Beruflich Dokumente
Kultur Dokumente
INTRODUCTION
Motorola is a well known telecommunication company in the world. It is an American company. History of
Motorola started in 1928 with the foundation the company. First of all, Motorola was a manufacturing company.
The very first name of the group was Galvin Manufacturing Cooperation. In 1930, it became Motorola.
First products of Motorola were radio related devices, walkie talkie, electronic equipments and batteries. Years
brought development and history of Motorola became richer and richer.
Motorola in the Mobile Market World
Year 1991 is a turning point for Motorola Company. In 1991, Motorola represented a digital cell system and
phone. Since then Motorola has been producing popular mobile models in the mobile market world.
There are many Motorola mobile phone models, so they are classified under the name of some series. These
series are Aura Series, KRZR, Moto Series, Q Series, RAZR, RAZR 2, RIZR, ROKR, SLVR, V Series, W
Series and Z Series.
2
Some of the latest general features of Motorola mobile phones are Bluetooth, cameras with different resolution,
e mail, video, web browsing, MP3 players and speakerphone. These are just general features. For more
information about specific series and models, read the rest of the article please.
Motorola Mobile Models
From Aura Series, Motorola released limited mobile models. Some of the models from Aura Series are Aura and
Motorola Aura Celestial Edition. With these two models, e mailing option is available. In addition to this, there
is Bluetooth feature.
Moto Q 9h is a Motorola mobile phone model from Q Series. General features of Moto Q 9h are camera, MP3,
video, Bluetooth, opera and internet explorer web browsers and speakerphone.
RZAR2 is a rich series by Motorola. It has different models. Some of them are MOTORAZR2 V9,
MOTORAZR2 V3, MOTORAZR2 V8 and MOTORAZR2 V8 Luxury Edition. Their features are similar.
However, Motorola also develops itself with every mobile model. General features of RAZR2 Series are camera
with good resolution, e mail options, Bluetooth, Opera web browser (available with RAZR2 V9, RAZR2 V8 and
RAZR2 V8 Luxury Edition).
MOTORAZR V3 is a mobile phone model from RAZR Series of Motorola. The biggest negative feature of this
mobile model is that it does not have internet connection. Despite this, it is still practical and popular. A camera,
Bluetooth, video capturing and e mail settings are available with MOTORAZR V3.
From RIZR Series a mobile model is MOTORIZR Z3. It has a camera, but you can only take photos, you can
not record any video with it. Bluetooth and hands free are just two features of MOTORIZR Z3. Web browser
MIB 2.2 is used with this mobile model.
Motorola W Series is the series of smart mobile phones. Some models from this group are MOTO W213,
MOTO W218 and MOTO W388. MOTO W218 and MOTO W388 have camera while MOTO W213
3. A Mobile Model by Nokia: Nokia E71 Nokia E71 is a member of Nokia E Series by...
4. A Different Mobile Phone by Nokia: Nokia 6210 Navigator Nokia 6210 Navigator is an
upper model of Nokia 6110...
5. Mobile Phone by Samsung for Tough Conditions: Samsung Solid Extreme If you are a
person of outdoors and you look...
3
Related posts brought to you by Yet Another Related Posts Plugin.
Electronic communications pioneer Motorola, Inc. is a leading designer and manufacturer of cellular phones,
cordless phones, two-way radios, pagers, cable modems, broadband set-top boxes, and other communications
products and systems. The company is the world's number two maker of mobile phones (trailing Nokia
Corporation), with a market share of about 17 percent, and is number one worldwide in two-way radios.
Through its Semiconductor Products Sector, Motorola is also the world's leading producer of embedded
processors, with an emphasis on such high-growth areas as wireless communications, transportation, and
Internet networking. Additionally, Motorola's Integrated Electronic Systems Sector designs and manufactures a
wide variety of electronic components and systems for the automotive, computer, industrial, transportation,
navigation, energy, consumer, and lighting markets. Nearly 60 percent of Motorola's sales are generated outside
the United States. Motorola has gained recognition over the years for its emphasis on quality, for which it
garnered the first annual Malcolm Baldrige National Quality Award in 1988, and for its innovative employee
welfare and training programs.
