ACKNOWLEDGEMENT

This project would never had been an achievable task, had I not been under the great shelter of guidance of respected Mr. Nishant Gambhir. His simplified teaching technique based on examples had helped me gain more understanding of the subject. The very essence of the project work is the linguistic precision which has an impact of conveying more detail in least possible words. I am very much grateful to Mr. Navpreet Singh Kaushal for their unfailing co-operation. I am very much under obligation to mention here, the contributions of my batch mates who have, knowingly or unknowingly, provided me the competitive edge which is the driving force of the whole labour and extra labour put into the project. I would also take an opportunity to thank all the respondents, who have taken pains in answering the questions and filled the place of true representatives for deciding the nature of the problem.

ANIL KUMAR

1

INTRODUCTION
Exactly ten years ago, Jyoti Basu in Calcutta called Sukh Ram in Delhi in what was the first mobile phone call in India. Brick sized cell phones used to cost Rs. 45,000 and each call costed Rs. 16.5/minute. Back then, cell phone was a status symbol. Today, there are over 60 million mobile connections in India (expected to double in number in next 12 months). A local call costs around less than Rs 1/min and a cell phone can be purchased for less than Rs. 2000

2

CONCEPT
TELECOM SECTOR: A GLOBAL SCENARIO
The Indian telecom market has been displaying sustained high growth rates. Riding on expectations of overall high economic growth and consequent rising income levels, it offers an unprecedented opportunity for foreign investment. A combination of factors is driving growth in the telecom market, promising rich returns on investments.

• • •

India is the fourth largest telecom market in Asia after China, Japan and South Korea. The Indian telecom network is the eighth largest in the world and the second largest among emerging economies.

The Indian telecom market size of over US $ 8 billion is expected to increase three fold by 2012. The expansion of the telecom industry in India has been fuelled by a massive growth in mobile phone users, which has reached a level of 10 million users in December 2002, an increase of nearly 100 per cent in 2002.

This exponential growth of mobile telephony can be attributed to the introduction of digital cellular technology and decrease in tariffs due to competitive pressures. For the first time in India, the growth of cellular subscriber base has exceeded the fixed line subscriber base. However, cellular penetration is still 1 per cent as compared to world average of around 16 per cent.

3

INDIAN TELECOM SECTOR
Indian Telecom sector, like any other industrial sector in the country, has gone through many phases of growth and diversification. Starting from telegraphic and telephonic systems in the 19th century, the field of telephonic communication has now expanded to make use of advanced technologies like GSM, CDMA, and WLL to the great 3G Technology in mobile phones. Day by day, both the Public Players and the Private Players are putting in their resources and efforts to improve the telecommunication technology so as to give the maximum to their customers.

The Indian telecom sector can be broadly classified into Fixed Line Telephony and mobile telephony. The major players of the telecom sector are experiencing a fierce competition in both the segments.

The major players like BSNL, MTNL, VSNL in the fixed line and Airtel, Vodafone (Hutch), Idea, Tata, Reliance in the mobile segment are coming up with new tariffs and discount schemes to gain the competitive advantage.

The Public Players and the Private Players share the fixed line and the mobile segments. Currently the Public Players have more than 60% of the market share.

4

OBJECTIVE
 The purpose of the project is to get better knowledge about the retailers behavior towards MTS in the telecom sector in today’s scenario because this sector is at the booming stage.  To identify and analyze whether the company is communicating in the market positively or not. (MARCOM Analysis)

5

DATA COLLECTION • Primary data sources like use of questionnaire are included for collecting primary data. 6 .

