MBA Marketing,Er. Girish Thakur Resume Final.

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    CHAPTER- 1

    INTRODUCTION

    The world is shifting towards smart devices. The epicentre of communication and

    business is gradually shifting from the PCs & Notebooks to wireless devices like

    Smartphones, Tablets and Cell phones. Consumer behaviour towards wireless devices is

    changing as technology changes like in the case of mobile phones which are being replaced

    by smart phones. Most of the mobile phones nowadays are addressed as smartphone, as

    they offer more advanced computing power and connectivity than an ordinary contemporary

    mobile phone. Smartphone is a handheld computer, as it is powerful enough to deliver

    various functionalities comparable to a computer. Along with the smartphone fundamental

    capabilities to make voice call, video call, SMS, and MMS, smartphones have been

    repositioned as a new information medium. In general, a smartphone is based on an

    operating system that allows it to run applications. Apple's iPhone runs the iOS, and

    BlackBerry smartphones run the BlackBerry OS. Other devices run Google's Android OS and

    Microsoft's Windows . While almost all cell phones include some sort of software (even the

    most basic models these days include an address book or some sort of contact manager, for

    example), a smartphone will have the ability to do more due to presence of applications.

    Smartphone may allow creation and editing of Microsoft Office documents--or at least view

    the files. It may allow to download applications such as personal and business finance

    managers, handy personal assistants, edit photos, get driving directions via GPS, and create a

    playlist of digital tunes. Smartphones can access the Web at higher speeds, because the

    growth of 4G and 3G data networks, as well as the addition of Wi-Fi support to many

    handsets. Still, while not all smartphones offer high-speed Web access, they all offer some

    sort of access. Smartphone mostly include a Qwerty keyboard, this means that the keys are

    laid out in the same manner that would be on computer keyboard--not in alphabetical order

    on top of a numeric keypad, where to tap the number 1 to enter an A, B, or C. The keyboard

    can be hardware (physical keys) or software (on a touch screen, like on the iPhone). All cell

    phones can send and receive text messages, but what sets a smartphone apart is its handling

    of e-mail. A smartphone can synchronize with personal and, most likely, professional e-mail

    account. Some smartphones can support multiple e-mail accounts. Others include access to

    the popular instant messaging services, like AOL's AIM and Yahoo! Messenger.

    http://cellphones.about.com/od/softwarereviews/a/iphone-os-4-update.htmhttp://smartphones.about.com/b/2008/09/02/blackberry-os-45-coming-soon.htmhttp://cellphones.about.com/od/softwarereviews/fr/google-android-os-review.htmhttp://smartphones.about.com/od/tipstricks/ss/izoho_how_to.htmhttp://smartphones.about.com/od/tipstricks/ss/izoho_how_to.htmhttp://smartphones.about.com/od/softwarereviews/fr/vz_nav_review.htmhttp://cellphones.about.com/od/coveringthebasics/a/4g-Wireless-Everything-You-Need-To-Know.htmhttp://smartphones.about.com/od/surfingtheweb/p/3G_explainer.htmhttp://smartphones.about.com/od/surfingtheweb/p/3G_explainer.htmhttp://cellphones.about.com/od/coveringthebasics/a/4g-Wireless-Everything-You-Need-To-Know.htmhttp://smartphones.about.com/od/softwarereviews/fr/vz_nav_review.htmhttp://smartphones.about.com/od/tipstricks/ss/izoho_how_to.htmhttp://smartphones.about.com/od/tipstricks/ss/izoho_how_to.htmhttp://cellphones.about.com/od/softwarereviews/fr/google-android-os-review.htmhttp://smartphones.about.com/b/2008/09/02/blackberry-os-45-coming-soon.htmhttp://cellphones.about.com/od/softwarereviews/a/iphone-os-4-update.htm
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    Established smartphone brands are quickly expanding outside of their traditional

    enterprise markets to attract a wider consumer demographic and maintain share in a fiercely

    competitive market. Factors including the open-sourcing of Operating Systems and a

    reduction in component prices have helped to lower the price point of smartphones. In

    addition, a strong ecosystem of third-party applications developers has helped to drive

    consumer interest in a wider portfolio of data applications and allowed carriers to further

    leverage their investments in high-speed data networks through the development of new

    offers such as application stores. Moreover, it is a global size fair market which not only can

    be accessed by major players, but also small and agile developers. The winning factor in this

    market is to be flexible enough to meet or surpass the requirements of consumers with

    attractive pricing strategy. Thus, it is important to understand the behaviour or attitude of

    consumers toward smartphones.15

    This trend of increasing use of smart phones becomes an interesting theme from the

    perspective of consumer behaviour. Since most phones are relatively new and are becoming

    main stream there is a need to study how consumer behave with respect to smart phones.

    1.1 Need of the study

    Today in fast moving life smartphones have started to play an important role in day

    to day life. Smartphone is now one device with many functions and usability like for internet,

    finding location, application usage in education, learning, communication and for advertising,

    online shopping and also for entertainment as pervious study and research shows.

    Smartphone usage depend on age group, gender, education level, occupation and also with

    area according to pervious study result. Price of the smartphone, quality, brand name, after

    sale service, operating system and size, are the factors that come into play while consumer

    purchase this product. On the other hand there seems to be lack of awareness aboutsmartphone in India regarding operating system, application available and also quality.

