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A Project On Market Research on comparative analysis of BSNL with its competitors (A Govt of India Undertaking) Master of business administration

(Marketing)

Submitted in the partial fulfilment of the requirement for award of Master of Business Administration of Tilak Maharashtra University, Pune.

Submitted by
Sumit Singh PRN-07208014831 Of (Institute of Business Studies & Research) Navi Mumbai

Tilak Maharashtra University Gultekdi, Pune 411037.

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Sumit Singh (MBA-marketing 2008-10)

Institute Of Business Studies & Research, Navi Mumbai 2

Sumit Singh (MBA-marketing 2008-10)

PREFACE The MBA programme is well structured and integrated course of business studies. In every professional course training is an important factor. The main objective of practical training is to develop skill in student by supplement to the theoretical study of business management in general. Industrial training helps to gain real life knowledge about the industrial environment and business practices. Professors give us theoretical knowledge of various subjects in the college but we practically exposed of such subjects when we get the training in the organisation. During the whole training I got a lot of experience and came to know about the management practices in real that how it differs from those of theoretical knowledge and the practically in the real life. In todays globalize world, where cutthroat competition is prevailing in the market, theoretical knowledge is not sufficient. Beside this one need to have practical knowledge, which would help an individual in carrier activities and it is true that, Experience is the Best Teacher

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ACKNOWLEDGEMENT

With immense pleasure, I would like to present the project report for BSNL. It has been an enriching experience for me to undergo my summer training at BSNL which would not have possible without the goodwill and support of the people around. As a student of INSTITUTE OF BUSNINESS STUDIES & RESEARCH, NAVI MUMBAI, I would like to express my sincere thanks to all those who helped me during my practical training programme. Words are insufficient to express my gratitude towards Mr. R. P. Tiwari, Document Section and BSNL. I am very thankful to Mr. B. B. Singh, Principle of RTTC Lucknow, who helped me at every step whenever needed. At last but not the least my grateful thanks is also extended to Prof- Dev Burman (faculty MBA-Marketing, IBSAR Navi Mumbai) and my thanks to all my faculty members and director for the proper guidance and assistance extended by them. I am also grateful to my parents and friends to encourage & giving me moral support. However, I accept the sole responsibility for any possible error of omission and would be extremely grateful to the readers of this project report if they bring such mistakes to my notices.

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CONTENT
Sr. No. Chapter 1. Chapter 2. Chapter Name Rational of the Study Objective of the Study 1-Tital of the Object 2-Objective of the Study 3-Scope of the Study Chapter 3. Chapter 4. Chapter 5. Chapter 6. Chapter 7. Chapter 8. Chapter 9. Profile of the Company Review of the Literature Research Methodology. Data Analysis and Interpretation Findings Limitations of the Study Recommendation & suggestions Bibliography 63 10-24 25-36 37-40 41-54 55-58 6-9 Page. No. 4

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Chapter-1

RATIONAL OF THE STUDY

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Over the last few years, the telecom industry in India has been going through a period of intense change. Needs of the retail as well as corporate customers are changing and their expectations in terms of service and quality are getting more demanding. BSNL is facing increasingly stiff competition from private players. Over the recent past, BSNLs performance has come under considerable pressure. It has not been able to grow in line with the market and has been steadily losing market share. The lack of top-line growth coupled with increasing costs has put pressure on BSNLs operating performance in the past few years. BSNL has engaged the services of The Boston Consulting Group (BCG) to help develop an overall strategy and transformation plan for the organization. BCG is a leading global consulting firm and has extensive experience working with working with major telecom incumbents globally and in India on issues of strategy, sales & marketing strategy and large scale transformations. BCG has significant experience of working with large Public Sector undertakings to help them define and implement their change agenda. This transformation exercise, called Project SHIKHAR, will cover development of an overall strategic agenda across BSNLs key businesses including customer segmentation, sales channel management as well as product management. It will also look at appropriate strategic initiatives in operations as well as in Human Resource Management in order to implement the new strategy effectively. All this is aimed at making BSNL more capable to thrive in a very competitive market place.

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Chapter-2

OBJECTIVE OF THE STUDY

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TITLE OF THE PROJECT Comparative Analysis of BSNL (services & products) With Its Competitors

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OBJECTIVE OF THE STUDYThe objective of the study was to define the kind of problem BSNL is facing to sustain in the market. What more have to be done to fight with the increasing competition in the market? One of the major objectives of the study was to find out the market behaviour as per the todays condition. The original motive of the project was to increase sales and generate revenue, thats the reason the research was more into find out if there is any issue regarding commission. We focused on to the retailers because they were the right person who can let us know the real market condition and things to improve to increase the sales. BSNL has lost its number one position it the market therefore the senior officials adopted this method to find out the reasons and want its number one tag again. Doubtlessly BSNL is making profit but despite being a govt of INDIA enterprise it is not the number one company in the telecom sector. Primary Objective.

To get the cause of losing the number 1 position in the market. To get the position again and trust of customers on BSNL. To know what kind of improvement is required to be the best in telecom sector. To understand the current market position and to evaluate the improvements required for BSNL To understand the product changes needed to give it a competitive edge in the market.

Secondary objective

To increase the sales and revenue. To defeat its competitors. To find out the strategies adopted by the other companies. To find why are those companies doing better than BSNL.
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What are the areas where BSNL is lacking.

SCOPE OF THE STUDY

So far as I believe that this research is going to be a huge success, because the kind of objective it has is mind-blowing. This project will surely help BSNL to get its position back. This project has a vast scope in U.P.(east) because it has been planned in this manner. Its very obvious that people have their trust on BSNL and has a big number of subscribers. BSNL is not only into mobile services but also it is INDIAs biggest landline service provider. BSNL has recently launched 3G mobile service which is a revolution in telecom sector. BSNLs broadband internet service is a mile stone. Services of BSNL are all perfect but right approach and strategy will make it easier for the customers to be familiar with it. I believe that the research programme will surely help BSNL to get a strong grip into the market. This kind of research programme should be conducted time to time to find whats going on it the market and what is to be done to handle the scenario. From my studys point of view it was a great experience. I interacted with the people and tried my level best to find out problems and best solutions of those problems. I used all my skills and knowledge in that research. I learned a lot from this research and it helped me to remove the hesitations that I had earlier in interacting with the people. I came to know how the system works in corporate world.

