Internship Report Mobilink Final

Internship
Report
CHAPTER 1
INTRODUCTION OF STUDY
1.1 BACKGROUND OF STUDY
As part of the academic requirement for completing the program of Master of

Business Administration, students are required to under go two months of internship
with an organization. The selection of the organization is based on the choice of the
student. The institute then requires an internship report based on practical learning of
the student through that period of time.
This report is about Mobilink GSM (PMCL), a subsidiary of Orascom Telecom,

started its operations in 1994, and has become the market leader both in terms of
growth as well as having the largest customer subscriber base in Pakistan - a base of
over 30 million and growing
1.2 PURPOSE OF STUDY
a) The main purpose of the study is to gather relevant information to compile

internship report on Mobilink GSM (PMCL) Regional office North-2 and as a
whole network of Mobilink.
b) Another purpose of this Internship program is to learn and use the

management techniques acquired during the course, and find out the possible
solution of management problems faced by the organization.
c) To observe, analyze and interpret the relevant data in a useful manner.
d) To work practically in an organization and to develop interpersonal

communication.
Mobilink GSM, An Orascom Telecom Company

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1.3 SCOPE OF STUDY
As an internee my association with this company was being a part of the Sales
Operations Department. It was a great experience for me and it helped me in realizing
where my potential lies. What I learnt at Mobilink over the weeks was how to get
along with the people that I have to work with everyday, building confidence and
improving my skills. This internship has also prepared me for my future career in
Sales, Finance and Customer Relations so this internship has helped me a great deal.
The experience has taught me responsibility, teamwork and how to handle problems
occurring. Even though the nature of work was quite basic as an internee,
nevertheless I got to see what practical life is. This internship overall has been a great
experience. This report gives a profile of Mobilink and an insight into the Sales
Operation department where I was assigned to work. This report also reflects my
learning and experiences at Mobilink along with my responsibilities and the tasks
that I performed. Last part of the report consists of some recommendations and
suggestions that I have given.
1.4 LIMITATIONS OF STUDY
No matter how efficiently a study is conducted, it cannot be perfect in all respects.

This study was conducted in accordance with the objectives of the report completion.
The study may not include broad explanations of facts and figures due to the nature of
the research.
One of the major limitations while carrying out this research was the lack of
cooperation on the part of the management of Mobilink in providing the data
regarding the company and its policies.
Secondly, the limitation which affects the study is the restriction on mentioning every
fact of the company due to the problem of secrecy. In addition, the availability of

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required data was a problem as access to all the documents and files are limited to the
employees only.
Finally, the problem of short time period also makes the analysis restricted as one
cannot properly understand and thus analyze all the operations of any company in a
very short time of eight weeks.
1.5 RESEARCH METHODOLOGY
The methodology reported for collection of data is primary as well as secondary data.
Sources of my Primary data are Personal Observation and Interviews of Personnel.

And sources of my Secondary data are; previous internship reports, annual reports of
the organization, books, journals and Internet.
1.6 SCHEME OF STUDY
The report is arranged in the following sequence:
PART I
This is the introductory part of the report and has one chapter.
Chapter 1:
This is an introductory chapter which describes the background, purpose, scope,

methodology and scheme of the report. Different limitations faced in preparing the
report are also discussed.
PART II
This Part includes the review of Mobilink GSM (PMCL), a subsidiary of Orascom
Telecom. This Part is comprised of two chapters.
Chapter 2:

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This chapter covers a historical background and development of Telecom sector in

Pakistan. It also tells about the Pakistan Telecom Laws and the role of Telecom sector
in economic development of Pakistan. Management structure of Mobilink, different
services offered by Mobilink and departmentalization is discussed.
Chapter 3:
This is a detail chapter about my internship at Mobilink GSM, An Orascom Telecom.

In this chapter I have given a brief introduction about North-2 region. I have focused
on introduction of North-2, different franchises operating in the area, and services
offered at regional office are discussed in detail in this chapter.
PART III
This Part is about the analysis of Mobilink GSM, An Orascom Telecom and has one
chapter.
Chapter 4:
In this chapter I have done SWOT and Financial analysis of Mobilink GSM, An
Orascom Telecom. I have explained Strengths, Weaknesses, Opportunities and
Threats for Mobilink. I have carried out environmental analysis of Mobilink with the
help of industry & market, competitors and technology
PART IV
This is the final and conclusive part of the report and contains one chapter.
Chapter 5:
This is the last chapter of the report. I have mentioned different problems faced by
Mobilink GSM, An Orascom Telecom. After pointing out these problems I have
given some general recommendations.

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CHAPTER 2
INTRODUCTION OF MOBILINK, AN ORASCOM TELECOM
2.1 PAKISTAN TELECOM LAWS
At the time of independence the laws in force in Pakistan relating to

Telecommunication were “The Telegraph Act, 1885 (XIII of 1885)” and “The
Wireless Telegraphy Act, 1933 (VII of 1933)”. These were extended and adapted in
Pakistan through “The Adaptation of Central Acts and Ordinances Order, 1949″
(G.G.O. No. 4 of 1949) and Central Laws (Statute Reforms) Ordinance 1960 (XXI
of 1960).
The Act of 1885 was the primary governing telecommunication statute. There was a
joint Director General of Posts, Telegraph & Telephone under the Act of 1885. The
Act granted exclusive privilege to Government (Posts, Telegraph & Telephone [PTT]
Department to establish, maintain, working, licencing, regulating the Telegraph
within or any part of Pakistan. The government was the governing and controlling
authority of telecom sector in Pakistan. Likewise, The Wireless Telegraphy Act was
enacted in order to regulate the possession of wireless telegraph apparatus.
In 1962 Posts and Telegraph (Amendment) Act, 1962 (V of 1962) was enacted
which amended Telegraph Act, 1885, The Post Office Act, 1898 and The Wireless
Telegraphy Act, 1933. The purpose of the Amending Act was to split up the Postal
Department and the Telegraph and Telephone Department. The PTT Department

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slumbered for about 30 years with no active, substantial and innovative development
in telecom sector.
The arena of development, innovation and liberalization starts from 1990-1991. By

1991 the scenario changes, The Pakistan Telecommunication Corporation Act,
1991 (Act XVIII of 1991) was promulgated which created the independent statutory
corporation named “Pakistan Telecommunication Corporation (PTC)” and Telegraph
& Telephone Department was merged into PTC. The Corporation with perpetual
succession took over all the assets and liabilities of the PTT Department. In pursuance
to government competitive and liberalization policy in relation to telecom opened
field to private sector and PTC started out-sourcing few of its services i.e card
payphones services and pre paid calling card operations to private companies.
Although in the Act of 1991 there was no regulator in its true sense but attributes of
regulator, to some extent, were existent in PTC. The PTC was responsible in the field
of telecommunication for development, research, improvement in quality, advice to
government and determination of tariff subject to approval of government, maintain
liaison with foreign government and other obligations as any regulator performs.
In 1994 in order to further liberalize and open the telecom industry and to transfer the
telecommunication services to private sector and the matters connected thereto the
Presidential Ordinance “Telecommunication Ordinance, 1994 (Ordinance LI of
1994)” was promulgated on 13th July 1994. To promote, maintain fair competition
and regulate the telecom industry and telecom services the regulatory bodies “The
Pakistan Telecommunication Authority (PTA)”, “Frequency Allocation Board
(FAB) and “National Telecommunication Corporation (NTC)” were established.
The independent regulator (PTA) was established for the first time in the history of
telecommunication field in Pakistan under the 1994 Ordinance. The Ordinance also
caused the federal government to incorporate the “Pakistan Telecommunication
Company Limited (PTCL)” under the company ordinance, 1984 which replaced the

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PTC. The Company was provided the exclusivity to provide the basic telephone
services in Pakistan for a period of seven years.
The Ordinance of 1994 repealed The Telegraph Act, 1885 (XIII of 1885) and certain
sections of Pakistan Telecommunication Corporation Act, 1991. The 1994 Ordinance
was to face its constitutional death upon expiry of four month as declared in Article
89 of the Constitution of Islamic Republic of Pakistan 1973, therefore, before its
constitutional expiry life was given to it afresh through another Presidential
Ordinance No. LXXVII of 1994 dated 7th November 1994. This Presidential
Legislation under Article 89 of the Constitution continued until the Ordinance was
presented in the Parliament. The Presidential Ordinances are Ordinances Nos. (XXIII
of 1995 dated 7th March, 1995), (LXIII of 1995 dated 5th July, 1995), (CIII of
1995 dated 30th October, 1995) and Pakistan Telecommunication (Re-
Organization) Ordinance, 1995 (CXV of 1995) dated 27th November, 1995. (XXX
of 1996 dated 7th March, 1996) and Ordinance No. LXXVII of 1996 dated 4th
July, 1996. Every subsequent ordinance repealed the previous one. Finally the
“Pakistan Telecommunication (Re-organization) Act, 1996 (XVII of 1996)” was
passed on 17th October 1996.
Some of the salient features of the Act of 1996 are:
•Creation of Regulator
• Regulation of Telecommunication Industry and Services
• Transfer of telecommunication regime to private sector
• Powers of Federal Government to Issue Policy Directives
• Licensing
• Establishment of PTCL as Company under the Companies Ordinance, 1984

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• Creation of National Telecommunication Corporation (NTC) to provide telecom

services to armed forces, defence projects, federal government, provincial
governments and local authorities etc.
• Formation of Frequency Allocation Board (FAB) with the responsibility of

allotment and management of frequency spectrum. The FAB replaced the Pakistan
Wireless Board established under “The Wireless Telegraphy Act, 1933″ and took
over the function of the Wireless Board.
• Creation of Pakistan Telecommunication Employees Trust with the object of to take

care of the interests of the employees of the Company.
2.1.1 Deregulation Policy 2003
Section 8 of the Act of 1996 empowers the federal government to issue policy
directives and PTA is under obligation to adhere and comply with the directives.
Deregulation implies the removal of control of the government. It also implies the
liberalization of the telecom market.
The exclusivity of Pakistan Telecommunication Company Limited (PTCL) to provide

basic telephone services under the Act of 1996 expired on 31st December 2002. In
July 2003 the Government of Pakistan (GoP) announced “Deregulation Policy for the
Telecommunication Sector”. The Policy sets out the following objectives :
• To increase service choice for customers of telecommunication services at

competitive and affordable rates;
• To promote infrastructure development, especially infrastructure that will increase

teledensity and the spread of telecommunication services in all market segments.
• To increase private investment in private sector.
• To encourage local telecom manufacturing/service industry.
• Recognizing the challenge to incumbent, PTCL.