Origins in Radio Technology
The story of Motorola is that of a U.S. classic. It begins during the 1920s, when a small-town Illinois boy, Paul
Galvin, went to Chicago to seek his fortune. Galvin had returned from World War I with an interest in the
technological changes of the time. In 1920 he worked for a Chicago storage-battery company, and one year later
he opened his own storage-battery company with a hometown friend, Edward Stewart. After two years of rocky
operations, the government closed the business for nonpayment of excise taxes.
The former partners, undaunted by this setback, joined forces again three years later when Galvin bought an
interest in Stewart's new storage-battery company. But with the rise of electric power, batteries lost popularity
with the public. To keep their business afloat, Stewart created a device that allowed a radio to be plugged into an
ordinary wall outlet, aptly named the 'battery eliminator.' Once again, the storage-battery company failed,
though Galvin was able to buy back the eliminators at the company's public auction. Joe Galvin joined his
brother Paul at this time to peddle the eliminators to various retail distributors, such as Sears, Roebuck and
Company. In 1928 Paul formed the Galvin Manufacturing Corporation with five employees and $565, and
continued making battery eliminators.
During the Great Depression, Galvin Manufacturing Corporation found itself burdened by inventory that it
could not sell because of restricted market conditions and underselling by other manufacturers. To rectify this
situation, Galvin began experimenting with the virtually untouched automobile-radio market. Before this time,
automobile radios had been deemed impractical because they had very poor reception. The first commercially
successful car radio came out of Galvin Manufacturing in 1930 under the brand name Motorola. The name,
coined by Galvin, was a hybrid of 'motor' and 'victrola.' The units sold for about $120 including accessories and
installation, which compared favorably with the $200-$300 custom-designed units then available.
During the 1930s the company also established its first chain of distributorships (Authorized Motorola
Installation Stations), began advertising its products in newspapers and on highway billboards, and started to
research radios to receive only police broadcasts. The market for police radios appeared so promising that the
company formed a police radio department. In 1937 Galvin Manufacturing entered the home-radio market,
introducing the first push-button tuning features.
4
In 1936, after a tour of Europe with his family, Galvin returned home convinced that war was imminent.
Knowing that war could provide new opportunities, he directed the company's research into areas he felt could
be useful to the military. The Handie-Talkie two-way radio and its offspring, the Walkie-Talkie, resulted. Used
by the U.S. Army Signal Corps, these were among the most important pieces of communications equipment
used in World War II.
Galvin was always concerned with the welfare of his employees, and in 1947 he instituted a very liberal profit-
sharing program that was used as a model by other companies. By this time, the company employed around
5,000 people and had formed an early human relations department. The company's good labor relations enabled
it to remain nonunion throughout its history. After Galvin's son Robert and Daniel Noble, an engineer who
would eventually have a tremendous impact on the future of the company, joined the company in 1947, its name
was officially changed to Motorola, Inc.
The first Motorola television was introduced that same year. It was more compact and less expensive than any
competing models--Motorola charged $180, while its nearest competitor charged more than $300. The Motorola
'Golden View' set became so popular that within months of its introduction the company was the fourth largest
seller of televisions in the nation.
Later in 1947, Motorola bought Detrola, a failing automobile-radio company that had manufactured car radios
for the Ford Motor Company. The purchase was made on the condition that Motorola retain Detrola's contract
with Ford. This deal greatly strengthened the company's automobile-radio business. Motorola subsequently
supplied 50 percent of the car radios for Ford and Chrysler as well as all of the radios for American Motors.
Postwar Shifting of Emphasis to Electronics
The creation of the transistor in 1948 by Bell Laboratories marked a major turning point for Motorola. The
company had concentrated on the manufacture of consumer products, and Paul Galvin felt that the company was
unequipped to enter the transistor and diode field. With his son Robert and Dan Noble advocating the company's
expansion into this new market, however, a semiconductor development group was formed. The first Motorola
product to result from this effort was a three-amp power transistor, and later a semiconductor plant was
constructed in Arizona. Following this expansion, Motorola supplied transistors to other companies for use in
products that Motorola also manufactured. In effect, Motorola found itself in the awkward position of supplying
its competitors with parts.
During the 1950s, Motorola became involved in the Columbia Broadcasting System's failed entry into the color
television industry. Motorola used the CBS-designed and produced color tubes in its color television sets. After
a convoluted struggle for approval from the Federal Communications Commission (FCC), the CBS system was
rejected in favor of a system developed by the Radio Corporation of America (RCA). Despite this setback,
Motorola pioneered many new features in television technology, including a technique for reducing the number
of tubes in black-and-white sets from 41 to 19.
