Executive summery

The project titled Brand visibility of Aircel at APPs with respect to competitors has been carried out for AIRCEL, Chandigarh. The main objective of this project is to know the Status of the company with the competitor in the prevailing market condition. The whole summer internship period with Dishnet Wireless Ltd (Aircel) has been full of learning and sense of contribution towards the organization. In this project the great emphasis is given to find out the brand visibility of Aircel with respect to competitors, whether it is better than other competitors or not?

Dishnet Wireless Ltd. (Aircel) is a telecom network providing company. The main objective of this company is to provide the best services to their customer in low cost as compared to their competitor. They offer more value added service in marginal cost. Occasionally they give some offers for the benefit of the customers and retailer and distributor. According to the study of the markets, it is being observed that there are many players available in the markets and some of them are really doing well but if we talk about brand visibility of these companies, Aircels retail visibility is less effective than other companies. The needs and wants of the client are taken into consideration.

I hope Dishnet Wireless Ltd (Aircel), Chandigarh will recognize this as well as take more references from this project report. HR department has been given more emphasis for the study of the project because it is the only sector where all type of Age group, Income class and different level of people are represented.

According to the market study, Chandigarh is one of the potential markets for the telecom service because a single person uses many SIM (network services). Due to some drawback in the service they do like this; If the company removes

their draw-backs then its sure that the company will get great response from the customer. The main objective of this project is to analyse Brand Aircels visibility & services at APPs ( Aircel Preferred Partners ) Vs Competition in Chandigarh. It will also help me to understand the behavior of retailers, customers and distributers, regarding retail visibility and services.

1. INTRODUCTION
TELECOMMUNICATION - The word telecommunication was adapted from the French word telecommunication. It is a compound of the Greek prefix tele, meaning 'far off', and the Latin communicates, meaning 'to share'. Telecommunication is the transmission of signals over a distance for the purpose of communication. In modern times, this process almost always

involves the sending of electromagnetic waves by electronic transmitters but in earlier years it may have involved the use of smoke signals, drums or semaphore. Today, telecommunication is widespread and devices that assist the process, such as the television, radio and telephone, are common in many parts of the world. There is also a vast array of networks that connect these devices, including computer networks, public telephone networks, radio networks and television networks. Computer communication across the Internet, such as email and instant messaging, is just one of many examples of

telecommunication. The basic elements of a telecommunication system are:

a transmitter that takes information and converts it to a signal for

transmission.

a transmission medium over which the signal is transmitted a receiver that receives and converts the signal back into usable
information. Often telecommunication systems are two-way and devices act as both a transmitter and receiver or transceiver. For example, a mobile phone is a transceiver. Telecommunication over a phone line is called point-to-point communication because it is b/w one transmitter and one receiver, telecommunication through radio broadcasts is called broadcast communication because it is between one powerful transmitter and number of receivers. A collection of transmitters, receivers or transceivers that communicate with each other is known as a network. Digital networks may consist of one or more routers that route data to the correct user. An analogue network may consist of one or more switches that establish a connection between two or more users. For both types of network, a repeater may be necessary to amplify or recreate

the signal when it is being transmitted over long distances. This is to combat attenuation that can render the signal indistinguishable from noise. The shaping of a signal to convey information is known as modulation. Modulation is a key concept in telecommunications and is frequently used to impose the information of one signal on another. Modulation is used to represent a digital message as an analogue waveform. This is known as keying and several keying techniques exist these include phase-shift keying, frequency-shift keying, amplitude-shift keying and minimum-shift keying. Bluetooth, for example, uses phase-shift keying for exchanges between devices.

Telecom Industry in India

The telecom industry is one of the fastest growing industries in India. India has nearly 200 million telephone lines making it the third largest network in the world after China and USA. With a growth rate of 45%, Indian telecom industry has the highest growth rate in the world. Much of the growth in Asia Pacific Wireless Telecommunication Market is spurred by the growth in demand in countries like India and China.

Indias mobile phone subscriber base is growing at a rate of 82.2%. China is the biggest market in Asia Pacific with a subscriber base of 48% of
the total subscribers in Asia Pacific. Compared to that India s share in Asia Pacific Mobile Phone market is 6.4%. Considering the fact that India and China have almost comparable populations, Indias low mobile penetration offers huge scope for growth.

History of Indian Telecommunications Started in 1851 when the first operational land lines were laid by the government near Calcutta (seat of British power). Telephone services were

introduced in India in 1881. In 1883 telephone services were merged with the postal system. Indian Radio Telegraph Company (IRT) was formed in 1923. After independence in 1947, all the foreign telecommunication companies were nationalized to form the Posts, Telephone and Telegraph (PTT), a monopoly run by the governments, Ministry of Communications.

Telecom sector was considered as a strategic service and the government considered it best to bring under state's control. The first wind of reforms in telecommunications sector began to flow in 1980s when the private sector was allowed in telecommunications equipment manufacturing. In 1985, Department of Telecommunications (DOT) was established. It was an exclusive provider of domestic and long-distance service that would be its own regulator (separate from the postal system). In 1986, two wholly government-owned companies were created: the Videsh Sanchar Nigam Limited (VSNL) for international telecommunications and Mahanagar Telephone Nigam Limited (MTNL) for service in metropolitan areas.

In 1990s, telecommunications sector benefited from the general opening up of the economy. Also, examples of telecom revolution in many other countries, which resulted in better quality of service and lower tariffs, led Indian policy makers to initiate a change process finally resulting in opening up of telecom services sector for the private sector. National Telecom Policy (NTP)1994 was the first attempt to give a comprehensive roadmap for the Indian telecommunications sector. In 1997, Telecom Regulatory Authority of India (TRAI) was created. TRAI was formed to act as a regulator to facilitate the growth of the telecom sector. New National Telecom Policy was adopted in 1999 and cellular services were also launched in the same year.