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• Accelerate expansion of telecom infrastructure to extend services to un-served and

under-served areas.
• Liberalize the telecommunication sector by encouraging fair competition amongst

service provider.
• Maintain and effective well defined regulatory regime that is consistent with best
international practice.
• Maintain consistency with Pakistan’s IT and Interconnect promotion policy of low

prices for bandwidth to make internet access affordable.
• Safeguard Pakistan’s national and security interest.
2.1.2 Mobile Cellular Policy 2004
GoP has announced it Cellular Policy. The policy objectives are:
• Promotion of efficient use of radio spectrum;
• Increased choice for customers of cellular mobile services at competitive and

affordable price;
• Private investment in the cellular mobile sector;
• Recognition of the rights and obligations of mobile cellular operators;
• Fair competition amongst mobile and fixed line operators;
• An effective and well defined regulatory regime that is consistent with international
best practices;
In pursuance and compliance of the Cellular Policy, the Regulator has issued licenses
to the foreign companies.
2.1.3 Subordinate Legislations
The Act of 1996 sets and provides the broad framework, principles, authority and
functions of the Regulator etc. The Act is silent about how the various telecom
services, tariffs, interconnection guidelines and disputes arising therefrom, role and

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responsibilities of incumbent, accounting standards, reporting and problems faced by

the companies inter are to be regulated and controlled? To meet the various situations,
to control and regulate the services offered by the telecom companies and to create
the fair competition environment, the rules and regulations have been framed by the
Government and the Regulator. The various Rules, Regulations and Guidelines are:
i. Telecommunication Rules 2000
The Rules have been framed under Section 57 of the Pakistan Telecommunication
(Re-Organization) Act, 1996. The Rules provides for the procedure of licencing
procedure, its duration, renewal, modification, transfer, assignment or transfer and
termination. The Rules further provide the Interconnection procedure, basis terms and
conditions of Interconnection Agreement, Procedure in case of failure to agree and
arrive at Interconnection Agreement, Interconnection Charges, and dispute resolution
mechanism. The Rules also narrates the quality of services, exchange of information
between the two operators, Tariff etc.
ii. Access Promotion Contribution Rules 2004:
Means the contribution made by Long Distance International (LDI) operator/licencee

to Local Loop (LL) operator/licencee or Universal Service Fund (USF) created and
maintained by Federal Government. USF has been established for providing access to
telecom services to people living in un-served, underserved, rural and remote areas
etc.
iii. Card Payphone Service Regulations 2004:
These have been issued by PTA under Section 5 (2) (O) of the Act of 1996. The
Regulations deal with terms and condition of the licence, its modification, renewal
and termination, monitoring procedure, accounting & auditing, Inspection by PTA,
responsibilities, assignment, complaint systems, code of commercial practices,
relationship with customers by the payphone operators and with other operators etc.

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iv. Interconnection Dispute Resolution Regulations 2004:
The Regulations provide the comprehensive procedure of dispute resolutions between

the operators .
v. Other Regulations and Guidelines:
The Pakistan Telecommunication Authority has framed and issued certain other
regulations and guidelines. These are:
• Fixed Line Tariff Regulations 2004
• Vehicles Tracking Services Regulation 2004
• Burglar Alarm Services Regulations 2004
• Amateur Radio Services Regulations 2004
• Audio-tex Service Regulations 2004
• Non-voice Communication Network Service Regulations 2004
• Registration of Satellite Service Provider Regulations 2004
• Trunk Radio Services Regulations 2004
• Interconnection Guidelines 2004
• Access Promotion Regulation 2005
• Number Allocation and Administration Regulation 2005
• Mobile Number Portability Regulations 2005
2.2 TELECOM SECTOR OF PAKISTAN
The telecom sector of Pakistan has seen phenomenal growth over the past few years.
According to the Pakistan Telecommunication Authority (PTA), the total mobile
phone subscribers in 2007 were more than 63 million, a growth of more than 80%

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from the previous years. During 2006-07, the mobile sector generated Rs 133 billion
in revenues, an increase of 48% from the previous years and contributed Rs 63 billion
to the national exchequer in terms of taxes and regulatory fees. The telecom sector
contributed 2% to the GDP in 2005-06 and received more than $1.8 billion in foreign
direct investment (FDI) in 2006-07 , which is 35.6% of the total FDI in that period.
Furthermore, the telecom sector has also created over one million in jobs, since its
deregulation, making Pakistan one of the world’s fastest growing telecom markets.
The Pakistan Telecommunication Ordinance 1994 established the primary regulatory

framework for the telecommunication industry including the establishment of an
authority. Thereafter, Telecommunication (Re-Organization) Act no XVII was
promulgated in 1996 that aimed to reorganize the telecom sector of Pakistan. Under
Telecom Reorganization Act 1996, Pakistan Telecommunication Authority (PTA)
was established in January 1997 to regulate the establishment, operation and
maintenance of telecommunication systems, and the provision of telecom services.
The telecom sector was deregulated in 2003.
Currently there are six mobile operators operating in Pakistan, which include
Mobilink, Ufone, Telenor, Warid, Zong and Instaphone. Mobilink started its
operations in 1994 as the first GSM cellular mobile service in Pakistan, started by
Motorola Inc. Later it was sold to Orascom, an Egypt-based multi-national company.
Mobilink is the largest cellular service provider in Pakistan. Another company,
Pakistan Telecommunication Mobile Limited (PTML) is a wholly owned subsidiary
of PTCL, established to operate cellular telephony. The company commenced its
operations, under the brand name of Ufone from Islamabad on January 29 2001.
Later, as a consequence of PTCL’s privatization, 26% of its shares were acquired by
Emirates Telecommunication Corporation (Etisalat). Being part of PTCL, the
management of Ufone had also been handed over to Etisalat.
Telenor Pakistan is 100% owned by Telenor ASA and adds on to its operations in
Asia. Telenor Pakistan launched its operations in March 2005 as the single largest

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direct European investment in Pakistan, setting precedence for further foreign

investments in the telecom sector. In 2004, Warid Telecom International LLC,
purchased a license for operating a nationwide mobile telephony network, (WLL) and
long distance international (LDI) for $291 million US dollars and was the first
venture of Warid Telecom International LLC. Warid Pakistan launched its services in
May 2005. On June 30th, 2007, Singapore Telecommunications Limited (SingTel)
and Warid Telecom announced that they had entered into a definitive agreement
subsequent to which SingTel will acquire a 30% equity stake in Warid Telecom for
an estimated $758 million.
China Mobile Pakistan (CMPak) is a 100% subsidiary of China Mobile. The

pioneering overseas set up of China Mobile came through acquisition of a license
from Millicom to operate a GSM network in Pakistan. Millicom had initially bought
Paktel in 2003 from Cable & Wireless. Paktel was the first ever company granted
license to carry out cellular phone services in Pakistan. Currently CMPak is operating
in Pakistan under the brand name of Zong. Instaphone is another telecommunication
company in Pakistan. Instaphone was one of the pioneers of cellular industry in
Pakistan. Initially the company was owned by Millicom International; later on Arfeen
Group acquired it. Currently, the license of Instaphone has been terminated due to
non payment of license fee to PTA. The company under a renewed license is planning
to role out a countrywide CDMA mobile network and would be the only CDMA
mobile operator in Pakistan to launch first 3G services in Pakistan.
2.3 MOBILINK (PMCL), AN ORASCOM TELECOM
Pakistan Mobile Communications Limited (PMCL) operates the leading GSM

network in Pakistan and provides a range of prepaid and postpaid voice and data
telecommunication services to both individual and corporate subscribers, under the
brand name “Mobilink.” Mobilink launched its operations in August 1994 after it was
founded in 1990 as a joint venture between Motorola and the Saif Group and awarded
a license for mobile telecommunication system and services in July 1992. Later on in

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April 2000, Orascom Telecom bought 38.6% stake in PMCL, which it later in
February 2001 increased to 68.69% by purchasing Motorola’s share in PMCL and
becoming the major shareholder of the company. In April 2001, Orascom Telecom
took over management control of the company. As of December 31st, 2007, Orascom
Telecom indirectly owns 100% of the share capital of Mobilink through direct stakes
held by wholly owned subsidiaries of OTH. By December 2007, Mobilink had
achieved 39.8% in market share, making it the market leader in the mobile sector of
Pakistan2 and had a customer base of more than 32 million by July 2008.
Mobilink offers exclusively designed tariff plans that cater to the communication
needs of a diverse group of people, from individuals to businessmen to corporate and
multinationals. To achieve this objective, Mobilink offer both postpaid (Indigo) and
prepaid (JAZZ) solutions to their customers.
Mobilink was also the first cellular service provider to operate on a 100% digital
GSM technology in Pakistan and also provides state-of-the-art communication
solutions to its customers. Mobilink’s network is the most extensive in Pakistan,
connecting more than 9000 cities across Pakistan, as well as over 120 countries on
international roaming service. Furthermore it reaches over 66% of the total population
and 99% of the urban population as of December 31st, 2007. Mobilink is also
developing its own optic fiber backbone, to provide its customers with highest level
of voice and data quality with more reliability4 and has invested more than $2.5
billion in its networks.
2.3.1 Mobilink Vision
To be the leading Telecommunication Services Provider in Pakistan by offering

innovative Communication solutions for our Customers while exceeding Shareholder
value & Employee Expectations.
2.3.2 Mobilink’s Values