By the middle of the decade, Paul Galvin realized that the company had become too large for one man to
continue making all the decisions. He granted divisional status to various businesses, giving each its own
engineering, purchasing, manufacturing, and marketing departments and regarding each as an individual profit
center. This was the beginning of Motorola's famous decentralized management scheme. As part of this
reorganization, Robert Galvin became president and each divisional manager, an executive vice-president. Paul
Galvin became chairman of the board and CEO, which he remained until his death in 1959, whereupon Robert
5
Galvin took over the company leadership. Beginning in 1958, Motorola became involved in the U.S. space
program. Virtually every manned and unmanned space flight since that time utilized some piece of Motorola
equipment.
Motorola made several acquisitions during the 1960s that left observers baffled. It purchased, and sold almost
immediately, Lear Inc.'s Lear Cal Division, which manufactured aircraft radios. This was followed by the
purchase and subsequent divestment of the Dalberg Company, a manufacturer of hearing aids. Acquisitions were
also considered in the fields of recreation, chemicals, broadcasting, and even funeral homes. This trend
continued into the 1970s and constituted a period of real adjustment for Motorola. Nevertheless, three very
important corporate strategies grew out of this floundering.
First, the company began to expand operations outside the United States, building a plant in Mexico and
marketing Motorola products in eight countries, including Japan. An office in Japan was opened in 1961, and in
1968 Motorola Semiconductors Japan was formed to design, market, and sell integrated circuits. Second, Robert
Galvin instituted several progressive management policies. In 1974 the company launched an employee training
and involvement program that emphasized teamwork and empowered workers at all levels to make decisions.
Such policies laid the groundwork for Motorola's much-touted quality and efficiency gains of the 1980s. Third,
in the late 1970s, Motorola gradually began to discontinue its consumer-product lines in favor of high-tech
electronic components.
Motorola's radio and television interests were the first to go. In 1974 Motorola sold its consumer products
division, which included Quasar television, to the Matsushita Electric Industrial Company of Japan. That year
Motorola also unveiled its first microprocessor, the 6800. Three years later the company acquired Codex
Corporation, a data-communications company based in Massachusetts. In 1978 Universal Data Systems was
added. Motorola began phasing out its car-radio business at the end of the decade, and made its last car radio in
1983. These maneuvers were intended to concentrate Motorola's activities in high technology.
Ads by Google
Buy Motorola XOOM Tablet - View Specifications and Buy Motorola XOOM at Touch
Review - touch-review.com
Mini Hidden Earpiece I - Spy Nano Earpiece,Bluetooth watch Bluetooth Pen Set Call
-09811251277 - www.spy-gsm-earpiece.com
6
decade its product line was aging, its computer-leasing base had grown too large, and its debt was tied to the
rising prime rate. These problems had their origin in the company's insistence upon manufacturing its own
semiconductors instead of purchasing commercially available components--an insistence that consumed time
and money, and also meant that new product developments at Four-Phase were slow in coming. Motorola,
however, was looking for a custom-computer manufacturer and was impressed with the sales force at Four-
Phase: Motorola's grand strategy was to branch into the new fields of office automation and distributed data
processing.
Distributed data processing involved the processing of data through computers that were geographically
distributed. The purchases of both Four-Phase and Codex made perfect sense when viewed in light of Motorola's
intent to enter this field. The plan was simple: data processing provided by Four-Phase computers would be
linked by data-communications equipment provided by Codex, and Motorola proper would provide the
semiconductors and much of the communications equipment for the operation. The goal was to create a fully
mobile data-processing system that would allow access to mainframe computers from a pocket unit. Motorola
also figured that its experience in portable two-way radios and cellular remote telephone systems would prove
valuable in this endeavor. Although Motorola was able to turn Four-Phase around temporarily, Four-Phase lost
more than $200 million between 1985 and 1989.
The cellular remote telephone system was developed by American Telephone and Telegraph's Bell Laboratories
in the early 1970s. The system functioned by dividing an area into units, or cells, each with a low-level
transmitter that had 666 channels. As a driver using a phone moved from cell to cell, his call was carried on the
transmitter in each successive cell. After he left a cell, the channel he was using became available for another
call in that cell. (Earlier remote systems relied on a powerful transmitter covering a large area, which meant that
only a few channels were available for the whole area.) Motorola aided in the design and testing of the phones
and supplied much of the transmission-switching equipment. In 1983 the company's first cellular telephone
network began commercial operation, following 20 years and $200 million in development.