Telecommunication sector in India can be divided into two segments: Fixed Service Provider (FSPs), and Cellular Services. Fixed line services consist of basic services, national or domestic long distance and international long distance Services. The state operators (BSNL and MTNL), account for almost 90 per cent of revenues from basic services. Private sector services are presently available in selective urban areas, and collectively account for less than 5 per cent of subscriptions. However, private services focus on the business/corporate sector, and offer reliable, high- end services, such as leased lines, ISDN, closed user group and videoconferencing.

Cellular services can be further divided into two categories: Global System for Mobile Communications (GSM) and Code Division Multiple Access (CDMA). The GSM sector is dominated by Airtel, Vodafone, and Idea Cellular, while the CDMA sector is dominated by Reliance and Tata Indicom. Opening up of international and domestic long distance telephony services are the major growth drivers for cellular industry. Cellular operators get substantial revenue from these services, and compensate them for reduction in tariffs on airtime, which along with rental was the main source of revenue. The reduction in tariffs for airtime, national long distance, international long distance, and handset prices has driven demand.

Milestones in Telecom Reforms

1984 Manufacturing of subscriber terminal equipment opened to private
sector. 1985 Telecom was constituted into a separate department with a separate board.

 1986 MTNL and VSNL created as corporations. 1988 Government introduces in-dialing scheme. PABX services only within
a building, or in adjoining buildings. 1989 Telecom Commission formed. 1991 Telecom equipment manufacturing opened to private sector. Major international players like Alcatel, AT&T, Ericsson, Fujitsu, and Siemens entered equipment manufacturing market. 1992 VAS sector opened for private competition. 1993 Private networks allowed in industrial areas. 1994 Licenses for radio paging (27 cities) issued. May 1994 New Telecom Policy announced. September 1994 Broad guidelines for private operator entry into basic services announced. November 1994 Licenses for cellular mobiles for four metros issued. December 1994 Tenders floated for bids in cellular mobile services in 19 circles, excluding the four metros, on a duopoly basis. January 1995 Tenders floated for second operator in basic services on a circle basis. July 1995 Cellular tender bid opened. August 1995 Basic service tender bid opened; the bids caused lot of controversy. A majority of bids were considered low. December 1995 LOIs issued to some operators for cellular mobile operations in circles. January 1996 Rebidding takes place for basic services in thirteen circles. Poor response. The Telecom Regulatory Authority of India (TRAI) formed by ordinance. October 1996 LOIs being issued for basic services. March 1997 The TRAI Act passed in Parliament. June 1998 Several VASs available through private operators. The first private basic service becomes operational. March 1999 Announcement of National Telecom Policy. January 2000 Amendment to the TRAI Act. August 2000 Announcement of Domestic Long Distance Competition Policy. October 2000 Planned Corporatization of DoT.

CHAPTER- 2

2.Objective of our study is:

To analyise the visibility, stock and recommendation of Aircel at APPs. To find out the presence of AIRCEL as a brand in APPs of Chandigarh area To find out customers preference and point of view regarding the various
companies prevailing in the market.

Implement the suggestions and then analyzing the results based on the
suggestions given.

To find out the level of recommendation that retailer gives to Aircel over
various services provided by competitors.

3. RESEARCH METHODOLOGY
Research methodology is a way to systematically do the job. It may be understood as a science of studying how research is done scientifically. The most desirable approach with regards to the selection of the research methodology depends on the nature of particular work, time and resources available along with the desire level of accuracy. The research process methodology consists of six steps and these steps are as follows: 1. Problem definition. 2. Development of an approach to the problem. 3. Research design formulation. 4. Field work or data collection. 5. Data preparation and analysis.

6. Report preparation and presentation with recommendations. 7. Company Action on recommendations. 8. Final results/Outcome

Title of the study:

A Study on BRAND VISIBILITY OF AIRCEL AT APPs WITH RESPECT TO COMPITITORS. Definition: The display of products which makes them appealing, attractive, accessible, engaging, and excites the shoppers to visit a retail store. Visual merchandising utilizes displays- Posters, Banners, Leaflet, Dangler, Wall units, Inshops, digital technology and interactive elements to catch customers' attention and persuade them to make purchases. Visual merchandising helps convey the image of the brand and reflects the personality of the target markets that the retail store wants to attract.

PROBLEM DEFINATION---Concern Area The first step in any marketing research is to define the problem. In defining the problem, the researcher should take into account the purpose of study, the relevant background information and the information needed. Statement of problem: The purpose of our study is as follows:A MOBILE CONNECTION and DEMO BALANCE (recharge vouchers) are a specialty cum convenience good. The study identifies the visibility of aircel at AIRCEL PREFERED PARTNERS and suggesting measures to improve the market

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presence.

To find out the presence of AIRCEL BRAND through a defined matrix wrt
boards, danglers, posters, standees, banners, sim stock and other visibility governing products in APPs of Chandigarh and measures to improve it with compression of competitors. Wherin we gauge the visibility index through the matrix.

RESEARCH DESIGN A research design is a framework for conducting the marketing research project. It details the procedure necessary for obtaining the required information, and its purpose is to design a study that will test the hypothesis of interest, determine possible answers to research questions and provide the information needed for decision making. Formulating the research design involves the following steps:-

RESEARCH DESIGN: Descriptive Research.

We are using the descriptive research as we know the problem and by using this type of research we are able to get information regarding the attitude and loyalty of APPs towards Aircel. A research design is the arrangement of conditions for the collection and analysis of data in a manner that aims to combine relevance to the research purpose with economy in procedure. Research design can be classified into three broad classes, exploratory, descriptive and casual. In this study descriptive research was used. This is because descriptive research is essentially a fact and finding approach related largely to the present and abstracting generalizations by cross sectional study of current situation.

METHOD OF COLLECTING QUANTITATIVE DATA: The research instrument which we are using in our research paper is a

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questionnaire, which was not directly given to the APPs but was filled by me after observation and counter questioning as a mystery shopper. I judged the recommendation of the retailer and took his feedback for the same. The visibility was judged through a visibility matrix and stock level was judged through matrix where recharge vouchers (RVC) and balance was checked. The reason for using the direct method of interview and mystery shopping was to get the accuracy of personal interview and unbiased information. The filled questionnaire was later analyzed and interpreted to draw conclusions.