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Chapter-3

COMPANY PROFILE

BHARAT SANCHAR NIGAM LIMITED.

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(A govt. of India enterprise) Website www.bsnl.co.in Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th largest Telecommunications Company providing comprehensive range of telecom services in India: Wire line, CDMA mobile, GSM Mobile, Internet, Broadband, Carrier service, MPLS-VPN, VSAT, VoIP services, IN Services etc. Presently it is one of the largest & leading public sector units in India.

BSNL has installed Quality Telecom Network in the country and now focusing on improving it, expanding the network, introducing new telecom services with ICT applications in villages and wining customer's confidence. Today, it has about 47.3 million line basic telephone capacity, 4 million WLL capacity, 48.11 Million GSM Capacity, more than 37382 fixed exchanges, 44966 BTS, 3140 Node B ( 3G BTS), 287 Satellite Stations, 480196 Rkm of OFC Cable, 63730 Rkm of Microwave Network connecting 602 Districts, 7330 cities/towns and 5.5 Lakhs villages.

BSNL is the only service provider, making focused efforts and planned initiatives to bridge the RuralUrban Digital Divide ICT sector. In fact there is no telecom operator in the country to beat its reach with its wide network giving services in every nook & corner of country and operates across India except Delhi & Mumbai. Whether it is inaccessible areas of Siachen glacier and North-eastern region of the country. BSNL serves its customers with its wide bouquet of telecom services.

OBLIGATIONS 1. Towards customers and dealers To provide prompt, courteous and efficient service and quality of products/services at fair and reasonable services. 2. Towards employees Develop their capability and advancement through appropriate training and career planning
Expeditious redressed

of grievances

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Fair dealings with recognized representatives of employees in pursuance of healthy trade union practices and sound personnel policies

CORPORATE SOCIAL RESPONSIBILITIES BSNL is committed to provide quality Telecom Services at affordable price to the citizens of the remotest part of the Country. BSNL is making all effort to ensure that the main objectives of the new Telecom Policy 1999 (salient points indicated below) are achieved: Access to telecommunications is of utmost importance for achievement of the country's social and economic goals. Availability of affordable and effective communications for the citizens is at the core of the vision and goal of the new Telecom policy 1999. Strive to provide a balance between the provision of universal service to all uncovered areas, including the rural areas, and the provision of high-level services capable of meeting the needs of the country's economy encourage development of telecommunication facilities in remote, hilly and tribal areas of the country; Transform in a time bound manner, the telecommunications sector to a greater competitive environment in both urban and rural areas providing equal opportunities and level playing field for all players.

EMPLOYEES WELFARE ACTIVITIES


Commitment towards the principles of corporate social responsibilities is inbuilt within the corporate philosophy of BSNL. A very wide range of welfare programmes, with a focus on the employees welfare is continuously implemented by the Staff Welfare Board of the Company.

ASSISTANCE DURING NATURAL CALAMITIES


BSNL always remains awake of its responsibility as a corporate citizen. When the destructive Tsunami waves struck the Indian shores, BSNL Company swung into action immediately for providing relief to those affected in the coastal areas. Communication networks at the Coastal areas of Tamil Nadu, Kerala and the Andaman and Nicobar Islands worst hit in the Tsunami - were promptly restored within the

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shortest possible time. BSNL along with the employees contributed an amount of Rs. 2,207 lakhs to the Prime Ministers Relief Fund. Telephone Services were restored in record time in the flood-hit areas of Gujarat and Maharashtra.

BSNLS ASPIRATION
BSNL has created an aspiration to guide its transformation process. This aspiration was developed in a very systematic manner and involved interactions and deliberations among employees from various cadres, designations and geographies. BSNLS ASPIRATION IS TO

Be the leading telecom service provider in India with global presence Create a customer focused organization with excellence in sales, marketing and customer care. Leverage technology to provide affordable and innovative products services across customer segments. Provide a conducive work environment with strong focus on performance. Establish efficient business processes enabled by IT.

PROPOSED STRATEGY TO ACHIEVE ASPIRATION Having defined this aspiration, we are working on the following key pillars of transformation Revitalise the business via o Focusing on aggressive growth in Mobility (2G/3G), Broadband and Enterprise segment(i.e., corporate customers) o Reducing churn in the landline (including PCO) business and consolidating our position in the wholesale business (i.e., NLD) o Venturing into new areas to further drive growth such as infrastructure sharing, DTH, international expansion among others Build operations excellence in the following critical areas o Marketing, sales and distribution o Product innovation and pricing o Customer service
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o Revenue assurance o Cost efficiency Create a high performance organisation to achieve the above o Redesign the organisation structure, roles & responsibilities o Strengthen our HR policies and practices o Put in place a strong performance management system and culture

PARTICULARS OF ORGANISATION Incorporated on 15.9.2000, vide Registration No. 55-107739, dated the 15th September, 2000 and became entitled to commence business with effect from 19th September, 2000. The Company (BSNL) took over the .business of providing telecom services and network management throughout the country except the metro cities of Delhi and Mumbai of the erstwhile service providing departments of the Govt. of India, i.e., the Departments of Telecom Services and Telecom Operations i.e. 1.10.2000 pursuant to an MoU signed between the BSNL and the Govt. of India. Government Company under Section 617 of the Companies Act, TYPE OF COMPANY ADMINISTRATIVE MINISTRY DETAILS OF 1956. Govt. of India, Ministry of Communication and Information Technology, Department of Telecommunications. The entire share capital of the Company is held by the Govt. of India..
Sumit Singh (MBA-marketing 2008-10)

DATE

OF

INCORPORATION:

DISINVESTMENTS

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SHAREHOLDING PATTERN LISTING WITH

Government of India is holding 100% of the share capital of the Company. Not applicable, as the BSNL is an unlisted company. Authorised Capital Rs.17, 500 crores, divided into 1, 000, 00, 00,000[One Thousand Crores] Equity Shares of Rs.10/- each; and 750, 00, 00,000 [Seven Hundred and Fifty Crores] Preference Shares of Rs.10/- each. Paid Up Share Capital - Rs.5,000/- crores of Equity Shares and

STOCK EXCHANGES

SHARE CAPITAL

OBJECTIVES THE COMPANY

OF

Rs.7,500/- crores of Preference Share Capital As set out in the objects clause of the Companys Memorandum of Association.