A small sample size has a greater probability that the observation just happened to be particularly good or particularly bad. The basis of selection of sample for the study was vague. Therefore it is harder to find significant relationships from the data.so know people are making their new generation literate  Lack of contact with company personnel acted as hindrance in the study.  Literacy level: In earlier days people don’t prior their children’s on studies but firstly let their children’s learn business techs but now things are changing people are know understanding that due to lack in studies they are lacking behind .LIMITATION OF THE STUDY The study has following limitations: Due to sample size: The sample size of our project is particularly small. 7 .  The study is based on the limited knowledge & information provided by the marketing personnel’s and individuals who were available for interview. as statistical tests normally require a larger sample size to justify that the effect did not just happened by chance alone. Randomly individuals were picked up to provide their responses on the questionnaire.

and mobile commerce. Camera's. etc. video generators. multimedia applications. CDMA. with the provision of broadband services in the fixed line segment and GPRS in the mobile arena.  Mobile phone providers have come up with GPRS – enabled multimedia messaging. 8 . long distance calls and the international calls. PLAYERS AND TRENDS Both fixed line and mobile segments serve the basic needs of local calls. The value added services provided by the mobile service operators contribute more than 10% of the total revenue.  Radio services have also been incorporated in the mobile handsets.  The much-awaited 3G mobile technology has entered in the Indian telecom market. along with other applications like high storage memory. WLL service providers are all upgrading them to provide 3G mobile services.  The GSM. internet surfing. Traditional telephones have been replaced by the codeless and the wireless instruments. MP3 Players. multimedia games.MARKET – SIZE.

landline telephony is likely to remain popular. too. has recently taken some bold initiatives to retain its market share and. both local and long distance. if possible. and with slashing down the roaming rentals. expand it. in the foreseeable future. 9 . This is likely to lead to even more people going for cellular services and more and more use of the value added services.  However. the largest landline service provider. The 2009 budget has brought further relief to the customers with the reduction in the tariffs. MTNL.

cellular (GSM and CDMA) mobile. with a share of 21 per cent of the entire subscriber base BHARTI Established in 1985. is now planning to overtake Bharti to become the largest GSM operator in the country. 1995 for promoting investments in telecommunications services. which became the third operator of GSM mobile services in most circles. The state-controlled BSNL operates basic. ranging from being the first mobile service in Delhi. It has a network of over 45 million lines covering 5000 towns with over 35 million telephone connections. BPL Mobile. Bharti has been a pioneering force in the telecom sector with many firsts and innovations to its credit. BSNL. Spice Communications) BSNL On October 1. Escotel. BSNL will be expanding the network in line with the Tenth Five-Year Plan (1992-97). BSNL is also the largest operator in the Internet market.9 per hundred by March 2007.) • -Foreign invested companies (Hutchison-Essar. Bharti Tele-Ventures Limited was incorporated on July 7. Bharti Tele-Ventures. first Indian company to provide comprehensive telecom services outside India in Seychelles and first private sector service provider to launch National Long Distance Services in India. 10 . Government of India became a corporation and was renamed Bharat Sanchar Nigam Limited (BSNL). first private basic telephone service provider in the country. Internet and long distance services throughout India (except Delhi and Mumbai). Tata Teleservices.MAJOR PLAYERS There are three types of players in telecom services: • -State owned companies (BSNL and MTNL) • -Private Indian owned companies (Reliance Info com. The aim is to provide a telephone density of 9. BSNL is now India’s leading Telecommunications Company and the largest public sector undertaking. 2000 the Department of Telecom Operations. Idea Cellular.

and Mumbai. widening the cellular and CDMA-based WLL customer base. fixed line. data. MTNL faces intense competition from the private players—Bharti. which handles the NLD.000 fixed line customers. In the year 2003-04. MTNL MTNL was set up on 1st April 1986 by the Government of India to upgrade the quality of telecom services. entering into national long distance operation. of which 5.25% stake in the company.000 km of optical fiber cables across the country. The Govt. which handles the mobile services in 16 circles out of a total 23 circles across the country. broadband. with a focus on providing mobile services”. MTNL 11 . the company's focus would be not only consolidating the gains but also to focus on new areas of enterprise such as joint ventures for projects outside India. Together they have so far deployed around 23. the political capital.86 million are mobile and 588. 2004. and presence in around 200 locations. setting up internet and allied services on an all India basis. Reliance Info com—in mobile services. In mobile. Bharti Tele-Ventures' strategic objective is “to capitalize on the growth opportunities the company believes are available in the Indian telecommunications market and consolidate its position to be the leading integrated telecommunications services provider in key markets in India. introduce new services and to raise revenue for telecom development needs of India’s key metros – Delhi. In the past 17 years.Its subsidiaries operate telecom services across India. expand the telecom network. as of January 31. and satellite-based services. coupled with approximately 1. ILD. of India currently holds 56. the company has taken rapid strides to emerge as India’s leading and one of Asia’s largest telecom operating companies. the business capital.374 mobile subscribers. Bharti’s operations are broadly handled by two companies: the Mobility group.500 nodes. MTNL has over 5 million subscribers and 329. Bharti’s footprint extends across 15 circles. Hutchison and Idea Cellular. The group has a total customer base of 6.45 million. The company has also been in the forefront of 5 technology induction by converting 100% of its telephone exchange network into the state-of-the-art digital mode. While the market for fixed wire line phones is stagnating. and the Infotel group.

