A

PROJECT
REPORT ON
“BRAND IMAGE OF UNINOR IN
BIHAR AS A NEW COMPANY.”
UNDER GUIDANCE:-
CORPORATE GUIDE: FACULTY:
MR. RATAN SRIVASTAV MR. MUKESH MISHRA
SSE, UNINOR PROF. MARKETING (RCM)
SUBMITTED BY:
ALOK BHARTI
REG. NO – 0906247068, BATCH -2009-11
Of Regional College Of Management, Bhubaneswar Towards The Partial
Fulfillment Of Requirement For The Award Of The Degree Of
‘Master Of Business Administration

Regional College Of Management Autonomous

Bhubaneswar , Orissa
 DECLARATION

ALOK BHARTI, hereby declare that, the project

entitled “BRAND IMAGE OF UNINOR IN
BIHAR AS A NEW COMPANY” is submitted by
me to UNINOR is based completely on my own
work experience in the past one and half months in
your organization.

Place: BEGUSARAI Signature

Date:

ACKNOWLEDGEMENT
Regional college of Management Autonomous, Bhubaneswar 2
As I am giving finishing touch to the present piece of
work and look back to catalogue my felling toward
all those who have help me in endeavour, I first begin
the acknowledgment with a prayer to God, as we
must all say almighty be praised for he saw us
through every crucial task.

I am expressing my deep gratitude to Uninor for

giving an opportunity to do a project on effect of
Brand image and study under them....

I would like to thank Mr.Ratan Srivastav (SSE,

UNINOR) for assisting & guiding me throughout the
training programme.

I am also extremely grateful to my project guide Mr.

Mukesh Mishra (Faculty Marketing, RCMA) for
assisting and guiding me throughout the project. I am
very grateful to RCMA for providing me the
opportunity of taking up such a practical project
which gave me a firsthand useful experience.
Last but not the least; I also like to thanks all the
respondents & my friends for giving me their
precious time, relevant information and experience
without which the project would have been a different
story.
Regional college of Management Autonomous, Bhubaneswar 3
 ALOK BHARTI

Corporate Guide Certificate

This is to certify that the work entitled “BRAND

IMAGE OF UNINOR IN BIHAR AS A NEW
COMPANY” is the piece of team project done by
Alok Bharti student of MBA (Second Year) under the
guidance and supervision for partial fulfilment of
MBA curriculum of Regional college of Management
Autonomous, Bhubaneswar.

To the best of my knowledge and belief the term

project report:

1. Embodies the work of candidate them self.

2. Has been duly completed.
3. Is up to the standard both in respect to the
content and language for being referred to the
examiner.
Ratan
Srivastav
Regional college of Management Autonomous, Bhubaneswar 4
 ( SSE ,
UNINOR)

Regional college of Management Autonomous, Bhubaneswar 5

 Faculty Guide Certificate

This is to certify that the work entitled “BRAND

IMAGE OF UNINOR IN BIHAR AS A NEW
COMPANY”is the piece of team project done by
Alok Bharti student of MBA (Second Year) under the
guidance and supervision for partial fulfilment of
MBA curriculum of Regional college of Management
Autonomous, Bhubaneswar.

To the best of my knowledge and belief the term

project report:

1.Embodies the work of candidate them self.

2.Has been duly completed.
3. Is up to the standard both in respect to the
content and language for being referred to the
examiner.

Mukesh Mishra

Regional college of Management Autonomous, Bhubaneswar 6

 ( Faculty Marketing,
RCMA)

Regional college of Management Autonomous, Bhubaneswar 7

 PREFACE

The rapid growth in Indian telecom industry has been contributing to India’s GDP at large.
Telecom industry in India started to set up in a phased approach. Privatisation was gradually
introduced, first in value-added services, followed by cellular and basic services. Telecom
Regulatory Authority of India (TRAI), was established to regulate and deal with competition
(the service providers). This gradual and thoughtful reform process in India has favoured
industry growth. Upcoming services such as 3G and WiMax will help to further augment the
growth rate.The Indian telecommunications industry is one of the fastest growing in the
world and India is projected to become the second largest telecom market globally by 2010.

This is evident from the facts of Telecom Industry for example, India added 113.26 million
new customers in 2008, the largest globally. The country’s cellular base witnessed close to 50
per cent growth in 2008, with an average 9.5 million customers added every month. This
would translate into 612 million mobile subscribers, accounting for a tele-density of around
51 per cent by 2012. It is projected that the industry will generate revenues worth US$ 43
billion in 2009-10.

In this report we have tried to capture most of the areas of Telecom Industry. Major
highlights of the report are History of Telecom Industry, Current Industry Analysis, Role of
TRAI, Spectrum allocation, FDI Regulation, Competitive advantages, Outsourcing in
Telecom, Emerging Technologies, Latest Innovation, and Growth Trends, Mergers and
Acquisitions.

Regional college of Management Autonomous, Bhubaneswar 8

SL. NO. Chapter Page No.

DECLARATION 2
ACKNOWLEDGMENT 3
CERTIFICATES 4-5
PREFACE 6
1. Introduction 8-36
2. Executive Summary 37
2.1 Company Profile 38-42
2.2 Product 43-46
3. Literature Review 47-53
4. Research Objective 54-55
5. Research Methodology 56-63
6. Data Analysis & Interpretation 64-77
7. Findings & Suggestion 78-80
8. Conclusion 81-82
9. Bibliography 83
10. Annexure 84-86
QUESTIONNAIRE

Regional college of Management Autonomous, Bhubaneswar 9

 CHAPTER – 1.

INTRODUCTIOn

INTRODUCTION
In the modern age of electricity and electronics, telecommunications has typically
involved the use of electric means such as the telegraph, the telephone, and the teletype,
the use of microwave communications, the use of fiber optics and their associated

Regional college of Management Autonomous, Bhubaneswar 10

electronics, and/or the use of the Internet. The first breakthrough into modern electrical
telecommunications came with the development of the telegraph during the 1830s and
1840s. The use of these electrical means of communications exploded into use on all of
the continents of the world during the 19th century, and these also connected the
continents via cables on the floors of the ocean. These three systems of communications
all required the use of conducting metal wires.

A revolution in wireless telecommunications began in the first decade of the 20th

Century, with Guglielmo Marconi winning the Nobel Prize in Physics in 1909 for his
pioneering developments in wireless radio communications. Other early inventors and
developers in the field of electrical and electronic telecommunications included Samuel
F.B. Morse and Joseph Henry of the United States, Alexander Graham
Bell of Canada, Lee de Forest of the U.S., who invented the amplifying vacuum
tube called the triode, Edwin Armstrong of the U.S., John Logie Baird of England,
and Nikola Tesla whose most important inventions were created in the United States.

Telecommunications play an important role in the world economy and the worldwide
telecommunication industry's revenue was estimated to be $3.85 trillion in 2008. The
service revenue of the global telecommunications industry was estimated to be $1.7
trillion in 2008, and is expected to touch $2.7 trillion by 2013

Telecom Sector In India

Than 125 million telephones network is one of the largest communication networks in
world, which continues to grow at a blistering pace. The rapid growth in the telecom
sector can be attributed to the various pro-active and positive policy measures taken by
the government as well as the dynamic and entrepreneurial spirit of the various telecom
service providers both in private and public sector. The telecom sector has shown
impressive growth during the past decade. Today, more Two striking features of this
growth viz. increasing preference for mobile phones and higher contribution of private
sector in the incremental growth have predominated the telecom sector. The share of
mobile phones (including WLL mobile) has overtaken the share of landlines with 62% in
the total number of phones. The private sector's contribution is also increasing rapidly.
Regional college of Management Autonomous, Bhubaneswar 11
Currently more than 30 lakh phones are being added each month and it is targeted that by
the end of 2008 the total number of phones may reach a level of 350 million taking the
tele-density to more than 30% which is currently at 24.63%.

Network Expansion: The total number of telephone subscribers has reached 281.62
million at the end of January 2008 as compared to 232.87 million in July 2007. The
overall Teledensity has increased to 23.63% in January 2008 as compared to 21.20% in
August 2007.

Wireless Service: The wireless segment saw a surge of 8.77 million subscribers last
month compared to 8.17 million in December2007. This pushed the total wireless
subscribers base to 242.40 million by Jan 31 2008.

Wire line Subscribers: The wire line segment subscriber base stood at 39.73 million
with a decrease of 0.16 million at the end of January 2008.

Teledensity: The gross subscriber base reached 206.83 million at the end of March 2007.
The Teledensity is 24.63%at the end of January 2008 as compared to 18.31% at the end
of March 2007, registering an increase of 6%.

Increasing Role of Private Sector: The private sector has played a significant role in the
growth of telecom sector. The share of private sector has risen to 85 per cent in
December 2007 from 64.14 per cent in November 2006.

Tariff Rebalancing Measures: There has been a dramatic fall in the tariffs due to
increased competition. The minimum effective charges for local calls have fallen
considerably in recent months especially for cellular service. The long distance domestic
as well as international charges have also fallen considerably.

Telecom Regulatory Authority of India (TRAI): TRAI was established under the
Telecom Regulatory Authority of India Act, 1997 enacted on March 28,1997. The goals
Regional college of Management Autonomous, Bhubaneswar 12
and objectives of TRAI are focused towards providing a regulatory framework that
facilitates achievement of the objectives of New Technology Policy (NTP) 1999. TRAI
has endeavored to encourage greater corporation in the telecom sector together with
better quality and affordable prices.

HISTORY OF INDIAN TELECOM SECTOR

1851
 Introduction of Telegraph services

1947
 Foreign Telecom Companies nationalized to form PTT

1980’s: The Beginning

 Tele-density in 1980-81: 0.3%
 Introduction of public pay phones
 Private Sector allowed
 DoT, MTNL and VSNL formed

Early to Mid 90’s: A

Messy Affair  Telecom policy 1994
- Basic telephony service to private operators
- 49% FDI
- 8 licensees began operations in Aug 1995

Late 90’s
 Birth of a regulator: TRAI
 NTP 1999 (New Telecom Policy)

2000+
 CAGR of around 85% since 1999
 FDI: 74% (2005)
2007-2009
 having the world's lowest call rates the fastest growth in
the number of subscribers (45 million in 4 months),
 the fastest sale of million mobile phones (in a week),
 the world's cheapest mobile handset
 the world's most affordable colour phone

Quick Facts
Total telecom subscribers : 429.72 million (March 2009)
Regional college of Management Autonomous, Bhubaneswar 13
 Wireless subscribers : 391.76 million
Wire line subscribers : 37.94 million
Tele density : 36.98 per cent
India’s service providers revenue in Q1 (2009): $8.2 billion
India’s Rural Mobile Phone Users : 100 Million
PRODUCT OF TELECOM SERVICE
Telecommunication sector in India is primarily subdivided into two segments, which are
Fixed Service Provider (FSPs) and Cellular Services. Telecom industry in India
constitutes some essential telecom services like telephone, radio, television and Internet.
Telecom industry in India is specifically emphasizing on latest technologies like GSM
(Global System for Mobile Communications), CDMA (Code Division Multiple Access),
PMRTS (Public Mobile Radio Trunking Services), Fixed Line and WLL(Wireless Local
Loop ). India has a prospering market specifically in GSM mobile service and the number
of subscribers is growing very fast.
 .Internet
 PMRTS
 VSATs
 Radio Paging
 GMPCS
 Basic Services
 Mobile Services

Industry Sectors
From holistic point of view telecom industry can be divided to four sub-sets. The major
forces in Indian telecom industry are Service providers. All major telecom equipment

Regional college of Management Autonomous, Bhubaneswar 14

Suppliers have their R&D centers in India. In last 5 years, global giants in mobile devices
have set up their manufacturing facitilities in India. The discussions in this document is
mainly restricted to only Telecom Service Providers.
Growth Avenues

Managed services

Managed services is another segment that is attracting telecom companies. On account of

the rapidly growing subscriber base, service providers find it difficult to manage their
Regional college of Management Autonomous, Bhubaneswar 15
infrastructure and network management operations. In such cases, they completely or
partially outsource their infrastructure or network management operations.

