Jio Final Thesis
Jio Final Thesis
Jio Final Thesis
ON
SECTION – ‘B’
Guided By :-Submitted By :-
Dr. DeepakBharat
Jaroliya
Rathore(15)
Preet Mehta(39)
Prerna Rathore(40)
Somyata Choudhary(54)
CERTIFICATE
This to certify that the group members have completed the project entitled “Comparative Study Of
Flipkart And Amazon” under my guidance and completed the project successfully for the partial
fulfillment of the program –Master of Business Administration (2017-2019).
As per my knowledge the work carried out by students in the group is genuine and original.
Place: Indore
We are grateful to our Guide Manish Sharma, IPS Academy, Indore for his precious guidance
throughout our project. He has devoted his valuable time and motivated us at every step towards
completing this project. The study would not have been possible without her generous guidance.
We also express our sincere gratitude to our family members, friends and Respondents for extended
support throughout the project.
DECLARATION
We the students of Prestige institute Of Management And Research, Indore. MBA (FT), 2nd semester,
hereby declare that the Minor Research Project entitled “Comparative Study Of E-Commerce Website
Flipkart & Amazon” has been undertaken by us under guidance and supervision of Prof. Manish Sharma
It is a genuine work done by us, and all the facts and figures are collected and analyzed by us are true and
authentic to the best of knowledge.
SHUBHAM ARORA
INTRODUCTION
2 CHAPTER 2 16-22
Detail of a Company
3 CHAPTER 3 23-30
Literature Review
4 CHAPTER 4 31-32
Rationale of Study
5 CHAPTER 5 33-34
Objective of Study
6 CHAPTER 6 35-38
Research Methodology
7 CHAPTER 7 39-55
Bibliography
CHAPTER 1
INTRODUCTION
INTRODUCTION (HISTORY)
Reliance Jio network which has been founded in 2007. It is a LTE mobile network operator in India. It is
a wholly owned subsidiary of Reliance Industries headquartered in Mumbai which provides wireless 4G
LTE service network (without 2G/3G based services) and is the only 100% volte (Voice over LTE)
operator in the country. It covers all 22 telecom circles in India. The Reliance unit has been buying
spectrum since 2010 under a plan to return this quarter to a market that now has more than 1 billion mobile
subscribers.
Telecom sector is one of the fastest growing industry in the world, it has immense capacity to serve the
people directly or indirectly. Telecom sector provides business and job opportunities to the people and help
in increasing GDP of the country. In India the telecom sector is flourishing and growing at the rapid pace
from last five years. The sector like telecom, education and hospital is affected by the population of the
country, India has very large population base in comparison to the other countries of the world.
India is currently the second-largest telecommunication market and has the third highest number of internet
users in the world, the telecommunication sector has various associates who are making the picture perfect,
like the mobile manufacturers Indian as well as foreign companies who are either having manufacturing
units in India or exporting to India. The companies who are having license of the mobile spectrum and
serving the Indian market with their services voice and data. The other associates’ falls under service
segment like mobile repairing and recharging the voice and data services to the mobile subscriber, as the
technology upgrades the new mobile devices are coming to the market the shops selling smartphones from
different vendors as multiband shops as well as branded shops for specific mobile brand.
India is currently the world’s second-largest telecommunications market and has registered strong growth
in the past decade and half. The Indian mobile economy is growing rapidly and will contribute substantially
to India’s Gross Domestic Product (GDP), according to report prepared by GSM Association (GSMA) in
collaboration with the Boston Consulting Group (BCG). Driven by strong adoption of data consumption
on handheld devices, the total mobile services market revenue in India is expected to touch US$ 37 billion
in 2017, registering a Compound Annual Growth Rate (CAGR) of 5.2 per cent between 2014 and 2017,
according to research firm IDC. India is expected to have over 180 million smartphones by 2019,
contributing around 13.5 per cent to the global smartphone market, based on rising affordability and better
availability of data services among other factors.
After the globalization of India economy in 1991 the telecommunication sector remained one of the
most happening sectors in India. The recent years witnesses rapid and dramatic changes in the field of
telecommunications. In the last few years more and more companies both foreign, domestic, come into
cellular service, service market and offers large number of services to the people. A consumer may
be referred to anyone engaged in evaluating, acquiring, using or disposing of services which he expects
will satisfy his wants. If any producer makes out the marketing programmer ignoring the consumer
preferences, he cannot possibly achieve his ultimate objectives. A manufacturer must plan his
production and distribution to suit the consumer’s convenience rather than his own. Therefore a
marketer must know more and more about the consumers, so that the products can be produced in such
a fashion to give satisfaction to them.
In the year of 1989, the number of cell phone users in India was zero. In the year of 1999 the number
of cell phone users has gone up by 13 lakh. In the year of 2000 the number of cell phone users has risen
by one million. Indian telecom sector added a staggering 227.27 million wireless mobile users in the
12 months between March 2010 and March 2011, while the overall teledensity has increased to 81.82%
as of 30 November 2015, and the total numbers of telephone phone users (mobile & landline) have
reached 1009.46 million as of May, 2015.Now currently telephone subscriber (mobile & landline) is
1058.01 million (May 2016). The company is reconfiguring to meet the growing demand for mobile
services. It will differentiate our mobile services from our competitors through ongoing investment in
technology, distribution and customer services, providing both a great customer experience and
competitive value. The company is updating our retail footprint to a new Reliance JIO concept
delivering a differentiated customer experience. A core part of our promise to customers is to ensure
that their technical experts in store transfer all their personal data to their new LYF phone allowing
them to walk out of the store with their phone fully functional. Extensive trials of our new concept store
across all markets have shown significant increases in both sales and customer satisfaction. The new
concept will be rolled out globally over the next upcoming years.