PROCEDURES

FOLLOWED

IN

THE

DECISION-MAKING

PROCESS,

INCLUDING

CHANNELS OF SUPERVISION AND ACCOUNTABILITY

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Overall management of the Company is vested with the Board of Directors of the Company. The Board of Directors of is the the highest Company decision making in body General within the Company. As per the provisions of the Companies Act, 1956 certain matters require the approval of the shareholders Meeting. The Board of Directors is accountable to the shareholders of the Company, which is the ultimate authority of a Company. Bharat Sanchar Nigam Limited being a Public Sector Enterprise (PSE), the Board of Directors of the Company is also accountable to Government of India. The day-to-day management of the Company is entrusted with the Chairman cum Managing Director and the Functional Directors and Executives of the Company. For this purpose, the Board of Directors has

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delegated powers to the Chairman and Managing Director, Functional Directors, and the Executives of the Company through Delegation of Financial and Administrative Powers. The Board of Directors has also delegated few of its specific powers to a committee, known as Management Committee comprising of CMD and Functional Directors. Functional Directors and executives exercise their decision-making powers as per this delegation of powers. The Chairman cum Managing Director, Functional Directors and other Executives are accountable to Board of Directors for proper discharge of their duties & responsibilities. The powers, which are not delegated are exercised by the Board of Directors subject to the restrictions and provisions of the Companies Act, 1956 and the Articles of Association of the Company.

A. GLIMPSES OF MAIN SERVICES OFFERED

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1. BASIC AND LIMITED MOBILE TELEPHONE SERVICES BSNL is the leading service provider in the country in the Basic Telephone Services. As of now more than 35 million Direct Exchange Lines & more than 2.2.Million telephones in the Limited Mobile telephone Services are existing. BSNL has provides a number of attractive tariff packages & Plans which shall further strengthen its subscriber base.

2. CELLULAR MOBILE TELEPHONE SERVICES BSNLs GSM Technology based Cellular Network reached a long way, covering 20,836 cities/towns with a subscriber base of over 4.67 Crores as on 31st March 2009 out of which 4.31 crores cellular telephone are in pre-paid segment India's fastest growing cellular service , along with postpaid and prepaid services brings cellular telephony to the masses, through innovative technology and strategic pricing. This ambitious service uses state-of-the-art GSM technology to attain global excellence and leadership in business. Our entry into this sector has brought GSM cellular service at an affordable cost to the common man. All serving a single objective, to provide better communication to millions across India. Customers have reposed tremendous faith in BSNL and it has enrolled over 30 Lakh Cellular customers within ten months of launch of Cellular service, an unprecedented mark in Indian Cellular Market.

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Why should you choose BSNL Mobile?

For the first time in the country, all major towns and cities are covered through our network All major national and state highways are covered National and International SMS facility International roaming available for more than 300 networks across the world. The facility of one number roaming across the country Appropriate and reasonable tariff packages to suit every pocket Absolute transparency in billing. All regular features of cellular telephony, such as SMS as well as advanced features like MMS are available. 24 Hour helpline all across the country. The only Mobile service available throughout the country including Jammu and Kashmir and North Eastern states like Arunachal Pradesh, Nagaland, Mizoram etc.

3. INTERNET SERVICES BSNL offers Dialup Internet services to the customers by Post-paid service with the brand name Netone, and pre-paid service with the brand name Sancharnet. The post-paid service is a CLI based access service, currently operational in 100 cities. Sancharnet is available on local call basis throughout India to ISDN and PSTN subscribers. The Internet Dhaba scheme of the Company aims to further promote Internet usage in rural and semi urban areas.

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5. BROADBAND SERVICES BSNL has launched its broadband services under brand name BSNL BROADBANDon 14-01-05. This offers High Speed Internet Access with speed ranging from 256 Kbps to 8 Mbps. Ever since its inception BSNL is continuously expanding its broadband network in response to ever growing demand of broadband service throughout India Present customer base is 3.56 million, with equipped capacity of 6.1 million. BSNL Broadband service is available in more than 3800 cities & 83000 villages. The services provided are High Speed Internet Connectivity(up to 8 Mbps) Band width on Demand(planned) Virtual Private Network(VPN) service over broadband Dial VPN services to MPLS VPN customers IPTV services(at present available in 66 cities) Games on Demand Service Video tutoring service VOIP Video Surveillance service Entertainment portal.

BUSINESS DEVELOPMENT Business Development Cell is responsible for developing new business revenue streams, new product, tying up with other vendors for providing joint offering, etc. BD cell has tied up with vendors/other organizations for Bundling of products with BSNL service like Handset Bundling (2 G & 3 G), PC

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Bundling, GSM PCO Bundling, RF Vendor empanelment, Data Card Bundling for Edge/GPRS connectivity. BD has tied up with other organizations to enhance the business of BSNL like alliance with IOC, BPCL, NFL etc for selling BSNL products through their outlets. BSNL is also in process of tie up with big retail players like Reliance Retail, More, Spencer, Subhiksha, Mobile Zone, other similar outlet etc for selling BSNL services. Similar alliance has been forged with NIC/IL&FS to sell BSNL products through CSCs. Through other alliances, we have been able to bring out Co-branded/White labelled services like Blackberry, Nokia Pushmail etc. BD Cell is implementing Free EPABX scheme of BSNL through empanelment of EPABX Franchisees to provide Free of cost EPABX Systems to corporate customers as a business development initiative to retain the big corporate subscribers. BSNL has also tied up with M/s Polycom for providing their rich Video Conferencing application based on their Real presence technology. Efforts are being made for similar tie up with M/s Cisco for providing Video Conferencing solution to the end-users. With the advent of proliferation of Broadband through mobile and landline, it has become very important that low cost devices for both landline and mobile i.e. 3G/Wimax should be made available to the customers so that large volume of subscriber base in these areas may be achieved. BD Cell will make efforts to tie up with the vendors for broadly three types of low cost Broadband devices like Los cost PC/Laptop, MIDs (Mobile Internet Devices) Wimax enable devices which will have the features of more than smart phone but will be the cost effective solution for net surfing.

