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INTRODUCTION
MOTOROLA ELECTRONICS a wholly owned subsidiary of MOTOROLA
ELECTRONICS was established in January, 2003 after clearance from the Foreign
Investment Promotion Board (FIPB). The trend of beating industry norms started with the
fastest ever-nationwide launch by MOTOROLA in a period of 4 and 5 months with the
commencement of operations in May 2003.
MOTOROLA set up a state-of-the art manufacturing facility at Greater Noida, near
Delhi, in commenced the home production for its eco-friendly Refrigerators and
established its assembly line for its PC Monitors at its Greater Noida manufacturing unit.
• The Greater Noida manufacturing unit line has been designed with the latest
technologies at par with international standards at Korea and is one of the most
Eco-friendly units amongst all MOTOROLA manufacturing plants in the world.
• The year 2001 witnessed MOTOROLA becoming the fastest growing company in
the consumer electronics, home appliances and computer peripherals industry.
The company had till the month of October 2001 achieved a cumulative turnover
of Rs. 5000 Crores in India since its inception in 2003, making it the fastest ever
Rs. 5000 Crores clocked by any company in the Indian consumer electronics and
home appliances industry. Having achieved this milestone, MOTOROLA
achieved another benchmark with the first ever sales of One Lakh ACs (Windows
and Splits) in a calendar year. MOTOROLA is poised to surpass its turnover
target of Rs. 2700 Crores this year and clock a turnover of Rs. 3000 Crores.
• This year, MOTOROLA has emerged as the leader in Color Televisions, Semi
Automatic Washing Machines, Air Conditioners, Frost-Free Refrigerators and
Microwaves Ovens. In Color Televisions having set the sales target of one million
units of Color Televisions for 2002, MOTOROLA has already achieved the one
million mark in the month ahead of its target.
• MOTOROLA ELECTRONICS is continually providing superior technology
products and value for money to over 50 lac households in India.
• Mr. K.R.Kim, Managing Director, MOTOROLA ELECTRONICS said, “I am
extremely pleased with our performance in 2006 as we have been able to
sustain growth during a year of slowdown in the consumer electronics and
home appliances industry.” He added, “Our growth record has led us to expand
manufacturing presence in India. We have accordingly reinforced our sales and
distribution network through the concept of area offices to reach out more Indian
consumers in semi urban and rural India.”
1
HISTORY
Motorola started as Galvin Manufacturing Corporation in 1928. The name Motorola was
adopted in 1947, but the word had been used as a trademark since the 1930s. Founders
Paul Galvin and Joe Galvin came up with the name MOTOROLA when their company
started manufacturing car radios. A number of early companies making phonographs,
radios, and other audio equipment in the early 20th
century used the suffix “-ola,” the
most famous being Victrola; RCA made a “radiola”; there was also a company that made
jukeboxes called Rock-ola, and a film editing device called a Moviola. The Motorola
prefix “motor-” was chosen because the company’s initial focus was in automotive
electronics. Many of Motorola’s products have been radio-related, starting with a battery
eliminator for radios, through the first walkie-talkie in the world, defense electronics,
cellular infrastructure equipment, and mobile phone manufacturing. The company was
also strong in semiconductor technology, including integrated circuits used in computers.
Motorola has been the main supplier for the microprocessors used in Commodore Amiga,
Apple Macintosh and Power Macintosh personal computers. The chip used in the latter
computers, the PowerPC family, was developed with IBM and in a partnership with
Apple (known as the AIM alliance). Motorola also has a diverse line of communication
products, including satellite systems, digital cable boxes and modems.
PRODUCTS
Motorola creates several different products for use of the government, public safety
officials, business installments, and the general public. These products include cell
phones, laptops, and radios.
SPINOFFS
Motorola developed the first truly global communication network using a set of 66
satellites. The business ambitions behind this project and the need for rising venture
capital to fund the project led to the creation of the Iridium Company in the late 1990s.
While the technology was proven to work, Iridium failed to attract sufficient customers
and they filed for bankruptcy in 1999. Obligations to Motorola and loss of expected
revenue caused Motorola to spin off the ON Semiconductor (ONNN) business August 4,
1999, rising for Motorola of about $1.1 Billion.
Further declines in business during 2000 and 2001, caused Motorola to spin off its
government and defense business to General Dynamics. The business deal closed
September 2001. Thus GD decision Systems was formed (and later merged with General
Dynamics C4 Systems) from Motorola’s Integrated Information Systems Group.
On October 6, 2003, Motorola announced that it would spin off its semiconductor
product sector into a separate company called Free scale Semiconductor, Inc... The new
company began trading on the New York Stock Exchange on July 16th
of the following
year.
2
QUALITY SYSTEMS
The Six Sigma quality system was developed at Motorola even though it became best
known through its use by General Electric. It was created by engineer Bill Smith, under
the direction of Bob Galvin (son of founder Paul Galvin) when he was running the
company. Motorola University is one of many places that provide Six Sigma training.
RATING FROM INTEREST GROUPS
Motorola received a 1005 rating on the Corporate Equality Index released by the
Human Rights Campaign in 2004, 2005 and 2006, starting in the third year of the report.
Motorola is known around the world as an innovator and leader in wireless and
broadband communications. It is committed to helping the people get and stay connected
simply and seamlessly to the people, information and entertainment they want and need.
Motorola do this by designing and delivering “must have” products, “must do”
experiences and powerful networks – with a full complement of support services as well.
A fortune 100 company with global presence and impact, Motorola had sales of US$42.8
billion in 2006.
ENTERPRISE MOBILITY SOLUTIONS
This group includes the mission-critical communications offered by government and
public safety sectors and Motorola enterprise mobility business. Motorola design,
manufactures, sell, install and service analog and digital two-way radio as well as voice
and data communications products and systems. Motorola delivers mobile computing,
advanced data capture, wireless infrastructure and RFID solutions.
HOME AND NETWORKS MOBILITY
Operators today are being asked by their subscribers to deliver bandwidth-intensive,
experience based services – regardless of the network architecture. Motorola is uniquely
positioned to capitalize on this trend, providing integrated, end-to-end systems that
seamlessly and reliably enable uninterrupted access to digital entertainment, information
and communications services over a variety of wired and wireless solutions. Motorola
designs, manufactures, sells and services digital video system solutions and interactive
set-top devices; voice and data modems for digital subscriber line and cable networks;
and, broadband access systems (including cellular infrastructure systems) for cable and
satellite television operators, wire line carriers and wireless service providers. With these
solutions, Motorola empowers consumers by connecting their homes – easily keeping
contacts, contents and services within reach.
As a pioneer in wireless communications, Motorola has transformed the cell phone into
an icon of personal technology – an integral part of daily communications, data
management and mobile entertainment. Motorola not only designs, manufactures sells
and services wireless handsets, but also licenses its vast portfolio of intellectual property.
Our collection spans all cellular and wireless systems and includes integrated software
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applications as well as one a large complement of Bluetooth-enabled accessories. We
offer customers innovative product designs that deliver “must have” experiences, such as
mobile music and video – enabling seamless connectivity at work or at play.
COMPANY SUCCESS
• World’s Most Admired Companies, Fortune Magazine, 2008.
• America’s Most Admired Companies, Fortune Magazine, USA, 2007.
• Yitzhak Rabin Israeli National Quality Award, Israel Society for Quality, Israel,
2007.
• Strongest Brands, Business Week, USA, 2006.
• Top 500 Innovators: No. 12, InformationWeek, USA, 2006.
• Most Shareholder-Friendly Companies: No. 1, Institutional Investor, USA, 2006.
• Corporate Award: Outstanding Contributions, IEEE Standards Association, USA,
2006.
• Deal of Distinction Award: Patent generation and robust licensing program,
licensing Executives Society, USA and Canada, 2005.
• National Medal of Technology: Highest honor for technological innovation,
Presented by President George W. Bush, USA, 2004.
HOME AND NETWORKS MOBILITY
• Winner: WiMAX Flexible Point Access System, Best of WiMAX World Europe
Awards, 2007.
• Excellence in Technology Innovation Ongoing Achievement: WiMAX Flexible
Access Point System, EOS Awards, NXTcomm Chicago, 2007.
• Industry Innovation Award: WiMAX Distributed Network Architecture, exchange
Magazine, Best of WiMAX World Awards, USA, 2006.