Reliance Jio network which has been founded in 2007. It is a LTE mobile network operator in India. It
is a wholly owned subsidiary of Reliance Industries headquartered in Mumbai which provides wireless
4G LTE service network (without 2G/3G based services) and is the only 100% volte (Voice over LTE)
operator in the country. It covers all 22 telecom circles in India. The Relaince unit has been buying
spectrum since 2010 under a plan to return this quarter to a market that now has more than 1 billion
mobile subscribers.
Telecom sector is one of the fastest growing industry in the world, it has immense capacity to serve the
people directly or indirectly. Telecom sector provides business and job opportunities to the people and help
in increasing GDP of the country. In India the telecom sector is flourishing and growing at the rapid pace
from last five years. The sector like telecom, education and hospital is affected by the population of the
country, India has very large population base in comparison to the other countries of the world.
India is currently the second-largest telecommunication market and has the third highest number of internet
users in the world, the telecommunication sector has various associates who are making the picture perfect,
like the mobile manufacturers Indian as well as foreign companies who are either having manufacturing
units in India or exporting to India. The companies who are having license of the mobile spectrum and
serving the Indian market with their services voice and data. The other associates’ falls under service
segment like mobile repairing and recharging the voice and data services to the mobile subscriber, as the
technology upgrades the new mobile devices are coming to the market the shops selling smartphones from
different vendors as multiband shops as well as branded shops for specific mobile brand.
India is currently the world’s second-largest telecommunications market and has registered strong growth
in the past decade and half. The Indian mobile economy is growing rapidly and will contribute substantially
to India’s Gross Domestic Product (GDP), according to report prepared by GSM Association (GSMA) in
collaboration with the Boston Consulting Group (BCG). Driven by strong adoption of data consumption
on handheld devices, the total mobile services market revenue in India is expected to touch US$ 37 billion
in 2017, registering a Compound Annual Growth Rate (CAGR) of 5.2 per cent between 2014 and 2017,
according to research firm IDC. India is expected to have over 180 million smartphones by 2019,
contributing around 13.5 per cent to the global smartphone market, based on rising affordability and better
availability of data services among other factors.
CURRENT SCENARIO
India's telecom market is now larger than both Germany and the UK. However, the industry here faces the
widest set of challenges, ranging from how to service the most basic communication needs to how to deliver
complex services—all in a highly competitive market driven by regulatory challenges and issues. Telecom
businesses have traditionally been consumer and voice heavy. As a percentage of revenues, data services
still remain at about 10%. There is therefore the need to develop a wider set of corporate offerings and
strengthen distribution channels. Improving customer experience has gained importance as a distinctive
means of securing and enhancing.
Now, we just cannot ignore the contribution Jio has provided in the current scenario of internet
connectivity in the country. While there have been battles between Jio and other incumbents like Airtel,
Vodafone, and Idea, the resultant competition has been good for the consumer. All the rivals have been
trying to match upto the offers. With more data to avail at lower costs and higher 4G internet speeds, the
average Indian user has been happy. Currently, Reliance Jio is the only network in India with complete
4G connectivity and boasts of more than 130 million subscribers which it has added in just 365 days. the
company recently announced the JioPhone, priced effectively at Rs 0. Reliance Jio has already promised
to offer voice calling for free forever.
ROAD AHEAD
The fast pace at which telecom operators are expanding their reach and launching 4G services in India,
it seems we are headed to another telecom revolution in the country. Indians can sure expect new services,
better call quality and much more competitive call rates in the days to come. What else?
According to Nigel Eastwood, Group CEO- New Call Telecom, "With all telcos upgrading services 2016
will be the game changer where more people will do lot more on their smartphones, new users will
upgrade to smartphones and fewer people use their desktops for everything from shopping to
entertainment."
This in turn would fuel the competition in the Indian telecom market, which means telcos would need to
ensure that their premium customers are served better with improved quality of services in 2016.
However, while telecom service providers in India will be spearheaded for growth, they need to address
the problems Indians currently face on a regular basis first. The case in point being here that of call drops
and a-not-so-great data network of service providers.
Now Jio is trying to force its way into online retail. Expect bloodshed and mayhem as it is armed with a
killer idea. While Amazon and Flipkart are fighting against the brick-and-mortar retail, Jio will redraw
the battle lines by roping in neighborhood stores.
INDUSTRY PROFILE
India has a fast-growing mobile services market with excellent potential for the future. With almost five
million subscribers amassed in less than two years of operation, India's growth tempo has far exceeded that
of numerous other markets, such as China and Thailand, which have taken more than five years to reach
the figures India currently holds. The number of mobile phone subscribers in the country would exceed 50
million by 2010 and cross 300 million by 2016, according to Cellular Operators Association of India
(COAI).
According to recent strategic research by Frost & Sullivan, Indian Cellular Services Market, such
growth rates can be greatly attributed to the drastically falling price of mobile handsets, with price
playing a fundamental role in Indian subscriber requirements. Subscribers in certain regions can acquire
the handset at almost no cost, thanks to the mass-market stage these technologies have reached
internationally. The Indian consumer can buy a handset for $150 or less. This should lead to increased
subscribership. This market is growing at an extremely fast pace and so is the competition between the
mobile service providers.
With the presence of a number of mobile telephony services providers including market leaders like
Airtel, Reliance, Idea Cellular, BSNL etc. who are providing either of the two network technologies
such as Global System for Mobile Communications (GSM) and Code Division Multiple Access
(CDMA). In cellular service there are two main competing network technologies: Global System for
Mobile Communications (GSM) and Code Division Multiple Access (CDMA). Understanding the
difference between GSM and CDMA will allow the user to choose the preferable network technology
for his needs.
Global System for Mobile Communication (GSM) is a new digital technology developed by the
European community to create a common mobile standard around the world. It helps you achieve higher
sell capacity and better speech quality and one can enjoy crystal clear reception on one’s mobile phone.
