Zong Final Internship Report

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TABLE OF CONTENTS

EXECUTIVE SUMMARY ........................................................................................................................ 5

1. HISTORY OF COMMUNICATION ................................................................................................ 6

1.1. Smoke Signal ................................................................................................................................ 6

1.2. Lantern Means of Communication ............................................................................................... 7

1.3. Communication by Drums ............................................................................................................ 8

1.4. Communication by Birds .............................................................................................................. 8

2. HISTORY OF TELECOMMUNICATION ..................................................................................... 9

2.1. What is Telecommunication?........................................................................................................ 9

2.1.1. Telegraph and Telephone .................................................................................................... 10

2.1.2. Radio and Television .......................................................................................................... 11

3. HISTORY OF CELLULAR COMPANIES IN PAKISTAN ........................................................ 12

3.1. Paktel........................................................................................................................................... 12

3.2. Instaphone ................................................................................................................................... 12

3.3. Mobilink ...................................................................................................................................... 13

3.4. Telenor ........................................................................................................................................ 15

3.5. Warid........................................................................................................................................... 16

3.6. Ufone........................................................................................................................................... 17

4. BACKGROUND OF THE ZONG ................................................................................................... 19

4.1. China Mobile Communications Corporation (CMCC) ............................................................... 19

4.2. China Mobile Pakistan (CM Pak) ............................................................................................... 19

4.3. ZONG Pakistan ........................................................................................................................... 20

4.3.1. Vision Statement ................................................................................................................. 21

4.3.2. Mission Statement ............................................................................................................... 21

4.3.3. Core Value .......................................................................................................................... 21

4.3.4. Goals and Objectives .......................................................................................................... 22

4.3.5. Company Information ......................................................................................................... 23

4.3.6. Management Line of ZONG ............................................................................................... 24

4.3.7. Organizational Chart ........................................................................................................... 25

4.3.8. Customer Center Chart ........................................................................................................ 26

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5. PRODUCTS AND SERVICES ........................................................................................................ 27

5.1. ZONG Postpaid ........................................................................................................................... 27

5.2. ZONG Prepaid ............................................................................................................................ 28

5.2.1. ZONG Default Package ...................................................................................................... 28

5.2.2. ZONG 45 Package .............................................................................................................. 28

5.2.3. ZONG 65 Package .............................................................................................................. 29

5.2.4. ZONG 12 Aanay Package ................................................................................................... 29

5.2.5. ZONG Free Package ........................................................................................................... 30

5.2.6. ZONG Aik Second Package ............................................................................................... 30

5.3. Other Offers and Services by ZONG .......................................................................................... 31

5.3.1. Break Time Offer (BTO) .................................................................................................... 31

5.3.2. Late Night Offer (LNO) ...................................................................................................... 31

5.3.3. Location Based Charging (LBC) ........................................................................................ 31

5.3.4. Friends and Family (FnF) ................................................................................................... 31

5.3.5. Happy Hour ......................................................................................................................... 32

5.3.6. Super Free Number ............................................................................................................. 32

5.3.7. Conference Call................................................................................................................... 32

5.3.8. SMS packages ..................................................................................................................... 33

5.3.9. GPRS Packages ................................................................................................................... 33

5.3.10. ZONG E-Care ......................................................................................................................... 34

5.3.11. Missed Call Alert ................................................................................................................ 34

5.3.12. ZONG Family Pack ............................................................................................................ 34

5.3.13. Student Entrepreneur Program (SEP) ................................................................................. 35

5.4. ZONG Mobile ............................................................................................................................. 36

5.4.1. Android Handset ................................................................................................................. 36

5.4.2. ZONG Handset N281.......................................................................................................... 37

5.4.3. ZONG Handset R231 .......................................................................................................... 38

5.4.4. ZONG Handset R221 .......................................................................................................... 39

5.4.5. ZONG Handset G2201 ........................................................................................................ 40

5.4.6. ZONG HandsetZ100 ........................................................................................................... 41

5.5. ZONG‟sUSB ............................................................................................................................... 42

5.5.1. SMS Charges ...................................................................................................................... 42

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5.5.2. Available at CSCs of the following cities ........................................................................... 42

6. DEPARETMENTS ........................................................................................................................... 43

6.1. Human Resource Department (HRD) ......................................................................................... 43

6.2. Administration Department......................................................................................................... 43


6.2.2. Functions of Administration Department ............................................................................ 44

6.3. Finance Department .................................................................................................................... 44


6.3.2. Functions of Finance Department ....................................................................................... 44

6.4. Marketing Department ................................................................................................................ 45


6.5. Sales and Distribution Department ............................................................................................. 45


6.6.2. Distribution ......................................................................................................................... 45

7. ANALYSIS ........................................................................................................................................ 46

7.1. SWOT Analysis .......................................................................................................................... 46

7.3. PEST Analysis ............................................................................................................................ 53

7.4. Number of Subscribers and Market Shares ................................................................................. 56

8. WHAT I DID IN MY INTERNSHIP .............................................................................................. 57

8.1. Check Territory Sales Officer‟s (TSO) activity in Market ......................................................... 57

8.2. Check Stock Availability in Market ............................................................................................ 57

8.3. Brand Promotion ......................................................................................................................... 57

8.4. Shopkeeper Claims ..................................................................................................................... 57

8.5. Say Welcome to The Customers in The Office .......................................................................... 58

8.6. Postpaid Billing Process and Term & Conditions about Postpaid Connection ........................... 58

8.7. ZONG Number Booking Procedure and Number Activation Procedure .................................... 58

8.8. SIM Replacement Process .......................................................................................................... 59

8.9. Prepaid Sale Process ................................................................................................................... 60

8.10. Handset Sale Process .............................................................................................................. 60

9. APPLICATION OF CLASSROOM LEARNING IN ORGANIZATION .................................. 61

9.1. Management Concepts ................................................................................................................ 61

9.2. Marketing Concepts .................................................................................................................... 62

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9.3. Organizational Behaviour Concepts ........................................................................................... 62

10. CONCLUSION ................................................................................................................................. 63

11. SUGGESTIONS AND RECOMMENDATIONS........................................................................... 64

12. GLOSSARY ....................................................................................................................................... 65

13. REFERENCES .................................................................................................................................. 67

14. ANNEXURE ...................................................................................................................................... 68

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EXECUTIVE SUMMARY

As a student of MBA I also got the chance to be a part of a reputed business company in

telecom sector of Pakistan during my summer vacations. This practice by the company is known

as Internship Program. It is a compulsory part of our studies and as per rules of the Department

of Business Administration, each and every student of MBA/BBA program.

And during my internship I write a comprehensive report on CM Pak, I have discussed about

every major aspect of the ZONG, which I observed and perceived during my internship program.

In this report, I have explained the detail about the current position along with the processes;

policies, procedures and products and services offered by the ZONG are also discussed in detail.

In this report, I discussed the SWOT analysis in detail of the company. In which I explain the

what are the strength of the company and how by using these strength they can got the

opportunity that are prevail in the market. And what is the weakness of the company if they do

not solve these problems in very early time that can becomes threat for them. For understanding

the working environment of the market of the Pakistan telecommunication sector for which I do

complete the PEST analysis of that market which reflect the problematic area for the businesses

in the Pakistan market and what economic, political, technological factors the company have to

follow to retained in the market and expanded their market share.

At the end I discuss my internship working with ZONG in this report in which is discuss my

duties responsibilities and accomplishment during internship period and also write suggestion

and recommendations for ZONG which I understand during my internship that they should

follow these points to grow more.

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1. HISTORY OF COMMUNICATION

Communication is the process of sharing ideas, information and messages with others. The most

basic communication methods that are known to man are speech (verbal) and non-verbal

expressions such as facial expressions and body language. Apart from these basic methods of

communication there are other methods of communication. These methods began to evolve and

become complex as the wants and needs of human beings became complex.

Other than these methods of communication there were other methods used to signal and

communicate with in a distance. Our ancestors developed systems for sending simple messages

or signals over a distance through:

fire or smoke signals,

lanterns,

drumbeats,

Birds and arrows.

1.1. Smoke Signal

In 150B.C. Native Americans (old American) used a type of communication called smoke

signals. In this form of communication, puffs or columns of smoke were sent into the air in many

different ways, signaling different things. The smoke signals were not exactly a full language,

but were mostly used as brief signals of communication. Some of the recognized signals are

remembered today.

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One puff of smoke sent into the air was believed to signal attention.

Two puffs meant all's well or everything is okay.

Three puffs signal either danger, call for help, or simply just trouble.