    In India brand name and price factor play an important role in consumer purchase

    decision with respect to smart phones. According to research conducted in India shows that

    area factor comes into play like urban and rural, alongwith age group education level of

    people in India. But, there is still lack of understanding in India about smartphone, their

    application , usability, price factor, quality and also brand name. Customer behaviour study is

    based on consumer buying behaviour, with the customer playing the three distinct roles of

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    user, payer and buyer. As in present market there are lots of smart phone manufacturing

    companies like Nokia, Apple, Samsung, Motorola, Micromax, Lava, LG etc fighting to gain

    and retain consumer with their distinct features, after sale service, price, brand value, quality

    different model and designs, so to gain more consumer and to retain them it is important to

    study consumer behaviour as their preferences, choice which are different from person to

    person. So main aim behind to this project is to investigate or find out behaviour and

    preferences of smartphone customers in the study area. Also the purpose of this study is to

    investigate the factors affecting the customers decision with regard to purchase of a

    smartphone.

    1.2 Objectives of the study

    1) To know the consumer awareness about smartphones and smartphones ownership.2) To study the factors which were considered by the consumers in selecting smartphone

    brands.

    3) To study the pattern of smartphone usage.

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    CHAPTER- 2

    REVIEW OF LITERATURE

    Sello, Mokoena (2005)14, studied the smartphone and regular cellular phones: assessing their

    impact on students education at the University of Zululand. The aim of the research was to

    assess the impact of mobile phones on students learning at the University of Zululand. The

    University of Zululand is dominated by black-African students, making the study focus to be

    based on this group. The research information was collected from this group as they are the

    majority population on the Campus. Study revealed that the use of mobile phones enhances

    students learning and engagement in educational activities. Also research results revealed

    that there are more users of smartphones than the regular cellular phone users while price of

    smartphones surpasses the price of the regular cellular phones. Students smartphones

    ownership is greater than that of regular cellular phones.

    Karjaluoto, Heikki. et al . (2005)6, studied the factors affecting consumer choice of mobile

    phones in Finland. This article deals with consumers choice criteria in mobile phone markets

    by studying factors that influence intention to acquire new mobile phones on one hand and

    factors that influence on mobile phone change on the other. The two studies showed thatwhile technical problems are the basic reason to change mobile phone among students; price,

    brand, interface, and properties are the most influential factors affecting the actual choice

    between brands.

    Monthathi, Srikes. et al. (2009)9, studied the impact of culture on mobile phone purchasing

    by comparing Thai and British consumer. The aim of this research is to determine and

    evaluate whether differences in national culture impact on the buyer behaviour of Thai and

    British consumers when purchasing a mobile phone. Furthermore, the research was

    conducted in order to identify and compare key cultural attributes that influence mobile

    phone purchasing between Thai and British consumers. The findings indicated that there is a

    significant difference between Thai and British consumers in terms of mobile phone

    purchasing behaviour as far as Hofstedes cultural dimensions and Schwartzs cultural values

    are concerned. The findings also recommend that managers in mobile phone organizations

    should be concerned with the cultural dynamics of consumers as part of their going re-

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    segmentation, communication and promotion strategies within their overall marketing

    strategies.

    Martens (2010)8, studied the smartphone software markets in Amsterdam. This master thesis

    fills this knowledge gap by researching a Smartphone Software Marketplace (SSM) by

    placing it in context of electronic market research and analyzing multiple cases using related

    topics and theoretical models on E-Marketplaces and Business Models. The aim of this

    research was a discussion and insight about how different business models, value networks

    and processes together shape a market design that improve or hinder marketplace adoption

    for suppliers and buyers. Results shows that Apple currently is the largest SSM in numbers

    and payout level, being a closed business model. Googles SSM is growing rapidly, adopting

    an open business model. Although the open business model design is showing high adoption

    for developers and hardware producers, there is a possibility that the market efficiency is

    threatened by the workings of the SSM. By not controlling SSM content by focusing on

    quality of content and codification of product, price dispersion and information equivocality

    can lead to the exit of high quality suppliers. The current open model design shows a lack of

    leadership, threatening the models success.

    Natha,Garje Raviraj (2010)10, studied the consumer behaviour for purchasing mobile

    handsets in Pune. This study was conducted under the Research International of IMRB

    International on behalf of different mobile brand handsets. The study was carried out, in and

    around Pune City and the duration was of two month. Study showed that brand name is

    important while purchasing of mobile phones and most of the people used their mobile phone

    for calling and they purchased it because of their necessity .

    Osman, Mohd Azam (2011)12, studied the consumer behaviour with regard to usage of

    smartphone in Malaysia. The purpose of this paper was to present the result of a survey on

    the attitude and behaviour of consumers toward the various types of smartphone usages such

    as application software, e-mail, Internet browsing, ringtones, and other mobile contents. The

    findings indicated that male and young consumers generally are larger target market.

    Moreover, the smartness of smartphone yet to be fully exploited, most of the usages was

    limited to core functionalities of mobile phone such as making phone call and SMS. In terms

    of practical contribution, this study provided the overview of mobile contents market

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    opportunities in Malaysia that enables practitioners such as service providers, application

    developers, and mobile contents marketers to derive effective marketing strategies, and to

    serve consumers better.

    Bodker, Mads (2011)1, studied the user experience of smart phones. Purpose of this paper

    was to complement previous research on the adoption and use of smart phones by introducing

    theories from consumer research. The focus was on both the intrinsic and extrinsic values that

    users experience when possessing, interacting, and using smart phones. The study also

    reveals that use as such is an end by itself and not only a mean to reach some other

    objectives, e.g. calling, texting or surfing.