It automatically solves the problem of eavesdropping on ones calls. Before analyzing the telecom
licensing framework in India, it is imperative that one must examine what is a license. License issued
by the government is an authority, given to a person upon certain conditions to do something which
would have been illegal or wrongful otherwise.
For example, a driver’s license issued by the government, gives the authority to a person to drive a
motor vehicle. There are three main types of license fee which the government charges: (I) initial
license fee, which generally is non-refundable, (ii) annual license fee, and (iii) additional fee for
allocation of spectrum.
Licensing framework has been an integral part of India’s telecommunication law. Under the Indian
Telegraph Act, 1885, section 4 gives power to the government to grant license to any person to
establish, maintain or use a telegraph.
The National Telecom Policy was announced in 1994 which aimed at improving India's
competitiveness in the global market and provide a base for a rapid growth in exports. This policy
eventually facilitated the emergence of Internet services in India on the back of established basic
telephony communication network. This policy also paved way for the entry of the private sector in
telephone services.
• To ensure telecommunication is within the reach of all, that is, to ensure availability of telephone
on demand as early as possible
• To achieve universal service covering all villages, that is, enable all people to access certain
basic telecom services at affordable and reasonable prices
• To ensure world-class telecom services. Remove consumer complaints, resolve disputes and
encourage public interface and provide a wide permissible range of services to meet the demand
at reasonable prices
• To ensure that India emerges as a major manufacturing base and major exporter of telecom
equipment
The policy also announced a series of specific targets to be achieved by 1997 and further recognized
that to achieve these targets the private sector association and investment would be required to bridge
the resource gap.
Establishment of TRAI
The entry of private players necessitated independent regulation in the sector; therefore, the TRAI was
established in 1997 to regulate telecom services, for fixation/revision of tariffs, and also to fulfil the
commitments made when India joined the World Trade Organization (WTO) in 1995. The
establishment of TRAI was a positive step as it separated the regulatory function from policy-making
and operation, which continued to be under the purview of the DoT2.
a. To recommend the need and timing for introduction of new service provider
In recognition of the fact that the entry of the private sector, which was envisaged during NTP94, was not
satisfactory and in response to the concerns of the private operators and investors about the viability of their
business due to non-realization of targeted revenues the government decided to come up with a new telecom
policy. The most important milestone and instrument of telecom reforms in India is the New Telecom Policy
1999 (NTP 99). The New Telecom Policy, 1999 (NTP-99) was approved on 26th March 1999, to become
effective from 1st April 1999.Moreover, convergence of both markets and technologies required
realignment of the industry. To achieve India’s vision of becoming an IT superpower along with developing
a world class telecom infrastructure in the country, there was a need to develop a new telecom policy
framework. Accordingly, the NTP 1999 was framed with the following objectives and targets:
• Availability of affordable and effective communication for citizens was at the core of the vision and goal
of the new telecom policy
• Provide a balance between provision of universal service to all uncovered areas, including rural areas,
and the provision of high-level services capable of meeting the needs of the economy
• Encourage development of telecommunication facilities in remote, hilly and tribal areas of the nation
• Convert PCOs, wherever justified, into public telephone information centers having multimedia
capability such as ISDN services, remote database access, government and community information
systems etc.
• To bring about a competitive environment in both urban and rural areas by providing equal opportunities
and level playing field for all players
CHAPTER 2
COMPANY PROFILE
RELIANCE JIO
Jio's headquarters in RCP, Navi Mumbai
Type Subsidiary
Industry Telecommunications
Jio Apps
Subsidiaries LYF
www.jio.com
Website
Jio also known as Reliance Jio and officially as Reliance Jio Infocomm Limited (RJIL),[is an
upcoming provider of mobile telephony, broadband services, and digital services in India.. Reliance Jio
Infocomm Limited (RJIL), a subsidiary of Reliance Industries Limited (RIL), India’s largest private
sector company, is the first telecom operator to hold pan India Unified License. Formerly known as
Infotel Broadband Services Limited (IBSL), Jio will provide 4G services on a pan-India level using
LTE technology. The telecom leg of Reliance Industries Limited, it was incorporated in 2007 and is
based in Mumbai, India. It is headquartered in Navi Mumbai. RJIL is setting up a pan India telecom
network to provide to the highly underserviced India market, reliable (4th generation) high speed
internet connectivity, rich communication services and various digital services on pan India basis in
key domains such as education, healthcare, security, financial services, government citizen interfaces
and entertainment. RJIL aims to provide anytime, anywhere access to innovative and empowering
digital content, applications and services, thereby propelling India into global leadership in digital
economy.
Digital India as company has seen empowers them to fulfil their aspirations. Reliance JIO has invested
over Rs. 2,50,000 crores across the Digital India pillars," Ambani said, adding: "I estimate Reliance's
'Digital India' investments will create employment for over 5,00,000 people. " Ambani said the launch
of Digital India initiative was a momentous occasion in an information age where digitization was
changing the way one lives, learns, works and plays. It can transform the lives of 1.2 billion Indians
using the power of digital technology. And as well as "So 80 percent of the 1.3 billion Indians will have
high-speed, mobile Internet. And by 2017, company would cover 90 percent. And by 2018, all of India
In June 2010, Reliance Industries (RIL) bought a 96% stake in Infotel Broadband Services Limited (IBSL)
for Rs 4,800cr. Although unlisted, IBBL was the only firm to win broadband spectrum in all 22 zones in
India in the 4G auction that took place earlier that year.Later continuing as RIL's telecom subsidiary, Infotel
Broadband Services Limited was renamed as Reliance Jio Infocomm Limited (RJIL) in January 2013.