The smoke is made by putting green branches or grass into the fire. Blankets are used to control

the smoke puffs. Important events were also marked by smoke signals like war, death, or

marriage. There were light and heavy signals, each meaning separate things. One meant good,

the other meant bad.

In Ancient China, soldiers stationed along the Great Wall would alert each other of impending

enemy attack by signaling from tower to tower. In this way, they were able to transmit a message

as far away as 750 kilometers in just a few hours.

1.2. Lantern Means of Communication

Another interesting element of the Chinese lanterns history is that, they also served as a means of

communication among neighbors, when placed on the doorway, and the colors of the lanterns

symbolized the events that the family was going through.

Red Lantern: Red is a symbol of exuberance and zeal at its peak. As such, when

placed outside a house, it symbolizes an event of marriage, or a birth in the family.

Blue Lantern: A blue lantern is an indicator of poor health in the house, and also

symbolizes the degenerating health of a family member.

White Lantern: As is the case with many cultures across the world, white represents

death in the Chinese culture too. When two white lanterns are placed on top of a

doorway, along with a white sash that is placed across them, it symbolizes that a

family is in mourning.

Not only were Chinese lanterns used to communicate the good and bad events in a family, they

also served as a means of communication among the military.

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

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

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1.3. Communication by Drums

Drums are used for communication in central

Africa. Many languages of the Bantu family of

languages, spoken there, have drum

equivalents. It works just about like the Morse

code (a code of signaling and telegraphy),

except that the Morse code uses letters as units,

and the drum communication uses words.

1.4. Communication by Birds

Ever since the beginning of time as we know it, our civilization has

developed and relied on various forms of communication in order to

confer amongst those of his own species. Whether it is to convey messages

of friendship, anger, sadness or even war, Birds carried messages through

a long distance. The message was attached to a foot of a Pigeon or a

Falcon who flew home with the message. This specific method of

communication was used to a great extent during World War I.

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2. HISTORY OF TELECOMMUNICATION

2.1. What is Telecommunication?

“Telecommunications is a general term for a vast array of

technologies that send information over distances.”

Mobile phones, land lines, satellite phones and Voice over Internet Protocol (VoIP) are all

telephony technologies just one field of telecommunications. Radio, television and networks are

a few more examples of telecommunication.

Telecommunication‟ is a term coming from Greek and meaning „communication at distance‟

through signals of varied nature coming from a transmitter to a receiver. In order to achieve

effective communication, the choice of a proper mean of transport for the signal has played (and

still plays) a fundamental role.

In ancient times, the most common way of

producing a signal would be through light (fires) and

sound (drums and horns). However, those kinds‟

communications were insecure and certainly left

room to improvement as they did not permit

message encryption or a fast transmission of

information on a large scale.

The true „jump‟ in terms of quality came with the advent of electricity. Electromagnetic energy,

in fact, is able to transport information in an extremely fast way (ideally to the speed of light), in

a way that previously had no equals in terms of costs reliability. Therefore, we may say that the

starting point of all modern telecommunications was the invention of the electric cell by

Alessandro Volta (1800).

It was shortly thereafter that the first experiments on more advanced communication system

begun from 1830s that electrical telecommunication system started to appear.

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Telecommunication is started at that time through

Telegraph and telephone

Radio and television

2.1.1. Telegraph and Telephone

2.1.1.1. Telegraph

A very early experiment in electrical telegraphy was an

'electrochemical' telegraph created by the German

physician and inventor Samuel Thomas in 1809 based on

an earlier, less robust design of 1804 by scientist

Francisco. Both their designs employed multiple wires

(up to 35) in order to visually represent almost all letters

and numerals. Thus, messages could be conveyed

electrically up to a few kilometers with each of the telegraph receiver's wires. An electrical

current was sequentially applied by the sender through the various wires representing each digit

of a message.

2.1.1.1. Telephone

The conventional telephone was invented by “Alexander

Graham Bell” in 1876, based on his earlier work with

harmonic (multi-signal) telegraphs. The first commercial

telephone services were set up in 1878 and 1879 on both sides

of the Atlantic in the cities of New Haven and London. Bell

held the master patent for the telephone that was needed for

such services in both countries. The technology grew quickly from this point, with inter-city

lines being built and telephone exchanges in every major city of the United States by the mid-

1880s.

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2.1.2. Radio and Television

2.1.2.1. Radio

In 1832, James Lindsay gave a classroom demonstration of wireless

telegraphy to his students. By 1854, he was able to demonstrate a

transmission across the Firth of Tay from Dundee to Woodhaven, a

distance of two miles (3 km), using water as the transmission

medium. Afterward this technology get advanced and radio invented.

2.1.2.2. Television

In December 1901, Guglielmo Marconi established wireless

communication between Britain and New foundland, earning him

the Nobel Prize in physics in 1909 (which he shared with Karl

Braun).

After that he worked with Scottish scientist Mr. Baird and 1925

they work on moving picture broadcast which were by most

accounts the first true television pictures. However for most of

the twentieth century televisions depended upon the cathode ray tube invented by Karl Braun.

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3. HISTORY OF CELLULAR COMPANIES IN PAKISTAN

3.1. Paktel

Paktel limited was the first mobile network provider company whom laid the

foundation of mobile industry in Pakistan. And after this new race of mobile

technology started in Pakistan.

During the past decade the company built a reputation for excellence with the widest coverage,

network quality, customer services and value-added facilities that have earned us the respect of

consumer‟s experts. But the general perception was that company introduced the mobile as a

status symbol and charged exorbitant rates during it early years. Paktel‟s progression towards

becoming a leading mobile service provider primarily comes from the early entry. The cellular

networks offer services in over 200 cities and towns across the country. Paktel offers the range of

cellular services with real utility; it has recently decided to shift from AMPS technology to the

GSM version. It advantages are wide coverage, value added facilities, and good customer

services.

3.2. Instaphone

Instaphone was a telecommunications company in Pakistan and the

pioneer of cellular industry in Pakistan. The company was initially

owned by Millicom International and was acquired later by the

Arfeen Group.

In January 2008, the Pakistan Telecommunication Authority (PTA) terminated the license of

Instaphone due to the company‟s failure to pay outstanding dues.

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

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3.2.1. Market Share

Before the company's license was canceled, it was ranked at the bottom in terms of market share.

Revenue, millions PKR

2003-04 3196

2004-05 2593

2005-06 1539

2006-07 472

3.2.2. Cancellation of License

On January 4, 2008, Pakistan Telecommunication Authority (PTA) terminated the license of

Instaphone due to the company‟s failure to pay outstanding dues for the license renewal fee they

agreed to in April 2005 ($291MM). Pakcom, the company that runs Instaphone, failed to meet

the payment schedule of $291 million for getting the operating license renewed for next 15 years

from 2005.

3.3. Mobilink

The Mobilink GSM started operation in the year 1994. The

Mobilink GSM is a subsidiary of Orascam telecom and market

leader in Pakistan. This was the first company that introduced the

GSM technology and cut down the rates. The company offers tariff

plans that are exclusively designed to cater to the communication

needs of a diverse group of clientele, taking into account occasional users to businessmen. To

achieve this objective, Mobilink offers both postpaid and the pre-paid (brand name JAZZ)

solution to our customers. The company also offers advanced voice communication services, and

a number of value added services to Subscribers. Mobilink since its start shown enormous

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growth. At the time when it entered the market it was a small player in the cellular market of

Pakistan it is now the market leader in terms of having the largest subscriber in Pakistan.

3.3.1. Mobilink DSL

Besides its cellular service recently Mobilink has also started its DSL/Wimax internet service in

26 major cities of Pakistan including

Lahore, Karachi, Rawalpindi, Islamabad, Faisalabad, Peshawar, Multan, Gujranwala, Gujrat, Jhe

lum, Sialkot, Hyderabad, Mardan, Rahim Yar Khan, Sahiwal, Wah, Sargodha, Sheikhupura,

Abbotabad, Quetta, Dera Ghazi Khan, Ghazi Kot, Bahawalpur, Sukkur, Nawabshah&Larkana.

3.3.2. Company Profile

Mobilink GSM

Pakistan Mobile Communications Ltd (PMCL)

Type Private Limited Company

Parent or

Subsidiary Subsidiary

Founded 1994

Headquarters 42 Kulsum Plaza, Blue Area

Islamabad, Pakistan

Key people President and CEO: Zouhair A Khaliq,

Products Indigo (postpaid) , JAZZ (prepaid),

MobilinkPCO

Parent Orascom Telecom Egypt

Slogan Reshaping lives

Website www.mobilinkgsm.com

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

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

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

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

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

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

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

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

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

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



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

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

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

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

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

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

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

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

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

http://en.wikipedia.org/wiki/Product_%28business%29

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

http://www.mobilinkgsm.com/

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3.4. Telenor

Telenor Pakistan is a Pakistani GSM cellular service provider, and is a

subsidiary of Telenor, Norway. Telenor acquired the license for providing

GSM services in Pakistan in April 2004, and has launched its services

commercially in Islamabad, Rawalpindi and Karachi on March 15, 2005.

