1

I. INTRODUCTION














2

PROBLEM STATEMENT

Any research requires a proper understanding of the problem. A well-defined problem is half
work done. Statement of problem is this section was the reason for taking up a particular topic for
research is justified. Many creative efforts fail because the problem is either unclear or it is
focused in the wrong place. If people have different opinions of what the problem really is, they
will constantly diverge and never be able to find closure on a suitable solution
The project entitled A Comparative study - Samsung vs. Nokia mobile is an attempt to
understand the marketing strategies adopted by the companies and also to understand the brand
image of the company in India.
This research studies the marketing strategies of Nokia and Samsung in India. The study Attempts
to check the role of marketing activities in success of Nokia and Samsung in India. After studying
the past of the company and the history of Indian mobile industry, marketing strategies are
examined through secondary resources.
A sample of 50 consumers was taken of Bangalore city, on mobile phone users. Although this
sample is very small to represent the whole market but there is no choice because of time
constraints.
Yet we have tried to take consumers from every age group, every income group, and every
occupation group. Responses were generated from approximately all the areas of Bangalore in
order to minimize any bias.
We have demonstrated the data gathered through various bar chart, pie charts & cone charts. We
have also done the variety analysis as it is applicable. On the basis of this finding & conclusion
has been presented



3

COMPANY PROFILE
Samsung
In 1938 the Samsungs fonder byung -chull lee ser up a trade export company in Korea, selling
fish vegetables and fruit to china .within a decade Samsung had flour mills and confectionary
machines and become a co-operation in 1951.
The history of Samsung and mobile phones stretches back to over 10 years. In 1993 Samsung
developed the lightest mobile phone of its era the SCH 800 and it was available on CDMA
networks. Then they developed smart phone and a phone combined mp3 player towards the end
of the 20th century to this date Samsung is dedicated to the 3g industry. making video, camera
phones at a speed to keep up with consumer demand .Samsung has made steady growth in the
mobile industry and are currently second but competitor Nokia is ahead with more than
100%increase in shares.

VISION OF THE COMPANY
Leading the digital convergence revolution GROWING TO BE THE BEST
As a part of vision Samsung has mapped out a specific plan of reaching $400 billion in revenue &
becoming one of the worlds top 5 brands by 2020

MISSION OF THE COMPANY
DIGITAL -E COMPANY excited about future to serve better services to the people in the
market of telecommunications



4

Nokia


Nokia's history starts in 1865, Due to the European industrialization and the growing consumption
of paper and cardboard Nokia soon became successful. Nokias Cable Work's Electronics
department started to conduct research into semiconductor technology in the 1960s. This was the
beginning of Nokias journey into telecommunications.
The company operates in four segments: Mobile Phones, Multimedia, Enterprise Solutions, and
Networks. The Mobile Phones segment offers mobile phones and devices based on GSM/EDGE,
3G/WCDMA, and CDMA cellular technologies. The Multimedia segment enables to create, access,
and share multimedia in the form of advanced mobile multimedia computers and applications with
connectivity over multiple technology standards. The Enterprise Solutions segment offers various
products and solutions, including enterprise-grade mobile devices, underlying security infrastructure,
software, and services for businesses and institutions.

Corporate responsibility

Corporate responsibility is a fundamental element in Nokias business, brand and culture. Nokia
aims to set the standards for the industry through initiatives that not only make a positive impact,
but also make good business sense. The Nokia Code of Conduct commits us
to uphold high ethical principles in everything we do. We respect the principles set in
Universal Declaration of Human Rights and by the International Labor Organization and the
United Nations Global Compact. Communications is a relatively "clean industry. It is not a
high energy user, does not generate substantial pollution, and does not endanger people or
communities. But a responsible business needs to address its impacts and aim to make a
positive contribution wherever possible. Environmental issues are our main priority. Climate
change is a serious threat which requires everyone to contribute to building a low carbon
economy.


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II. RESEARCH OBJECTIVES
The present study is quite significant because it discusses values cultures vision, mission and
strategies of two companies .Nokia and Samsung to make comparative analysis between these two
companies it identifies the current positions of the company .

ia and Samsung mobile in India
ts, market strategies, values
mission adopted in the cellular companies.
know consumer behavior towards Nokia and Samsung.
.

HYPOTHESIS

Null Hypothesis (H0): Customer satisfaction regarding their mobile phone is independent of the
brand they own.

Alternate Hypothesis (H1): Customer satisfaction regarding their mobile phone is dependent of the
brand they own.

For detailed tabulation of hypothesis see table 0.1

III. Research Methodology

Research comprise defining and redefining problems, formulating hypothesis or suggested
solutions; collecting, organizing and evaluating data; making deductions and reaching conclusions;
and at last carefully testing the conclusions to determine whether they fit the formulating
Hypothesis. In short, the search for Knowledge through Objective and
Systematic method of finding solutions to a problem is r esearch.

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Research Design:
Type of Research: - Descriptive research
Descriptive research includes Surveys and fact-finding enquiries of different kinds.
The main characteristic of this method is that the researcher has no control over the
variables; he can only report what has happened or what is happening.
Data Source:
Primary data: Through Questionnaire.
Secondary data: Through internet and magazines

Sample Design

Sample Unit: Mobile phone users of different age
Sample Size: This study involves 100 respondents
Sampling Type: The sample size has been taken by random convenience sampling technique
The sample Unit taken is General public of different age group, different gender and different
professions of Bangalore.
Research Instrument: Questionnaire.
Questionnaire :
Questions are multiple choice answers with predefined answers and few of
them offer respondents the possibility of grading progress across 0-5 scale.
Statistical tools:
Graphical analysis, comparative rating



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IV. LIMITATIONS

Sample size taken is small
The study only conducts in one geographical area Bangalore
Respondent bias and sampling error
Does not evaluate the importance of location.