6. Brand Equity. We may think what is Brand equity? In simple words it is how far people are willing to pay if we increase our prices i.e. premium for our services. We may feel happy to say there is lot of black marketing of our SIM cards. Is it a healthy sign? We reduce prices when competitors launch new schemes. Does it imply poor brand equity? Brand Equity can be built with good equity of quality of services at the affordable price. Continuous innovation in product and delivery of services with the appropriate pricing is the key strategy for developing the trust in customer so that he keeps his loyalty with BSNL. We have to be first mover in our efforts for product and price differentiation. Presently the market is in growth phase and price could be a differentiating factor, but how long? Is any scope left for further cuts? Ultimately it is the
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quality, customer care, and timely availability apart from price, which will matter. Quality depends on many parameters such as tangibles (like physical facilities, Appearance of personnel, Tools or equipment used to provide service, Physical appearance of service, Other customers in the service facility), Reliability, Responsiveness, Competence, Courtesy, Credibility, Security, Access, and Communications with customer, Understanding etc. Quality definitely commands premium. Why are people willing to pay more for Raymonds or Adidas or Sony when comparable offers exist in market? One may say that customer perception of quality is not built overnight; it may require a brand and brand building investments apart from a quality product. How many brands do we have? Our investments get diluted with more number of brands. Even Airtel merged the Touchtel brand with more popular one. Cant we have just one brand i.e. BSNL? Have we ever tried to examine our revenue breakup? While majority of the revenue comes from landline (DELs plus PCOs), how many people know of Bfone? CellOne happens to be more popular. So where should our marketing & sales effort be more? Wholesale, retail or corporate! What means do we need to use to promote our products and in what proportion? Advertising, PR, Franchisees, 24x7 customer care, business development etc. What activities should be taken up by Corporate Office, Circles and SSAs? In advertising there is need to synergize our activities at Corporate, Circle and SSA level. In this regard Corporate office has issued division of work guidelines. There is also a need to have good relation with our advertising agencies and simultaneously their performance need to be monitored for taking quality output from them. What is USP (Unique Selling Proposition) for BSNL? A Government company which delivers. A government company which gives service better than private could be a deadly combination, which no competitor can copy.

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Social Responsibility.
BSNL was the most trusted telecom brand in year 2003 & 2004. BSNL has been given Golden Peacock award for Best Corporate Social responsibility. These achievements need to be highlighted through public relation exercise like press meet. This will help BSNL in building its marketing image. In sales and distribution front though it has over one-lakh retailers, 1000 franchisees, 3300 CSCs, 36000 exchanges why is BSNL not visible like others? Why cant BSNL utilize all possible space? Cant it leverage its franchisee and STD-PCO strengths? Can it make these outlets as its core strength? Why BSNLs recharge coupons, India Telephone Cards are in shortage when there is no capacity constraint? Does it imply that BSNLs planning for printing, inventory management, logistics, and supply chain and of course franchisee management is inefficient? Do it has targets for these just like DELs & CellOne? Why cant BSNL leverage this huge network for better customer care and improve collection efficiency? BSNL must realize that with waiver of security deposits, no OYT schemes, no advance rentals, adjustment of landline security for CellOne, BSNL dont get fixed deposits to meet our funds requirements. Everything has to be met from Operating revenues. We need to improve collections, realize bills early, not on the last day of payment and reduce bad debts. We need to provide 24X7 culture in our organization, though we have been providing operation and maintenance on 24X7 basis in the past and we will continue to provide in future too, but what about provisioning customer care and marketing on 24X7 basis?

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SWOT Analysis of BSNL Strength : It has a competitive pricing policy. BSNL provides continuous training, career advancement opportunities and a self motivated work environment to its employees. BSNL has a corporate culture of mutual respect and is an excellent service provider. BSNL maintains solid partnerships with its customers.

Weaknesses : Although it is investing too much in R&D but its marketing skills are below average. Although it is growing very fast but at the same time it is losing its customers as well because the competitors are chasing close behind. Opportunities : BSNL can retain its customers by improving its marketing skills. It can establish a world-wide knowledge-broadcast system via the internet. The group can strengthen and expedite research & development in order to deliver products of top international standards. Threats : External factors like political instability and economic instability which are affecting the business environment. The other threats can be the market saturation in term of business opportunities available in the conventional telecom business.

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Chapter-4

REVIEW OF THE LITERATURE

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Courtesy Marketing Management (Philip Kotler)

Marketing research system


Marketing managers often commission formal marketing studies of problems and opportunities. They may request a market survey; a product- preference test , a sales forecast by region, or an advertising evaluation. Its the job of the marketing researcher to produce insight into the customers attitude and buying behaviour; marketing insights provide diagnostic information about how and why we observe certain effects in the marketplace, and what that means to marketers. Philip Kotler defines Marketing research as the systematic design, collection analysis and reporting of data and findings relevant to a specific marketing situation facing the company. Spending on marketing research topped $24 billion globally in 2006 according to ESOMAR, the world association of opinion and market research professionals. Most large companies have their own marketing research department, which often play crucial roles within the organisation. Procter & Gambles Consumer & Market Knowledge (CMK) market research function has dedicated CMK groups working for P&G businesses around the world to improve their brand strategy and program execution, as well as a relatively smaller , centralized corporate CMK group that focuses on a variety of big- picture concerned that transcend any specific line of business. Yet , marketing departments. Often at much smaller companies, everyone carries out marketing research including the customers. Companies normally budget marketing research at 1% to 2% of company sales. A large percentage of that is spent on the services of outside firms. Marketing research firms fall into three categories:

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1-syndicated-services research firms- these firms gather consumer and information which they sell for a
free. For example- the Nation Council for Applied Economic Research (NCAER), ACNielsen-ORGMARG, and IMR International. 2-Custom marketing research firms- They design an carry out research studies for various clients based on specific briefs. 3-Speciality-line marketing research firms- these firms provide specialized research services such as developing a research brief collecting field, and preparing data analysis and reports for other firms. A company can hire the services of a marketing research firm or conduct research in creative and affordable ways such as: 1- Engaging professors or students to design and conduct studies. Many large companies hire summer trainers from management institutes for cost-effective market research year after year. Awarding live projects to MBA students as part of their coursework is also a common practice.
2-

Monitoring published information and actions systematically. This may be done by examining newspapers, web sites, industry reports, and by visiting competitive outlets.