Agreements:
An agreement with Ascend Telecom for their more than 4,500 towers across India. (June 2014)
An agreement with Tower Vision for their 8,400 towers across India. (May 2014)
An agreement with ATC India for their 11,000 towers across India. (April 2014)
An agreement with Viom Networks for their 42,000 telecom towers. (March 2014)
Agreement with Bharti Airtel for a comprehensive telecom infrastructure sharing agreement to
share infrastructure created by both parties to avoid duplication of infrastructure wherever possible.
(December 2013)
A key agreement for international data connectivity with Bharti to utilise dedicated fiber pair of
Bharti’s i2i submarine cable that connects India and Singapore. (April 2013)
Agreements with Reliance Communications Limited for sharing of RCOM’s extensive inter-city
and intra-city optic fiber infrastructure of nearly 1,20,000 fiber-pair kilometers of optic fiber and
500,000 fiber pair kilometers respectively (April 2013 / April 2014), and 45,000 towers (June
2013).
Technology:
Reliance Jio Infocomm is currently laying OFC across the country to offer Fiber to the
home/premises (FTTH). This fiber backbone will also help them to carry huge amount of data
originated from their 4G network as well as public Wi-Fi network.
Reliance Jio is deploying LTE-TDD technology for 2.3 GHz spectrum band, acquired in 2010.
Reliance Jio will deploy LTE-FDD for 1.8 GHz spectrum, which will ultimately paved to roll out
of LTE-A network aggregation of both technology and both spectrum band.
At present in different cities of India Reliance Jio offers Wi-Fi services. Most of these cities are in
Gujarat, where Reliance Industries also have one of the largest petro refinery.
Once commercially launched, Jio users can have access to Reliance Communications’ 2G & 3G
network.
OPERATIONS
In June 2015, Jio announced that it will start its operations all over the country by the end of year.
However, four months later in October 2015, the company's spokesmen sent out a press release stating
that the launch was postponed to the first quarter of the financial year 2016-2017. Later in July, a PIL
filed in the Supreme Court by an NGO called the Centre for Public Interest Litigation, through Prashant
Bhushan, challenged the grant of pan-India license to Jio by the Government of India. The PIL also
alleged that Jio was allowed to provide voice telephony along with its 4G data service, by paying an
additional fees of just 165.8 crore (US$25 million) which was arbitrary and unreasonable, and
contributed to a loss of 2,284.2 crore (US$340 million) to the exchequer.
The Indian Department of Telecom (DoT), however, refuted all of CAG's claims. In its statement, DoT
explained that the rules for 3G and BWA spectrum didn't restrict BWA winners from providing voice
telephony. As a result, the PIL was revoked, and the accusations were dismissed.
Beta Launch
The 4G services were launched internally to Jio's partners, its staff and their families on 27 December
2015. Bollywood actor Shah Rukh Khan, who is also the brand ambassador of Jio, kickstarted the
launch event which took place in Reliance Corporate Park in Navi Mumbai, along with celebrities like
musician A R Rahman, actors Ranbir Kapoor and Javed Jaffrey, and filmmaker Rajkumar Hirani.The
closed event was witnessed by more than 35000 RIL employees some of whom were virtually
connected from around 1000 locations including Dallas in the US.
CHAPTER 3
LITERATURE REVIEW
Abhishek Kumar Singh and Malhar Pangrikar (2013) did a study titled “A Study Report, to Find out
Market Potential for 4G Businesses in Pune”. The Report is all about “Study of market potential for 4G
business in pune” and also to know about the customer perceptions and attitudes towards their current
service provider. Satisfaction level of the customers was also judged. The customer expectations were
analyzed thoroughly. Major factors considered in research are: what are the needs of the companies
based on the data services usage, major player in internet services, and support to customers. The
research was conducted on companies mainly from Industries like IT, Education, Manufacturing and
others which are located in Pune city. It is clear from the survey done that Reliance & Tata are Leading
Internet service Provider; they are providing products like Data Card, Broadband etc to the corporate
end users. Most of the companies are getting internet speed form 1MBPS-4MBPS. Most of the
companies are having good perception about 4 G and are willing to switch to it from their current
service provider. Speed of 4G is around than 30 to 35 MBPS, is going to boom the Market. Because
majority of the companies are facing Speed problem with their current ISP.
4G spectrum is a research item for next-generation wide-area cellular radio, which focuses on 4G
technologies, 4G networks and 4G systems. 4G technologies shall include three basic areas of
connectivity which are personal area networking (such as Bluetooth), local high-speed access points on
the network such as wireless technologies and cellular connectivity. At the moment, many companies
have established projects for 4G systems development. 4G can provide services for a wide range of
speed facility that support global roaming and each company will be able to interact with internet-
based information and available in every part of country.
In this literature review. The consumer perceptions about 4G services in Pune. The objectives of the
study was (1) to find the most influencing factor in selection of service provider, and (2) to measure
customer perception and satisfaction as regards the 4G service provided. The study on a 4G indicated
that some problems exist that deserve the attention of the company. The company needs to bridge the
gap between the services promised and 4G services offered. And to conclude, “Delivering service
without measuring the impact on the customer is like driving a car without a windshield”
The review of literature shows the works and opinion of the various author, who have worked in this
particular area
Surbhi Singh (2016), studied the Consumer Attitude towards Reliance Jio in India In this study she has
concluded on the growing consumer satisfaction towards Reliance Jio. The customers of Reliance Jio have
already crossed 130 million, and the growing demand will lead the company towards success. The factors
responsible for customer satisfaction towards Jio have been identified through the study. The reliability,
performance expectancy and other factors have enabled the presence of Reliance Jio in the mind of
customers. The study can be performed on the factors using CFA for academic purposes. The finding can
be used by reliance jio for their further strategies.