it has now acquired a unified access license for 18 circles that permits it to provide the full range of mobile services. Reliance Info com offers a complete range of telecom services. 63. TATA TELESERVICES Tata Teleservices is a part of the $12 billion Tata Group. hospitals. fixed. Reliance Info com plans to extend its efforts beyond the traditional value chain to develop and deploy telecom solutions for India's farmers.html). data services and a wide range of value added services and applications. Until recently. national and international long distance services.2 billion ($1. Reliance India Mobile. Reliance was permitted to provide only “limited mobility” services through its basic services license.recorded sales of Rs. government and public sector organizations.3 million shareholders.com/newsitem2. However.38 billion) in the year 2002-03. It is also an integrated telecom service provider with licenses for mobile. It has rolled out its CDMA mobile network and enrolled more than 6 million subscribers in one year to become the country’s largest mobile operator. Having captured the voice market. 60. RELIANCE INFOCOMM Reliance is a $16 billion integrated oil exploration to refinery to power and textiles conglomerate (Source: http://www. using CDMA technology in six circles: 12 .000 employees and more than 2.92 billion. a decline of 5. it intends to attack the broadband market. covering mobile and fixed line telephony including broadband. domestic long distance and international services. 2002. which has 93 companies.ril.8 per cent over the previous year’s annual turnover of Rs. It now wants to increase its market share and has recently launched pre-paid services. the first of Info com's initiatives was launched on December 28. over 200. businesses. Tata Teleservices provides basic (fixed line services). This marked the beginning of Reliance's vision of ushering in a digital revolution in India by becoming a major catalyst in improving quality of life and changing the face of India.

Gujarat. which enables it to provide fully mobile services as well. M/s Panatone Finvest Limited as investing vehicle of Tata Group owns 45 per cent equity and the overseas holding (inclusive of FIIs. New Delhi. VSNL On April 1. The Indian Government owns approximately 26 per cent equity.a wholly Government owned corporation . 5. These circles include Bihar. For this. The company's ADRs are listed on the New York Stock Exchange and its shares are listed on major Stock Exchanges in India. Its revenues have declined from Rs. and Karnataka. Tamil Nadu. submarine cable systems. and value added service nodes to provide a range of basic and value added services and has a dedicated work force of about 2000 employees. Andhra Pradesh. Kerala. the company is investing in Tata Teleservices and is likely to acquire Tata Broadband. coupled with the six circles in which it already operates.17 billion ($90 million) to DoT for 11 new licenses under the IUC (interconnect usage charges) regime. SEA-ME-WE-2 and SEA-ME-WE-3.62 billion) in 2001-02 to Rs. VSNL has also started offering domestic long distance services and is launching broadband services. It has now migrated to unified access licenses. by paying a Rs. The company is also expanding its footprint. FLAG. VSNL's main gateway centers are located at Mumbai.g. To reverse the falling revenue trend. Himachal Pradesh. The new licenses. Kolkata.45 billion ($120 million) fee. 13 . the Videsh Sanchar Nigam Limited (VSNL) . Haryana. Rajasthan.1 billion) in 2002-03. 4.000 subscribers. 70. Foreign Banks) is approximately 13 per cent and the rest is owned by Indian institutions and the public. New Delhi. It has over 800. with voice revenues being the mainstay. The company provides international and Internet services as well as a host of value-added services.89 billion ($1. switches.was born as successor to OCS. and has paid Rs. virtually gives the CDMA mobile operator a national footprint that is almost on par with BSNL and Reliance Info com.12 billion ($1. The international telecommunication circuits are derived via Intelsat and Inmarsat satellites and wide band submarine cable systems e. The company hopes to start off services in these 11 new circles by August 2004. Uttar Pradesh (East) & West and West Bengal. 48. Punjab. The company operates a network of earth stations. Kolkata and Chennai. ADRs. Orissa.Maharashtra (including Mumbai). 1986.