Telenor has its corporate headquarters in Islamabad, with regional offices in

Karachi and Lahore. On January 28, 2006 Telenor established a call center in Lahore. The

official opening was held in Islamabad with the President of Pakistan General Pervez Musharraf

as the guest of honor and a Telenor delegation headed by CEO Telenor Jon Fredrik Baksaas. On

March 23, 2005 Telenor started its services in Lahore, Faisalabad and Hyderabad. Telenor will

be launching its services in other cities as per the roll out plan.


Telenor

Type Public Limited Company

Founded April 2004

Headquarters Islamabad

Key people CEO: Jon Fredrik Baksaas,

Chairman: ThorleifEnger

Industry Telecommunication

Products talk shawk, Djuice(Prepaid),

Persona(postpaid)

Slogan Here to help, bato bato mie

Website www.telenor.com

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

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



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

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

http://en.wikipedia.org/wiki/January_28

http://en.wikipedia.org/wiki/2006

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





http://www.telenor.com/

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3.5. Warid

Warid Telecom Uganda Ltd is fully owned by WARID Telecom

International a subsidiary of the Abu Dhabi Group, a large investment

group active both in the UAE, Pakistan and now numerous other

markets on the African continent including Uganda, Congo and Cote

de Ivoire (African area where people lived). The group has sizeable

investments in various sectors including:

Telecommunications

Hospitality Property development

Oil exploration and supplies

Banking and financial services

Automobile industries.

This group currently providing GSM cellular services in Pakistan and Bangladesh (to launch in

October 2006) with headquarters located at Abu Dhabi UAE.

Warid Telecom purchased a license of Telecom Operator in 2004 from Government of Pakistan

and launched the service covering 28 cities of Pakistan and increasing its coverage 110 cities

town highways. On the 10th of October 2006, it was reported on the media that the launch of

Warid Bangladesh had been delayed by at least six months.


Warid Telecom


Founded 2004

Headquarters

301-Dhabi Tower, Hamdan Street, Post

Box 44222, Abu Dhabi, United Arab

Emirates

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


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

http://en.wikipedia.org/wiki/10th

http://en.wikipedia.org/wiki/2006

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Key people

Chairman: Sheikh NahayanMabarak Al

Nahayan,

CEO Abu Dhabi Group &Warid

International: Mr. Bashir A. Tahir,

Products Zem(prepaid), Zahi(postpaid)

Slogan We Care

Website www.waridtel.com (Pakistan)

www.waridtel.com.bd (Bangladesh)

3.6. Ufone

Ufoneisa100% owned subsidiary of PTCL was established to

operate cellular GSM services. The company commenced its

operations, under the brand name of Ufone, from Islamabad on

January 29, 2001. After the privatization of PTCL, Ufone is now

owned by Etisalat.

During the year, as a consequence of PTCL‟s privatization, 26% of its shares were acquired by

Emirates Telecommunication Corporation (Etisalat). Being part of PTCL, the management of

Ufone has also been handed over to Etisalat. During the year July 2005 to June 2006, Ufone

continued on the path to success. The Company further expanded its coverage and has added

new cities and highways. Ufone has network coverage in more than 750 cities, towns and across

all major highways of the country.


Pakistan Telecommunication Mobile Ltd. (PTML),

Ufone


Parent or


http://www.waridtel.com/

http://www.waridtel.com.bd/

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Founded January 29, 2001

Headquarters Islamabad, Pakistan

13-B, F-7 Markaz

Area served 2336 cities of Pakistan, GT Road,

Super Highway & Motorway

Key people Abdul Aziz, CEO

Products Pre Pay, Post Pay

Parent PTCL Pakistan

Slogan It‟s all about U! (Tum He Tou Ho)

Website www.ufone.com

http://www.ufone.com/

http://en.wikipedia.org/wiki/Image:Flag_of_Pakistan.svg

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4. BACKGROUND OF THE ZONG

4.1. China Mobile Communications Corporation (CMCC)

China Mobile is the world's largest telecom operator. Having a customer base of over 300

million customers, its network routes 700 million text messages every day and handles 250

million calls every hour.

China Mobile is perhaps the only cellular network that provides uninterrupted, reliable coverage

through tunnels, on highways, inside sky scrapper elevators as well on top of Mount Everest.

China Mobile's first overseas subsidiary, China Mobile Pakistan has the license to offer and

operate voice, data and all value added services in the entire country. One of the fastest growing

cellular markets in the world, Pakistan is a key region that is likely to offer expansion

opportunities as well the chance to make a difference in the lives of a growing clientele that is

demanding, understands, and appreciates better quality and service standards.

4.2. China Mobile Pakistan (CM Pak)

China Mobile Pakistan (CMPak) is a 100% subsidiary of China Mobile. The pioneering overseas

set up of China Mobile came through acquisition of a license from Millicom to operate a GSM

network in Pakistan. So far, CMPak has invested more than US$ 700 million in the telecom

sector in Pakistan and an additional US$ 800 million will be invested till the end of year 2008.

With ambitious plans to cater to the fastest growing Pakistani market and to win over the ever-

demanding Pakistani customer, it will be offering unprecedented coverage, voice and data

services, as well as a wide range of tariff options to choose from.

CMPak's edge comes from the experience and expertise of running the world's largest telecom

service and the commitment they make to setting quality and customer relations standards.

CMPak is geared to offer neatly packaged VAS products that will benefit the individuals,

corporate as well as small businesses. Led by a team of professionals from the field of cellular

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communication, CMPak is determined to make its mark in the Pakistani market and to change

the way people communicate.

4.3. ZONG Pakistan

On January 22, 2007 stated that it would sell its 88.86 percent stake in Paktel Ltd. to China

Mobile for $284 million, which includes the repayment of intercompany debt and China mobile

company has invested $721 million in telecom sector in Pakistan during 2007 and it would

further invest $7 million in Pakistan this year. The sale implies an enterprise value for Paktel of

$460 million, Millicom said in its press release. Merrill Lynch advised China Mobile on the

transaction. On 4 May 2007, Paktel was renamed to CMPak.And then, on 16 May 2007, China

Mobile announced that it had upped its stake in CMPak to 100%.

ZONG is the first International brand of China Mobile being launched in Pakistan. It is meant to

empower and liberate the people of Pakistan in every nook and corner of the country. It will

become a part of their hearts, their minds and bring about a change in their lives that everyone

desired but few thought would be possible.

ZONG would offer its customers with entertaining & innovative value added services and will

empower them by giving a wide variety of products, services, & content to choose from.

We are privileged to be the pioneering country introducing this brand with others to follow. And

God willing, together we will make ZONG a success story for others to try and replicate.

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

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4.3.1. Vision Statement

“With perfect sincerity and integrity, we will strive to fulfill their

triple-sided responsibilities: their economic responsibility; their

social responsibility and their environmental responsibility

4.3.2. Mission Statement

“To be leasing mobile operator in Pakistan by continuously

innovating and offering exceptional quality and service , to be a

good corporate citizen and envy of friendship between China and

Pakistan.”

4.3.3. Core Value

Responsibility Makes Perfection Five Key Values.

4.3.3.1. Trust Worthiness

Trust worthiness to be promoted between employees and with customers. Building Trust and

Integrity must characterize in everything we do. We want everyone who comes in contact with

us to know that we do things the right way at CMPak. We work with honesty, integrity and

loyalty. We don't take short cuts.

4.3.3.2. Respect

Respect to be core part of the work environment .We treat each other with respect giving

individuals autonomy, privacy, due courtesy in day to day interaction with our customers,

suppliers, contractors, and of course each other. We tolerate and accept diversity.

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4.3.3.3. Responsibility

Responsibility sharing and being aware of the responsibility with in the work place and outside

of it.CMPak is a much larger company today than we were. With this increased size comes the

challenge of operating in a timely fashion. We must avoid bureaucratic delays in the pursuit of

excellence. We must be agile enough to act faster than our competitors.

4.3.3.4. Communicate Openly

We want good news to travel fast and bad news to travel even faster up the line. We need to be

mindful of the importance of honestly communicating problems as well as breakthroughs. The

sooner we communicate a problem, the easier it is for us to marshal our company's resources to

solve it. We must communicate with each other at all levels fostering harmony and a culture of

openness.

