a project report on reliance mobile

8/13/2019 A project report on Reliance Mobile

1/83

AA SSTT UUDDYY OO FF CC OO NNSSUUMM EE RR BBAASSEE FF OO RR RR EE LL II AANNCC EE MM OO BBII LL EE II NN

GG WW AA LL II OO RR ((MM ..PP ..))

A PROJECT REPORT

Submitted to the

SCHOOL OF MANAGEMENT

In partial fulfillment of the

Requirements for the award of the degree

OF

MASTER OF BUSINESS ADMINISTRATION

BY

Awadhesh Sharma (Reg No.- 35080083)

Under the guidance of

Dr. A. Chandra Mohan

PROFESSOR OF MANAGEMENT

SRM SCHOOL OF MANAGEMENT

SRM UNIVERSITY

KATTANKULATHUR 603203

MAY 2010


2/83

BONAFIDE CERTIFICATE

Certified that this project report titled SSTT UUDDYY OO FF CC OO NNSSUUMM EE RR BBAASSEE FF OO RR

RR EE LL II AA NN CC EE MM OO BBII LL EE iiss tthhee b boonnaaf f iid d ee wwoor r k k oof f Awadhesh Sharma (Reg No.-

35080083) wwhhoo ccaar r r r iieed d oouutt r r eesseeaar r cchh uunnd d eer r mmyy ssuu p peer r vviissiioonn.. CCeer r ttiif f iieed d f f uur r tthheer r ,, tthhaatt

ttoo tthhee b beesstt oof f mmyy k k nnoowwlleed d ggee tthhee wwoor r k k r r ee p poor r tteed d hheer r eeiinn d d ooeess nnoott f f r r oomm p paar r tt oof f aannyy

ootthheer r p pr r oo j jeecctt r r ee p poor r tt oor r d d iisssseer r ttaattiioonn oonn tthhee b baassiiss oof f wwhhiicchh aa d d eeggr r eeee oor r aawwaar r d d wwaass

ccoonnf f eer r r r eed d oonn aann eeaar r lliieer r ooccccaassiioonn oonn tthhiiss oor r aannyy ootthheer r ccaannd d iid d aattee..

Signature of the Supervisor SignatureOf the HOD


3/83

ABSTRACT

Many managers think, marketing as a organizational department whose job is to

analyze the market, discern opportunities, formulate marketing strategies,

develop specific strategies and tactics, propose a budget and establish a set of

control it can be considered as one of the main aim of marketing, but there is a

more to marketing.

During this project I felt that market survey would be more beneficial for

making decision and developing the marketing strategies and redefining it into a

detailed marketing mix and action plan. It involves carrying out plan, evaluating

the result and making further improvements.

But management cant turn a blind eye on the implementation part of the action

plan. So if management wants to get real benefit from plan then the feedback

process should be more transparent and effective.


4/83

ACKNOWLEDGEMENT

I owe everything in my life to other. A person single headed can achieve

nothing. In my attempt to do the project many people have graciously extend

their guidance, advice and criticism to improve our work.

I wish to express my heartful thanks to our Dean Dr.Jayashree Suresh and my

project internal guide Dr. A. Chandra Mohan for providing infinite facilities and

gave me an opportunity to do this project work to be successful, guidance and

valuable suggestions, which made this project, a successful one.

I express my heartful gratitude to RELIANCE COMMUNICATION for

providing me the opportunity to undertake this project in their esteemed

organization.

My gratitude also extends to the staffs of departments whose words of

encouragements kept the spirits high throughout the course of my project.


5/83

TABLE OF CONTENTSTABLE OF CONTENTS

1. INTRODUCTION 1-6

2. METHODOLOGY 7-26

Objective of the study

Need of the studyScope of the study

Limitations

Review of literature

3. COMPANY PROFILE 27-48

4. ANALYSIS AND INTERPRETATION 49-67

5. FINDINGS AND SUGGETIONS 68-70

6. CONCLUSION 71

QUESTIONNAIRE

BIBLIOGRAPHY


6/83


7/83

resources and capabilities (strengths and weaknesses) and factors external to

the organization (opportunities and threats).

SWOT analysis can provide:

A framework for identifying and analyzing strengths, weaknesses,

opportunities and threats.

This checklist is for those carrying out, or participating in, SWOT analysis.

It is a simple, popular technique which can be used in preparing or amending plans, in problem solving and decision making.

Illustrative diagram of SWOT analysis If SWOT analysis does not start with

defining a desired end state or objective, it runs the risk of being useless. A

SWOT analysis may be incorporated into the strategic planning model. An

example of a strategic planning technique that incorporates an objective-

driven SWOT analysis is SCAN analysis. Strategic Planning, includingSWOT and SCAN analysis, has been the subject of much research.

Strengths: attributes of the organization those are helpful to achieving the

objective.Weaknesses: attributes of the organization those are harmful to achieving

the objective.

Opportunities: external conditions those are helpful to achieving the

objective.

Threats: external conditions that is harmful to achieving the objective.


8/83

SWOT analysis can be used for all sorts of decision-making, and the SWOT

template enables proactive thinking, rather than relying on habitual or

instinctive reactions.

The SWOT analysis template is normally presented as a grid, comprising

four sections, one for each of the SWOT headings: Strengths, Weaknesses,

Opportunities, and Threats. The free SWOT template below includes sample

questions, whose answers are inserted into the relevant section of the SWOT

grid. The questions are examples, or discussion points, and obviously can be

altered depending on the subject of the SWOT analysis. Note that many of

the SWOT questions are also talking points for other headings - use them as

you find most helpful, and make up your own to suit the issue being

analyzed. It is important to clearly identify the subject of a SWOT analysis,

because a SWOT analysis is a perspective of one thing, be it a company, a

product, a proposition, and idea, a method, or option, etc.