    WD Global industry (2011)15, studied about smartphones building profitability and loyalty in

    the mass-market. This study looks to highlight some of the challenges that face wireless

    carriers as they look to increase the population of smartphones within their portfolio and

    attached to their network. 2000 consumers interviewed in this study, half cited price as the

    principle motivator when selecting a mobile device. This suggests that factors including

    brand and functionality are flexed by the consumer according to the price point of the product

    and also half cited camera resolution as the most important feature for consideration. Only

    10% listed access to application stores and less than 15% cited access to social media

    services as a key consideration. Results varied principally by age group, with the younger

    audience notably engaged with more smartphone-orientated services

    Boulos et al (2011)2, studied the smartphone consumer behaviour adopting the

    collaborative information management behaviour model to understand the Use of

    Smartphone Applications. Studying and understanding smartphone consumer behaviour

    might require a different conceptual approach; one that considers the collective element a

    smartphone provides. The model of collaborative information management behaviour has

    been found to address this aspect and at the same time takes aspects of perception, cognition

    and action into account. The model of Collaborative Information Management Behaviour

    (CIMB) has been derived from qualitative and quantitative findings of a study interested in

    understanding remote tabletop collaboration. The data analysed in this study was collected

    from four video recordings of two-person distributed teams carrying out a collaborative

    information management task over a shared digital workspace and video. Based on

    qualitative and quantitative findings theoretical propositions have been deduced and concepts

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    defined to develop a model for CIMB. The model, CoIMB, has been found useful to

    conceptually understand the pre-buying process of consumers while communicating via

    smartphones and apps. Based on the application of this model initial theoretical insights have

    been deduced relevant for the design of smartphone apps. It has been suggested that

    marketers should incorporate the collective element smartphone technologies offer in order to

    build relationships with existing and new customers, increase brand awareness and loyalty

    and contribute to the overall costumer experience.

    The mobile consumer report US (2011)5, according to exclusive research from Experian

    Simmons, fully 29% of cell phone owners today believe that their cell phone will be the

    primary device for their entertainment needs, in the future. 90% of all mobile phone owners

    in the U.S. are adults, a rate unchanged since 2008. Mobile apps enable consumers to make

    the most of their phones, and mobile consumers are downloading apps more than ever.

    Today, 16% of cell phone owners have downloaded a mobile app within the last 30 days, up

    from 11% who did in 2008. Music apps are the most common, with fully 97% of app

    downloaders having at some point downloaded such an app versus 43% who have

    downloaded a game app. Cell phone owners who are interested in making purchases with

    their phone are also more open to mobile advertising, especially if in exchange for somethingof value. Use of a cell phone to snap photos is routine, with 73% of all cell phone owners

    having snapped a pic in the last 30 days. More telling is that web surfing is also becoming

    commonplace among smartphone owners, 56% of whom now access the Internet with their

    phone in a given month.

    The Nielsen company (2011)11, studied that in Australian smartphone population is becoming

    increasingly sophisticated. More Australian are using the internet on their phone, females use

    more than males.

    Das, Debadutta (2012)3, conducted an empirical study of factors influencing buying

    behaviour of youth consumer towards mobile handsets. A case study in coastal districts of

    Odisha. This study mainly focused on identifying the factors which influence the consumer

    behaviour while they intend to make their purchase decision of mobile handsets. Study

    showed that a handset of reputed brand, smart appearance, and with advanced value added

    features, pleasurebility and usability; is the choice of consumers in between 20-30 years in

    age-group, females in gender-group, graduates/post-graduates in level of education-group,

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    students/service holders in occupational-group, urban residents in geographical-area group

    and with annual family income between Rs.1-3 lakhs. Moreover advertisement plays most

    prominent role in buying decision of a mobile handset in the coastal districts of Odisha.

    Osman, Mohd Azam (2012)13, studied the trend of smartphone and its usage behaviour in

    Malaysia. The purpose of this exploratory study was to better understand the current

    dynamics of the Malaysian market for smartphone and the usage behaviours of consumers.

    This paper presents the result of a survey on the trend of smartphone from the perspective of

    end consumers. the result of this study suggests that the most attractive market for

    smartphones is consumers from younger age groups with purchasing power. Additionally,

    younger consumers, especially male would pay more attention on the technical aspects of the

    smartphone such as computing powers, operating platform, and software applications. This is

    reasonable as younger smartphone users are often the consumers of media and entertainment

    applications.Furthermore, consumers usage behaviours such as using smartphone for email,

    web browsing, gaming, and document reading were examined. This study revealed that

    selling price is not the most important factor that affects smartphone purchasing decision,

    whereas the consumers perceive other factors such as design, connectivity, and performance

    to be more important than the price. Also the report shows that smartphone is not merely acommodity to fulfill the communication requirements, but smartphone would be an indicator

    of status, prestige, and lifestyle.

    Lee, Hee and Youn, Ji (2012)7, studied the factors affecting smart phone application

    acceptance. In this study, to analyze the factors affecting the use of smartphone applications,

    research model based on UTAUT (Unified Theory of Acceptance) model was hypothesized

    and empirically tested. Credibility and personalization were set as factors affecting

    performance expectancy, and flow was added as an antecedent of usage intention. The result

    showed that personalization has positive effect on performance expectancy, and performance

    expectancy and effort expectancy have positive effect on usage intention, use behaviour, and

    recommendation intention. Also, the factors affecting usage intention and use behaviour of

    smartphone app were found to be different between two types of applications.

