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Executive Summery

Ufone is the second largest cellular network in Pakistan. The head office of the Ufone is located in 13-B, F-7 Markaz Islamabad, Pakistan. Every Organizational whether its multinational, private business or Govt. Offices depend on its people. Telecom industry is growing in Pakistan with new companies is getting license the competition is though as a result is the consumer is getting benefits and enjoy low call rates. With a population of 15 million countries Ufone is one of the best telecommunication networks that generate revenue. Ufone Company commenced its operations under the brand name of Ufone from Islamabad on January 29 2001. Ufone Provide two kinds of Services that is Ufone Prepay and Post pay. In postpaid they provide a lot of packages such as Uwon, Ushare. Public Demand etc. in post paid they provide a Black berry, payment choice, value added service etc. Ufone has always played a vital role in the development of cellular market in Pakistan. It has been a step ahead in introducing a innovative product in the market. Ufone adopted the policy of simplified tariffs with no hidden charges. Ufone targeted the middle class, by introducing low rates. Ufone has network coverage in more than 5885 locations and across all major highways of the country. Mobilink has 910,000 subscribers and Ufone has 565,000 subscribers. According to the latest marker survey there is 70.64% annual growth in this sector. So when Ufone will change their technology the market is open for them because their prices are low and they are catering to middle and lower middle class which has quite big ratio in Pakistan.

INTRODUCTION The company commenced its operations under the brand name of Ufone from Islamabad on January 29 2001. Ufone expanded its coverage and has added new cities and highways to its coverage network. After the privatization of PTCL, Ufone is now owned by Etisalat. During the year, as a consequence of PTCLs privatization, 26% of its shares were acquired by Emirates Telecommunication Corporation (Etisalat). Being part of PTCL, the management of Ufone has also been handed over to Etisalat. During the years, Ufone continued on the path to success. The Company further expanded its coverage and has added new cities and highways. Ufone has network coverage in more than 5885 locations and across all major highways of the country. During the year Ufone adopted the policy of simplified tariffs with no hidden charges, which resulted in positive impacts on the usage trends of subscribers as well as total subscriber base, which has increased to 19.4 million. Ufone currently caters for International Roaming to more than 230 live operators in more than 130 countries and introduced International roaming facility for Prepaid subscribers in Saudi Arabia, United Kingdom, United Arab Emirates, Singapore, Portugal, Thailand, Cyprus, Bangladesh, Uzbekistan, Tunisia, Sri Lanka, Belgium and Kuwait with lowest rates, featuring no security deposit and activation charges. GPRS Roaming facility is available with more than 115 Live Operators across 85 countries. The company has also been awarded a new License for providing cellular services in Azad Jammu & Kashmir and Northern Areas. HISTORY In 1990, Pakistan introduced its first mobile phone service called Paktel. After eleven years in January 2001, a new cellular company with GSM technology came into the market and they named it Ufone. The government of Pakistan granted them the license of Pak Telecom mobile limited to operate GSM 9000 all Around Pakistan. Ufone succeeded to establish itself in the market by providing quality service at low rates. After its opening, initially they started their service in major cities like Rawalpindi, Islamabad, Karachi and Lahore and on major highways. Later the service expanded to other major cities like Peshawar, Quetta and different towns. Ufone invested around $ 65 million to setup its modern technical infrastructure to provide high quality crystal clear voice and fast data transmission. Ufone targeted the middle class, by