Here are some examples of what a SWOT analysis can be used to assess:

a company (its position in the market, commercial viability, etc)


9/83

a method of sales distribution

a product or brand

a business idea

a strategic option, such as entering a new market or launching a new

product

a opportunity to make an acquisition

a potential partnership

changing a supplier

outsourcing a service, activity or resource

an investment opportunity


10/83

Strength Low Entry Cost

Commission Structure Fast Activation Process Network Connectivity Data GPRS

Weakness Branding Image

Distribution problem Limited product portfolio- Only

Mobile Lack of Competitive Strength Limited Budget

Opportunity Preference of GSM over

CDMA New Specialist Application Rural Telephony New Market, Vertical,

Horizontal Competitors` Vulnerabilities

Threat Political destabilization. New Entrants IT Development Market Demand Seasonality, Weather Effects

PROBLEM BEING FACED

Lack of communication between retailers and distributor

Lack of improper distribution channel


11/83

Competitors

Not regular visit of DSE and Runner

All retailers are not aware of new scheme of RCOM

Lack of sales promotion and advertisement

Retailer doesnt get claim at proper time

No visit of TSM or any other person to the retailers shop

WHAT DOES COMPANY EXPECT TO DO BY SOLVING THEPROBLEM

Customer Satisfaction

Retailer Satisfaction

Increase in Sale

Sales Promotion

Proper Distribution Channel


12/83

METHODOLOGY

1.Objective of the study

The objective of my research study is to find out Analyze the different

factors that affect the buying behavior of mobile user. Once we understand

these factors it become easy to make efficient strategy to compete with its

competitors and to satisfy its users.

The study has several objectives. The main objectives of my research

study are: -

1. To find out & analyze the different factors that effect the buying behavior

of mobile users.

2. To make the comparative study of these behavioral factors.

3. To measure the impact of behavioral factors on the purchasing power of

user.

4. To know about the users expectations and their graviences.

5. To obtain suggestions from both customers and retailers.

6. To know about the views of customers and retailers about the existing

mobile service providers.


13/83

7. To help in development and introduction of new product

8.

To identify the company position among competitors

9. To determine those factors which persuade retailers for sale of RCOMSims/product

10. To find out which type of schemes retailers prefer and why?

11. To study the effect of irregular supply on the sale of the product

2. Need of the study


14/83

i. To know the market of reliance communication.

ii. To evaluate the customer satisfaction.

iii. To determine the factors affecting buying behavior of customers.

iv. To gain knowledge in telecom sector.

3. Scope of the study

The study which is done is very wide and covers many important factors which

is included in the study. As we know that telecom sector is one of the emerging

and leading sectors in India. It is one of the greatest employment generatationsectors which is giving lot of job opportunity. So it is very hard to discuss the

scope of the study as it covers a very large area. Indian Telecom Industry is one

of the emerging sector in the world. Though it was predominantly unorganized

industry even a few years back, but the scenario started changing after the

economic liberalization of Indian economy in 1991. The opening up of

economy gave the much-needed thrust to the Indian telecom industry, which hasnow successfully become one of the largest in the world.

India telecom industry largely depends upon the latest and updated technology.

It also plays a major role in the economy of the country. It also contributes

around 11-12% to the GDP of the country. India telecom industry is also the

largest in the country in terms of employment generation. It not only generates

jobs in its own industry, but also opens up scopes for the other ancillary sectors.India telecom industry currently generates employment to more than 35 million

people. It is also estimated that, the industry will generate 12 million new jobs

by the year 2010.

4. Limitation


15/83

The main limitation was the small size of Customers & Retailers. It was to

small a size to draw a valid & satisfactory conclusion about the universe.

Some Customers & Retailers were not taking it seriously and they did not

give real information.

Some customers did not give enough time.

The result cannot be considered as representative of Whole Gwalior.

5. Review of literature

Marketing Research


16/83

Marketing managers often commission formal marketing studies of specific

problems and opportunities. They may request a market survey, a product

preference test, a sales forecast by region, or an advertising evaluation.

Marketing research can be define as follows-

Marketing research is a systematic design, collection, analysis, and reporting

of data and finding to a specific marketing situation facing the company.

Effective marketing research includes five steps, which should be kept in mind

to conduct a marketing research in an absolute manner.

1. Define the problem and research objective.

2. Develop the research plan.

3. Collect the information.

4. Analyze the information.

5. Present the findings.

CHARACTERISTIC OF A GOODMARKETING RESEARCH


17/83

1. Scientific Method: Effective marketing research uses the principles of the

scientific method: careful observation, formulation of hypothesis,

prediction and testing.

2. Research Creative: At its best, marketing research develops innovative

ways to solve a problem: a closing company catering to teenagers gave

several young man video cameras, other places teens frequent.

3. Multiple Methods: Good marketing researchers shy away from over

reliance on anyone method they also recognize the value of using two or

4. three methods to increase confidence in the results.

5. Interdependence of Models and Data: Good marketing researches

recognize that, the data are interpreted from underlying modes that guide

the type of information sought.

Research methodology


18/83

The main objective of research is to find out the truth which is hidden and

which has not been discovered. According to advance readers dictionary of

current English, the definition of research is

A careful investigation or enquiry especially through research for new facts in

any branch of knowledge.

