Main Project of Nokia
Main Project of Nokia
Introduction
The Indian Telecommunications network with 110.01 million connections is the fifth largest in the world and the second largest among the emerging economies of Asia. Today, it is the fastest growing market in the world and represents unique opportunities for U.S. companies in the stagnant global scenario. The total subscriber base, which has grown by 40% in 2005, is expected to reach 250 million in 2007. According to Broadband Policy 2004, Government of India aims at 9 million broadband connections and 18 million internet connections by 2007. The wireless subscriber base has jumped from 33.69 million in 2004 to 62.57 million in FY2004- 2005. In the last 3 years, two out of every three new telephone subscribers were wireless subscribers. Consequently, wireless now accounts for 54.6% of the total telephone subscriber base, as compared to only 40% in 2003. Wireless subscriber growth is expected to bypass 2.5 million new subscribers per month by 2007. The wireless technologies currently in use are Global System for Mobile Communications (GSM) and Code Division Multiple Access (CDMA). There are primarily 9 GSM and 5 CDMA operators providing mobile services in 19 telecom circles and 4 metro cities, covering 2000 towns across the country.
Company (IRCC) 1947 Nationalization of all foreign telecommunication companies to form the Posts, Telephone and Telegraph (PTT), a monopoly run by the government's Ministry of Communications 1985 Department of Telecommunications (DOT) established, an exclusive provider of domestic and long-distance service that would be its own regulator (separate from the postal system) 1986 Conversion of DOT into two wholly government-owned companies: the Videsh Sanchar Nigam Limited (VSNL) for international telecommunications and Mahanagar Telephone Nigam Limited (MTNL) for service in metropolitan areas. 1997 1999 Telecom Regulatory Authority of India created. Cellular Services are launched in India. New National Telecom Policy is adopted. 2000 DoT becomes a corporation, BSNL
A large population, low telephony penetration levels, and a rise in consumers' income and spending owing to strong economic growth have helped make India the fastest-growing telecom market in the world. The first and largest operator is the state-owned incumbent BSNL, which is also the 7th largest telecom company in the world in terms of its number of subscribers. BSNL was created by corporatization of the erstwhile DTS (Department of Telecommunication Services), a government unit responsible for provision of telephony services. Subsequently, after the telecommunication policies were revised to allow private operators, companies such as Bharti Telecom, TATA Indicom, Vodafone,
MTNL, Idea,Vodafone and BPL have entered the space. major operators in India. However, rural India still lacks strong infrastructure. In 2007, an article by Businessweek magazine reported that India's mobile phone market is the fastest growing in the world, with companies adding some 6 million new customers a month. The total number of telephones in the country crossed the 300 million mark on June 18 2008The overall tele-density has increased to 36.98% in March 2009 In the wireless segment, 15.87 million subscribers have been added in March 2009. The total wireless subscribers (GSM, CDMA & WLL (F)) base is more than 391.76 million now. The wireline segment subscriber base stood at 38.22 million with a decline of 0.13 million in October 2008.
added services provided by the mobile service operators contribute more than 10% of the total revenue.
rates and also tend to have lower leverage, higher margins and higher growth than most developed markets telecom companies. Global opportunities It has become less difficult to find attractive telecom investment opportunities globally than it was a year ago. As the fog has lifted from the sector, there are increased opportunities within both the growth and value spaces. In the US, improved clarity in the regulatory environment has opened the door for a number of players. Within Europe the risk of negative news flow remains a potential detractor but there is valuation support from attractively priced stocks. There is little difference between the European and US integrated carriers making it more of a stock call than a regional call. Within Asia we see high revenue growth and return on assets. Overall, emerging markets continue to be the fastest growing region within the sector and offer the largest valuation discount. Additionally, the healthy macro environment in emerging markets coupled with increasing domestic wealth is creating a positive consumer environment in the local markets. Fortis Investments: Telecom sector strategy Our strategy is to create a more focused portfolio of diversified high conviction ideas. In the current environment we continue to be sensitive to relative valuations and positive earnings momentum. Our portfolio is largely levered to growth. We have positioned ourselves in companies that will provide synergies as well as margin expansion through wireless exposure. We recognize the sensitivity of the regulatory environment in some markets and have minimized our exposure to those markets. We also continue to overweight our exposure to niche players within developed markets as well as to emerging markets which have low penetration rates and more growth opportunities.