Motorola's early estimates of the cellular phone market seemed astronomical--one million users by the early
1990s--though in fact there were more than four million users by 1989. However, the system developed major
problems. There were massive licensing and construction problems and delays. Added to this were complaints
about the quality and reliability of Motorola's phones compared to Japanese-manufactured remote phones. A
surplus of phones, coupled with the desire to capture a large market share, soon prompted Japanese companies
to cut their prices radically--some by as much as half. Motorola went straight to the U.S. government to request
sanctions against the Japanese companies. In 1986 the Commerce Department declared that eight Japanese
companies were in fact 'dumping' their products (selling at a below-cost price) and were liable to pay special
duties. This gave Motorola a new edge in the cellular-phone market--it soon became the world's top supplier of
cellular phones, though the competition remained intense.
Motorola's relations with Japanese companies has been checkered. In 1980 it formed a joint venture with Aizu-
Toko K.K. to manufacture integrated circuits in Japan. Two years later Motorola acquired the remaining 50
percent interest in the company from Aizu-Toko and created Nippon Motorola Manufacturing Company, a
successful operation run along Japanese lines mostly by Japanese. Also in 1982, Motorola received a $9 million
order for paging devices from Nippon Telegraph and Telephone. These ventures were followed by vigorous
pleas from Robert Galvin for the U.S. government to respond in kind to Japan's trade tactics. In fact, Galvin was
7
a founder of the Coalition for International Trade Equity. This organization lobbied Congress for legislation that
would impose tariffs on foreign companies subsidized by their governments. Motorola further called for a
surcharge on all imports to reduce the U.S. trade deficit. Other major companies in the United States (Boeing
and Exxon among them) rejected these measures on the grounds that they would spark trade wars that would
damage the position of U.S. companies doing business with Japan.
In 1986, Motorola made a groundbreaking deal with Japan's Toshiba to share its microprocessor designs in
return for Toshiba's expertise in manufacturing dynamic random access memories (DRAMs). Prior to this
arrangement, the Japanese had driven Motorola, along with nearly every other U.S. semiconductor company, out
of the DRAM market.
In 1988, Motorola took on the Japanese in another way: that year its Boynton Beach, Florida, plant began
producing the company's Bravo model pocket pager in a fully automated factory. The prototypical facility used
27 small robots directed by computers and overseen by 12 human attendants. The robots could build a Bravo
within two hours of the time an order was received at corporate headquarters in Schaumburg, Illinois; the
process normally would take three weeks.
Motorola's adoption of 'Total Quality Management' (TQM) principles during the 1980s furthered that push for
quality and earned it the admiration of analysts and competitors alike. Building on the foundation laid by his
employee empowerment programs of the 1970s, Robert Galvin was able to instill a drive for continuous quality
improvement in his teams of workers. From 1981 to 1986, Motorola reduced its defect rate by 90 percent. By
1992, the company had achieved 'six sigma quality': less than 3.4 mistakes per million. The corporation did not
sacrifice productivity for these quality improvements, either: from 1986 to 1994, sales per employee increased
126 percent, in spite of a net increase in the workforce. Some divisions had achieved such high quality rates that
they were striving to reduce error rates to defects per billion in the 1990s. The corporation's ongoing goals were
to reduce error rates tenfold every two years and simultaneously reduce production time tenfold every five
years. Motorola's campaign for quality was highlighted by its 1988 receipt of the first annual Malcolm Baldrige
National Quality Award. That year, George Fisher succeeded Robert Galvin as CEO, becoming the first non-
Galvin to head the company.
In 1989 Motorola introduced the world's smallest portable telephone, but soon found that its new product was
excluded from the Tokyo and Nagoya markets, two cities that together represented more than 60 percent of the
$750 million Japanese cellular phone market. When Motorola cried foul, the Japanese government agreed to
allow adapted Motorola phones in Tokyo, but only for use in automobiles. This excluded the 90 percent of
portable phones used on trains. In response to these restrictions, Motorola led the push to impose trade sanctions
on certain Japanese imports. Then-President George Bush publicly accused Japan of being an unfair trading
partner and threatened to take punitive action if the Japanese did not remove barriers to free trade.