4.3.3.5. Team Work

Team works culture within the organization. CM Pak‟s power comes from the talented people

who make up our company. By cooperating and sharing our knowledge with each other

seamlessly across organizations, we can make our company even stronger

4.3.4. Goals and Objectives

Mobile communication is now a utility. You need your mobile phone. ZONG team seeks to meet

consumers all communication needs by providing the best technology at an affordable price.

It would be their prime objective to be rated as the best cellular service provider in Pakistan by

expanding their service area to every corner of the country which is to be backed by excellent

after-sales service. ZONG a fresh dynamic and customized brand befitting your lifestyle in order

that you feel it as part of your life. A brand that you can always count on, sincerely, that

understands your needs (ZONG Z20 package in which 20 seconds billing), wishes and desires

and helps you get connected with your loved ones anywhere, anytime (ZONG to ZONG free city

23

package). So speak your heart out and be good to your expression as ZONG is all set to

mesmerize you with the ever-entertaining

As a major step towards achieving their goal of expanding their services rapidly. They have

decided to award the expansion contract to different vendors in Pakistan. These high ambitions

would certainly lead us to become a major force in the development of telecom industry in

Pakistan.

We know that their partners Alcatel-Lucent Technologies, Ericsson Pakistan Limited, Huawei

Technologies Pakistan and ZTE Pakistan are very well-known globally for their technical

expertise and professionalism. The professionals representing their Partners will help CMPak

achieve its goals in the shortest possible time. ZONG have completed acquisition of 100% shares

of ZONG. US $ 723 million worth of FDI has already been made in the country and on top of

that They‟ll be investing millions of dollars in the future Let me reiterate their resolve and

uncompromising commitment that China Mobile is here to stay which is why They are planning

to continuously invest to improve their network coverage and quality. China Mobile has the

resources and technical expertise to become one of the largest operators of the country.

4.3.5. Company Information

China Mobiles Pakistan (CM Pak)

ZONG


Parent or


Founded May 16, 2007

Founder China Mobiles Pakistan (CM Pak)

Headquarters 7 Mauve Area, Islamabad, Pakistan

Investment US $1500 million

Cell sites 6300

24

Industry Telecommunication, Wireless

Communication

Products Communication (Mobiles and SIM

and USB)

Telephone +92-51-111222111

Fax +92-51-111031031

Slogan ZONG Sab Keh Do

Website www.zong.com.pk

4.3.6. Management Line of ZONG

MANAGEMENT LINE OF ZONG

Management Line Name Location From

CEO Qin Lee Islambad China

CTO XuHaiyong Islambad China

CFO XinJee Islambad China

COO ZafarUsmani Islambad Pakistan

CHRO WaiGiang Fu Islambad China

Director Operations SyrusSikander Islambad Pakistan

Director Finances Amir Mahmood Islambad Pakistan

Director Sales MannanShabbir Islambad Pakistan

http://www.zong.com.pk/

25

4.3.7. Organizational Chart

CEO

COO

MARKTINGCALL

CENTER

CSCSALES

AND DISTRIBUTION

CFODIRECTOR FINANCE

PROCUREMENT

CITO

IT OPERATIONS

IT PROJECT

CHRO

26

4.3.8. Customer Center Chart

CSC Manager

BDO TSOs

CSR Zong Mobile

CSR Prepaid VAS

CSR Prepaid Connection

CSR Postpaid

Account Officer

27

5. PRODUCTS AND SERVICES

5.1. ZONG Postpaid

Exciting news for ZONG‟s postpaid customers, ZONG has introduced some new postpaid

packages and may be the most feature rich in market. Now, ZONG‟s postpaid packages comes

with the free minutes on-net and off-net, and also unlimited SMS, 15 MB of free GPRS quota

and many more. Packages are given below:

Line Rent (Rs) 100 300 600 1200 2000

On-Net Calls Airtime Rs./min 0.5 0.45 0.375 0.3 0.1

Off-Net Calls Airtime Rs./min 0.5 0.45 0.375 0.3 0.2

FNF Rs./min 0.4 0.3 0.2 N/A N/A

Free SMS (On & Off-Net) N/A N/A N/A Free Free

SMS Rate Rs./sms 1 1 1 1 1

GPRS(MB) 15 15 15 15 15

Free SMS 90 90 90 90 90

Free Minutes 100 300 600 1,200 6,800

On-Net 60 180 360 720 6,000

Off-Net-PTCL 20 60 120 240 400

Off-Net-Other Mobile Operator 20 60 120 240 400

Refundable Security Deposit 600 1,000 1,500 2,500 4,000

If customer comes to purchase postpaid SIM than he can avail packages which are given above.

On postpaid SIM there is no default package customer will select any of the above packages

according to his need and deposit line rent according to the package and package will be

changed.

28

5.2. ZONG Prepaid

Following packages can be applied of the prepaid SIM

5.2.1. ZONG Default Package

ZONG default package have some following features

Network Price

Call Rate (All networks) 80 paisa/30 second

SMS (All networks) 80 paisa

MMS (All networks) Rs. 3.00 upto 300KB

GPRS Rs. 15/MB

Unlimited GPRS Rs. 400/month

Unlimited SMS Rs. 3.99/day

Happy Hour Rs. 4.99 per hour

Friends and Family 5 Numbers

ZONG Friends and Family rate 50 Paisas

5.2.2. ZONG 45 Package

ZONG 45package have some following features

Charging Unit 20 Seconds

Voice: All networks in Pakistan 45 paisa/20 seconds

SMS: All networks in Pakistan Rs. 1/SMS

MMS: All networks in Pakistan Rs. 3/MMS upto 300KB

GPRS Rs. 15/MB


Friends and Family Not Applicable

Special offers (e.g. Happy Hour, 8 Aanay,

LNO, BTO, Super Free, Unlimited Free)

Not Applicable

Switching for package Send “sub” to 931 or by dialing 931

29

5.2.3. ZONG 65 Package

ZONG 65 package have some following features

Charging Unit 30 Seconds

Voice: All networks in Pakistan 65 paisa/30 seconds

SMS: All networks in Pakistan Rs. 1/SMS

MMS: All networks in Pakistan Rs. 3/MMS upto 300KB

GPRS Rs. 15/MB


Friends and Family Not Applicable

Special offers (e.g. Happy Hour, 8 Aanay,

LNO, BTO, Super Free, Unlimited Free)

Not Applicable

Switching for package Send “sub” to 910 or by dialing 910

5.2.4. ZONG 12 Aanay Package

ZONG 12 aanay package have some following features

Network Price

ZONG to ZONG 75 paisas/30 second

ZONG to any other number 75 paisas/30 second

SMS to any other network 75 Paisas / sms

Happy Hour Rs. 4.99 per hour

ZONG Friends and Family numbers 5 Numbers

ZONG Friends and Family rate 50 Paisas

8 Aanay Offer 50 Paisas

MMS Rs. 3/300KB

Mobile Internet Rs. 15/MB

Switching for package Dial 907

30

5.2.5. ZONG Free Package

Features of ZONG free Package are as follows

Network Price

ZONG to ZONG Rs. 2.00/minute

ZONG to any other network Rs. 2.00/minute

SMS to any network Rs. 0.20

ZONG Friends and Family numbers 10 numbers

Late Night Offer (Midnight to 7:00 am) Rs. 3.99 per hour

- Break Time Offer (Noon to 2:00 pm) Rs. 3.99 per hour

- Break time offer Fridays Only(Noon to 4:00 pm). Rs. 3.99 per hour

ZONG Friends and Family rate Re. 1.00/minute

MMS Rs. 3/300KB

Mobile Internet Rs. 10/MB

Super free number Free for 24 hour a day

Switching for package Dial 900

5.2.6. ZONG Aik Second Package

Features of ZONG Aik Second Package are given below

Make call for just 4 paisas per second!

All Networks. All Numbers. All Time!

Call 5 Friends and Family numbers for just 2 paisas per second.

For subscription dial 900.

31

5.3. Other Offers and Services by ZONG

ZONG has always provided its customer with the best offers and services some of them are

given below

5.3.1. Break Time Offer (BTO)

ZONG offers Break time offer now call on any ZONG number at Rs.3.99 from noon to 2 pm,

and on Friday from noon to 4 pm. This offer is on ZONG free package.To subscribe dial 900.

5.3.2. Late Night Offer (LNO)

ZONG offers late night offer now add call from mid night to 7 am @ Rs. 3.99 per hour. This

offer is on ZONG free package. To subscribe dial 900.