COMPANY PROFILE
NOKIA INDIA
Nokia has played a pioneering role in the growth of cellular technology in India, starting with the first-ever cellular call a decade ago, made on a Nokia mobile phone over a Nokia-deployed network. Nokia started its India operations in 1995, and presently operates out of offices in New Delhi, Mumbai, Kolkata,Jaipur,Lucknow,Chennai, Bangalore, Pune and Ahmedabad. The Indian operations comprise of the handsets business; R&D facilities in Bangalore and Mumbai; a manufacturing plant in Chennai and a Design Studio in Bangalore. Over the years, the company has grown manifold with its manpower strength increasing from 450 people in the year 2004 to over 15000 employees in March 2008 (including Nokia Siemens Networks). Today, India holds the distinction of being the second largest market for the company globally.
HISTORY OF NOKIA
1865: The birth of Nokia Fredrik Idestam establishes a paper mill at the Tammerkoski Rapids in south-western Finland, where the Nokia story begins. 1898: Finnish Rubber Works founded Eduard Poln founds Finnish Rubber Works, which will later become Nokia's rubber business. 1912: Finnish Cable Works founded Arvid Wickstrm starts Finnish Cable Works, the foundation of Nokia's cable and electronics businesses. 1937: Verner Weckman, industry heavyweight Former Olympic wrestler Verner Weckman becomes President of Finnish Cable Works. 1960: First electronics department Cable Works establishes its first electronics department, selling and operating computers.
1962: First in-house electrical device The Cable Works electronics department produces its first in-house electrical device - a pulse analyzer for nuclear power plants. 1967: The merger Nokia Ab, Finnish Rubber Works and Finnish Cable works formally merge to create Nokia Corporation. 1979: Mobira Oy, early phone maker Radio telephone company Mobira Oy begins life as a joint venture between Nokia and leading Finnish television maker Salora. 1981: The mobile era begins Nordic Mobile Telephone (NMT), the first international mobile phone network, is built. 1982: Nokia makes its first digital telephone switch The Nokia DX200, the companys first digital telephone switch, goes into operation 1984: Mobira Talkman launched Nokia launches the Mobira Talkman portable phone. 1987: Mobira Cityman birth of a classic Nokia launches the Mobira Cityman, the first handheld NMT phone. 1991: GSM a new mobile standard opens up Nokia equipment is used to make the worlds first GSM call. 1992: Nokias first GSM handset Nokia launches its first GSM handset, the Nokia 1011. 1998: Nokia leads the world Nokia becomes the world leader in mobile phones.
Devices business
Nokia has established itself as the market and brand leader in the mobile devices market in India. The company has built a diverse product portfolio to meet the needs of different consumer segments and therefore offers devices across five categories ie. Entry, Live, Connect, Explore and Achieve. These include products that cater to first time subscribers to advanced business devices and high performance multimedia devices for imaging, music and gaming. Nokia has been working closely with operators in India to increase the geographical coverage and lower the total cost of ownership for consumers. Today, Nokia has one of the largest distribution network with presence across 1,30,000 outlets. In addition, the company also has Nokia Priority Dealers across the country and Nokia Concept stores in Bangalore, Delhi, Jaipur, Hyderabad, Chandigarh, Ludhiana, Chennai, Indore and Mumbai to provide customers a complete mobile experience.
Services business
With the global launch of Ovi, the company's Internet services brand name, Nokia is renewing itself to be at the forefront of the convergence of internet and mobility. From being a product centric company, Nokia is now focusing to become solutions centric. The strategic shift is built on Nokias bid to retain consumers and empower Nokia device owners to realise the full potential of the Internet. Nokia will build a suite of Internet based services like Nokia Maps, the Nokia Music Store and Nokia N-Gage around its Ovi brand.