• Home-Networking Winners : Mot SVG2500 Wireless VoIP Cable Modem
Gateway and Mot SBV5400 VoIP Cable Modem/ Cordless Phone System,
International CES Design and Engineering Awards, 2006.
• Winner: Best Home Wireless Product, CES Mark of Excellence Awards, 2006.
• Product of the year: VoIP Open-Application Enabling Platform, Internet
telephony, USA, 2005.
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RESEARCH AND DEVELOPMENT
• 100 Most Technologically Significant Products of the year: Printed Active
Displays, R&D 100 Awards, 2007.
• Nano50 Award: Motorola Labs’ NED technology, Nanotech Briefs, 2006.
• Malaysia Leadership in ICT R&D Award: Motorola Software Center, Multimedia
Development Corporation, 2006.
• Best of ITS Research & Innovation Winner: MOTODRIVE, ITS America
Awards, 2006.
• Innovation Excellence Award, Mobile Devices: Motorola China Research Center,
Excellent Innovation Team Awards, 2005.
CORPORATE RESPONSIBILITY
Corporate responsibility means harnessing the power of our global business to benefit
people. It also means doing the right thing in all aspects of our business, including
how we treat the environment, our employees, our customers, our partners and our
communities.
• Top 100 Corporate Citizens: No. 4, Corporate responsibility Officer
Magazine, USA, 2007.
• Outstanding Safety Practice Award, National Safety Council, USA, 2006.
• Top 10 Most Socially Responsible businesses, National business Social
Responsibility Survey, Israel, 2006.
• Corporate Social Responsibility Certificate, Mexico Center for Philanthropy,
2006.
• Platinum Health Award, Health Promotion Board, Singapore, 2006.
MOBILE DEVICES
• Winner: CNET People’s Voice Award, ROKR E8, Consumer Electronics Show
(CES), 2008.
• Winner: CNET Best of CES, Cell phones and Smartphones category, ROKR E8,
Consumer Electronics Show, 2008.
• Winner: Top 20 Products of CES – Editor’s Choice Award, ROKR E8, Popular
Mechanics magazine, 2008.
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• Winner: Best of CES 2008: Best Cell Phone, ROKR E8, LAPTOP magazine,
2008.
• Winner: 2008 CES Best of Innovations Design and Engineering Award,
headphones Category, MOTOROKR S9, Consumer Electronics Show, 2008.
• Winner: Best of CES, Bluetooth transfer category, Motorola T815, Smartphone-
based navigation system featuring MOTONAV, Bluetooth Special Interest Group
(SIG), 2008.
• Best Ultra Low Cost Handset, 3GSM Global Mobile Award, 2006.
• Winner: MOTORIZR and MOTOKRZR K1m, International CES Design and
Engineering Awards, 2006.
• Winner: Motorola/Burton Audex jacket and Motorola/Oakley RAZRWIRE,
International CES Desgin and Engineering Awards, 2006.
• Best of what’s New: MOTO Q, Popular Science Magazine, 2006.
• Unique Product Winner: Motorola Audex Protective Gear, Bluetooth SIG Best of
CES Awards, 2006.
• First Place Hardware/Mobile Phone: SLVR L7, CTIA Wireless E-tech Awards,
2006.
• Editor’s Choice, Mobile Phone: RAZR V3 Black/Pink, CNET, 2005.
• Best in Class: RAZR V3 Silver, PC News Weekly, 2005.
Mobile Innovations Award: RAZR V3 Silver, Mobile News Awards, 2005.
SWOT ANALYSIS
STRENGTH
A well established brand name helps in promoting a new range of products.
MOTOROLA is a Multinational Company based in South Korea, which is considered
to be a technically advanced country with advanced products to meet the
requirements of target customers internationally.
The company has a wide range of products to suite the purse & the taste of various
segments of customers.
The company has a huge advertisement budget which helps in brand positioning &
recall.
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It has a well established sales network of more than 4000 dealers & branch offices
around the globe & the company makes such of its products available as are in
demand in each particular area.
WEAKNESS
• The company needs to evolve a comprehensive plan & strategy to make
inroads into a part of middle class & upper middle class.
• Lack of production centers in India makes the product costlier as most of the
parts have to be imported.
• Lack of R & D centers also makes it difficult to launch new products over
here.
OPPORTUNITIES
• The present rate of growth of the Entertainment & Telecommunication
Industry & a large potential available in these areas provides excellent
opportunity for the company to widen its market.
• With the fast growing economy the pricing strategy needs to be tackled with
care as it can decide upon long term decisions of the company.
• Globalization is yet another opportunity, if failed effectively & promptly.
THREATS
It is natural that threats from the existing as well as new entrants will affect the present
turnover & Market share. The nearest competitors having the identical product range are
the greatest threat to the company.
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1. J.V Rangeswara Reddy (2009):The researcher research on the topic “CUSTOMER
SATISFACTION OF NOKIA MOBILE HANDSET USERS” the objective of the
research is to study the satisfaction level of the customers, awareness of customer about
the products and to predict the consumer behavior. For this researcher collected primary
data and analyse it with the help of tables, charts, bar graphs and pie charts. The
researcher found that the product awareness about the nokia product is high as compared
to others. It is also concluded that the consumer is influenced to buy nokia due to its
brand image and also the satisfaction level of customers of nokia is high as compared to
the others handsets in market.
2. Dr. N. Kathirvel and Dr. N Chandersekaran (2008):The researcher research on the
topic “CONSUMER BEHAVIOUR AND BRAND PERFORMANCE TOWARDS THE
ONIDA T.V” the objective of the research was to study consumer satisfaction and brand
loyalty of the respondents toward the Onida T.V. For this researcher collected primary
and secondary data from the sources. The research methodology adopted by the
researcher includes chi-square test, percentage, arithmetic mean, correlation, and
variance. The researcher founded that favorable appreciation response was received from
the customers. Study also certifies that consumer behavior is unpredictable one in any
kind of the market.
3. Steen amp (1991) : studied the Consumers' variety seeking tendency (intrinsic desire
for variety) is recognized as an important characteristic that influences consumers'
electronic choice behaviour. Empirical studies in economics and marketing have not
specifically focused on this consumer characteristic, but instead have approached the
issue from the overt behaviour side. Given the great many factors that may underlie
variation in behaviour, intrinsic desire for varietycannot be validly derived directly from
observed behaviour. Instead, a measure specifically tapping this consumer characteristic
is required. In this paper a scale (VARSEEK) for measuring consumers' variety seeking
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tendency with respect to foods is developed. The construct validity of this VARSEEK-
scale is investigated extensively and managerial implications are discussed
4. H.k mukharje (1995) studied that two-equation bivariate probit model was formulated
to analyze simultaneously consumers' preferences and attitudes toward organically grown
produce (OGP). Results suggest that consumers who are nutritionally conscious,
concerned about the use of pesticides, and wanting produce tested for freedom from
residues would have a higher Propensity to prefer OGP. Among the potential buyers,
consumers who are white, better-educated, and have large families are more likely than
others to tolerate sensory defects. The study suggests that testing and certification,
sensory qualities, and competitive pricing are the most important factors that would
enhance the marketing potential of OGP.
5. Lee (2001) et.al: The main objective of customer satisfaction programs is to increase
customer retention rates. In explaining the link between customer satisfaction and loyalty,
switching costs play an important role and provide useful insight. For example, the
presence of switching costs can mean that some seemingly loyal customers are actually
dissatisfied but do not defect because of high switching costs. Thus, the level of
switching costs moderates the link between satisfaction and loyalty. The purposes of this
paper are: to examine the moderating role of switching costs in the customer satisfaction-
loyalty link; and to identify customer segments and then analyze the heterogeneity in the
satisfaction-loyalty link among the different segments. An empirical example based on
the mobile phone service market in France indicates support for the moderating role of
switching costs. Managerial implications of the results are discussed.
6. East (2008) et.al: Using two methods, three measures, and data covering a large
number of categories, we present findings on the respondent-assessed impact of positive
and negative word of mouth (PWOM, NWOM) on brand purchase probability. For
familiar brands, we find that: 1. The impact of PWOM is generally greater than NWOM.