Infrastructure sharing

To reduce their network deployment costs, many service providers are considering
infrastructure sharing offers the following advantages:

 Improved service quality

 Increased affordability for customers

 Faster roll out of services in rural and remote areas

 Significant reduction in initial set up costs

 Increased environmental aesthetics

 Lower operating costs for service providers

Enterprise Telecom Services

Enterprise Telecom Services includes key services, such as voice over Internet protocol
(VoIP), dedicated telecom communication systems; IT infrastructure enabled unified
communication services, etc. Telecom service providers are increasingly targeting
enterprises by providing dedicated services and is expected to witness major
developments in near future.

Virtual Private Network

Regional college of Management Autonomous, Bhubaneswar 16

Virtual Private Network is a private data network that provides connectivity within closed
user groups via public telecommunication infrastructure. Competition is likely to heat up
in the VPN segment as DoT has relaxed the norms for private players.

3G
The Indian government plans to auction the spectrum for 3G services by inviting bids
from domestic as well as foreign players, and creating a competitive environment that
offers better services to consumers. Therefore, the 3G spectrum is among the major
investment opportunities and growth drivers of the telecom industry.
 The immense potential for 3G is reflected by the 30–40 percent annual growth in
Value-Added Services.

 Cell phone manufacturers are striving to develop USD 100 priced 3G handsets
for the Indian market.
India expects to replicate its 2G growth in 3G services.

WiMAX
WiMAX has been one of the most significant developments in wireless communication
in the recent past. Since this mode of communication provides network access in
inaccessible locations at a speed of more than 4 Mbps, it is expected to be a major factor
in driving telecom services in India, especially wireless services. Thus, it will lead to the
increased use of telecom services, Internet, value-added services and enterprise services.
WiMAX is expected to accelerate economic growth and assist in providing better
education, healthcare and entertainment services.
 It is estimated that India will have 13 million WiMAX subscribers by 2012.

 Aircel is the pioneer in WiMAX technology in India.

 The state-owned player, BSNL, aims to connect 74,000 villages through

WiMAX.

Regional college of Management Autonomous, Bhubaneswar 17

  Bharti, Reliance and VSNL have acquired licenses in the 3.3GHz range to utilise
the opportunities offered by this domain.

Value Added Services

The VAS industry was worth USD 632 million in 2006–07. The industry is estimated to
grow by 60 percent in 2007–08 and become an USD 1,011 million opportunity.

The VAS industry is currently focussing on the entertainment sector, such as the Indian
film industry and cricket; however, there is scope for growth in other avenues as utility-
based services, such as location information and mobile transactions.

Rural Telephony

As the government targets to increase rural teledensity from the current 2 percent to 25
percent by 2012, rural telephony will require major investments. This segment will boost
the demand for telecom services, equipment, Internet services and other value-added
services; thereby, offering great market opportunities for telecom players.

Industry Revenue (2002-2010)

According to a Frost & Sullivan industry analyst, by 2012, fixed line revenues are
expected to touch US$ 12.2 billion while mobile revenues will reach US$ 39.8 billion in
India. India has become the second country in the world to have more than 100 million
CDMA-based (code division multiple access) mobile phone subscribers after the US,
which has 157 million CDMA users. The Indian telecommunications industry is on a
growth trajectory with the GSM operators adding nearly 9 million new subscribers in
April 2009, taking the total user base to 297 million, a growth of 3.11 per cent over the
additions made the previous month. The figures, however, do not include the GSM
subscriber additions made by Reliance Telecom.

Regional college of Management Autonomous, Bhubaneswar 18

Year Revenue(US$ billion)
2002-03 9
2003-04 10
2004-05 11
2005-06 15
2006-07 20
2008-09 32
2009-10 43

revenue(us $ billion)

45
40
35
30
25
20 revenue(us $ billion)
15
10
5
0
2002- 2003- 2004- 2005- 2006- 2008- 2009-
03 04 05 06 07 09 2010

Subscriber Growth

India added 130 million new customers in 2008-09, the largest globally. The country’s cellular
base witnessed close to 50 per cent growth in 2008, with an average 9.5 million customers
added every month. By April 2009, the total number of telephone connections reached 441.47
million. With this growth, the overall tele-density reached 37.94 at the end of April 2009.
According to Business Monitor International, India is currently adding 8-10 million mobile
subscribers every month. It is estimated that by mid 2012, around half the country's population
will own a mobile phone. This would translate into 612 million mobile subscribers, accounting
for a tele-density of around 51 per cent by 2012.

Regional college of Management Autonomous, Bhubaneswar 19

Major Investments
The booming domestic telecom market has been attracting huge amounts of investment
which is likely to accelerate with the entry of new players and launch of new services.
Buoyed by the rapid surge in the subscriber base, huge investments are being made into
this industry.
 The Russian government is likely to pick up equity amounting to US$ 670
million-US$ 700 million in Sistema Shyam TeleServices Ltd (SSTL), a joint
venture between Russia-based telecom major Sistema and Shyam Group in India,
by the end of this financial year. SSTL is also planning to invest US$ 5.5 billion
over the next 5 years in India.

 Norway-based telecom operator Telenor has bought a 60 per cent stake in

Unitech Wireless for US$ 1.23 billion.

 Japanese telecom major NTT DoCoMo acquired a 27.31 per cent equity capital
of Tata Teleservices for about US$ 2.6 billion in November 2008.

 Bahrain's Batelco has signed a deal to buy 49 per cent in Chennai-based S-Tel, a
GSM service provider, for US$ 225 million.

 BSNL, India's leading telecom company in revenue terms, will put in about US$
1.16 billion in its WiMax project.
Regional college of Management Autonomous, Bhubaneswar 20
  Vodafone Essar will invest US$ 6 billion over the next three years in a bid to
increase its mobile subscriber base from 40 million at present to over 100
million.

 Telecom operator Aircel, which launched GSM mobile services in Bangalore in

February 2009, plans to invest US$ 220.58 million over the next year to set up
base stations across the state.

Some deals are discussed in detail in industry consolidation section.

Rural Telephony
Rural India had 76.65 million fixed and Wireless in Local Loop (WLL) connections and
551,064 Village Public Telephones (VPT) as on September 2008. Therefore, 92 per cent
of the villages in India have been covered by the VPTs. Universal Service Obligation
(USO) subsidy support scheme is also being used for sharing wireless infrastructure in
rural areas with around 18,000 towers by 2010.

Exploring the rural telecom opportunity

It is believed that of the next 250 million people expected to go mobile; at least 100
million will come from rural areas. Though the rural mobile penetration is highest in
Punjab (20.69 per cent), followed by Himachal Pradesh (17.09 per cent), Kerala (10.63
per cent) and Haryana (10.20 per cent), most companies are now sweating it out by hard
selling their products and services in the rural areas of the region. As a result, the
geographical coverage of mobile telephony in India has gone up from 13 percent, a
couple of years ago, to 39 percent now.

Regional college of Management Autonomous, Bhubaneswar 21

Policy Initiatives

The government has taken many proactive initiatives to facilitate the rapid growth of the
Indian telecom industry.
 100% foreign direct investment (FDI) is permitted through the automatic route in
telecom equipment manufacturing
 FDI ceiling in telecom services has been raised to 74%
 Introduction of a unified access licensing regime for telecom services on a pan-
India basis
 Plan to introduce mobile number portability in a phased manner
 The government is implementing a program of connecting 66,822 uncovered
villages under the Bharat Nirman programme. The government will invest US$ 2
billion to set up 112,000 community service centres in rural India to provide
broadband connectivity in 2008-09.
 The Department of Telecommunications (DoT) has stated that foreign telecom
companies can bid for 3G spectrum without partnering with Indian companies.
Only after winning a bid, would they need to apply for unified access service
licence (UASL) and partner with an Indian company in accordance with the FDI
regulations.

Regional college of Management Autonomous, Bhubaneswar 22

 Telecom Regulatory Authority of India(TRAI)

Mission
To ensure that the interests of consumers are protected and at the same time to nurture
conditions for growth of telecommunications, broadcasting and cable services in a
manner and at a pace which will enable India to play a leading role in the emerging
global information society.

Role of TRAI

One of the main objectives of TRAI is to provide a fair and transparent policy
environment which promotes a level playing field and facilitates fair competition. In
pursuance of above objective TRAI has issued from time to time a large number of
regulations, orders and directives to deal with issues coming before it and provided the
required direction to the evolution of Indian telecom market from a Government owned
monopoly to a multi operator multi service open competitive market. The directions,
orders and regulations issued cover a wide range of subjects including tariff,
interconnection and quality of service as well as governance of the Authority. The
functions of TRAI can be divided as :
 Recommendatory function and
 Mandatory Function.

Regional college of Management Autonomous, Bhubaneswar 23

Recommendatory Functions
 Need and timing for introduction of new service provider

 Terms and conditions of licence to a service provider

 Revocation of license for non-compliance of terms and conditions of license

 Measures to facilitate competition and promote efficiency in the operation to

facilitate growth in industry

 Technological improvement in services by service providers

 Inspection of type of equipment used by service provider

 Measures for Technological development

 Efficient Management of available spectrum

Mandatory Functions
 Ensure compliance of terms and conditions of license

 Fix the terms and conditions of their inter connectivity between service providers

 Ensure Technical compatibility and effective inter-connection between different

service providers.

 Regulate arrangements for sharing of revenues amongst service providers

 Lay-down the standards of QoS to be provided by service provider,ensure this by

periodical survey.

 Lay-down and ensure time period for providing local and long-distance circuits of
telecommunication between different service providers.