5.3.3. Location Based Charging (LBC)

ZONG has always provided its customer with the best offers and services and in continuing of

efforts ZONG now brings LBC. LBC is in more than 40 cities through which the customer can

enjoy free ZONG to ZONG calls @ only Rs. 7+tax per day.

5.3.4. Friends and Family (FnF)

ZONG brings special rates for your friends and family members add FNF numbers in almost all

prepaid and postpaid packages.

In ZONG postpaid packages FnF rates applied of line rent 100, 300, and 600 call rates are

0.4, 0.3, and 0.2 rupees per minute only respectively.

And on prepaid FnF rates applied on ZONG Default Package and ZONG 12 Aanay

Package5 FnF numbers 50 paisas per 30 seconds and and on ZONG Free Package 10 FnF

@ 1 Rs per minute, and in ZONG Aik Second Package call on 5 Friends and Family

numbers for just 2 paisas per second.

32

5.3.5. Happy Hour

ZONG brigs happy hour talk for an entire hour of your liking-any hour, for only Rs. 4.99 and for

first time in Pakistan you can change the hour every day.

Happy hour needs to be activated by the subscriber; every action/modification will be

charged at Rs5.

Friends and family rate apply for 24 hours, for those customers who have subscribed for

happy hour,

Friends and Family rates will not be applicable during that hour

Happy hour can be modified once every day.

5.3.6. Super Free Number

ZONG offers the ZONG super free number for that special someone deserves something special.

Now call on your one special number 24 hours - for free!

You can change the one super free number at the end of your subscription

Already entered FnF numbers can be added as Super free number only after 30 days of

selection i.e. after 30 days of adding the FnF number

Dial 908 for package conversion & special number selection / modification

You can also subscribe through SMS by sending sub <space> free <space> <mobile

number> to 908

5.3.7. Conference Call

Now five members can talk to each other at one time ZONG brings to you conference call

service. Now activated on all prepaid and postpaid numbers.

33

5.3.8. SMS packages

ZONG‟S SMS packages are as follows

Packages SMS Days Limit Price

Daily SMS bundle 500 SMS & 100 MMS per day 1 day 3.99+tax

Weekly SMS bundle 1000 SMS 7 days 10 + tax

Fortnightly SMS bundle 500 SMS per day 15 days 50 + tax

Monthly SMS bundle 500 SMS per day 30 days 80 + tax

Just SMS <sub> to 700. You would receive an SMS asking you to choose from the

following bundles

Send a reply with 1 for daily, 2 for weekly, 3 for fortnightly, 4 for monthly.

To unsubscribe, SMS <unsubscribe> to 700

5.3.9. GPRS Packages

GPRS (General Packet Radio Services) packages detail is given below

ZONG Monthly Package

Prepaid Offer

Monthly Unlimited Rs. 200*

4 GB Bundle Rs. 400

Truly Unlimited Rs. 999

Postpaid Offer

Truly Unlimited Rs. 400

ZONG Free @ Rs. 10/M

ZONG Time Based Packages

Hourly package Rs. 0.25 per minute

For Activation Dial 905

*Monthly unlimited package provide downloading up to 2 GB.

34

5.3.10. ZONG E-Care

No need to walk into a Customer Support Center or make a call to get such modifications done.

Our customers now have this facility in the comfort of their homes and offices. Through Prepaid

E-Care, customers can enjoy the following features online:

Web Portal Activation / Subscription for:

Call packages change facility

SMS bundle information

Block unwanted call and SMS

GPRS activation and packages change

FnF numbers check & change facility

BYN (Book Your Number)

5.3.11. Missed Call Alert

No is miss call now, ZONG brings miss cal alerts for its customer. A message will be sent to you

that this number called you if your phone is:

Busy

Not answered

Out of reached

Not responding

5.3.12. ZONG Family Pack

35

Now with ZONG Family Pack, subscribers can call to their three family numbers without being

worrying about the time limit or additional charges. Though, free calls are not for all ZONG

numbers but to a group of three, that could be your family or friends. Bill will be paid by only one

member who active this package.

For activation dial 930

Monthly charges PKR 799+tax

5.3.13. Student Entrepreneur Program (SEP)

For the first time in Pakistan ZONG has established a concrete earning opportunity for students.

If you are currently enrolled in a university program and you want to earn a decent pocket money

then ZONG has an amazing solution for you. Just get yourself registered as SEP in any CSC of

ZONG anywhere in Pakistan. And avail that chance to get sales experience and also enjoy profit

as well.

36

5.4. ZONG Mobile

5.4.1. Android Handset

ZONG brings to you the new Android handset based on the latest V 2.2 - Froyo Android

operating system and that too at an unbelievable price.The Android phone is packed with

numerous features that will revolutionize the handset market. You can know your exact

Location, find Places to eat or shop or find an ATM near you with a single Touch on the screen.

Handset along with the ZONG SIM for Rs. 10,999.

Discount of Rs. 150 can be got by the customer if he has ZONG SIM with him

Rs 450 of balance divided over 3 moths (Rs 150/month)

8MB free GPRS per month for 6 month

5.4.1.1. Features of Android Handset

CPU – 528 MHz QUALCOMM processor

3.2 MP camera

Bluetooth & Wi-Fi

EDGE supported

USB

Accelerometer

Proximity sensor

email support

Micro SD card support (Micro SD card not included)

37

5.4.2. ZONG Handset N281

ZONG is all set to shake the telecom industry with its startling new Touch Screen phone being

offered at an unbelievable price. Along with this splendid Touchscreen handset and high-quality

camera you will also get an incredible bundle deal of free GPRS and balance to make calls and

SMS to any network in Pakistan.



Rs 300 of balance divided over 3 months (Rs 100/month)

6MB free GPRS per month for 3 months

5.4.2.1. Features of Handset N281

Touch Screen

2 MP Camera

EDGE Support

FM Radio

20MB Internal Memory

Micro SD card Supported

8 Pre-Loaded Bookmarks (which include Facebook, Gmail, Google, CricInfo, ZONG,

Wikipedia, Yahoo)

ZONG Music Hot Key for one touch access to ZONG Music website

38

5.4.3. ZONG Handset R231

The R-231's sleek and stylish design along with its music related functions. The handset is

packed with numerous features and a remarkable bundle offer of free calls and SMS to any

network in Pakistan.


Discount of Rs. 150 can be got by the customer, if he has ZONG SIM with him

Rs 225 of balance divided over 3 months (Rs 75/month) balance is valid for on-net call.

Off-net calls and SMS


5.4.3.1. Features of Handset R231

2 MP Camera

EDGE Support

FM Radio

34MB Internal Memory

Micro SD card Supported

39

5.4.4. ZONG Handset R221

The stylish R-221 is an amazing handset packed with a camera, FM Radio, Torch and GPRS. Its

classy look and features will definitely attract you.


Discount of Rs. 150 can be got by the customer, if he has ZONG SIM with him

Rs 150 of balance divided over 3 months (Rs 50/month) balance is valid for on-net call.

Off-net calls and SMS


5.4.4.1. Features of Handset R221

0.3 MP Camera

GPRS

FM Radio

Torch

40

5.4.5. ZONG Handset G2201

Following the immense success of our previous affordable handset offers, ZONG is back with

another handset deal with the latest affordable handset offer that is bound to catch your interest

and attention. The stylish and affordable G 2201 handset coupled with an amazing bundle offer

from ZONG.



1000 minutes (on-net)

1000 SMS (on-net)

2MB free GPRS

Validity of free resources: 15 days

5.4.5.1. Features of Handset G2201

FM Radio

GPRS Supported

Torch

41

5.4.6. ZONG HandsetZ100

The new stylish handset comes with 1000 free minutes and 1000 free SMS but that's not all,

among a number of features ZONG is now offering the handset in two different colors to provide

the valued customers with the choice as per their preference.


1000 minutes (on-net)

1000 SMS (any network)

Validity of free resources: 15 days

5.4.6.1. Features of Handset Z100

Slim and smart

Torch

FM Radio with loudspeaker

Color Display

300 Phonebook entries

100 SMS storage

42

5.5. ZONG’sUSB

ZONG has finally launched its high-speed wireless Broadband services in major cities of

Pakistan. This service will be available with a USB Stick which is supported by a built in SIM

with EDGE/GPRS activated.After you have bought the SIM simply you have to plugin in the

USB in USB port, and you will be asked to set up some basic instructions and voila you can

access the internet on the go.