The pre-WOM probability of purchase tends to be below 0.5, which gives more latitude
for PWOM to increase purchase probability than for NWOM to reduce it. 2. The impact
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of both PWOM and NWOM is strongly related to the pre-WOM probability of purchase,
the strength of expression of the WOM, and whether the WOM is about the respondent's
preferred brand. 3. PWOM and NWOM appear to be similar forms of advice-giving
behavior, except for their opposed effects on choice. 4. Respondents resist NWOM on
brands they are very likely to choose, and resist PWOM on brands they are very unlikely
to choose. In the Discussion section, we show how our methods could be used to
construct a word-of-mouth metric.
7. Oyeniyi (2008) et.al: In all, the hypotheses were supported indicating strong
relationship between customer service, satisfaction and retention in the communication
industry in Nigeria. The findings in the study show strong support for the application of
customer service to enhance customer retention. It is imperative for telecommunication
industry executives to improve performance on each construct that leads customer
retention to improve their competitiveness in the industry. Customer satisfaction does not
necessarily lead to customers’ loyalty. It is assumed that when the customer is satisfied,
then loyalty towards the telecom company is strengthened. The results, further show that
the respondents in this study have a positive impression towards their telecom company’s
ability to meet their changing needs. This demonstrates that the respondents would likely
stay with their telecom companies as long as the companies are able to satisfy their
changing needs. Telecommunication industry in Nigeria is not diversified and retaining
customer is one important strategy available to telecom companies in order to remain
competitive. Though the industry is currently growing in terms of coverage and customer
base, retaining customer should be an attractive option than attracting new customers
since it is less expensive.
8. Balakrishnan (2008) et.al: This paper investigates the effect of participants’ varying
thumb sizes in relation to the experience of using mobile phone keypads for sending text
messages. The keypad design factors considered in the study were key size, shape,
texture, space between keys, layout, and simplicity. One hundred and ten people
participated in the study. Their age ranged between 17 to 25 years old. The researchers
recorded the participants’ thumb lengths and circumferences. Participants’ positive or
negative satisfaction with using mobile phone keypads correlates to their thumb length
and circumference. For example, if a participant’s thumb circumference was large, he or
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she tended to be dissatisfied with the key size and space between keys. Results confirm
that varying thumb sizes affect users’ text messaging satisfaction. Mobile phone
manufacturers and designers can use the findings in this study to design customized
mobile phones that cater to users with large thumbs. This may increase their customer’s
text messaging satisfaction.
9. Kang (2009) et.al: Customer satisfaction and loyalty is subject to the influence of
different types of customer complaints and will be with different results. In this paper,
according to the hypotheses about the relationship of complaint, satisfaction and loyalty,
a Structural Equation Model based on PLS (Partial Least 2 Squares) is built. By using the
PLS Graph, these hypotheses are empirically tested by the data from China’s mobile
phone consumers. The study suggests that direct complaint should have a positive effect
on satisfaction. However the degree of effect depends on the result of dealing with
complaints. So the number of direct complaints should be controlled within the
enterprise’s ability of dealing with complaints. Meanwhile, comparing with directly
complaining customers, indirectly complaining customers are more likely to repeat the
purchasing and become loyal customers.
10. Deng (2010) et.al: With the rapid development of mobile technology and large usage
rates of mobile phones, mobile instant message (MIM) services have been widely
adopted in China. Although previous studies on the adoption of mobile services are quite
extensive, few focus on customer satisfaction and loyalty to MIM in China. In this study,
we examine the determinants of customer satisfaction and loyalty. The findings confirm
that trust; perceived service quality, perceived customer value, including functional value
and emotional value, contribute to generating customer satisfaction with MIM. The
results also show that trust, customer satisfaction and switching cost directly enhance
customer loyalty. Additionally, this study finds that age, gender, and usage time have
moderating effects. Finally, implications for the marketing of MIM are discussed.
11
11. Lee (2011) et .al: The rapid growth of mobile telephony has fueled the expansion of
the mo bile Internet as a foundation for mobile commerce. Proponents claim that mobile
com merce will surpass electronic commerce in growth and scope, but there is as yet no
commonly accepted framework for the study of interface design for mobile commerce.
Using Rayport and Jaworski's 7C's? the seven design elements of a customer interface
(context, content, community, customization, communication, connection, and
commerce) ?as a reference framework, interfaces for mobile commerce and electronic
commerce are compared. Two new elements (2M's) are identified: mobile setting and
mobile device constraints. These 2/vVs substantially affect the design of each of the 7C's.
Therefore, the 2M's and 7Cs are proposed as a new framework for mobile commerce
interfaces. Based on this, previous research is analyzed and suggestions for future
research are generated.
12. Head (2012) et.al: Young adults have been labeled as one of the most important
segments for mobile phones; however there is little empirical evidence to indicate how
these young adults value the feature richness of their devices. This research presents a
richer view of mobile phone user preferences and perceptions by applying methodologies
from the marketing and information systems domains. Conjoint analysis provides insights
into how students value various mobile phone applications and tools. Cluster analysis
extracts salient and homogenous consumer segments from the conjoint analysis output.
Structural equation modeling then explores how antecedents to attitude may differ by the
elicited consumer segments
13. Bayraktar (2012) et.al: The concept of customer satisfaction and loyalty (CS&L) has
attracted much attention in recent years. A key motivation for the fast growing emphasis
on CS&L can be attributed to the fact that higher customer satisfaction and loyalty can
lead to stronger competitive position resulting in larger market share and profitability.
Using a data envelopment analysis (DEA) approach, in this study we analyzed and
compared CS&L efficiency for mobile phone brands in an emerging telecommunication
market, Turkey. The constructs of European Customer Satisfaction Index (ECSI) model
12
are treated and used as input and output indicators of our DEA model. Drawing on the
perceptual responses of 251 mobile phone users, the DEA models reveal that from the top
six mobile phone brands in Turkey, Nokia features as the most efficient brand followed
by LG and Sonny Ericsson in terms of CS&L efficiency, while Motorola, Samsung and
Panasonic rank as the least efficient brands.
14. Malhotra (2013) et.al: The purpose of this paper is to explore the switching behavior
of mobile service customers in the USA with a focus on service quality, innovation and
lock-in strategies as deterrents of switching. Design/methodology/approach – A thorough
literature review coupled with two focus group interviews provided the impetus for the
design and development of a survey instrument that was then administered to graduate
and undergraduate students in the Southeast USA. Findings – The paper finds that:
mobile service quality (m-SERVQUAL) is a significant detractor of switching intentions
of customers – if customers perceive their provider to be innovative, they are less likely
to switch to another provider; the perception of being innovative is equally as important
as the perception of the service quality delivered by the provider; hard lock-in
(unreasonable contract length) leads customers to increase their intention to switch,
which is completely counter to its intended purpose; and service quality perceptions and
perceptions of the innovativeness of the company positively impact consumers’ intent to
buy more add-on services. Practical implications – Delivering high service quality as well
as being perceived as an innovator are key determinants in reducing consumer switching.
Each has a unique role to play, but understanding the impact of the interplay between
them is critical. Important innovation factors for providers include creating new services,
especially data services, and working with hardware manufacturers to provide new phone
models more frequently. Lastly, hard lock-in (e.g. long contracts, contract breaking fees,
etc.) may backfire with a higher reported propensity to switch in the long run.
Originality/value – The study draws attention to the importance of innovation in retaining
customers. Counter to the literature, it also finds that hard lock-ins may be detrimental in
the long run and a practice to be avoided.
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SCOPE OF THE STUDY
The scope of the research is based on the telecom industry and it throws light on the
brand preference of mobile phones with respect to Motorola.
My research will help the telecom industry to know the current scenario of customers
with respect to brand preference of mobile phones, with respect to Motorola.
Significance for the researcher-
 Wide exposure to the telecom industry.
 Studying about the brand preference of Motorola mobile phones through the
respondents.
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RESEARCH OBJECTIVES
The Primary Objective was to study the perception & buying behavior of customers
towards various mobile brands with special reference to “MOTOROLA”.
The Secondary Objectives of this study were to identify:
• Factors that influence decision-making in purchasing a mobile phone.
• Major features, which a customer looks for in a mobile before making a purchase.
• Brand awareness of MOTOROLA mobile phones in the market.
• Factors, which help in increasing the sale of mobile phones.
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RESEARCH METHODOLOGY
Title Justification - This title is justified as it tells about the customer preference towards
Motorola mobile phones as compared to other brands.
SAMPLING METHODOLOGY:
Sampling Size – 50 respondents
Sampling Area – Jalandhar
Sampling Technique – Random Sampling Technique
RESEARCH DESIGN:
 Visited the customers across Jalandhar & gathered information required as per
the questionnaire.