 Maintain inter-connect agreement register

Regional college of Management Autonomous, Bhubaneswar 24
  Ensure compliance of USO(universal service obligation)

Other functions
 Levy fees and other charges as determined by regulations.

 Perform administrative functions as entrusted to it by Central government or as

per TRAI act.

 Notify in Official Gazette the service rates and message rates within and outside
India.

Regional college of Management Autonomous, Bhubaneswar 25

Spectrum Auctions in India Vis-à-vis Worldwide

Spectrum auctions have been used with significant success in many developed countries.
From a regulatory and policy perspective, spectrum auctions ensure the efficient use of
spectrum by allocating it to those entities that value it most, while also generating
revenues for governments. But auctions may lead to unexpected outcomes due to
unanticipated problems with their design leading to unexpected bidder behavior such as
collusion and over-bidding. The key challenge before regulatory agencies is to design
auctions in such a way as to meet the objective of fostering competition while at the same
time ensuring that bidders can effectively use the spectrum for their business. With
private initiatives increasing in telecom and broadcast service provision, demand for
spectrum has increased. Digital technology has increased the scope of applications and
created new areas of service provision. Cellular telephony and wireless Internet are
examples of such services. Despite technological changes that reduce the demand for
spectrum, availability of spectrum continues to be a constraint. In order to allocate
spectrum amongst competing service providers, regulatory agencies often use auctions.
From the regulatory and policy perspective, spectrum auctions ensure efficient usage by
allocating it to those entities that value it most, while also generating revenues for
governments. But auctions may lead to unexpected outcomes as, for example, when
regulatory agencies have inadequate market information, there may be a mismatch
between expected and actual bidder behavior, or auctions may be poorly designed. The
key challenge before regulatory agencies is to design auctions in such a way as to meet
the objective of fostering competition while at the same time ensuring that bidders can
effectively use the spectrum for their business.

Regional college of Management Autonomous, Bhubaneswar 26

 Spectrum Auction Scenario in India

While India was one of the early adopters of spectrum auctions, its success in service
provision has been low. Despite this early start, services have been slow to roll out.
In India, telecom licences were auctioned for basic and cellular services from
1991 by the Department of Telecom (DoT), the incumbent government policy maker,
regulator and service provider. For service provision, the entire country was divided into
roughly 20 circles, categorized as A, B, or C depending upon their revenue potential. The
circles were mostly co-terminus with the DoT’s administrative boundaries and the states.
Potential service providers were required to seek foreign partners, as it was felt that no
Indian company had the requisite financial strength and technical know how. For all
licenses, bidding was a two-stage process, the first being a pre-qualification based on the
evaluation of financial net worth (linked to the category of circle and service bid for) and
experience in service provision and the second stage involved evaluation of bids. The bids
were single stage, with the award going to the highest bidder drawn from those that satisfied the
pre-qualification conditions. For cellular licences, Global System for Mobile Communications

Regional college of Management Autonomous, Bhubaneswar 27

(GSM) was the chosen technology and for basic services, a combination of fiber optic and
wireless in the local loop (WLL) was selected.
For cellular services, there were separate licenses for the four major metros of Kolkata (Calcutta),
Chennai (Madras), Mumbai (Bombay) and New Delhi. The licenses for the circles containing the
metros excluded these cities. For metro licenses, the financial bids were to be evaluated on the
rental to be charged to the customer for the first 3 years.(The airtime tariffs were fixed by DoT.)
The licensee fee was a flat amount for the first 3 years and then was linked to the number of
subscribers, subject to a minimum amount. Subsequent to the bid opening, the rentals were fixed
at Rs. 1561 based on the amounts specified by the winners, even though some winning bids had
zero out in metros, and bidders were evaluated on an annual license fee for the duration of the
license, converted to its net present value at a specified discount rate. The second highest bidder
had to match the highest bid in order to obtain the license.
Despite these initiatives, service roll out continued to be slow. The government then set up a
group on telecom (GOT), that consisted of top-level bureaucrats, industrialists and professionals
to evolve a future policy framework for the sector. This was presumably effected outside the DoT
as the government felt that the DoT might not be able to conceive a radically different roadmap or
might thwart the involvement of the private sector or produce a regulatory framework crafted in
the DoT’s vested interest. The GOT drafted the National Telecom Policy in 1999,2 (NTP 99)
which presented a roadmap for resolving the impasse. All existing license holders could
‘‘migrate’’ to a new regime that involved a one time payment as entry fee and an annual revenue
share with the government, provided that all operators withdrew their court cases against the
government on a variety of issues such as delays in clearances. The entry fee was based on a
percentage of the total amount of the original bid. This change greatly facilitated private sector
participation and several operators subsequently commenced services. As a part of the
package,the operators also agreed to allow the government to increase the number of players in
their service areas.

Gaps in Indian Spectrum Auction Licensing Scenario

The absence of clear separations in DoT’s responsibilities for policy, regulation and
operations led to several delays and lowered the credibility of the government. Like all
incumbents, it saw its position threatened by impending private participation and set
impediments in the service roll out, whereas in its role as a policy maker, it was required

Regional college of Management Autonomous, Bhubaneswar 28

to design the auctions to facilitate service provision. Confusion in DoT was also evident
from the manner in which it handled the interconnect issues. Managing the caps on the
number of circles or delays in clearances after the bids were opened showed a lack of
adequate preparation in the auction design process. The establishment of TRAI and NTP
99 brought about major changes to the licensing process and converting the licence fee to
a revenue sharing regime signaling the governments changing perspective and
willingness to bear a part of the market risk. Subsequently, an interconnect framework
has been put in place (although problems persist) and service provision has accelerated.

3G Spectrum allocation policy in India in 2009

In the conducive business environment, India Inc. awaits the rollout of 3G services. The
Indian government plans to auction the spectrum for 3G services by inviting bids from
domestic, as well as foreign players and creating a competitive environment that offers
better services to consumers. Therefore, the 3G spectrum is among the major investment
opportunities and growth drivers of the telecom industry.
 The immense potential for 3G is reflected by the 30-40 per cent annual growth in
value added services

 The global revenue for 3G is 60 per cent higher than that of other services.

 Cellphone manufacturers are striving to develop US$ 100-priced 3G handsets for

the Indian market.

 India expects to replicate its 2G growth in 3G services. The Indian market is well
poised to leverage the 3G service offerings in content categories such as sports,
games and music. In the present context, 3G technology is extremely relevant for
India.

 It offers voice capacity that is four to five times higher than that of 2G services.
Therefore, it is an ideal platform for low-cost cellular services

 It can fulfil the need of fast developing mobile penetration in rural areas

 It can meet the demand for high-speed data and content rich services in the urban
landscape.

Regional college of Management Autonomous, Bhubaneswar 29

  It can play a vital role in augmenting the competitiveness of the country’s large
BPO segment .

 It can be a way forward to achieve the Government’s broadband objectives.

In addition, it will be a good solution for education, telemedicine, etc. Even if 2 per cent
of the 180 million cellular subscribers adopt 3G technology as soon as it is launched, it is
likely to create an initial subscriber base of 3.6 million. The market is slated to capture
more than 11.3 per cent of all mobile subscribers by 2010, i.e., 21.3 million people.
Therefore, it would not be incorrect to assume that 3G is poised to create the next mobile
revolution in India. In the race towards lowering the entry barrier for 3G services,
companies plan to offer bundled service packages with subsidised handsets.With regard
to its business potential, many national players have already completed 3G trials. BSNL
has charted out a plan for launching 3G services in 250 cities. Private players, such as
Bharti, Reliance and Idea, are also ready to offer this service in 10-20 major Indian cities.

However, Airtel and MTNL are very keen on leveraging their first mover advantage in
this field.

In June 2009 the DoT (Department of Telecom) in India has announced the radio
spectrum that will be made available when 3G licenses are eventually auctioned off.It
could be the case that just 4 Operators are given radio spectrum around Delhi - given that
two incumbents (BSNL and MTNL) already have some licenses in each zone, then that
would be just the possibility of two new Operators coming to play. In other areas, there is
apparently going to be more provision for private players - meaning up to 11 ‘Operators’
could enter business. The greater availability of spectrum in these other zones is due to
the Defence Ministry giving up some of its Spectrum.

There is still much to-ing and fro-ing to be done though over the 3G licenses themselves -
currently there are disputes over how many Operators can exist per zone, and whether the
relevant spectrum is sold in tranches, or in one go. Hopefully something will be resolved

Regional college of Management Autonomous, Bhubaneswar 30

soon, as India is beginning to really lag behind in 3G technologies, particularly as many
other countries are already at HSPA (3.5G) level, and going to HSPA+ (3.75G) soon.

Comparison-Spectrum Allocation Policy in UK

The UK 3G auction took the necessary steps to design the auction appropriately,keeping
in mind the past discrepencies. In the UK, there were already four established mobile
players that had 2G licenses covering nearly 97 percent of the area and 90 percent of the
population. Incumbents who won a 3G license, could provide roaming services over the
existing 2G network to new 3G customers. In contrast, a new entrant needed to establish
a roaming arrangement with the incumbent 2G providers. The incumbents could thwart
competition by denying or delaying roaming facilities to the new entrants. The
government felt that new entrants needed certainty regarding their ability to be able to
provide roaming over the existing networks and, therefore, mandated that incumbents
would have to provide roaming to the new entrants. Such a mandate necessitated a
change in the existing licenses that was undertaken for the dominant providers. The
incumbents sought several changes to the originally proposed roaming conditions which
would be to their advantage. The FCC, the Radio Communications Agency that
conducted the 3G auctions in UK and Oftel (the UK regulator) went through a detailed
public discussion involving industry, academia and other interested parties in designing
the auctions. This allowed regulatory agencies in these countries to auction spectrum for
all services rather than having to choose allocation mechanisms separately for various
services.

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India’s Competitive Advantage
An analysis of the Indian telecom industry under the Porter’s Diamond Model reveals
that India offers a competitive advantage for firms operating in the country.

India is the fastest growing free market democracy in the world. It has a mature and
dynamic private sector, which accounts for 75 per cent of India’s GDP, and a market with
enormous potential due to its large size and diversity. It is also expected to achieve the
highest growth rate among the BRIC countries (Brazil, Russia, India and China). India
offers significant business opportunities to the services, as well as the manufacturing
sectors. This is because India offers benefits such as cost advantage in product
development and back-office processing and the large-scale availability of skilled
English-speaking professionals. The middle class population is also a significant market
for any business entity. AT Kearney ranked India as the second-most attractive
democracy in its FDI confidence index. The success of MNCs is a proof that India is an
Regional college of Management Autonomous, Bhubaneswar 32
attractive investment destination. India’s huge domestic market and buoyant economic
growth have always attracted foreign investors. Some of the key advantages of investing
in India are outlined below.