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2.3.2.1 Total Customer Satisfaction
Customers are at the heart of our success. They have placed their trust and confidence
in us. In return, we strive to anticipate their needs and deliver service, quality and
value beyond their expectations.
2.3.2.2 Business Excellence
We strive for excellence in all that we do. We aspire to the highest standards and raise
the bar for ourselves everyday. This commitment to delivering world-class quality
translates into unmatched service and value for our customers and all stakeholders.
2.3.2.3 Trust & Integrity
At Mobilink, we take pride in practicing the highest ethical standards in an open and
honest environment, and by honoring our commitments. We take personal
responsibility for our actions, and treat everyone fairly, and with trust and respect.
2.3.2.4 Respect for People
At Our relationships drive our business. We respect and esteem our employees and all
stakeholders. We believe in teamwork, empowerment and honor.
2.3.2.5 Corporate Social Responsibilty
As the market leader, we recognize and fulfill our responsibility towards our country
and the environment we operate in. We contribute to worthy causes and are dedicated
to the development and progress of the society.
2.3.3 Mobilink Operation Analysis

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2.3.3.1 Network
Mobilink was awarded a 15-year license in July 1992 to establish and operate a
digital cellular telecommunication system using the GSM 900 standard and to offer
telecommunication services in Pakistan. Before that, all previous operations were
using the AMPS technology. Since then Mobilink has been growing its network,
providing 2G, 2.5G, GPRS and EDGE compatibility. Mobilink was the first operator
to start rolling out the Enhanced Data Rates for Global Evolution (”EDGE”) in
Pakistan. In addition, Mobilink also launched its BlackBerry service in December
2005 through its GPRS platform. Furthermore, Mobilink’s license was renewed on
July 6th, 2007 for a further period of 15 years.
Mobilink is committed in providing the best network to their customers, which in

recent times has expanded to more than 9000 cities and reaches over 66% of the total
population and 99% of the urban population as of December 31st, 2007.
Table 2.1: An Overview of Mobilink’s Network

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Not only is Mobilink’s network very modern and technologically advance, but it is
also very competitive, when compared to other mobile networks.
Table 2.2: Comparative Figures of Coverage & Cell Sites
2.3.3.2 Operational Departments
Mobilink was headed by President and CEO Zouhair A. Khaliq, who reports directly
to the Chairman and CEO of Orascom Telecom Naguib Sawiris. Furthermore the

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operations of Mobilink are divided into eight different departments, which are as
follows:
1. Human Resource
2. Administration and Security
3. Sales
4. Marketing
5. Customer Services
6. Corporate Affairs
7. Technical
8. Finance
Furthermore, these departments are further divided into sub departments to ease
operations within Mobilink. Also all major decisions are taken centrally, in
Islamabad. These decisions for example include, the financing required by Mobilink
(local and foreign), decisions regarding import of goods etc.
Furthermore, to assist the operations of Mobilink, which include more than 500
franchises and 16 Customer Services Center’s, operational departments are located in
all the four main regions:
1. North
2. South
3. Central
4. AJK
2.3.3.3 Subscribers & Market Share

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Mobilink had a great advantage for years as being the only GSM mobile operator in
Pakistan, however with the entrance of Ufone in 2001 and later on by Telenor, Warid
and Zong, the competition in the mobile sector is heating up. However the subscriber
base Mobilink has remained steady and growing as seen in the table below:
Table 2.3: C Number of Mobilink Subscribers from 2005-July 2008
Although the number of subscribers has increased over the years, the same cannot be
said about the market share of Mobilink, which has gradually decreased over the year.
However, although the market shares of Mobilink might have decreased over the
years, but it still remains the market leader in the mobile sector. The market shares of
Mobilink are as follows:
Table 2.4: Market Shares of Mobilink from 2005-2007
2.3.4 Products
Mobilink offers both Pre-paid and Post-paid services. They offer tariff plans that are
exclusively designed to cater to the communication needs of a diverse group of
people, taking into account occasional users to businessmen. To achieve this
objective, they offer both postpaid (Indigo) and the prepaid (JAZZ) services to their
customers.
Jazz is an amazing prepaid service that allows freedom from monthly bills and gives
complete control over the customer’s cellular expenditure. The user can decide in

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advance when and how much he wants to spend. He can load a scratch card whenever
he wants to and start talking. Jazz is simple, easy and loads of fun.
In addition to providing advanced voice communication services, they also offer a

number of value added services to their valued subscribers.
Indigo is positioned on family platform, offering a wide range of products catering to

different needs. It comprises of a range of packages depending upon the usage levels
such as indigo initial and indigo 400 supplementary packages combine postpaid life
style with economical rates.
Call and Control is a hybrid product that offers prepaid convenience and postpaid
control and is suited for high-end prepaid users.
2.3.5 Value Added Services
• GPRS
• Mobilink Mustt Services
• SMS Messaging
• Power Tools
• Chat Services
• Dedication Services
• Power Tools
• Mail Services
• Info Services
• IVR Ring tones/Logos
• On Call Services

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• Missed Call Alerts
2.3.6 Sales Strategy
Mobilink is the first cellular operator to introduce the “franchise “concept in the
cellular industry in Pakistan and currently operates the largest franchise network in
Pakistan with over 250 franchises/national distributors (dealers operated service
centers). In order to extend its reach even further, Mobilink worked with its
franchisees to develop a network of over 500 sub dealers, these operate as point of
sales (POS) and are branded “Mobilink Connect”. Each franchisee is adequately
equipped to process sales, collect bills and offer customer services. All franchises
have trained sales and service staff fully capable of tackling sales challenges.
2.3.7 Core Competence
People at Mobilink believe that their Research & development department is its core
competence along with their workforce i.e. their employees. Mobilink is basically a
customer-oriented company and it always comes up with new features and products.
It surveys the markets and modifies its products according to the requirements and
preferences of its customers. Mobilink has relatively rapid product development
processes that allow for timely updating and release of new products. It was the first
cellular company in Pakistan, which started working on 100% GSM technology.
At the end of the year 2007, Mobilink crossed its target of reaching up to 20 million
customers. At this achievement, all the employees at Mobilink got a month’s salary as
bonus in January 2008.

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CHAPTER 3
REVIEW OF MOBILINK REGIONAL OFFICE NORTH-2
3.1 MOBILINK NORTH-2
North-2 region covers most parts of NWFP. Regional office is situated in Peshawar.
Previously their office was in Tehkal, adjacent to KFC but now it is shifted to
University Road adjacent to Shiraz Gathering.
3.2 OPERARTIONAL DEPARTMENTS
Mobilink North-2 office was headed by Regional Commercial Director Sales Mr.
Aamir Aman Khan, who reports directly to the Vice President Sales Mr. Irfan Akram.
Furthermore the operations of Mobilink are divided into eight different departments,
which are as follows:
1. Administration and Security
2. Sales
3. Finance
4. Customer Services
5. Corporate Affairs
6. Marketing
7. Technical
8. Credit & Collection
Furthermore, these departments are further divided into sub departments to ease
operations within Mobilink. Also all major decisions are taken centrally, in

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Islamabad. These decisions for example include, the sales target, new markets, the
financing required by Mobilink etc.
3.3 AREA OF MY WORK AND EXPERIENCE
During my eight weeks of internship I performed many duties which added to my

experience and learning. All the tasks that I executed gave me a sense of
responsibility. Sometimes there was too much responsibility on me, too much burden
was there. At times things were slow, yet I wanted to work more.
I did my 8 weeks internship at the sales operation section of the sales department of
Mobilink. The sales operation section is one of the three sections of the sales
department. The other departments are Direct Sales & Indirect Sales.
Direct sales deals with postpaid connections and Mobilink PCOs and sell them
directly to the customers. Indirect sales deals with the sales of prepaid connections,
scratch cards and jazz load through franchises
Sales operations keeps record of all sales related issues such as targets, target
achievement, daily sales report and also act as a bridge between franchise and all
other departments of Regional Office.
3.3.1 Sales Department Hierarchy

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RCD
Mr. Aamir Aman
RM Operations RM Indirect Sales RM Direct Sales

Mr. Ali hasan Saeed Mr. Jamil Khan Mr. Riaz Khan
Coordinator ZSMs of Six Zones

Coordinators
Mutahar Ahmad
Coordinator
Rammina rabbani Coordinators
Table 3.1: Structure of Mobilink Sales Department
3.3.2 Division of North-2 Zone
The North-2 Region was divided into eight zones. Each zone was headed by Zonal
Sales Manager having one coordinator to assist him. Total number of franchises in
North-2 is fifty six. Zone-1 covers eight franchises of Peshawar City Side; Zone-2
covers seven franchises of the areas near Peshawar such as Charsadda, Pabbi,
Nowshera, Lakki Marwat, Momand Agency; Zone-3 covers eight franchises of Kohat
Zone; Zone-4 covers eight franchises of DIKhan and Bannu Region; Zone-5 covers
five franchises of Peshawar Cantt, Town and Hayatabad; Zone-6 covers eight
franchises of Mardan Region; Zone-7 covers nine franchises of Swat Region; and
Zone-8 covers four franchises of Gilgit Region.
3.3.3 My Duties and Responsibilities
Sales operations department was headed by Regional Manager Mr. Ali Hassan Saeed
and I was reporting directly to him. During the eight weeks of my internship I was
given different projects and responsibilities. Some routine duties are as follows
• Daily Scratch Card Requisition of all North-2 Franchises

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• Daily Jazz Load Requisition of all North-2Franchises
• Daily CD’s Requisition of all North-2 Franchises
• Daily PCO Requisition of all North-2 Franchises
• Replacement of Jazz Load Sims (Valista Sims)
• CDTM Entries
• Analysis & Reporting of all the Requisitions & Products of Mobilink i.e.
Scratch Cards, jazz Connections, Jazz Load and Jazz Load Sims
Apart from these routine duties I was given two projects;
First project was to collect the details of the customers having more than 10 numbers
against one NIC number and send that detail of such numbers to Lahore office to
change their ownership in the name of person using that number. Their were over 0.7
million numbers that needed change of ownership in one month and I had to meet the
deadline which I did.
Second project was to collect the data of all the shops in Peshawar City Area (Name
of shop, owner name, location etc.). For this project I was assisting the Coordinator
Sales Peshawar Zone Mr. Mohsin Iqbal. It took us about 15/20 days to collect all the
data needed.