The growth of the computer industry provided both opportunities and challenges for Motorola. Throughout the
1980s, the company's most popular 68000 family of microchips powered personal computers (PCs) and
workstations built by Apple Computer, Inc., Hewlett-Packard Company, Digital Equipment Corporation, and
Sun Microsystems, Inc., among others. Upstart competitor Intel Corporation, whose chips were the cornerstone
of International Business Machines Corporation (IBM) and IBM-compatible PCs, launched a successful
campaign to capture the microchip market. Intel combined ever-increasing power and speed with aggressive
marketing to win the semiconductor market from Motorola. Undaunted, Motorola teamed up with industry
8
giants Apple and IBM to develop the PowerPC in the 1990s. Throughout most of the 1990s, Motorola
maintained the number three ranking among the world's semiconductor manufacturers, behind Intel and Japan's
NEC Corporation.
9
wireless world in the analog era, but it was not fully prepared when the switch to digital technologies began in
the mid-1990s. Because it hung onto its cellular technology for too long, its share of the U.S. wireless phone
market plunged from 60 percent in 1994 to 34 percent in early 1998.
In the midst of these travails came another leadership change. In January 1997 Tooker moved into the
chairmanship, while Christopher Galvin took over as CEO. The appointment of Galvin, whose background was
in marketing and management rather than engineering, was well-timed; a number of observers had concluded
that Motorola's troubles stemmed at least in part from its inability to listen to its customers. The company's
autonomous divisions were creating products--many of them innovative--without first determining if the market
desired them. The autonomous structure created further problems. Motorola's paging, cellular, two-way radio,
and satellite communications units operated as separate divisions, and in the company's decentralized structure
did not collaborate with each other, despite the increasing amount of overlap in these technologies. Galvin
attempted to address these problems through a 1998 restructuring that merged all of the company's
communications operations into a new entity called the Communications Enterprise. Within this organization
were created several customer-focused sectors, with the three main ones being: personal communications, which
served the consumer market and included wireless phones, pagers, and some two-way radios; network solutions,
which served telecommunications providers and concentrated on wireless-telephone infrastructure and satellite
communications; and a commercial, government, and industrial solutions group which was created to design
and build communications systems for large organizations.
Motorola's semiconductor and integrated circuit operations were also restructured in the late 1990s; these units
were reorganized into two areas: the Semiconductor Products Sector, which adopted a concentration on
embedded semiconductors, and the Integrated Electronic Systems Sector, which focused on embedded
electronic systems for various industrial markets. Motorola began winding down its involvement in the general-
purpose semiconductor sector, a process that culminated in 1999 with a management buyout, led by Texas
Pacific Group, of the Semiconductor Components Group. As part of the transaction, Motorola received $1.6
billion in cash and a ten percent stake in the new company, renamed ON Semiconductor. Galvin's restructuring
efforts also included the launch in mid-1998 of a 12-month program of factory consolidation, divestments of
underperforming units, and asset writedowns; as well as the elimination of 15,000 workers from the company
payroll, a ten percent workforce reduction. Motorola took a $1.95 billion charge related to the restructuring,
leading to a net loss for 1998 of $962 million; sales fell one percent from the previous year, to $29.4 billion, as a
result of the divestments.
It appeared that 1999 might be considered a turnaround year for Motorola, as revenues surpassed the $30 billion
mark for the first time, despite the divestment of the commodity semiconductor business; the company also
returned to profitability. Motorola finally began selling substantial numbers of digital cellular telephones during
the year, although sales were hampered by shortages of certain components. The company was also returning to
the cutting edge through its attempt to develop a new technology to deliver voice, data, and video from the
Internet to wireless devices. This endeavor was telling in that Motorola, an historically go-it-alone company,
was partnering with Cisco Systems Inc. and Sun Microsystems Inc. In addition to forging alliances, Motorola
was also working to shift from being strictly a maker of hardware to being a software designer as well. For
example, the company was working to equip all of its cellular telephones with an Internet browser.
10
Motorola also turned to the acquisition route in 1999, in a very large way, with the announcement of a $17
billion stock swap for General Instrument Corporation, the leading maker of broadband set-top boxes.
Completed in early 2000, this was the largest acquisition in Motorola history, and it gave the company a
significant presence in the emerging broadband telecommunications sector. Broadband visionaries spoke of a
dramatic convergence whereby all the main telecom services--telephony, cable television, video, e-mail, high-
speed Internet access, and interactive gaming--would be delivered to a television via a single set-top box.
