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Lovely
Professional
University

Topic:- Consumer perception and preference towards Internet

Service providers in Punjab.

M.B.A -II

ASSIGNMENT NO 2

2010-2011

MGT-516

Submitted by Guided by
Amit Sharma Mr . Chander Shekher Dogra

Section-R-1002

Roll number –B-31

Regi no- 11008625

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Abstract
Investigates time as a factor that influences consumer preferences for innovative
technological services such as the Internet. Specifically, the case of consumer adoption of
the Internet for home use is explored. Examines the effect of time of adoption of Internet
based services on preferences at the individual consumer level. The key research question
is “What is the effect of time of adoption on consumer preferences for a technological
service such as the Internet?” The primary contribution of this research is to demonstrate
that existing time preference frameworks, previously applied to consumer durable
products, can also be applied to technological service innovations, such as the Internet.
An empirical examination is conducted using data from a survey of consumers in the
initial stages of Internet adoption.
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DECLARATION
I hereby state that, this project report submitted by me in partial fulfillment of
requirements of the MBA is an original research work carried out by me under the
guidance and supervision of my faculty guide and this work or any part of it has not been
previously submitted for a degree of MBA.

Amit Sharma

MBA 2nd Sem.

ACKNOWLEDGEMENT
The project of such magnitude cannot be accomplished without the assistance and co-
operation of several people. Exchange of ideas generate a new object to work in a better
way. So, whenever a person is helped by others, his heart is bound to pay gratitude and it
is not merely formality but an expression of deep sense of gratitude and cumulative
appreciation.

I wish to express my deep sense of gratitude to my teacher and guide Mr . Chander

Shekher Dogra, of LOVELY PROFESSIONAL UNIVERSITY, Jalandhar, whose support
and guidance along with timely advice has helped me to complete this project report.

[Name]

Amit Sharma

Reg. No-11008625
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OBJECTIVES OF STUDY
• To find the consumer satisfaction towards various Mobile phone service provider.
• To determine the factors which are effecting the customer satisfaction of service
provided by various mobile phone service provider?

SCOPE OF THE STUDY

This project helps in projecting the customer’s preception and preference regarding the
internet service provider in Punjab. When the customer’s while selecting a product or
service what is the role play by preception about the product. We very well know that
company tries to make the good image of his product. It also play a important role in
brand preference. The scope of study for management student gets to apply all their
theoretical knowledge in the market. During study they solve the particular problem given
by the market and come to know the various things practically.

NEED OF THE STUDY

As we know that every company spend a lot of money on Advertisements ect. Therefore
Advertising is an important aspect of the companies to promote their product, and
generate sales. It is also important for the companies to know whether their
advertisements are effective or not. So the company try to know about the preception and
preference about his product. So I will take that as a our research problem to find the
preception and preference.
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HYPOTHESIS FORMULATION
It is basically a presumption which Researcher uses when they do research.

• Null: - There is a significant effect on the difference between the satisfaction of

different service provider.
• Alternative:- There is no significant effect on the difference between the
satisfaction of different service provider.

Data collection:
Data was collected through primary and secondary sources.

(1) Primary data: primary data was collected with the help of structured
questionnaire and personal interview.

(2) Secondary data: Source of secondary data was collected with help of
published reports, magazines, newspapers and the websites.

Data coding in SPSS

SPSS (Statistical Package for the Social Sciences) is a computer application that provides
statistical analysis of data. It allows for in-depth data access and preparation, analytical
reporting, graphics and modelling. As we know that SPSS is used for the interpetation of
data. In my research I used the spss to find out the best customer response.
Data analysis tool
The most often tools used to Examine are
• Mean.
• Standard Deviation.
• Coefficient of Co-Relation.
• Regression.
• Chi square test
• Factor analysis
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ANALYSIS THE DATA

Ques:-

Which type of connection do you prefer?

Valid Cumulative
Frequency Percent Percent Percent
Valid pre paid 43 84.3 86.0 86.0
post paid 7 13.7 14.0 100.0
Total 50 98.0 100.0
Missing System 1 2.0
Total 51 100.0

 ANALYSIS: The above doat show the type of connection which is

used by the customer. We see that out of 50, 43 costomer used the pre paid
service it show the pre paid is more prefabrabel then post paid.
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Question:

Which service are you using now?

Cumulative
Frequency Percent Valid Percent Percent

Valid bsnl 6 11.8 12.0 12.0

reliance 14 27.5 28.0 40.0

airtel 17 33.3 34.0 74.0

idea 1 2.0 2.0 76.0

vodafone 7 13.7 14.0 90.0

tata 5 9.8 10.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0
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 ANALYSIS: The above figure show the persentage of the customer of

every service. The higest percentage of customer is Airtel 34%, and Reliance
28%, after these vodafone is with 14%.

Question:

Which technology do you Prefer?

