The

ability to keep in touch with family, business associates, and storing data

are only a few of the reasons for the increasing importance of mobile

phones. Cell phone manufacturers have produced a wide range of cell

phones, which sell for prices that range from very inexpensive to

thousands of rupees.

The above findings and results reflected the preferences, expectations

and satisfaction level of mobile phones users in IBMR Collage, Pune. The

study would help the companies in understanding the factors that

influence the purchase decision of the consumers and their expectations

from the mobile handsets. The results of the study indicate that mobile

phones are no longer the status symbol for the students of IBMR. Brand

and features in a handset are preferred over their prices. People here are

techno savvy and require new innovative features in mobile phones every

new day.

Since the study was restricted to the IBMR Collage only so the there is

need to study more in other places of city to get the clear view of the

findings.

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APPENDIX

QUESTIONNAIRE

Personal Details:

Name: _________________

Age: _________________Gender: _________________

Address: __________________________________

__________________________________

Contact No. ____________________

‘’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’’

Q1) Do you have a mobile phone?

YES NO

Q2) a) Which brand of mobile hand set do you have? (Please Tick)

i. Nokia _______ii. Sony Ericsson _______iii. Motorola _______iv. Samsung _______v. Any other (please specify) _______

b) Which model ____________

If it is your first mobile phone then skip Q3

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Q3a) Did you have the same brand earlier?

YES NO

b) If NO then which brand you had earlier (please specify) -______________

c) Why have you switched from earlier brand to latest one?

i. Advanced technology _______ii. New features _______iii. Inefficiency in earlier mobile _______iv. Any other( please specify) _______

Q4) Why have you bought the mobile? (Tick one option)

i. Communication purpose ________ii. Status ________iii. Don’t have landline phone ________iv. Any other (please specify) ________

Q5) Which of the following factors you considered while choosing the mobile hand set?

(can tick more than one option)

i. Price ________ii. Appearance ________iii. Brand ________iv. Features ________v. Easy to carry/Weight ________

Institute Of Business Management and Research, Pune 38

Q6) Who influenced you to buy this brand? (Tick one option)

i. Friend _______ ii. Family member _______iii. Advertisement _______ iv. Dealer _______v. Any other (please specify) _______

Q7) For which different purposes do you use your mobile?

(can tick more than one option)

i. Receiving / making calls ________ii. SMS/ MMS ________iii. Games ________iv. E-Mail/ Internet ________v. Music ________vi. Camera ________

Q8) Rank the following features of your hand set according to your preference (rank 1 to most preferred and rank 6 to least preferred)

i. Bluetooth _________ii. MP3 Player/ Video Player _______iii. Camera _________iv. Data Storage Capacity _________v. GPRS _________vi. Personal information management _________

(Notes, to-do list,contacts,etc.)

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Q9) Tick the range of price you would like to spend on a mobile handset?

i. Below 5000 ________ii. 5000- 15000 ________iii. 15000- 25000 ________iv. Above 25000 ________

Q10) Tick the following features you like in particular brand:

Nokia Motorola Sony Ericsson

Samsung

Camera

Bluetooth

Music Player

Memory

Q 11) Do you agree that following factors must be considered while choosing a brand of mobile hand set?

Institute Of Business Management and Research, Pune 40

Strongly

Disagree

Disagree

Neutral Agree Strongly Agree

Repairable

Availability of spare partsProximity to service providerPromotional activities

Q 13) a) Are you satisfied with your existing mobile hand set?

YES NO

b) If no, then what are the problems faced by you?

_______________________________________________________________

_______________________________________________________________

Q 14) what additional features do you want in your mobile handset?

(Can tick more than one option)

i. Wi-Fi ________ ii. TV ________iii. Video Conferencing ________iv. Windows ________

Institute Of Business Management and Research, Pune 41

BIBLIOGRAPHY

http://en.wikipedia.org/wiki/Mobile_phones

http://communities-dominate.blogs.com/brands/2010/02/phone-market-

shares-for-year-of-2009-and-last-quarter-2009.html

http://www.wirelessdesignasia.com/article-

8488globalmobilehandsetshipmentgrew17yoy-Asia.html

http://www.forbes.com/feeds/businesswire/2009/04/24/

businesswire123735951.html

“T3-tomororw technology today”, Vol.1, Issue 2, Jan. 2007

http://digital-lifestyles.info/2007/03/05/worldwide-mobile-phone-sales-

grow-21-in-2006/

http://www.gartner.com/it/page.jsp?id=501734

http://www.rncos.com/Report/COM02.htm

http://economictimes.indiatimes.com/News/News-By-Industry/Telecom/

Mobile-handset-sales-pick-up-after-drought/rssarticleshow/

4180130.cms-

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http://www.dailyindia.com/show/121503.php/India-to-be-second-largest-

mobile-market-by-2010:-Nokia

http://www.zinnov.com/presentation/Mobile_VAS.pdf

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