Stable Economic Outlook

A decade of reforms has opened the country to greater competition and spurred industries
to become more efficient. India is currently the fourth-largest economy on PPP basis and
is well positioned on a continuously increasing growth curve. India’s emergence as a
leading destination for foreign investment is a result of positive indicators such as a stable
6 per cent annual growth, rising foreign exchange reserves of over US$ 266.18
billion(July 24th 2009) and Foreign Direct Investment (FDI) of US$ 15 billion. Goldman
Sachs had earlier predicted that India will become the third-largest economy in the world.
However, it has now revised its previous estimates and claims that by 2050, India will
even surpass the US and become the second-largest economy after China. The country’s
economic growth has become more attractive due to the rising share of the services sector
in the GDP.

Large Market Potential

Around 30-40 million people in India join the middle class every year. The country’s
upper middle class spends 6 percent of its earnings on telecom services. India is one of
the largest consumer markets in the world. Due to rapid economic growth and rise in
disposable income, the spending power of consumers is increasing rapidly. It has been
forecasted that 15 years down the line, Indians will be approximately four times richer
than they are today. As per this forecast, Indians will purchase five times more cars and
consume three times more crude oil than they do today.
According to the 2001 census, about 54 per cent of the country’s total population was
below 25 years of age. By 2013, another 200 million people will be joining the league,
representing an exponential growth in the ‘consuming class’. India will become a large

Regional college of Management Autonomous, Bhubaneswar 33

consumer of world resources - be it natural or man-made, thereby offering numerous
opportunities to marketers around the globe. Approximately 33 per cent of India’s
population will be residing in urban areas by 2026, as against 28 per cent in 2001.

Large Talent Pool

The working age population is expected to rise by 83 per cent by 2026. India has over
380 universities and about 1,500 research institutes, which churn out approximately
200,000 engineers, 300,000 post graduates, 2,100,000 other graduates and around 9,000
PhDs. This large base of skilled manpower offers unparalleled advantages to the
companies operating in India. As a result, many multinational companies have either
established operation hubs in India to leverage this sizeable talent pool, or they have
outsourced their work to a third party in India. The numerous BPOs and KPOs
flourishing in India are a direct consequence of companies choosing the latter option

Low Labour Cost

CII estimates that manufactured product outsourcing accounted for US$ 10 billion in
2007. The value will escalate to US$ 50 billion by 2015. India has one of the lowest
labour costs among the developing countries, which is the foremost factor for attracting
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multinational giants in every sector. The Ministry of Commerce, Government of India,
has estimated that off shoring operations to India can provide a cost benefit of up to 40 to
60 per cent, as compared to developed countries. The country has also emerged as a
major R&D hub with more than hundred Fortune 500 companies based in India. An apt
example is Nokia, which has set up its manufacturing operations in India considering the
long term sustainable demand for mobile telephony. The company believes that this
initiative will help the company in reducing time to market and respond better to
customer requirements. It has pumped in US$ 150 million into its Chennai facility.

The Road Ahead

The target for the 11th Plan period (2007-12) is 600 million phone connections with an
investment of US$ 73 billion. Apart from the basic telephone service, there is an
enormous potential for various value-added services. In fact, the real potential for
telecom service growth is still lying untapped. According to the CII Ernst & Young
report titled 'India 2012: Telecom growth continues', revenue from India's telecom
services industry is projected to reach US$ 54 billion in 2012, as against US$ 31 billion
in 2008.

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 India is the world’s largest untapped mobile market

Gradual Progression in Telecom Sector

The progression chart below depicts the major regulations and events driving the extra
ordinary growth of Telecom sector from year 1999 to 2008. In order to capitalize this
opportunity of meeting the consumer needs in highly competitive market the operators
have reduced the tariffs to attract consumers with low purchasing power primarily in
semi urban and rural India. In fact lucrative offers like being paid for incoming calls have
transformed the scenario completely. Through these changing regulations and events, the
Industry players are aiming to achieve the following
 Acquiring new subscribers by expanding in Semi Urban and Rural India

 Selling more services to existing subscribers

The recent TRAI recommendation permitting PC-to-phone calls where ISPs can offer
cheaper STD calls and even free local calls. This would result in further reduction of
voice tariffs. This would lead to increased focus on MVAS by mobile operators.

Acquiring New Subscribers through expansion in Rural India

Acquiring customers have always been a great challenge for companies. Given the
current level of saturation in Metros and Urban Market and cut throat competition among
operators , increasing subscriber base in urban market would be all the more challenging.
Therefore a lot of operators with adequate support from Government are eyeing the rural
market for future growth. Big operators like Airtel have claimed that soon mobile
connections and recharge vouchers etc will be available at all such places from where
people buy match boxes. This certainly explains the future penetration of these services
in remotest of villages.
Selling More to Existing Subscribers

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This is relatively easier as compared to acquiring new customers. Also since now the new
subscriptions will largely happen at the bottom of the pyramid therefore the new
subscriptions will further lower the average revenue per user. In such a scenario mobile
VAS sector is a potential long-term revenue stream as it will be easier to sell more to the
existing customers.
Government Initiatives
Government also has supported the growth of this sector by coming out with a number of
initiatives for the low end subscribers of rural India, and Universal Service Obligation
(USO) fund was one such initiatives. The USO fund was an initiative taken up by the
government to increase rural teledensity. In recent developments, BSNL and two private
operators will erect 427 towers in remote areas offering over four lakh mobile
connections. All the towers are expected to be erected and commissioned by December
2008. Under the second phase, DoT aims at erecting 11,000 towers throughout the
country to offer over 11 million mobile connections ADC was levied by Telecom
Regulatory Authority of India (TRAI) in 2003 to provide support for BSNL's rural
telephone obligation. Telecom Regulatory Authority of India (TRAI) has recently given
orders for the withdrawal of the ADC (Access Deficit Charge) and the subsequent
passing of the benefit to the consumers by the telecom operators.

The reasons for the increasing importance of MVAS can be classified

as:

Decrease in ARPU despite increase in MOU: Though the subscriber base is growing at
a rapid pace and has positively impacted industry revenues, operator margins also have
shrunk owing to competition and lower “Average Revenue per User” (ARPU) as the
major growth is coming from bottom of the pyramid. As ARPU declines and voice gets
commoditized, the challenge is to develop alternative revenue streams and retain
customers by creating a basis for differentiation in high-churn markets.

Regional college of Management Autonomous, Bhubaneswar 37

Need for differentiation: There is a greater need among the telecom operators to
differentiate themselves from each other.
 Number of Licensees: With increasing number of licensees (98 UASL, and 37
cellular licenses) in the telecom space the average numbers of operators in many
circles have increased to 5-6 operators offering more choices to the consumer.
Thus the competition among the operators has increased tremendously. Therefore
it is very important for them to differentiate themselves from the others. Now that
voice has got commoditized these operators are using MVAS for their
differentiation and marketing these services heavily for creating awareness among
the consumers.
 Decreasing Call Rates: In order to attract consumers with relatively low
purchasing powers primarily from Semi Urban and Rural India the operators have
drastically reduced the call rates making it affordable to even the lower segment
of society. The tariff in India is one of the lowest at Rs.1 per minute as compared
to the tariff in developed nations like USA and UK where the call rates are Rs.13
and Rs7-8 respectively.
 3G bidders who are non operators: The arrival of new technologies will give
rise to greater competition as many non operators are also bidding for the 3G
licenses. Department of Telecom has planned to allow five 3G operators in each
circle depending on the availability of spectrum.Therefore there would be a
greater need to differentiate one self in order to attract new customers and retain
the existing ones.
 Saturation in Metro and Urban Market: The metro/urban areas offer high level
of penetration and have significant mobile subscribers. In such a highly saturated
market with the entry of MVNO’s the competition will get fierce. Therefore
capitalizing on value added services will give operators opportunity to increase
ARPU by providing premium services.
 Increasing need and demand from consumers: In addition to the above supply
side reasons the ‘pull effect’ from consumers asking for more than just basic
telephony is also a key driver for MVAS services. Today most of the consumers
are seeking more from their communication device apart from just mobility and
Regional college of Management Autonomous, Bhubaneswar 38
 desire to stay connected. As we have seen, Telecommunication has moved
beyond providing just basic voice calls. The mobile phone has evolved from a
mere communication device to an access mode with an ability to tap a plethora of
information and services available in the ecosystem. This is the reason why it is
now being referred to as the ‘fourth screen’, after Cinema halls, Television and
PC.

CHAPTER-2

EXECUTIVESUMMARY
2.1 COMPANY
PROFILE
2.2 PRODUCT
Regional college of Management Autonomous, Bhubaneswar 39
COMPANY

Type Joint Venture

Industry Telecommunications

Founded 2009

Headquarters Gurgaon, India

Key people Stein-Erik Vellan

(CEO)
Sanjay Chandra
(Chairman)

Products Wireless
Telephone
Internet

Employees 2,000

Parent Telenor (67.25%)
Unitech Group (32.75%)

Regional college of Management Autonomous, Bhubaneswar 40

 Website Uninor.in

Uninor is a mobile telephony and network operator in India. The company holds a pan-
India UAS licence to offer telecommunications services in each of India’s 22 circles. It
has also received spectrum to roll out these services in 21 of the 22 telecom circles. From
November 2009, Uninor will be owned 67.25% by Norwegian telecom giant Telenor, and
32.75% by India's Unitech Group. Uninor has started mobile services in India at the end
of 2009, focusing on the GSM technology.

Uninor has launched operations simultaneously in 7 telecom circles with the tagline of
“Ab Mera Number Hain” in Tamil Nadu, Kerala, Karnataka, Andhra Pradesh, Uttar
Pradesh East, Uttar Pradesh West and Bihar (including Jharkhand).

The Uninor GSM mobile service would be presented through around 1,000 distributors

and 300,000 points of sale in place across India. Till today around 12,000 base stations
are installed in 7 telecom circles to provide the seamlessGSM Mobile connectivity.
According to company claims, as the service is now available to 550 million people, it is
one of the biggest single day launches in telecom history.

Uninor India has introduced two call rate plans to attract customers to the GSM mobile
service. A ‘talkmore’ at 29 paise base plan and ‘callmore’ at 29 paise subscription plan.
These plans are designed for those customers who talk longer on their calls or those who
make more than four calls a day.

Under the base plan offers subscriber local calls at 29 paise a minute and STD calls at 49
paise a minute, with a call set up fee of 39 paise, while local calls will be charged at 29
paise a minute and STD call at 49 paise per minute, with a daily rental of Rs.2 in
subscription plan. It has no plans to offer the per-second tariff option.