Cumulative
Frequency Percent Valid Percent Percent

Valid cdma 8 15.7 16.0 16.0

gsm 31 60.8 62.0 78.0

both 11 21.6 22.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0

ANALYSIS: This question show the percentage of customer. 15.7% people

using the CDMA and 60.8% are using the GSM, only 21.6% people using the both
services. As per the data, it can be analyzed that in spite of tough competitions
between GSM and CDMA service providers, the GSM has earned a huge market
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share with 60.8%. There are 21.6% people who are willing to use both the
technologies. Only 15.7 % people prefer CDMA which is very less compared to the
level of competition and GSM’s market share.

Question:

How long have you been using this connection of your service provider?

Cumulative
Frequency Percent Valid Percent Percent

Valid less than 6 month 3 5.9 6.0 6.0

6-12 month 18 35.3 36.0 42.0

1-2 year 5 9.8 10.0 52.0

more than 2 year 24 47.1 48.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0

 ANALYSIS: The above question is about the period of the time using
the connection. The 35.3 % people is using the service is more then 6 to 12
month. 47.1% people are using the service is more then 2 years . it is show
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that the customer is satisfied with the service. So we say that the customer is
satisfied with the service provider.

Question:

How much do you spend per month on you Mobile Connection?

Cumulative
Frequency Percent Valid Percent Percent

Valid up to 500 31 60.8 62.0 62.0

501-1000 12 23.5 24.0 86.0

1001-1500 6 11.8 12.0 98.0

more than 2000 1 2.0 2.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0

 ANALYSIS: This question is show the cost of the customer which is

incured in a month. We saw that 60.8% people spend only 500 per month. It
is happen because my target population is post graduate. Only 23.5% people
spend the more then 500 but below in 1000. So we say that money is more
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impact on customer satisfaction. If the company provide the chief cost

service then the people using more service.

Question:

What factor do you consider while select up particular service provider?

Cumulative
Frequency Percent Valid Percent Percent

Valid good service 18 35.3 36.0 36.0

network 17 33.3 34.0 70.0

price 8 15.7 16.0 86.0

voice quality 4 7.8 8.0 94.0

schemes 3 5.9 6.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0

 ANALYSIS: This question is the most important because the customer

rate the service which is good for the customer. 35.3% people choose the
good service. 33.3% people choose the network and 15.7% people goes for
the price. We say that price is few impact of the customer satifaction. If the
service provider give the good service and good network then the customer is
more satisfied.
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Question:

How do you find the behavior of customer care executive of your service Provider?

Cumulative
Frequency Percent Valid Percent Percent

Valid professioal & prompt 8 15.7 16.0 16.0

not responding 12 23.5 24.0 40.0

helpful 27 52.9 54.0 94.0

lazy & slow 3 5.9 6.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0

 ANALYSIS: It is only to know the customer prefrence towards the

customer care executive of the service provider. We know that customer care
executive additude has a positive impact on the customer satisfaction. 53%
people say that his addtitude is helpful for the customer.
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Question:

How do you find ISD Rates of Your service Provider?

Cumulative
Frequency Percent Valid Percent Percent

Valid costly affordable 15 29.4 30.0 30.0

economical 30 58.8 60.0 90.0

costly unaffordable 5 9.8 10.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0

 ANALYSIS:This question show the ISD rates of the service provider.

ISD rate is economical of all company 58% people say that ISD rate is
economical. So we say that the service provider give the best ISD rate.
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Question:
Will you switch to another service provider? If they provide better call rate.

Cumulative
Frequency Percent Valid Percent Percent

Valid yes 35 68.6 70.0 70.0

no 15 29.4 30.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0

 ANALYSIS: This question show that if the other service provider give
the best feature then the customer swithch to another company. But it when
happen when the customer satisfied that the other company is give the best
service. 68% people ready to switch another company. 29% people is not
want to switch. Whose people who want to switch to another company 35%
people want ot shift to Airtel. We say that Airtel is better then the others.

Question:
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If yes, then which service provider.

Cumulative
Frequency Percent Valid Percent Percent

Valid bsnl 6 11.8 12.0 12.0

reliance 10 19.6 20.0 32.0

airtel 18 35.3 36.0 68.0

others 16 31.4 32.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0

Question:
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Rate your Satisfaction level of your current service provider.

Cumulative
Frequency Percent Valid Percent Percent

Valid highly satisfied 9 17.6 18.0 18.0

satisfied 34 66.7 68.0 86.0

dissatisfied 4 7.8 8.0 94.0

highly dissatisfied 3 5.9 6.0 100.0

Total 50 98.0 100.0

Missing System 1 2.0

Total 51 100.0

 ANALYSIS: When we ask to rate the satisfaction of the current service

provider. In the above data 18% people is haighly satisfied with the service.
67% people is satisfied with the the service. Only 3 or 4% people is
dissatisfied with the service.

 To study the whether customer satisfaction is

independent of gender or not.
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HYPOTHESIS

H0= Consumer Satisfaction Have no effect of gender

H1= Consumer Satisfaction Have effect of gender.

 Chi-squire

Chi-Square Tests

Asymp. Sig. (2-

Value df sided)

Pearson Chi-Square 9.856a 16 .874

Likelihood Ratio 11.093 16 .804

Linear-by-Linear Association .991 1 .320

N of Valid Cases 50

Symmetric Measures

Value Asymp. Std. Errora Approx. Tb Approx. Sig.