Still the ideal definition of research is an original contribution to the existing

stock of knowledge making for its advancement. It is the pursuit of truth with

the help of study, observation, competition, and experiment. Research

methodology is a way to solve the research problem systematically. It may also

be defined as a science of conductive research. Research methodology has many

dimension and research methods constitute a part of it.

Research methodology is a way to systematically do the job. It may be

understood as a science of studying how research is done scientifically.

The most desirable approach with regards to the selection of the research

methodology depends on the nature of particular work, time and

resources available along with the desire level of accuracy.


19/83


20/83

1. The first step was to design a structured interview for the retailers and

customer. This includes preparing questions for getting required

information.

2. The next step was to see which area was to be covered under the

survey. Which was assign by Mr. Mahesh Singh Tomar.

3. The next step was to collect the required information.

4. The last step was to analyze the data and present the findings.

Research design


21/83

Research design means conceptual framework with which the research has to

come in structured manner. The research design has to be prepared with keeping

following points in the mind:

1. The means to obtain the information

2. The availability and the skills of the researcher and his staff.

3. The explanation of the way in which selected means will be

organize and the reason responsible for their selection.

4. The time factor must be paid attention during the research.

5. The cost factor must also be taken with care. A researcher should

first prepare a budget for the project and should move ahead along

with the budget.

As we know that reliance is one of the profitable organization in telecom sector

and this is because it is effectively and efficiently using its resources which ins

in the form of following.


22/83

The marketing and market strategy of reliance consists of a set of related

actions that managers take to increase their companys performance. For most,

if not all, company strategies result in superior performance, it is said to have a

competitive advantage.

Managers in reliance can peruse to achieve superior performance and

provide their company with a competitive advantage and strategy management

is very important.

Strategic leadership is about how to most effectively manage a companysstrategy making process to create competitive advantage. The strategy making

process is the process by which managers select and then implement a set of

strategies that aim to achieve a competitive advantage.

Strategy formulation is the task of selecting strategies, whereas strategy

implementation is the task of putting strategies in action, which includesdesigning, delivering and supporting products, improving the efficiency and

effectiveness of the operation, designing a companies structure control system,

and culture in strategic management arena we might say that success is 10%

inspiration and 90% implementation. A task of selecting a strategy is usually

easy but the hard part is putting those strategies into the effect.

Competitive advantage and a companys business model-

Competition is a very rough and tumble process in which very most efficient

and effective companies win out. It is a race without win. To maximize share


23/83

holder value, managers must formulate and implement the strategies which

enable their company to perform rivals- to give a competitive advantage.

Business & market model of reliance-

A business model is managers conception how the set of strategies their

company purses should mesh together into a congruent whole, enabling, the

company to gain competitive advantage and achieve superior profitability and

profit growth. A business model encompasses the totality of how a company

will:

Select its customers Define and differentiate its product offerings Create value for its customers Acquire and keep customers Produce good and services Lower cost Deliver those goods and services to the market Organize activities within the company Configure its resources Achieve and sustain a high level of profitability Grow the business over time

Strategy to be implemented before starting of the business

research-

1. Identification of competitors.

2. Research and development should be conducted


24/83

3. Product differentiation

4. Achieving the target market.

Important issues for running a research-

1. Knowledge of the researcher

2. Interest of the researcher

Customer satisfaction

Customer delight

Customer service

Value added service

Market Strategy constantly evolving-

Changing market condition Moves of competitions New technologies Evolving customer needs & preferences


25/83

Political and regulatory change New window of opportunity Fresh ideas to improve the current strategy Crisis situation

Response Factors (consumer behavior)

The response factors deal with consumer behavior under different involvement

levels, i.e. the actions or reactions of the consumer due to the antecedents and

the involvement properties. As the low involvement good toothpaste is

observed, the low-involvement hierarchy could be employed to illustrate the

actions of the consumer: First of all, the consumer has certain cognition of the

shampoo he or she wants to buy. This cognition may be a result of advertising

or some form of learning, e.g. modeling, but the knowledge of the attributes of

the shampoo is very small due to a lack of interest. The cognition is followed by

the buying behavior. As the consumer has only small knowledge about the

shampoo, the decision will be influenced of low price or familiarity of the

brand. After the purchase, the buyer will built up an attitude, whether the

shampoo meets his needs and requirements, such as care for hairs. But how may

attitude influence the level of involvement.

RELIANCE PRODUCT

Reliance Base Phone

Reliance Mobile


26/83

Reliance Data Card

Reliance Voucher, E-Recharge

Reliance PCO Reliance Broad Band

STD C LLING C RD


27/83

MRP TALKTIME

VALIDIY

ON-NET(NIGHT)

OTHER

RS. 95 84.66 15 DAY 1.25

RS. 115 102.35 15 DAY 1.20

RS. 125 111.25 15 DAY 1.20

RS. 225 200.25 30 DAY 1.10RS. 280 249.20 30 DAY 1.10RS. 525 467.25 30 DAY RS. 0.40 RS. 1.00RS. 650 578.50 30 DAY FREE RS. 1.00


28/83

PRODUCTS FOR THE MONTH OF JULY 2008

TOPUPs

Rs. 55

Rs. 77Rs.

210

Rs.

310

Rs.

510

FULL T.T of 55 (off net 43+on net 12)

FULL T.T of 77(off net)TALK TIME of Rs. 222 (off net)

TALK TIME of Rs. 333 (off net)

TALK TIME of Rs. 555 (off net)

STVs

Rs.

195

Rs.