Hutch acquired further operator equity interests or operating licenses.” or regions. Hutch India has benefited from rapid and profitable growth in recent years. in Western India. has a new ownership structure and grand designs to become a national player. and has received additional GSM licenses to expand its network into three circles in Eastern India -. IDEA operates in eight telecom “circles.5 million customers by the end of June 2006. it now provides mobile services in 16 of the 23 defined license areas across the country. it had over 17. Commercial operations began in November 1995.the first phase of a major expansion plan that it intends to fund through an IPO. With the completion of the acquisition of BPL Mobile Cellular Limited in January 2006. 14 .HUTCH (VODAFONE) Hutch’s presence in India dates back to late 1992. but in doing so is likely to become a thorn I the side of Reliance Communications Ltd. IDEA Indian regional operator IDEA Cellular Ltd. according to parent company Aditya Birla Group. Between 2000 and March 2004. when they worked with local partners to establish a company licensed to provide mobile telecommunications services in Mumbai.

15 . A host of factors are contributing to enlarged opportunities for growth and investment in telecom:  an expanding Indian economy with increased focus on the services sector  population mix moving favorably towards a younger age profile  urbanization with increasing incomes Investors can look to capture the gains of the Indian telecom boom and diversify their operations outside developed economies that are marked by saturated telecom markets and lower GDP growth rates. manufacturers and associated services companies. infrastructure vendors.OPPURTUNITIES India offers an unprecedented opportunity for telecom service operators.

starting from the network launch on 30th September 2008. As of May 2011. covering India’s 28 states and 7 union territories. The new head office of Sistema Shyam TeleServices was established in January 2009 in Gurgaon – one of India’s commercial capitals near Delhi. The company obtained its pan-India license for provision of mobile services in March 2008 and at present has enough spectrums to provide mobile telephony services in 22 telecom-circles. These new headquarters combine the functions of corporate office and technology center. the MTS brand has been successful in every market it has stepped into. SSTL is a joint venture between Sistema and the Shyam Group of India.5 . The company continues to implement its strategy of pan-India mobile network construction.7%). Sistema Shyam TeleServices has over 1 million users spread over more than 600 cities in Rajasthan. SSTL obtained a unified pan-Indian license to provide cellular services in March 2008 and now has spectrum in 22 Indian circles. Sistema Shyam TeleServices is majority-owned by Sistema (73. Presently SSTL has more than 500. was founded in 1998 (original name – Shyam Telelink Ltd. The MTS brand is in the top 100 list of global brands according to BRANDZ rating of Financial Times in Millward Brown.) and started full-scale business in Rajasthan in 2000.000 fixed-line and mobile subscribers in the state of Rajasthan and continues to further expand its network and develop its service offering. with the aim to cover over 35 million subscribers with its services (almost 7% of Indian market. Since March 2009.12% per month.MTS: AN INTRODUCTION Sistema Shyam TeleServices Ltd. with a population of 130 million. And since its launch. The subscribers’ base growth in Rajasthan has been 8. 247 cities in Kerala and 250 towns in West Bengal (including Kolkata). Sistema Shyam TeleServices has been able to use the MTS brand for advertising and other communication in India as per the agreement signed between the company and MTS in December 2008. 16 . Sistema Shyam TeleServices Limited (SSTL) was founded in 1998 and started its operations in the state of Rajasthan in 2000. 373 cities in Tamil Nadu (including mega polis Chennai). where top management and experts of different divisions are equipped with the most modern infrastructure to support their work.