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CHAPTER 4
ANALYSIS OF MOBILINK (PMCL)
4.1 SWOT ANALYSIS
4.1.1 Introduction
Overall evaluation of a company’s strengths, weaknesses, opportunities and threats is

called SWOT analysis.
SWOT analysis provides a good overview of whether a firm’s business is

fundamentally healthy or not. Proper understanding of SWOT analysis is essential for
good strategy making.
SWOT analysis is one of the most important steps in formulating strategy using the
organization mission as a context; managers assess internal strengths, distinctive
competencies and weakness and external opportunities and threats. The goal is then to
develop good strategies and exploit opportunities and strengths neutralize threats and
avoid weaknesses with an overall organizational goal to increase the wealth and value
of the organization.
4.1.2 Strengths
• Franchise of Orascom, a well Known Egyptian telecom company is

considered very strong and reliable.
• Being the oldest international telecom company, Mobilink has captured most
of the potential customers by penetrating in the early stages of market
development.(Now 28million)
• Covering over 10,000 cities, towns and villages across the Pakistan.

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• First operator to introduce IR for the people of Pakistan. Currently our

network covers more then 100 countries across the globe with over 300
roaming partners.
• Human resources are considered as the asset of the organization.
• Marketing strategies of Mobilink are more effective and more captivating than
any of its competitors present in Pakistan.
• Ventures with well-known banks like MCB, Citibank for Mobilink banking
etc.
• A very strong brand image
4.1.3 Weaknesses
• Instead of all its strength still considered to be the most expensive telecom
company both in call rates and SMS as compared to the its competitors.
• Engineering department of Mobilink is not that well competent as compared
to its new competitors.
• With first expending customer based customer care facilities need to be
expended simultaneously for customer retention along side switch capacity
networks coverage.
4.1.4 Opportunities
 Potential opportunity is there as telecommunication has become the need of

people all around the world.
 The fourth expend its networks in the areas where other network have been
unable to reach.
 To bring in more innovative services like Mobilink PCO, Mobile banking
lost /stolen phone information etc. this can be done by hiring fresh and
competitive staff.
 Services in the future can be

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o Fixed Line Telephone

o Wireless
o Calling Cards
4.1.5 Threats
 Biggest threats are the new competitors like Telenor who recently entered in
telecom market of Pakistan.
 Employees retention is also issue of concern for Mobilink as most of the
employees get attracted by the more handsome salary paid by recently
happenings multi-nationals
 Loss of loyal customer can be one of the issues as they are moving toward the
less expenses package of competitors.
Direct Indirect
Ufone PTCL
Telenor Calling Cards
Warid Wireless
Paktel
4.2 FINANCIAL ANALYSIS
No company can remain in business if it cannot sustain and grow its profits and
telecom companies are no exemption. If Mobilink wants to remain the market leader
in the mobile industry and wants to satisfy its customers, it itself needs to remain a
profitable company. Mobilink is a private limited company and due to this reason, its
financial statements are not made public. However it does provide its financial
information to different financial institutions and companies that have invested in

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Mobilink, examples include companies that have bought TFC’s issued by Mobilink.
An extract of the Balance Sheet and Income Statement for the year 2007, can be seen
in the appendix.
4.2.1 Operational Results
Table 4.1: Profit Comparison between 2007 & 2006
As major portion of Mobilink is on prepaid basis, including SIM sales, securities and
balance recharges the revenues for Mobilink have increased from December 2006 to
December 2007, this increase is because of the large increase in the consumer base of
Mobilink in 2007. The increase in revenue has led to an increase in the profit before
interest and tax, and although the costs of services and selling and administrative
charges in 2007 have increased from the past year, the increased revenue helped in
off setting the increase in the expenses.
Another problem in the profit and loss statement of Mobilink is the increased
financial charges or interest charges for the 2007. In the mid of 2006, Mobilink issued
a TFC more than Rs 3 billion, and the interest of which is paid semi annually.
Furthermore, most of Mobilink’s growth is financed through long term loans, which
have also increased in 2007, increased the financial charges.

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The increase in financial charges and provision of taxes in 2007, ultimately lead to
profit after taxation, which when compared to the profit of 2006, to not increase by
much. The increase is only 1.25% from the previous year.
4.2.2 Balance Sheet Results
Table 4.2: Balance Sheet Comparison between 2007 & 2006
As the above table shows, there has been a significant increase in the fixed assets of
Mobilink in 2007; this has been due to the increase in the property, plant and
equipment, long term deposits and other receivables and license fee. However, the
current assets have decreased, but not by much. This small decrease is mainly due to
the decrease in stocks in trade.
The current liabilities have also increased in 2007, again by not by much. This
increase in current liabilities is associated with the increase in short term financing
and the current portion of long term financing.
The increase in shareholders equity is associated with the increase in the shareholders
equity and the increase in the accumulated profits, while the increase in the long term

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liabilities is associated with the large increase in long term financing and the license
fee payable, which was made due, to the renewal of Mobilink’s license.
4.2.3 Ratio Analysis
4.2.3.1 Current Ratio
Table 4.3: Current Ratio Comparison between 2006 & 2007
Current ratio is a liquidity ratio that measures how easily a company can pay off its
current liabilities using its current assets. For Mobilink although most of its revenues
are on a prepaid basis but still the current assets fall short to pay off the current
liabilities in both 2006 and 2007. Furthermore the current ratio has fallen in 2007,
which again shows that there aren’t enough liquid assets to pay off the current
liabilities and may affect Mobilink’s solvency in the short term.
4.2.3.2 Fixed Assets Turnover
Table 4.4: Fixed Assets Turnover Comparison between 2006 & 2007
Fixed Asset Turnover, an asset management ratio, shows how effectively a company
uses its fixed assets. That is using its assets to generate sales. Most of Mobilink’s
assets are fixed, major of which include cell sites and other equipment. As the figures
show, the ratio has decreased in 2007, from 0.53 to 0.51.
Although the decrease is very small, the major reasons associated are the large
increase in the fixed assets and the small increase in sales. The fixed assets rose by

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29.3%, while the revenue rose by 26.3%. The major reason for the small increase in
the sales could be associated to the rather small increase in the total subscribers in
2007, as compared to 2006.
4.2.3.3 Debt Ratio
Table 4.5: Debt Ratio Comparison between 2006 & 2007
The Debt Ratio measures the percentage of funds provided by sources other than
equity. For Mobilink, most of its growth is funded through long and short term
financing, and even though Mobilink has expanded its operations during 2007, but
still the debt ratio fell in 2007, but only by 2%, which is mainly because of the large
increase in the total assets, when compared to long term liabilities. The rise and fall of
current liabilities and currents assets respectively is not much.
4.2.3.4 Return on Common Equity
Table 4.6: Return on Common Equity Comparison between 2006 & 2007
Return on common equity, a profitability ratio, measures the extent to which the
shareholders of a company are getting returns on their investments. The ratio for
Mobilink has decreased significantly in 2007, a decrease of 7.5%. This decrease can
be associated to the small income available to the shareholder. Most of the net income
has to be paid out in financial charges, which leaves less or the shareholders, which in
2007, expanded their investment in the company.
4.3 HUMAN RESOURCE ASSESSMENT

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Mobilink, the largest cellular company of Pakistan, is made of a team of over 4500 of
unique individuals. They are the best minds in the industry today, being exposed to
the best practices and an enabling environment.
Employees at Mobilink are treated as a big family, where their growth is as important
as Mobilink’s. Capability building programs equip employees with all the skills and
techniques needed for them to realize their ambitions, while diversity and wellness
initiatives help employee’s further reach new heights and achieve their goals.
Mobilink’s hiring takes place through its website which is being powered with a
partnership with Rozee.pk, one of Pakistan’s premier website. This website provides
updated information on job openings, as and when they happen. Furthermore the
website is divided into three sections, all providing information accordingly:
• Internship Candidates
• Entry Level Candidates
• Experienced Candidates
All employees at Mobilink are designated accordingly, which is as follows:
Table 4.7: Designations of Mobilink’s Employees

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Furthermore Mobilink employees receive a number of fringe benefits which include

gratuity funds, post paid mobile packages, credit cards and discounted memberships
with Citi Bank, employee loans, blackberry handsets, transport facilities for ladies,
health club and Jinnah Stadium memberships etc.
Training of employees is taken an integral part of the HR department of Mobilink.