SAMPLING TOOLS & TECHNIQUES: TARGET POPULATION: All Aircel Preferred Partners in Chandigarh. SAMPLING FRAME: All retailers of Punjab region. SAMPLING SIZE: Our sample size will consist of 38 APPs. SAMPLING TECHNIQUE: We are using judgmental sampling technique. CONTACT METHOD: Personal Interview as a mystery shopper. DATA SOURCES: Primary Data. RESEARCH INSTRUMENT: Questionnaires and visibility matrix. TYPE OF QUESTIONNAIRES: Unstructured

FIELD WORK:- Our field force consists of 1 MEMBER only and our field is
Chandigarh city. Analysis of the collected data After the collection of data required, the statistical data have been analyzed in tabular

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form so that it may systematically describe the characteristics of the variables. The analyzed data is then represented by means of pie charts and bar diagrams.

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MAXIS
Maxis expansion into Indonesia and India is another milestone in our aspiration to be the regional communications leader of choice. The acquisition of a 51% stake in PT Natrindo Telepon Seluler (NTS), Indonesia and a 74% equity interest in Aircel, India provides new growth opportunities for Maxis. These acquisitions give Maxis a strong foothold in two of the worlds most attractive high-growth, low-penetration markets. This marks the beginning of the new world of Maxis a world beyond voice, and beyond borders.

Maxis in INDONESIA

On 29th April 2005, Maxis acquired 51% of PT Natrindo Telepon Seluler (NTS). Maxis are currently in the middle of rolling out a Java wide network to establish the company as a national operator. The initial launch phase encompasses 1,300 BTS, providing both 2G and 3G services. NTS expects to have up to 480 employees by launch date and to increase significantly upon launching.

MAXIS IN INDIA
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Maxis in India Maxis completed the acquisition of a 74% stake in Aircel on March 21, 2006. Currently, Aircel has operations in 9 of the 23-telecom circles of India - Chennai, Tamil Nadu, West Bengal, Orissa, Assam, North East, Jammu and Kashmir, Himachal Pradesh and Bihar. Aircel launched its services in Bihar and Himachal Pradesh in December 2006 and also recently received the licenses to operate in the remaining 14-telecom circles of India giving it the ability to become a pan-India player. Maxis expansion into Indonesia and India is another milestone in our aspiration to be the regional communications leader of choice. The acquisi-tion of a 51% stake in PT Natrindo Telepon Seluler (NTS), Indones -ia and a 74% equity interest in Aircel, India provides new growth opportunities for Maxis. These acquisitions give Maxis a strong foothold in two of the worlds most attractive

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high-growth, low-penetration markets. This marks the beginning of the new world of Maxis a world beyond voice, and beyond borders. MAP Maxis in Indonesia On 29th April 2005, Maxis acquired 51% of PT Natrindo Telepon Seluler. Maxis is currently in the middle of rolling out a Java wide network to establish the company as a national operator. The initial launch phase encompasses 1,300 BTS, providing both 2G and 3G services. NTS expects to have up to 480 employees by launch date and to increase significantly upon launching. Maxis in India Maxis completed the acquisition of a 74% stake in Aircel on March 21, 2006. Currently, Aircel has operations in 9 of the 23 telecom circles of India - Chennai, Tamil Nadu, West Bengal, Orissa, Assam, North East, Jammu and Kashmir, Himachal Pradesh and Bihar. Aircel launched its services in Bihar and Himachal Pradesh in December 2006 and also recently received the licenses to operate in the remaining 14 telecom circles of India giving it the ability to become a panIndia player. Aircel expects to aggressively grow its subscriber base in India and is developing a broad range of new propositions for its customers - from branding, to increased network coverage, to innovative product and service offerings, to refreshing customer experience. As of 31st December 2006, Aircel serves more than 4.5 million subscribers with a network comprising of almost 4,000 BTS. Aircel continues to be the market leader in Tamil Nadu and Chennai circle. Aircels network provides 2G and GPRS services, and is EDGE capable. Aircel is also currently in the process of conducting 3G Trials across different cities in India. In addition, Aircel is the first cellular operator in India to launch wireless Internet services using WiMAX technology. It aims to immediately extend its WiMax coverage to over 20 cities to serve enterprise broadband customers. Over the next few quarters, India is expected to add new subscribers

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at the rate of 5 to 6 million per month. India offers huge opportunities for Aircel given the current low mobile penetrations levels as well as challenges in terms of its geographic spread and low ARPU levels. Aircel expects to aggressively grow its subscriber base in India and is developing a broad range of new propositions for its customers - from branding, to increased network coverage, to innovative product and service offerings, to refreshing customer experience. As of 31st December 2006, Aircel serves more than 4.5 million subscribers with a network comprising of almost 4,000 BTS. Aircel continues to be the market leader in Tamil Nadu and Chennai circle. Aircels network provides 3G and GPRS services, and is EDGE capable. Aircel is also currently in the process of conducting 3G Trials across different cities in India. In addition, Aircel is the first cellular operator in India to launch wireless Internet services using WiMAX technology. It aims to immediately extend its WiMax coverage to over 20 cities to serve enterprise broadband customers. Over the next few quarters, India is expected to add new subscribers at the rate of 5 to 6 million per month. India offers huge opportunities for Aircel given the current low mobile penetrations levels as well as challenges in terms of its geographic spread and low ARPU levels.

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About Aircel
Type Founded Headquarters Key people Industry Parent Private 1999 Chennai, India Gurdeep Singh, CEO Telecom Maxis communications (74%) Apollo Hospital (26%) Products Website Mobile Telecommunication operator http://www.aircel.com

The Aircel group is a joint venture between Maxis Communications Berhad

of Malaysia and Sindya Securities & Investments Private ltd. whose current shareholders are the Reddy family of Apollo Hospitals Group of India, with Maxis Communications holding a majority stake of 74%.

Aircel commenced operations in 1999 and became the leading mobile

operator in Tamil Nadu within 18 months. In December 2003, it launc hed commercially in Chennai and quickly established itself as a market leader a position it has held since.