introducing low rates and different packages with Urdu names like Jazba etc to attracted lower and middle class people. Ufone has expanded its customer support in a very organized manner with a planned network of dealers, outlets for people convenient. Ufone is committed to care for its customers even after they have acquired a new connection. Ufone not only focused on the technical capabilities, but to provide subscribers a convenient to get connections and services. Ufone recently started GPRS through which users can connect themselves to the global village via Internet, also introduced multimedia messaging services and worldwide SMS at flat rates. Not only SMS but also provides Ufone Info service through which user can get latest information about news, sports, religion, horoscope, stock exchange etc even live sports updates. The tariff packages have been designed keeping in mind the requirements of every segment of the society may that be a housewife, a taxi driver, a trader or a student. Ufone started its operation from Islamabad on 29th January 2001. Cellular industry performance in Pakistan before the launch of Ufone was quite dismal, with one of the lowest population penetration rates in the Whole region. Ufones strategy from the day one was to change this scenario and ensure that mobile phones are turned into an everyday business and personal communication tools for all. This approach brought about a revolution in the market; increasing its size five fold in a mere two years. Ufones own performance in these two years has been exemplary, as it surpassed all financial and marketing goals. Despite Ufones strategy to provide a high standard of service rather than increasing subscriber base without capacity, it has achieved a substantial market share in a market ten years older than itself. HEADQUARTER The head office of the Ufone is located in 13-B, F-7 Markaz Islamabad, Pakistan and it covered area is 2336 cities of Pakistan, GT Road, Super Highway & Motorway. MISSION "Ufone, it's all about U! We are where you want to be At Ufone we aim to provide you with wider coverage, superior connectivity, clear signals & voice quality. Wherever you are, Ufone keeps you connected."

VISION To be the leading telecommunication service provider in Pakistan by offering innovate communication solutions for our customers while exceeding shareholder value & employee expectation. OBJECTIVES Ufone is a dynamic organization with a powerful culture that allows people to make the most of their skills, personality and career. I developed such knowledge and skills which directed to my career. Customer Service Ufone is proud to have an efficient and friendly customer service through 21 company-owned Sales & Customer Service Centers and nearly 250 franchisees across the country. The outlets are able to service the customers with innovative solutions, and are empowered with Web based franchise management systems. Ufone is poised to face the ever increasing challenges of the market and is confident it will attract new customers. It has the ability to retain its existing customer base with a high level of customer satisfaction via optimum network service and a 24 hour call center facility. Departments in Ufone The Following departments are currently working: Human Resource Management Marketing Department Commercial Department Sales Department Finance Department Payroll Department Information Technology Department Engineering Department Administration Auditing Department Customer Care

Sales & Services Center Ufone Sales & Service Centers have been set up to provide you quality services all under one roof so you can walk in to any Ufone Sales & Service Center for services like: Connection purchase Bill payment SIM Activation Number blocking in case of lost or stolen SIMs Number change Address change SIM replacement Ownership Changing Product / package change Connection closure PIN / PUK code number inquiry GPRS IR activation Missed Call Notification Call Forwarding Conference Call FNF Activation / Changes

Brands:
While keeping its tradition of being the trend setter in the industry, Ufone changed the image of mobile phones from a luxury only affordable by the elite, to a necessity affordable by the common man. Since its inception, Ufone has positioned its brand for masses. In keeping with the upcoming competition and market dynamics, Ufone increased its focus on the youth segment (which comprises 50% of the population), with the Prepay brand. By designing market focused products, Ufones brand team launched aggressive campaigns, which further increased the brand equity. The new brand image gained huge popularity amongst the targeted market. A recent marketing survey conducted by a prominent marketing research company showed that Ufone has

considerably increased its brand visibility and image. Ufones Prepay brand is now considered to be one of the most favored brands by the youth market and is followed by other mobile operators launching their respective brands for the youth market. Products: Ufone offer both prepaid and postpaid services. The following are the services of Ufone. Prepaid: Ufone markets its prepaid services as Prepay. Ufone Prepay is more affordable. Its primary market is intended towards teen agers and students. Following are some of the prepaid packages of Ufone. Packages:

Life plus Package Prepay Life Life Value Josh U Circle Life U Circle Life Plus U Rock Public Demand Paanch Ka Pandrah Ghanta Package U Won 3 minutes Package One Number free Package Tension Free Package 60 Paisa Offer U-Circle SMS Packages

Other Value Added Services:


Ufone Game Show SIM Lagao Offer Ufone Member Banao IDD USA, UK & Canada Prepaid Roaming International MMS Products and Features Recharge Options Prepaid Call Details U Share ULoad via 1 link ATM Ufone Conference Call

Post paid Postpaid services are marketed by the name Post pay. These services are mainly targeted towards the business community of the country but having the packages of middle class also. Some of the packages are given below,

U 50 U 250 U 550 U 1000 U 1600 U 5000 Post pay Unite Bonus SMS Package

Payments of bill

Payments through Scratch cards Through UTop Up Cash or credit card Direct debit Using I link ATM Using NIB Direct Pay on NIB ATM