8






CHAPTER -I
LITERATURE REVIEW



















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2.1.1 LITERATURE REVIEW

PURPOSE:
The literature review section examines the importance of search studies, company data or
industry reports that serve as a foundation for the setup of study. The research dimension of the
related literature and the relevant information begins from an explanatory perspective,
approaching towards specific studies which do related to the judge the limitations and
informational gaps in data from the secondary sources.
While the Finnish phone maker has updated its handset portfolio at the high end to compete
better with Samsung's super-successful Razor phone, the refresh has been less than inspired.
..."[Nokia's] high-end phones are small, but they're boxy. Samsung's high-end [models] are
thin and slick." Samsung went for the wow effect, creating got to-have-it phones. Now,
Nokia is playing catch-up. "It all comes down to innovation and product development," says
Hoffman. "Right now, Samsung is head and shoulders above Nokia in creating products that
consumers desire. Nokia has maintained their market share, but theyre using price and
marketing dollars as the weapon. Surely the RAZR was a brilliant move. Something as
simple as naming a phone Razor has created enormous buzz for the company, says Kelleher.
Granted, the Razr is a sleek little piece of telephonic technology, but the
Branding has given the phone cache. Kelleher makes a good point. When you mention Razr,
people know what you're talking about. Just try and picture what the Nokia 6170 looks like.
But just a piece of anecdotal evidence- the Nokia brand is still quite strong in Asia. And
according, Nokia's pushing hard into emerging markets with low-cost phones, which while
hitting margins, are building presence for the long term. 34% increase in handset volumes
versus a 25% sales increase. To find growth, Nokia is venturing into emerging markets, such
as China and Russia. Nokia is looking out for the long term by penetrating emerging
markets. But it will take some time for the margins to improve as these consumers upgrade
to premium handsets.
More specifically, the areas of competitive advantages and dynamic capabilities of firms,
innovation and strategy design and implementation will be explored. Furthermore, the
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objective of this literature review is to identify and draw theoretical grounds which can be used as a
baseline for the development of conceptual framework in order to answer the research has three
sub-question and ultimately the research main question which is how to re-gain the leader position
in the mobile smart phone market?
Although theories of firms are considered an abstraction of the real business world they
Certainly address some firmscharacteristics and behavior. The fact that different theories of the
firm address different aspects usually makes then complementary to each other.
Economic theories of the firm, for example cover the firms behavior in external market
while organizational theories of the firm comprise the analysis of the firms internal structure and the
relationship among its unit. Still, the resource - based view of the firm attempts to explain why some
firms succeed in establishing sustainable competitive advantages and
consequently, conquering superior position in the market place compared to the competitors.
Moreover the emerging knowledge based view which is not considered a theory as such can be
thought of as an outgrowth to the resource based view since it focus on knowledge as
being the most important strategic resource of a firm.

Competitive advantages and dynamic capability

A firm aiming to leverage and maintain superior performance needs to understand what the
source of competitive advantages are as well as how to sustain them. Since competitive
advantages can emerge from many sources, there are a number of different perspective for a firm to
take when analyzing those aspects as for ex from a resource and from a product
perspective, to name a couple of them. As a consequence of the importance to understand
such causal effect relations, this area of research has become has become a major one in
strategic management.

V. Krishnan a review of research in product development, which we define as the
transformation of a market opportunity into a product available for sale. Our review is broad,
encompassing work in the academic fields of marketing, operations management, and
engineering design. The value of this breadth is in conveying the shape of the entire research
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landscape. We focus on product development projects within a single firm. We also devote
our attention to the development of physical goods, although much of the work we describe
applies to products of all kinds. We look inside the black box of product development at the
fundamental decisions that are made by intention or default. In doing so, we adopt the
perspective of product development as a deliberate business process involving hundreds of
decisions, many of which can be usefully supported by knowledge and tools. We contrast this
approach to prior reviews of the literature, which tend to examine the importance of
environmental and contextual variables, such as market growth rate, the competitive
environment, or the level of top-management support.

John R. Hauser Quality function deployment (QFD) is a product-development methodology
that deploys the Voice of the Customer (VOC) throughout the product-development
process. A cross-functional team implements QFD by creating a series of one or more
matrices, the first of which is referred to as the House of Quality (HOQ). These matrices relate
customer wants and needs to an extensive set of product features. A set of metrics is
developed to measure how well sets of product features are meeting customer needs, and then
the product's design specifications are identified and prioritized. QFD enables the entire
product-development team to prioritize their development activities in a systematic, analytical
way. It helps them work together to achieve a common view of the relationship between
customer needs and product design. It provides an audit trail that reminds people, both new
and old to the project, as to why past decisions were made. The QFD process stretches the
product-development team's thinking as to which activities are most critical toward creating a
winning product or service. It also improves communication among members of the product-
development team. The result is a product that is thoughtfully designed right from the
ginning, cutting down the need for later rework and reducing development time and costs.

B. Zafer Erdogan According to the research, Use of celebrities as part of marketing
communications strategy is a fairly common practice for major firms in supporting corporate
or brand imagery. Firms invest significant monies in juxtaposing brands and organizations
with endorser qualities such as attractiveness, likeability, and trustworthiness. They trust that
these qualities operate in a transferable way, and, will generate desirable campaign outcomes.
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But, at times, celebrity qualities may be inappropriate, irrelevant, and undesirable. Thus, a
major question is: how can companies select and retain the 'right' celebrity among many
competing alternatives, and, simultaneously manage this resource, while avoiding potential pitfalls?
This paper seeks to explore variables, which may be considered in any celebrity selection process by
drawing together strands from various literatures

Alexander Krasnikov
The impact of the marketing function on firm performance has been the focus of much
recent research in marketing. Thus, the effect of marketing capability on firm performance,
compared with that of other capabilities, such as research and development and operations,
is an issue of importance to managers. To examine this issue and generate empirical
generalizations, the authors conduct a meta-analysis of the firm capability-performance
relationship using a mixed-effects model. The results show that, in general, marketing
capability has a stronger impact on firm performance than research-and-development and
operations capabilities. The results provide guidelines for managers and generate directions
for further research.