Training Calendars are published for employees, informing them about training dates
and their descriptions. These training sessions take place both within and outside the
city. Employees are even sent abroad for training. These include managers and
directors within Mobilink, to polish and enhance the management and leadership
skills further.
Appraisal of employees is as important as training for any organization and Mobilink

is no exemption. Mid Year and Yearly appraisal are conducted by line managers of
each employee. Input from the employee being appraised is also taken to enhance the
benefits of the appraisal activities. This input includes both their job objectives and
responsibilities but also suggestions on what line managers could do more for
support.
4.4 MARKETING ANALYSIS
In today’s contemporary business world, marketing plays an important role. Mobilink

that has a number of competitors in the mobile industry, need to use their marketing
plan and strategies effectively to attract customer loyalty.
The marketing department at Mobilink anticipates, and satisfies the customer’s

communication needs. This includes consumer behavior research and translating this
research into services and pricing plans. The Marketing team also helps in identifying
new business opportunities and develops plans to exploit those profitably. It also
designs and implements brand strategies and communication plans.

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The major ways in which Mobilink markets itself and its products are through the
following ways:
• Electronic
• Print
4.4.1 Electronic Media
The major way in which today’s organizations promote its products and services is
through television, not only because it’s economical but also because the visual and
audio aids help in promoting its product.
Mobilink uses an aggressive advertising campaign on television to promote its

products. These advertisements, while communicate an image of modernity and
newness, still tend to show the heritage of Pakistan. The heritage of Pakistan and its
people signifies Mobilink, as being the favorite cellular company of Pakistan.
Mobilink has also for years, has tried to create different personalities for its brands:
Indigo and Jazz, to distinguish them from other competing brands. Mobilink’s Indigo
brand relied heavily on two factors toward establishing its brand equity: brand
ambassadors that exuded style and sophistication, and a unique classy look that
permeate all forms of its Indigo brand communication. It also played on the
aspirations of young business professionals through the atmosphere and the locales of
Indigo’s ads.
On the other hand, the Jazz brand creates an image of fun, catering more to the
youngsters and teens of the country. Not only that, it has also over the years created
an image of bond among the members of the Jazz members, achieved due to the
lowest rates and packages that Jazz has to offer. With Jazz advertisements, it’s all
about having a show and tell tableau.

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Other ways, in which Mobilink is marketing its products, is through its website and
radio. The website of Mobilink is built in a way to provide updated information about
its products, with dedicated pages for both its brands, Indigo and Jazz. Furthermore,
the website also contains a gallery feature, from where users can view a wide array of
print and television advertisement, created by Mobilink over the years. The use of
Radio has also been used to promote the packages of Mobilink. Advertisement on
radio, mostly inform listeners on the new packages and their details.
4.4.2 Print Media
Print advertisements are another major way in which Mobilink advertises its product
to the masses. Print media advertisements are printed in major English and Urdu
newspapers across Pakistan. The messages of these advertisements are mainly of new
packages that Mobilink may introduce over time.
Figure 4.1: Print Advertisements of Mobilink

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4.4.3 Advertising Agency and Brand Ambassadors
Mobilink uses the services of International Advertising (Pvt) Limited (IAL)

SAATCHI & SAATCHI. IAL was established in 1966. IAL clients include PIA,
P&G, Devan Mushtaq Motor Company (DMMC), PSO, Engro Foods Limited,
National Foods and Sony Ericsson etc. Furthermore, it became the first agency to
affiliate itself with an international agency- SAATCHI & SAATCHI, a top player in
the global advertising arena.
Furthermore, Mobilink uses its brand ambassadors to promote its products in both the
electronic and print media. These brand ambassadors come from the fields of acting,
modeling, singing and cricket and are few of the most famous and talented stars of
Pakistan. The brand ambassadors are as follows:

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Table 4.8: List of Brand Ambassadors of Mobilink
Furthermore, stars like Shahid Afridi, Shoaib Malik, Shakeel, Behroze Sabzwaari,
Sunita Marshall and Samina Pirzada have also appeared in Mobilink advertisements,
from time to time.
4.5 ENVIRONMENTAL ANALYSIS
4.5.1 Industry and Market Analysis
4.5.1.1 Major Product Lines Market Segment
Mobile Industry has been very effective in introducing new and innovative products
and services over the years. The major product lines can be segmented into, three
categories, which are as follows:
1. Consumer Packages
2. Value Added Services
3. Corporate Packages and Services
These product lines have a range of different services, catering to different market
segment.
4.5.1.1.1 Consumer Packages

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The consumer packages of the mobile Industry include the prepaid and postpaid
packages being provided by the different cellular providers of Pakistan.
Prepaid packages, due to their nature is the most common type of package being used
today by millions of Pakistani’s. Prepaid packages provide a sense of affordability,
whereby consumers have the option of only recharging their accounts, when needed.
This affordability has led to a massive increase in the prepaid subscriber base, with
everyone from housewives to teenagers; to electricians to small shop owners all using
prepaid packages. The main user segments of prepaid packages include the lower,
middle and middle upper class of the country. Furthermore, a number of people use
prepaid packages as a second number, which also include people from the upper
class.
Mobile companies today have used immense popularity of prepaid packages to

introduce packages that are targeted to different segment. These include Telenor’s
Djuice, targeted towards teenagers and young individuals and Mobilink’s Ladies
First, targeted towards house wives. Furthermore, packages that bill at 1min, 30
second and per second have also been introduced by mobile companies.
Postpaid packages were introduced, keeping in mind, the businessmen and

executives. Postpaid packages, due to their nature provided the benefits of
connectivity 24/7, without the fuss of scratch cards and recharge of accounts.
Furthermore, as competition rose in the mobile industry and new entrants came;
postpaid packages were made more affordable. The work of Warid in this concern is
an example, creating postpaid packages as affordable as prepaid ones. The main
market segments, towards which the postpaid packages are targeted, include small
and medium businessmen, industrialists, bureaucrats and people of the upper class.
However with the affordability of postpaid packages, people from the middle class
have also been seen using post paid packages.
4.5.1.1.2 Value Added Services

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Value Added Services have become an essential tool for generating revenues for
mobile companies today. Starting in the early years, from wallpaper and ring tones
download, today mobile companies provide a range of services to their customers.
Some of the popular services include, religion services, music services, which
includes song dedication, voice and timed messages, sports and cricket services, food
and recipe services, WAP/GPRS/EDGE, themes, wallpapers, games and ringtones
downloads, credit share, MMS, voice mail, email, missed call alert, conference call,
mobile TV, web2sms and many more.
Value added services have been designed by companies, so that there are services for
every segment of their users and that these services completely satisfy them, as and
when needed.
4.5.1.1.3 Corporate Packages and Services
Cellular providers in Pakistan are also providing corporate clients with services
catered to them. Corporate clients due to their huge operations have special
requirements. Mobile packages and tariffs; secure email and instant web connectivity,
being some of the most important issues.
Today mobile companies provide BlackBerry solutions, Mobilink and Warid being
forefront in this technology, furthermore to add to this innovative service, companies
today are providing SMS marketing feature, SMS management facility, fax mail,
Wireless connectivity through EDGE, private numbering plans, closed user groups
and mobile email to their corporate clients.
All above features and many more have helped corporate clients to manage their
operations effectively and efficiently.
4.5.1.2 Growth Rate of Entire Industry

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The mobile industry has seen phenomenal growth over the years. Today there are five
major competitors competing for their subscriber base, increasing the services
provided, reducing their call rate and having aggressive marketing campaigns. Simply
put, competition is heating up in the mobile industry.
In July 2008, according to Pakistan Telecommunication Authority (PTA), the total

subscriber base in the mobile industry reached to more than 89 million to 89,325,296.
This was an increase of 41.4% from December 2007. Although this is phenomenal
growth, analysts believe that it would be even higher, if taxes would have not
increased, in the financial budget.
The mobile industry saw phenomenal growth from 2005-2006. According to PTA, on
average 2.3 million subscribers were added every month during 2006-07.
Furthermore, in 2003-04 the sector was offering 466,068 direct and indirect
employments, which in 2006-07 more than doubled to 1,366,698 employments. Also
the cellular mobile density or mobile penetration in the total population has also
increased over the years. In July 2008, the mobile density reached 55.62%. It was
54.7% in Dec 2007 and 39.94% in Dec 2006, according to official figures.
Also during 2006-07 the revenue of mobile industry was Rs.133 billion, an increase
of 48% from pervious year However, none the less, the growth has subsided since
2006, from 170.2% in December 2006 to 80.7% in December 2007, the major reasons
of which include the crackdowns on SIM registration, rising taxes and the general
economic conditions of the country.
4.5.2 Competitor Analysis
4.5.2.1 Major Competitors

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4.5.2.1.1 Ufone
Pakistan Telecommunication Mobile Limited (PTML) is a wholly owned subsidiary

of PTCL, established to operate cellular telephony. The company commenced its
operations, under the brand name of Ufone, from Islamabad on January 29, 2001.
Since its inception, Ufone changed the image of mobile phones from a luxury only
affordable by the elite, to a necessity affordable by the common man. Ufone’s
primary focus always remained on their valuable customers, introducing services over
time to fulfill their need and demands. Ufone’s slogan has always remained “It’s all
about U”.
As a consequence of PTCL’s privatization in 2006, 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. Now, under the
management of Etisalat, Ufone tends to concentrate on customer needs and benefits
and its management is even more determined than ever to be the leading cellular
player in the market, because Ufone has been known for providing superb
propositions and quality service to its customers and tends to keep that reputation in
the future.
Ufone has maintained itself as the 2nd largest cellular operator in Pakistan with a
subscriber base of over 18 million in July 2008, according to PTA and a market share
of 21% during the time period. Currently, Ufone has network coverage in more than
750 cities, towns and across all major highways of the country. It also provides
international roaming to more than 195 live operators across 119 countries.
Currently Ufone is under the agreement with Huawei, which will provide its future
oriented Energy GSM solution to expand Ufone's network to cover over 2200 cities,
towns, villages and all major highways in the country. The network also allows Ufone
subscribers to enjoy high-speed wireless data service and enables the telecom service
provider to evolve into 3G smoothly.