Bill Payment Locations Ufone easy bill payment locations include the following: Ufone Sales & Customer Service Centers ABN Amro Bank Standard Chartered Bank Online payment via Credit Cards MCB ATM Nadra Kiosks UBL Network

All Post pay subscribers receive paper bills or ebills via email of on a monthly basis. Post pay bills include the following, Statement Sheet Invoice Sheet Itemized Sheet

SWOT ANALYSIS OF UFONE STRENGTHS NETWORK COVERAGE: Ufone has a network coverage in more than 5885 locations and across all major highways of the country. INTERNATIONAL ROAMING Ufone currently caters for International Roaming to more than 230 live operators in more than 130 countries. Ufone has introduced International Roaming facility for prepaid subscriber in various countries around the globe with the lowest call rates, featuring no security charges and activation charges. GPRS ROAMING GPRS roaming facility is available with more than 115 live operators across 85 countries. LICENSE FOR AZAD JAMMU KASHMIR AND NORTHERN AREAS The company has also been awarded a new license for providing cellular services in Azad Jammu and Kashmir and Northern Areas. QUALITY COVERAGE Ufone provides its subscriber with quality coverage and clear connectivity. VALUE ADDED SERVICES Ufone is a host of value added services and data connectivity with the best network in Pakistan. LOWEST PRICES Ufone offers the most reasonable prices for its users. REPRESENTATIVE OF PTCL Ufone acts as a representative of PTCL as it is its subsidiary PIONEERS OF MMS AND GPRS Ufone was the first to launch GPRS services and Multimedia Messaging Service (MMS) and prepaid roaming in Pakistan. The network also allows Ufone subscriber to have high speed wireless data service. SECOND LARGEST MARKET SHARE Ufone is the second largest cellular operator in Pakistan with subscriber base of around 6.5 million and a market share of nearly 25%. Ufones Prepay brand is now considered to be one of the most favorite brands by the youth market.

WEAKNESS
BEHIND ON EXCESSIVE DEMAND This is Ufones biggest weakness; company is unable to meet the demands POOR ORGANIZATIONAL STRUCTURE Centralized structure failed to provide proper guidance over instruction and policies. STAGNANT PROFITABILITY As compared to financial assets, Ufone is not close to expected profitability. OVERLY DEPENDENT ON PTCL Since, it is a subsidiary of PTCL IT is dependent on PTCL. LACK OF FRNACHISE It has many franchises in the whole country but as its customers are increasing day by day so its present franchises are not enough to fulfill the needs of it customers. LACK OF INNOVATIVE SERVICES Ufone though has some unique and distinct services but it has not yet given many innovative services as compared to other cellular companies. NETWORK COVERAGE Its coverage on Southern part of Pakistan is quite good but in northern areas its coverage is a bit poor. COMPETETION When Ufone came into the seen in Pakistan cellular market Mobilink was already prevailing in the market and it was all Mobilink monopoly that time. Though with the passage of time Ufone took many customers of Mobilink but still Mobilink has large number of users because it was first to Pakistans cellular market and this is the competitive disadvantage to Ufone. INTERNAL PROBLEMS Ufone is plagued with some internal problems like when it is privatized to Etisalaat being the part of the PTCL many employees were not happy with the pay scale that they were offering.

OPPURTUNITYCONTINUING TO EXPAND GLOBALLY


Ufone has the ability to expand globally. But due to current economic condition all its operation on halt.

PUBLICITY AND MARKETING With the right marketing strategy they can acquire much more. DEVELOP NEW VALUE ADDED SERVICE This is an opportunity that will never be satisfied, meaning that Ufone should always be attempting to keep improving new value added services and as we know what is in today will be out tomorrow. INTRODUCE KIOSK TECHNOLOGY Ufone can surprise its competitors by introducing Ufone kiosk. These will be ATM like machines and that will give 24-hour service to Ufone subscribers to load the balance just like they take money from ATM. DEVELOP FRANCHISE IN REMOTE AREAS Ufone should develop some new franchises in remote areas so that people will get more and more benefit from it and it will help to increase their customers. Ufone should extend its network coverage area to Northern part of the country as well because in that part not too many companies are giving services and if Ufone give its service there then it will definitely attract people and its number of customers will shoot like a rocket.