MARKET AND MARKETING

The root word in the term marketing is market. Market is a group of potential customers for a
particular product who are willing and able to spend money or exchange other resources to obtain
the product. Marketing is focused on the market place. Infect the shoppers of post
generations, the words marketing meant to buy groceries. Function of marketing activities is to bring
buyers and sellers together.
Consists of consumer oriented mix of business activities planned and implemented by the marketer
to facilitate the exchange or transfer of goods, services, and ideas, so that both parties profit in some
way.
A market is a group of potential customers for a particular product who are willing and able to
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spend money or exchange other resources to obtain the product. Good or service is a consumer
product sold in the consumer market organization is buying an organizational or business.
Market conditions more conducive the sale prospects. The transport work and its expansion
are necessary for the easy flow of goods for the market. Market, can be classified into Rural market,
Agricultural market, primary village market, primary whole sale market etc.,
Consumer market refers to the market for goods and services purchased by individual and
households to satisfy their consumption desires.
The term market does not mean any particulars market place in which things are bought and
sold but the whole of any region in which the buyers and sellers are in such inter course with
one another that the prices of the same goods tend to be equalized easily and quickly. It is the
process of planning executing the conception, pricing, promotion and distribution of ideas and
services to crate exchange will satisfy individual and organizational objectives keeping
customers and building relationship. Marketers want customers for life. Effective marketers
work to build long term relationships with their customers. Marketing as an activity involved in
getting and keeping customers.
Definition of 'Market Segmentation'
A marketing term referring to the aggregating of prospective buyers into groups (segments) that
have common needs and will respond similarly to a marketing action. Market
segmentation enables companies to target different categories of consumers who perceive the full
value of certain products and services differently from one another. Generally three
criteria can be used to identify different market segments:

1) Homogeneity (common needs within segment)
2) Distinction (unique from other groups)
3) Reaction (similar response to market



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MARKET SEGMENTATION
The purpose for segmenting a market is to allow your marketing/sales program to focus on the subset
of prospects that are "most likely" to purchase youre offering. If done properly this will help to
insure the highest return for your marketing/sales expenditures. Depending on whether you are
selling your offering to individual consumers or a business, there are definite differences in what
you will consider when defining market segments.
Segmentation is beneficial because of better predictability of the target consumer group,
minimization of risk exposure, better ability to fine-tune a product/service to the
requirement of target buyer and the resultant ease in designing a proper designing
marketing mix strategy In this case segmentation is on the bade of income .

TARGET MARKET SEGMENT
Companies target the premium and upper middle class. The rationale behind it is that only
those segments should be targeted who value time and have the paying capacity. It is
also planning to target the business tourists during their stay in the capital.

About 60% of the clientele are top executives of corporate houses. About
15% are foreign organizations and the rest are professionals and small
businessmen. During the introduction stage there was intense pressure to
get consumers across to hook up with their brand, because getting them.


POSITIONING
The product is sought to be positioned as a business efficiency tool. A lifestyle
revolution and a status symbol the emphasis is to remove misconception that the
cellphone is an expensive means actually a day-to-day utility.
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PRODUCT POLICY AND PLANNING
The product or service is the heart of the marketing mix. Without a product or service
customers' needs cannot be satisfied. The basic product promise by company is ability.
Company's main marketing strategy is to be a first mover all the time. It has recognized
the significance of making the first move because in the field of Communication &
Information Technology changes occur at a tremendous pace .
Effective product segmentation has to be carried on continuously because basic services
can be and will be copied and in time become expected component of the product.
Company seeks to carry out this segmentation through provision of new information
services and making new facilities available . The product policy and planning depends
on the stage of the product life cycle . At present the cellular phone market has reached
the maturity stage .
Since , the premium segment is nearing saturation the company targeting the upper
middle and middle -middle class. In order to do so company is trying to optimize the
price performance package by offering suitable "product bundling" and its software (its
services) with reasonable price in order to deliver maximum price performance to its
customers. In addition, it offers free Airtime services and other concessions to make the
prices and thus the product more attractive. Only price doesn't serve as an effective
differentiator, value added services become the effective differentiator.


CUSTOMER SATISFACTION
Companys first task is to create customers but today customers face a vast array of product
and Brand choices, prices and suppliers. How do customers make their choices?
We believe that customers estimate which offer will deliver the most value.
Customers are value maximizes within the bound of search of cost and limited knowledge,
mobility and income. They form an expectation of value and act on it. Whether or not the
offer leaves up to the value expectation affects customers satisfaction and their repurchase
probability.
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ATTRACTING AND RETAINING CUSTOMER
To improve their relations with their partners in the supply chain, many companies are intent on
developing stronger bonds and loyalty with their ultimate customers. In the past many
companies took their customers for granted. Their customers may not have had many
alternatives of supply or all suppliers were equally deficient in the service or the market was
growing so fast that the company did not worry about satisfying its customers. Clearly things
have changes

THE NEED FOR CUSTOMER RETENTION

The cost of attracting a new customer is estimated to be 5 times the cost of keeping a current
customer happy. It requires a great deal of effort to induce satisfied customers to switch away from
their current suppliers.
Unfortunately most marketing theory and practice centered on the art of attracting new customers
rather than retaining existing ones. The emphasis traditionally has been on making sales rather than
building relationship. The focus has been on reselling and selling rather than on caring for the
customer afterwards. Today however, most of the companies are recognizing the importance of
satisfying and retaining current customers. There are two ways to strengthen customer retention: -
[1] One is to erect high switching barriers. Customers are less inclined to switch to another
suppliers when this would involve high capital cost, high search cost and the cost of loyal customer
discounts and so on
[2] The better approach is to deliver high customer satisfaction. This makes it harder for
competitors to overcome switching barriers by simply offering lower prices. The task of
creating strong customer loyalty is called Relationship Marketing. Relationship Marketing embraces
on those steps that companies undertake to know and serve better their valued individual customers.

Some cautions in measuring customer satisfaction level
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When customer rates their satisfaction with element of the companys performance the Company
needs to recognize that two customers can report being highly satisfied for Different reasons. One
may be easily satisfied most of the time and the other might be hard to please but was pleased on
this occasion. Company should also note that manager and sales people could manipulate their
ratings and customer satisfaction. They can also try to exclude unhappy customers from the survey.
Another danger is that if customers know that the company will go out of its way to please
customers many express high dissatisfaction in order to receive more concession.