R. Sorna priya and M. Sathiya ISSN: 224-(2017), “Customer Satisfaction towards Reliance Jio
Network” Their study is involved in measuring the level of satisfaction and preference of Jio customer
and the researcher recommends Reliance Jio Company to improve their network coverage and to wipe
out the calling congestion. And it is assured that the company can achieve the 100 percentage satisfaction
of their customer. And also the customer might not be switch over to other networks. It will create
goodwill for the company and enrich its worthiness.
Aman banchhor et. Al.,(2015), state in his study that jio is the only company who is using fourth
generation (4G) LTE services and which operating its network on 1800MHz and 2300MHz bands in
Mumbai jio facilitate the normal download speed of 15-20 mbps . Lowest international call tariff in the
world .no surge pricing on public holidays, festivals and New Year. Reliance jio manipulate some
marketing strategies of competitive pricing and tariff plans , jio is offering special operating own apps
like JioPlay, Jiomoney, Jiomusic,etc. jio is going to charge 1/10th of standard in telecommunication
charge focusing on calls, text and data respectively without any roaming charges throughout India.
Sean Rodrigues (2015), concludes his study as the customers do not prefer reliance jio network therefore
it will be a hard task to get a good customer base for the 4G network. so, it is very crucial to improve the
image of the 2G and 3G service available. And also mentioned in the study that deployment of 4G
network in Indian is certainly not going to be easy as the telecom operators face the challenge to launch
a new network along with improving the existing 2G and 3G networks in the country.
Kunal Kapoor (2016), in his research paper concluded that JIO has created an impact however, the
replies received were mixed. Most of the people would shift to JIO only for the offer period i.e. till 31st
December, 2016 and thereafter they might not use.
Or even if they would, it would be for secondary purposes like internet. This might affect other service
provider especially their earning from data packs as consumer preference for data will be shifted to JIO
substantially and the other operators especially the top three might get more revenue on call charges and
would see fall in revenue from data packs.
S. Nemat Sheereen (2015) studied on customer satisfaction of BSNL services in Kerala. It has been stated
that BSNL is one of the leading telecommunication service providers in Kerala. Most of the studies
conducted in this area indicate the exploring development of services provided by number
telecommunication providers which opened new world to the customer around the world. This paper
analyses the customer satisfaction of BSNL services provided in Kerala. Quality of service and maximum
network coverage are the most important factor which satisfy the customers in relation to
telecommunication.
PL. Senthil and S. Mohammed Safi (2016) analyzed the behavior of Mobile Phone users in
Tiruchirappalli District. The consumer behavior is the act of individuals directly involve in obtaining and
using economic goods and services. It includes the decision processes that precede and determine this act.
Cell phone has been developed in 1979 and in India it was introduced in 1994. But it became familiar only
in the beginning of year 2000. Now cell phone users are scattered all over the world. One fifth of Indians
are using cell phone now. It is a very fast development in the field of communication. It helps one to send
and receive information anytime and anywhere. The effective and efficient usage of cell phone largely
depends upon the attitude of cell phone users and growth of this communication sector depends on the cell
phone service providers. Cell phone users meet many problems.
Problems pertaining to buying a cell phone, choosing an activation card, tower problem, variety of schemes,
recharge coupons, roaming and optimum use of cell phone facilities are some of the vital issues of the cell
phone users. So the researcher has made sincere attempt to analyze the consumer behavior of mobile phones
in the study area.
INTRODUCTION TO THE PROBLEM
Even though the sector has reflected promising growth, the teledensity in India still remains at a very
low level compared with international standards and thus providing tremendous opportunity for future
growth. In the medium-term, the industry is expected to continue to record good subscriber growth as
a result of low penetration levels, heightened competition; a sustained fall in minimum subscription
cost and tariff that increase affordability for lower-income rural users, expansion of coverage area by
mobile operators, and government support through schemes such as the rural infrastructure roll out
funded by subsidies from the Universal Service Obligation (USO) Fund. The Indian telecom sector
offers unprecedented opportunities in various areas, such as rural telephony, 4G, virtual private
network, value-added services, et al. Nonetheless, the lack of telecom infrastructure in rural areas and
falling ARPU of telecom service providers could inhibit the future growth of the industry
The competitive intensity in the telecom industry in India is one of the highest in the world and has led
to sustained fall in realization for the service providers. Intense competitive pressure and cut throat
pricing has resulted in declining ARPUs. With increasing number of new entrants in the telecom space
the competitive intensity is likely to continue, putting further downward pressures on the telecom
tariffs. Thus, the telecom companies might have to grapple with further decline in ARPUs, going
forward.
Further, with the telecom companies moving their focus to the rural areas for driving the future
subscriber growth they might not witness a commensurate increase in revenues. In fact, the risk of steep
decline in ARPUs will increase going forward as the telecom companies penetrate rural markets that
are characterized by higher concentration of low-income, low-usage customers. A higher-than-
expected decline in ARPU poses a risk of reduction in margins of service providers. Alternatively,
telecom operators are turning their focus to steadily increasing the minutes of usage (MoU) to counter
the sustained fall in ARPUs. Likewise, the growth of the VAS is also crucial for some improvement in
the ARPUs of operators.
28
Lack of Telecom Infrastructure
Lack of telecom infrastructure in semi-rural and rural areas could be one of the major hindrances in
tapping the huge rural potential market, going forward. The service providers have to incur a huge
initial fixed cost to enter rural service areas. Further, as many rural areas in India lack basic
infrastructure such as road and power, developing telecom infrastructure in these areas involve greater
logistical risks and also extend the time taken to roll out telecom services. The lack of trained personnel
in the rural area to operate and maintain the cellular infrastructure, especially passive infrastructure
such as towers, is also seen as a hurdle for extending telecom services to the under penetrated rural
areas.