 The research design is probability research design and is descriptive research.
DATA COLLECTION:
• Primary data has been used by me in the form of Questionnaire & Observation,
which are the two basic methods of collecting primary data, which suffices all
research objectives.
• Secondary data sources like catalogue of the company, product range book of the
company & various internet sites such as motorola.com & google.com have been
used.
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1) Are you using a mobile phone?
0
10
20
30
40
50
Using
Not Using
Interpretation:-
It was found out that all the 50 respondents were using mobile phones.
Concrete Terms:- Out of 50 respondents all 50 are using a mobile.
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2) Which company handset are you using?
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
1st Qtr
Nokia
Samsung
Motorola
Sony Ericsson
Others
Interpretation:-
The above chart shows the percentage of various handsets used by the respondents.
Concrete Terms:- Out of 50 respondents 22 respondents are using Nokia while 11 are
using Motorola, 6 are using Sony Ericsson, 6 are using Samsung and rest uses the other
brands.
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3) Are you satisfied?
0
5
10
15
20
25
30
35
40
45
1st Qtr
Satisfied
Not Satisfied
Interpretation:-
The chart shows maximum number of respondents who were satisfied with their
handsets.
Concrete Terms:- Out of 50 respondents 42 respondents are satisfied with the handsets
they are using while 8 are not satisfied with their handsets.
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4) Are you aware of the brand “Motorola”?
0
10
20
30
40
50
Aware
Not Aware
Interpretation:-
The above chart shows the percentage of respondents who were aware of the brand
Motorola.
Concrete Terms:- Out of 50 respondents 49 are aware of brand Motorola.
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5) In what time you are thinking to change your handset or buying a new one?
0%
5%
10%
15%
20%
25%
30%
35%
40%
1st Qtr
1 Week
1 Month
6 Months
1 Year
Interpretation:-
The above chart depicts the respondents buying behavior with reference to time.
Concrete Terms:- Out of 50 respondents 20 changes their handset in a time period of 6
months, 11 changes their handset in a month, 10 changes their handset in a year while
just 9 of them changes their handset in a week.
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6) To which handset will you move?
0%
5%
10%
15%
20%
25%
30%
35%
40%
1st Qtr
Nokia
Sony Ericsson
Others
Interpretation:-
The above chart depicts the respondents’ next preference for mobile phones.
Concrete Terms:- Out of 50 respondents 14 respondents are willing to switch over to
Sony Ericsson, 18 are willing to switch over to Nokia.
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7) Where do you generally purchase your handsets from?
0
5
10
15
20
25
30
35
40
1st Qtr
Dealers
Grey Market
Others
Interpretation:-
The above chart shows the source of purchase of handset of the respondents.
Concrete Terms:- Out of 50 respondents 36 respondents purchases their handset from the
dealers, 8 respondents purchases their handsets from grey market while the rest 6
respondents purchases their handset from the other sources available.
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8) Do you think Motorola mobile phones are value for money?
0
5
10
15
20
25
30
35
40
1st Qtr
Yes
No
Interpretation:-
The above chart shows the maximum respondents consider Motorola mobile phones
value for their money.
Concrete Terms:- Out of 50 respondents 40 considers Motorola mobile phones value for
their money rest 10 respondents contradict on this.
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9) What according to you is the most important additional feature that should be
present in a mobile phone?
0
5
10
15
20
25
1st Qtr
Bluetooth
Camera
Mp3
MMS
Other Features
Interpretation:-
The above chart shows the various additional features which customers take into account
while purchasing handset.
Concrete Terms:-
Out of 50 respondents 22 gives preference to Bluetooth as an additional feature while
purchasing handset, 12 respondents gives preference to camera, 6 gives preference to
mp3, 6 gives preference to mms while rest 4 respondents prefer to have some other
additional features apart from these.
25
10) How important is after sales service in the mobile industry ?
0
5
10
15
20
25
30
35
1st Qtr
Very Important
Important
Average
Interpretation:-
The above chart shows the after sales service is considered to be of prime importance to
the respondents.
Concrete Terms:- Out of 50 respondents 31considers after sales services very important
while 16 respondents considers it a little less than very important and the rest 3
respondents gives it an average position.
26
RECOMMENDATIONS
• The company should try to reach maximum consumers in India by making
distribution channel more effective.
• The company should continue to work on the Strategy of T.Q.M (Total
Quality Management).
• The MOTOROLA is brand in itself and none of the other brands are in a
position to compare with it in Quality, Reliability and Brand Image. Even
then a number of other brands are entering the market and are acquiring a
good market share. The main reason behind it is that the distributors of the
company are not able to provide regular supply to the retailers in all the
areas.
• Consumers do not get satisfied with the promotional policies of the
company. New techniques of promotion are required to create awareness
about the entire range of MOTOROLA products.
27
LIMITATIONS
• A small sample size of 50 customers was considered due to lack of time &
resource constraints.
• The scope of the project is limited to the city of Jalandhar. So, we cannot
say that the same response will exist throughout India.
• With regards to uneducated customers it was difficult to get across to them
all the features of their respective
mobile phones.
28
CONCLUSION
Hereby I can conclude from this research that Nokia has the maximum brand
preference as compared to other brands. Most of the dealers are selling more than
one brand. They sell different brands to gain more volume and more availability
to the customers. So dealer’s preference to push a particular brand to the customer
plays a major role in the mobile market. According to the dealers advertising and
promotional schemes along with other schemes also affect the customer’s
willingness. Aggressive advertising put into effect for a long time in the
customers mind, which influence the people, are T.V., Newspaper and Magazines.
Consumers prefer a MNC band due to the quality and technological superior
features. Consumers also judge the after sale service availability of the company
before purchasing a mobile.
29
References:
1. Balakrishnan, V., & Paul, H. P. (2008). A study of the effect of thumb sizes
on mobile phone texting satisfaction. Journal of Usability Studies, 3(3),
118-128.
2. Bayraktar, E., Tatoglu, E., Turkyilmaz, A., Delen, D., & Zaim, S. (2012).
Measuring the efficiency of customer satisfaction and loyalty for mobile
phone brands with DEA. Expert Systems with Applications, 39(1), 99-106.
3. Deng, Z., Lu, Y., Wei, K. K., & Zhang, J. (2010). Understanding customer
satisfaction and loyalty: An empirical study of mobile instant messages in
China. International journal of information management, 30(4), 289-300.
4. East, R., Hammond, K., & Lomax, W. (2008). Measuring the impact of
positive and negative word of mouth on brand purchase
probability.International journal of research in marketing, 25(3), 215-224.
5. Head, M., & Ziolkowski, N. (2012). Understanding student attitudes of
mobile phone features: Rethinking adoption through conjoint, cluster and
SEM analyses. Computers in Human Behavior, 28(6), 2331-2339.
6. Kang, J., Zhang, X., & Zheng, Z. H. (2009). The relationship of customer
complaints, satisfaction and loyalty: Evidence from China’s mobile phone
industry. China-USA Business Review, 8(12), 22-36.
7. Lee, J., Lee, J., & Feick, L. (2001). The impact of switching costs on the
customer satisfaction-loyalty link: mobile phone service in France. Journal
of services marketing, 15(1), 35-48.
8. Lee, Y. E., & Benbasat, I. (2004). A framework for the study of customer
interface design for mobile commerce. International Journal of Electronic
Commerce, 8(3), 79-102.
9. Malhotra, A., & Kubowicz Malhotra, C. (2013). Exploring switching
behavior of US mobile service customers. Journal of Services
Marketing, 27(1), 13-24.
30
10.Oyeniyi, O., & Joachim, A. A. (2008). Customer service in the retention of
mobile phone users in Nigeria. African Journal of Business
Management,2(2), 26.