Price Rs. 8,000/-

Unlimited GPRS package Rs. 400/month + tax

5.5.1. SMS Charges

Domestic - Rs. 0.5/SMS +tax

International - Rs. 5/SMS +tax

Each month the users will have to recharge the SIM account to continue

using uninterrupted services @ Rs. 400+tax

5.5.2. Available at CSCs of the following cities

Faisalabad

Lahore

Hyderabad

Multan

Gujranwala

Peshawar

Karachi

Islamabad

Rawalpindi

43

6. DEPARETMENTS

6.1. Human Resource Department (HRD)

ZONG Pakistan has a skilled human resource planning department. As we know that each

human resource department in any organization play key role and operate like an eye of an

organization, like wise in ZONG Pakistan they are performing their functions and fulfilling their

requirement of the organization by matching the organizational needs with the employee‟s skill,

knowledge and ability whether these needs are identified or being demanded by any department

of the ZONG Pakistan. Human resource planning in the ZONG is basically performing different

kind of functions which are as follows,

1. Whether there is need for recruitment in the organization.

2. If there is demand from any department, they (HR department) identify the need of the

department.

3. Placement of their employees.

4. Work for employee‟s motivation.

5. Check on employee‟s performance etc.

ZONG is newly born baby in Pakistan market, they have had strong competitors in their fields,

and they entered in the market of telecom where already the price war (price competition) had

been initiated among pioneer companies of Pakistan, including UFONE, MOBILINK,

TELENOR and WARID.

6.2. Administration Department


“To anticipate the needs of all departments and their employees, to

address their demands for creating better safe and secure friendly

working environment, to accept challenges, achieving goals and

ultimately to be the No. 1 admin operation within CMCC(china

mobile communication corporation).”

44

6.2.2. Functions of Administration Department

Provision of offices for all staff.

Provision of all office equipment for use by staff e.g. Computers.

Ensuring a clean and secure office environment.

Ensuring availability of adequate lighting, water, telecommunication, email, fax, etc.

Providing, where possible, designated parking for vehicles.

Ensuring availability of stationery.

Ensuring availability of adequate photocopying services/facilities.

Setting of internal operating rules.

6.3. Finance Department


“The improvement in net earnings resulting from strong internal

sales growth both postpaid, prepaid segments.”

6.3.2. Functions of Finance Department

Payable

Pay Commission.

Audit and Accounts.

Cash Management

Financial Accounting

Taxation

Fixed Assets

Sun System (Accounting Software) Administration

45

6.4. Marketing Department


“ZONG marketing department will become the best marketing

department of the industry in terms of adding values to their brand

name, improving the image of the organization, increase in sales,

with quality of people and team spirit to lead toward the goals.”

6.5. Sales and Distribution Department


“To maximize the number of revenue generating subscribers by

efficiently planning and executing policies and operations related

to product visibility and availability.”

6.6.2. Distribution

ZONG purchases equipment from four companies ZTE, Ericsson, Alcatel and Hawaii, these are

the venders and operator of ZONG distributors and franchises, CCSC (customer care service

centers) and different outlets, ZONG has CCSC and 100,000 different outlets in Pakistan.

46

7. ANALYSIS

7.1. SWOT Analysis

SWOT Analysis is to evaluate the business in the market and a strategic planning tool used to

evaluate the Threats, Opportunities and Strengths, Weaknesses, involved in a project or in a

business venture or in any other situation requiring a decision. This is an important tool which is

helpful to formulate strategy. This Matrix is an important matching tool that helps managers

develops four types of strategies:

SO Strategies (Strength-Opportunities)

WO Strategies (Weakness-Opportunities)

ST Strategies (Strength-Threats) and

WT Strategies (Weakness-Threats)

SWOT is defined precisely as follows:

Strengths are attributes of the organization that are helpful to the achievement of the

objective.

47

Weaknesses are attributes of the organization that are harmful to the achievement of the

objective.

Opportunities are external conditions that are helpful to the achievement of the

objective.

Threats are external conditions that are harmful to the achievement of the objective.

7.2.1. Steps for developing strategies:

There are eight steps involved in constructing a TOWS Matrix:

1. Analyze the external opportunities

2. Identify the external threats

3. Identify the internal strength

4. Identify the internal weaknesses.

5. Match internal strengths with external opportunities and mention the result in the SO

Strategies.

6. Match internal weaknesses with external opportunities and mention the result in the WO

Strategies.

7. Match internal strengths with external threats and mention the result in the ST Strategies.

8. Match internal weaknesses with external threats and mention the result in the WT

strategies.

7.2.2. Strength -- S

S.1. Resources

Being multinational company ZONG huge resources in terms of capital. It has

billions of capital to invest in various projects. Its offices are luxuriously equipped

with every facility.

ZONG while choosing people for jobs follow the strategy of choosing the best among

all therefore majority of its staff people are highly qualified from renowned

universities of Pakistan. Certain people are foreign qualified.

So far CM Pak has invested more than US$ 700 million in the telecom sector in

Pakistan and an additional US$ 800 million invested at the end of 2008.

48

6.9 6.9 6.7 7.5 8.5 8.9

18.8 16.3 16.9 17.2 17.5 17.6

22.5 23.3 23.8 23.8 24.7 25.1

18.5 18.8 19.5 20.2 20.3 20.4

30.8 31.5 32.2 31.4 31.8 32.1

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Dec-09 Mar-10 Jun-10 Sep-10 Dec-10 Jan-11

Mobilink

Ufone

Telenor

Warid

Zong

S.2. Increasing MNP Trend

Over 500,000 people have been switched to ZONG from other networks

S.3. High Growth Rate

Above table shows clearly about the growth rate of ZONG from December 2009 to January

2011. Almost in one year the market share is grew up by 2%. That is why it is also counted in

strength of ZONG.

S.4. ZONG Mobile

ZONG also offer mobile phones with very low prices and the SIM having balance of one year

(given every month). This is also very effective promotion for ZONG.

49

S.5. Strong Image of Parent Company (CM Pak)

ZONG have a strong image of their parent company china mobile Pakistan CM Pak. That is

plus point for ZONG.

S.6. Lowest rate nation wide

ZONG provide lowest rates as compare to other telecom industry it‟s a great thing which is

only provided by ZONG.

S.7. Cell sites coverages

ZONG is also covering the all cities of Pakistan and in 2008 ZONG completed its

record sites 1000 in Pakistan its great achievement.

ZONG is covering the northern areas of Pakistan rapidly.

7.2.3. Weaknesses -- W

W.1. Bad Image of Paktel

Bad image of associate with Paktel. And still now having old staff of paktel.

W.2. Low Market Share

Till now ZONG have low market share 8.9% in January 2011. But the market share of

ZONG increasing rapidly from December 2009 to January 2011. Almost in one year the

market share is grew up by 2%.

W.3. Weak MIS

ZONG does not have the proper lists of its customers. It has the list but this list is not

authentic which is increasing the unauthorized use of its SIM specially pre pay. Owner of

50

SEP issued sometimes unlisted numbers due to personal interest. So that is the weakness of

ZONG.

W.4. Old Staff

ZONG has till now old staff of Paktel which is not very much efficient in this era to

technology. But now ZONG try to overcome this weakness by retiring the old employees

with golden hand shake to those employees.

7.2.4. Opportunities -- O

O.1. Globalization

ZONG can expand the globally and can develop it strategy in other countries.

O.2. Acquiring / Merger

As Warid is going in loss and in the decreasing its market shares in telecom market in

Pakistan its big opportunity for ZONG to acquire Warid telecom.

O.3. Covering Pak China Border

ZONG can cover the border of China, with the Karakoram highway (old Silk Route) and can

play a vital role in freight transportation.

O.4. Covering Northern Areas

China mobiles have huge experience of network operation in similar high mountainous areas

in china itself. So it is opportunity for ZONG (CM Pak) to cover the northern areas of

Pakistan and get good image in the eyes of current users and potential users.

51

O.5. New Product

As above mentioned China mobiles have large experience of network so ZONG can

introduce new products such as dish TV. Because ZONG have good wireless technology e.g.

ZTE, Ericsson, Alcatel and Hawaii etc. So it is easy for ZONG to introduce dish TV.

7.2.5. Threats – T

T.1. Old Stable Companies

1st threat for ZONG is old stable companies in Pakistan these have good brand image in the

eyes of customers.

The Mobilink GSM started operation in the year 1994

Ufone starts its GSM operation in Pakistan on January 29, 2001

Telenor acquired the license for providing GSM services in Pakistan in April 2004

Warid starts GSM cellular services in Pakistan and Bangladesh in October 2006

But ZONG started telecommunication business in Pakistan On January 22, 2007

T.2. Attractive Packages By Competitors

Another threat for ZONG is the attractive packages offered by the competitors but the best

example is Ufone there are so many packages offered by Ufone.

T.3. Price War

In Pakistan there is 5 cellular companies so that is why bargaining power of buyers is very

much high, so there is price war is also threat for new entrant ZONG.