According to the company statement “Uninor holds license to provide mobile

phone services across all 22-telecom circles in India. The company is planning to roll-out
services in 8 circles by the end of 2009.
Regional college of Management Autonomous, Bhubaneswar 41
History of uninor
The company Unitech Wireless was until 2009 a subsidiary of Unitech Group, holding a
wireless services licence for all 22 Indian telecom circles since2008. In early 2009,
Unitech Group and Telenor agreed on a majority take-over by Telenor of Unitech's
wireless business, including Unitech Wireless' national-wide mobile licence. By March,
May and November, Telenor acquired a 33%, 49% and 60% stake in Unitech Wireless,
respectively. In September, the mobile operation changed its name to Uninor. On October
19 the Indian Cabinet Committee of Economic Affairs (CCEA) announced that it has
approved Telenor's acquisition of up to 74% in Unitech Wireless, and the shareholder's
agreement sets a 67.25% Telenor ownership in Uninor.

UNINOR,S STRATEGY
Uninor is India's eighth nation-wide mobile operator, in a competitive landscape of 13
nation-wide or regional mobile operators. The company is targeting an 8 % pan-Indian
market share, and the opening of one million retail points and breaking even
on EBITDA within three years. It will provide mobile communication and Value Added
Services.

In order to reduce time-to-market, Uninor will outsource infrastructure and back-end

services to partner organizations with established core competencies. The operational
model is low-cost with a gradual network-build up, infrastructure
sharing, GSM equipment at competitive cost, full-scale IT-outsourcing and a long
term cost and capex efficiency.

Uninor will organise with headquarters just outside Delhi (Gurgaon), and 11 regional

hubs covering one or more of the total of 22 telecom circles. Hub head offices are located
in the following cities:

 Kochi- Kerala Circle

Regional college of Management Autonomous, Bhubaneswar 42

 Chennai - Chennai, Tamil Nadu
 Bangalore - Karnataka Circle
 Hyderabad - Andhra Pradesh Circle
 Kolkata - Kolkata, West Bengal & Orissa Circle
 Delhi / Noida (NCR) - Delhi, Western Uttar Pradesh, Uttarakhand & Rajasthan
Circle
 Patna - Bihar & Jharkhand Circle
 Mumbai - Mumbai, Maharashtra & Gujarat Circle
 Lucknow
 Guwahati
 Chandigarh
 Indore
 Ahmedabad

To quickly launch mobile services only nine months after the foundation of the new
company, Uninor has entered into network and base station service agreements with
partners. Tower sharing agreements are concluded with Wireless-TT Info Service
Limited and Quippo Telecom Infrastructure
Limited. Telecommunications, network and radio equipment is to be supplied by Alcatel-
Lucent,Huawei Technologies India, Nokia Siemens Networks and Ericsson. The
company's IT services and infrastructure is to be shared with Wipro Technologies.

VISION OF UNINOR
Its vision is simple, yet powerful. It exist to help you get the full benefit of
communications services in your daily lives. It’re here to help. This means providing
services that bring solutions to your everyday endeavors and needs, enabling your future
aspirations to come even closer.

It are driven by this promise to you.

“ A promise to keep things simple. A promise to listen and respond. A promise to
constantly innovate, motivate and support; so you see change. Change that takes you
where you want to go.”
Regional college of Management Autonomous, Bhubaneswar 43
Uninor in socity
At Uninor, It believe in safeguarding human worth. A non-discriminatory and respectful
attitude towards customers, colleagues and wider society will be the hallmark of Its
approach. And It will work to be at the forefront in matters of health, safety, security and
the environment. Its primary responsibility is to help people communicate wherever they
are. It will leverage on Its combination of local heritage and global telecom experience to
develop products and services that positively affect people’s lives. Driven by Its values, It
will work to: 
 Maximize the enabling effect of mobile telecommunications.
 Promote safer products and services.
 Make responsible business practices part of everything It do.

Regional college of Management Autonomous, Bhubaneswar 44

Product
Uninor Prepaid and Uninor Postpaid Tariff plans:
Uninor Life Time prepaid card:
 Price of pack (Rs) – Rs. 49
 Validity – Lifetime
 Free airtime (Rs) – Rs. 5
 Pulse rate – 60 seconds

Uninor Pay Per Second Plan:

 Local and Std callings to Uninor network at 1 paisa for 2 seconds

 Other networks it will be one paisa per second

Uninor Tariff Plans:

 Talklonger@29p/min
 Callmore@29p/min

BASIC SERVICES

 Clip
 Call Hold/call waiting
 Call conference
 Clir
 SMS
 Call Barring (CBARR) (Post Paid)

CALLER LINE IDENTIFICATION PRESENTATION (CLIP)

Clip identifies the caller by displaying the number of the caller on the handset. This
allows you the benefit of accepting or rejecting the call; although, at times caller Line
Identification may not appear due to technical problems in the originating network.

Regional college of Management Autonomous, Bhubaneswar 45

CALL HOLD/ CALL WAIT
This feature allows you to receive or make another call, while you are already busy with
a call, without disconnecting it . You can receive or make a second call, by putting the
first call on hold. You billed for both the calls. You can activate call
waiting by using the menu of your cell phone

CALL CONFERENCE (CC)

This feature allows you to have a teleconference with up to five people at the same time,
from wherever you are. You can conference with either cellular or landline phones,
including STD and ISD calls. To make a conference call simply make your first call.
Then put the first call on hold and dial the next number. To conference, scroll through the
handset menu and select the conference feature. Now your call are connected . to invite
another person follow the same steps again

Note:
 Call conference is a handset dependent feature
 You are charged for the time on hold and conference
 The originator of the calls will be charged for all the calls initiated by him.To use
the facility you need to activate the “call waiting” feature on your handset.

CALLER LINE IDENTIFICATION RESTRICTION (CLIR)

Now, with CLIR you can restrict your cellular phone number from being displayed on the
receiver’s cellular phone. This means, you can maintain complete confidentiality of your
number. This feature might not function across operator networks, but will definitely
restrict caller ID when called within the same cellular operator network’s Mobile
numbers.

SHORT MESSAGING SERVICE

Regional college of Management Autonomous, Bhubaneswar 46
This feature allows you to send and receive messages to and from, respectively; almost
all national and international cellular operators. SMS allows you access to services lime
receiving stock quotes, horoscopes, Jokes messages, email, news and many others. It
comes as an in built feature to all Uninor subscribers. Uninor offers an array of Services
that help you manage your calls better. From caller Identification to call waiting, from
call divert to call conference Uninor redefines convenience. Most of these features are
optional and can be availed of on request and carry a nominal subscription charge. To
activate any feature call our customers care or visit any Uninor ‘n’ U Showroom.

CALL DIVERT (CD)

With call Divert, you can divert an incoming call to another cell phone (be it Uninor or
Airtel/ Essar or BSNL cellular Phone ) or even a landline number
(within Andhra Pradesh local dialing list). You can divert your calls.

VALUE ADDED SERVICES

Just when you thought you had the cake, we made it possible for you to eat it too.
Introducing THE UNINOR Value Added Services, a vibrant bouquet of "little
conveniences" "small pleasures" "bits of happiness" "dollops of infotainment" and all
those "itsy bitsy" wants of yours that together make up THE BIG SMILING

PICTURE.
SMS based services to Voice based ones, the Uninor range cuts across all
modes of communication to ensure the BEST VALUE for your money. So be it
downloading the latest ring tones or sharing the freshest of blonde jokes, be it
checking the status of your cousin's train arrival time or arranging a pick up for your
boss's delayed flight, Uninor hands you the power to do it all. You could also book a
surprise movie ticket or deliver those dainty dandelions for your date or access the latest
cricket scores or some serious stock information; or maybe even play downloadable
games or chill out with some zany chats with buddies on-line.

Regional college of Management Autonomous, Bhubaneswar 47

 Chapter-3

Literature review

BRAND IMAGE
Regional college of Management Autonomous, Bhubaneswar 48
Introduction
Brand image or brand identity is a mental or emotional association in the customers
mind. It isinitiated by the images we use in our advertising and the word we use to
describe our products. Thus our brand is born.
A brand is complex entity in the minds of a customer.
Brand image is a customer’s internal emotional reaction to the expression of brand
identity. Like brand personality, brand image is not something you have or you don't! A
brand is unlikely to have one brand image, but several, though one or two may
predominate. The key in brand image research is to identify or develop the most powerful
images and reinforce them through subsequent brand communications. The term "brand
image" gained popularity as evidence began to grow that the feelings and images
associated with a brand were powerful purchase influencers, though brand recognition,
recall and brand identity. It is based on the proposition that consumers buy not only a
product (commodity), but also the image associations of the product, such as power,
wealth, sophistication, and most importantly identification and association with other
users of the brand. In a consumer led world, people tend to define themselves and their
Jungian "persona" by their possessions. According to Sigmund Freud, the ego and
superego control to a large extent the image and personality that people would like others
to have of them. Good brand images are instantly evoked, are positive, and are almost
always unique among competitive brands.

Brand image can be reinforced by brand communications such as packaging, advertising,

promotion, customer service, word-of-mouth and other aspects of the brand experience.
Brand images are usually evoked by asking consumers the first words/images that come
to their mind when a certain brand is mentioned (sometimes called "top of mind"). When
responses are highly variable, non-forthcoming, or refer to non-image attributes such as
cost, it is an indicatorof a weak brand image.
A brand is a collection of experiences and associations connected with a service, a
person or any other entity. Brands have become increasingly important components of

Regional college of Management Autonomous, Bhubaneswar 49

culture and the economy, now being described as "cultural accessories and personal
philosophies". Some people distinguish the psychological aspect of a brand from the
experiential aspect. The experiential aspect consists of the sum of all points of contact
with the brand and is known as the brand experience. The psychological aspect,
sometimes referred to as the brand image, is a symbolic construct created within the
minds of people and consists of all the information and expectations associated with a
product or service.

People engaged in branding seek to develop or align the expectations behind the brand
experience, creating the impression that a brand associated with a product or service has
certain qualities or characteristics that make it special or unique. A brand is therefore one
of the most valuable elements in an advertising theme, as it demonstrates what the brand
owner is able to offer in the marketplace. The art of creating and maintaining a brand is
called brand management.

Careful brand management, supported by a cleverly crafted advertising campaign, can be

highly successful in convincing consumers to pay remarkably high prices for products
which are inherently extremely cheap to make. This concept, known as creating value,
essentially consists of manipulating the projected image of the product so that that the
consumer sees the product as being worth the amount that the advertiser wants him/her to
see, rather than a more logical valuation that comprises an aggregate of the cost of raw
materials, plus the cost of manufacture, plus the cost of distribution. Modern value-
creation branding-and-advertising campaigns are highly successful at inducing consumers
to pay, for example, 50 dollars for a T-shirt that cost a mere 50 cents to make, or 5 dollars
for a box of breakfast cereal that contains a few cents' worth of wheat.