496

Rs. 35

Rs. 79

Rs. 49

Rs. 99

Rs. 98

Local on-net mobile unlimited FREE (validity 30 days)

Local & STD on-net mobile unlimited FREE (validity

30 days)

All STD@ Rs. 1 per minute (validity 30 days)

All Local@ Rs. 0.50/min and all STD@ Rs.1/min

(valid. 30 days)

On-net Local@33PAISE, Off-Net Local@49 Paise

(valid. 30 days)

On-net Local@33PAISE, Off-Net Local@Paise, all

STD@99 Paise (30D)

On-net Local FREE between 10PM to 8AM& other

local@50 paise (30D)

RCVs Rs.

250

Rs.

888

FREEDOM TARIFF, TALKTIME Rs. 147.5 AND

VALIDITY 30 DAYS

F.T, TALKTIME RS. 888 AND VALI. OF 8 MONTHS


29/83

UN-LIMITED

Rs.

399

Rs.

499

Rs.

533

Talk Time 175/ & Local On-net Unlimited FREE ( 30

days)

Local Reliance Mobile & Reliance Smart Unlimited

FREE ( 30 days)

Talk Time Rs. 399.37 & Local On-net FREE B/W

11pm to 6am, ( 30 D)

E-SMS

Rs. 49 500 LOCAL SMS FREE & VALIDITY 30 DAYS

RELIANCE MOBILE HAND-SET

MOBILE CUSTOMER PRICE RETAILAR PRICE

RD LG 3000 1199/- 1165/-

RD LG 3500 1299/- 1265/-

RD LG 3600 1799/- 1690/-

RD LG 6100 2699/- 2540/-


30/83

INFORMATION REQUIREMENT

Complete Price structure of Rcom, Airtel & Tata indi.offer whichincludes

Sim Processing Fees

Discount Offered

Schemes offered

Service Tax

SOURCES OF INFORMATION

Data collected from the Company

Secondary Data

Internet

Retailers

Distributor

Sales Executives

Other Trainees (Runner)


31/83

FIELD WORK

I. MARKETING VISITING & SURVEY (04/6/2009 to 09/7/2009)

II. APPROACH FOR NEW RETAIL COUNTER(13/7/2009 to 24/7/2009)

III. TO LAUNCH NEW SCHEME THROUGH THE CANOPY(27/7/2009) to (2/8/2009)

FULL NAME OF SOME KINDS OF SERVICE

LTV Life Time Validity

CAF Customer Application form

GSK Get started Kit

FWP Fix Wireless Phone

STV Special Tariff voucher

OTAF Over The Air Fulfillment

FRC First Recharge Coupon

GSM Global System of Mobility


32/83

CDMA Code Dual Module Assessment

.

COMPANY PROFILE

DHIRUBHAI AMBANIS DREAM

Late Dhirubhai Ambani built Reliance from scratch

to be in the reckoning for a place in the Global Fortune 500 list. This

achievement is even more significant due to the fact, that the entire growth was

achieved in an organic manner and in a span of just 25 years.


33/83


34/83

Dhirubhai Ambani was of the conviction that infocomm would energies

enterprises, galvanize governance, make livelihood an enjoyment, learning an

experience, and living an excitement.

Reliance Infocomm is a fascinating outcome of this powerful conviction. It is a

major initiative to translate his inspiring dream into reality.

For the India Mobile, Reliance Infocomm, will offer three schemes for

consumers. The first introductory offer would be the 'Dhirubhai Ambani

Pioneer' offer.

Under it, consumers will be given a free digital mobile phone, unlimited free

incoming calls, billing at 15-seconds pulse rate, for a one-time fee of Rs 3000 as

membership charges and Rs 600 per month as telephony charges.

All incoming calls would be free and outgoing calls would be charged at 10

paise for 15 seconds. The cost of a national long-distance call to any Reliance

phone in the country would be 40-paise for a minute. In addition, users would

get 400-minutes of outgoing calls free.

Value added services like voice mail, call waiting, call hold, call divert, call

identification, call conferencing, dynamic STD/ISD locking and text messaging

would be offered for free


35/83

"The pricing system is n line with Dhirubhai Ambani's dream and directive of

making phone calls affordable for every Indian. It has been made possible due

to the significant capital productivity achieved," said Ambani.

Nationwide demonstrations to consumers would begin on January 15 and

bookings would start in early February. By the end of March Reliance

Infocomm will close bookings for the Pioneer scheme.

"The key feature of this scheme is that a Rs 10,500 handset comes free for users

and this all facilities offered will be valid for three years," Ambani said.

The Pioneer scheme would be a three-year plan. It will be valid only till the end

of March.

Users can also opt for the 'Regular' scheme, which involves an upfront payment

that covers only talk time, and 'Standard' plan that will be a monthly payment

plan.

Bookings for the Standard and Regular plan will open only after March.

Tariff for those plans would be all incoming calls free and Rs 1.20 for three

minutes and Rs 200 as rentals. In these schemes, consumers would have to buy

their own handsets for which financing options will be made available.


36/83

VISION

Reliance Infocomm envisions a digital revolution that

will sweep the country and bring about a New Way of Life. A digital way of life

for a New India.

With mobile devices, netways and broadband systems linked to powerful digital

networks, Reliance Infocomm will usher fundamental changes in the social and

economic landscape of India.

Reliance Infocomm will help men and women connect and communicate with

each other. It will enable citizens to reach out to their work place, home and

interests, while on the move. It will enable people to work, shop, educate and


37/83

entertain themselves round the clock, both in the virtual world and in the

physical world. It will make available television programmes, movies and news

capsules on demand. It will unfurl new simulated virtual worlds with

exhilarating experiences behind the screens of computers and televisions.