Aircel began its outward expansion in 2005 and met with unprecedent -ed
success in the Eastern frontier circles. It emerged a market leader in Assam and in the North Eastern provinces within 18 months of ope rations. Till today, the company gained a foothold in 18 circles include -ing Chennai, Tamil Nadu, Assam, North East, Orissa, Bihar, Jammu & Kashmir, Himachal Pradesh, West Bengal, Kolkata, Kerala, Andhra Pradesh, Karnataka, Delhi, UP(West), UP(East), Maharashtra & Goa and Mumbai.

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 The Company has currently gained a momentum in the space of tele- com in
India post the allocation of additional spectrum by the Depart -ment of Telecom, Govt. of India for 13 new circles across India. These include Delhi (Metro), Mumbai (Metro), Andhra Pradesh, Gujarat, Haryana, Karnataka, Kerala, Madhya Pradesh, Maharashtra & Goa, Rajasthan, Punjab, UP (West) and UP (East).

MARKET STRUCTURE OF TELECOM INDIA

Jammu & Kashmir

Divided into 22 circles

Himachal Pradesh Punjab Uttar Pradesh W

4 metros 19 circles
Market StructureFurther divided into A, B and C category based on economic parameters and revenue potential Each circle has a licenses Four operators per circle are allowed Licenses are saleable
Rajasthan

Haryana

DELHI Uttar Pradesh E

Bihar West Bengal Gujarat Madhya Pradesh

Maharashtra

Orissa

KOLKATA

MUMBAI

Andhra Pradesh

Karnataka

METRO Circles
CHENNAI

A Circles B Circles C Circles

Tamil Nadu Kerala

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TELECOM CIRCLE IN INDIA

1. Andaman & Nicobar Telecom Circle 2. Andhra Pradesh Telecom Circle 3. Assam Telecom Circle 4. Bihar Telecom Circle 5. Chhattisgarh Telecom Circle 6. Gujarat Telecom Circle 7. Haryana Telecom Circle 8. Himachal Pradesh Telecom Circle 9. Jammu & Kashmir Telecom Circle 10. Jharkhand Telecom Circle 11. Karnataka Telecom Circle 12. Kerala Telecom Circle 13. Madhya Pradesh Telecom Circle 14. Maharashtra Telecom Circle 15. North East-I Telecom Circle for Meghalaya, Mizoram and Tripura 16. North East-II Telecom Circle for Arunachal Pradesh, Manipur and Nagaland. 17. Orissa Telecom Circle 18. Punjab Telecom Circle 19. Rajasthan Telecom Circle 20. Tamil Nadu Telecom Circle 21. Uttar Pradesh (East) Telecom Circle 22. Uttar Pradesh (West) Telecom Circle

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23. Uttaranchal Telecom Circle 24. West Bengal Telecom Circle Metro Districts 1. Kolkata Telecom District 2. Chennai Telecom District

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BASIC STRUCTURE OF INDIAN TELECOM

Ministry of Communication & Information Technology

Licensor Dept of Telecom Unified License Operators Fixed Line Operators National Long Distance Operators CDMA International Long Distance Operators Judiciary Telecom Dispute Settlement Appellate Tribunal Wireless Operators GSM 900 & 1800 1800Mhz

Regulator Telecom Regulatory Authority of India

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HOLDING COMPANY
1. DISHNET WIRELESS LIMITED 2. AIRCEL CELLULAR LIMITED 3. AIRCEL BUSINESS SOLUTIONS

DISHNET WIRELESS LIMITED-This Company provides broadband

services in different circles & it is one of the company which uses WIMAX technology.

AIRCEL CELLULAR LIMITED-This Company provides mobile services

in different circles.

AIRCEL BUSINESS SOLUTIONS-This is the sub part of aircel cellular

limited which executes the ILD,NLD, WIMAX operations for aircel cellular.

COMPANY PRODUCTS AIRCEL SIM Cards AIRCEL VOUCHERS AIRCEL E-Recharge AIRCEL INQ Mobile AIRCEL Pocket Internet AIRCEL Blyk

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AIRCEL SERVICES

SERVICES

PRE-PAID

POST-PAID

Any mobile service provider companies provide two types of facility for the usages 1. PRE-PAID 2. POST-PAID PRE-PAID: PRE-PAID Define as a pre paid and then use. In this type customer purchases the recharge coupons and other value added services card from retail shops and then that can use. In the PRE-PAID if we have no sufficient balance then we cannot make a call.

POST-PAID: POST-PAID Define as a post means first use and then paid. In this type of facility we can make a call unlimited till the credit limit. There are many types of facility who divert my opinion to use the Post-paid Facility.

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VALUE ADDED SERVICES

COLOUR SMS CALLER RING BACK TONE AIRCEL 55555 SERVICE Music Stations: Astrology Jokes Bollywood News Tips AIRCEL HEALTH SERVICES RAILWAY SERVICES PLAY SCRABBLE Search your favourite Ring tone Punjabi Ring tones Voice Mail Service Save Your Contacts Healthy Living Tips SIM browser services Dictionary

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 Funny Logos and Pictures Regional Ring tones Jokes Hollywood/English Ringtones, Picture Messages and Logos

Non-stop downloads of your favorite stars' Wallpaper, latest Polyphonic Ringtones, MP3 tones, True tones, Music Videos, Movie videos, Themes, Movie Themes and Mobile games only on Aircel pocket internet. Whats more, activating this service is free and browsing the portal is charged just @10p/10Kb. Charges:

SMS sent to 121 will be Free. Browsing charges 10paisa/10 Kb.

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The major key players in the Telecom Market in India

The Key players in the Telecom Market in India

Cellular Service provider: 1. Airtel 2. Aircel 3. BSNL 4. Docomo 5. Idea 6. Reliance 7. Tata indicom 8. Uninor 9. Videocon 10.Virgin 11. Vodafone 12.MTS 13. S Tel

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Classification of Telecommunication services 1. Basic services 2. Cellular services 3. Internet Service Provider (ISP)

Cellular Service
Overview
1. 2.