Infrastructure business
Nokia Siemens Networks is a leading global enabler of communications services. The company provides a complete, well-balanced product portfolio of mobile and fixed network infrastructure solutions and addresses the growing demand for services with 20,000 service professionals worldwide. Its operations in India include Sales & Marketing, Research & Development, Manufacturing and Global Networks Solutions Centre. Headquartered in Gurgaon, Nokia Siemens Networks has 47 offices and presence in over 170 locations across the country. 8
R & D centers
Nokia has three Research & Development centers in India, based in Bangalore and Mumbai. These R&D hubs are staffed by engineers who are working on next-generation packet-switched mobile technologies and communications solutions to enhance corporate productivity. The Center in Bangalore, the biggest R&D site in the country comprises S60 Software Organization, Common Technologies, Next Generation now called Maemo Software, Productization and Software & Services.
Design Studio
Nokia has set up its first Design Studio in Bangalore in partnership with Srishti School of Art, Design and Technology. The first of its kind, the design studio will give Nokia designers and Indias talented youth the opportunity to work together on new design ideas for India and the global markets.
Manufacturing in India
Nokia has set up its mobile device manufacturing facility in Chennai, India to meet the burgeoning demand for mobile devices in the country. The manufacturing facility is operational with an investment of USD 210 million and currently employs 8000 people. Nokia has recently announced fresh investments to the tune of US $ 75 million towards its manufacturing plant in Sriperumbudur, Chennai for the year 2008.
Ranked No 1 Most Trusted Brand Survey by Brand Equity, 2008 Ranked the No 1. MNC in India by Businessworld, Indias leading business weekly, 2006 Ranked as the No. 1 telecommunications equipment vendor in the country by Voice & Data for five consecutive years 2008, 2007, 2006,2005 and 2004 Ranked as the 9th most powerful brand by Millward Browns BrandZ 2008 Ranked worlds 4th most valuable brand by Interbrand, 2007 Ranked Asias most trusted brand by the Media-Synovate, 2006
Nokias mission is simple, Connecting People. Our strategic intent is to build great mobile products.
Plans for a broad strategic partnership with Microsoft to jointly build a new winning mobile ecosystem. A renewed approach to capture volume and value growth to connect the next billion to the Internet in developing growth markets Focused investments in next-generation disruptive technologies A new leadership team and organizational structure with a clear focus on speed, results and accountability
ORGANIZATIONAL CHART
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The Nokia boss [Jorma Ollila] hopes to follow the tastes of consumers and network operators more closely, by cutting product development time in half. The company is introducing 40 new handsets next year, and networks will be able to differentiate their Nokia offerings with exclusive software and hardware features. To better please consumers, more than half of the new models will have clamshell or other non-candybar shapes. Two-thirds will have cameras. Half will play MP3 music files. By combining these popular features with Nokia's competitive cost advantage, the company could push its handset market share from the current 33%, up toward 40%. It's a big market. Ollila expects industry unit sales to reach 630 million this year, and about 690 million next year.
PRODUCT MIX
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NOKIA E SERIES
The Nokia Eseries consists of business-oriented smartphones, with emphasis on enhanced connectivity and support for corporate e-mail push services. All devices have advanced office features.