general economic conditions.” “believe. including. rapid technological and market change in our industries. our competitive environment. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements.” “intend.” “estimate. You can identify forward looking statements by terms such as “expect. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events.Some of the information in this press release may contain projections or other forwardlooking statements regarding future events or the future financial performance of Sistema. 17 .” “may” or “might” the negative of such terms or other similar expressions. as well as many other risks specifically related to Sistema and its operations. risks associated with operating in Russia.” “will.” “could.” “anticipate. In addition. We wish to caution you that these statements are only predictions and those actual events or results may differ materially. there is no assurance that the new contracts entered into by our subsidiaries referenced above will be completed on the terms contained therein or at all. among others.

MISSION We create business leaders in service industries. mainly in high-tech sector. intellectual and management resources into business and economic development of Russia to achieve a success in the accomplishment of its mission. Sistema invests best finance. Our mission meets the expectations of our shareholders as well as society's interests. 18 .

Board materials will be first reviewed by the Management Board and Board committees before being distributed. which determines the structure and competencies of its governing bodies. maintaining an engaged and professional board of directors and maintaining a consistent approach to all issues concerning the Corporation’s management. Board committees are operational at the Board level. corporate governance and corporate social policy. and ethical principles in its relationship with partners. Its system of corporate governance is based on several core principles: transparency in all business processes for our investors and partners. including strategic management. This will entail preparing more thorough materials in the run up to the Board’s meetings and limiting the number of invitees to the Board’s meetings. special committees are operational at the President level to make policy recommendations. Sistema applies these principles to all company processes and procedures. financial accounting and reporting. governments. The Company’s organizational structure is built on the basis of operational management. A new set of procedures was adopted by the Board of Directors in October 2007 to increase the effectiveness of the Board’s meetings. identifying key issues and establishing bodies with the necessary competencies to resolve them. collective decision making. HR policy. social responsibility. Sistema’s processes and procedures are codified in the Company’s Charter. President and Management Board. employees. Throughout 2007 the Company made several strides to further the development of its corporate governance structures. The new rules also institutionalize constant flow of information between management and the members of the Board of Directors between the 19 . audit. Board of Directors.Corporate Governance Sistema was among the first Russian companies to recognize the value of strong corporate governance and remains a leader in informational openness and transparency. The changes call for a slight reduction in the number of planned meetings per year and improving preparation and organization processes. Sistema’s main governing bodies are the General Meeting of Shareholders. and shareholders. risk management. The Company’s Corporate Code and Code of Ethics contain additional commitments that Sistema has made in terms of promoting openness.

The results have been used to create action plans to further the development of its subsidiaries’ corporate governance systems. The methodology relies on concepts used by ratings agencies such as Standard & Poor’s. Moody’s and Expert RA.Board’s meetings. Sistema launched an internal corporate governance rating system in June 2007 to measure the effectiveness of corporate governance at its subsidiaries. 20 .

These principles call for an increase of the share of privately held businesses in the portfolio. the so-called Criteria Base. Sistema initiated several investment projects and M&A transactions in its fast growing businesses of Financial Services. The Corporation sets targets for them. Investing in Growth In 2007 the Board of Directors approved the principles of the portfolio strategy proposed by the management. Retail. 21 . We acquired control in Indian mobile and fixed-line operator Shyam Telelink with the goal of entering the rapidly growing Indian telecommunications market. and monitors the strategy’s implementation. The new National Center for Crisis Management that Sistema’s subsidiaries had built for the Russian Ministry of Emergency Situations in 2007 is one example of this partnership’s potential.Strategy Our strategy is to create companies-leaders on highly potential markets and permanent search for the new opportunities for growth. creating growth. The Corporation is developing its business relationships with the Russian state and is now seen as a reliable private sector partner capable of providing competitive products and services. Active Management Sistema is a strategic investor and the controlling shareholder of its core businesses. These KPIs steer the management towards shareholder value. Following this decision of the Board. In 2007 the boards of Sistema’s subsidiaries fixed an updated set of KPIs. Sistema was active in sourcing and taking advantage of new investment opportunities. Healthcare and Travel. Sistema will bring its Russian and CIS telecommunications expertise to transform Shyam Telelink into a leading pan-Indian communications provider. contributes to the development of their strategies. Media.