Most companies such as Fuji photo film, use a combination of marketing research resources to study their industries, competitors, audiences, and channel strategies.

The marketing research process

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Survey Research-

surveys are the best for descriptive research. Companies undertake survey to

learn about peoples knowledge, beliefs, preference, and satisfaction. It requires development of a survey. Usually a questionnaire which the respondent are asked to fill up.

QUESTIONNQIRE DOS AND DONTS


1-Ensure that questions are without bias. Dont lead the respondent into the answer.

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Make the questions as simple as possible. Questions that include multiple ideas or two questions in one will confuse respondents. Make the questions specific. Sometimes its advisable to add memory cues. For example, be specific with time periods. Avoid jargon or shorthand. Avoid trade jargon, acronyms, and initials not in everyday use. Steer clear of sophisticated or uncommon words. Only use words in common speech. Avoid ambiguous words such as usually or frequently have no specific meaning. Avoid questions with a negative in them. It is better to say. Do you ever...? than Do you never....? Avoid hypothetical questions. Its difficult to answer questions about imaginary situations. Answers arent necessary reliable. Do not use words that could be misheard. This is especially important when administering the interview over the telephone. What is your opinion of sects? Could yield interesting but not necessarily relevant answers.

Desensitize questions by using response bands. To ask people their age companies about employee turnover rates, offer a range of response bands instead of precises numbers. Ensure that fixed response does not overlap. Allow for other in fixed-response questions. Precoded answer will always allow for a response other than those listed.

Courtesy- BSNL website

Marketing strategies of BSNL

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Introduction. Our visions begin with our desires. Audre Lorde We all have some visions of ourselves and our future, and that vision creates consequences. More than any other factor, vision affects the choices we make and the way we spend our time. Visions drive consequences. Principles drive results. Key is to base vision on principles. Stephen R Covey.

It is true for individuals as well as organizations. The strongest form of vision / motivation is to base vision on What Legacy we want to leave. And to achieve it we must take a principled cantered path. History is full of examples that many organizations have vanished grown and vanished overnight as their path to achieve vision was not based on principled way. Vision of the organization can only be translated into reality, if it is shared by one and all. The best way to implement is to involve them in formulation. But even if it is conceived by higher management then it has to be explained to each and every individual of the organization, otherwise it may remain as a showpiece. Marketing vision of the BSNL has to be based on overall mission and vision of the organization.

Marketing Objective.
The ultimate objective of any marketing activity is to satisfy the customers and today even a step ahead i.e. delighting the customers, for which customers are offered something beyond their expectations from the service or the product. The objective being to acquire and retain the customers, who should continually feel that they are getting more value of the money, they are departing with. Marketing is the establishment, development, maintenance and optimization of long-term mutually valuable relationships between consumers and organisation. Successful Marketing focuses on

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understanding the needs and desires of the customers and is achieved by placing these needs at the heart of business by integrating them with the organisation strategy, people, technology and business processes. At its most basic, Marketing involves customers, organisations and relationships and the combination creates the need for the management. Marketing is about creating a competitive advantage by being the best at understanding, communicating, and delivering and developing existing customer relationships in addition to creating and keeping new customers. The concept of the product life cycle is giving way to customer life cycle, focusing on developing products that anticipate the future needs of existing customers and creating services that extend the existing customer relationship beyond the mere transaction. The customer life cycle will focus on lengthening the life span of the customer with the organisation rather than the endurance of a particular product. Customers have changing needs as their life styles alter- the development and provision of products and/or services that continuously seek to satisfy those needs is good Marketing. The Marketing will focus greater attention on how to deliver customer satisfaction and organisation will begin to structure itself around customer segments and not product lines. A good Marketing Strategy will take the business vision and apply it to the customer base. According to the Dictionary of Marketing Terms, 2nd edition, published by the American Marketing Association, c1995, Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives. Once marketing is understood, we can define marketing management process as analyzing marketing opportunities, researching and selecting target markets, designing marketing strategies, planning marketing programs, and organizing, implementing, and controlling the marketing efforts. In simple words it implies a buyer, a seller, bonded by the mutual need, satisfying offer and a medium/process to exchange the offer. 3. Marketing Process. We often talk of marketing & Sales and often use it interchangeably without understanding the difference in it. Marketing is everything we do to get and leverage a client relationship. Marketing process is broad and includes all of the following: v Discovering what product, service or idea customers want.
Sumit Singh (MBA-marketing 2008-10)

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v v v v

Producing a product with the appropriate features and quality. Pricing the product correctly. Promoting the product; spreading the word about why customers should buy it. Selling and delivering the product into the hands of the customer.

Selling is one activity of the entire marketing process. Selling is the act of persuading or influencing a customer to buy (actually exchange something of value for) a product or service. Marketing activities support sales efforts. 4. Contrasting the Sales Concept with the Marketing Concept:-

We Sell Confidence . The concepts surrounding both selling and marketing also differ. There is a need for both selling and marketing approaches in different situations. One approach is not always right and the other always wrong - it depends upon the particular situation. In a marketing approach, more listening to and eventual accommodation of the target market occurs. Twoway communication (sometimes between a salesperson and a customer) is emphasized in marketing so learning can take place and product offerings can be improved. A salesperson using the sales concept, on the other hand, sometimes has the ability to individualize components of a sale, but the emphasis is ordinarily upon helping the customer determine if they want the product, or a variation on it, that is already being offered by the company. In the sales approach, not much time is spent learning what the customer's ideal product would be because the salesperson has little say in seeing that their company's product is modified. Furthermore, they aren't rewarded for spending time listening to the customer's desires unless they have a product to match their desires that will result in a sale. The 7Ps for service marketing (Product, price, place, promotion, physical evidence, people & process) are the means to attain, nurture, & retain the customers and not the end.