QUESTIONNAIRE
Name: __________________________
Age: ______yrs
Occupation: _________________
Q1. Are you using a mobile?
o Yes
o No
Q2. Which company handset are you using?
o Nokia
o Samsung
o Motorola
o Sony Ericsson
o Others
Q3. Are you satisfied?
o Yes
o No
Q4. Are you aware of the brand “Motorola”?
oYes
oNo
Q5. In what time you are thinking to change your handset or buying a new
one?
oWithin a week
oWithin a month
31
oWithin six months
oWithin a year
Q6. To which handset will you move?
o Nokia
o Samsung
o Motorola
o Sony Ericsson
o Others
Q7. Where do you generally purchase your handsets from?
oDealers
oGrey market
oOthers
Q8. Do you think Motorola mobile phones are value for money?
oYes
oNo
Q9. What according to you is the most important additional feature that
should be present in a mobile phone?
oIntegrated camera
oBluetooth
oMp3
oMMS
oOthers
Q10. How important is after sales service in the mobile industry?
o Very Important
oImportant
oAverage
32
33

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customer Buying perception towards mobile phones with special reference to Motorola

  • 1. INTRODUCTION MOTOROLA ELECTRONICS a wholly owned subsidiary of MOTOROLA ELECTRONICS was established in January, 2003 after clearance from the Foreign Investment Promotion Board (FIPB). The trend of beating industry norms started with the fastest ever-nationwide launch by MOTOROLA in a period of 4 and 5 months with the commencement of operations in May 2003. MOTOROLA set up a state-of-the art manufacturing facility at Greater Noida, near Delhi, in commenced the home production for its eco-friendly Refrigerators and established its assembly line for its PC Monitors at its Greater Noida manufacturing unit. • The Greater Noida manufacturing unit line has been designed with the latest technologies at par with international standards at Korea and is one of the most Eco-friendly units amongst all MOTOROLA manufacturing plants in the world. • The year 2001 witnessed MOTOROLA becoming the fastest growing company in the consumer electronics, home appliances and computer peripherals industry. The company had till the month of October 2001 achieved a cumulative turnover of Rs. 5000 Crores in India since its inception in 2003, making it the fastest ever Rs. 5000 Crores clocked by any company in the Indian consumer electronics and home appliances industry. Having achieved this milestone, MOTOROLA achieved another benchmark with the first ever sales of One Lakh ACs (Windows and Splits) in a calendar year. MOTOROLA is poised to surpass its turnover target of Rs. 2700 Crores this year and clock a turnover of Rs. 3000 Crores. • This year, MOTOROLA has emerged as the leader in Color Televisions, Semi Automatic Washing Machines, Air Conditioners, Frost-Free Refrigerators and Microwaves Ovens. In Color Televisions having set the sales target of one million units of Color Televisions for 2002, MOTOROLA has already achieved the one million mark in the month ahead of its target. • MOTOROLA ELECTRONICS is continually providing superior technology products and value for money to over 50 lac households in India. • Mr. K.R.Kim, Managing Director, MOTOROLA ELECTRONICS said, “I am extremely pleased with our performance in 2006 as we have been able to sustain growth during a year of slowdown in the consumer electronics and home appliances industry.” He added, “Our growth record has led us to expand manufacturing presence in India. We have accordingly reinforced our sales and distribution network through the concept of area offices to reach out more Indian consumers in semi urban and rural India.” 1
  • 2. HISTORY Motorola started as Galvin Manufacturing Corporation in 1928. The name Motorola was adopted in 1947, but the word had been used as a trademark since the 1930s. Founders Paul Galvin and Joe Galvin came up with the name MOTOROLA when their company started manufacturing car radios. A number of early companies making phonographs, radios, and other audio equipment in the early 20th century used the suffix “-ola,” the most famous being Victrola; RCA made a “radiola”; there was also a company that made jukeboxes called Rock-ola, and a film editing device called a Moviola. The Motorola prefix “motor-” was chosen because the company’s initial focus was in automotive electronics. Many of Motorola’s products have been radio-related, starting with a battery eliminator for radios, through the first walkie-talkie in the world, defense electronics, cellular infrastructure equipment, and mobile phone manufacturing. The company was also strong in semiconductor technology, including integrated circuits used in computers. Motorola has been the main supplier for the microprocessors used in Commodore Amiga, Apple Macintosh and Power Macintosh personal computers. The chip used in the latter computers, the PowerPC family, was developed with IBM and in a partnership with Apple (known as the AIM alliance). Motorola also has a diverse line of communication products, including satellite systems, digital cable boxes and modems. PRODUCTS Motorola creates several different products for use of the government, public safety officials, business installments, and the general public. These products include cell phones, laptops, and radios. SPINOFFS Motorola developed the first truly global communication network using a set of 66 satellites. The business ambitions behind this project and the need for rising venture capital to fund the project led to the creation of the Iridium Company in the late 1990s. While the technology was proven to work, Iridium failed to attract sufficient customers and they filed for bankruptcy in 1999. Obligations to Motorola and loss of expected revenue caused Motorola to spin off the ON Semiconductor (ONNN) business August 4, 1999, rising for Motorola of about $1.1 Billion. Further declines in business during 2000 and 2001, caused Motorola to spin off its government and defense business to General Dynamics. The business deal closed September 2001. Thus GD decision Systems was formed (and later merged with General Dynamics C4 Systems) from Motorola’s Integrated Information Systems Group. On October 6, 2003, Motorola announced that it would spin off its semiconductor product sector into a separate company called Free scale Semiconductor, Inc... The new company began trading on the New York Stock Exchange on July 16th of the following year. 2
  • 3. QUALITY SYSTEMS The Six Sigma quality system was developed at Motorola even though it became best known through its use by General Electric. It was created by engineer Bill Smith, under the direction of Bob Galvin (son of founder Paul Galvin) when he was running the company. Motorola University is one of many places that provide Six Sigma training. RATING FROM INTEREST GROUPS Motorola received a 1005 rating on the Corporate Equality Index released by the Human Rights Campaign in 2004, 2005 and 2006, starting in the third year of the report. Motorola is known around the world as an innovator and leader in wireless and broadband communications. It is committed to helping the people get and stay connected simply and seamlessly to the people, information and entertainment they want and need. Motorola do this by designing and delivering “must have” products, “must do” experiences and powerful networks – with a full complement of support services as well. A fortune 100 company with global presence and impact, Motorola had sales of US$42.8 billion in 2006. ENTERPRISE MOBILITY SOLUTIONS This group includes the mission-critical communications offered by government and public safety sectors and Motorola enterprise mobility business. Motorola design, manufactures, sell, install and service analog and digital two-way radio as well as voice and data communications products and systems. Motorola delivers mobile computing, advanced data capture, wireless infrastructure and RFID solutions. HOME AND NETWORKS MOBILITY Operators today are being asked by their subscribers to deliver bandwidth-intensive, experience based services – regardless of the network architecture. Motorola is uniquely positioned to capitalize on this trend, providing integrated, end-to-end systems that seamlessly and reliably enable uninterrupted access to digital entertainment, information and communications services over a variety of wired and wireless solutions. Motorola designs, manufactures, sells and services digital video system solutions and interactive set-top devices; voice and data modems for digital subscriber line and cable networks; and, broadband access systems (including cellular infrastructure systems) for cable and satellite television operators, wire line carriers and wireless service providers. With these solutions, Motorola empowers consumers by connecting their homes – easily keeping contacts, contents and services within reach. As a pioneer in wireless communications, Motorola has transformed the cell phone into an icon of personal technology – an integral part of daily communications, data management and mobile entertainment. Motorola not only designs, manufactures sells and services wireless handsets, but also licenses its vast portfolio of intellectual property. Our collection spans all cellular and wireless systems and includes integrated software 3