    Das, Debadutta (2012)4, conducted an investigation of functional analysis of consumers

    buying behaviour towards mobile handsets with a special reference to the usability of mobile

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    handsets in Coastal Belt of Orissa. This exploratory study attempts to investigate consumer

    purchasing motives in cellular phone markets. This paper surveyed 1200 consumers and

    looked at their motive to purchase new mobile phones on the basis of usability of mobile

    handsets on several attribute. Under this backdrop, the usability of a mobile handset was

    studied on the basis of its different functions, namely; Ease of use, Easy to read text,

    Navigating Menu, Problem Fixing, Recovery from Mistake, Easy to read labels on buttons,

    Easy to understand User Manuals and Easy to replace Battery. The main results of the study

    speaks that mainly 20-30 age group, 1-3 lakhs income groups, Female,Urban Consumers are

    significantly influenced by the usability of mobile handsets.

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    CHAPTER- 3

    RESEARCH METHODOLOGY

    Research methodology comprises steps, procedures and strategies used in collecting and

    analysing data in a research investigation.

    The study involved collection of primary data from mobile phone users. This data was

    collected by a structured questionnaire and analysed statistically.

    3.1 Sampling

    Sample of 100 respondents was selected from Shimla town. Shimla town was chosen for the

    study because of the good income of people, high education, availability of wide range of

    brand and models of smartphones. All this makes Shimla a good market for smartphone.

    Respondents are divided into four different age group, this was done as part of quota

    sampling. Quota sampling has been used as it was assumed that age has relationship on use of

    smart phones.Sampling unit was an individual above age of 15 because smartphone usage

    differs from person to person. 25 respondents each were selected from the age groups of

    below 19 year, 19 to 29 year, 29 to 39 year, 39 and above.

    3.2 Questionnaire

    The primary data was collected by structured questionnaire. Questionnaire was designed in

    order to collect information about consumer demographic information, awareness about

    smart phones and smart phone ownership among consumer, factors which influenced the

    consumers to select the smartphone and pattern of smartphone usage.

    Questionnaire involved, closed ended, questions, where respondents are restricted to choose

    among any of the given multiple choice answers.

    Other type of closed-ended questions used in study were importance questions,in importance

    questions, the respondents are usually asked to rate the importance of a particular issue, on a

    rating scale of 1 to 5. These questions can help to understand things that hold significance to

    respondents.

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    3.3 Data Analysis

    Analysis of data is a process of inspecting, cleaning, transforming, and modelling data with

    the goal of highlighting useful information, suggesting conclusions, and supporting decision

    making. The collected data is analysed using various statistical and mathematical tools such

    as mean, standard deviation and one way ANOVA. Data collected was quantitative in

    nature, summarized in tables.

    Different methods used for data analysis in this project are :

    Percentage method.- Percent distributions, or percentages, tell what proportion ofrespondents selected a particular answer. Since percentages reflect the number of

    times each answer would be selected out of 100 responses, they are used to help put

    data in perspective.

    To calculate percentage the process was to calculate the frequencies, calculate the total

    number of responses, then divide the frequency for each question by the total number of

    responses.

    The formula used in percentage method is:

    P =

    * 100

    Where x= Number of respondents falling in a specific category to be measured.

    Y= Total number of respondents

    Mean scores - Mean is the average response given. A mean can be used to describethe group as a whole. To calculate a mean, added up all the responses for question,

    divide the total by the number of responses.

    Where = symbol for summation

    xi = value of the ith item

    n = total number of items

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    One- way ANOVA.One-way analysis of variance (ANOVA) tests allow to determine if one given factor, such

    as age, has a significant effect on purchasing behaviour across any of the parameters under

    study. A significant value resulting from a 1-way ANOVA test would indicate the

    relationship between independent variable on dependent variable under study.

    In this test F- statistics value is calculated by the formula after that this F value is

    compared with F- tabulated value from F-table for given degree of freedom. If the calculated

    value of F- statistics is less than F-tabulated value for given degree of freedom at 0.05 level

    of significance, it means that there is no effect of independent variable on dependent variable

    under study. In other case, if the calculated value of F- statistics is greater than F-tabulated

    value for given degree of freedom at 0.05 level of significance, then it means that there is

    relationship between independent and dependent variables.

    To determine relationship between independent and dependent factors, the following

    hypotheses are tested: The null hypothesis (H0) is that the means are all equal.

    H0 = u1 = u2 =........= uk

    The alternative hypothesis (H1) is that at least one of the means is different.

    H0 : no significant association between variables.

    H1 : significant association between variables.

    The F statistic = Between Mean Squares / Within Mean Squares

    Between Mean Squares = BSS/ df

    Where BSS is referred to as "between sum of squares" or BSS. BSS is calculated by adding

    up, for all groups, the difference between the group's mean and the overall population mean,multiplied by the number of cases in the group.

    df = Degrees of freedom

    Within Mean Squares = WSS/ df

    Where WSS Variation within Groups.WSS is calculated by sum of the squared deviation and

    the group average, calculating separate measures for each group, then summing the group

    values. This is a sum referred to as the "within sum of squares" or WSS.

    df = Degrees of freedom

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    CHAPTER- 4

    DATA ANALYSIS AND INTERPRETATION

    4.1 Gender

    Gender

    Frequency

    Male 66

    Female 34

    Total 100

    Table 4.1

    Table 4.1 shows gender distribution of the sample. It is observed that from the sample of 100

    respondents 66 (66%) were male and 34 (34%) were female. This implies that most of the

    respondents in the sample were males.

    4.2 Age

    .

    Age Distribution of Respondents

    Frequency

    Below 19 yrs 25

    19 yrs-29 yrs 25

    29yrs-39 yrs 25

    39 yrs and above 25

    Total 100

    Table 4.2

    This table 4.2 present the age distribution of respondents. It is seen that 25% of respondents

    were in each age group. This was done as part of quota sampling. Quota sampling has been

    used as it was considered that age has relationship with use of smartphone.