Sistema made a series of senior level appointments in its businesses that included not only managers taken from the pool of internal candidates. 22 . as well as long-term stock option plans. The holding structure in the relatively immature Russian economy helps raise financing at a corporate level on more attractive terms. and create and maintain a valuable corporate pool of top managers. Sistema can more effectively represent the interests of its businesses on national and international levels. a chain of all-in-one retail stores that offer goods and services from across the Corporation’s areas of operations. aiming to outperform the competition. To complement the ambitious goals set before the management. We launched the Tochka project. In 2007 Sistema raised $500 million in debt financing to develop its Indian project and placed a 6-bn-ruble bond issue in March 2008 on very favorable terms. but also those hired from other companies. we initiated a review of incentive and remuneration systems.and at the same time target mid-term operational indicators. travel services. At the same time. Furthermore. Adding Value Sistema’s management believes that growing businesses within a diversified holding creates numerous opportunities to add value to the portfolio of the Corporation. given the current market environment. In 2007 the boards of most companies introduced annual bonus programs linked to KPIs. and multimedia. banking. including mobile and fixed-line communications. as one of the leading Russian companies. launch joint projects of businesses and make the best use of cross-selling opportunities.

tourism. high-tech. Sistema appoints Sergey Savchenko as chief financial officer of Shyam Telelink. construction and development was completed Last Events September 2010 • • • Shyam Telelink launches cdma mobile network. Comstar-UTS has built wireless broadband access network in Tyumen. trade. Comstar announces business development strategy for the southern federal district of Russia. 23 . Sistema appoints Sergey boyev as vice president for development of state programmes and non-public assets. Sistema completes licensing process in India. Sistema consolidates its ownership of Dalcombank. • MTS and Microsoft to work together to deliver mobile services across Russia and CIS. • • Sistema completed the creation of healthcare services holding. Sistema opens office in India. During this year the acquisition of the main assets in telecommunications. oil and oil products.Sistema's History Sistema's ownership structure was formed in 1993. August 2010 • • • • • Standard & Poor’s upgrades Sistema corporate rating to ВВ.

Sistema-Hals has appointed andrey solovyev as company’s financial director. Sergey Shmakov appointed first vice president of JSC Sistema-Hals. Sistema acquires further 50. 24 .5% stake in Dalcombank.• • • • SITRONICS announces appointment of new head of telecom solutions division.

guaranteeing a maximum return from each of the employees of the corporation. If our employees see that the corporation cares for their future. We work in high tech markets. successful team of managers. accepted rules and norms of behavior and the style of mutual relations between employees of the corporation. Creating such a team. career development and listen attentively to their opinion. and it means that the efficiency of the daily work of each of us increases. social security or improvement of labor conditions. 25 . including raising of skills. their professional growth and always pay attention to their opinion. For this reason we attract and mean to attract only the best personnel. We believe that the human capital investments. It is not so difficult to form principles of corporate philosophy in a few words: concern for each other and the whole company for its employees. An important milestone in the formation of the corporate culture of Sistema was the adoption of the Code of Corporate Behavior and the Code of Ethics. We take care of their training. stability. It ensures a comfortable climate in the staff. we are sure that investments in human potential will bring maximal returns to the company. then they feel confidence in tomorrow. able to realize the company's business strategy in the conditions of the present day market. We share common corporate culture The corporate culture of Sistema includes the philosophy and traditions of the organization. therefore intellectual leadership is one of the key factors of success for us. and ensure long term competitive advantages and leadership in high tech spheres of economy. We are investing in human capital The aim of personnel policy of Sistema is the creation of an effective.Corporative Culture Sistema takes care of employees' education. should always be made.