  • 4. applications as well as one a large complement of Bluetooth-enabled accessories. We offer customers innovative product designs that deliver “must have” experiences, such as mobile music and video – enabling seamless connectivity at work or at play. COMPANY SUCCESS • World’s Most Admired Companies, Fortune Magazine, 2008. • America’s Most Admired Companies, Fortune Magazine, USA, 2007. • Yitzhak Rabin Israeli National Quality Award, Israel Society for Quality, Israel, 2007. • Strongest Brands, Business Week, USA, 2006. • Top 500 Innovators: No. 12, InformationWeek, USA, 2006. • Most Shareholder-Friendly Companies: No. 1, Institutional Investor, USA, 2006. • Corporate Award: Outstanding Contributions, IEEE Standards Association, USA, 2006. • Deal of Distinction Award: Patent generation and robust licensing program, licensing Executives Society, USA and Canada, 2005. • National Medal of Technology: Highest honor for technological innovation, Presented by President George W. Bush, USA, 2004. HOME AND NETWORKS MOBILITY • Winner: WiMAX Flexible Point Access System, Best of WiMAX World Europe Awards, 2007. • Excellence in Technology Innovation Ongoing Achievement: WiMAX Flexible Access Point System, EOS Awards, NXTcomm Chicago, 2007. • Industry Innovation Award: WiMAX Distributed Network Architecture, exchange Magazine, Best of WiMAX World Awards, USA, 2006. • Home-Networking Winners : Mot SVG2500 Wireless VoIP Cable Modem Gateway and Mot SBV5400 VoIP Cable Modem/ Cordless Phone System, International CES Design and Engineering Awards, 2006. • Winner: Best Home Wireless Product, CES Mark of Excellence Awards, 2006. • Product of the year: VoIP Open-Application Enabling Platform, Internet telephony, USA, 2005. 4
  • 5. RESEARCH AND DEVELOPMENT • 100 Most Technologically Significant Products of the year: Printed Active Displays, R&D 100 Awards, 2007. • Nano50 Award: Motorola Labs’ NED technology, Nanotech Briefs, 2006. • Malaysia Leadership in ICT R&D Award: Motorola Software Center, Multimedia Development Corporation, 2006. • Best of ITS Research & Innovation Winner: MOTODRIVE, ITS America Awards, 2006. • Innovation Excellence Award, Mobile Devices: Motorola China Research Center, Excellent Innovation Team Awards, 2005. CORPORATE RESPONSIBILITY Corporate responsibility means harnessing the power of our global business to benefit people. It also means doing the right thing in all aspects of our business, including how we treat the environment, our employees, our customers, our partners and our communities. • Top 100 Corporate Citizens: No. 4, Corporate responsibility Officer Magazine, USA, 2007. • Outstanding Safety Practice Award, National Safety Council, USA, 2006. • Top 10 Most Socially Responsible businesses, National business Social Responsibility Survey, Israel, 2006. • Corporate Social Responsibility Certificate, Mexico Center for Philanthropy, 2006. • Platinum Health Award, Health Promotion Board, Singapore, 2006. MOBILE DEVICES • Winner: CNET People’s Voice Award, ROKR E8, Consumer Electronics Show (CES), 2008. • Winner: CNET Best of CES, Cell phones and Smartphones category, ROKR E8, Consumer Electronics Show, 2008. • Winner: Top 20 Products of CES – Editor’s Choice Award, ROKR E8, Popular Mechanics magazine, 2008. 5
  • 6. • Winner: Best of CES 2008: Best Cell Phone, ROKR E8, LAPTOP magazine, 2008. • Winner: 2008 CES Best of Innovations Design and Engineering Award, headphones Category, MOTOROKR S9, Consumer Electronics Show, 2008. • Winner: Best of CES, Bluetooth transfer category, Motorola T815, Smartphone- based navigation system featuring MOTONAV, Bluetooth Special Interest Group (SIG), 2008. • Best Ultra Low Cost Handset, 3GSM Global Mobile Award, 2006. • Winner: MOTORIZR and MOTOKRZR K1m, International CES Design and Engineering Awards, 2006. • Winner: Motorola/Burton Audex jacket and Motorola/Oakley RAZRWIRE, International CES Desgin and Engineering Awards, 2006. • Best of what’s New: MOTO Q, Popular Science Magazine, 2006. • Unique Product Winner: Motorola Audex Protective Gear, Bluetooth SIG Best of CES Awards, 2006. • First Place Hardware/Mobile Phone: SLVR L7, CTIA Wireless E-tech Awards, 2006. • Editor’s Choice, Mobile Phone: RAZR V3 Black/Pink, CNET, 2005. • Best in Class: RAZR V3 Silver, PC News Weekly, 2005. Mobile Innovations Award: RAZR V3 Silver, Mobile News Awards, 2005. SWOT ANALYSIS STRENGTH A well established brand name helps in promoting a new range of products. MOTOROLA is a Multinational Company based in South Korea, which is considered to be a technically advanced country with advanced products to meet the requirements of target customers internationally. The company has a wide range of products to suite the purse & the taste of various segments of customers. The company has a huge advertisement budget which helps in brand positioning & recall. 6
  • 7. It has a well established sales network of more than 4000 dealers & branch offices around the globe & the company makes such of its products available as are in demand in each particular area. WEAKNESS • The company needs to evolve a comprehensive plan & strategy to make inroads into a part of middle class & upper middle class. • Lack of production centers in India makes the product costlier as most of the parts have to be imported. • Lack of R & D centers also makes it difficult to launch new products over here. OPPORTUNITIES • The present rate of growth of the Entertainment & Telecommunication Industry & a large potential available in these areas provides excellent opportunity for the company to widen its market. • With the fast growing economy the pricing strategy needs to be tackled with care as it can decide upon long term decisions of the company. • Globalization is yet another opportunity, if failed effectively & promptly. THREATS It is natural that threats from the existing as well as new entrants will affect the present turnover & Market share. The nearest competitors having the identical product range are the greatest threat to the company. 7
  • 8. 1. J.V Rangeswara Reddy (2009):The researcher research on the topic “CUSTOMER SATISFACTION OF NOKIA MOBILE HANDSET USERS” the objective of the research is to study the satisfaction level of the customers, awareness of customer about the products and to predict the consumer behavior. For this researcher collected primary data and analyse it with the help of tables, charts, bar graphs and pie charts. The researcher found that the product awareness about the nokia product is high as compared to others. It is also concluded that the consumer is influenced to buy nokia due to its brand image and also the satisfaction level of customers of nokia is high as compared to the others handsets in market. 2. Dr. N. Kathirvel and Dr. N Chandersekaran (2008):The researcher research on the topic “CONSUMER BEHAVIOUR AND BRAND PERFORMANCE TOWARDS THE ONIDA T.V” the objective of the research was to study consumer satisfaction and brand loyalty of the respondents toward the Onida T.V. For this researcher collected primary and secondary data from the sources. The research methodology adopted by the researcher includes chi-square test, percentage, arithmetic mean, correlation, and variance. The researcher founded that favorable appreciation response was received from the customers. Study also certifies that consumer behavior is unpredictable one in any kind of the market. 3. Steen amp (1991) : studied the Consumers' variety seeking tendency (intrinsic desire for variety) is recognized as an important characteristic that influences consumers' electronic choice behaviour. Empirical studies in economics and marketing have not specifically focused on this consumer characteristic, but instead have approached the issue from the overt behaviour side. Given the great many factors that may underlie variation in behaviour, intrinsic desire for varietycannot be validly derived directly from observed behaviour. Instead, a measure specifically tapping this consumer characteristic is required. In this paper a scale (VARSEEK) for measuring consumers' variety seeking 8
  • 9. tendency with respect to foods is developed. The construct validity of this VARSEEK- scale is investigated extensively and managerial implications are discussed 4. H.k mukharje (1995) studied that two-equation bivariate probit model was formulated to analyze simultaneously consumers' preferences and attitudes toward organically grown produce (OGP). Results suggest that consumers who are nutritionally conscious, concerned about the use of pesticides, and wanting produce tested for freedom from residues would have a higher Propensity to prefer OGP. Among the potential buyers, consumers who are white, better-educated, and have large families are more likely than others to tolerate sensory defects. The study suggests that testing and certification, sensory qualities, and competitive pricing are the most important factors that would enhance the marketing potential of OGP. 5. Lee (2001) et.al: The main objective of customer satisfaction programs is to increase customer retention rates. In explaining the link between customer satisfaction and loyalty, switching costs play an important role and provide useful insight. For example, the presence of switching costs can mean that some seemingly loyal customers are actually dissatisfied but do not defect because of high switching costs. Thus, the level of switching costs moderates the link between satisfaction and loyalty. The purposes of this paper are: to examine the moderating role of switching costs in the customer satisfaction- loyalty link; and to identify customer segments and then analyze the heterogeneity in the satisfaction-loyalty link among the different segments. An empirical example based on the mobile phone service market in France indicates support for the moderating role of switching costs. Managerial implications of the results are discussed. 6. East (2008) et.al: Using two methods, three measures, and data covering a large number of categories, we present findings on the respondent-assessed impact of positive and negative word of mouth (PWOM, NWOM) on brand purchase probability. For familiar brands, we find that: 1. The impact of PWOM is generally greater than NWOM. The pre-WOM probability of purchase tends to be below 0.5, which gives more latitude for PWOM to increase purchase probability than for NWOM to reduce it. 2. The impact 9