Users of Reliance Infocomm's full range of services would no longer need

audiotapes and CDs to listen to music. Videotapes and DVDs would not be

necessary to see movies. Books and CD ROMs would not be needed to get

educated. Newspapers and magazines would not be required to keep abreast of

events. Vehicles and wallets will become unnecessary for shopping.

Reliance Infocomm will disseminate information at a low cost. "Make a

telephone call cheaper than a post card". These prophetic words of Dhirubhai

Ambani will be a metaphor of profound significance for Reliance Infocomm.

Reliance Infocomm will regularly unfold new applications. Continually adapt

new digital technologies. Create new customer experiences. Constantly strive to

be ahead of the world.

Reliance Infocomm will transform thousands of villages and hundreds of towns

and cities across the country.

Above all, Reliance Infocomm will pave the way to make India a global leader

in the knowledge age.


38/83

Coverage

PAN India network and town coverage.

60,000 kms of optic fiber backbone that connects over 90% of India's

population

Wireless network being rolled out in 600+ cities/towns initially;

expanding to the entire landmass of India by 2004

2,588 Base Transceiver Stations (BTSs) across the country, for our

wireless network

Network with superior reliability

All this managed from our state-of-the-art national network operations

centre in Mumbai.


39/83

States:

Andhra Pradesh

Bihar

Delhi

Gujarat

Haryana

Himachal Pradesh

Karnataka

Kerala

Madhya Pradesh

Maharashtra

Orissa

Punjab

Rajasthan

Tamilnadu

Uttar Pradesh (East)

Uttar Pradesh (West)

West Bengal
http://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_bihar.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_delhi.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_delhi.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_gujarat.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_gujarat.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_haryana.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_haryana.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_himachal.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_karnataka.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_karnataka.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_kerala.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_kerala.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_madhyapradesh.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_maharashtra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_orissa.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_punjab.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_punjab.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_rajasthan.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_rajasthan.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_tamilnadu.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_up_east.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_up_east.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_up_west.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_up_west.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_westbengal.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_westbengal.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_westbengal.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_up_west.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_up_east.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_tamilnadu.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_rajasthan.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_punjab.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_orissa.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_maharashtra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_madhyapradesh.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_kerala.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_karnataka.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_himachal.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_haryana.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_gujarat.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_delhi.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_bihar.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/consumer_indiamobile_andhra.htmlhttp://www.relianceinfo.com/Infocomm/html/whyrim/whyrim_coverage_andhrapradesh.html


40/83

Anil Ambani: Telecom person of the year 2007

His marketing strategy has made millions of Indians happy, they got

the best mobile tariffs in the world-local call costs at 15 paise/minute,

and STD call at 40 paise/minute

NEW DELHI, INDIA: When the VOICE&DATA jury, comprising

eminent professionals from the telecom field, met in Delhi in June to

choose the Telecom Person of the Year 2007, the five-hour selection

process was steamy.

The reason was obvious: The telecom sector is growing faster than any

other segment and naturally their CEOs have a lot to crow about. The jury

had to select one from three CEOs, who had made it to the final list

through nominations from the industry and the initial scrutiny. Among

the three, one of the main contenders was a young CEO. The jury decided

that he should come back next year to try and win the coveted award. The

list now had two names-both CEOs of two well-known companies. The

pivotal difference between the two: one is an entrepreneur and the other is

not so popular, as his credit is shared among a number of his big daddies.

Following a five-hour closely held, hotly debated discussion, the name

was announced: Anil Dhirubhai Ambani, chairman of Reliance

Communications. Anil Ambani joined Reliance Industries (currently promoted by his brother Mukesh Ambani, following their split) in 1983

as co-chief executive officer. Forbes ranked him number 104 among the

World's Richest People in 2006. The Ambani family faced criticism when

it announced its ambitious plans to build a countrywide telecom network,

as its prior expertise lay in commodities-textiles and petrochemicals-

business only. Apart from that telecom needs a service-oriented mindset,


41/83

critics felt. What they did not remember was how the family had served

its millions of shareholders.

Policies in India are made in line with Ambani's vision, says an industryexpert. His business acumen and closeness to politicians assisted him in

making it to the Rajya Sabha in June 2004, as an independent member.

Ambani chose to resign voluntarily on March 25, 2006.

The same association with politicos gave him negative returns too when

the Mayawati Government in Uttar Pradesh put a spanner on his

ambitious plans to build a 1,200-acre SEZ.

Media sees his aggression when he announces financial results for the

Reliance ADA group of companies, and when he attends the annualgeneral meetings and faces questions from shareholders. When he meets

the press, he has answers to all their questions. He also remembers to call

select journalists by name.

To merchant bankers he, who has already contributed immensely

to the financial reforms of the country, is one of the financial wizards of

the world. May be because of his expertise, he gave up in the race to grab

Hutchison Essar stake, after indirectly jacking up the valuation. His

negotiations with the Qualcomm chief are also a folk theory now.

How did Ambani become the VOICE&DATA Telecom Person of the

Year 2007? What are his personal and organizational achievements in the

recent past?


42/83

His path-breaking marketing strategy that was put in by the strongest

team of telecom professionals the country has ever seen has made

millions of Indians happy as they got the best mobile tariffs in the world.

The aggression resulted to adding to his already swollen kitty. Every hour

India will be adding around 20,000 new mobile customers and Reliance

Communications over 4,000. When mobile telephony first began in India,

a local call cost Rs 16 per minute; an STD Rs 50; and a call to the US Rs

100 per minute. With Reliance Communications pioneering price

initiative, a local call now costs a mere 15 paise per minute, STD 40

paise, and a call to the US costs less than Rs 2 per minute. The presenceof Reliance Communications is making the competition in India panicky.