5. Mission & Vision. Here is a test to find whether your mission on earth is finished, If you are alive, it isnt.
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Richard Bach. Most of the big companies have a Vision & Mission statement so as to guide their all energy, efforts to realize it. BSNL also has a vision To become the largest Telecom Service provider in South East Asia. Firstly we need to understand the parameter for being the largest. Is it revenue, ARPU, profit, subscribers, Network (no of exchanges, BTS etc)? From monopoly to multi operator scenario, BSNLs market share is bound to reduce. But how much down we will let it? There are lot of similarities between British Telecom & us. One must keep watch on market share in monthly growth and take timely action. To improve our share, we need to acquire more than 50% of new acquisitions while maintaining earlier. This is quite challenging in this dynamic environment. Today landline base is reducing across globe, but why? Europe defines an operator with 25% or more market share as Significant market Power (SMP), while they intend to increase it to 40%. BSNL has been the largest operator and we must strive not only to maintain but enhance it. We need to act fast. Timely action is an essence. What should be our marketing Vision, will it help us in inspiring to achieve higher. Can it be something such as To retain the highest market share, build highest brand equity and maximizing the profits? 10. Summary Vision is set in the Boardroom but realized in the battlefield. Each and every employee has to continuously lead this battle to be victorious. The corporate office is always willing to provide all resources. Together we can realize our vision. My philosophy is that not only are you responsible for your life, but doing the best at this moment puts you in the best place for next moment. Oprah Winfrey. Extension Of Marketing Strategy-Step Into Retailing BSNL seeks modern retails help to offer products and services BSNL is looking at modern retail chains to sell its products and Services. This is extension of the company aggressive marketing strategy. BSNL will enter into retailing agreements with the retail chains or leaders of consortium of retail chains that operate at least a 50 retail outlets across the country and have achieved an annual turn over of minimum Rs 50 core for the past two years.
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The agreements to be entered into for an initial period of two years will be for sale of sell of SIMs, instruments and other telecom products as well as telecom services being offered by the company across the country except in Mumbai and Delhi. Interestinglly, in these metro cities MTNL, a listed company of the government, is offering similar services. It would be possible to extend the validity period of the retail agreements in tune with the norms fixed by the company. The retailers while offering the products and services will be required to adhere to norms of verifying customer ID, etc, set out by the government. The licencee retailers will have to obtain duly singed, filled-in application forms together with identity proofs with advance payment for product and services from the customers for submission to the company. BSNL Future plan This year BSNL is hopeful of doing better in mobile as it has extra capacities in northern, eastern and southern region. BSNL presently has 46 million mobile connection and is planning to add 30 million in future. On the broadband front, it presently has 3.55 million subscribers. For wire line broadband services, the company has strong pan India coverage in terms of cities, districts, blocks and villages. Overall it has covered 4,200 cities and 40,000 villages as 21, 000 out of 28,000 rural exchanges have been broadband enable. . BSNLs Expansion with Nokia The expansion will enable BSNL to significantly increase its network coverage and capacity in the states of Jammu & Kashmir, Haryana, Uttaranchal, Uttar Pradesh (both east and west circles), Himachal Pradesh and Rajasthan. It gives BSNL the chance to introduce the benefits of mobility to 2 million new Indian subscribers, and underscores Nokias commitment to the dynamic Indian market. This is an important network expansion to BSNL as it strive to offer the best network coverage and capacity to its subscribers. Nokias operations in India include networks and terminals sales division, three Research and Development facilities and an upcoming manufacturing facility in Chennai that will produce both terminals and GSM infrastructure equipment. Nokia also plane to open a Global Networks operation Center in India by the end of the year.

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PROJECT VIJAY Mobility Pilot Project Vijay - Mobility sales and distribution project (retailers survey) is being piloted in UP (East) Telecom circle. The key objectives of the pilot are to A. Design channel structure B. Create channel management team C. Develop improved channel norms to improve retailer reach, create appropriate incentives and improve performance monitoring of channel D. Implement proposed channel structure for franchisee network E. Test other recommendations on tariff and handset bundling, if appropriate Key activities identified & initiated 1. Conduct comprehensive retailer survey to: Map existing telecom retail universe in pilot SSAs Measure BSNL's reach and extraction in different types of outlets to identify improvement opportunities 2. Assess evolution of mobile market in pilot geographies over the next 5 years Calculate overall and addressable market potential for BSNL Help BSNL set the right targets for the franchisees and sub-franchisees

3. Design the overall distribution channel set up for mobiles including franchisees, sub-franchisees and retailers 4. Create a new channel management team comprising BSNL employees to Manage franchisees and sub-franchisees (FMT) Interact with retailers (RMT)

5. Revise existing channel management norms and processes (e.g., retailer service frequency, ordering and delivery process, audit norms, etc.) 6. Define key metrics for success and set up a rigorous monitoring mechanism

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Scope of Project Vijay Expand reach ensure availability of BSNL products at more than 95% of telecom retail outlets capture significant share (25-30%) of retailer's counter sales (increase extraction) Build distinctive channel management capabilities nurture and build strong and viable channel partner network

Chapter-5
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RESEARCH METHODOLOGY

Research Methodology:1 Research Problem

To find the performing of BSNL vis--vis other companies like Reliance, Idea, Airtel, Vodafone In and TATA Indicom.

To know the consumer perception and their behaviour towards BSNL services. To find out if the retailers are not satisfied with the commission provided by BSNL. To find whether they sell the BSNL products or not, if no then why? To find whether the distributers visit the market and supply the products to the retailers To find out how much commission the other companies provide to the retailers?

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2 Research Objectives To know the preference of BSNL services with other competitive companies. To know whether the distributers are doing their duty or not? To find out what should be done to create the awareness about the products

3 Information Requirement First I had to know about the entire competitor present in telecom services segment (reputed and well established companies). Before going for the survey I had to know the comparative services and rates of all the competitors existing in the market. Because at the time of retailers interview they used to ask several questions regarding BSNL services and schemes. I had to know about the distributers and the respected areas they were dealing in. these were some of the informations that I must know to make the interview interactive and interesting.

4 Choice of Research Design Despite the difficult of establishing an entirely satisfactory classification system, it is helpful to classification marketing research on the basis of the fundamental objectives of the research. Consideration on the different type, their applicability, strengths, and their weakness will help to select the type best suited to a specific problem.