A brand which is widely known in the marketplace acquires brand recognition. When
brand recognition builds up to a point where a brand enjoys a critical mass of positive
sentiment in the marketplace, it is said to have achieved brand franchise. One goal in
brand recognition is the identification of a brand without the name of the company
present. For example, Disney has been successful at branding with their particular script
Regional college of Management Autonomous, Bhubaneswar 50
font (originally created for Walt Disney's "signature" logo), which it used in the logo for
go.com. Consumers may look on branding as an important value added aspect of
products or services, as it often serves to denote a certain attractive quality or
characteristic (see also brand promise). From the perspective of brand owners, branded
products or services also command higher prices. Where two products resemble each
other, but one of the products has no associated branding (such as a generic, store-
branded product), people may often select the more expensive branded product on the
basis of the quality of the brand or the reputation of the brand owner.

Brand name
The brand name is often used interchangeably within "brand", although it is more
correctly used to specifically denote written or spoken linguistic elements of any product.
In this context a "brand name" constitutes a type of trademark, if the brand name
exclusively identifies the brand owner as the commercial source of products or services.
A brand owner may seek to protect proprietary rights in relation to a brand name through
trademark registration. Advertising spokespersons have also become part of some brands,
for example: Mr. Whipple of Charmin toilet tissue and Tony the Tiger of Kellogg's.
The act of associating a product or service with a brand has become part of pop
culture. Most products have some kind of brand identity, from common table salt to
designer jeans. A brandnomer is a brand name that has colloquially become a generic
term for a product or service, such as Band-Aid or Kleenex, which are often used to
describe any kind of adhesive bandage or any kind of facial tissue respectively.

Brand identity
How the brand owner wants the consumer to perceive the brand - and by extension the
branded company, organization, product or service. The brand owner will seek to bridge
the gap between the brand image and the brand identity. Brand identity is fundamental to
consumer recognition and symbolizes the brand's differentiation from competitors.
As mentioned above, its what the owner wants to communicate. However, with time, the
brand acquires some more from consumer perspective and not necessarily all the

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communications from owner percolate to consumers. Therefore, brand associations
comes handy to check the consumer's perception of the brand.

Branding approaches
Company name
Often, especially in the industrial sector, it is just the company's name which is promoted
(leading to one of the most powerful statements of "branding"; the saying, before the
company's downgrading, "No one ever got fired for buying IBM").
In this case a very strong brand name (or company name) is made the vehicle for a range
of products (for example, Mercedes-Benz or Black & Decker) or even a range of
subsidiary brands (such as Cadbury Dairy Milk, Cadbury Flake or Cadbury Fingers in the
United States).

Individual branding
Each brand has a separate name (such as Seven-Up or Nivea Sun (Beiersdorf)), which
may even compete against other brands from the same company (for example, Persil,
Omo, Surf and Lynx are all owned by Unilever).

Attitude branding
Attitude branding is the choice to represent a larger feeling, which is not necessarily
connected with the product or consumption of the product at all. Marketing labeled as
attitude branding include that of Nike, Starbucks, The Body Shop, Safeway, and Apple
Computer. In the 2000 book, No Logo, attitude branding is described by Naomi Klein as
a "fetish strategy".
"A great brand raises the bar -- it adds a greater sense of purpose to the experience,
whether it's the challenge to do your best in sports and fitness, or the affirmation that the
cup of coffee you're drinking really matters." - Howard Schultz (president, ceo and
chairman of Starbucks)

"No-brand" branding

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Recently a number of companies have successfully pursued "No-Brand" strategies,
examples include the Japanese company Muji, which means "No label" in English (from
"Mujirushi Ryohin" – literally, "No brand quality goods"). Although there is a distinct
Muji brand, Muji products are not branded. This no-brand strategy means that little is
spent on advertisement or classical marketing and Muji's success is attributed to the
word-of-mouth, a simple shopping experience and the anti-brand movement. Another
brand which is thought to follow a no-brand strategy is American Apparel, which like
Muji, does not brand its products.

Derived brands
In this case the supplier of a key component, used by a number of suppliers of the end-
product, may wish to guarantee its own position by promoting that component as a brand
in its own right. The most frequently quoted example is Intel, which secures its position
in the PC market with the slogan "Intel Inside".

Brand extension
The existing strong brand name can be used as a vehicle for new or modified products;
for example, many fashion and designer companies extended brands into fragrances,
shoes and accessories, home textile, home decor, luggage, (sun-) glasses, furniture,
hotels, etc. Mars extended its brand to ice cream, Caterpillar to shoes and watches,
Michelin to a restaurant guide, Adidas and Puma to personal hygiene. Dunlop extended
its brand from tires to other rubber products such as shoes, golf balls, tennis racquets and
adhesives. There is a difference between brand extension and line extension. When Coca-
Cola launched "Diet Coke" and "Cherry Coke" they stayed within the originating product
category: nonalcoholic carbonated beverages. Procter & Gamble (P&G) did likewise
extending its strong lines (such as Fairy Soap) into neighboring products (Fairy Liquid
and Fairy Automatic) within the same category, dish washing detergents.
Multi-brands
Alternatively, in a market that is fragmented amongst a number of brands a supplier can
choose deliberately to launch totally new brands in apparent competition with its own
existing strong brand (and often with identical product characteristics); simply to soak up
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some of the share of the market which will in any case go to minor brands. The rationale
is that having 3 out of 12 brands in such a market will give a greater overall share than
having 1 out of 10 (even if much of the share of these new brands is taken from the
existing one). In its most extreme manifestation, a supplier pioneering a new market
which it believes will be particularly attractive may choose immediately to launch a
second brand in competition with its first, in order to pre-empt others entering the market.

Individual brand names naturally allow greater flexibility by permitting a variety of

different products, of differing quality, to be sold without confusing the consumer's
perception of what business the company is in or diluting higher quality products.

Once again, Procter & Gamble is a leading exponent of this philosophy, running as many
as ten detergent brands in the US market. This also increases the total number of
"facings" it receives on supermarket shelves. Sara Lee, on the other hand, uses it to keep
the very different parts of the business separate — from Sara Lee cakes through Kiwi
polishes to L'Eggs pantyhose. In the hotel business, Marriott uses the name Fairfield Inns
for its budget chain (and Ramada uses Rodeway for its own cheaper hotels).

Cannibalization is a particular problem of a "multibrand" approach, in which the new

brand takes business away from an established one which the organization also owns.
This may be acceptable (indeed to be expected) if there is a net gain overall.
Alternatively, it may be the price the organization is willing to pay for shifting its
position in the market; the new product being one stage in this process.

Own brands and generics

With the emergence of strong retailers the "own brand", a retailer's own branded product
(or service), also emerged as a major factor in the marketplace. Where the retailer has a
particularly strong identity (such as Marks & Spencer in the UK clothing sector) this
"own brand" may be able to compete against even the strongest brand leaders, and may
outperform those products that are not otherwise strongly branded.

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Concerns were raised that such "own brands" might displace all other brands (as they
have done in Marks & Spencer outlets), but the evidence is that — at least in
supermarkets and department stores — consumers generally expect to see on display
something over 50 percent (and preferably over 60 percent) of brands other than those of
the retailer. Indeed, even the strongest own brands in the UK rarely achieve better than
third place in the overall market.

This means that strong independent brands (such as Kellogg's and Heinz), which have
maintained their marketing investments, are likely to continue their strong performance.
More than 50 per cent of UK FMCG brand leaders have held their position for more than
two decades, although it is arguable that those which have switched their budgets to "buy
space" in the retailers may be more exposed.

The strength of the retailers has, perhaps, been seen more in the pressure they have been
able to exert on the owners of even the strongest brands (and in particular on the owners
of the weaker third and fourth brands). Relationship marketing has been applied most
often to meet the wishes of such large customers (and indeed has been demanded by them
as recognition of their buying power). Some of the more active marketers have now also
switched to 'category marketing' – in which they take into account all the needs of a
retailer in a product category rather than more narrowly focusing on their own brand.

At the same time, probably as an outgrowth of consumerism, "generic" (that is,

effectively unbranded) goods have also emerged. These made a positive virtue of saving
the cost of almost all marketing activities; emphasizing the lack of advertising and,
especially, the plain packaging (which was, however, often simply a vehicle for a
different kind of image). It would appear that the penetration of such generic products
peaked in the early 1980s, and most consumers still appear to be looking for the qualities
that the conventional brand provides.

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 CHAPTER- 4

RESEARCH OBJECTIVE

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 Research objective

The study has been under taken to analyze the Brand Image towards Uninor in Begusarai
(BIHAR) with a special reference to the Uninor, the other objectives are:

To gather information about Brand Image in the geographic region of BEGUSARAI

(BIHAR):

 To analyze the customer opinion on certain parameters of Brand Image of

Uninor vis- a-vis competitors.

 To identify attractiveness of promotional campaigns of Uninor.

 To measure the customer satisfaction towards Uninor.

 To measure the innovational elements in Uninor.

 To know the factor influencing decision making while going for the purchasing.

 To know the Brand awareness among the people of the Begusarai city.

 To recommend the suggestion to improve the effectiveness of the consumer

Relation and services.

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 CHAPTER-5

RESEARCH
METHODLOGY

Research Methodology

A research process consists of stages or steps that guide the project from its conception
through the final analysis, recommendations and ultimate actions. The research process
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provides a systematic, planned approach to the research project and ensures that all
aspects of the research project are consistent with each other.

Research studies evolve through a series of steps, each representing the answer to a key
question.

INTRODUCTION

This chapter aims to understand the research methodology establishing a framework of

evaluation and revaluation of primary and secondary research. The techniques and
concepts used during primary research in order to arrive at findings; which are also dealt
with and lead to a logical deduction towards the analysis and results.

RESEARCH DESIGN

I propose to first conduct a intensive secondary research to understand the full impact and
implication of the industry, to review and critique the industry norms and reports, on
which certain issues shall be selected, which I feel remain unanswered or liable to
change, this shall be further taken up in the next stage of exploratory research. This stage
shall help me to restrict and select only the important question and issue, which inhabit
growth and segmentation in the industry

The various tasks that I have undertaken in the research design process are :

 Defining the information need

 Design the exploratory, descriptive and causal research.

RESEARCH PROCESS

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The research process has four distinct yet interrelated steps for research analysis.It has a
logical and hierarchical ordering:
 Determination of information research problem.
 Development of appropriate research design.
 Execution of research design.
 Communication of results.
Each step is viewed as a separate process that includes a combination of task , step and
specific procedure. The steps undertake are logical, objective, systematic, reliable, valid,
impersonal and ongoing.
EXPLORATORY RESEARCH

The method I used for exploratory research was

 Primary Data
 Secondary data

PRIMARY DATA
New data gathered to help solve the problem at hand. As compared to secondary data
which is previously gathered data. An example is information gathered by a
questionnaire. Qualitative quantitative data that are newly collected in the course of
research, Consists of original information that comes from people and includes
information gathered from surveys, focus groups, independent observations and test
results. Data gathered by there searcher in the act of conducting research. This is
contrasted to secondary data, which entails the use of data gathered by some one other
than the researcher information that is obtained directly from first-hand sources by means
of surveys, observation or experimentation.