THREAT GOVERNMENT INTERFERENCE Government interference in terms of taxes will always be treated as a threat. PTCL CELLULAR LICENSE Ufone is nothing just a cellular license to PTCL, PTCL should provide more financial support to enhance profitability of its subsidiary company. PENSION PAYOUTS Part of this threat is their own doing and other is simply unavoidable. Ufone is responsible for providing generous pension benefits to its employees, which at time seems like a great idea, however they are now experiencing problems as more and more people begin to collect. INCREASED HEALTH CARE COSTS Ufone, like many large companies with quality employees health care benefits, is experiencing a large financial hit that only get worse as time continues as compare to other cellular firms TOUGH COMPETETION As Ufone is cellular company and there is cut throat competition among cellular companies in Pakistan. There are six other companies also working in Pakistan so Ufone would have to face some growing competitive pressures. PRESSURE GROUP Some pressure groups are protesting on the towers that are installed in residential areas. Their opinion is that it is not good for health of people to have such towers near their homes that cause radiations. ECONOMIC PROBLEMS Pakistan is facing some serious economic problems now days so that would also affect Ufone. The current recession in market is not good for any kind of business including telecommunication.

New business plan

Ufone Post pay


Ufone Post pay is a brand that keeps up with you, understanding your drive for victory in the business arena and your sense of belonging in your personal life now with new mind blowing features with a large range of offers which boost up your daily life routine and give you a fresh feeling in using cellular services. On the road to success, Ufone Post pay is a brand for those who expect more from life, from themselves and from their phones, so turn your mobile communication into the unique experience you always wanted. We aim at providing you with the most superior mobile phone services, widest quality network & best customer services for you on your journey to success. Ufone Post pay is designed to suit your life style & communication drive. As you always wanted more from your mobile phone service! So now you can enjoy:
Customized packages: on a range of talk plans you can choose from Ufone

according to your needs, No compulsion on choosing a specific package


U Youth Packages: gives young generation a new postpaid plan, you never tried

before
Virtual Private Network (VPN): Your own private network within the Ufone

network
Lowest price: never think about over charged you earn what you get from Ufone Post

pay
GPRS: Internet Access on your GPRS enabled phone & mobile office so you can be

in touch with business

while you are out and about

Unlimited Browsing: Enjoy a sharp speed internet service Umail: To enjoy wireless email products International Roaming: in countless destinations, keeping you connected worldwide Exclusive Customer Care: with personal service to help set up your phone to suit

your needs. Ufone Post pay with its technological edge, great value for money and unmatched quality is

your perfect companion on the road to success.

Conclusion
Telecom industry is most growing industry of Pakistan still huge investment required for coverage. The market also has strong competition after the entrance of China Mobile Company as player. Competitors are hiring professionals to entertain the consumer which is resulting technological implementation and value added services. People are worried about call rates they dont prefer any particular company. Consumer searches good service with lowest call rates, although companies are minimizing call rates this will result more growth in the market. Ufone bring amazing packages to attract the customers. Ufone promote their product through TV commercial, Newspaper, Radio, Internet etc. The choice of people is Ufone because Ufone price level is low and affordable that every one can say its all about U

Suggestions and Recommendations:

The billing and system of Ufone should be made more accurate with the acquisition of new and improved equipment and machinery. The system of coverage would be made more powerful with the advanced in technology, technology play a vital role in services. In the SMS bundle offer people have some objection that its validity should be more. Coverage should be made more accurate throughout the Pakistan like Mobilink. In order to make a competitive edge, they have made sure that all employees show their brand. (According to an author, every one of you will make or break the promise that our brand is for customers). Advertising should be made more attractive with stars. The exterior outlook and layout of franchises needs to be improved likewise of the interior. Managers should be aware of the perceptions that are changing according to time. They have to go for sponsorship of leisure activities like in cricket, hockey, volleyball etc They have to develop the plans like to go for areas in which they have not yet construct any booster. They have to give happy hours in any time of the day. They have to create an image of Ufone like .connecting people.