CUSTOMER SATISFACTION REGARDING CELL PHONES SERVICES

1. Amity University Madhya Pradesh
PROJECT REPORT
ON
A STUDY ON CUSTOMER
SATISFACTION REGARDING CELL
PHONES SERVICES
UNDER THE GUIDENCE OF: SUBMITTED BY:
Dr. DEVENDRA KUMAR PANDEY PRASHANT KUMAR
BBA 3rd SEMESTER
DATE OF SUBMISSON -30/09/2015

2. CERTIFICATE
This is to certify that the summer assignment done on “A STUDY ON CUSTOMER
SATISFACTION REGARDING CELL PHONES SERVICES” is a bonfied work carried out by
Mr. PRASHANT KUMAR under my supervision and guidance. The summer assignment is
submitted towards partial fulfillment of degree of Bachelor of Business Administration.
This work has not been submitted anywhere else for any Degree/Diploma.
Dr. DEVENDRA KUMAR PANDEY
(Faculty Guide)

3. Acknowledgement
“It is not possible to prepare a project report without the assistance & encouragement of other
people. This one is certainly no exception.”
On the very outset of this report, I would like to extend my sincere & heartfelt obligation towards
all the personages who have helped me in this endeavor. Without their active guidance, help,
cooperation & encouragement, I would not have made headway in the project.
I am ineffably indebted to Dr. Devendra kumar Pandey for conscientious guidance and
encouragement to accomplish this assignment.
I am extremely thankful and pay my gratitude to my faculty Dr. Devendra kumar Pandey for his
valuable guidance and support on completion of this project in its present form.
I extend my gratitude to Amity Business School for giving me this opportunity.
I also acknowledge with a deep sense of reverence, my gratitude towards my parents and member
of my family, who has always supported me morally as well as economically. At last but not least
gratitude goes to all of my friends who directly or indirectly helped me to complete this project
report. Any omission in this brief acknowledgement does not mean lack of gratitude
Prashant kumar

4. TABLE OF CONTENTS PAGE NO.
 ABSTRACT 6
 INTRODUCTION 7-12
India's Position in Telecom Sector
Liberalization
National Telecom Policy 1994
Telecom Regulatory Authority of India (TRAI
Private Players Vs Public Players
 Major trends in telecom Sector
 Review of Literature
 OBJECTIVE OF STUDTY 13
 RESEARCH METHOCLOGY 13
 FINDING OF STUDY 16
 SUGGESTIONS 17
 CONCLUSION 18

5. ABSTRACT
Mobile telecommunication is a communication network which doesn't depend on
any physical connection between two communication entities and have flexibility to be mobiledu
ring communication. Customer satisfaction is defined as "the number of customers, or percentage
of total customers, whose reported experience with a firm, its products, or its services (ratings)
exceeds specified satisfaction goals. Mobile telecommunication is a rapidly growing sector in
India. It is penetrating all sections of people viz. rich and common people. Now a days everybody
depending on mobile phone for communication, banking, internet etc. Mobile service providers
providing various facilities to attract the customers along with 2G,3G,4G technology

6. INTRODUCTION
The success of the Indian telecommunications sector has become the cynosure of the world and
has made the country a truly attractive investment destination. The Indian Telecommunications
network with 621 million connections (as on March 2010) is the third largest in the world. The
sector is growing at a speed of 45% during the recent years. From only 54.6 million telephone
subscribers in 2003, the number increased to 429.7 million at the end of March 2009 and further
to 562 million as on October 31, 2009 showing addition of 2.49 million during the period from
March to December 2009.This increase has been entirely due to the spectacular increase in wireless
connections at a compound annual growth rate (CAGR) of 60 per cent per annum since 2004. The
present paper focuses on the Overall satisfaction level regarding service providers, features
customers would like in cell Phones & also Investigate their awareness with regards to the recent
launches of cell phone in the markets. A set of simple techniques of statistical analysis such as
mean, percentage and standard deviation have been used. Most of them are obtained with the help
of the computerized packages SPSS (13.0 version) and Microsoft Excel. The Indian
Telecommunications network with 621 million connections (as on March 2010) is the third largest
in the world. The sector is growing at a speed of 45% during the recent years. This rapid growth
is possible due to various proactive and positive decisions of the Government and contribution of
both by the public and the private sectors. The rapid strides in the telecom sector have been
facilitated by liberal policies of the Government that provides easy market access for telecom
equipment and a fair regulatory framework for offering telecom services to the Indian consumers
at affordable prices. Presently, all the telecom services have been opened for private participation.
Indian Telecom industry has emerged as the fastest growing telecom market in the world. The
opening of the telecom sector to the foreign investors has not only led to rapid growth in subscriber
base but also helped a great deal towards maximization of consumer benefits, particularly in terms
of price discovery following the moderate approach in tariffs. The success of the Indian
telecommunications sector has become the cynosure of the world and has made the country a truly
attractive investment destination. From only 54.6 million telephone subscribers in 2003, the
number increased to 429.7 million at the end of March 2009 and further to 562 million as on
October 31, 2009 showing addition of 2.49 million during the period from March to December
2009.This increase has been entirely due to the spectacular increase in wireless connections at a
compound annual growth rate (CAGR) of 60 per cent per annum since 2004.