A rural teledensity of merely 15% point towards the fact that a majority of Indian population still do
not have access to telecom services. The rural India seems to have remained untouched by the telecom
revolution witnessed in the last few years. A huge 'digital divide', which is reflected by the enormous
difference of 74% between the urban and rural teledensity, reiterates this fact. However, with the urban
markets reaching a saturation point, the telecom service providers are penetrating rural areas for driving
future growth. Thus, the service providers entering new rural markets might witness substantial
increase in subscriber base. The expansion in the rural areas, however, has increased the risk of further
decline in the ARPUs. Nonetheless the revenue growth from these regions is unlikely to match the
surge in the subscriber base.
Excessive Competition
Another major concern that has come to the forefront in the recent past has been heightened competitive
intensity in the industry that has correspondingly fuelled the price war between industry players. The
Indian wireless market is one of the world’s most competitive markets, with 12 operators across 23
wireless ‘circles’ and 6 to 8 competing operators in each circle. The auction of new 4G licences and
the introduction of mobile number portability (MNP) are likely to heat up competition in the industry,
going forward.
29
Spectrum is the most important resource that is required for providing mobile services. Given that
spectrum is a finite resource, the availability of the same would be inversely proportional to the number
of operators. Thus, larger the number of service providers smaller will be the amount of spectrum
available to each of them.
Scarcity of spectrum leads to higher capex on deployment of mobile networks for the operators as they
need more cell sites to improve service quality. Further the growing usage of spectrum and the resultant
scarcity may lead to re-use of spectrum and increase chances of congestion in networks leading to
constraints on service quality.
Evidently, the competition in the industry is expected to intensify further with the entry of new players,
both domestic as well as foreign players. With the competitive intensity of the industry already at such
high levels new operators might find it difficult to gather significant share in Indian telecom market.
While the new players may benefit from a faster network rollout through tower sharing, they will face
challenges in terms of high subscriber acquisition costs and lower ARPU customers.
The Indian economy remains highly underpenetrated in terms of broadband connections. High cost of
devices (PC and laptop), high internet charges and lower wireline connections have been some of the
major factors inhibiting broadband penetration. Broadband is one of the key catalysts for economic
development and major initiatives by both the government and service providers are needed to increase
its penetration.
Spectrum Allocation
4G Spectrum availability is one of the major concerns for the industry. Lack of adequate spectrum
which is the most integral part of the mobile telephony sector could hamper its growth severely.
However, the spectrum allotment has been the most controversial issues in the Indian telecom sector.
The smooth process of scheduled 4G spectrum allocation is likely to be one of the key factors affecting
the industry dynamics, going forward. Given the highly-competitive nature of the Indian telecom
30
industry on one hand, and limited licenses in the 4G network on the other, the risk of excessive biding
by the service providers has increased. Irrational bidding, especially in some circles, might render 4G
services financially-unviable. Further, there exists a risk of delay in allotment of proposed spectrum to
the service providers who have successfully bid for the 4G spectrum
31
Other Growth Inhabiting Factors
While the implementation of mobile number portability is likely to aid improvements in quality of
service, it is also likely to increase the churn out ratio significantly. The service providers are likely to
turn to the VAS as a service differentiator; however, widespread VAS deployment is restricted due to
language and illiteracy.
The deployment of 4G services is likely to help the emergence of new VAS. Mass acceptance will be
crucial for the success of 4G services in India. Comparatively higher cost of handsets required for
accessing 4G services is likely to be one of the major roadblocks in mass 4G adoption in India.
32
CHAPTER 4
RATONALE OF STUDY
33
This study covers customers about Reliance JIO in the areas of Muradnagar. The study makes
effort to ascertain the satisfaction level of customer of Reliance JIO. Through survey So that
company would be able to come up to the expectation level of its customer. The company can
come up to the expectation only by finding out the problem that customer are facing during their
purchase of Reliance JIO products.
The subject has been taken for the research as it plays key role in the success of Telecom sector.
No company can think of selling their product without having satisfied customer. No company can
survive in long run without coming up to the satisfaction level of customer. In short it is the level
of satisfaction that is link between end-user and company. As long as the company is able to satisfy
its customer, customer would remain in the bracket of loyal customer. Hence it is very essential
to understand the customer satisfaction and to measure the satisfaction level time to time as there
is always scope of improvement. The research will also be beneficial in analyzing the overall
market position of the company and measures which should be adopted by the Reliance JIO to
increase their market share in the region of Muradnagar.
34
35
CHAPTER 5
36
1. To study of customer satisfaction level on Reliance JIO products & services.
2. To find the market potential and market penetration of Reliance JIO products & services offerings
in Muradnagar.
a To analyze the customer perception toward mobile usage before launching jio,
b To analyze the customer perception toward mobile usage after launching jio,
c And, comparing the before and after perception of customers toward jio.
37
CHAPTER 6
RESEARCH METHODOLOGY
38
RESEARCH DESIGN: The purpose of the methodology is to design the research procedure. This
includes the overall design, the sampling procedure, the data collection method and analysis procedure.
Marketing research is the systematic gathering recoding and analyzing of data about problem retaining to
the marketing of goods and services. The essential purpose of marketing research is to provide information,
which will facilitate the identification of an opportunity of problem situation and to assist manager in
arriving at the best possible decisions when such situations are encountered. Basically there are two types
of researches, which according to their applicability, strength, weaknesses, and requirements used before
selecting proper type of research, their suitability must be seen with respect to a specific problem two
general types of researches are exploratory and conclusive.
1. Conclusive Research:
It is also known as quantitative research; it is designed to help executives of action that is to make decision.
When a marketing executive makes a decision are course of action is being selected from among a number
of available. The alternatives may be as few as two or virtually infinite. They may be well defined or only
vaguely glimpsed.
Conclusive research provides information, which helps the executives make a rational decision. In some
instances, particularly if any experiment is run, the research may come close to specifying the precise
alternatives to choose, in their cases especially with descriptive studies the research will only particularly
clarify the situation and much will be left to the executive’s judgment.