  • 10. of both PWOM and NWOM is strongly related to the pre-WOM probability of purchase, the strength of expression of the WOM, and whether the WOM is about the respondent's preferred brand. 3. PWOM and NWOM appear to be similar forms of advice-giving behavior, except for their opposed effects on choice. 4. Respondents resist NWOM on brands they are very likely to choose, and resist PWOM on brands they are very unlikely to choose. In the Discussion section, we show how our methods could be used to construct a word-of-mouth metric. 7. Oyeniyi (2008) et.al: In all, the hypotheses were supported indicating strong relationship between customer service, satisfaction and retention in the communication industry in Nigeria. The findings in the study show strong support for the application of customer service to enhance customer retention. It is imperative for telecommunication industry executives to improve performance on each construct that leads customer retention to improve their competitiveness in the industry. Customer satisfaction does not necessarily lead to customers’ loyalty. It is assumed that when the customer is satisfied, then loyalty towards the telecom company is strengthened. The results, further show that the respondents in this study have a positive impression towards their telecom company’s ability to meet their changing needs. This demonstrates that the respondents would likely stay with their telecom companies as long as the companies are able to satisfy their changing needs. Telecommunication industry in Nigeria is not diversified and retaining customer is one important strategy available to telecom companies in order to remain competitive. Though the industry is currently growing in terms of coverage and customer base, retaining customer should be an attractive option than attracting new customers since it is less expensive. 8. Balakrishnan (2008) et.al: This paper investigates the effect of participants’ varying thumb sizes in relation to the experience of using mobile phone keypads for sending text messages. The keypad design factors considered in the study were key size, shape, texture, space between keys, layout, and simplicity. One hundred and ten people participated in the study. Their age ranged between 17 to 25 years old. The researchers recorded the participants’ thumb lengths and circumferences. Participants’ positive or negative satisfaction with using mobile phone keypads correlates to their thumb length and circumference. For example, if a participant’s thumb circumference was large, he or 10
  • 11. she tended to be dissatisfied with the key size and space between keys. Results confirm that varying thumb sizes affect users’ text messaging satisfaction. Mobile phone manufacturers and designers can use the findings in this study to design customized mobile phones that cater to users with large thumbs. This may increase their customer’s text messaging satisfaction. 9. Kang (2009) et.al: Customer satisfaction and loyalty is subject to the influence of different types of customer complaints and will be with different results. In this paper, according to the hypotheses about the relationship of complaint, satisfaction and loyalty, a Structural Equation Model based on PLS (Partial Least 2 Squares) is built. By using the PLS Graph, these hypotheses are empirically tested by the data from China’s mobile phone consumers. The study suggests that direct complaint should have a positive effect on satisfaction. However the degree of effect depends on the result of dealing with complaints. So the number of direct complaints should be controlled within the enterprise’s ability of dealing with complaints. Meanwhile, comparing with directly complaining customers, indirectly complaining customers are more likely to repeat the purchasing and become loyal customers. 10. Deng (2010) et.al: With the rapid development of mobile technology and large usage rates of mobile phones, mobile instant message (MIM) services have been widely adopted in China. Although previous studies on the adoption of mobile services are quite extensive, few focus on customer satisfaction and loyalty to MIM in China. In this study, we examine the determinants of customer satisfaction and loyalty. The findings confirm that trust; perceived service quality, perceived customer value, including functional value and emotional value, contribute to generating customer satisfaction with MIM. The results also show that trust, customer satisfaction and switching cost directly enhance customer loyalty. Additionally, this study finds that age, gender, and usage time have moderating effects. Finally, implications for the marketing of MIM are discussed. 11
  • 12. 11. Lee (2011) et .al: The rapid growth of mobile telephony has fueled the expansion of the mo bile Internet as a foundation for mobile commerce. Proponents claim that mobile com merce will surpass electronic commerce in growth and scope, but there is as yet no commonly accepted framework for the study of interface design for mobile commerce. Using Rayport and Jaworski's 7C's? the seven design elements of a customer interface (context, content, community, customization, communication, connection, and commerce) ?as a reference framework, interfaces for mobile commerce and electronic commerce are compared. Two new elements (2M's) are identified: mobile setting and mobile device constraints. These 2/vVs substantially affect the design of each of the 7C's. Therefore, the 2M's and 7Cs are proposed as a new framework for mobile commerce interfaces. Based on this, previous research is analyzed and suggestions for future research are generated. 12. Head (2012) et.al: Young adults have been labeled as one of the most important segments for mobile phones; however there is little empirical evidence to indicate how these young adults value the feature richness of their devices. This research presents a richer view of mobile phone user preferences and perceptions by applying methodologies from the marketing and information systems domains. Conjoint analysis provides insights into how students value various mobile phone applications and tools. Cluster analysis extracts salient and homogenous consumer segments from the conjoint analysis output. Structural equation modeling then explores how antecedents to attitude may differ by the elicited consumer segments 13. Bayraktar (2012) et.al: The concept of customer satisfaction and loyalty (CS&L) has attracted much attention in recent years. A key motivation for the fast growing emphasis on CS&L can be attributed to the fact that higher customer satisfaction and loyalty can lead to stronger competitive position resulting in larger market share and profitability. Using a data envelopment analysis (DEA) approach, in this study we analyzed and compared CS&L efficiency for mobile phone brands in an emerging telecommunication market, Turkey. The constructs of European Customer Satisfaction Index (ECSI) model 12
  • 13. are treated and used as input and output indicators of our DEA model. Drawing on the perceptual responses of 251 mobile phone users, the DEA models reveal that from the top six mobile phone brands in Turkey, Nokia features as the most efficient brand followed by LG and Sonny Ericsson in terms of CS&L efficiency, while Motorola, Samsung and Panasonic rank as the least efficient brands. 14. Malhotra (2013) et.al: The purpose of this paper is to explore the switching behavior of mobile service customers in the USA with a focus on service quality, innovation and lock-in strategies as deterrents of switching. Design/methodology/approach – A thorough literature review coupled with two focus group interviews provided the impetus for the design and development of a survey instrument that was then administered to graduate and undergraduate students in the Southeast USA. Findings – The paper finds that: mobile service quality (m-SERVQUAL) is a significant detractor of switching intentions of customers – if customers perceive their provider to be innovative, they are less likely to switch to another provider; the perception of being innovative is equally as important as the perception of the service quality delivered by the provider; hard lock-in (unreasonable contract length) leads customers to increase their intention to switch, which is completely counter to its intended purpose; and service quality perceptions and perceptions of the innovativeness of the company positively impact consumers’ intent to buy more add-on services. Practical implications – Delivering high service quality as well as being perceived as an innovator are key determinants in reducing consumer switching. Each has a unique role to play, but understanding the impact of the interplay between them is critical. Important innovation factors for providers include creating new services, especially data services, and working with hardware manufacturers to provide new phone models more frequently. Lastly, hard lock-in (e.g. long contracts, contract breaking fees, etc.) may backfire with a higher reported propensity to switch in the long run. Originality/value – The study draws attention to the importance of innovation in retaining customers. Counter to the literature, it also finds that hard lock-ins may be detrimental in the long run and a practice to be avoided. 13
  • 14. SCOPE OF THE STUDY The scope of the research is based on the telecom industry and it throws light on the brand preference of mobile phones with respect to Motorola. My research will help the telecom industry to know the current scenario of customers with respect to brand preference of mobile phones, with respect to Motorola. Significance for the researcher-  Wide exposure to the telecom industry.  Studying about the brand preference of Motorola mobile phones through the respondents. 14
  • 15. RESEARCH OBJECTIVES The Primary Objective was to study the perception & buying behavior of customers towards various mobile brands with special reference to “MOTOROLA”. The Secondary Objectives of this study were to identify: • Factors that influence decision-making in purchasing a mobile phone. • Major features, which a customer looks for in a mobile before making a purchase. • Brand awareness of MOTOROLA mobile phones in the market. • Factors, which help in increasing the sale of mobile phones. 15