7. India's Position in Telecom Sector
• Presently India has one of the lowest tariffs in the world
• One of the fastest growing telecom markets in the world
• Third largest telecom network
• With 525.1 million wireless connections, Indian telecom has become the second largest wireless
network in the world.
Liberalization
The process of liberalization in the country began in the right earnest with the announcement of
the New Economic Policy in July 1991. Telecom equipment manufacturing was delicensed in 1991
and value added services were declared open to the private sector in 1992, following which radio
paging, cellular mobile and other value added services were opened gradually to the private sector.
This has resulted in large number of manufacturing units been set up in the country. As a result
most of the equipment used in telecom area is being manufactured within the country. A major
breakthrough was the clear enunciation of the government’s intention of liberalizing the telecom
sector in the National Telecom Policy resolution of 13th May 1994.
National Telecom Policy 1994
In 1994, the Government announced the National Telecom Policy which defined certain important
objectives, including availability of telephone on demand, provision of world class services at
reasonable prices, improving India’s competitiveness in global market and promoting exports,
attractive FDI and stimulating domestic investment, ensuring India’s emergence as major
manufacturing / export base of telecom equipment and universal availability of basic telecom
services to all villages. It also announced a series of specific targets to be achieved by 1997.

8. TelecomRegulatoryAuthority of India (TRAI) The entry of private service providers
brought with it the inevitable need for independent regulation. The Telecom Regulatory Authority
of India (TRAI) was, thus, established with effect from 20th February 1997 by an Act of
Parliament, called the Telecom Regulatory Authority of India Act, 1997, to regulate telecom
services, including fixation/revision of tariffs for telecom services which were earlier vested in the
Central Government. TRAI’s mission is to create and nurture conditions for growth of
telecommunications in the country in manner and at a pace, which will enable India to play a
leading role in emerging global information society. 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 TRAI Act was amended by an ordinance,
effective from 24 January 2000, establishing a Telecommunications Dispute Settlement and
Appellate Tribunal (TDSAT) to take over the adjudicatory and disputes functions from TRAI.
TDSAT was set up to adjudicate any dispute between a licensor and a licensee, between two or
more service providers, between a service provider and a group of consumers, and to hear and
dispose of appeals against any direction, decision or order of TRAI.
Private Players Vs Public Players
The Indian telecom sector can be broadly classified into Fixed Line Telephony and mobile
telephony. The major players of the telecom sector are experiencing a fierce competition in both
the segments. The major players like BSNL, MTNL, VSNL in the fixed line and Airtel, Hutch,
Idea, Tata, Reliance in the mobile segment are coming up with new tariffs and discount schemes
to gain the competitive advantage. The Public Players and the Private Players share the fixed line
and the mobile segments. Currently the Public Players have more than 60% of the market share.

9. Both fixed line and mobile segments serve the basic needs of local calls, long distance calls and
the international calls, with the provision of broadband services in the fixed line segment and
GPRS in the mobile arena. Traditional telephones have been replaced by the codeless and the
wireless instruments. Mobile phone providers have also come up with GPRS-enabled multimedia
messaging, Internet surfing, and mobile-commerce. The much-awaited 3G mobile technology is
soon going to enter the Indian telecom market. The GSM, CDMA, WLL service providers are all
upgrading them to provide 3G mobile services. Along with improvement in telecom services, there
is also an improvement in manufacturing. In the beginning, there were only the Siemens handsets
in India but now a whole series of new handsets, such as Nokia's latest N-series, Sony Ericsson's
W-series, Motorola's PDA phones, etc. have come up. Touch screen and advanced technological
handsets are gaining popularity. Radio services have also been incorporated in the mobile handsets,
along with other applications like high storage memory, multimedia applications, multimedia
games, MP3 Players, video generators, Camera's, etc. The value added services provided by the
mobile service operators contribute more than 10% of the total revenue.
Market Shareof Public and PrivatePlayers
Public Sector Private Sector