E63
microSDHC
E65
microSD
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E66
MicroSDHC
E70
miniSD
E70-2 miniSD
E71
MicroSDHC
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E72
E75
MicroSDHC
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Released
Technology
Generation
Form factor
Camera
2005
GSM/UMTS
BB5.0
Candybar
2.0 Megapixels
2.1" 176x208 256K colors 2.4" 2006 GSM/UMTS GSM 900/1800/1900 and WCDMA 2100 MHz BB5.0 Candybar 2.0 Megapixels
2006
GSM/UMTS
BB5.0
Clamshell
2.0 Megapixels
Nokia N72
[10]
2006
GSM
BB5.0
Candybar
2.0 Megapixels
Nokia
320x240 colors
2006
GSM/UMTS
2.4" 320x240 256K colors 2.4" 2006 GSM/UMTS WCDMA 2100, EGSM 850/900/1800/1900 MHz BB5.0
Nokia N75
[13]
2006
GSM/UMTS
BB5.0
Clamshell
2.0 Megapixels
Nokia N76
[14]
2007
GSM/UMTS
BB5.0
Clamshell
2.0 Megapixels
Nokia
2007
GSM/UMTS
BB5.0
Candybar 2.0
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320x240 N77
[15]
2100/EGSM900/1800/1900 MHz GSM 850/900/1800/1900, 2008 GSM/UMTS/WLAN WCDMA 900/2100 (HSDPA) GSM 850/900/1800/1900, EGSM 900, WCDMA 900/2100 (HSDPA) EDGE/GSM 850/900/1800/1900 + WCDMA 2100 MHz EGSM 850/900/1800/1900 2007 GSM/UMTS/WLAN 802.11b/g and WCDMA 2100 MHz or GSM 850/900/1800/1900 for some regions BB5.0 Slide BB5.0 Slide ---
Megapixels
Nokia
3.2 Candybar Megapixels (Carl Zeiss) 5.0 Candybar Megapixels (Carl Zeiss)
2008
GSM/UMTS/WLAN 802.11b/g
Nokia N80
[17]
2006
GSM/UMTS/WLAN 802.11b/g
3 Megapixels
Nokia
320x240 colors
2.0 Megapixels
ORGANIZATIONAL CHART
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The first phone to use the newest version of Google's open source OS, Android 2.0, was released on November 2, 2009 as the Motorola Droid (the GSM version launched a month later, in Europe, as the Motorola Milestone).Motorola creates numerous products for use by the government, public safety officials, business installments, and the general public. These products include cell phones, laptops, computer processors, and radio communication devices. The Motorola RAZR line has sold over 120 million units bringing the company to the number two mobile phone slot in 2005.
b. SONY ERICSSON
Sony Ericsson is a joint venture established on October 1, 2001[1] by the Japanese consumer electronics company Sony Corporation and the Swedish telecommunications company Ericsson to make mobile phones. The stated reason for this venture is to combine Sony's consumer electronics expertise with Ericsson's technological leadership in the communications sector. Both companies have stopped making their own mobile phones. The company's global management is based in Hammersmith in London, United Kingdom, and it has research & development teams in Sweden, Japan, China, Germany, the United States, India and the United Kingdom. By 2009, it was the fourth-largest mobile phone manufacturer in the world after Nokia, Samsung and LG.[4] The sales of products largely increased due to the launch of the adaptation of Sony's popular Walkman and Cyber-shot series. While Sony Ericsson has been enjoying strong growth recently, its South Korean rival LG Electronics overtook it in Q1 2008 due to the company's profits falling significantly by 43% to 133 million (approx. US$ 179.6697 million
[5]
market share dropping from 9.4% to 7.9%, despite favourable conditions that the handset market was expected to grow by 10% in 2008. Sony Ericsson announced another profit warning in June 2008[6] and saw net profit crash by 97% in Q2 2008, announcing that it would cut 2,000 jobs, leading to wide fear that Sony Ericsson is on the verge of decline along with its struggling rival, Motorola.[7] In Q3 the profits were much on the same level, however November and December saw increased profits along with new models being released such as the C905 being one of the top sellers across the United Kingdom.
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OBJECTIVES:
Primary objective: To study the product analysis of Nokia India. Secondary objectives: To find out the telecommunication users in the Delhi market. To find out which all services have been tried by the respondents so far To find out the attributes that affects the buying behavior of the NOKIA Mobiles To find the customers attitude towards Nokia Mobiles To find out the customers opinion about the handsets which are provided by Nokia To know the satisfaction level of customers.
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RESEARCH DESIGN
A research design is the arrangement of conditions for collections and analysis of data in a manner that aims to combine relevance to the research problem with economies in a procedure. I have used descriptive research design for my research.