For businesses:
Strategic - your offering is in some way important to the enterprise mission, objectives and
operational oversight. For example, a service that helped evaluate capital investment opportunities
would fall into this domain of influence. The purchase decision for this category of offering will be
made by the prospect's top level executive management.
Operations - your offering affects the general operating policies and procedures. Examples
might be an employee insurance plan or a corporate wide communications system. This
purchase decision will be made by the prospect's top level operations management.
Functional - youre offering deals with a specific function within the enterprise such as data
processing, accounting, human resources, plant maintenance, engineering design,
manufacturing, inventory control, etc. This is the most likely domain for a product or service,
but you must recognize that the other domains may also get involved if the purchase of the product
or service becomes a high profile decision. This purchase decision will be made by the prospect's
functional management.



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Marketing strategy
A strategy is a long-term plan to achieve certain objectives. A marketing [link] strategy is
therefore a marketing plan designed to achieve marketing objectives. For example,
marketing objective may relate to becoming the market leader by delighting customers. The
strategic plan therefore is the detailed planning involving marketing research, and then
developing a marketing mix to delight customers. Every organization needs to have clear
marketing objectives, and the major route to achieving organizational goals will depend on
strategy. It is important, therefore, to be clear about the difference between strategy and
tactics.
These terms originate from military use (military strategy before and during a military campaign is
the general policy overview of how to defeat the enemy). Developing a strategy involves
establishing clear aims and objectives around which the framework for a policy is created. Having
established its strategy, an organization can then work out its day-to-day tools and tactics to meet the
objectives.
Marketing can thus be seen as the process of developing and implementing a strategy to plan and
coordinate ways of identifying, anticipating and satisfying consumer demands, in such a way as to
19

make profits. It is this strategic planning process that lies at the heart of marketing. In 1985, the
Chartered Institute of Marketing adopted the dynamic slogan:
'Marketing means Business'

Strategic discipline
Marketing is now accepted as a strategic discipline or general management function and in this
respect must care for the health of a business in the future - especially against
competitive influences. This is because it is increasingly realized that although making a
profit is important, an organization should also develop its market share and search for brand
leadership as well. So the marketer must monitor the profitability of the business and
attempt to anticipate the likely trends. At the same time rival companies should be
monitored and examined for vulnerable points.
Successful marketers must therefore be concerned with every aspect of their business,
including future project and other areas of their industry. Successful companies plan five or ten
years and more in advance and often know as much about their competition as they know about
themselves.
Marketing is not just a series of business-related functions, but more wide-reaching than
this. It is a business philosophy designed to develop an attitude of mind which should be
shared by everyone in an organization and is often enhanced by both frequent and open
communication. Developing such an attitude of mind reduces the likelihood of crisis and
contributes to the development of the overall future of an enterprise at both strategic and tactical
levels.
At the heart of marketing lies the degree to which an organization becomes marketing orientated.
The more committed a company is to its marketing activities; the more able it will be to pursue its
corporate objectives and develop and retain customers. Every business in existence relies upon its
customers for survival, and those who best meet customer needs will always survive a period of
change.
The marketing function is therefore an essential ingredient of corporate strategy, and this marketing
focus should be communicated through marketing planning into all aspects of business activity.
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In choosing a marketing strategy a frequent distinction that is made is between undifferentiated
marketing and differentiated marketing.
Undifferentiated marketing is where a single marketing mix is offered to the total market. In
contrast differentiated market is the process of attacking the market by tailoring separate
product and marketing strategies to different segments of the market, for example, the
spectacles market can be broken down into fashion segments and functional segments, high
price and low price segments, and segments for individuals with different types of vision
problems.
Objectives
The ends which an organization focuses its plans and activities towards achieving.


Strategies

The means to achieve the ends. Usually long term plans.

WHY MARKETING STRATEGIES ARE IMPLENTED IN THE
ORGANIZATION

Strategy implementation is the translation of chosen strategy into organizational action so as
to achieve strategic goals and objectives. Strategy implementation is also defined as the
manner in which an organization should develop, utilize, and amalgamate organizational
structure, control systems, and culture to follow strategies that lead to competitive advantage
and a better performance. Organizational structure allocates special value developing tasks
and roles to the employees and states how these tasks and roles can be correlated so as
maximize efficiency, quality, and customer satisfaction-the pillars of competitive advantage.
But, organizational structure is not sufficient in itself to motivate the employees.
An organizational control system is also required. This control system equips managers with
motivational incentives for employees as well as feedback on employees and organizational
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performance. Organizational culture refers to the specialized collection of values, attitudes, norms
and beliefs shared by organizational members and groups .
Following are the main steps in implementing a strategy:
Developing an organization having potential of carrying out strategy successfully.
Disbursement of abundant resources to strategy-essential activities. Creating strategy-
encouraging policies.
Employing best policies and programs for constant improvement.
Linking reward structure to accomplishment of results.
Making use of strategic leadership.

Excellently formulated strategies will fail if they are not properly implemented. Also, it is essential
to note that strategy implementation is not possible unless there is stability between strategy and
each organizational dimension such as organizational structure, reward structure, resource-allocation
process, etc.






22



CHAPTER 2
INDUSTRY & COMPANY PROFILE








23

2.2.1 Company Profile
Samsung
In 1938 the Samsungs fonder byung -chull lee ser up a trade export company in Korea, selling fish
vegetables and fruit to china .within a decade Samsung had flour mills and confectionary machines
and become a co-operation in 1951.
The history of Samsung and mobile phones stretches back to over 10 years .in 1993
Samsung developed the lightest mobile phone of its era the SCH 800 and it was available on
CDMA networks. Then they developed smart phone and a phone combined mp3 player towards the
end of the 20
th
century to this date Samsung is dedicated to the 3g industry. making video, camera
phones at a speed to keep up with consumer demand .Samsung has made steady growth in the
mobile industry and are currently second but competitor Nokia is ahead with more than
100%increase in shares.