There are ten private service operators in each area, and an incumbent. state operator. Almost 80% of the cellular subscriber base belongs to the pre-paid segment.

3.

The DoT has allowed cellular companies to buy rivals within the same operating circle provided their combined market share did not exceed 67 per cent. Previously, they were only allowed to buy companies outside their circle.

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The DoT and the Precursor to Reform

In one of the earliest steps towards reforms and boosting indigenization efforts, the government set up the Centre for Development of Telematics (C-DOT) in 1984 with the objective of initiating and managing research in the switching and transmission segments.Subsequently, the government separated the Department of Post and Telegraph in 1985 by setting up the Department of Post and the Department of Telecommunications.In 1986 two new public sector corporations. The Mahanagar Telephone Nigam Limited (MTNL) and the Videsh Sanchar Nigam Limited (VSNL).were set up under the Department of Telecommunications (DoT). The MTNL, which was carved out of the Dot, took over the operation, maintenance, and development of telecom services in Bombay and New Delhi. The VSNL was set up to plan, operate, develop, and accelerate international telecom services in India. The government created the corporate organizations in orderto allows decision making autonomy and flexibility and facilitates public borrowings that would not have been possible under a government framework. However, policy formulation, regulation, and several key decision areas remained with the DoT. A new organization, the Telecom Commission, was created in 1989 with a wide range of executive, administrative, and financial powers to formulate and regulate policy and prepare the budget for the DoT. The Telecom Commission

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had four full-time members managing technology, production, services, and finance and four part-time members representing the Planning Commission, Department of Finance, Department of Industry, and Department of Electronics. The creation of the MTNL, its subsequent operations, and the relationship of the personnel employed in the MTNL to their counterparts in the DoT raised questions about the organizational structure most suited for this sector. Therefore, in 1991, upon government initiative, the high-powered Athreya Committee submitted a report on the appropriate organizational structures for this sector. The report recommended: Placing both policy and regulatory mechanisms under the Telecom Commission. Breaking up of the DoT into zonal corporations under the government. Setting up of a corporation, initially in the public sector, to handle the long-distance network. Allowing value-added services (VASs) to be provided by the private sector. Indicating general liberalization in production of equipment

giving autonomy to R&D and training institutions. Subsequently, other studies for reforms had been commissioned, but in the absence of public debate, and employee and union concerns regarding the consequences of implementation. The government did not formally adopted any report.. Since 1997, there were several statements in the media by key decision makers and the Communications Minister calling for corporatization of the DoT.

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However, there was very little public information or debate regarding the sequence of decisions leading to corporatization or the form of corporate structure. Since 1995, there was increasing pressure from international organizations such as the WTO to review the monopoly status of the VSNL and the Dots monopoly in international long-distance communication respectively. The government had undertaken to review the monopoly status of the VSNL in 2004 and the possibility of opening of long distance in 1999. The VSNL continued to have a monopoly over international telecom and broadcast transmission. It had planned to enter the long-distance market but the DoT hampered its plans. In 1999, the government created the Department of Telecom Services (DTS), whos Secretary was appointed from the Indian Telecom Services (ITS) cadre, and the DoT from the erstwhile the DoT, whos Secretary was appointed from the Indian Administrative Services (IAS). This was done ostensibly to separate the service provision component (DTS) from that of policy making (DoT). In reality this was to accommodate the conflict caused by the governments decision to appoint a Secretary to the department from the IAS, as DoT employees wanted the Secretary to be from the ITS. When the DTS Secretary retired, the government appointed an IAS officer in his place, which again led to agitation and further bifurcation of the DTS into the Department of Telecom Operations (DTO) and DTS. The DTS was to be headed by an IAS officer responsible for the MTNL, VSNL, Telecommunications Corporation of India Limited (TCIL), Indian Telephone Industries Ltd. (ITI), and Hindustan Teleprinters Limited

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(HTL) as well as for formulating the strategy for corporatization. The DTO was responsible for managing the telecom network. The governments view has been that a person from outside the ITS cadre would be better able to oversee the corporatization of the DoT since in the past senior management of the erstwhile DoT, mostly from the ITS, had resisted any kind of change. Although an outsider Secretary was ostensibly to facilitate corporatiz ation, it is not clear how, without the requisite mandate from the empl oyees and especially the senior managers, he/she would be able to lead such a major task. This is not to say that the ITS cadre was better equipped to handle this task. What was missing was an overall strategy and an indication of the direction of change to inform the administrative changes. The government seemed to view corporatization as an adminis -trative decision rather than a process. The Athreya Committee report as well as subsequent reports on restructuring may be viewed as the initiation of a process of Examining organizational options. The reports, however, did not accord due attenti on to the need for autonomy in financial and Operational decision making. Management incentives that would have allowed these organizations to increase profitability and raise capital from markets had been only very sketchily outlined thus access to capital would have been a problem. Besides the limitations, the suggested changes were superficial since most .restructured. Organizations showed too much of Control and rule orientation and continued to work in much the same manner as before.

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 Inability of top management and political executives to address the need to make the DoT more competitive could be cited as a failure. Given the large base of employees who had been entrenched in a typical bureaucra -tic mode of functioning providing Customer orientation and a commercial approach were, and continue to be, the most difficult tasks. The DoT had no specific training policy in this regard. Though there were several training centers, these were not equipped to provide management training. The restructuring was far more concerned with form than content. Areas like identifying the mechanisms for acquiring new core Capabili ties, developing appropriate incentives, and nurturing a climate in which change could take place were lacking.

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Telecommunications Regulatory Authority of India (TRAI)

The Telecommunications Regulatory Authority of India or TRAI (established in 1997) is the independent regulator established by the Government of India to regulate the telecommunications business in India. Notwithstanding anything contained in the Indian Telegraph Act, 1885, the functions of the Authority shall be to(a) Make recommendations, on a request from the licensor, on the following matters, namely: (i) need and timing for introduction of new service provider; (ii) terms and conditions of license to a service provider; (iii) revocation of license for non-compliance of terms and conditions of license: (iv) Measures to facilitate competition and promote efficiency in the operation of telecommunication services so as to facilitate growth in such services. (v) Technological improvements in the services provided by the service providers.