T.4. Economic and Political Condition of Pakistan

Economic and political condition of Pakistan is very bad so this is also threat for the

companies. Increase in taxes is also threat for the companies.


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


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

52

7.2.6. Strategies That ZONG Can Follow By SWOT Analysis

7.2.6.1. SO-Strategies

Matching theS.1. and O.4. ZONG can expand their business.

From S.1.and O.3. they can use the strategy of acquisition.

7.2.6.2. ST-Strategies

Matching the S.1. and T.3. ZONG can use the strategy of cost leadership.

Matching the S.1. and T.2. ZONG can use the strategy of penetration.

7.2.6.3. WO-Strategies

Matching the W.3. and O.2. ZONG can use the strategy of acquisition.

7.2.6.4. WT-Strategies

Matching the W.3. and T.2. ZONG can use the strategy of downsizing.

53

7.3. PEST Analysis

In order to survive and remain profitable in today‟s competitive marketplace, ZONG need to be

able to react and adapt to changes in the external environment and ideally be proactive in

impacting these forces. External environment factors can be classified into five general

categories: competitive, social/cultural, legal, economic, political, and technological.

7.3.1. Political Factors

7.3.1.1. Political Instability

Pakistan is facing political instability causing danger for the telecom industry. But the political

factor does not effect on ZONG so high because ZONG related from china and relationship of

china and Pakistan is very strong.

7.3.1.2. Deregulation

The telecom sector of Pakistan has successfully liberalized in an efficient, transparent and fastest

deregulation of telecom in the region. The Government of Pakistan gave the status of Industry to

Pakistan Telecommunication Sector.

54

7.3.1.3. Changes in Tax Laws

Tax rates have been increased day by day government tax rate of call is 15% and recently

government increased it by 6 % more.

7.3.2. Economic Factors:

7.3.2.1. Gross Domestic Product

Telecom sector of Pakistan has a share of almost 2 percent in National GDP.

7.3.2.2. Average Revenue per User (ARPU)

The average revenue per user is falling. It does not affect value able on ZONG. Because ZONG

started in same condition.

7.3.2.3. Decline in Money Value:

The decline in Rupee value against the US Dollar, the decrease in the interconnect charges and

lower priced tariffs have resulted in an overall decrease of ARPU in US Dollar terms.

7.3.2.4. Outflow of Capital:

The ongoing economic turmoil along with the worsening of security conditions in Pakistan has

caused an increased outflow of capital from the country.

7.3.3. Social factors:

7.3.3.1. Strategies according to the need of people:

While making the marketing strategies company consider the many factors like cultural and

social. The study of culture helps to understand the consumer behavior and in turn assists firms

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to improve their marketing strategies. ZONG has done wonderful job in this perspective. Before

entering into market it has done extensive research on the behaviors of the consumers.

7.3.4. Technological Factors:

7.3.3.1. Technological Development:

Companies are investing in their infrastructure to not only expand but also to upgrade their

existing structure. As the competition is strong ZONG is focusing on its value added services

7.3.3.2. Technological Advancement:

Currently all companies are providing Multi-media Messaging Services (MMS), General Packet

Radio Service (GPRS), Virtual Private Network (VPN), Pocket Stocks, Conference Calling,

Wallpapers Animated pictures Polyphonic ring tones (WAP), and Voice Mail at low price.

7.3.3.3. Technological Trends

The well-recognized technology trends that are influencing the evolution of the network indicate

that:

The cost of a call is becoming even more insensitive to the distance;

The modularity of the network is increasing;

The switching off from one network to another is very easy;

The geographic boundaries are irrelevant for emerging technology;

The intelligence and function are moving away from the central office.

In these conditions competition is very strong among competitors. ZONG is improving itself in

technology.

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7.4. Number of Subscribers and Market Shares

7.6.1. Number of Subscribrs

Mobilink Ufone Zong Telenor Warid Total

Dec-09 32,202,548 19,549,100 6,704,288 23,798,221 16,931,687 99,185,844

Jul-10 32,264,625 20,087,449 7,018,055 23,786,402 17,039,238 100,195,769

Aug-10 31,777,445 20,182,449 7,249,813 23,743,680 17,085,379 100,038,766

Sep-10 31,444,099 20,236,451 7,453,034 23,836,209 17,164,955 100,134,748

Oct-10 31,453,954 20,187,309 7,785,713 24,121,009 17,167,065 100,715,049

Nov-10 31,544,480 20,192,949 8,028,087 24,401,083 17,474,523 101,641,122

Dec-10 31,794,292 20,275,002 8,497,799 24,692,818 17,517,476 102,777,387

Jan-11 32,106,671 20,374,352 8,881,402 25,056,416 17,587,927 104,006,768

7.6.2. Market Share

6.9 6.9 6.7 7.5 8.5 8.9

18.8 16.3 16.9 17.2 17.5 17.6

22.5 23.3 23.8 23.8 24.7 25.1

18.5 18.8 19.5 20.2 20.3 20.4

30.8 31.5 32.2 31.4 31.8 32.1

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Dec-09 Mar-10 Jun-10 Sep-10 Dec-10 Jan-11

Mobilink

Ufone

Telenor

Warid

Zong

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8. WHAT I DID IN MY INTERNSHIP

8.1. Check Territory Sales Officer’s (TSO) activity in Market

This is also including in my working that I check the activity of the Territory Sales Officer‟s

(TSO)in the market. My focus is on the salesman that either they come in the market on the

regularly basis or not. I also consider that how the salesman behaves with the shopkeeper and

compare the our TSO‟s behavior with our competitors in the words of shopkeeper.

8.2. Check Stock Availability in Market

When I visit the market, then it is must for me that I ensure the ZONG‟s stock available in the

market or not. Stock related to:

SIM cards

Easy load

And the ZONG cards

8.3. Brand Promotion

During my working in the market I also focus and consider the product display and brand

display. During this activity I also focus on the display of the brands that all brands are available

as well as properly display on the proper place.

8.4. Shopkeeper Claims

I go in every shop and asked from the shopkeeper that they have any complaint about the TSO,

about

Behavior of TSO is good or not

Is TSO visit market regularly or not

Either TSO provide the stock (SIM cards, ZONG Cards, Easy Load) on time or not.

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8.5. Say Welcome to The Customers in The Office

In this process there is a machine that provides receipt about customer‟s arrival purpose there are

four different options on the machine that provide printed receipt to the customer

Postpaid information

Prepaid SIM activation/ change SIM packages/ SMS packages etc.

SIM blocking and SIM duplication

Others.

And provided receipt has a serial number on it, there is the screen that displayed the serial

number of receipt and that particular customer go that counter and ask about his/her problem.

And there is LCD TV available that entertained the customers.

8.6. Postpaid Billing Process and Term & Conditions about Postpaid Connection

There are some terms and conditions about billing procedure and collecting the bill, I have learnt

there how to collect bill and warning procedure and SIM blocking threats also to the customers

etc.

Terms and condition are as follows & Outgoing activity block

On reaching 90% of their credit limit, ZONG (CM Pak) will always notify its postpaid

users via SMS about their billing status.

On reaching 100% of the defined credit limit, the outgoing activity of our postpaid

customer gets blocked but incoming remains active for another 90 days. Line rent will

not be charged during this period.

On completion of another 90 days after outgoing is blocked, incoming will also get

blocked and thus the account will be completely blocked.

8.7. ZONG Number Booking Procedure and Number Activation Procedure

First book that number again go to telesales and choose NUMBER BOOKING menu than:

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Enter the number which is checked

Now message will come

Number <31xxxxxxxx> booking OK. Please use HLR <x> SIM for activation.

Once the desired numbers is booked then go back to telesales menu and choose NUMBER

ACTIVATION and enter:

MSISDN (that number which was booked earlier)

ICCID (serial number of the SIM)

Name (customer name)

Address (customer address)

On successful procedure the successful message will come.

8.8. SIM Replacement Process

Customer walks in to replace his/her SIM following are the required steps to follow:

CSR will verify the customer as per verification parameters.

CSR will inform the customer about SIM replacement charges (if any).

CSR will fill CSAF and get it signed by the customer and attaches a copy of CNIC.

CSR will process the SIM replacement in their system.

CSR will hand over the customer copy and finance copy to customer and guide customer

to cash counter.

Cashier will get CSAF copies and payment from customer.

Cashier will record transition in system.

Cashier will hand over SIM and payment receipt to customer.

CSR will CSAF to data warehouse for filling.

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8.9. Prepaid Sale Process

For the sale of prepaid connection following are the required steps:

CSR receive the customer request and required documents for prepaid connection and

verify customer as per the verification parameter.