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    4.3 Qualification

    Qualification

    FrequencyUndergraduate 35

    Graduate 30

    Post Graduate and above 35

    Total 100

    Table 4.3

    Table 4.3 displays the qualifications of respondents. It is observed that 35% were

    undergraduates, 30% of the sample were graduates and 35% of the sample were postgraduateand above. From this it is inferred that study sample comprises of highly educated people.

    4.4 Occupation

    Occupation

    Frequency

    Student 48

    Employee 35

    Businessman 7

    Independent Professional 10

    Table 4.4

    Table 4.4 depicts occupation of the respondents. It is seen that of the respondents, 48% were

    students, 35% were employees and 10% were independent professionals.

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    4.5 Family Income

    Family Income per annum

    FrequencyBelow 60,000 2

    60,000-1,000,00 6

    1,000,00-4,000,00 49

    4,000,00 and above 43

    Total 100

    Table 4.5

    Table 4.5 shows annual family incomes of respondents. It is seen that 49% respondents fall inthe range of 1,000,00-4,000,00 , 43% fall in the range of 4,000,00 and above. This

    implies that most of the respondents fall in medium income range and above.

    4.6 Mobile Phone Brand Name

    Mobile Phone Brand Name

    Frequency

    Nokia 38

    Apple 2

    Samsung 20

    LG 4

    Sony 12

    Other 19

    HTC 5

    Total 100

    Table 4.6

    Table 4.6 present current mobile phone brand used by the respondents. It is observed that

    38% of the respondent use Nokia, 20% use Samsung, 19% use other brands. This inferred

    that most of respondents of the study sample preferred Nokia brand then Samsung which is

    second highest preferred brand.

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    4.7 Phone Model

    .

    Phone Model Known to Respondents.

    FrequencyUnknown 11

    Known 89

    Total 100

    Table 4.7

    Table 5.7 shows knowledge of the current mobile phone model used by respondents. It is

    seen that 89% respondents know about the of phone model, only 11% respondents not know

    their phones model. This indicates that respondents have knowledge about their mobilephone model.

    4.8 Time of Purchase

    Time of Purchase

    Frequency

    Between 1-5 months ago 19

    Between 5-12 months ago 31

    Between 1- 2 years ago 29

    More than 2 years ago 21

    Total 100

    Table 4.8

    Table 4.8 present time of purchase of mobile phone. It is noted that 31% respondents

    purchased their mobile phones in between 5-12 months ago, 29% respondents purchased

    their mobile phones in between 1- 2 years ago, 21% purchased their mobile phones more than

    2 years ago and only 19% respondents purchased their mobile phones in between 1-5 months

    ago. This implies that most of the respondents purchased their mobile phone recently which

    is less than 2 years ago.

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    4.9 Current Phone Type

    Current Phone Type of Respondents.

    Frequency

    Mobile phone 11

    Feature phone 9

    Smart phone 47

    Do not know 33

    Total 100

    Table 4.9

    Table 4.9 present current phone type of that the respondents have. It is noticed that 47%

    respondents believe that their current phone is a smartphone, 33% respondents do not knowabout the type of their current phone this show lack of knowledge and awareness about

    different types of phones. 11% indicated that they have a mobile phone and only 9% believe

    that they have feature phone. This implies that most of the respondents have a smartphone

    and other people do not know about the type of their phone.

    4.10 Reason for Purchase

    .Reason for Purchase Given by Respondents.

    Frequency

    Necessity 46

    Status 2

    Trend in society 18

    Technical curiosity 30

    Cyclical upgrade 3Other reason 1

    Total 100

    Table 4.10

    Table 4.10 presents reason for purchase as given by the respondents. It is seen that 46%

    respondents stated necessity a reason for purchase, 30% respondents selected technical

    curiosity a reason for purchase,18 % select trend in society as their reason for purchase. This

    indicates that mobile phone is now necessity and also respondents technical curiosity also

    plays important role in instigating purchase of mobilephones.

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    4.11 Operating System of Smart Phone

    Operating system selected by respondents on which their

    phone is running.Frequency

    Android 29

    iOS 2

    Windows 5

    Other 15

    Do not know 49

    Total 100Table 4.11

    Table 4.11 shows the operating system of the respondents phone. It is seen that 49% of

    respondent do not know operating system of their phone, 29% have Android OS. This implies

    that respondents are less aware of existence of operating system and perhaps what it does and

    those who are aware are mostly using Android OS.

    4.12 Physical QWERTY Keypad

    Physical Qwerty Keypad

    Frequency

    Yes 28

    No 56

    Do not know 16

    Total 100

    Tables 4.12

    Table 4.12 shows availability of physical QWERTY keypad feature on phones used by the

    respondents. It is seen that 28% respondents have Physical Qwerty keypad on their handset,

    56% do not have this feature and 16% do not know about this feature. This indicates that

    most of the respondents do not have this feature on their mobile phones. This may be due to

    the popularity of the touch screen phones.

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    4.13: Touch Screen

    Touch Screen

    FrequencyYes 49

    No 46

    Do not know 5

    Total 100

    Tables 4.13

    Table 4.13 shows availability of touch screen feature on the phones used. It is observe that

    49% respondents have touch-screen in their handset, 46% do not have this feature and 5% donot know about this feature. This shows that most of the respondents preferred having a

    touch-screen in their mobile phones. This may due to the fact that such phones have a bigger

    screen and are convenient.