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(vi) Type of equipment to be used by the service providers after inspection of equipment used in the network. (vii) measures for the development of telecommunication technology and any other matter relatable to telecommunication industry in general; (b) Discharge the following functions, namely:(i) ensure compliance of terms and conditions of license; (ii) notwithstanding anything contained in the terms and conditions of the license granted before the commencement of the Telecom Regulatory Authority (Amendment) Ordinance, 2000, fix the terms and conditions of interconnectivity between the service providers; (iii) Ensure technical compatibility and effective inter-connection between different service providers. (iv) regulate arrangement amongst service providers of sharing their revenue derived from providing telecom services; (v) lay down the standards of quality of service to be provided by the service providers and ensure the quality of service and conduct the periodical survey of such service provided by the service providers so as to protect interest of the consumers of telecommunication services. (vi) lay down and ensure the time period for providing local and long distance circuits of telecommunication between different service providers; (vii) maintain register of interconnect agreements and of all such other matters as may be provided in the regulations;

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(viii) keep register maintained under clause (viii) open for inspection to any member of public on payment of such fee and compliance of such other requirement as may be provided in the regulations; (ix) ensure effective compliance of universal service obligations (c) Levy fees and other charges at such rates and in respect of such services as may be determined by regulations. (d) Perform such other functions including such administrative and financial functions as may be entrusted to it by the Central Government or as may be necessary to carry out the provisions of this act. Provided that the recommendations of the Authority specified in the clause (a) of this sub-section shall not be binding upon the CentralGovernment: Provided further that the Central Govt shall seek the recommendations of the Authority in respect of matters specified in sub-clauses (i) and (ii) of clause (a) of this subsection in respect of new license to be issued to a service provider and the Authority shall forward its recommendations within a period of sixty days from the date on which that Government sought the recommendations: Provided also that the Authority may request the Central Government to furnish such information or documents as may be necessary for the purpose of making recommendations under sub-clauses (i) and (ii) of clause (a) of this sub-section and that Government shall supply such information within a period of seven days from receipt of such request: Provided also that the Central Government may issue a license to a service provider if no recommendations are received from the Authority within the period of specified in the second provision or within such period as may be mutually agreed upon between the Central Government and the Authority.

37

Provided also that if the Central Government has considered that recommendation of the Authority comes to a prima facie conclusion that such recommendation cannot be accepted or needs modifications, it shall, refer the recommendations back to the Authority for its reconsideration.

ROLE OF INDIAN GOVERNMENT

The Indian government has played a significant role in setting the stage for growth in mobile telecommunications. Through the oversight of the Telecom Regulatory Authority of India (TRAI), the government has made many changes to regulations and policies to remove hurdles and spark growth. First, the Indian government introduced the Unified Licensing Regime in 2003. This regime allows operators to offer any service through the technology of their choice, in any area in which they currently operate. Thus, all telecom services (including voice, data, cable TV, and radio broadcasting) can now be delivered through a single medium and are covered by a single license. Unified licensing shifted operator behavior and caused operators to start focusing on converged services and networks for cost efficiency which, in turn, allows them to offer pricing conducive to rapid growth. In addition, the Indian government has raised the maximum foreign direct
investment (FDI) limit from 49 percent to 74 percent in Telecom Sector. The government also enacted the Access Deficit Charge (ADC) policy, which requires that a share of call revenue be paid to the government to assist in funding network expansion into rural areas.As of early 2005, several regulations were imminent.

First, the launch of an All India license would give operators the right to provide all forms of service throughout India with one license. This structure would initiate the next phase of market consolidation, with the result likely being five to six main players. The players would have greater scale which would lead to higher cost efficiency and, ultimately, more flexibility, and allow even fixed line users to switch to mobile services seamlessly possibly increasing competition in the market. Finally, the government needed to decide how to increase spectrum capacity, since 2G networks are nearing full capacity (2G stands for second generation cellular technologies, which are circuitbased, voice technologies deployed in the 1990s. This standard is being replaced around the world with 3G networks that are faster .

38

AWARDS AND RECOGNITIONS

39

Aircel has won many awards and recognitions. Voice and Data gave Aircel the highest rating for overall customer satisfaction and network quality in 2006. Aircel emerged as the top mid-size utility company in Business world List of Best Mid-Size Companies in 2007.Additionally, Tele. Netrecogni -sed Aircel as the best regional operator in 2008. With over 25 million happy customers in the country, Aircel is a full-fledged national operator.

Since its foundation in 1999 and the company has gone from strength to
strength and by late 2006, company served some 4 million subscribers in Chennai, Tamil Nadu and Northern and Eastern India.

40

 Aircel network cover more than 135 towns and over 1500 Kms of state and
national highways in the Bihar circle and the network is being rolled out with 2-MSCs,7-BSCs and 750 BTS to ensure the seamless connecti eity.

Aircel also established a world class 24*7 Soft Switch / IP Based Call Center
at Patna.

Aircel has recently been honored as the No.1 operator across all metro
circles for customer satisfaction by Voice and Data magazines survey in 2008.

Currently, Aircel has a marked presence in the North and North East circle
of the country including Rest of West Bengal, Orissa, Sikkim, Manipur, Jammu and Kashmir, Himachal Pradesh and Bihar.

Aircel had acquired RPG Cellular in the Chennai circle in December, 2003,
and since then the cellular service provider has registered a whopping 117.8% growth in its subscriber base.

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OUR GOALS AND VALUES

CUSTOMERS :our customers are our most valued assets. we will strive to exceed their expectations at all time by providing them with superior services that embody value, innovation, quality and care. PEOPLE: our people are our greatest resources. we will attract, train and retain the best.we will challenge them to develop their full potential in the context of our company goals. INTEGRITY: We will maintain and strive for the highest levels of personal and professional integrity and honesty in all ours dealings. We will keep our promises. RESPECT: We will treat with respect & dignity all people we deal with. EXCELLENCE: We are committed to excellence in all what we do.there will be no place for mediocrity. WORK: We will promote a work environment that embraces creativity, promotes empowerment, encourages team work, innovation, prudent risk taking, honest and open communication and respectful iconoclasm QUALITY: the hallmark of our internal and external outputs and processes will be quality.this will pervade every aspect of our functioning.