Descriptive Research
Descriptive research includes surveys and fact findings enquiries of different kinds. It basically gives a description of the state of affairs as it exists at present. A researcher has no control over the variables so they can only report what has happened or what is happening. We can also use the survey method for this purpose.
i.
The primary data was collected through survey that was systematically carried through questionnaire which was filled by the customers of nokia
ii. Extent
Extent refers to the area from the respondents belong. We have conducted the research mainly on the people of Delhi, that too specifically, north-east region.
v. Sample size
Sample size refers to the number of respondents.
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S.NO 1 2 3 4
TYPE OF CHOICE Age group 25-30 Age group 30-35 Age group 35-40 Above age 40
% AGE 15 40 30 15
15%
15% 1 Age group 25-30 2 Age group 30-35 3 Age group 35-40 40% 4 Above age 40
30%
INTERPRETATION: From the above pie chart, we can understand that age group of 25 to 30 are more then other three age groups .
S.NO 1 2
65 35
INTERPRETATION: From the above pie chart, we can understand that males are more investing in insurance company rather then females
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S.NO 1 2 3 4
40 30 10 20
INTERPRETATION: From the above pie chart, we can see businessmen, service are more then housewives and others.
Q4.Which Mobile Company has low price range of handsets? a. NOKIA b. SAMSUNG
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S.NO 1 2
% AGE 35 % 65 % 100 %
INTERPRETATION: From the above chart ,it is clear that about 65 % of the people think that Samsung has low price range of handsets as compared to Nokia As the startline range of Samsung is Rs 1300/-whereas Nokia has Rs 1200/-
Q5. Which company provides high battery back up in their mobile handsets? a. NOKIA b. SAMSUNG S.NO TYPES OF CHOICE NO.OF 25 % AGE
1 2
RESPONDENTS 80 20 100
80 % 20 % 100 %
% AGE
INTERPRETATION: From the above chart, it is clear that about 80 % of the people like Nokia company in terms of high battery backup in their handsets as compared to the 20 % ratio of the people who like Samsung company. This shows that Nokia has high capacity Lithium ion battery (3.0 -4.7 V) which has a battery backup of atleast 2 days or more. Q6. Which Mobile Company offers high sensitive touch screen phones? a. NOKIA b. SAMSUNG S.NO 1 2 TYPES OF CHOICE Nokia Samsung Total NO.OF RESPONDENTS 58 42 100 26 % AGE 58% 42 % 100 %
% AGE
42%
INTERPRETATION: From the above chart it is clear that about 58 % ratio of the people like Nokia in terms of high sensitive touch screen phones as compared to the 42 % ratio of the people which like Samsung company. This shows that Nokia company has High Sensitive Touch screen phones which has sensitive touch of 0.5 sec to 2 sec and also has large screen 3.2 inches. Q7. Which company has large no. of outlets or service centers? a. NOKIA b. SAMSUNG S.NO 1 2 TYPES OF CHOICE Nokia Samsung Total NO.OF RESPONDENTS 82 18 100 % AGE 82 % 18% 100 %
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% AGE
INTERPRETATION: From the above chart, it is clear that about 82 % of the people think that Nokia mobile handsets should have easy functioning and working which makes them unique apart from other companies as compared to the 18 % ratio of the people which like Large no. of features and low cost of handsets. This shows that Nokia company has appr.300 service centres in delhi and had high quality after sales service of the company. Q8. Which company provides a high resolution camera in their mobile handets? a. NOKIA b. SAMSUNG S.NO 1 2 TYPES OF CHOICE Nokia Samsung Total NO.OF RESPONDENTS 68 32 100 % AGE 68 % 32% 100 %
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% AGE
INTERPRETATION: From the above chart, it is clear that about 68 % of the people like high resolution camera in their mobile handsets available in Nokia as compared to Samsung,Nokia has 12 megapixel and had a great carl zeis lens .