VISION OF THE COMPANY

Leading the digital convergence revolution GROWING TO BE THE BEST
As a part of vision Samsung has mapped out a specific plan of reaching $400 billion in revenue &
becoming one of the worlds top 5 brands by 2020


MISSION OF THE COMPANY

DIGITAL -E COMPANY excited about future to serve better services to the people in the market of
telecommunications



24

OVERVIEW OF INDUSTRY AS A WHOLE

In today's world, most people communicate through the use cellular phones. It's hard to believe that
fifteen years ago cell phones were a rarity. Below is a history chronicling the dawn of the cell phone
to its current state.

1843 - Faraday exposed his great advances of nineteenth-century science and technology
and his discoveries have had an incalculable effect on technical development toward cellular phone
development.

1865 - Dr. Mahlon Loomis of Virginia, a dentist, may have been the first person to
communicate through wireless via the atmosphere. Between 1866 and 1873 he transmitted
telegraphic messages at a distance of 18 miles between the tops of Coshocton and Beorse Deer
Mountains, Virginia.
1973 - Dr Martin Cooper is considered the inventor of the first portable handset. Dr. Cooper, former
general manager for the systems division at Motorola, and the first person to make a call on a
portable cellular phone.

1973 - Dr. Cooper set up a base station in New York with the first working prototype of a cellular
telephone, the Motorola Dynastic. Mr. Cooper and Motorola took the phone
technology to New York to show the public.

1977 - Cell phones go public. Public cell phone testing began. The city of Chicago was here
the first trials began with 2000 customers and eventually other cell phone trials appeared in
the Washington D.C. and Baltimore area. Japan began testing cellular phone service in 1979.

1988 - This year changed many of the technologies that had become typical in the past. The
Cellular Technology Industry Association (CTIA) was developed to lay down practical
goals for cellular phone providers. According to the Cellular Telecommunications Industry
Association, today there are more than 60 million customers with cellular phones, eventhough
25

wireless service was just invented nearly 50 years ago. The cellular business was a
$3 million market 25 years ago and has grown increasingly to close to a $30 billion per year
industry .

About the Industry

The cell phone industry has evolved greatly in the past 10 years. 10 years ago only the rich
could afford cell phones, and they looked like boxes more than something that could fit in
your pocket. Today, more people have cell phones than fixed telephone lines, both in the
United States and internationally. There are more than one billion cell phone users
worldwide." Cell phones have now become a part of everyday life. Without cell phones we
would be lost in our high tech world. Americans spend 7 hours a month on cell phones. The
effects of new technology have had positive effects in school, too. Cell phone use is getting
more and popular. "Some 85 million U.S. residents30 percent of the populationhave
joined the mobile-phone revolution. There are already 1 billion cell phone users worldwide.
Between 2010 and 2020 it will be hard to find a person without a cell phone.

They are now bought for the fact that they are used in emergency situations. Nearly 156,000
wireless emergency service calls were made every dayabout 108 calls per minute. Parents are
now buying them for their children so they know where they are all the time. Every company has
their different Marketing Strategies. Now I am going to discuss the Marketing strategies of Nokia.

Indias Tele-density in January 2008 neared 12% with the subscriber base nearing the
130mn mark. During January 2008, record 5mn subscribers were added as against 4.92mn
subscribers in December 2007. This strong growth could be attributed to lifetime validity
cards launched by almost all operators. During the first 10 months of FY06, 31.41mn
subscribers have been added. In the fixed segment, a total of 0.28mn subscribers were added
during January 2008, taking the subscriber base of fixed line services to 49.21mn. In the
mobile segment, total additions during the month summed up to 4.69mn with highest ever

26

GSM additions of 3.52mn and CDMA additions of 1.17mn. During the first 10 months of FY08,
28.39mn subscribers have been added






















27

Mobile phones in India

Smartphones are much different than regular feature phones. These phones are built on mobile
operating system. With the changes happening all over the world changes in a mobile phone is
must. The world is moving fast and so has technology to. The invention of a Smartphone is the best
thing that could have been done to human kind. Smartphones India market is huge. All over you will
people using this.
The Smartphones in India that are more famous are the ones that have high resolution touch
screen and web browsers that making life easy and fast moving. Using the best Smartphone
has become a style icon for today's generation. Best Smartphones can be found in best
brands like Samsung, Sony, HTC, LG, Nokia, etc. These phones are very common among
the professionals, students and other users as it allows them to check mails, stay connected
on social media and browse the net. A Smartphone price is different and more than a feature
phones because it has Operating System in the Mobile and makes life simple, easy and
hassle free
Among the popular smartphones in India are:
Samsung SmartPhones
Samsung Smartphone India market is more than expected by anyone. Here everyone wants to have
a Samsung Smartphone. Operating your office from your phone makes life so
exciting. You may be anywhere in the world Samsung Smartphone allows you to be ready all the
time. The latest Samsung Smartphone - Samsung Galaxy Note II gave a new
definition to the world of communication. You don't require a laptop or a desktop as this can do all
that the two have been doing for you all these years. Samsung Smartphone price
makes all this affordable for you buy and have the world in your palms.

Sony Smartphones
Sony is a brand leader in electronics. And a Sony Smartphone is stylish and durable. Sony Xperia
Smartphones have captured the market very fast. The features and the technology used make it
28

different from all the mobiles. All Sony Smartphones Mobiles are good and have been built after a
lot of research and development. Sony Smartphones in India is famous among the professionals and
students. It has made life easy and hassle free for them. See your mails, reply to them, Updating
status on Facebook, etc is done with a click. Sony Smartphone price is far less than the features
given to you in the mobile.

Nokia SmartPhones
Nokia is known for connecting people since it was launched. Now Nokia Smartphones have made
life easier for those who don't like any other brand. Users are least interested in the Nokia
Smartphone price as they trust that Nokia will give them the best. With Nokia Smartphone India you
can share more than you thought of. It allows you to do multitasking. The Latest Nokia Smartphones
come with enhanced processing power that makes multitasking fast and easy.
HTC SmartPhones
With the recent launch of the HTC Smartphones the market is now filled with beautiful and
useful Smartphones. HTC Smartphones India has captured the hearts of many consumers as
it loaded with world class features and has high speed that the young generation is looking
for. The best HTC Smartphones allow you to customize your phone through the internet.
HTC Smartphone price is less compared to the features available in the mobile.