10. The leading cellular service providers have the following number of subscribers:
SERVICE PROVIDER NO. OF CDMA
SUBSCRIBER
NO. OF GSM
SUBSCRIBER
Reliance 2.75 crores 38.76 lakhs
Tata 1.07 crores
Aritel 3.37 crores
MTNL 24.98 lakhs
BSNL 2.44 crores
Hutch ( Vodafone India ) 2.44 crores
Idea 1.3 crores
BPL 10.62 lakhs
Aircel 48 lakhs
Spice 25.56 lakhs
Bharti Airtel has the largest customer base with 31% market share, followed by Hutch and BSNL
with each holding 22% market share. The 2007 budget has brought further relief to the customers
with the reduction in the tariffs,
Both local and long distance, and with slashing down the roaming rentals. This is likely to Lead to
even more people going for cellular services and more and more use of the value Added services.
However, landline telephony is likely to remain popular, too, in the Foreseeable future. MTNL,
the largest landline service provider, has recently taken some bold Initiatives to retain its market
share and, if possible, expand it.

11. Major trends in telecom Sector
• The share of the private sector in total telephone connections has increased to 82.3 per cent in
December 2009 as against a meagre 5 per cent in 1999.
• Tele density: Tele density is an important indicator of telecom penetration; it increased from 12.7
per cent in March 2006 to 37.0 per cent in March 2009 and 47.9 per cent in December 2009.
• Rural tele density: was above 1.2 per cent in March 2002, increased to 9.5 per cent in March
2008 and further to 15.1 per cent in March 2009 and 21.2 per cent at the end of December 2009.
• Urban tele density: Urban tele density increased from 66.4 per cent in March 2008 to 88.8 per
cent in March 2009 and stands at 110.7 per cent in end- December 2009.
• Rural telephony: With the penetration of mobile services and flourishing of private service
providers, rural telephone connections have gone up from 12.3 million in March 2004 to 123.5
million in March 2009 and further to 174.6 million in December 2009. Their share in total
telephone connections has steadily increased from around 14 per cent in 2005 to 31 per cent as on
December 31, 2009. During 2008-09, the growth rate of rural telephones was 61.5 per cent as
against a 36.7 per cent growth of urban telephones. The private sector has contributed crucially to
the growth of rural telephones by providing about 81.5 per cent of rural telephones as on December
31, 2009.
• Internet / Broadband: With supportive policies, broadband subscribers grew from 0.2 million in
2005 to 6.2 million by end-April 2009 and about to 7.98 million by end December 2009t.The
government has issued guidelines for Broadband Wireless Access (BWA) Services; the
introduction of which will enhance broadband penetration. Wi-Max has been making headway in
wireless broadband connectivity.

12. Review of Literature
Palen, Salzman and Young (2000) have looked into this issue and the perception of mobile phone
usage in the public. They studied the behavior of new mobile users over a period of six weeks after
acquisition of phones using interviews and voice-mail. Their study noted that patterns of mobile
phone usage varied over time and there was significant deviation between the user-predicted
usages to their actual usage. The researchers also studied how the perception of mobile phone
usage in public contexts varied over the duration of the study. Initially, the perception was
overwhelmingly negative. However, they noted that new users over a period of time became more
accepting of the use of mobile phones in public and business or job-related reasons instead of
social reasons. However, nearly all subjects in their study reported the use of their cell phones for
social interactions had grown over period of time.
Weilenmann, A., and Larson, C. (2001) conducted field studies of public use of mobile phones
among teenagers in Sweden. Their study shed light on how the mobile phone has come to be used
as a tool for local social interaction, rather than merely as a device for communication with
dislocated others. Their observations pointed towards the collaborative nature of mobile phone
use. The researchers examined how phones were shared and how their field data could be of use
when designing new mobile technology and services for youth.
Puro (2002) noted that Finland has one of highest mobile phone densities in the world, reaching
over 90% 0f the people less than 30 years of age.
Townsend (2002) mentioned that the diffusion of the mobile phone was among the fastest of any
technology in history. Such a rapidly evolving and widespread communication technology and
medium has important social contexts and implications.
Hofvenschiold (2003) studied the effect of cultural background an occupational status on the way
people interact and perceive technology. According to the scholar, university students and the
young professionals from Germany and the United Kingdom have different attitude toward cell
phones.
McGovern (2004) tried to explore in their study the most common areas of customer dissatisfaction
is service provider the airline swiftly. A comprehensive questionnaire was used to collect
information about various aspects of customer satisfaction. The study brings out that there are