a. NOKIA b. SAMSUNG
S.NO 1 2
29
% AGE
INTERPRETATION: From the above chart, it is cleat that about 85 % ratio of nokia handsets as nokia has a great 3G and high Wi-Fi Technology in the handset named N-8 which is very fas and also in E-Series phones. While 15 % of the respondents like samsung
10 Features
b. Nokia c. Samsung d. Other S.NO 1 2 3 TYPES OF CHOICE Nokia Samsung Other Total NO.OF RESPONDENTS 60 25 15 100 % AGE 60 % 25% 15 % 100 %
30
% AGE
15%
INTERPRETATION: From the above chart ,it is clear that about 60 % ratio of the people like Nokia whose features are best in the mobile handsets as compared to the 25 % ratio of the people which like Samsung company whose features are best.
Q11.Which
a. NOKIA b. SAMSUNG
S.NO 1 2
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% AGE
INTERPRETATION: From the above chart it is clear that about 78 % ratio of the people like nokia company for better advertisement strategies to promote its products as compared to the 22 % ratio of the people which like Samsung company. This shows that Nokia has great advertising strategies like TV ads ,Campaigning in sports and other activities of the company .
FINDINGS
Majority of the people like Nokia Company for buying a new mobile handset due to brand name and its popularity fame as compared to the Samsung company Majority of the people like Nokia company in terms of best price and large no. of features as compared to Samsung which has high price range. Majority of the people like Nokia Company which offers cheaper cost, large no. of features, and better after sales service
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Nokia mobile handsets had easy functioning and working which makes them unique apart from other companies Majority of the people like after sales service of the Nokia Company due to the large no. of service centers across India which offers fast after sales service. .
Nokia company has better advertisement to promote its products through advertisements and campaigning Nokia has better Wi-fi Technology and 3G facility (as in E-series and N-8) as compared to Samsung Nokia has high batter backup in their mobile handsets
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The camera option and memory card feature should be added in low range handsets whose startline is from Rs 2000/-
ANNEXURE QUESTIONNIARE
1) WHAT IS YOUR AGE GROUP? A. Age group 25-30 B Age group 30-35 C. Age group 35-40 D. Above age 40
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2) WHAT IS YOUR GENDER? A. MALE B. FEMALE 3) WHAT IS YOUR OCCUPATION? A.BUSINESSMEN B. SERVICE C. HOUSEWIFE D.OTHERS 4)WHICH MOBILE COMPANY HAS LOW RANGE OF HANDSETS ? A. NOKIA B.SAMSUNG 5) WHICH COMPANY PROVIDES HIGH BATTERY BACKUP IN THEIR MOBILE HANDSETS? A. NOKIA B. SAMSUNG
6) WHICH MOBILE COMPANY OFFERS HIGH SENSITIVE TOUCH SCREEN PHONES? A. NOKIA B. SAMSUNG
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8) WHAT COMPANY PROVIDES A HIGH RESOLUTION CAMERA IN THEIR MOBILE HANDSET? A. NOKIA B. SAMSUNG 9) WHICH COMPANY PROVIDES 3G AND WI-FI TECHNOLOGY ? A. NOKIA B. SAMSUNG 10) FEATURES OF WHICH MOBILE HANDSET ARE BEST ACCORDING TO YOU? A. NOKIA B. SAMSUNG C. OTHER 11) WHAT COMPANY HAS ATTRACTIVE ADVERTISMENT TO PROMOTE ITS PRODUCTS? A. NOKIA B. SAMSUNG
BIBLIOGRAPHY
BOOKS :
1. 2.
Dr Kothari C R (2008) Research Methodology: Methods and Techniques Wishwa Philip Kotler and Kevin Lane Keller (2005), Marketing Management Twelfth
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3. 4. 5.
Liu, Vol 4, (2002) Factors affecting the brand decision in the mobile phone Martin Tina; Sam Manaberi, Vol 2 [2005] consumer buying behavior, Indian Jim Blythe (1999) The Essence of Consumer Behaviour , Prentice Hall PTR
WEBSITES:
1. www.nokia.co.in 2. www.samsungindia.com 3. www.motorola.com 4. www.howstuffworks.com 5. www.google.com 6. www.altavista.com
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