to increase his/her professional skill. Around 30000 of the employees undergo training in the special company’s centers. Sistema unites more than 90. Sistema jointly with Lomonosov Moscow State University organize the courses. 26 .000 employees. The Corporate University gives the employees an opportunity to receive high quality professional education without leaving their employment. MTS. Training centers for increasing the professional skills are successfully working in large companies of the corporation. like MGTS. Comstar UTS. providing at the same time adequate remuneration for successes. getting a possibility of the career growth inside the company. For this purpose. etc. each of them is a perfect professional in his business. ensuring further career growth. We are educating our personnel We are striving sincerely so that every employee of Sistema had a personal opportunity to go through the extended education. on the courses outside Sistema as well as training in boarders of President’s program every year. there is a system of staff motivation in the corporation and subsidiary companies. The Corporate University High School on Management and Innovations provides additional opportunities of training to the employees. which directly connects the achievements of an employee with his career development and bonus payments. RTI Systems. We are building contemporary motivation schemes One of the key tasks of the human resources service of Sistema is to give the company's employees an opportunity to reveal their capabilities.At present.

Sistema joined the World Business Council for 27 . and modern homes. and infrastructure. In 2003. As a responsible employer and corporate citizen. Sistema’s products and services provide customers with access to world class communications. offices.Social Responsibility The social responsibility of a large corporation today is a reflection of the complex network of relationships within a modern market economy. Sistema has also played an important role in the growth of Russian capital markets and creating a positive investment environment in the country. Sistema is an important patron of the arts. credit. which highlighted the range of programs and charities it sponsors in the communities where it operates. Corporation became one of the first companies in Russia to sign the Global Compact of the United Nations (UNGC) in 2002. Sistema has adopted internationally recognized principles of sustainable development and corporate social responsibility and integrates them into its business practices. Sistema focuses on growing service oriented high technology businesses that foster the creation of an innovation economy in Russia and help diversify the economy to compete on the global marketplace. In 2007 it published its first ever Social Report. contributes to the development of science and education. promotes sports. At the same time. Sistema has always been on the forefront of adapting international best practice to the Russian landscape. Sistema recognizes that it has a moral obligation as a leading Russian company to contribute to the development of a better society in ways not limited to its businesses. and reaches out to vulnerable layers of society. At the core of Sistema’s corporate outlook is the belief that the Company’s businesses make vital contributions to improving the quality of life in the markets they serve. Sistema’s business strategy dovetails with the Russian government’s belief that promoting high technology is a national priority and crucial for the country’s development. A critical component of responsibility is the nature of the business the corporation conducts and the contribution of its products and services to the economy as a whole. helps preserve cultural treasures.

Sustainable Development (WBCSD). As with other WBCSD members. the corporation has committed itself to maintain a high level of transparency and responsibility in all aspects of its business. 28 .

The questionnaires were given to the following retailers which resides in the area of:PUNJABI BAGH. • This Field Study was conducted on MTS. • • A survey of 100 retailers was conducted. KAROL BAGH.INTERPRETATION AND ANALYSIS OF DATA : Here. BHAJANPURA. DELHI to know the views of the retailers about the organization. These tabulation and analysis are deduced with common question which will give focus on Marcum analysis. I am going to tabulate and analyze the data which I have gathered through my questionnaire. PATEL NAGAR. SHAADRA 29 . CHAWRI BAZAR.

QUESTIONNAIRE 1. Which mobile connections are available in your Shop?  Airtel  Idea  BSNL  Vodafone  Reliance  Tata Indicom  MTS [400] [310] [100] [350] [150] [90] [115] 30 .

31 . Problem of distributor changing YES N0 67% 33% .2.

3. Response of the customer about MTS FAVOURABLE 88% UNFAVOURABLE 10% CAN’T SAY 2% 32 .

IDEA.4. TATA. RELIANCE RELIANCE. Top three operators GSM CDMA AIRTEL. MTS 33 .

5.Monthly MTS connections sold Less than 10 10 – 20 20 – 30 30 – 40 40 – 50 50 – 60 60 – 70 More than 70 34 21 13 08 07 06 02 09 34 .

6. 1 player in CDMA Low entry price Lowest tariff Support personal High visibility Any other from 06% 07% company/distributor 53% 15% 19% 35 . Factors responsible for no.