Interval by Interval Pearson's R .142 .097 .995 .325c

Ordinal by Ordinal Spearman Correlation .136 .113 .953 .345c

N of Valid Cases 50
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INTERPRETATION:-
The Chi-square test revealed the significant association between gender of the
respondents and their customer satisfaction. From the Chi-square test output table
we see that a significance level of 0.874(Person’s) has been achieved. This means
the Chi-square test is showing a not significant association between the above two
variables at 37.10% confidence level (100-87.40).

Thus we conclude that at 37% confidence level, GENDER OF THE

RESPONDENTS and THEIR CUSTOMER SATISFACTION are not associated
significantly with each other, whereas this is not significant at the 95% confidence
level. From the obtained contingency coefficient (C) of 0.142, it can be inferred
that the association between the dependent and independent variable is significant,
as the value 0.142 is closer to 0.
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Factor analysis
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INTERPRETATION:-
When we calculate the factor analysis we reduce the data and search the best factor which
is effect the consumer. In the above data we see that there are ten factors. And the
consumer judged which is better for the customer.

In the above we see that the consumer chose the main three factors which is tariff plan,
network, and message service which is good for the customer and the customer wants to
these services.

When we analysis the component matrix in first rescaled components we took the
customer care, voice clarity and tariff plan is most important factors for the customer and
we say that better service if most important for the customer we say that reliability. In the
second component we say that network, billing system and voice Cleary is also important
for the customer. In the third VAS, availability and talk time is also important for the
customer.

The output of the factor analysis is obtained by requesting principal component analysis
and specifying the rotation. There are three stage of factor analysis. Stage one being the
factor extraction process, other is these factor extraction process in shown in “scree plot”,
wherein the objective is to identify how many factors are to be extracted from the data.
The most popular computation of an Eigen value, to how many factors to extract. The
higher the Eigen value of the factor, the higher is the amount of variance explained by the
factor.
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Findings of the study

• Prepaid is most preferable then the post paid.

• Airtel customer is more than other service provider.

• Maximum No of customer is GSM.

• Customer satisfied with the service.

• No of customer spend lees amount of money.

• Good service is more important than other factor.

• Customer satisfied with the Customer care executive.

• No of customer ready to switch to another service if the service provides

provide the better service.
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Conclusion
India has one of the world’s largest telecommunication networks. The telecom story
continues to be the best evidence of the efficacy of the reforms process. In just few years,
the number of mobile subscribers has gone up from just about one million to 100 million,
a subscriber base that only four other countries China, the US, Japan and Russia can boast
of. None can doubt the correlation between this explosive growth in numbers and the
steep decline in the cost of the mobile phone and of its usage. Effective tariffs have
dropped from over Rs 14 a minute to Re 1, bringing the phone within reach of people
even below the middle-class.

The Government may have, therefore, landed itself a winner in the mobile phone service
providers, but the task of taking telecom to the other 90 percent of the population will call
for even greater innovation in policymaking, technology and marketing. Still three-fourths
of the land mass is not illuminated by a cellular signal and the price of the instrument is
beyond the reach of a substantial section of the population let alone the charges for itsuse.
These issues, of course, can be resolved by decisive policy action, such as a creative use
of the Universal Services Obligation fund that now has over Rs 70 billion, releasing
adequate spectrum to operators in the metros, and a proactive investment policy that
invites many more equipment manufacturers to set up base in this country. The number
portability issues will solve many problems and will help the end users, which will
change the whole scenario of competition and will make the game tougher for the service
providers.
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Recommendations
As mentioned in the future of Indian telecom and on the basis of the primary research
and secondary research, the following recommendations can be concluded:

• Lowering the tariff plans of service providers will increase more

competition.
• In order to allow technological upgradation, segment policies should be
technology-neutral, and not specifically prescriptive.
• Bringing more upgradation in VAS for the betterment of the users.
• Improvement of network infrastructure in both the urban and the rural
Areas.

Limitations of the Study

Limitations are always accompanied with any work. The present study has some
limitations.

• The study has been conducted in the city ‘Jalandhar’. Opinion of people of other
places may be different.
• The respondent for this study were well educated. Illiterate and less literate people
might have different views.
• As all the primary data has been collected by discussion and interviews, there is a
choice of error as people hesitate in granting correct data and sometime exaggerate
the information.
• I tried to convince the respondents that the study is only meant for academic
purpose, some respondents were not ready to furnish other information like who is
your favorite celebrity; you rely on advertisement, which factors influence you
preference.
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BIBLIOGRAPHY & REFERENCE

BOOKS REFERED

 Kotler Philip (2008), Marketing Management 12th Ed, New Delhi, Pearson Education,
PP34-42
 Kotler, Philip and Pfoertsch (2006) Waldemar, 12th Ed, New Delhi, Pearson
publication, PP 56-66
 Shah .K and D’Souza .A (2009) Advertising and Promotions :An IMC Perspective 11th
Ed, New Delhi ,TMH Publications, PP359-366