Primary data is basically collected by getting questionnaire filled by the respondents.

SECONDARY DATA
Information that already exists somewhere, having been collected for another purpose.
Sources include census reports, trade publications, and subscription services. There are
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two types of secondary data: internal and external secondary data. Information compiled
inside or outside the organization for some purpose other than the current investigation
Researching information, which has already been published. Market information
compiled for purposes other than the current research effort; it can be internal data, such
as existing sales-tracking information, or it can be research conducted by someone else,
such as a market research company or the INDIAN government.

Secondary source of data used consists of books and websites.

My proposal is to first conduct a intensive secondary research to understand the full
impact and implication of the industry, to review and critique the industry norms and
reports, on which certain issues shall be selected, which I feel remain unanswered or
liable to change, this shall be further taken up in the next stage of exploratory research.

DESCRIPTIVE RESEARCH

STEPS in the descriptive research:

Statement of the problem
 Identification of information needed to solve the problem.
 Selection or development of instruments for gathering the information.
 Identification of target population and determination of sampling Plan.
 Design of procedure for information collection.
 Collection of information.
 Analysis of information.
 Generalizations and/or predictions

DATA COLLECTION
Data collection took place with the help of filling of questionnaires. The questionnaire
method has come to the more widely used and economical means of data collection. The
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common factor in all varieties of the questionnaire method is this reliance on verbal
responses to questions, written or oral. I found it essential to make sure the questionnaire
was easy to read and understand to all spectrums of people in the sample. It was also
important as researcher to respect the samples time and energy hence the questionnaire
was designed in such a way, that its administration would not exceed 4-5 mins. These
questionnaires were personally administered.
The first hand information was collected by making the people fill the questionnaires.
The primary data collected by directly interacting with the people. The respondents were
contacted at Railway station, Bus stand, markets, places that were near to showrooms of
the consumer durable products etc. The data was collected by interacting with 150
respondents who filled the questionnaires and gave me the required necessary
information. The respondents consisted of housewives, students, businessmen,
professionals etc. the required information was collected by directly interacting with
these respondents.

DETERMINATION THE SAMPLE PLAN AND SAMPLE SIZE

TARGET POPULATION
It is a description of the characteristics of that group of people from whom a course is
intended. It attempts to describe them as they are rather than as the describer would like
them to be. Also called the audience the audience to be served by our project includes
key demographic information (i.e.; age, sex etc.).The specific population intended as
beneficiaries of a program. This will be either all or a subset of potential users, such as
adolescents, women, rural residents, or the residents of a particular geographic area.
Topic areas: Governance, Accountability and Evaluation, Operations Management and
Leadership. A population to be reached through some action or intervention; may refer to
groups with specific demographic or geographic characteristics. The group of people you
are trying to reach with a particular strategy or activity. The target population is the
population I want to make conclude an ideal situation; the sampling frames to matches
the target population. A specific resource set that is the object or target of investigation.
The audience defined in age, background, ability, and preferences, among other things,
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for which a given course of instruction is intended. I have selected the sample trough
Simple random Sampling.

SAMPLE SIZE

This involves figuring out how many samples one need.

The numbers of samples you need are affected by the following factors:
 Project goals.
 How you plan to analyze your data.
 How variable your data are or are likely to be.
 How precisely you want to measure change or trend.
 The number of years over which you want to detect a trend.
 How many times a year you will sample each point.
 How much money and manpower you have.

SAMPLE SIZE

I have targeted 150 people in the age group above 21 years for the purpose of the
research. The target population influences the sample size. The target population
represents the Begusarai regions. . The people were from different professional
backgrounds. The details of our sample are explained in chapter named primary research
where the divisions are explained in demographics section

ERRORS IN THE STUDY

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Interviewer error
There is interviewer bias in the questionnaire method. Open-ended questions can be
biased by the interviewer’s views or probing, as interviewers are guiding the respondent
while the questionnaire is being filled out. The attitudes the interviewer revels to the
respondent during the interview can greatly affect their level of interest and willingness.
to answer openly. As interviewers, probing and clarifications maximize respondent
understanding and yield complete answers, these advantages are offset by the problems
of prestige seeking, social desirability and courtesy biases.

Questionnaire error
The questionnaire designing has to careful so that only required data is concisely reveled
and there is no redundant data generated. The questions have to be worded carefully so
that the questions are not loaded and does not lead to a bias in the respondents mind

Respondent error
The respondents selected to be interviewed were not always available and willing to
cooperate also in most cases the respondents were found to not have the knowledge,
opinion, attitudes or facts required additionally uninformed response errors and response
styles also led to survey error.

Sampling error
We have taken the sample size of 150, which cannot determine the buying behavior of
the total population. The sample has been drawn from only State Capital Region.

RESEARCH DESIGN
Research design is a conceptual structure within which research was conducted. A
research design is the detailed blueprint used to guide a research study towards its
objective. It is a series of advanced decision taken together comprising a master plan or a
model for conducting the research in consonance with the research objectives. Research
design is needed because it facilitates the smooth sailing of the various research

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operations thereby making research as efficient as possible yielding maximum
information with the minimum effort, time and money.

Need for the study

Brand Image helps the organization in achieving targeted sales and to sustain in the
market for a long time. It helps the organization in increasing its product awareness in the
customers. Every organization needs to improve level of brand image and identify
customer preferences for various products so that they can implement measures for
enhancing brand image. This forms the basis for the current study.

Scope and the Limitation of the study

 The scope of study is limited to the respondents are selected from in and around
Begusarai, Bihar.

 The project is carried out for the period of 45 days only.

 Measurement of customer satisfaction is complex subjects, which uses non-

objectives method, which is not reliable.

 The sample unit was also 150 respondents.

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 CHAPTER- 6

DATA ANALYSIS
&
INTERPRETATION

DATA ANALYSIS & INTERPRETATION

a) Table No. 1 Customer opinion toward Uninor is a new mobile service

provider with strong backup
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 Factor Percentage
Strongly agree 08%
Agree 20%
Neutral 30%
Disagree 32%
Strongly disagree 10%
Total 100%

Source: Questionnaire

Figure:1

Customer opinion toward Uninor is a new mobile service

provider with strong backup .

10% 8%
32% 20% Strongly agree
Agree
30% Neutral
Disagree
Strongly disagree

Interpretation 1:

The sample drawn on probability basis shows that 8% of the customers were strongly
agree,20% agree, 30% neutral, 32% disagree, and only 10% were not strongly disagree
with Uninor is a new mobile service provider with strong backup.

Observation:

Most of the respondents approached were not satisfied with Uninor service.

b) Table No: 2 customer opinion towards Uninor is a company with difference

Factor Percentage
Strongly agree 12%
Agree 20%
Neutral 30%
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 Disagree 28%
Strongly disagree 10%
Total 100%
Source: Questionnaire

Figure:2

customer opinion towards Uninor is a company with

difference.

10% 12%
28% Strongly agree
20%
Agree
30% Neutral
Disagree
Strongly disagree

Interpretation 2:

The sample drawn on the probability basis clearly shows that 12% of customer strongly
agree that uninor is a company with difference, 20% agree, 30% neutral, 28% disagree
and 10% of customer strongly disagree that Uninor is a company with difference.

Observation:

Majority of the respondent are of the idea that company provide the service similar as
competitor company. As such, Uninor should focus on the aspects, which will enhance
the customer satisfaction and thus the market share.

c) Table No: 3 Customer opinions towards Uninor entered into market with
new Ideas.

Factor Percentage
Strongly agree 10%
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 Agree 32%
Neutral 20%
Disagree 28%
Strongly disagree 10%
Total 100%
Source: Questionnaire

Figure: 3

Customer opinions towards Uninor entered into market

with new Ideas..

10% 10%
28% Strongly agree
32% Agree
20% Neutral
Disagree
Strongly disagree

Interpretation 3:

The sample drawn on the probability basis clearly shows that 10% of customer strongly
agree that uninor is a company entered into market with new ideas, 32% agree, 20%
neutral, 28% disagree and 10% of customer strongly disagree that Uninor is a company
entered into market with new ideas .

Observation:

Majority of the respondent are agree that company entered into the market with new ideas
such as 24×7 badalta discount.

d) Table No: 4 Customer opinions toward Uninor is providing better schemes

than other

Factor Percentage
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 Strongly agree 08%
Agree 22%
Neutral 30%
Disagree 20%
Strongly disagree 20%
Total 100%

Source: Questionnaire

Figure: 4

Customer opinions toward Uninor is providing better

schemes than other.

20% 8%
22% Strongly agree
20% Agree
30% Neutral
Disagree
Strongly disagree

Interpretation 4:

The sample drawn on the probability basis clearly shows that 8% of customer strongly
agree that uninor is providing better scheme than other, 22% agree, 30% neutral, 20%
disagree and 20% of customer strongly disagree that Uninor is providing better scheme
than other.

Observation:

Majority of the respondent are of the idea that company’s new scheme 24×7 badalta
discount is not very attractive scheme for customer.

e) Table No: 5 Customer opinions toward Uninor is strong enough to fight with
other competitors .

Factor Percentage
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 Strongly agree 02%
Agree 10%
Neutral 30%
Disagree 38%
Strongly disagree 20%
Total 100%
Source: Questionnaire

Figure: 5

Customer opinions toward Uninor is strong enough to

fight with other competitors .

2%

20% 10%
Strongly agree
38% 30% Agree
Neutral
Disagree
Strongly disagree

Interpretation 5

100% of respondents 02% of the respondents approached were strongly agree that Uninor
is strong enough to fight with other competitors. 10% were agree, 30% of them neutral ,
38% were disagree and 20% were strongly disagree that uninor is strong enough to fight
with other competitors

Observation

As majority of the respondents are disagree that Uninor is strong enough to fight with
with other competitors. Hence company should give focus to strategy for competitors.

f) Table No: 6 Customer opinions toward Uninor products is value for money.

Factor Percentage
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 Strongly agree 02%
Agree 18%
Neutral 30%
Disagree 30%
Strongly disagree 20%
Total 100%
Source: Questionnaire

Figure: 6

Customer opinions toward Uninor products is value for

money .

2%

20% 18%
Strongly agree

30% Agree
30%
Neutral
Disagree
Strongly disagree

Interpretation 6:

The sample drawn on the probability basis clearly shows that 02% of customer strongly
agree that uninor product is value for money, 18% agree, 30% neutral, 30% disagree and
20% of customer strongly disagree that Uninor product is value for money.

Observation:

Majority of the respondent are disagree that company’s product is value for money.

g) Table No: 7 Customer satisfactions toward Uninor is Charging Low price

than others

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 Factor Percentage
Strongly agree 10%
Agree 20%
Neutral 20%
Disagree 30%
Strongly disagree 20%
Total 100%
Source: Questionnaire

Figure:7

Customer satisfactions toward Uninor is Charging Low

price than others .