13. many factors, which affect consumer behavior. The new age of consumer is willing to pay that
little extra for better service, thus in order to retain customers and to earn profits, companies are
suggested to provide best service to their customers.
Objectives of the study
The presents study attempts:
1. To Study the Overall satisfaction level regarding service providers
2. To Study the features customer like in cell Phones.
3. To Investigate their awareness with regards to the recent launches of cell phone in the markets
Research Methodology
Hypothesis of the study In view of exploratory research carried out by collecting information from
the knowledgeable persons and review existing literature, the following hypothesis has been
developed:
H01: Mobile users are very satisfied with the service providers.
H02: People are keen to buy mobile phones having different features.
H03: Customers are aware with regard to the recent launches of cell phones in Market.
Scope of the study
The present study covered the area of Gwalior district and the results are generalized on population
basis.
Sampling plan the sampling was done on the random basis. A sample of 200 respondents has been
used for collecting the response through well-structured questionnaire.

14. Data collection
An extensive literature review facilitated theory development and item generation. Further, to
answer the research questions (objectives of the study) and to verify/test the tentative answers
(hypotheses of the study), the required information is identified. Then, the questionnaire was
developed, which was the main instrument used to collect the required information. It is thoroughly
discussed with respondents to clarify and doubts, if any, regarding what is asked. Secondary data
was also collected from different previous research studies, including several journals,
compendium, and handbook of statistics, articles, books, newspapers and business magazines.
Furthermore, Internet is also used for gathering worldwide information. The respondent profile is
detailed as follows:
1. Respondent Profile Table
Age-wise Profile of Respondents
TABLE -1
AGE -GROUP (Yrs.) NO. OF RESPONDENTS PER CENT
<20 33 16.5
21-35 128 64.0
36-50 29 14.5
>50 10 5.0
TOTAL 200 100
Source: Survey

15. Stated that sixty four per cent respondents belong to 21-35 age group followed by sixteen and
half per cent and fourteen and half per cent from teenage as well as 36-50 groups respectively.
Above 50 years respondents were only five per cent.
Gender-wise Profile of Respondents
TABLE -2
GENDER NO. OF RESPONDENTS PER CENT
MALE 176 88.0
FEMALE 24 12.0
TOTAL 200 100
Source: Survey.
Stated the gender group of respondents. Eighty eight per cent respondents are male and twelve per
cent are female

16. Education-wise Profile of Respondents
TABLE-3
EDUCATION NO.
OF RESPONDENTS
PERCENT
MATRIC 48 24.0
SENIOR
SECONDARY
55 27.5
GRADUATION 68 34.0
POST-
GRADUATION
25 12.5
OTHERS 4 2.0
TOTAL 200 100.0
Source: Survey.
Stated that thirty per cent respondents are graduates followed by more than twenty five per
cent and twenty four per cent from senior secondary and matric.

17. Data Analysis and Interpretation
After collection of data through various sources, different statistical tools and techniques have been
used for the analysis of data. A set of simple techniques of statistical analysis such as mean, percentage
and standard deviation has been used. Further have been used. Most of them are obtained with the help
of the computerized packages SPSS (13.0 version); and Microsoft Excel. Interpretation of data is based
on rigorous exercise aiming atthe achievement of the objectives of the study and findings of the existing
studies
Current Service Provider
Table 1 has been prepared after collecting the response from respondents in terms of all
variables like Airtel, BPL, Idea, Reliance, Hutch, Tata Indicom, BSNL, Others. Results shown
in the table indicate that 33 per cent respondents says BSNL, nearly fifteen per cent says Idea
with mean value = 4.8100, S.D. = 2.12284. 0n the other hand, Hutch is considered least
currently used Service provider among the respond
Findings of the Study
1. Regarding the satisfaction parameter on the part of service provider it is found that the
respondents are highly satisfied with range (mean value = 1.6050, S.D= 0.80761) followed by
the cost of services and SMS delivery. Whereas the respondents are not so satisfied in terms
of Offers and Add one (mean value= 2.4800, S.D=1.02217).
2. Nearly forty five per cent respondents are “Very Satisfied”, whereas thirty three per cent are
not so satisfied with the service provider, with mean value= 1.7950, S.D= 0.84650.0n the other
hand, three per cent respondents are somewhat dissatisfied with the service provider.
3. Regarding the features of the cell phone that would like by the respondents, it is found that
the one hundred ninety five respondents are preferred feature Address book followed by the
SMS service by (one hundred ninety) respondents. While Radio considered as the least feature
preferred by the respondents.
4. More than sixty per cent respondents says Nokia followed by seventeen percent (Motorola)
with mean value= 1.8150, S.D= 1.21166. On the other hand, Samsung is considered least brand
of intended cell phone among the respondents.