LG SmartPhones
LG Smartphones India has launched the best Smartphones ever. LG Smartphones have been
designed uniquely with the NOVA display technology that offers clear outdoor visibility,
readability, and perfect colors. The Latest LG Smartphones have Wi-Fi Direct that allows access to
net without any Access Point. You will find LG Smartphones price differing from mobile to mobile
depending on the features.

Android Smartphone
Android Smartphones are on the go and most popular among professionals and students all across
29

the globe. Android Smartphone India runs on a platform that allows the users to install applications
as per their requirement. Every new Android Smartphone that has been launched in the last few
months has captured the market and is giving tough competition to other brands. Android
Smartphones prices are much less compared to other Smartphones grabbing the crowd more and
increasing the revenue.

3G SmartPhones

The 3G Smartphone Collections are most in demand today. The 3G Smartphones networks
allow the network operators to provide its valuable users with huge of advanced series like
internet, video calling, and voice calling from a mobile phone. Latest 3G Smartphone cab be
found in brands like HTC, Samsung, Nokia, etc. 3G Smartphone price is secondary as it has
more than what it actually quotes. It loaded with features and apps making life fun and enjoyable.
3G Smartphone India has been able to capture the mobile market in a short span of time.
Using best Smartphones has become very vital today. It allows you to stay connected always. This
change from regular cell phones to Smartphones will keep moving as now there will be much better
phones with much better technology used. Earlier the use of mobile was only to keep in touch when
out but today a mobile is more than making calls. Companies do a lot of research and development
to build the perfect phone for each of its valued customers.








30

Company Profile

Samsung








In 1938 the Samsungs fonder buying -chill lee set up a trade export company in Korea, selling fish
vegetables and fruit to china .within a decade Samsung had flour mills and confectionary machines
and become a co-operation in 1951.
According to the company, from 1958 onwards Samsung began to expand into other industries such
as financial, media, chemical and ship building throughout the 1970s .in 1969, Samsung electronics
was established producing what Samsung is most famous for television, mobile phones
(througout90s), radios, computer components and other electronics devices.

1987 founder and chairman, byung-chull lee passed away and kun-hee lee took over as chairman. In
the1990s Samsung began to expand globally building factories in the US, Britain, Germany
Thailand Mexico Spain and china until 1997

In 1997 nearly all Korean business shrunk in size and Samsung was no exception. They sold
business to relieve debt and cut employees down lowering personnel by 50,000 but thanks to the
electronic industry they manage to curb this and continue to grow.

31

The history of Samsung and mobile phones stretches back to over 10 years .In 1993 Samsung
developed the lightest mobile phone of its era the SCH 800 and it was available on CDMA
networks. Then they developed smart phone and a phone combined mp3 player towards the end of
the 20
th
century to this date Samsung is dedicated to the 3g industry.
making video, camera phones at a speed to keep up with consumer demand .Samsung has made
steady growth in the mobile industry and are currently second but competitor Nokia is ahead with
more than 100%increase in shares.
THE SAMSUNG PHILOSOPHY

At Samsung we follow a simple business philosophy to devote our talent and technology to
creating superior products and services that contribute to a better global society. Every day
our people bring this philosophy to life. Our leaders search for the brightest talent from
around the world, and give them the resources they need to be the best at what they do. The
result is that all of our products from memory chips that help business store vital knowledge o
mobile phones that connect people across continents have the power to enrich lives and thats what
making a better global society.
PRINCIPLES OF THE COMPANY

We comply with laws and ethical standards.
We respect customers, shareholders and employees.
We are socially responsible corporate citizen.
We care for the environment health and safety.
We maintain a clean environmental culture.





32

MARKETING STRATEGY OF SAMSUNG


Aggressively hawking flips tops and clamshells with polyphonic ring tones and color screen.
Nationwide distributer and retail presence in the consumer durable market.
Samsung has been associated with the Lakme India fashion week for its mobile phones the
company used the LIFW 2005 as a platform to launch D-500,worlds best mobile phone in the Indian
market. Set up a hand set manufacturing facility in India

S.W.O.T ANALYSIS OF THE COMPANY
STRENGTH

New product concept to rollout.
Catching the pulse of the consumer offering design & understanding
emotions.
Heavy investments in technology.
Focus on innovative products.

WEAKNESS

New models coming out very soon.
Different models at different price points.

OPPORTUNITIES

Distinguish its service from competitors offer product variation.
Demand for cell phones driven by the serversproviders
or carriers.
Tie up with service providers lowering the price of the phone.
33

THREATS
Motorolas dominance in the US the European market controlling more than world market
Aggressive competitors including Sony Ericsson, Siemens eating into its share.

Nokia











Nokia's history starts in 1865, Due to the European industrialization and the growing consumption
of paper and cardboard Nokia soon became successful. Nokias Cable Work's Electronics
department started to conduct research into semiconductor technology in the 1960s. This was the
beginning of Nokias journey into telecommunications.

According to the company, Nokia today is a world leader in mobile communications, driving the
growth and sustainability of the broader mobility industry. Nokia connects people to each other and
the -information that matters to them with easy-to-use and innovative products like mobile
phones, devices and solutions for imaging, games, media and businesses. Nokia provides equipment,
solutions and services for network operators and corporations. The company
34

includes four business groups; Mobile Phones; Multimedia; Networks and Enterprise
Solutions. In this project I will be focusing only on the mobile Phone business of Nokia in
India.
Nokia Corporation engages in the manufacture of mobile devices and mobile networks. It
also provides equipment, solutions, and services for network operators, service providers,
and corporations. The company operates in four segments: Mobile Phones, Multimedia,
Enterprise Solutions, and Networks. The Mobile Phones segment offers mobile phones and devices
based on GSM/EDGE, 3G/WCDMA, and CDMA cellular technologies. The
Multimedia segment enables to create, access, and share multimedia in the form of advanced
mobile multimedia computers and applications with connectivity over multiple technology
standards. The Enterprise Solutions segment offers various products and solutions, including
enterprise-grade mobile devices, underlying security infrastructure, software, and services
for businesses and institutions. The Networks segment provides network infrastructure,
communications, and networks service platforms, as well as professional services to
operators and service providers. It focuses on the GSM family of radio technologies;
networks with Internet Protocol and multi access capabilities; and professional services. The
company also develops mobile WiMAX solutions. Nokia sells its products to operators,
distributors, independent retailers, and corporate customers. It has its operations in Europe,
the Middle East, Africa, China, the Asia-Pacific, North America, and Latin America. The
company was founded in 1865 and is based in Espoo, Finland.