    4.14 Camera Primary

    Camera PrimaryFrequency

    Yes 78

    No 13

    Do not know 9

    Total 100

    Tables 4.14

    Table 4.14 shows availability of Camera Primary on the phones used. It is noticed that 78%respondents have primary camera in their handset, 13% do not have this feature in their

    handset and 9% do not know about this feature. This shows that majority of the respondent

    have primary camera on their handset. This popularity of the primary camera may be due to

    the reason that it saves customers expenditure on digital cameras.

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    4.15 Camera Secondary

    Secondary Camera

    FrequencyYes 39

    No 38

    Do not know 23

    Total 100

    Tables 4.15

    Table 4.15 shows availability of secondary camera on the mobile phones. It is evident that

    39% respondents have secondary camera in their handset, 38% do not have this feature intheir handset and only 23% do not know about this feature. Thus, it is seen that secondary

    camera is now readily available in smart phones, and is becoming popular. This may have

    something to do with the rollout of the 3G services.

    4.16 Dual SIM

    Dual SIM

    Frequency

    Yes 26

    No 68

    Do not know 6

    Total 100

    Tables 4.16

    Table 4.16 shows availability of Dual SIM feature. The data shows that 26% respondents

    have dual SIM handset, 68% do not have this feature with their handset and only 6% do not

    know about this feature. This implies that most of the respondents do not have this feature on

    their mobile phone and perhaps smartphone owners do not prefer dual SIM phones.

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    4.17 Wi-Fi

    Wi-Fi

    FrequencyYes 56

    No 34

    Do not know 10

    Total 100

    Tables 4.17

    Table 4.17 shows availability of Wi-Fi on the mobile phones. It is noticed that 56%

    respondents have Wi-Fi in their handset, 34% do not have this feature in their handset andonly 10% do not know about this feature. This indicates that a very large number of the

    respondents have this feature on their mobile phone and it is readily available on the mobile

    phones these days. The customers may also be preferring this feature as they appear to be

    aware of its existence, and the younger respondents who are technologically adopt may be

    taking advantage of it.

    4.18 Radio

    Radio

    Frequency

    Yes 93

    No 5

    Do not know 2

    Total 100

    Tables 4.18

    Table 4.18 shows availability of radio on their handset. The table indicates that 93%

    respondents have radio in their handset, 5% do not have this feature in their handset and only

    2% do not know about this feature. This shows that most of the respondents have this feature

    on their mobile phone and that radio is a very common feature of the mobile phones.

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    4.19 Bluetooth

    Bluetooth

    FrequencyYes 93

    No 3

    Do not know 4

    Total 100

    Tables 4.19

    Table 4.19 shows availability of Bluetooth feature on the phones of the respondents. The data

    shows that 93% respondents have Bluetooth feature in their handset, 3% do not have thisfeature in their handset and only, 4% do not know about this feature. It is thus inferred that

    most of the respondents have Bluetooth on mobile phones is a very popular feature due to the

    convenience that it offers to transfer data between devices.

    4.20 Social Networking

    Social NetworkingFrequency

    Yes 78

    No 7

    Do not know 15

    Total 100

    Tables 4.20

    Table 4.20 shows availability of social networking feature on the phones of the respondents.It is noticed that 78% respondents having social networking facility in their handset, 7% do

    not have it in their handset and 15% do not know about this feature. This implies that social

    networking is a popular feature, and this may have something to do with the younger

    respondents being a larger part of the sample. It is this age group which is most active on the

    social media.

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    4.21 Internet Browsing

    Internet Browsing

    Frequency

    Yes 88

    No 3

    Do not know 9

    Total 100

    Tables 4.21

    Table 4.21 shows availability of internet browsing on the mobile phone. 88% respondents

    have internet browsing facility in their handset,3% do not have this feature on their handset

    and 9% do not know about this feature. This indicates that most of the respondents haveInternet browsing on their mobile phone and that it is a popular feature among mobile phone

    owners. This may have a relationship with the availability of 3G networks.

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    4.22 Factor considered while selecting the phone

    Factor which respondents considered while selecting the phone.

    Mean Std. DeviationPrice 4.12 1.258

    Brand name 3.83 .911

    Camera resolution 3.51 1.105

    Touch sensitivity 3.39 1.377

    Design 3.71 1.018

    Multimedia 3.55 1.095

    Applications 3.59 1.207Battery life 4.43 .891

    Processor speed 3.66 1.165

    Memory 3.94 .993

    Display resolution 3.58 1.130

    Speed of internet browsing 3.85 1.140

    After sale service 4.25 .783

    Phone Operating system 3.40 1.198

    Table 4.22

    Table 4.22 shows importance assigned to factor which are considered while selecting the

    phone by respondents. It is observe that battery life (4.43), price (4.12), after sale service

    (4.25), and memory (3.94) have higher mean scores on importance. It is thus inferred that

    battery life is most important factor while selecting the phone, the next important factor is

    price which is followed by after sale service and least important factors are touch

    sensitivity(3.39), operating system(3.40).

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    4.23 Smart phone usage

    At least once a month

    or more

    Less than once a month Never

    Calling 100 0 0Messaging 95 3 2

    Camera 80 13 7

    Games 56 28 16

    Multimedia 69 16 15

    Internet browsing 70 16 14

    Social networking 64 11 25

    Navigation/maps 23 34 43Shopping/bills payment 11 19 70

    E-mail 26 11 63

    Downloading data 37 27 36

    Dictionary 28 25 47

    Document editing, viewing 23 25 52

    Photo editing 21 26 53

    Newspaper reading 25 22 53Travel/road guide 17 16 67

    Healthcare services

    application

    11 9 80

    Table 4.23

    Table 4.23 shows usage of different features, services and applications available on

    respondents handset. It is seen that that 100% respondents use calling feature at least once a

    month or more. It is also seen that 95% use messaging, 80% use camera feature 70% useinternet browsing 69% use multimedia, 64% use social networking feature at least once a

    month or more. 34% respondents use navigation/maps feature less than once a month, 28%

    respondents play games less than once a month. 70% respondents never use shopping/bills

    payment application on their smartphone. It is also seen that 67% never use travel guide

    facility and 63% never use e-mail service on their smart phone. This implies that calling,

    messaging, camera, internet browsing and multimedia feature are used by respondents more

    frequently while operating a smart phone. Most of the respondents never use shopping/bills

    payment, travel guide, e-mail service and healthcare services applications on their handset.