18. 5. Awareness towards launching of recent mobile handsets in the market is observed with
variables ‘yes’ and ‘no’. It is concluded that nearly seventy seven per cent respondents are of
opinion that they are aware towards launching of recent mobile handsets in the market while
twenty four per cent are of opinion that they don’t, with mean value= 1.2450, S.D= 0.43117.
6. Regarding the satisfaction parameter on the part of the service providers, 64 per cent users
purchase their cell phones amounting to Rs. 5,000 for convenience of calling anytime and they
opt smart and eye-catching looks as very important factor followed by battery life in terms of
power in purchase decision which is influenced by family. Regarding the satisfaction
parameter, cell phone users are highly satisfied with the range of the network followed by the
cost of services and SMS delivery. Moreover, it is inferred that mobile users are very much
aware towards launching of recent mobile handsets in the market. Regarding the opinion about
necessity of the cell phones, the respondents are strongly agreed with this parameter followed
by the speedy communication tool. But, they are strongly disagree in terms of nuisance created
by cell phone itself and cell phone users.
Suggestions
• More facilities and features may be provided.
• Environment friendly and M-wastage must be maintained.
• Storage capacity of mobile phone should be improved.
• Battery life of mobile phone should be improved.
• In rural areas more awareness towards mobile phone should be spread through advertisement.
• Advertisement should also be in regional language.
• There should be a proper system to avoid the unwanted calls and SMS also.
• To prevent theft of mobile handset there should be a powerful mobile tracker system.
• Mobile handset should be waterproof because most phone damage by water.

19. Conclusion
India is a nation which is blessed with sufficient materials and manpower. But strong doubts exist
about the optimum utilization of these resources. India is a country with population of more than
one billion. The mobile Operators can catch the Indian rural markets with the provision of some
incentives there as the rural market of India is very large as 70 per cent of the population lives
there. Recent years have seen a tremendous growth in all facets of telecom services. As a result
of the liberalization, privatization, and demonopolization initiatives taken by the government of
India, the telecom sector is experiencing a historical growth. The trend is expected to continue in
the segment, as prices are falling as a result of competition in the segment. The beneficiaries of
the competition are the consumers, who are given a wide variety of services. In the years to come
the country is predicted to witness a communication revolution, which would increase the
subscriber base to match that of the developed world. The need of the time is a new revolution in
telecom services and it is imperative that service providers work towards the same and make it a
reality
An important contribution of this study is how marketing strategy is developed and sustained over
different target market in telecommunication sector. The future commitment of the customers to
organization depends on perceived marketing element. The issue and challenges is therefore
increasingly recognized as a critical success factor in the emerging scenario.

20. REFERENCE
 Katz, James E. and Aakhus, Mark (2002), “Perpetual Contact: Mobile Communication,
Private Talk, and Public Performance”.
 Palen, L., Salzman, M., Youngs, E. (2000), “Going wireless: behavior and practice of new
mobile phone users”, Proceedings of the 2000 ACM conference on Computer supported
cooperative work
 Tonsend, A.M. (2002),”Mobile communication in the twenty-first century city”. In B.
Brown, N. Green & R. Harper (Editors.) wireless World: Social and Interact ional Aspects
of the Mobile Age, (2002), 62-77, Springer
 Venkatesh, A. (1995), “Ethno consumerism: A New Paradigm to Study Cultural and
CrossCultural Consumer Behavior”. In J.A. Costa and G. Bamossy (eds.), “Marketing in
the Multicultural World”, 26-67, SAGE Publications.
 Weilenmann, A., & Larsson, C. (2001) “Local Use and Sharing of Mobile Phones” In B.
BROWN, N.Green & r. Harper (Editors.) Wireless World: Social and Interactional Aspects
of the mobile Age. Godalming and Heidelberg: Springer