The type of research here is “Descriptive Research Design”. This kind of design is used for more
precise investigation or of developing the working hypothesis from an operational point of view. It has
inbuilt flexibility, which is needed because the research problem, broadly defined initially, is transformed
into one with more precise meaning in exploratory studies, which in fact may necessitate changes in
research procedure for gathering relevant data.
Flexible Design
39
Non-Probability Sampling Design
Sample Size
Sample size refers to the numbers of respondents researcher have selected for the survey. I have selected
300 sample units from market and individual customers.
Sampling Technique
The sample design provides information on the target information and final sample sizes. I used conveyed
convenient sampling surveyed in research.
Sampling Area:
While conducting sample, I went many places of Muradnagar areas-Railway road, Kasba
road, Rawli road,Sarna road, Sainthali,Duhai etc.
I have used Questionnaire, as the research instrument to conduct the market survey. The questionnaire
consisted closed ended questions designed in such a way that it should gather maximum information
possible.
The questionnaire was a combination of 15 questions. If choices are given it is easier for the respondent
to respond from the choices rather they think and reply also it takes lesser time. Because the keep on
responding and one has tick mark the right choice accordingly.
40
Data was collected through two sources: Primary Source: Primary data was collected directly from the
customers through a questionnaire. Secondary Source: The secondary source was the company website
and my colleagues.
Method of sampling
Convenient sampling is used to do sampling as all the customers in the sites are Surveyed.
Data Analysis
Data analysis was done mainly from the data collected through the customers. The data
Collected from secondary sources is also used to analyses on one particular parameter.
Qualitative analysis was done on the data collected from the primary as well as secondary
Sources.
41
CHAPTER 7
42
Age group of respondents
20-25 20% 60
26.66%
25-30 80
30-35 30% 90
Above 35 23.33% 70
Sales
20 %
23.33 %
20-25
25-30
30-35
26.66 % Above 35
30 %
43
INTERPRETATION:
• 20% of the respondents are between the age group 20 – 25.
• 26.66% of the respondents are between the age group 25 – 35.
• 30% of the respondents are between the age group 30 – 35.
TABLE
Students 16.66% 50
44
Sales
16.66%
26%
Students
Business man
INTERPRETATION:
• 16.66% of the respondents are Students.
• 26.66% of the respondents are Businessmen.
• 30% of the respondents are from Private employees.
45
TABLE 1:
No 0% 0
Sales
0%
Yes
No
100 %
INTERPRETATION:
46
• 100% of the respondents are Mobile users.
47
TABLE 2:
No 6.66% 20
Sales
6.66 %
yes
No
93.33 %
INTERPRETATION:
48
• 93.33% of respondents are aware about Reliance JIO.
• 6.66% of respondents are not aware about Reliance JIO
49
TABLE 3:
3. Which operator’s service do you use?
1. Airtel
2. Reliance JIO
3. Idea
4. Vodafone
Airtel 30% 90
23.33%
Reliance JIO 80
Idea 20% 60
Vodafone 26.66% 70
Sales
26.66 % 30 % Airtel
Reliance JIO
Idea
Vodafone
20 %
23.33 %
50
INTERPRETATION
• 30% of respondents are Airtel users
• 23.33% of respondents are Reliance JIO users.
• 20% of respondents are Idea users.
51
TABLE 4:
4. What is your average monthly expenditure on mobile (in RS)?
a) Rs100-Rs200
b) Rs200-Rs300
c) Rs300-Rs400
d) Above Rs500
32.14%
Rs200-Rs300 90
Rs300-Rs400 28.57% 80
52
Sales
10.71%
35.71% Rs100-Rs200
28.57% Rs200-Rs300
Rs300-Rs400
Above 500
32.14%
INTERPRETATION:
• 35.71% of respondents are monthly expenditure on mobile.
• 32.14% of respondents are monthly expenditure on mobile.
• 28.57% of respondents are monthly expenditure on mobile.
53
TABLE 5:
5. From which source you came to know about Reliance JIO?
a) News paper
b) Advertisement
c) Mouth publicity
d) Hoardings
Advertisement 21.42% 60
Hoarding 17.85% 50
54
Sales
17.85 %
News paper
32.14 %
Advertisement
Mouth publicity
28.57 %
Hoarding
21.42 %
INTERPRETATION:
• 32.14% of respondents are known by Newspaper.
• 21.42% of respondents are known by Advertisement.
• 28.57% of respondents are Mouth publicity.
• 17.85% of respondents are Hoardings.
TABLE 6:
6. Since how long you are using Reliance JIO services?
a) Less than one month
b) 2-3 months
c) 4-5 months
d) Non user
55
2-3 months 35.71% 25
Non users 0% 0
Sales
0%
14.28 %
INTERPRETATION:
• 42.85% of respondents are user of
• 35.71% of respondents are user of 2-3 months.
• 14.28% of respondents are user of 4-5 months.
• 0% of respondents are Non-user.
56
TABLE 7:
7. Which feature of Reliance Jio convinced you to use this?
a) Connectivity
b) Schemes
c) Advertisements
d) Goodwill
Connectivity 21.42% 15
Scheme 57.14% 40
Advertisement 14.28%% 10
Goodwill 7.14% 5
57
Sales
7.14 %
21.42 %
14.28 % Connectivity
Scheme
Advertisement
57.14 %
58
INTERPRETATION:
• 21.42% of respondents are convinced with connectivity.
• 57.14% of respondents are convinced with scheme.
• 14.28% of respondents are convinced with Advertisement.
59
TABLE 8:
8.Which service do you like most while using the Reliance jio services?
a)Data services
b)Call rate
c)Network coverage
d)Value added services
60
Sales
7.14 %
INTERPRETATION :
• 50% of respondents are in favor of Data services.
• 28.57% of respondents are in favor of Call rates.