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AIRCEL MARKET SHARE IN INDIA

Total Telephone subscriber base reaches 653.92 Million Wireless subscription reaches 617.53 Million Wire line subscription declines to 36.39 16.30 Million new additions in wireless Overall Tele-density reaches 55.38 Broadband subscription is 9.24 million Service providers share in overall Net additions: Bharti 18.4% Reliance 17.28% Vodafone 15.89% Tata 14.26% Idea 10.81% Aircel 9.87% Telecom service provider Aircel today said it plans to invest USD 1.4 billion (over Rs 6,474 crore)this year on expending its Operations and become panIndia GSM opreator by June.

We plan to invest USD 1.4 billion this year for expanding our networks and on existing operations. By June 2010, we plan to have operations in all 23 telecom circles in the country," Aircel Chief Operating Officer Gurdeep Singh told PTI.

Talking about the company's future investment plans, Singh said Aircel will invest another USD 2.6 billion in the next two years (2011 and 2012).At present the telco operates in 18 telecom circles across the country. It plans to launch its service in the remaining circles of Haryana, Madhya Pradesh, Rajasthan, Gujarat and Punjab by June, making it a pan-India operator.

43

Aircel is also aiming to triple its subscriber base to a record 100 million users by 2012, said Aircel Director Sandip Das, who is also the Chief Executive Officer of Maxis Communications. Malaysias Maxis Communications controls Aircel. At the end of January, Aircel had a subscriber base of 33 million.

Aircel is at the fifth place among pure GSM operators, with a market share of 8.38 per cent after Bharti, Vodafone, Idea and BSNL.

FUTURE AHEAD
Aircel has a good future ahead, being one of the most dominant operator in
South India. The company has planned for investing a handsome amount of money for developing the infrastructure in the near future. But the future ahead is not going to be cakes walk for Aircel because telecom giants like BSNL, Airtel, Vodafone, etc. are in front of it. The company needs to think and take appropriate action for betterment.

With the pool of talented and hard working employees, it is not that tough
for Aircel to become one of the major players in telecom in the coming future.

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ABOUT THE PROJECT

Introduction of the topic
A Study on BRAND VISIBILITY OF AIRCEL AT APPs WITH RESPECT TO COMPITITORS. Definition: The display of products which makes them appealing, attractive, accessible, engaging, and enticing to shoppers in a retail store. Visual merchandising utilizes displays - Posters, Banners, Leaflet, Dangler, lighting, digital technology and interactive elements to catch customers' attention and persuade them to make purchases. Visual merchandising helps convey the image of the brand and reflects the personality of the target markets that the retail store wants to attract. RESEARCH PROBLEM

SCOPE OF STUDY
The scope of the study for management student gets to apply all their theoretical knowledge in the companys summer training. During training they solve the particular problem given by the company and come to know the various things practically. The study gives the company a true and unbiased picture of it position and standing in the and also its image in the society. The company could take appropriate steps to increase the availability of AIRCEL products thus increasing the sales in Chandigarh. The study was

45

conducted among retailer outlets of Chandigarh only and it was conducted only for a period of 45 days.

Review of literature: Once the problem is identified, the researcher should undertake extensive literature survey concerned with the problem. The review of related literature involves the systematic identification, location and analysis of documents containing information related to research problem. It enables us to know what already has been done in the area of our problem. For this purpose, the abstracting and indexing published or unpublished dissertations, journals and bibliographies are the first place to go to. The researcher should also refer to books, government documents, reports, conferences proceedings minutes according to the need of problem. Especially the researcher should go through the earlier studies if any conducted in similar problem area. The researcher should search for a good library and be familiar with the services offered by the library as well as the rules and regulations of it. Sampling : It is almost impossible to study the whole population. The study of the whole population requires a great deal of time, money and man power . Therefore the study of population if not possible still it is impractic -able. The solution to this problem is sampling. Sampling is the process by which an individual, objects or events is selected and analyzed in order to find out something about the entire population from which it was selected. Sample is the representative proportion of the entire population in which all the characteristics of population exists. SAMPLE SIZE The selected respondent constitutes what is technically called a Sample. Sample size of 38APP outlets was taken for the study from all places of Chandigarh.

46

DATA COLLECTION The task of data collection begins after a research problem has been defined and research design plan chalked out. While deciding about the method of data collection to be used for the study, the researcher should keep in mind two types of data viz., primary and secondary. Primary data was collected for the study. PRIMARY DATA Primary data are those which are collected afresh and for the first time, and thus happens to be original in character. The sources of primary data were from

Aircel Preferred Partners Customers in the outlet

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48

DATA ANALYSIS

Retailer's Preference
company No. of retailers percentage 27.2 21.4 1.4 8.6 10 4.3 27.7 aircel airtel bsnl docomo idea reliance vodafone

aircel airtel bsnl docomo idea reliance tata indicom videocon virgin vodafone ping

According to the analysis, Aircel and Vodafone were the most recommended networks by the retailer with 27% each retailers recommending and Airtel on 3rd number with 21% while idea at 4th position with 10% retailers preferring Idea and Docomo at 5th position with 8.5% recommendation.

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RETAILERS RECOMMENDATION
High recommendation Moderate recommendation No recommendation

High Racomendation Moderate Recommendation No Recomendation

According to the above analysis, 55% of the APPs strongly recommended Aircel while 36% of them gave a moderate recommendation while 9% of them did not recommend Aircel at all.

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BRAND VISIBILITY

co./ basis Visibility

aircel

airtel

bsnl

docomo

idea

reliance

Tata indicom 2%

videocon

virgin

vodafone

Ping

28%

29%

0%

8%

8%

10%

1%

0%

12%

1%

aircel airtel bsnl docomo idea reliance tata indicom videocon virgin vodafone ping

According to the above analysis, Airtel was the most visible brand in the market with 29% and Aircel on 2nd position with 28% following Vodafone , Reliance and Docomo with 12%, 10% and 8%.