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    4.24 Gender and decision criteria

    Table 4.24

    Table 4.24 depicts the relationship of gender with the factors which respondents consider

    while selecting a mobile phone. It is seen that in case of all factor that are considered, the

    calculated value of F- statistics is less than F-tabulated value (2.94) for 1 and 98 degree of

    freedom at 0.05 level of significance. Therefore, it is inferred that there is no effect of gender

    on any of these factor which are considered while selecting the phone.

    Factor which respondents considered while selecting the phone in

    relation with Gender

    Mean

    (Male)

    Mean

    (Female)

    F - value Sig.

    Price 4.29 3.79 2.84 .063

    Brand name 3.91 3.68 1.471 .228

    Camera resolution 3.42 3.68 1.170 .282

    Touch sensitivity 3.29 3.59 1.068 .304

    Design 3.65 3.82 .638 .426

    Multimedia 3.48 3.68 .685 .410

    Applications 3.56 3.65 .114 .736

    Battery life 4.50 4.29 1.202 .276

    Processor speed 3.56 3.85 1.418 .237

    Memory 3.83 4.15 2.268 .135

    Display resolution 3.53 3.68 .373 .543

    Speed of internet

    browsing

    3.83

    3.88 .041 .840

    After sale service 4.27 4.21 .162 .688

    Phone Operating system 3.32 3.56 .905 .344

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    4.25 Age and decision criteria

    *statistically significant differences exist.

    Table 4.25

    Table 4.25 depicts age effect on factor which respondents considered while selecting the

    phone. It is seen in case of factors like price, camera resolution, touch sensitivity, design,

    multimedia, application, processor speed, memory, display resolution, speed of internet

    browsing, phone operating system, the calculated value of F- statistics is greater than

    tabulated value of F (2.07) for 3 and 96 degree of freedom at 0.05 level of significance which

    means that importance given to these factors changes with the age of the customer. It is seen

    that factor like price is very important factor for age group 29years and above, while camera

    resolution, touch sensitivity, design, multimedia, application, processor speed, memory, is

    important factor and display resolution, speed of internet browsing is very important factor

    Factor which respondents considered while selecting the phone in relation with Age

    Mean

    (Below 19

    yrs)

    Mean

    (19 yrs-29

    yrs)

    Mean

    (29yrs-39

    yrs)

    Mean

    (39 yrs and

    above)

    F-

    value

    SIG.

    Price 3.28 3.64 4.84 4.72 13.053 .000*

    Brand name 3.76 4.24 3.56 3.76 2.046 .056

    Camera resolution 3.64 4.08 3.56 2.76 7.378 .000*

    Touch sensitivity 3.64 4.20 3.4 2.32 10.559 .000*

    Design 4.16 4.28 3.52 2.88 14.056 .000*Multimedia 4.16 4.20 3.52 2.32 30.254 .000*

    Applications 4.00 4.40 3.72 2.24 27.460 .000*

    Battery life 4.64 4.52 4.24 4.32 1.057 .371

    Processor speed 3.92 4.44 3.84 2.44 22.101 .000*

    Memory 4.28 4.36 3.64 3.48 5.735 .001*

    Display resolution 3.76 4.52 3.64 2.40 26.978 .000*

    Speed of internet

    browsing

    4.20 4.64

    3.96

    2.60 26.258 .000*

    After sale service 4.12 4.16 4.52 4.20 1.379 .245

    Phone Operating

    system

    3.40 4.36 3.76 2.08 30.971 .000*

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    for age group 29 years and above. The importance of phone operating system appears to be

    more in case of respondents between age groups of 19-39 years, which may be due to their

    higher technological awareness.

    While for other factor like brand name, battery life, after sale service the calculated value

    of F- statistics is less than F-tabulated value (2.07) for 3 and 96 degree of freedom at 0.05

    level of significance, so factor like brand name, battery life, after sale service do not have any

    relationship with any age group.

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    4.26 Qualification and decision criteria

    *statistically significant differences exist.

    Table 4.26

    Table 4.26 depicts the relationship of qualification with factor which respondents considered

    while selecting the phone. It is seen in case of factors like price, brand name, camera

    resolution, touch sensitivity, multimedia, applications, processor speed, memory, display

    resolution, speed of internet browsing, phone operating system, the calculated value of F-

    statistics is greater than F-tabulated value (3.09) for 2 and 97 degree of freedom at 0.05 level

    of significance.

    Factor which respondents considered while selecting the phone in relation with

    Qualification

    Mean

    (Undergraduate)

    Mean

    (Graduate)

    Mean

    (Post

    Graduate

    and above )

    F-

    value

    Sig.