CSR will ask the customer to provide CNIC.

CSR will fill CSAF and get signed by the customer.

CSR will hand over Customer & finance copy to customer and guide him/her to cash

counter.

Cashier will mark the cash paid stamp and sign the customer copy and hand over SIM

card and customer copy to customer.

8.10. Handset Sale Process

Customer walks in for the purchase of handset following are the required steps to follow:

CSR will guide customer about bundle deal of handset.

If customer agrees, CSR will ask customer to select the ZONG number form stock.

CSR will ask customer to fill CSAF.

CSR will guide the customer to finance counter for payment and handset collection.

Finance officer will perform the functions of system.

Finance officer will associate ZONG number with IMEI of hand set in system.

Finance officer will record transaction in system.

Finance officer will ask the customer to open the packing of handset to check if

accessories (handset + charger + warranty card) are complete.

Finance officer will take warranty card from customer and after signing and stamp, he

will hand over the warranty card and handset and customer copy to customer.

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9. APPLICATION OF CLASSROOM LEARNING IN ORGANIZATION

As I am a student of Masters in Business Administration, so in this we learn all about business,

How business is run? How policies are made? How management make decisions? Etc. regarding

above questions we study many subjects like principals of management, marketing, managerial

finance, human resource management, organizational behavioral, operations management and

many more, so everything we learn in our class has somehow practical implication in my

organization. But ZONG is telecommunication company mostly work is based on marketing,

management and organizational behavior in customer service center, so I practically get

exposure about management and marketing and organizational behavior that how practically

these are implemented in organizations.

9.1. Management Concepts

The concepts of management which we study in our subject principles of management are

implemented in my organization, how they follow the management concepts is given below:

The four management functions that are: Planning, organizing, controlling and leading

were followed in the ZONG. Planning and organizing is done by top level managers

whereas leading and controlling is done by middle level managers.

There were basically cultural dimensions that are actually prevailing in ZONG are:

People oriented, Team oriented, Innovation.

The flow of command is not fully centralized not fully decentralized in ZONG. Basically

top management provides directions toward their goals and then fully authority is in hand

of lower management to achieve the goals.

But top management has strict check and balance on the performance of lower

management and employees.

Management adopts administrative style to get all the activities done effectively and

efficiently.

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9.2. Marketing Concepts

Marketing concepts are practically implemented in my organization are as follows:

The marketing department is working on the basis of marketing mix that is price, place,

promotion and product.

Price means that the price of product is affordable for the needy customer and less prices

and more quality as compare to the competitors,

Place means product is conveniently available to the customers near to their homes more

franchises are opened in the different areas to provide better services and to provide the

products conveniently.

Promotional strategies are used by the ZONG in order to create awareness among

customers. Different communication channels are used to attract different market

segments.

And to convince the customer to buy the product according to new marketing style, (new

marketing style is to identify the need the of customer and offer product according to that

need so customer will satisfy and try to purchase again).

9.3. Organizational Behaviour Concepts

Organizational behavior helped me in understanding the organization environment

(friendly environment, strict environment etc) in ZONG there is strict environment during

dealing with the customers.

The type of the communication, (downward communication, upward communication etc)

there is both type of communication in ZONG because this organization get suggestions

from the lower management or from the employees and then top management make

policies according to that suggestions.

Employee motivation is done in ZONG through is any employee fulfill his target or to

sell more than that target organization offer rewards and incentives to that employee,

rewards may be the shield, performance excellent certificate etc.

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10. CONCLUSION

ZONG has strong financial position and growing very fast in the current position of the market

of Pakistan in which other companies growing very slowly or decreasing their market shares. As

we check in the market growth analysis ZONG increased its market share by 2% from December

2009 to January 2011. It is very big achievement for the ZONG because it is new brand in the

market. As ZONG become the favorite brand of the youngsters just because of its best prepaid

packages and the SMS packages we can say that ZONG can be a market leader after few years as

early it is growing. As all of we know that the other communication companies especially

UFONE providing the more and more packages for its customers ZONG also have to focus on it

and also provide more offerings to its customers. The best suggestion for ZONG to become more

favorite brand it should provide cheaper GPRS packages like ZONG GPRS daily free package

with some daily charges etc. ZONG have kept in mind that these points are for the better

progress in ZONG. And ZONG also have to use more promotion campaigns to increase the sale.

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11. SUGGESTIONS AND RECOMMENDATIONS

After doing internship in the ZONG I have find out some deficiencies in the ZONG so if I

appointed as a manger I will suggest some following points to the ZONG:

Voice clarity and call disconnection is the major issue of ZONG; this issue can be resolve by

installing new boosters in the different areas.

ZONG put emphasis on hiring young, fresh and energetic persons and firing the older ones

which is a good step for ZONG but beside this they should train their old and experienced

workers because human resources are the assets of the company, because after training that

old workers perform very as compare to the fresh workers.

In the ZONG‟S SBUs, ZONG mobile should use strategy to provide the spare parts for the

ZONG mobile in the mobile markets, so customer can repair the mobile after the warranty,

due to this step customer will get more faith on China Mobiles.

ZONG have strong financial position, and buyer is more powerful in the current market

because he/she has more options so by using this option ZONG should follow the cost

leadership strategy e.g. it should provide cheaper GPRS packages like ZONG GPRS daily

free package with some daily charges etc.

China Mobiles have huge experience of network operation in similar high mountainous areas

in china itself. So it is opportunity for ZONG (CM Pak) to cover the northern areas of

Pakistan and get good image in the eyes of current users and potential users and ZONG can

cover the border of China, with the Karakoram highway and can play a vital role during the

journey from this border.

To increase the market share of the company and to get more loyal customers ZONG have to

launch the wireless broadband package because there is less signal problem of the cellular

companies as compare to existing wireless broadband companies (wateen etc) so companies

can get competitive advantage to provide this facility.

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12. GLOSSARY

AMPS Advances Mobile Phone System

ARPU Average Revenue Per User

ATM Automated Teller Machine

B.C. Before Christ

BTO Break Time Offer

CCSC Customer Care Service Center

CM Pak China Mobiles Pakistan

CMCC China Mobile Communication Corporation

CPU Central Processing Unit

CSAF Customer Service Agreement Form

CSC Customer Service Center

EDGE Enhanced Data rates for GSM Evolution

FDI Foreign Direct Investment

FM Frequency Modulation

FnF Friends and Family

GB Giga Byte

GPRS General Pocket Radio Services

GSM Global System For Mobile communications

HRD Human Resource Department

IT Information Technology

LBC Location Based Charges

LNO Late Night Offer

MB Mega Byte

MHz Mega Hertz

MMS Multi-media Messaging Services

MP Mega Pixels

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OS Operating System

PKR Pakistani Rupees

PMCL Pakistan Mobile Communication Ltd

PTA Pakistan Telecommunication Authority

PTCL Pakistan Telecommunication Company Limited

SBU Strategic Business Unit

SEP Student Entrepreneur Program

SIM Subscriber Identification Module

SMS Short Message Service

UAE United Arab Emirates

USB Universal Serial Bus

VAS Value Added Services

VoIP Voice over Internet Protocol

WAP Wireless Application Protocol

Wi-Fi Wireless Fidelity

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13. REFERENCES

http://www. zong.com.pk/aboutus_ccmc.html

http://www. zong.com.pk/about_us.html

http://www.zong.com.pk/index_value_added_page.html

http://www.zong.com.pk/vas_new_offers.html

http://www.zong.com.pk/packages.html

http://www.zong.com.pk/vas_gprs_edge.html

http://www.zong.com.pk/packages_sms_bundle.html

http://ecare.zong.com.pk:8080/aiecare/index.jsp

http://www.zong.com.pk/vas_zong_handsets.html

www.mobilinkgsm.com

www.waridtel.com

www.telenor.com

www.ufone.com

www.pta.gov.pk

http://www.zong.com.pk/aboutus_ccmc.html

http://www.zong.com.pk/about_us.html

http://www.zong.com.pk/index_value_added_page.html

http://www.zong.com.pk/vas_new_offers.html

http://www.zong.com.pk/packages.html

http://www.zong.com.pk/vas_gprs_edge.html

http://www.zong.com.pk/packages_sms_bundle.html

http://ecare.zong.com.pk:8080/aiecare/index.jsp

http://www.zong.com.pk/vas_zong_handsets.html

http://www.mobilinkgsm.com/

http://www.waridtel.com/

http://www.telenor.com/

http://www.ufone.com/

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14. ANNEXURE

Zong Final Internship Report

Documents

Transcript of Zong Final Internship Report