Media vehicle appropriate to support sales YES NO 84% 16% 36 .7.

Push and Pull ratio of MTS PULL PUSH 91% 09% 37 .8.

Do you know about new SMS Schemes? YES NO 96% 04% 38 .9.

10. Merchandiser comes for merchandising frequently YES NO 97% 03% 39 .

11. Facing the problem of message delay YES No 56% 44% 40 .

Satisfaction with Merchandising job and the communication material that get displayed in your outlet YES NO 87% 13% 41 .12.

Problem of network while E-Recharge YES NO 25% 75% 42 .13.

Any special comment or suggestion for MTS Refund of Claim Improvement in Service Do not change Distributor Schemes Supply Delay Replacement problem Network Improvement Reduce Cutting God one to sell Multimedia sets Low Commission Display Problem No Problem 07 06 04 08 05 07 09 03 10 08 10 03 20 43 .14.

It was seen that retailers do not receive their claims on time. 7. 8. 2. Most of the customers response favorably when the retailers told them about MTS. MTS is expected to become the 2nd largest CDMA in India. POS material was not properly distributed among the retailers. 3. after the Reliance and soon be in a position to overtake the Reliance as well. Almost all the retailers are satisfied with the merchandisers job. The important facts which could be concluded from our data regarding the retailers survey is that they face the problem of distributor changing due to which they have to suffer the losses. 4. 5. Network and message delay problem are the main drawbacks.CONCLUSIONS In the next two years. There is a certain decline in sales due to end of schemes (MTS to MTS free). 44 . 1. 6. Pull ratio is more as compared to Push.

45 . 7. Solve advance activation problem. 2. New distributor should activate the old connections. 8. Advance schemes should be updated to the retailers time to time. Distributor should be fixed for at least a year. 10. 4. POS material should be first given to those who kept the MTS connections and then the others. 5.RECOMMENDATIONS 1. Multimedia sets should be introduced along with the present range. Reduce cutting of commission of the retailers. Service should be more improved along with networking. 6. 9. Supply should be on time so that retailers should not face shortage. Replacement of the defected sets on time. 3.

ficci. www.mtsindia.sistemashyamteleserviceslimited.com/telecom.in 3. www.wikipedia.com  www.com Magazines :  India Today  Business word  Business India  Economic Times  Material provided by the company  Survey Search Engines:  www.com 46 .google.BIBLIOGRAPHY WEB SITES: 1.htm 2. www.

47 .

Address :--__________________________________ :--__________________________________ :--__________________________________ :--__________________________________ 1. Do you face the problem of changing distributor?  Yes  No 3. Response of the customer when you told them about MTS  Favorable 48 . Which mobile connections are available in your Shop?  Airtel  Idea  BSNL  Vodafone  Reliance  Tata Indicom  MTS 2.QUESTIONNAIRE FOR THE CUSTOMERS Personal information Name of the Outlet Name of the Person contacted Contact no.

Which are the top three operators in term of sales?  GSM _________________________________________________________  CDMA _________________________________________________________ 5. Unfavorable  Can’t Say 4. Factors responsible for no. How many monthly MTS connections do you sell?  Less than 10  10 – 20  20 – 30  30 – 40  40 – 50  50 – 60  60 – 70  More than 70 6. 1 player in CDMA  Low entry price  Lowest tariff  Support from company/ Distributor personal  High visibility 49 .

Do you face the problem of message delay?  Yes  No 12. Any other (please specify) 7. Is Media Vehicle appropriate to support sales of MTS? Yes No 8. What is the Push and Pull ratio of MTS? ___________________________________________________________________________ 9. Are you satisfied with merchandising job and the communication materials that get displayed in your outlet? 50 . Do you know about new SMS schemes?  Yes  No 10. Does Merchandiser come for merchandising frequently?  Yes  No 11.

Any special comment or suggestion for MTS? ___________________________________________________________________________ ___________________________________________________________________________ 51 . Do you have the problem of network busy while E-Recharge from your mobile?  Yes  No 14. Yes  No 13.