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4.5.2.1.2 Telenor
Telenor Pakistan is 100% owned by Telenor ASA and adds on to its operations in
Asia together with Thailand, Malaysia and Bangladesh. Telenor acquired the license
for providing GSM services in Pakistan in April 2004, and had launched its services
commercially in Islamabad, Rawalpindi and Karachi on March 15, 2005 and on
March 23, 2005 Telenor started its services in Lahore, Faisalabad and Hyderabad.
Telenor’s investment in Pakistan is the single largest direct European investment in
Pakistan.
By the end of July 2008, the total subscribers of Telenor exceeded 18 million, with a
market share of 20%. Telenor’s network covers more than 3000 cities, towns and
highways throughout Pakistan. Furthermore, Telenor Pakistan has more than 5,000
cell masts throughout Pakistan, making it the 2nd largest network in Pakistan and 3 rd
in terms of customer base.
Telenor has a strategic alliance with Nokia Siemens Networks for expansion in
Pakistan. With USD 1 billion already invested, Telenor has extended agreements with
its vendors, including Nokia Siemens for network expansion and services until 2009.
The agreements will result in USD750 million worth of orders from Telenor Pakistan.
4.5.2.1.3 Warid
Warid Telecom is a joint venture between Abu Dhabi Group & SingTel Group. In
2004, Warid Telecom International LLC, purchased a license for operating a
nationwide mobile telephony network, (WLL) and long distance international (LDI)
for $291 million US dollars and was the first venture of Warid Telecom International
LLC. Warid Pakistan launched its services in May 2005 and is based in Lahore.
Abu Dhabi Group is one of the largest business groups in the Middle East and the
single largest foreign investor in Pakistan. Abu Dhabi Group entered into a strategic
alliance with Singapore Telecom. Subsequent to this transaction in July 2007,

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telecom giant SingTel acquired 30% percent equity stake in Warid Telecom,
Pakistan, for US$758 million- valuing the company at an enterprise value of $2.9
billion. This partnership is part of a strategy to support Warid Telecom’s continued
growth and to enhance its market position.
In July 2008, Warid’s total subscribers were more than 15 million subscribers and
enjoyed 4th position in the market with a market share of 18%. In June 2008, Warid
Telecom announced it would invest $1.5 billion by end of this year and $2.5 billion
by end of 2009 to expand and modernize its network in Pakistan.
4.5.2.1.4 Zong
China Mobile Pakistan (CMPak) is a 100% subsidiary of China Mobile. The

pioneering overseas set up of China Mobile came through acquisition of a license
from Millicom to operate a GSM network in Pakistan. With ambitious plans to cater
to the fastest growing Pakistani market and to win over the ever demanding Pakistani
customer, CMPak's edge comes from the experience and expertise of running the
world's largest telecom service and the commitment they make to setting quality and
customer relations standards. ZONG is the first International brand of China Mobile
being launched in Pakistan.
On 22nd January 2007, Millicom International Cellular S.A. announced that it would
sell its 88.86 percent stake in Paktel Ltd. to China Mobile for $284. On 4th May
2007, Paktel was renamed to CMPak and then, on 16th May 2007, China Mobile
announced that it had upped its stake in CMPak to 100%. It later re-branded Paktel to
Zong.
In July 2008, the total subscribers of Zong were more than 4 million and enjoyed 5th
position in the market with 5% share in the market. So far CMPak has invested more
than US$ 700 million in the telecom sector in Pakistan and an additional US$ 800
million will be invested till the end of year 2008.

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4.5.2.2 Their Market Shares
According to official figures in July 2008, there were a total of 89m subscribers
(89,325,296) in the mobile industry, Ufone had 18 million (18,368,074) subscribers
and was second in market share to Mobilink, followed closely by Telenor with
18,329,428 subscribers, a difference of just 38,646 subscribers. This difference was
3,312,712 subscribers at the end of 2007. Warid was forth with 15 million
(15,774,299) subscribers. Warid has also lost to Telenor in terms of market share
since 2006, when it was third in the industry. In July 2008, Zong had 4 million
(4,446,024) subscribers and was fifth overall. Instaphone had only 351,135
subscribers during this time.
In 2007, Ufone still remained second (14,014,044) in terms of mobile subscribers and
Telenor third (10,701,332), followed closely by Warid (10,620,386), which remained
forth. Zong was fifth (1,024,563) and Instaphone sixth (333,081). The total
subscribers in 2007 were 63 million (63,159,857).
4.5.2.3 Their Goals and Strategies
4.5.2.3.1 Ufone
Ufone is one of the major competitors of Mobilink and has sustained a good market
share over the years. It has remained second overall for a number of years. However
just recently, Telenor, which had gained third position in 2006, in the industry, is
giving strong competition to Ufone and even achieved second position in the first
quarter of 2007.
The main goal of Ufone is to provide its customers with the most effective and
efficient manner of communication. The main goal of Ufone has always been of
providing its customers with the state of the art services at the most simplest rates in
the industry. Its goals have always revolved around U (its customers), which can be
seen in its punch line or slogan “it’s all about U”. Furthermore, by accomplishing its

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goal, Ufone would be able to sustain its market share in the industry and remain in the
second position and defend its position from competitors like Telenor.
The main strategies of Ufone to accomplish their goals surround around providing
services that fulfill the needs of the society at all levels of the society. Ufone was the
first mobile company to stop charging for incoming calls, first to introduce GPRS,
first to start bundle SMS packages and recently its call rates have greatly reduced and
have become even simpler. Furthermore its commitment can also been seen from the
fact that it’s slogan of “it’s all about u” has not changed over the years.
4.5.2.3.2 Telenor
Telenor since its inception in 2005, has been an aggressive company, trying to gain
market share from other competitors, first it took the third position from Warid
(another company that started in 2005) in 2007 and is now giving stiff competition to
Ufone (currently second13) and is favorite in gaining the position from its rival
company.
The main goal of Telenor is to help its customers get the full benefit of
communications services in their daily lives. This is also reflected in their vision,
which is “we’re here to help”. The main goal of Telenor is to provide services, which
take use of the latest technologies and are also new to the industry, thus providing
their customers with the full benefits of communications, which other companies are
not able to provide. Telenor’s slogan or punch line also reiterates their goal which is
“the smart call”. Henceforth, by accomplishing its vision, Telenor would be able to
take the second position in the industry and can then provide competition to the
market leader-Mobilink.
The strategies used by Telenor to achieve its goals is by being creative, that is
providing new and modern services, that take advantages of new technologies but are
also easy to understand and use. Some of the creative products introduced by Telenor
over the years include: Easy Load, Smart Share, mobile TV, largest network of

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EDGE, Pic Share, international packages like Djuice and many more. All these
services are very creative, never been introduced before and helping all its customers
around Pakistan.
4.5.2.3.3 Warid
Warid started its operations in May 2005, and enjoyed a good market share in the
industry, however it has lost its subscribers to its competitors in recent years, leading
to its loss of position in the industry. The main goal of Warid is to maintain and
strengthen its current market share and increase to positions, which it earlier held in
the industry.
The major strategy used by Warid is to create a sense of confidence among its
customers that it is the best network for their lives. That is it provides the best calling
and sms rates, including the value added services. Its slogan, “life ka network” also
provides emphasis to this point.
Warid had earlier efficiently promoted its postpaid packages as affordable as its
prepaid packages, a strategy that increased its postpaid customers significantly in the
mobile industry, at a time when overall post paid connections were decreasing.
Currently its agreement with SingTel will also provide emphasis to its goals and
associated strategies.
4.5.2.3.4 Zong
Zong, a recent entrant in the mobile industry is a subsidiary of China Mobile. Zong’s
inception was the result of the takeover of Paktel by China Mobile in 2007. Being a
new entrant in the mobile industry, its goal is to gain market share, currently Zong is
a small part of the industry, but however it aims to increase its market share reach
above 10% by 2010.