  • 16. RESEARCH METHODOLOGY Title Justification - This title is justified as it tells about the customer preference towards Motorola mobile phones as compared to other brands. SAMPLING METHODOLOGY: Sampling Size – 50 respondents Sampling Area – Jalandhar Sampling Technique – Random Sampling Technique RESEARCH DESIGN:  Visited the customers across Jalandhar & gathered information required as per the questionnaire.  The research design is probability research design and is descriptive research. DATA COLLECTION: • Primary data has been used by me in the form of Questionnaire & Observation, which are the two basic methods of collecting primary data, which suffices all research objectives. • Secondary data sources like catalogue of the company, product range book of the company & various internet sites such as motorola.com & google.com have been used. 16
  • 17. 1) Are you using a mobile phone? 0 10 20 30 40 50 Using Not Using Interpretation:- It was found out that all the 50 respondents were using mobile phones. Concrete Terms:- Out of 50 respondents all 50 are using a mobile. 17
  • 18. 2) Which company handset are you using? 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 1st Qtr Nokia Samsung Motorola Sony Ericsson Others Interpretation:- The above chart shows the percentage of various handsets used by the respondents. Concrete Terms:- Out of 50 respondents 22 respondents are using Nokia while 11 are using Motorola, 6 are using Sony Ericsson, 6 are using Samsung and rest uses the other brands. 18
  • 19. 3) Are you satisfied? 0 5 10 15 20 25 30 35 40 45 1st Qtr Satisfied Not Satisfied Interpretation:- The chart shows maximum number of respondents who were satisfied with their handsets. Concrete Terms:- Out of 50 respondents 42 respondents are satisfied with the handsets they are using while 8 are not satisfied with their handsets. 19
  • 20. 4) Are you aware of the brand “Motorola”? 0 10 20 30 40 50 Aware Not Aware Interpretation:- The above chart shows the percentage of respondents who were aware of the brand Motorola. Concrete Terms:- Out of 50 respondents 49 are aware of brand Motorola. 20
  • 21. 5) In what time you are thinking to change your handset or buying a new one? 0% 5% 10% 15% 20% 25% 30% 35% 40% 1st Qtr 1 Week 1 Month 6 Months 1 Year Interpretation:- The above chart depicts the respondents buying behavior with reference to time. Concrete Terms:- Out of 50 respondents 20 changes their handset in a time period of 6 months, 11 changes their handset in a month, 10 changes their handset in a year while just 9 of them changes their handset in a week. 21
  • 22. 6) To which handset will you move? 0% 5% 10% 15% 20% 25% 30% 35% 40% 1st Qtr Nokia Sony Ericsson Others Interpretation:- The above chart depicts the respondents’ next preference for mobile phones. Concrete Terms:- Out of 50 respondents 14 respondents are willing to switch over to Sony Ericsson, 18 are willing to switch over to Nokia. 22
  • 23. 7) Where do you generally purchase your handsets from? 0 5 10 15 20 25 30 35 40 1st Qtr Dealers Grey Market Others Interpretation:- The above chart shows the source of purchase of handset of the respondents. Concrete Terms:- Out of 50 respondents 36 respondents purchases their handset from the dealers, 8 respondents purchases their handsets from grey market while the rest 6 respondents purchases their handset from the other sources available. 23
  • 24. 8) Do you think Motorola mobile phones are value for money? 0 5 10 15 20 25 30 35 40 1st Qtr Yes No Interpretation:- The above chart shows the maximum respondents consider Motorola mobile phones value for their money. Concrete Terms:- Out of 50 respondents 40 considers Motorola mobile phones value for their money rest 10 respondents contradict on this. 24
  • 25. 9) What according to you is the most important additional feature that should be present in a mobile phone? 0 5 10 15 20 25 1st Qtr Bluetooth Camera Mp3 MMS Other Features Interpretation:- The above chart shows the various additional features which customers take into account while purchasing handset. Concrete Terms:- Out of 50 respondents 22 gives preference to Bluetooth as an additional feature while purchasing handset, 12 respondents gives preference to camera, 6 gives preference to mp3, 6 gives preference to mms while rest 4 respondents prefer to have some other additional features apart from these. 25
  • 26. 10) How important is after sales service in the mobile industry ? 0 5 10 15 20 25 30 35 1st Qtr Very Important Important Average Interpretation:- The above chart shows the after sales service is considered to be of prime importance to the respondents. Concrete Terms:- Out of 50 respondents 31considers after sales services very important while 16 respondents considers it a little less than very important and the rest 3 respondents gives it an average position. 26
  • 27. RECOMMENDATIONS • The company should try to reach maximum consumers in India by making distribution channel more effective. • The company should continue to work on the Strategy of T.Q.M (Total Quality Management). • The MOTOROLA is brand in itself and none of the other brands are in a position to compare with it in Quality, Reliability and Brand Image. Even then a number of other brands are entering the market and are acquiring a good market share. The main reason behind it is that the distributors of the company are not able to provide regular supply to the retailers in all the areas. • Consumers do not get satisfied with the promotional policies of the company. New techniques of promotion are required to create awareness about the entire range of MOTOROLA products. 27
  • 28. LIMITATIONS • A small sample size of 50 customers was considered due to lack of time & resource constraints. • The scope of the project is limited to the city of Jalandhar. So, we cannot say that the same response will exist throughout India. • With regards to uneducated customers it was difficult to get across to them all the features of their respective mobile phones. 28
  • 29. CONCLUSION Hereby I can conclude from this research that Nokia has the maximum brand preference as compared to other brands. Most of the dealers are selling more than one brand. They sell different brands to gain more volume and more availability to the customers. So dealer’s preference to push a particular brand to the customer plays a major role in the mobile market. According to the dealers advertising and promotional schemes along with other schemes also affect the customer’s willingness. Aggressive advertising put into effect for a long time in the customers mind, which influence the people, are T.V., Newspaper and Magazines. Consumers prefer a MNC band due to the quality and technological superior features. Consumers also judge the after sale service availability of the company before purchasing a mobile. 29
  • 30. References: 1. Balakrishnan, V., & Paul, H. P. (2008). A study of the effect of thumb sizes on mobile phone texting satisfaction. Journal of Usability Studies, 3(3), 118-128. 2. Bayraktar, E., Tatoglu, E., Turkyilmaz, A., Delen, D., & Zaim, S. (2012). Measuring the efficiency of customer satisfaction and loyalty for mobile phone brands with DEA. Expert Systems with Applications, 39(1), 99-106. 3. Deng, Z., Lu, Y., Wei, K. K., & Zhang, J. (2010). Understanding customer satisfaction and loyalty: An empirical study of mobile instant messages in China. International journal of information management, 30(4), 289-300. 4. East, R., Hammond, K., & Lomax, W. (2008). Measuring the impact of positive and negative word of mouth on brand purchase probability.International journal of research in marketing, 25(3), 215-224. 5. Head, M., & Ziolkowski, N. (2012). Understanding student attitudes of mobile phone features: Rethinking adoption through conjoint, cluster and SEM analyses. Computers in Human Behavior, 28(6), 2331-2339. 6. Kang, J., Zhang, X., & Zheng, Z. H. (2009). The relationship of customer complaints, satisfaction and loyalty: Evidence from China’s mobile phone industry. China-USA Business Review, 8(12), 22-36. 7. Lee, J., Lee, J., & Feick, L. (2001). The impact of switching costs on the customer satisfaction-loyalty link: mobile phone service in France. Journal of services marketing, 15(1), 35-48. 8. Lee, Y. E., & Benbasat, I. (2004). A framework for the study of customer interface design for mobile commerce. International Journal of Electronic Commerce, 8(3), 79-102. 9. Malhotra, A., & Kubowicz Malhotra, C. (2013). Exploring switching behavior of US mobile service customers. Journal of Services Marketing, 27(1), 13-24. 30
  • 31. 10.Oyeniyi, O., & Joachim, A. A. (2008). Customer service in the retention of mobile phone users in Nigeria. African Journal of Business Management,2(2), 26. QUESTIONNAIRE Name: __________________________ Age: ______yrs Occupation: _________________ Q1. Are you using a mobile? o Yes o No Q2. Which company handset are you using? o Nokia o Samsung o Motorola o Sony Ericsson o Others Q3. Are you satisfied? o Yes o No Q4. Are you aware of the brand “Motorola”? oYes oNo Q5. In what time you are thinking to change your handset or buying a new one? oWithin a week oWithin a month 31
  • 32. oWithin six months oWithin a year Q6. To which handset will you move? o Nokia o Samsung o Motorola o Sony Ericsson o Others Q7. Where do you generally purchase your handsets from? oDealers oGrey market oOthers Q8. Do you think Motorola mobile phones are value for money? oYes oNo Q9. What according to you is the most important additional feature that should be present in a mobile phone? oIntegrated camera oBluetooth oMp3 oMMS oOthers Q10. How important is after sales service in the mobile industry? o Very Important oImportant oAverage 32
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