• 14.28% of respondents are in favour of Network coverage.
• 7.14% of respondents are in favour of Value added services.
61
TABLE 9:
9) Why did you choose this service provider?
62
Sales
14.28 %
7.14 %
INTERPRETATION:
14.28% of respondents are chosen to Unlimited calling services.
35.71% of respondents are chosen to Unlimited Data services..
7.14% of respondents are chosen to Unlimited Sms services..
42.85% of respondents are chosen to All services.
63
TABLE 10:
If Yes, how often you call at customer care?
1. Daily
2. Once in week
3. Once in month
4. Rarely
Daily 28.57% 20
Rarely 7.14% 5
64
Sales
7.14%
14.28 %
Daily
28.57 %
Once in week
Once in month
Rarely
50 %
INTERPRETATION:
• 28.57% of respondents are made call customer care daily.
• 50% of respondents are made call customer care weekly.
• 14.28% of respondents are made call customer care monthly.
• 7.14% of respondents are made call customer care rarely.
TABLE 11:
Yes 71.42% 50
65
No 28.57% 20
Sales
28.57 % yes
no
71.42 %
INTERPRETATION:
• 71.42% of respondents are satisfied.
• 28.57% of respondents are not satisfied.
66
TABLE 12:
13. What should be improved in Reliance JIO SERVICES?
a) Improve in Network coverage
b) Remove calling congestion
c) Upgrade in Android version
d) Others
Improve in Network 9% 10
coverage
Remove calling 8% 7
congestion
Upgrade in Android 2% 3
version
Others 1% 2
Sales
1%
Improve in Network
coverage
2%
Remove calling
9% congestion
Upgrade in adroid version
8%
Others
INTERPRETATION:
• 9% of respondents are dissatisfied with poor network coverage.
• 8% of respondents are dissatisfied with call drop.
67
• 2% of respondents are dissatisfied with old version.
• 1% of respondents are dissatisfied others.
TABLE 14:
14. Would you like to recommend others?
a) Yes
b) No
85.14%
Yes 60
No 14.28% 10
68
Sales
85.14 %
yes
No
14.28
INTERPRETATION:
• 85.14% of respondents are recommended others.
• 14.28% of respondents are not recommended others.
69
CHAPTER 8
LIMITATIONS OF THE STUDY
70
LIMITATIONS
1. The first problem I faced is in getting the co-operation of the customers. Many of the respondents I
approached did not agree to the need and utility of the project and hence did not agree to provide me
with information.
2. The behavior of the customer is unpredictable which may result in the lacking of accuracy in the data.
3. As the sample size of the survey was so small and comprise of only 300 customers, the results may
have some prone to errors.
71
CHAPTER 9
CONCLUSION OF THE STUDY
72
CONCLUSION
Reliance JIO has become a very successful brand in India & providing customer satisfaction
is to be there main motive. It provides unlimited free calling and data services & SMS on the
move as people are more dependent on it in their daily lives like wide network coverage and
good 4G services. Because 3G services was unable to meet out customer needs and wants.
That’s why 4G has been evolved for Indian customers.
Reliance JIO possesses congestion free & wide network coverage, attractive 4G schemes &
customer services as well as lifetime roaming free services.
Providing customer satisfaction is the most crucial step of the company as they are to be
satisfied and provides Internet access on the move such as Wide network coverage and good
4G services as they are important and technology advanced stuff required by almost
everybody in today’s environment,
Reliance JIO is a home brand company and a very emerging brand in India and will be
successful in overseas market in upcoming years. It possesses congestion free & wide network,
attractive 4G schemes & customer services to cover one of the widest areas.
From the details it can be concluded that 80% of Reliance JIO users preferred to remain with
Reliance JIO and fully satisfied. Also good number of customers who are willing to switch
from their respective subscribers showed interest in Reliance JIO. Reliance JIO is capturing
the wide area of Indian markets increasingly day by day. Hence, these statistics imply a bright
future for the company. It can be said that in near future, the company will be booming in the
telecom industry.
73
SUGGESTIONS
1. In today’s era the Reliance JIO must focus on rural areas to get the people attention
and gather the rural people interest. Because most of rural people are not having the
knowledge about Reliance JIO.
2. Spread out the awareness about Reliance JIO in deep rural areas.
5. Make the advertisement of Reliance JIO by putting hoardings, boards, posters and neon
(Electric) sign boards in every areas. It should be highlighted punch line” LYF DEKHO LYF
JAISI”.
6. Get the feedback from existing customers about Reliance JIO and take the reference for
making new customers.
7. We should try building a good relationship with all retailers, praise, recognition & honor
on several occasion for our retailers would help a lot.
8. The customer care people and also employees in Reliance JIO should try to convey brand
Reliance JIO while talking to people.
9. Enhance the market penetration & shares in every market and give the high competition to
others company.
74
CHAPTER 10
BIBLIOGRAPHY
75
Referred Books:
Kothari. C.R (2004): Research Methodology Methods & Techniques‟, New Age
International
Articles:
Mukesh Ambani's son Akash Ambani joins Reliance Industries; begins at telecom
arm Reliance Jio, The Economic Times
Reliance Jio Infocomm launches 4G services for employees, The Economic Times,
December 27, 2015, retrieved December 29, 2015
Reliance Industries buys 95% stake in IBnfotel Broadband for Rs 4,800 cr, The
Economic Times Business Line
Reliance to launch Jio by Dec, set to kick off pricing war, Business Standard
http://www.ibef.org/industry/telecommunications.aspx
http://www.rcom.co.in/Rcom/aboutus/overview/overview_milestones.ht ml
https://www.budde.com.au/Research/India-Key-Statistics-
Telecommunications-Market-and-Regulatory-Overview
4.https://www.geckoandfly.com/13143/50-things-smartphone-replacedwill- replace-future
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