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The main strategy of Zong in this concern is to allow people to communicate at will,
without worrying about tariffs, network coverage, capacity issues or congestion. Its
slogan “Say it All”, provide the emphasis to their strategy. Currently Zong is
providing packages with the lowest call rates. Furthermore it has also introduced
features, which were not present earlier. These include change of happy hours,
changing SMS packages and internet packages on the discretion of its customers.
4.5.3 Technology Analysis
4.5.3.1 Technical Methods That Affect the Industry
Mobile networks are one of the most technical aspects of any mobile company and
the technology changes affecting the networks have changed considerable, since the
first mobile company Paktel was introduced in Pakistan.
Paktel’s networks ran on Advanced Mobile Phone System (AMPS). AMPS was the
analog mobile phone system standard developed by Bell Labs. AMPS were a first
generation cellular technology that used separate frequencies, or "channels", for each
conversation. AMPS used considerably more computing power in order to select
frequencies; however cell centers could flexibly assign channels to handsets based on
signal strength, allowing the same frequency to be re-used in various locations
without interference. However it suffered from some weaknesses when compared to
today's digital technologies. Since it is an analog standard, it was very susceptible to
static and noise and had no protection from eavesdropping using a scanner.
However with the introduction of Mobilink in 1992, Pakistan’s mobile industry

entered into the second generation of mobile networks with GSM. GSM (Global
System for Mobile Communications) is the most popular standard for mobile phones
in the world. Its promoter, the GSM Association, estimates that 82% of the global
mobile market uses the standard. Its ubiquity makes international roaming very
common between mobile phone operators, enabling subscribers to use their phones in
many parts of the world. GSM differs from its predecessors in that both signaling and

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speech channels, which are digital, and thus is considered a second generation (2G)
mobile phone system. This has also meant that data communication was easy to build
into the system. GSM also pioneered the short message service (SMS), which is now
supported on other mobile standards as well. Most GSM networks operate in the 900
MHz or 1800 MHz bands.
Currently all mobile networks of Pakistan have entered the 2.5G. Mobile networks
entered the 2.5G, by implementing the General Packet Radio Service (GPRS). It is a
packet oriented mobile data service available to users of GSM. GPRS can be used for
services such as Wireless Application Protocol (WAP) access, Short Message Service
(SMS), Multimedia Messaging Service (MMS), and for internet communication
services such as email and World Wide Web access. Later on, Enhanced Data rates
for Global Evolution (EDGE) was introduced, EDGE is an upgrade that provides a
potential three-fold increase in capacity of GSM/GPRS networks. Although EDGE is
a 3G technology, but it is considered a part of 2.5G technologies, however sometimes
separately referred to as 2.75G.
Currently the Pakistan Telecommunication Authority is planning to launch 3G

licenses in Pakistan, starting from the end of 2008. 3G networks enable network
operators to offer users a wider range of more advanced services while achieving
greater network capacity through improved spectral efficiency. Services include
wide-area wireless voice telephony, video calls, and broadband wireless data, all in a
mobile environment. Additional features also include HSPA (High Speed Packet
Access) data transmission capabilities able to deliver speeds up to 14.4Mbit/s on the
downlink and 5.8Mbit/s on the uplink. Furthermore 3G networks offer a greater
degree of security than 2G predecessors.
4.5.3.2 Innovation
The mobile industry of Pakistan is considered by many as the most innovative

industry of Pakistan. Innovation means introducing new things or methods, and the

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mobile industry has kept this promise by introducing new and innovative services for
years.
In recent years, most of the innovative services have been introduced by Telenor;
these services being innovative took the Pakistani market by storm and have become
part of our daily lives. Examples of these services include Easyload and Smartshare.
Although Telenor is seen as the most innovative company right now, we cannot
diminish the contributions of other competitors to the Pakistani mobile industry.
Some of the innovative services introduced by the different service providers are as
follows:
• Introduction of dynamic SIM’s by Ufone

• Introduction of GPRS capabilities of Ufone
• Introduction of voice controlled services by Mobilink
• Introduction of Bundle SMS packages by Ufone
• Introduction of voice SMS by Telenor
• Introduction of emergency credit buying by Mobilink
• Introduction of dedicated website for downloads by Warid
• Introduction of credit share by Telenor
• Introduction of BlackBerry services by Mobilink
• Introduction of mobile television by Telenor
• Introduction of caller tunes by Mobilink
• Introduction of backup of contact lists by Ufone
These and many more services have helped make the mobile industry what it is today.
With innovations, being the hallmark of the mobile industry of Pakistan, future
prospects are bright. Also with swap of mobile operators becoming very easy using
Mobile Number Portability (MNP), and competition based on tariffs, innovation
becomes a must to create a competitive advantage. Furthermore, introduction of 3G
services in the years to come would also increase the innovative service provided by

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the mobile operators. Future innovation would take advantage of the current network
capabilities and additional benefits of 3G networks, including the high speed data
transfer services.
4.5.4 Strategies at Mobilink
Major strategies employed by the organization at various levels are
4.5.4.1 Corporate Level Strategy
As their corporate level strategy, they have entered into partnerships with different
organizations.
On the basis of findings, it appears that for the past few years (1999-2003), Mobilink
had a focus on internal growth. All this is evident from the fact that since the
deregulation of the mobile service industry of Pakistan, Mobilink has undertaken
various efforts to ensure that it changes its stance from concentrating on its existing
market to growing its market presence. The main reason for this change is mainly to
keep up with the competition and to retain and increase its market share. This
transition is obvious in Mobilink’s repositioning itself and hitting the market with a
new face with the catchphrase “Reshaping communication”
With the threat of new entrants into the industry after the deregulation, Mobilink’s
strategy took a new turn. To keep abreast with the company, Mobilink took the
following steps during the last 2 years:
• Expanded its international roaming Service scope in 14 more countries

including Vietnam, Germany, Bangladesh, Ukraine, Iran, Venezuela, Nigeria,
South Africa, Ethiopia, Uganda, Sudan, Bahrain, Caribbean Islands. Bilateral
roaming agreements signed with 100 countries around the world to have true
roaming service operational in 151 operators of the world.
• PROMOTIONAL CAMPAIGNS LAUNCHED

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o JAZZ BUNDLE OFFERS: These bundles include a handset, a JAZZ

connection and airtime worth Rs. 200
o INTERNATIONAL SUMMER PROMOTION: Discounted
international tour packages to Sri Lanka, Malaysia and Maldives
o “JAZZ-AUR-SUNAO”, “LIFE MEIN JAZZ LAO” (a change in the
marketing strategy)
o Indigo packages deliver nation wide cellular freedom at local Call
rates
o Exclusive deals to 6 northern area destination including Chitral,
Galliat, Hunza, Kaghan , Skardu and Swat.
o Roam the World: year long promotion including travel to the Holy
Land in Ramadan, avail amazing offers at the Dubai Shopping
Festival, be a part if the FIFA World Cup in Germany or visit Paris,
Milan, London and NY.
4.5.4.2 Business Level Strategy
As their business level strategy it has focused on Differentiation strategy ever since
it started. Mobilink has always made successful attempts to distinguish their products
or services from other in the industry. They make their product unique through:
4.5.4.2.1 Advertising
• Highly creative people in the marketing dept

• Billboards, TV commercials, bringing in famous personalities from media to
endorse their packages
4.5.4.2.2 Distinctive Product Features
• Value added services

• Online billing

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• GPRS enabled
• Mobilink also started 3 friend and family number with a charge of 2.25/min
still expensive as compared to Warid but giving incentive to subscriber there
is an additional cost of RS 25 to add friends and family number.
• International roaming: Bilateral roaming agreements signed with 100
countries around the world to have true roaming service operational in 151
operators of the world.
4.5.4.2.2 Exceptional Service
• There are certain areas of Pakistan where PTCL connections are not available;
the PTCL cables have not reached yet, but Mobilink has its service in those
areas.
• Providing services in 413 cities
• Best customer service in the cellular market: Biggest Call Center in Pakistan,
which is there to assist the customers 24 hours.
4.5.4.2.3 New Technology
• Introduced GSM tech- bye to AMPS?

• GPRS system – fast and inexpensive
• MOBILINK GSM Short Message Service Center allows Vehicle Tracking
and Fleet Management services that are being provided by Tracker (Pvt.) Ltd.,
under the brand name of C-Track, a company licensed by Pakistan Telecom
Authority (PTA). Tracker currently operates from Karachi but can provide
these facilities at all those locations where GSM coverage is available.
Their differentiation strategy is usually targeted at people who are not particularly
concerned with price, so it can be quite profitable e.g. indigo and blackberry are
relatively expansive packages; blackberry is mainly targeted for the business class
who can afford it. In this way, the revenue generation remains high. Mobilink offers

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tariff plans that are exclusively designed to cater to the communication needs of a
diverse group of people, taking into account occasional users to businessmen. To
achieve this objective, mob offers both postpaid (Indigo, relatively expensive) and the
prepaid (JAZZ, relatively inexpensive) solutions to their customers.
4.5.4.2.4 Low Cost Strategy
Mobilink does not follow a low cost strategy. Mobilink is a giant in Pakistani mobile
industry Tel. Since it first started its operations, it has been focusing its products on
the upper strata of the society. That is why its rates are higher than its competitors,
Ufone, Warid, Telenor, etc.
4.5.4.3 Functional Level Strategy
4.5.4.3.1 Sales and Marketing
• Differentiation Advantage:
• Because they target the customer groups they offer tariff plans that are
exclusively designed to cater to the communication needs of a diverse group
of people, taking into account occasional users to businessmen. To achieve
this objective, they offer both postpaid (Indigo) and the prepaid (JAZZ)
solutions to their customers
• The marketing department immediately identifies and responds to the
customer needs.
4.5.4.3.2 Commitment to Total Customer Satisfaction:
Customers are at the heart of my success. They have placed their trust and confidence
in us. In return, I strive to anticipate their needs and deliver service, quality and value
beyond their expectations.
4.5.4.3.3 Passion for Business Excellence:

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I strive for excellence in all that I do. I aspire to the highest standards and raise the
bar for myself everyday. This commitment to delivering world-class quality translates
into unmatched service and value for my customers and all stakeholders.
4.5.4.3.4 Trust & Integrity:
At Mobilink, I take pride in practicing the highest ethical standards in an open and
honest environment, and by honeying my commitments. I take personal
responsibility for my actions, and treat everyone fairly, and with trust and respect.
4.5.4.3.5 Respect for People:
My relationships drive my business. I respect and esteem my employees and all

stakeholders. I believe in teamwork, empowerment and harmony.
4.5.4.3.6 Responsible Corporate Citizen:
As the market leader, I recognize and fulfill my responsibility towards my country

and the environment I operate in.