20% 10%
20% Strongly agree

30% Agree
20% Neutral
Disagree
Strongly disagree

Interpretation 7

The sample drawn on the probability basis shows that out of 100% of respondents 10% of
the respondents approached were strongly disagree that Uninor is charging low price.
20% were agree, 20% of neutral, 30% were disagree and 20% were strongly disagree that
Uninor is charging low price.

Observation

Though majority of the customer are disagree that Uninor is charging low price but at the
same time 30% of respondent agree with company is charging low price.

h) Table No: 8 Customer opinion toward Uninor is doing heavy expenditure on

advertising and sales promotion
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 Factor Percentage
Strongly agree 22%
Agree 38%
Neutral 12%
Disagree 20%
Strongly disagree 08%
Total 100%
Source: Questionnaire

Figure: 8

Customer opinion toward Uninor is doing heavy

expenditure on advertising and sales promotion .

20% 8%
22%
Strongly agree
12% Agree
38% Neutral
Disagree
Strongly disagree

Interpretation 8

Out of 100% of respondents, 22% of the respondents approached were

Strongly agree that Uninor is doing heavy expenditure on advertising and sales
promotion, 38% agree, 12% of respondents were neutral,20% of them were disagree and
8% were strongly disagree that Uninor is doing heavy expenditure on advertising and
sales promotion.

Observation

Most of the respondents approached were agree with Uninor is doing heavy expenditure
on advertising and sales promotion.

i) Table No: 9 Customer opinion towards Uninor is targeting to youth.

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 Factor Percentage
Strongly agree 18%
Agree 22%
Neutral 30%
Disagree 10%
Strongly disagree 20%
Total 100%
Source: Questionnaire

Figure: 9

Customer opinion towards Uninor is targeting to youth .

10% 18%
20%
Strongly agree
22% Agree
30%
Neutral
Disagree
Strongly disagree

Interpretation 9

The sample drawn on the probability basis shows that out of 100% of respondents 18% of
the respondents strongly agree that Uninor is targeting to youth. 22% of respondents were
agree,30% of them were neutral, 20% resepondents were disagree and 10% of them were
strongly disagree that Uninor is targeting to youth.

Observation

As 40% of the respondents are agree that Uninor is targeting to youth. It represents that
youth is the target customer of Uninor.

j) Table No: 10 Customer opinion towards Uninor `ab mera no. hai` message is
crystal clear.
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 Factor Percentage
Strongly agree 10%
Agree 20%
Neutral 32%
Disagree 22%
Strongly disagree 16%
Total 100%
Source: Questionnaire

Figure: 10

Customer opinion towards Uninor `ab mera no. hai`

message is crystal clear. .

16% 10%
20% Strongly agree
22% Agree
32% Neutral
Disagree
Strongly disagree

Interpretation 10

The sample drawn on the probability basis clearly shows that 10% of customer strongly
agree that uninor’s message “ab mera number hai” is a crystal clear, 20% agree, 32%
neutral, 22% disagree and 16% of customer strongly disagree uninor’s message “ab mera
number hai” is a crystal clear.

Observation

Majority of the respondent are neutral it means they can not understand clerly the
message of uninor. Hence company should clearly define its message.

k) Table No: 11 Customer opinion towards Uninor is easily available in market.

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 Factor Percentage
Strongly agree 20%
Agree 36%
Neutral 20%
Disagree 18%
Strongly disagree 06%
Total 100%
Source: Questionnaire

Figure: 11

Customer opinion towards Uninor is easily available in

market .

6%
18% 20%
Strongly agree
20% Agree
36%
Neutral
Disagree
Strongly disagree

Interpretation 11

The sample drawn on the probability basis clearly shows that 20% of customer strongly
agree that uninor is easily available in the market, 36% agree, 20% neutral, 18% disagree
and 6% of customer strongly disagree that Uninor is easily available in the market.

Observation

Majority of the respondent are of the idea that Uninor is easily available in the market. It
means the distribution channel is strong in market.

l) Table No: 12 Customer opinion towards Uninor is available in all the outlet
where others players product are available
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 Factor Percentage
Strongly agree 20%
Agree 30%
Neutral 10%
Disagree 28%
Strongly disagree 12%
Total 100%
Source: Questionnaire

Figure: 12

Customer opinion towards Uninor is available in all the

outlet where others players product are available. ..

12% 20%
Strongly agree
28%
30% Agree
10% Neutral
Disagree
Strongly disagree

Interpretation 12

The sample drawn on the probability basis clearly shows that 20% of customer strongly
agree that uninor is available in all outlet where products of other company are available.
30% agree, 10% neutral, 28% disagree and 12% of customer strongly disagree that
Uninor is available in all outlet where products of other company are available.

Observation

Majority of the respondent are of the idea that company’s distribution channel is as strong
as other company. The product of uninor is available of all outlet where products of other
company are available.
m) Table No: 13 Customer opinion towards Uninor display (glow sign board)
and other POPS are always seen in this market.
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 Factor Percentage
Strongly agree 30%
Agree 30%
Neutral 20%
Disagree 18%
Strongly disagree 02%
Total 100%
Source: Questionnaire

Figure: 13

Customer opinion towards Uninor display (glow sign

board) and other POPS are always seen in this market.

2%
18%
30%
Strongly agree
20% Agree
30% Neutral
Disagree
Strongly disagree

Interpretation 13

The sample drawn on the probability basis clearly shows that 30% of customer strongly
agree that Uninor display (glow sign board) and other POPS are always seen in this
market, 30% agree, 20% neutral, 18% disagree and 02% of customer strongly disagree
that Uninor display (glow sign board) and other POPS are always seen in this market.

Observation

Majority of the respondents are agree that Uninor display (glow sign board) and other
POPS are always seen in this market. It shows that company gives more focus on
advertising.

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 CHAPTER- 7

FINDINGS
&
suggestions

FINDINGS

Based on the data gathered by administrating schedules to customers the

following observations are made.
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 Most of respondent agree that Uninor is a new mobile service provider with
strong backup.
 Most of the respondent are of the idea that company provide the service similar as
competitor company.
 Most of the respondent are agree that company entered into the market with new
ideas such as “24×7 badalta discount”.
 Most of the respondent are of the idea that company’s new scheme 24×7 badalta
discount is new for customer.
 Most of the respondents approached were agree with Uninor is doing heavy
expenditure on advertising and sales promotion.
 Customers agree that the target customer of uninor is youth.
 The distribution channel of Uninor is strong.
 The product of Uninor is easily available in the market.

SUGGESTIONS

 As Uninor stand in the least position compared to its competitors in terms of

maintaining quality service. Company is advised to improve it. This can be done
by having proper quality checks, training and to the employees and procurement
of good network signal.

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 Uninor may train its dealers make them more loyal to the company by adopting
policies that would satisfy the dealers and hence improve the responses of the
dealers towards Uninor customers.
 Satisfaction levels among Uninor needs to be improved such that the recommend
the product to their relatives and friends. Word of mouth communication is a
great path to increase sales. Giving great promotional offers, better services,
proper receiving of customers will improve positive word of mouth
communication.
 Public relations and relations with local communities very poor and this could
affect the brand image drastically. Hence Uninor needs to take up additional
focus among this directions. Company also needs to focus on striving for social
cause and be among its competitors in this regard. The company should maintain
good relations with the public by being socially responsible by welfare camps
and awareness programs.
 Uninor needs to focus on customer needs tastes and preferences and design and
update the product accordingly. Customers always seek for changes and new
things in the product.

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 CHAPTER-8

CONCLUSION

CONCLUSION
Uninor is a new mobile operator, with a localized approach to the Indian market. Uninor
combine the force of India’s second largest real estate company, Unitech Ltd and
Norway-based Telenor, the 6th largest mobile communications group in the world. Now
Uninor is bringing its services and innovation in communications to all of India.

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  Holds a pan-India UAS license to offer mobile telephony services in each of
India’s 22 circles.
 Has also received spectrum to roll out these services in 21 of the 22 circles.
 Presently, Uninor services are available in the eight telecom circles of UP West
(including Uttaranchal), UP East, Bihar (including Jharkhand), Orissa, Tamil
Nadu, Karnataka, Kerala and Andhra Pradesh.
 Telenor Group has invested INR 6135.63 crores through new shares to hold
67.25% equity in the company.
The Telenor Group has proven itself to millions of customers around the world over a
long period of time. With over 150 years of telecom experience, the group is now present
in 14 countries worldwide with 174 million mobile subscriptions as of Q4 2009 and over
40,000 employees across the globe. A dominant position in markets most similar to India,
means the group brings existing competencies in distribution, targeted offerings,
customer lifecycle management and organization culture to our operations in India.

As India’s second largest diversified real estate major with over 30 years of presence
across locations nationwide, the Unitech Group comes into this joint venture as a partner
with decades of consumer facing experience in the Indian market, bringing with it deep
insights into business as well as consumer marketing in the diverse Indian market. The
company also features in the National Stock Exchange’s bell weather S&P CNX Nifty
Index.

This unique partnership gives Uninor the advantage of the most extensive and the most
relevant experience to rollout services in India.

Chapter-9

Bibliography
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1.Websites
 www.scribd.com
 www.Google.com
 www.marketingresearch.com
 www.uninor.co.in

2.Books & Journals

 Philip Kotler, Kevin Lane, Abraham Koshy, Mithileshwar Jha 13th
edition “Marketing Management”
 C.R Kothari, Research Methodology.

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 CHAPTER-10

Annexure

QUESTIONNAIRE

1. Name -------------------------------------------------------
2. Age 15-20 ( ) 20-25( ) 25- 30 ( ) 30- 35 ( ) 35 and above
3. Occupation
a) Student ( ) b) Service ( ) c) Business d) Others Specify--------------
4. Which Mobile Service Provider (SIM) do you use?

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 a) Airtel ( ) b) Vodafone ( ) c) Reliance( ) d) Idea ( ) f) Others Specify
---------
5. Do you heard about Uninor
a) Yes ( ) b) No()

BRAND IMAGE
Scale 5= Stongly agree 4= Agree , 3= Neutral 2 = Disagree 1= strongly disagree

a. Uninor is a new mobile service provider with strong backup

b. Uninor is a company with difference
c. Uninor entered into market with new Ideas
d. Uninor is providing better schemes than other
e. Uninor is strong enough to fight with other competitors
f. Uninor products is value for money
g. Uninor is Charging Low price than others
h. Uninor did great efforts for brand awareness in this area
i. Uninor is doing heavy expenditure on advertising and sales promotion
j. Uninor is targeting to youth
k. Uninor `ab mera no. hai` message is crystal clear.
l. Uninor is easily available in market
m. Uninor is available in all the outlet where others players product are
available
n. Uninor display (glow sign board) and other POPS are always seen in this
market
o. By Uninor no. we can express ourselves

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