The two types of researches are: Exploratory Research Conclusive Research

5 Research Instrument used

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If one wants to know that how much people buy a particular brand or what they think about the brand or a particular company. Thus the questionnaire method has come to be the more widely used of the true data collection method. The questionnaire method in general has a number of advantages. A questionnaire consists of list of questions to be asked from the respondents and the space provided to record the answer.

Questionnaire in the project consists of: Multiple Choice questions question of this type offer the respondents an alternative to choose right answer among other. Sample design is a definite plan of obtaining some items from the whole population. The sample design used in this project is: Convenience Sampling This type of sampling is chosen purely on the basis of convenience of the interviewer.

Sampling

Sampling technique Sample units

Non- probability sampling People who are selling Telecom products

Sample size

100 respondents (age ranging

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Between 18 years to 65 years) Method Direct interview through Questionnaire


Data analysis method Area of district Timing of survey

Graphical method Lucknow/Allahabad district 9:00 AM to 8:00 PM

7 Field Work Method used for data collection Questionnaire was prepared keeping the objective of research in mind. Questions were asked to the respondents as regards to their willingness to use BSNL services. The help of questionnaires conducted direct interviews, in order to get accurate information. In order to get correct information I had to approach consumers ranging from 18 years to 65 years

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Chapter-7

DATA ANALYSIS AND INTERPRETATION

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Primary Tabulation & Interpretation on the basis of Questionnaires

1-Do you sell SIM cards (of any brand)


Yes-95% No-5%

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Interpretation- This was the very first question of the Questionnaire. It was found that maximum number of retailers sells the SIM cards but some of them do not deal with SIM cards, their concentration was only towards recharge

2-Do you sell recharges coupons (of any brand)?


Yes- (paper recharge) 90% Yes-(electronic recharge) 80% No- 10%

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Interpretation- The second question was about recharge coupons, whether the retailers sell ot or not or they only deal with SIM cards and E-TOP up. It was found that 90% of the retailer sell paper recharge and 80% of them were dealing with electronic recharge and 10% of them did not sell any kind of recharge. It was a general question for all the telecom brands. This was not a specific question about BSNL it was to get a brief idea about the shop dealing.

3-Do u sells BSNL SIM cards & recharge coupons?


Yes- 60% No-40%

Interpretation- this question was to know whether they deal with BSNL mobile connections or not. I found that 60% of the retailers deal with BSNL connections whereas 40% of the retailers do not entertain

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in BSNL connections. All the retailers had their own reasons not to deal with BSNL SIM cards. But it was very much because of BSNLs week marketing strategy and unavailability of the required products. Again there are a lot of problems with the BSNL network, therefore customer do not show there interest towards BSNL and switching to other companies.

4-Who is the supplier of BSNL SIM cards to you?


A-Distributers B-Big Retailers C-No one

Interpretation- the question was to found that who the distributer of that area. Whether they are being able to fulfil the market demand or not and what kind of behaviour they have towards retailers. I found that

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none of the BSNL distributer deal properly. Retailers themselves have to go there and get the things they need. Demand of BSNL in the market is very high but because of unavailability of the products customers switch to other service provider. This is again not a good sign of good marketing. These are some of the reasons why people are losing their trust from BSNL and switching over other service provider.

Question-2 What all in you deal with along with the telecom products?

Interpretation- because telecom industry is a booming industry therefore each and every business person are dealing with this why not they have any running business. Therefore people are not only running the
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separate telecom business but also doing this business in their running business shop or store. Today you can find telecom products in medical store also and not only in medical store but also in stationary store, agriculture store, general store and electronic stores also. There are some more business store where one can find telecom products

Question-3
Would you like to provide me some information regarding the selling of new mobile connections which you made in last month?

Interpretation- when the research was completed we took the sample of the selling of SIM cards and divided it into parts as per retailers information. I found that customer shown their interest in Vodafone

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services more than any other company, BSNL also got good percentage but not satisfactory, as per the companys potential. This can be increased by improving marketing strategy and implementing that in a proper way.

Question -1 Would you like to provide some information about the total selling in terms of the money in the last month?

Interpretation- in terms of sales BSNL is not too behind than Airtel, which was the best gainer of the last month, BSL can do much better than this if it come back with its full potential. This is not the exact figure

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of the selling but an approximately idea. BSNL has a strong customer base the only thing is needed to make BSNL the Indias number one company is proper implementation of the marketing strategies.

Question-4 What are the reasons if you dont sell BSNL SIM cards?

Interpretation- when I asked this question to the retailers they respond me in a straight way that none of the distributer come here to supply the products we have to go to the distributer for the SIM cards this was

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the main reason of not selling the SIM cards. There were also some factor affecting the selling of the SIM cards, second reason was the commission provided by the BSNL, they were not satisfied with it. Some of the retailers had different thoughts about this as per them the activation process is very lengthy and critical therefore they do not entertain selling BSNL SIM cards.

Question-5 How many times the distributers visit to your shop to supply the telecom products?

16 14 12 10 8 6 4 2 0 How m any tim distributers visit the shops in a m es onth BSNL Airtel Vodafone Idea Reliance

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Interpretation- It was found that BSNL distributer are very lazy and not interested in roaming around in the market this is one of the main factor why BSNL is no longer the number one telecom company in INDIA whereas others companys distributer visit the market very often to fulfil the demand in the market and they try to get some information if there is any problem regarding the services and products. Retailers were very upset about the kind of behaviour BSNL persons do with them

Question-6 Do the officials of telecom companies visit the shop?

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Interpretation- The question was to know whether the officials of telecom companies visit the market for better understanding about the market scenario or not, it was found that only 10% retailers said that BSNL officers visit the market once in a year or two, rest of the 90% retailers pointed that no one come from BSNL office to visit the telecom market. Airtel held the first position in this area

Question-7 What kinds of promotional material are there at the shop?

Interpretation- all the other telecom services provider has distributed their promotional materials at the shops; they themselves go there to install glow sign boards banner posters and any other promotional material whereas I did not find any

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kind of BSNLs promotional material at any shop where I took the interview. If there is no promotional material at the shops how the customers will come to know that what are the current plans and what are the plan prices. So here BSNL is missing the very important P among the 4Ps of marketing which is affecting BSNLs sales and revenue.