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CHAPTER 5
FINDINGS AND RECOMMENDATIONS
5.1 FINDINGS & PROBLEMS
The findings are the facts that I have discovered from the analysis of the Mobilink
and in the light of those findings I have given the suggestions, which are realistic and
adoptable for the organization. After critically analyzing both the operations and
financial data of Mobilink I have summarized the findings of the report. These
analyses are mainly based on my practical working & experience at the Mobilink
during internship.
5.1.1 Job Rotation and Advancement
The main problem that I have identified within the SALES department as a whole is
the lack of job rotation within the department and not enacting on the job
advancement rules.
According to my findings, no official job rotation takes place within the department,
even though the employees informally try to learn about the working of other
departments through their peers. They show keen interest in learning new things as all
the operations within the department are interlinked.
Furthermore the only time, officially, when an employee is told about the working of
another part of the department, is only when he is moved to that part, for example,
when an employee initially working for sales operation department is transferred to
off indirect sales because of shortage of employee. This learning should not be
considered as a job rotation, because this shift is permanent for that given employee.

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Furthermore, at Mobilink, the rules and procedures for job advancements are laid out
however it has been seen that junior executives, especially those at associate level are
not promoted to specialist levels, even though they have fulfilled the main
requirement- years of experience with Mobilink. This creates dissatisfaction within
the employees.
5.1.2 Unequal distribution of work
Work is not equally distributed. On one hand some employees have to work all day
without relaxing while some others have very little to do. This not only creates
confusion among employees but also hurting and disturbing the overall setup of the
company. And above all it results in dissatisfaction among customers as well.
5.1.3 Lack of staff
Staff of the indirect sales is less and workload is too much on the existing staff
especially in operations due to which they are unable to give proper time to their
franchises.
5.1.4 Mismanagement of Internees
At Mobilink the selection of internees was based on nepotism basis. Some internees
even did not hold a commerce or business qualification, but they were working due to
some relationship with manager or some other employee of branch. Moreover there
was no proper plan to train the internees.
5.1.5 Favoritism and Nepotism
The promotions are mostly powered by senior’s favoritism or depend upon their wills
and decision. This adds to the negative factors, which denominate the employees thus
resulting in affecting their performance negatively.

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5.1.6 Limited authority
Employees have very limited authority; they have to take the approval from
management authority for every thing that is out of routine which is very time
consuming.
5.2 CONCLUSION
The mobile industry has seen phenomenal growth over the year, showing growth rate
of more than 80% in 2007. This growth is not new to the industry, as previous years
have shown substantial growth as well. This growth is a direct result of the increased
competition in the mobile industry, resulting into better services at reduced rate.
Furthermore, this has favorably affected our economy as a whole, generating
revenues for the government, through direct and indirect taxation and creating
employment opportunities for the people. The mobile industry of Pakistan is
considered by a majority of prospective employees as the best industry for a job.
Although the mobile industry has seen substantial growth over the years, many
observers feel that the industry may become saturated and will show lower growth
rates as a result of increased taxation and the general economic conditions of
Pakistan. Although the concerns may be valid to some extent, but with PTA,
introducing the 3G platform in the coming years and a major part of our population
still without mobile connectivity, especially in distant villages, there is still optimism
that the mobile industry will not become saturated and there is still place for
competition in the industry.
Mobilink has been in operation since 1994, and since then has become the market
leader by providing its customers with the state of the art products and services.
Mobilink has for years enjoyed a good market share of the total industry; its current
market share is 36%.

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Even though Mobilink has been a market leader, for so many years, providing the
most technological advanced products and services, it has for a number of years been
facing strong competition from Telenor and Ufone, which has resulted in a decrease
of its market share. This has led Mobilink to a policy of diversification, by
introducing products like Mobilink PCO and WIMAX services. Although Mobilink
has diversified, it still is providing competitive products and services for its core
products-Jazz and Indigo.
Finally, internships are an important part of the academic program, as they provide us
with the practical experience during our academic career. I am very grateful that I
received an internship at Mobilink as it was a great learning experience on how a
multinational company works and further improved my skills of team working and
critical decision making.
5.3 RECOMMENDATIONS AND SUGGESTIONS
As identified earlier, the problem that I identified was the lack of job rotation within
department and not enacting on job advancement rules and procedures. Some of the
recommendations to this problem are as follows:
Firstly I would recommend that the department officially start job rotation. The major
benefit of which would include even more motivated employees, with enhanced
skills.
One of the major arguments against job rotation is that without it, employees will
perform only one task and will become specialized in that particular job. Furthermore,
the argument also suggests, that with job rotation, only general information is
imparted to employees, not essentially helpful in doing complex tasks. However, in
today’s business environment, multitasking is becoming more and more essential and
thus rotation becomes essential in making employees multitask.

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Furthermore, the organization structure of the treasury department makes it easy for
job rotation, as all sub departments major functions are interlinked to each other and
mostly all departments currently have more than one associate employee, except cash
management.
Secondly I would also suggest that specific job related training should also be
imparted to the employees, this would have an additional benefit of further improving
their current skills and knowledge, while attaining new through job rotation. Also
professional counseling programs should also be started to provide employees with
the information, regarding future prospects at Mobilink and in the mobile industry.
Lastly, I would suggest, that Mobilink adheres to its job advancement procedures
because for an employee that has worked with Mobilink for more than 2-3 years, they
should be awarded with the fruits of job advancement, as I believe that the criteria of
job advancements currently used is a standard in most MNC’s and job advancements
are a part of career growth. Furthermore, job advancement s will create future leaders
for Mobilink.
Thirdly the policy makers of Mobilink should reconsider their call and SMS rates as
they are no more a monopoly in the country now they are to face competition, which
by no regard is easy.
Lastly I will say that human being are prone to experiment; same is the case here as
more telecom companies are entering the competition people are moving more
towards them so for the skew of retaining their customer Mobilink should become
more dynamic by introducing new and more customer friendly packages.

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REFERENCES
• Wikipedia (www.wikipedia.com)
• Mobilink (www.mobilinkgsm.com)
• Pakistan Telecommunication Authority (www.pta.gov.pk)
• Ufone (www.ufone.com)
• Telenor (www.telenor.com.pk)
• Warid (www.waridtel.com)
• Zong (www.zong.com.pk)
• Orascom Telecom (www.otelecom.com)
• The News (www.thenews.com.pk)
• Articles used:
o Mobilink
o Ufone
o Telenor Pakistan
o Warid Telecom (Pakistan)
o Paktel
o China Mobile (Pakistan)
• Reports
o Orascom Telecom Annual Report 2007
o Orascom Telecom Annual Report 2006
o Mobilink’s Balance Sheet and Income Statement

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Internship

1.1 BACKGROUND OF STUDY

As part of the academic requirement for completing the program of Master of

This report is about Mobilink GSM (PMCL), a subsidiary of Orascom Telecom,

1.2 PURPOSE OF STUDY

a) The main purpose of the study is to gather relevant information to compile

b) Another purpose of this Internship program is to learn and use the

c) To observe, analyze and interpret the relevant data in a useful manner.

d) To work practically in an organization and to develop interpersonal

Mobilink GSM, An Orascom Telecom Company

1.3 SCOPE OF STUDY

1.4 LIMITATIONS OF STUDY

No matter how efficiently a study is conducted, it cannot be perfect in all respects.

Mobilink GSM, An Orascom Telecom Company

1.5 RESEARCH METHODOLOGY

Sources of my Primary data are Personal Observation and Interviews of Personnel.

1.6 SCHEME OF STUDY

The report is arranged in the following sequence:

This is an introductory chapter which describes the background, purpose, scope,

Mobilink GSM, An Orascom Telecom Company

This chapter covers a historical background and development of Telecom sector in

This is a detail chapter about my internship at Mobilink GSM, An Orascom Telecom.

Mobilink GSM, An Orascom Telecom Company

INTRODUCTION OF MOBILINK, AN ORASCOM TELECOM

2.1 PAKISTAN TELECOM LAWS

At the time of independence the laws in force in Pakistan relating to

Mobilink GSM, An Orascom Telecom Company

The arena of development, innovation and liberalization starts from 1990-1991. By

Mobilink GSM, An Orascom Telecom Company

Some of the salient features of the Act of 1996 are:

• Regulation of Telecommunication Industry and Services

• Transfer of telecommunication regime to private sector

• Powers of Federal Government to Issue Policy Directives

• Establishment of PTCL as Company under the Companies Ordinance, 1984

Mobilink GSM, An Orascom Telecom Company

• Creation of National Telecommunication Corporation (NTC) to provide telecom

• Formation of Frequency Allocation Board (FAB) with the responsibility of

• Creation of Pakistan Telecommunication Employees Trust with the object of to take

2.1.1 Deregulation Policy 2003

The exclusivity of Pakistan Telecommunication Company Limited (PTCL) to provide

• To increase service choice for customers of telecommunication services at

• To promote infrastructure development, especially infrastructure that will increase

• To increase private investment in private sector.

• To encourage local telecom manufacturing/service industry.

• Recognizing the challenge to incumbent, PTCL.

Mobilink GSM, An Orascom Telecom Company

• Accelerate expansion of telecom infrastructure to extend services to un-served and

• Liberalize the telecommunication sector by encouraging fair competition amongst

• Maintain consistency with Pakistan’s IT and Interconnect promotion policy of low

• Safeguard Pakistan’s national and security interest.

2.1.2 Mobile Cellular Policy 2004

GoP has announced it Cellular Policy. The policy objectives are:

• Promotion of efficient use of radio spectrum;

• Increased choice for customers of cellular mobile services at competitive and

• Private investment in the cellular mobile sector;

• Recognition of the rights and obligations of mobile cellular operators;

• Fair competition amongst mobile and fixed line operators;

2.1.3 Subordinate Legislations

Mobilink GSM, An Orascom Telecom Company

responsibilities of incumbent, accounting standards, reporting and problems faced by

i. Telecommunication Rules 2000

ii. Access Promotion Contribution Rules 2004:

Means the contribution made by Long Distance International (LDI) operator/licencee