Global telecom forces will also shortly start feeling the heat. Ambani has

also recently announced his Rs 1,200 crore buyout of Yipes Holdings.

Achiever's Pride

Undertook financial restructuring of Reliance communications To spend Rs 16,000 crore to expand and strengthen network coverage

After expansion, Reliance Communications will have the single largest

wireless network in the world

Launched the lowest-cost classic brand handset at Rs 777

Subscriber base grew to over 28 mn during last fiscal, registering 60%

growth Total Revenue shot up to Rs 14,468 crore, an increase of 34%

Net Profit rises to Rs 3,163 crore, an increase of over 600%

Revenues of the wireless business increased by 46% to Rs 10,728 crore

Broadband achieved revenue growth of 123% to Rs 1,144 crore


43/83

Market capitalization crossed Rs 100,000 crore

Will add 23,000 more towers

Telecom services will be available in over 23,000 towns and 600,000

villages Next generation DTH network will be launched before end of the year

Reliance Communications' wireless subscriber base grew to over 28 mn last

fiscal, registering a 60% growth. This makes it one of the top two wireless

operators in India.

"Economic growth in the future will be indexed to connectivity of millions

of enterprise and individual customers. Over the next few years, we will

have over 100 million customers, making us one of the top 5 telecom players

in the world. In four years, we put up a total of 14,000 towers across the

country. This year alone we will add 23,000 more towers. Our wireless

network is currently available in 10,000 towns. By the end of this year, it

will be available in over 23,000 towns and 600,000 villages," Anil Ambani

said at the first annual general meeting of Reliance Communications since

the re-organization of the Reliance Group in June 2005.

"In four years of operations, we invested around Rs 32,000 crore. This year

alone we will invest over Rs 20,000 crore. At the end of this year, we willhave covered over 90% of our population. If Version 1.0 of the Indian

telecom story was all about affordability, Version 2.0 will be about reach.

Our

Network expansion will give us the power to drive the market and stay ahead of

the curve," Ambani adds.


44/83

According to Ambani, the financial restructuring of Reliance

Communications is the biggest turnaround story in the history of corporate

India. The inherited ownership structure of Reliance Communications was

complex. The reorganization has yielded a simple, fair, and transparent

ownership structure, and given Reliance Communications 100% ownership

of all operational and associate companies.

Reliance Communications is now among the three most valuable private

sector companies in India, and the five most valuable telecom companies in

Asia. In the current

Fiscal, Reliance Communications will spend Rs 16,000 crore to further

expand and strengthen its network coverage across India and the rest of the

world.

In addition to organic growth, Reliance Communications will leverage the

advantages derived from this impressive financial platform to explore and

pursue any significant

Opportunities available in the telecommunications sector. "We are currently

evaluating a number of inorganic opportunities in select international

markets to further expand our footprint," Ambani said.

Reliance Communications One India, One Tariff plan allowed millions to

connect across India at just one rupee a minute. The company was the first

one to break the Rs 1,000 entry-barrier with the launch of the lowest-cost

classic brand handset at Rs 777.


45/83

As per its expansion plan, Reliance Communications will have the single

largest wireless network in the world, covering over 900 mn Indians or more

than 15% of the global population. It will cover 23,000 towns or every single

Indian habitation with a population of over 1,000. Reliance Communications

will cover almost 100% of all rail routes, providing seamless voice, video,

radio, and Internet connectivity to 14 mn commuters every day. It will also

cover almost 100% of all national highways, and 84% of all state highways,

giving millions of users the power to talk, text, surf, play, chat or simply stay

in touch across nearly the entire length of India's 2,00,000-km-long road

network.

Having achieved tremendous growth, the main challenge for Reliance

Communications is to improve quality of service and ARPU. Its enterprise

business is also not in a position to compete with the global majors. Stock

market valuations may boost the fortunes of an entrepreneur, but Ambani

needs to address the issues faced by the growing mobile customer base,

especially in India, where bureaucracy takes pride in checking the

businessman.

AN OVERVIEW OF CURRENT MARKET SCENARIO

Reliance Communications (formerly Reliance Communications

Ventures) is one of India's largest providers of integrated communications

services. The company has more than 20 million customers and serves

individual consumers, enterprises, and carriers, providing wireless,

wireline, long distance, voice, data, and internet communications servicesthrough a number of operating subsidiaries. The company sells


46/83

communications and digital entertainment products and services through

its chain of Reliance Web World retail outlets. The company's Reliance

Infocomm subsidiary provides wireless communications services

throughout India. Reliance Communications is part of the Reliance - Anil

Dhirubhai Ambani Group.

The current network expansion undertaken by Reliance is the largest

wireless network expansion undertaken by any operator across the world.

It was with this belief in mind that Reliance Communications (formerly

Reliance Infocomm) started laying 60,000 route kilometres of a pan-India

fibre optic backbone. This backbone was commissioned on 28 December

2002, the auspicious occasion of Dhirubhais 70th birthday, though sadly

after his unexpected demise on 6 July 2002.

Reliance Communications has a reliable, high-capacity, integrated (both

wireless and wire line) and convergent (voice, data and video) digital

network. It is capable of delivering a range of services spanning the entire

infocomm (information and communication) value chain, including

infrastructure and services for enterprises as well as individuals,

applications, and consulting.