QUESTION-8 How much commission retailers get from the telecom companies?

Interpretation- BSNL gives good commission to the retailers but they are still not satisfied because they feel that BSNL is making a huge profit therefore it must

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increase the commission this will help retailers to promote BSNL services among the customers.

\ Chapter-7

FINDINGS

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Finding in the research: The session was very powerful exercise to increase knowledge about recent environment, various schemes of the company. It helps to team spirit. It was found in the research that there were no promotional material at any telecom shop related with BSNL whereas all the other companies had their banner, posters and many more promotional material in bulk at the shops.

BSNL distributer never visits to the market. No one can take action against them because of being a legal distributer even if they dont perform their duty.

BSNL is still in demand and has a strong customer base BSNL has a weak marketing strategy.

After getting the questionnaire filled it was found that more than 80% of the respondents were dealing with BSNLs products like SIM cards, recharge, internet connections etc. It shows that people are using and liking BSNLs services. But it was also found that most the respondents were not in the favour of its network availability, roaming services and call rates. It shows that BSNL must take a step to improve it.

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On the basis of questionnaire it was found that BSNL customer care facility is so poor. So BSNL should increase its customer care facility to remove the grievances of customers. People are not satisfied with its services so that for existence in the local market BSNL must provide better services than its competitors. The retailers also mentioned that there neither banner nor posters nor hoardings of BSNL whereas on the other hand all the other companies distributes these kind of promotional material ant install themselves at the shops so that customers can know the present plans and prices. BSNL is lacking in this part of promotional strategy. BSNL have to make sure that the product should be available at the shops as the other companies do

Chapter-8

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LIMITATIONS

1. Limited time available for getting the questionnaires filled from the respondents. As a result of this it was not possible to get full information about the respondents. 2. As summer training is going under summer season so some time people are less interested in filling up questionnaires.

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3. Non-cooperative approach and rude behavior of the respondents. 4. If the respondents answer does not falls between amongst the options given then it will turn up to be a biased answer. 5. Contacting potential respondents and if they were not using internet services then moving on to other respondents was very time consuming.

Chapter -9

RECOMMENDATION & SUGGESTIONS


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RECOMMENDATION & SUGGESTIONS

After getting the questionnaire filled, it was found that although BSNL is providing a lot of services but due to its weak marketing strategy people are not aware about its services. So BSNL must take a step or adopt aggressive promotional activity for selling out of these services.

People are not satisfied with its services so that for existence in the local market BSNL must provide better services than its competitors.

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Though BSNL advertisement is rarely shown on television yet many people could recall it as per the data of questionnaire. It shows that there is only need to give advertisement only to rememorize customers. Because BSNL is very strong brand name.

Company should launch its new services with improved quality. Company should introduce promotional schemes like prepaid cellular service with low tariff rates and low call rates.

Try to change the perception of the people through Word Of Mouth that BSNL is good telecom service provider. Its progress is lower than other companies because TRAI has fully control over it.

SUGGESTION TO THE PRESENT SYSTEM OF MARKETING IN BSNL :BSNL products for sale, banner as well as publicity materials are collected by the Field units from the SSA head quarter. The marketing term has no assessment about the requirement of the CSCs (common Service centre). Most of the CSCs are away from the SSA headquarters. This resulted considerable delay and wasting of man power. To over from this situation, the distribution work needs to be taken up by the marketing section team in the present scenario. This facilitates the team:

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1) To know the requirement of the concerned CSC (Common Service system). The team can review the flow of the customer and their requirement and if necessary rearrangement of the non-moving items from this CSC. 2) The team can collect the sale products for which the stock is made over to the CSC. 3) The advertisement material can be handed over to the CSC and should also be monitored about its display. 4) The marketing team (Sales team) can also distribute the stock to the concerned DSC and the relation with DSCs can be established. Since the stock available at door steps of the DSCs, the DSC need not come to the premises of BSNL for stock. 5) The marketing team (sales team) can arrange the feed back to the concerned in-charge about the customer pluse and their requirement. The GM/DGM/DE (marketing) should monitor the sales and its accounting on weekly basis. The head of the SSA need not to call all the nodal officers/in-charges of the CSCs for meeting. Instead of this, field meetings with the concerned officials can be arranged on teleconference or on the spot.

NEED A NEW MARKETING STRATEGY IN MOBILE SEGMENT BSN L has to take every effort to increase the market share. BSNL has to think seriously how to improve its service. At the same time each and every employee of BSNL has to think about the marketing strategy of BSNL. Its huge manpower can be plunged in to action. Whether it is improvement of quality of service or marketing, it cannot leave it to the management to take the initiative. It will have to start aggressively to ensure that the service is improved. It has also to pressurize the management to take necessary steps.

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The fact is that being a Govt. owned company, people generally have trust and good will in BSNL. Common people still believe that BSNL dose not involve in cheating and unfair business practices like private operator. Even the customers who had earlier switched over to private operators are ready to come back to BSNL, provided BSNL service is improving to their satisfaction. But BSNL must try to improve its GSM equipped capacity and also basic as well as Broadband connections

CONCLUSION : The main objective of the training is to get direct exposure to the execution of day to day functioning of the department within the organization. It helps to understand the importance of team work, organizational culture, team dynamics, result orientation, organizational pressures complexities in achieving the desired results.

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The work assigned by the company is to make questionnaire on the topic of comparative study of BSNL with its competitors. And get it filled with the respondents. This questionnaire was basically made to know that where BSNL is actually stand in the eyes of its customers.

After getting the questionnaire filled, it was found that although BSNL is providing a lot of services but due to its weak marketing strategy people are not aware about its services so BSNL must take a step or adopt aggressive promotional activity for selling out of these services.

People are not satisfied with its services so that for existence in the local market BSNL must provide better services than its competitors.

BIBILEOGRAPHY Websites
12345-

www.google.com www.bsnl.co.in www.wikipedia.com www.scribd.com www.mymba.com

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Books
1-

Marketing Management (Philip Kotler)

2- Research Methodology

Secondary sources 3- BSNL files

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