    Price 3.71 4.47 4.23 3.231 .044*

    Brand name 3.6 3.7 4.17 4.127 .019*

    Camera resolution 3.43 3.13 3.91 4.470 .014*

    Touch sensitivity 3.37 2.9 3.83 3.891 .024*

    Design 3.86 3.33 3.89 3.063 .051

    Multimedia 3.83 2.9 3.83 8.726 .000*

    Applications 3.77 3 3.91 5.747 .004*

    Battery life 4.49 4.37 4.43 .142 .868

    Processor speed 3.77 3.07 4.06 6.793 .002*

    Memory 4.14 3.57 4.06 3.233 .044*

    Display resolution 3.49 3.1 4.09 7.119 .001*

    Speed of internet

    browsing 3.83 3.27 4.378.783 .000*

    After sale service 4.23 4.33 4.2 .250 .779

    Phone Operating

    system 3.23 2.83 4.0610.756 .000*

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    This means that importance given to these factors changes with the qualifications of the

    customer. It is seen that for other factor like design, battery life, after sale service, the

    calculated value of F- statistics is less than F-tabulated value (3.09) for 2 and 97 degree of

    freedom at 0.05 level of significance, therefore it is inferred that for factor like design, battery

    life, after sale service there is no relationship with qualification of the respondents. It is seen

    that people who are graduates or post graduates assign more importance to price and brand

    name as compared to under graduates. Undergraduates assign more importance to camera

    resolution, touch sensitivity, design, multimedia, display resolution as compared to graduates.

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    CHAPTER- 5

    CONCLUSIONS & SUGGESTIONS

    Smartphones are currently witnessing a period of rapid growth. As consumers are

    becoming aware of smartphone and also due to decreases in smartphone price. It is more

    affordable so now more consumer prefers smartphone as compared to feature phone and

    mobilephone. Another reason for consumers shifting towards smartphone is the various

    facilities and applications that are provided with smartphone. Consumer prefers or select

    phone depending on their behaviour like awareness level, need, usability and various factors

    like smart phone price, brand name etc.

    The the study was undertaken to get know consumer behaviour with respect to

    smartphone. Therefore, keeping in view the various factor which effect consumer decision

    while selecting or purchase of a smartphone, the present study were carried out with the

    following objectives;

    To know the consumer awareness about smartphones and smartphones ownership. To examine the factors which influenced the consumers to select the smartphone

    brands.

    To examine the pattern of smartphone usage.

    5.1 Conclusions

    5.1.1 Consumer awareness and smart phones ownership

    Majority of the respondents have a smartphone and they know that their phone is

    smartphone. Respondents have knowledge about their mobile phone model. Technical curiosity

    plays an important role in instigating purchase of smartphones. Most of respondents of the

    preferred Nokia brand, Samsung is the second most preferred brand. Respondents are less

    aware of existence of operating system and perhaps what it does. Among those who are aware

    are Android operating system is the preferred. Majority of the respondents purchased their

    mobile phone recently, which is less than 2 years ago.

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    Most of the respondents did not have physical QWERTY keypad feature, but had a touch-

    screen in their mobile phones. Majority of the respondent had primary camera on their handset.

    Most of the respondents did not have dual SIM feature on their mobile phone. Majority of the

    respondents have Internet browsing on their mobile phone and that it is a popular features

    among mobile phone owners. Social networking is a popular feature in smartphone and most of

    the respondents had this feature. Majority of the respondents have Bluetooth, radio, Wi-Fi

    feature on their mobile phone.

    5.1.2 Factors influencing Smartphone Brands decision

    Technical curiosity play important role in instigating purchase of smartphones. Battery life

    is most important factor that is considered while selecting the phone; the next important factor

    is price which is followed by after sale service. Price is very important factor for age group of

    29years and above while, Camera resolution, Touch sensitivity, Design, Multimedia,

    Application, Processor speed, Memory, Phone Operating system is important factor and

    Display resolution, Speed of internet browsing is very important factor for age group 19years

    and below. Factors like Price, Brand name, Camera resolution, Touch sensitivity, Multimedia,

    Application, Processor speed, Memory, Display resolution, Speed of internet browsing, Phone

    Operating system these factors changes with the qualifications of the customer. Study showed

    that people who are graduates or post graduates assign more importance to price and brand

    name as compared to under graduates. Undergraduates assign more importance to camera

    resolution, touch sensitivity, design, multimedia, display resolution as compared to graduates.

    5.1.3Pattern of Smartphone usage

    Calling, messaging, camera, internet browsing and multimedia feature are used by

    respondents most frequently while operating a smart phone. Most of the respondents never use

    shopping/bills payment, travel guide, e-mail service and healthcare services applications on

    their handset.

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    5.2 Suggestions

    As technical curiosity plays an important role in instigating purchase of smartphones there is

    need of smartphone companies to make the customer aware of the technical specification and

    other related issues.

    Most attractive market for smartphones is consumers from younger age groups with

    purchasing power. Additionally, younger consumers, would pay more attention to the technical

    aspects of the smartphone such as computing powers, operating platform, and software

    applications. This is expected as younger smartphone users are often the consumers of media

    and entertainment applications. Since these usages require high demand on computing power,

    the younger consumers will pay attention to the performance of the smartphone, in order to

    ensure smooth and delightful experience. This market segment is also lucrative as it does notconsidered price as important.

    As per findings cost is important consideration for older consumer, so mobile phone

    targeted at older consumers can focus on the core functionality and provide less on the

    unnecessary features and frills. This would enable the product to be cost effective and

    affordable to most of the consumers.

    In terms of the usage, the findings indicate that the smartness of smartphone is yet to be

    fully exploited by the consumers. Most of the usages are entertainments, instant messaging,

    Internet browsing. Other functions of the smartphone such as travel/road guide , health care

    services, document editing, and business related functions are not commonly utilized. It is

    suggested that proper redesign of the applications, user training, and user support should be

    more prevalent in order to improve the usability and acceptance of these functions.

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