Today, Reliance Communications is revolutionizing the way India

communicates and networks, truly bringing about a new way of life.

We will leverage our strengths to execute complex global-scale projects

to facilitate leading-edge information and communication services

affordable to all individual consumers and businesses in India.

We will offer unparalleled value to create customer delight and enhance

business productivity.


47/83

We will also generate value for our capabilities beyond Indian borders

and enable millions of India's knowledge workers to deliver their services

globally.

BRIEF STUDY OF THE ORGANIZATION

Chairmans profile

Reliance Communications Limited founded by the late Shri. Dhirubhai H

Ambani (1932-2002) is the flagship company of the Reliance Anil

Dhirubhai Ambani Group. It is India's

Regarded as one of the foremost corporate leaders of contemporary India,

Shri Anil D Ambani, 48, is the chairman of all listed companies of the

Reliance ADA Group, namely, Reliance Communications, Reliance

Capital, Reliance Energy and Reliance Natural Resources.


48/83

He is also the president of the Dhirubhai Ambani Institute of Information

and Communications Technology, Gandhinagar

An MBA from the Wharton School of the University of Pennsylvania,

Shri Ambani is credited with pioneering several financial innovations in

the Indian capital markets. He spearheaded the countrys first forays into

overseas capital markets with international public offerings of global

depositary receipts, convertibles and bonds.

Under his chairmanship, the constituent companies of the Reliance ADA

group have raised nearly US$ 3 billion from global financial markets in a

period of less than 15 months.

Shri Ambani has been associated with a number of prestigious academic

institutions in India and abroad.

He is currently a member of:

Wharton Board of Overseers, The Wharton School, USA

Board of Governors, Indian Institute of Management (IIM), Ahmedabad

Board of Governors, Indian Institute of Technology (IIT), Kanpur

Executive Board, Indian School of Business (ISB), Hyderabad

In June 2004, Shri Ambani was elected as an Independent member of the

Rajya Sabha Upper House, Parliament of India, a position he chose to

resign voluntarily on March 25, 2006.


49/83

Select Awards and Achievements

Voted the Businessman of the Year in a poll conducted by The Times of

India TNS, December 2006 Voted the Best role model among business leaders in the biannual

Mood of the Nation poll conducted by India Today magazine, August

2006

Conferred the CEO of the Year 2004 in the Platts Global Energy

Awards

Conferred 'The Entrepreneur of the Decade Award' by the Bombay

Management Association, October 2002

Awarded the First Wharton Indian Alumni Award by the Wharton India

Economic Forum (WIEF) in recognition of his contribution to the

establishment of Reliance as a global leader in many of its business areas,

December 2001

Selected by Asiaweek magazine for its list of 'Leaders of the Millennium inBusiness and Finance' and was introduced as the only 'new hero' in Bu siness

and Finance from India, June 1999.


50/83

ORGANIZATIONAL SET UP

Reliance Communication Limited

CHAIRMAN

PRESIDENT PRESIDENTPRESIDENT

(PRESONAL (ENTERPRISES(HOMEBUSINESS) BUSINESS)

BUSINESS)

SENIOUR

V.P


51/83

V.P

GM

DGM

AGM

SENIOURMANAGER

MANAGER

DUPTYMANAGER

ASST.MANAGER

MANAGEMENTTRAINING


52/83

Claim process:-

In case of RCOMM process is be claimed very belatedly i.e. almost 77%

of the cases take 60-90 days, where as in case of Airtel most of the i.e.

88% is being finalized in time limit 0-30 days.

The claim process services of other competitors viz. AirCel,

Smart, & Tata Indicom are almost at par with the IDEA cellular ltd.


53/83

ANALYSIS & INTERPRETATION

RETAILERS ANALYSIS

Q.1. Which Service Providers Connection you provide?

a) Reliance 34%

b) Idea 10%

c) Airtel 10%

d) All 40%


54/83


55/83

Q.2. Which Connection do you prefer to sale?

a. Reliance 40%

b. Idea 30%

c. Airtel 20%


56/83

Q.2. (a) Reasons for the preferences

a. Better Margin 30%

b. Customer Demand 34%

c. Product Features 26%

d. Others 10%


57/83

Q.3 According to you, which factor affect-buying decision?

a. Price 40%

b. Brand 10%

c. Product 20%

d. Value added services 20%

e. Shop Display 10%


58/83

Q.4 How would you evaluate (from 1 to 5) the current providers you work

with on the following issues?

Scale

1 - Very Poor

2 - Poor

3 - Average

4 - Good

5 - Very Good


59/83

FOR POSM SUPPORT

TRAINING SUPPORT


60/83

CLAIM SETTLEMENT


61/83

0

5

10

15

20

25

30

1

2

3

4

5

Reli ance Idea A irtel

INNOVATION


62/83

0

5

10

15

20

25

30

Rel iance Idea Airtel

1

2

3

4

5

PROMOTION


63/83

0

5

10

15

20

25

30

35

Rel i an ce Id ea Ai rtel

1

2

3

4

5

CUSTOMER ANALYSIS

Q.1 Age Group

a. 15-25 Years 40%

b. 25-35 Years 51%

c. 35-45 Years 7%

d. 45 Years and above 2%


64/83

Q.2. Occupation

a. Student 19%

b. Service 26%

c. Business 46%

d. Professional 9%


65/83

Q.3 Income Group

a. Below 20000 18%

b. 20000 to 40000 46%

c. 40000 to 60000 21%

d. More than 60000 16%


66/83

Q.4. While purchasing mobile connection who influence your buying decision.

a. Children 2%

b. Wife 2%

c. Parents 7%

d. Yourself 63%

e. Friends 12%

f. Retailers 14%


67/83

Q.5. How do you come to know about the reliance product?

a. Neighbors 2% b. Users 38%c. Friends 6%d. Newspaper 35%e. Bill boards 2%f. Advertisement 17%

2% 38% 6% 35% 2% 17%


68/83

Q.6. What features affecting your buying decision?

a. Free outgoing calls (foc) 15% b. Free extra balance (feb) 8%c. Network quality (nq) 20%d. Local Call Connectivity (lcc) 22%e. SMS based Services (sbs) 4%f. Roaming facility (rf) 6%


69/83

g. Price (Air time) (p) 25%

MARKET SHARE OF MOBILE SUBSCRIBERS


70/83

MARKET SHARE OF CDMA IN M.P.