Nokia was the leader in mobile phone technology, although they have other subsidiaries,
namely Nokia Networks and Nokia Ventures Organization, which, together with Nokia
Mobile Phones, form Nokia Group. Nokia also launched Vertu Ltd. in 2009, the worlds
first luxury mobile phone company, selling gold and platinum phones at exorbitant prices.




35

Marketing Strategy for Nokia

* Appropriately identify, collect and use primary and secondary data that is relevant
to the marketing strategy of Nokia.
* Produce a clear analysis of the external influences affecting the development of a marketing
strategy.
* Complete a realistic rationale for the development of a coherent marketing mix for Nokia
communications.
* Show a full understanding of a marketing strategy for Nokia with a clear understanding of
marketing principles.
* Produce a full, well-balanced marketing strategy that reflects appropriate use of marketing models
and tools.

S.W.O.T ANALYSIS OF NOKIA
STRENGTHS

Is a dominant player in the smart phone market via its majority ownership of Symbian and its
proprietary Series 60 user interface which are projected to represent majority.
33% market share still the largest cell phone vendor by far, with double the market share of
nearest competitor .
Size should enable Nokia to amortize R&D costs and to get cost advantages Brand position:
probably one of the top 20 brands in the world.
WEAKNESSES
The N-gage is considered a flop.
Being the market leader and its increase role in Symbian is giving Nokia a bad
image, much like Microsoft in the PC industry.
Slow to adopt new ways of thinking: good examples are clamshell phones which are preferred
by many customers. Nokia was reluctant to produce a clamshell until this year, when it launched its
first model.
36

OPPORTUNITIES

Increase their presence in the CDMA market, which they are just entering, as well as 3G and
Edge .
New growth markets where cell phone adoption still has room to go, including India and
other countries.
Leverage its infrastructure business to get preference and a stronger position with carriers

THREATS

Late in the game in 3G creates a risk to be displaced by leaders like Motorola, LG, NEC and
others.
Asian OEMs who are entering the market very aggressively (TCL, nGo Bird)
ODMs (HTC and others) enabling carriers to leverage their customer power bypassing the
handset vendor. Operators want to lessen their dependency on handset vendors and the dominance
of Nokia. Orange, O2, and many other operators globally are selling their own brand of phones.










37



CHAPTER III

DATA ANALYSIS AND
INTERPRETATION














38

2.3.1 DATA ANALYSIS AND INTERPRETATION
1) Age

Age No. of Respondents
Less than 20 20
20 30 56
30 40 16
40 50 5
Above 50 3






0
10
20
30
40
50
60
Less than
20
20 30 30 40 40 50 Above 50
Age
No. of Respondents
39


2) Do you own a mobile phone?
No. of Respondents
Yes 100
No 0



Interpretation:
From the response it is seen that 100 respondants own mobile phones.






0
20
40
60
80
100
120
Yes No
Respondent own a mobile phone or
not?
No. of Respondents
40


3) How many mobile phones do you own?
No. of Phones No. of Respondents
One 54
Two 46



Interpretation:
54 respondants own one mobile phone.
46 respondants own two mobile phones.




42
44
46
48
50
52
54
56
One Two
Mobile phones do Respondents own
No. of Respondents
41


4) Which brand and model do you own?

Name of Brand No. of Respondents
Samsung 60
Nokia 40



Interpretation:
Among the respondents 60 of them own Samsung mobile phones and remaining 40 respondants
own nokia mobile phones.




0
10
20
30
40
50
60
70
Samsung Nokia
Brand and Model do Respondent
own
No. of Respondents
42

5) How long have you been using your current mobile phone?

No. of Years No. of Respondents
Less than 1 year 26
1 2 years 38
2 3 years 14
More than 3 years 22


Interpretation:
26 respondants have been using the mobile phones for less than one year
38 respondants have been using the mobile phones for 2 years
14 respondants have been using the mobile phones for 3 years
22 respondents have been using the mobile phones for more than 3 years


0
5
10
15
20
25
30
35
40
Less than 1
year
1 2 years 2 3 years More than 3
years
Length of Ownership
No. of Respondents
43

6) What feature in a mobile phone attracts you the most? Rate them on a scale
aof 1-5.
1- Very important, 2 - Important, 3 - Neutral, 4 Unimportant, 5 - Very unimportant
Features 1 2 3 4 5
Price 34 46 16 4 0
Style 50 40 8 2 0
Camera 60 24 8 2 2
Battery 62 30 8 0 0
Memory 42 42 12 4 0
Durability 42 48 8 2 0
Uniqueness 42 30 22 4 2
Availability 24 32 42 0 2
Service Support 40 42 14 2 2
User Friendly 42 32 24 0 2


Interpretation:
According to the data the most important features for respondants are style , camera and battery.

0
10
20
30
40
50
60
70
Attraction in Mobile Phone
1
2
3
4
5
44

7) Chose between Nokia and Samsung, which is the better mobile based on
following:
Nokia Samsung
Price 56 44
Style 20 80
Camera 30 70
Battery 80 20
Durability 70 30



Interpretation:
According to the responses it is observed that nokia is better than Samsung on battery price and
durability
And Samsung is better than Nokia on style and camera.


0
10
20
30
40
50
60
70
80
90
Price Style Camera Battery Durability
Better Mobile
Nokia
Samsung
45

8) How satisfied are you with the mobile phone you are using?

Extremely
Satisfied
Satisfied Neutral Dissatisfied Extremely
Dissatisfied
Battery 40 48 8 2 0
Camera 28 32 38 2 0
Memory 22 36 32 10 0
Screen Size 32 28 28 10 2
Service Support 30 36 28 4 2


Interpretation
It is observed that maximum number of respondants are satisfied with their phones.