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Visibility of Aircel
Excellent Good Average 11 15 12

Excellent Good Average

Out of the 38 APPs visited, 28% retailers had excellent visibility, 41% had good visibility while rest 31% had an average visibility.

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SIM STOCK AVAILABE FOR SALES

Co. Sim stock (units)

aircel 1286

airtel 1546

bsnl 216

docomo 1108

idea 870

reliance 565

Tata indicom 92

videocon 194

vodafone 1953

aircel airtel bsnl docomo idea reliance tata indicom videocon virgin vodafone ping

Out of all 38 APPs, the sims available for sales were:Vodafone at 1st position with 1953 (25%) sims covering of the total market Airtel at 2nd position with 1546 sims (20%) of the market Aircel on 3rd position with 1286 sims (16%) of the market share followed by Docomo 14% and Idea 11%.

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DEMO BALANCE WITH RETAILER

Co. Balance (Rs) %age

aircel 154602

airtel 375600

bsnl 98000

docomo 148200

idea 122260

reliance 110400

Tata indicom 12600

videocon 30500

vodafone 162850

aircel airtel bsnl docomo idea reliance tata indicom videocon virgin vodafone ping

Airtel was the leader with 31% of the total demo balance followed by Aircel and Vodafone with total share of 13% each followed by it is Docomo with 12% and Idea with 10% market share.

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CUSTOMERS CHOICE
company No. of retailers percentage 22.3 11.12 5.56 5.56 16.67 5.56 5.56 27.78 aircel airtel bsnl docomo idea reliance Tata indicom vodafone

aircel airtel bsnl docomo idea reliance tata indicom vodafone

Customers chose Vodafone over Aircel followed by Idea. 28% people chose Vodafone as their first preference, 22% chose Aircel as their first choice, while 16% chose Idea as their first choice.

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Terms considered by customer while purchasing a new connection

network coverage std call rates local call rates isd call rates internet 3g services vas 32% 10% 16% 5.% 10% 5% 21%

terms concidered by customers while purchasing a connection

network coverage std call rates local call rates isd call rates internet 3g services vas

The analysis shows that out of the customers interviewed, following was the composition of their consideration which they wish to be satisfied by the purchase of a new connection.

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RECOMMENDATIONS & SUGGESTIONS:By going through all the study there are some recommendations and suggestion that can make the study more effective as well as can create a good results for AIRCEL brand visibility. These suggestions are as follows:-

Regular pasting of danglers, tapes, posters, banners at these outlets should

be done and noted.

The company should arrange canopy at areas where the crowd mostly
consists of student. E.g. sec 15,34,35.

Aircel representatives should be present at mobile centered retail shops.

Like in sec. 22 and 20 I.T. market.

The company should convince and make the retailers positive by listening
to their problems and meeting their needs.

Remove the tapes and boards which are covering and hiding Aircel
boards (Music Masti ph4 Mohali, Solan-Shimla traders Mani Majra).

Regular visit of Aircel representatives at these outlets. Regular maintenance of boards and flenges. Increase the sim stock at the outlets where required and avoid over
stocking.

Increase the recharge and demo balance where it is less. Increase the network coverage. Bring back the free talk time vas which was there during introduction of
the company.

Increase awareness & advertise more to make people aware about the
new schemes. (very less people are aware of carry your plan ).

Increase visibility at app outlets at Chandigarh.

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 Some promotional strategies should be used in outer & rural areas as very
less awareness of Aircel tariff and plane (e.g. sec preet, music masti, nitu)

Company should get involved in forceful advertisement policy like Airtel,

Vodafone and Reliance.

The visit to the outlets should be regularly checked by the company. The company should advertise its products and services on a regular
basis.

Aircel should spend more on advertisement and offering the best scheme
to attract more retailers and customers.

Aircel should continue to offer the best toppings to stay at the top and
continue to progress and attract to customer.

There should be no compromise in quality and the network facility.

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FINDINGS
I found that in most of retail outlets danglers, posters, boards, tape rolls,
wall units were clearly visible.

I found that most of retail outlet had good visibility of Aircel.

BRAND VISIBILITY
43 18 7 219

10

aircel airtel

172

878

bsnl docomo

138

idea reliance

146

tata indicom videocon virgin

528

vodafone ping

There was a better visibility for awareness of tariff plan and new scheme
of company.

The retailers who were not updated with the latest products and schemes
were now updated with the same.

Demo balance with the retailer was brought to an optimal level and
induced wherever needed.18500 worth of demo balance was induced and visibility increased by 1%.

Sim stock was also increased from 1286 to 1526 which showed an
increase in visibility by 3%.

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DEMO BALANCE WITH RETAILER

162850 30500 12600 173102 aircel airtel bsnl 110400 docomo idea 122260 375600 reliance tata indicom videocon 148200 98000 virgin vodafone ping

SIM STOCK AVAILABE FOR SALES

1526 1953 aircel airtel bsnl docomo 194 92 565 1546 idea reliance tata indicom videocon 870 1108 216 virgin vodafone ping

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 Those retailers who are not happy with the company were counseled by
the company representatives.

Marketing materials (posters, dangler, banners leaf-lets, etc...) which

were not distributed properly as there were some outlets with bulks of posters kept beneath their tables were now considered and checked regularly.

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LIMITATIONS:
No study is free from the limitations, so does ours. There are many limitations that we encountered during the course of our study and research process.

Our study is limited or restricted only to Chandigarh city. Retailers opinion in relation to customer preference and margins may not
be true.

Method of data collection was through personal interview and therefore,

it becomes a major limitation.

Due to the time constraints all the retailers were not covered. Some retailers did not answer the complete questionnaire. The sampling method used was convenience sampling. So there is a
possibility that some important respondents have been left out.

Some question regarding the other company depends on the mood of the
respondent and at the time during which they were interviewed.

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