71/83

RCOMM

TATA indicom

RCOMM 70%TATA INDICOM 30%

\

MARKET SHARE OF GSM IN M.P.


72/83

AirTel

RCOMM

BSNL

Smart

Tata

Aircel

AIRTEL 35%

RCOMM 19%

BSNL 18%

SMART 17%

TATA INDICOM 9%

AIRCEL 2%

FINDINGS

Services provided by Retailers: -

All the retailers are dealing in all services i.e. providing Recharge

Voucher, SIM, and Tariff Voucher of all the cellular service companies


73/83

present in Jharkhand zone. Also most of them provide only pre-paid

connection.

Satisfaction: -

Most of the retailers i.e. around 74% of respondents are satisfied with

RCOMM brand, 10% of them push RCOMM brand to the customer and

rest 16% retailers are not satisfied with RCOMM brand due to claim

pending and the distributor. The retailers dont get schemes

communicated in time by distributor and distributor does not provide

RCV & e-Top properly.

Problems: -

Around 15% of the respondents that there is network problem with

RCOMM, on the other hand they found its competitors viz. Airtel, BSNL,

TATA indicom network connectivity of very good to good level.

Around 16% retailers which are under puja enterprises distributor projected problem with distributors. They dont get schemes

communicated in time by distributor and distributor does not provide

RCV & e-Top.

Support from company: -

Most of the retailers ensnared that they are supported by the companies

personnel & companies helpline.

All companies provide POP at right time and in adequate

number.


74/83


75/83

To introduce new schemes for the retailers.

To improve the Network Quality.

If a company will introduce free outgoing upto 30 sectors in reliance to

reliance its will increase its market share.

To add some other facilities like to know the current position of Bank a/c,

information about Railway Time Table.

CONCLUSION

After having gone through the whole process of preparing the work

project on the Buying behavior of consumers towards mobile service provider

in Gwalior market. I have gained the knowledge of practical things. This was

possible only after working in & studying the market. Earlier this project I knew

the theoretical knowledge about the buying behavior but after this project I


76/83

learned the practically of these factors on the behavior of consumers. Through

this project I could understand the great difference among the various class of

buyers & they behave differently because there requirements are different. This

market research helped me to get a deep insight into the service and marketing

strategies of the company.

As far as the competition is concerned Airtel is a new but there is a neck-

to-neck competition between the Reliance and Idea.

QUESTIONNAIRE

RETAILER QUESTIONNAIRE


77/83

Name :

____________________________________________________________

Address :

__________________________________________________________

Phone/Mobile

:_____________________________________________________

1. Which service providers connection you provide?

a. Reliance [ ]

b. Ic. Airtel [ ]

2. Which card do you prefer to sell

a. Reliance [ ] b. Idea [ ] c. Airtel [ ]

Why?


78/83

a. Better Margin [ ]

b. Customer Demand [ ]

c. Product Features [ ]

d. Other [ ]

3. According to you which factor affect buying decision?

a. Price [ ]

b. Brand [ ]

c. Product (Basic Service) [ ]

d. Value Added Services [ ]

e. Shop Display [ ]

4. How would you evaluate (From 1 to 5) the current providers you

work


79/83

with on the following issues?

Service

Provider

POSM

Support

Training

Support

Claim

Settlement

Innovation Promotion

Scale=1=Very Poor, 2=Poor, 3=Avg., 4=Good, 5=Very Good.

CUSTOMER QUESTIONNAIRE

Name:

Address:

Phone / Mobile:

1. Age Group


80/83

a. 15-25 years [ ] b. 25-35 years [ ]

c. 35-45 years [ ] d. 45 and above [ ]

2. Occupation

a. Student [ ] b. Service [ ]

c. Business [ ] d. Others [ ]

3. Income Group

a. Below 20000 b. 20000 to 40000

c. 40000 to 60000 d. More than 60000

4. While purchasing mobile connection who influence your buying decision.

a. Children b. Wife


81/83

c. Parents d. Yourself

e. Friends f. Retailers.

5. How do you come to know about the reliance product?

a. Neighbors b. Users

c. Friends d. Newspapers

e. Billboard f. Advertisement.

6. What features affecting your buying decision.

a. Free outgoing calls.

b. Free extra balance.

c. Network quality.

d. Local call connectivity of M.P. and Chhattisgarh.

e. SMS based services.

f. Roaming facility.

g. Price (Airtime)

7. Reasons behind having mobile?


82/83

a. Style / Fashion.

b. Job Requirement.

c. To remain in contact with others.

d. Status Symbol.


83/83

BIBLIOGRAPHY

1. Marketing Management Philip Kotler

2. Business World

3. The times of India

4. Hindustan Times

5. Internet

6. Business Today

Websites

a project report on reliance mobile

Documents