0
10
20
30
40
50
60
Extremely
Satisfied
Satisfied Neutral Dissatisfied Extremely
Dissatisfied
Battery
Camera
Memory
Screen Size
Service Support
46

HYPOTHESIS:
Chi square test is used to analyze if the satisfaction level of customer was the same for Nokia and
Samsung with the following null and alternative hypothesis

Null Hypothesis (H0): Customer satisfaction regarding their mobile phone is independent of the
brand they own.

Alternate Hypothesis (H1): Customer satisfaction regarding their mobile phone is dependent of the
brand they own.

TABLE 0.1

Result:
There is no significant association between the brand and the customer satisfaction for battery and
memory whereas there is significant associate between the brand and customer satisfaction for
camera, screen size and service support.
ASSOCIATION BETWEEN BRAND AND CUSTOMER SATISFACTION



Chi Square p-value Null Hypothesis Accepted/Rejected
Battery
17.74 0.023 Rejected
Camera
7.439 0.282 Accepted
Memory
20.978 0.002 Rejected
Screen Size
12.88 0.116 Accepted
Service Support
9.503 0.302 Accepted
47

11) Do you plan to change your mobile phone?
If yes, to which brand?

Interpretation:
54 respondants are planning to change their mobile phones and 46 respondants are not
planning to change their phones.

12 respondants preferred i phone
8 respondants preferred HTC
13 respondants preferred SONY
10 respondants preferred NEXUS
6 respondants preferred MOTOROLA
5 respondants preferred MICROMAX
54
46
YES NO
42
44
46
48
50
52
54
56
0
2
4
6
8
10
12
14
No. of Preferred Brand
No. of Preferred Brand
48






CHAPTER IV

FINDINGS

















49

2.4 FINDINGS


Samsung is introducing phones very frequently while Nokia introduces a new phone into the
market every two or three months

Samsung has already entered into the market with economical phones to tap the low income
group. On the other hand Nokia is entering into market with windows technology.

Samsung is considered for other features such as internet, design, color, display, etc while
Nokia phones are more user-friendly and is economical.

Samsung is launching new mobiles more frequently to create more completion in the market
it is more inclined towards android operating mobile instead of bada. Whereas Nokia has
come up with few new models in the market but is unable to regain its share because of the
level of competition
Nokia's financial position is surpassing its competitors in telecommunication. While Samsung is
Indulging itself in more than telecom it has more products more than mobiles.

Samsung is always trying to indulge with media through advertisement and innovative
Technology while Nokia has established its leadership in mobile phone market according to its
successful marketing strategies and internal management.

Samsung's philosophy is to learn continuously, to satisfy consumers, and to respect
individual and pursue professionalism.



50









Chapter V


CONCLUSIONS AND SUGGESTIONS


























51



2.5.1 CONCLUSION
The customer analysis of this coursework highlighted that the mobile phones are used by everyone
and they are part of the lifestyle. Extensive research was conducted into the strategies being
implemented.

Samsung is the most innovative mobile handset company which launches mobile handset
very frequently and advertises products through various modes to promote their product and build a
market share for its company. However, they have different interpretations Nokia has saturated the
rural market and is now targeting potentially untapped markets and is trying to gain its market share
with the windows operating system and many few other features which will help to increase its
market share Nearly all mobile handset companies on the other hand have chosen to focus its
energies on the B and C class cities since which it had not ventured into so far. The prominent
brands in the Indian cellular phone industry are Apple, Blackberry, Nokia, Sony Ericsson,
Motorola, and Samsung. Nokia was having market share in India of 60%, now its share has
declined and Samsung has entered into the market with Android. Research suggest that the
Samsung handsets are better than Nokia handsets. There is very close competition between
Samsung, Nokia, and other mobile handset companies, each and every company wants to lead the
race, so they are launching new products very frequently with good technology, better design and
according to the need of the user. In this completion of companies the consumers are being
benefited the most, they are enjoying. The services and pleasure of mobile phones at very
economical price ( depending upon the mobile handset)









52



2.5.2 SUGGESTIONS

After analyzing all the data we have some recommendations such as:-


Advertisements: -

Both Nokia and Samsung are using various modes of advertisement to
promote their products and schemes.

EXAMPLE: -
Giving advertisement on television or cable
Giving print media add which explain all the features of cell phone



SPECIAL SCHEMES: -

Nokia has to come up with innovative products when compared to Samsung. So to increase the
sales it has to improve mobile handset quality, give advertisement or special discount or special
schemes with every purchase of new cell phone. Samsung have color variety in their cell phones
and is equipped with latest technology and features








53

BIBLIOGRAPHY


WEBSITE:

1. http://www.nokia.com
2. www.samsung .com
3. www.ebsco.com
4. www.economictimes.com














54

ANNEXTURES

Questionnaire

Comparative study of Samsung and Nokia :
1) Name

2) Gender

3) Age
a. Less than 20 b. 20-30
c. 30-40 d. 40-50
e. Above 50
4) Do you own a mobile phone?
a. Yes b. No
5) How many mobile phones do you own?
a. One b. Two

6) Which brand and model do you own?
a. Samsung b. Nokia

7) How long have you been using your current mobile phone?
a. Less than 1year b. 1-2 years
c. 2-3 years d. More than 3 years
55

8) What feature in a mobile phone attracts you the most? Rate them on a scale
of 1-5.
1- Very important, 2 - Important, 3 - Neutral, 4 Unimportant, 5 - Very unimportant
Features 1 2 3 4 5
Price
Style
Camera
Battery
Memory
Durability
Uniqueness
Availability
Service Support
User Friendly

9) Chose between Nokia and Samsung, which is the better mobile based on
following:
Particulars Nokia Samsung
Price
Style
Camera
Battery
Durability




56

10) How satisfied are you with the mobile phone you are using?
Extremely
Satisfied
Satisfied Neutral Dissatisfied Extremely
Dissatisfied
Battery
Camera
Memory
Screen Size
Service Support

11) Do you plan to change your mobile phone?
a. Yes b. No
If yes, to which brand?

Preferred Brands IPhone, Sony, HTC, Micromax, Motorola and others.

Thank You!