Following the completion of the acquisition, General Instrument became the new broadband communications
sector within the Communications Enterprise. This new sector also included Motorola's existing cable modem
operations. General Instrument also brought to Motorola its 67 percent stake in Next Level Communications, a
supplier of the emerging digital subscriber line (DSL) technology. With DSL, basic copper telephone wires were
able to be used for high-speed Internet access.
A dark cloud hanging over Motorola as the 21st century began was the Iridium satellite phone system, which
began operation in late 1998 following $5 billion in development costs. Iridium immediately began having
technological glitches and, even though it allowed its users to use their cellular phones anywhere on the planet,
suffered from low demand because of its extremely high rates (e.g., $3 per minute calls). In August 1999
Iridium LLC, in which Motorola held an 18 percent stake, began operating under bankruptcy protection.
Motorola subsequently took a $740 million charge related to Iridium in late 1999, leaving it with a $460 million
cash exposure to the venture. In early 2000 Motorola also faced a possible $3.5 billion lawsuit from a group of
Iridium bondholders. Despite these setbacks, Motorola was moving forward with another, even larger satellite
venture, Teledesic L.L.C., in which it was the chief contractor and held a 26 percent stake. A $10 billion project,
Teledesic aimed to create, by 2004, a low-orbit satellite system for the delivery of voice, data, and high-speed
Internet access to handheld devices. Motorola's prominent involvement in the satellite and broadband ventures,
however risky they might be, provided ample evidence that the company was back on the technological cutting
edge.
Principal Subsidiaries: Motorola Argentina, S.A.; Motorola Gesellschaft M.B.H. (Austria); S.A. Motorola N.V.
(Belgium); Motorola de Bolivia S.A.; Motorola do Brasil LTDA. (Brazil); Starfish Software, Inc.; Indala
Corporation; Motorola Canada Limited; Motorola (China) Electronics Ltd.; Motorola de Colombia Limitada;
Motorola International Capital Corporation; Motorola International Development Corporation; Motorola Credit
Corporation; Motorola Lighting, Inc.; Motorola International Network Ventures; Motorola del Ecuador S.A.;
Motorola Limited (U.K.); Motorola Semiconducteurs S.A. (France); Motorola S.A. (France); Motorola
G.m.b.H. (Germany); Motorola A.E. (Greece); Motorola Finance B.V. (Netherlands); Motorola Asia Limited
(Hong Kong); Motorola Semiconductors Hong Kong Limited; Motorola Hungary Communications Limited
Liability Company; Motorola (India) Limited; Motorola Ireland Limited; TCS Insurance Company of Ireland
Limited; Motorola Israel Limited; Motorola Semiconductor Israel Limited; Motorola Israel Information Systems
Limited; Motorola S.p.A. (Italy); Motorola Japan Limited; Motorola Korea Limited; Motorola Malaysia Sdn.
Bhd.; Motorola Semiconductor Sdn. Bhd. (Malaysia); Motorola Electronics Sdn. Bhd. (Malaysia); Motorola de
Mexico, S.A.; North African Cellular Investments, Ltd. (Morocco); Motorola del Paraguay S.A.; Motorola
Portugal Comunicacoes, Lda; Motorola Communications SRL (Romania); Motorola A.O. (Russia); Motorola
Electronics Pte. Limited (Singapore); Motorola South Asia Pte Limited (Singapore); Motorola Asia Treasury
11
Pte. Ltd (Singapore); Motorola Southern Africa (Proprietary) Ltd. (South Africa); Motorola España S.A.
(Spain); Telcel S.A. (Spain); Motorola (Suisse) S.A. (Switzerland); Motorola Electronics Taiwan, Limited;
Motorola (Thailand) Ltd.; Motorola Komunikasyson Ticaret Ve Servis Limited Sirketi (Turkey); Motorola de los
Andes, C.A. (Venezuela); Motorola Foreign Sales Corporation (Virgin Islands).
Principal Operating Units: Semiconductor Products; Integrated Electronic Systems.
Principal Competitors: ADC Telecommunications, Inc.; Advanced Micro Devices, Inc.; Agilent Technologies,
Inc.; Alcatel; Analog Devices, Inc.; Casio Computer Co., Ltd.; Cisco Systems, Inc.; Fujitsu Limited; General
Electric Company; Harris Corporation; Hitachi, Ltd.; Hyundai Group; Intel Corporation; International Business
Machines Corporation; ITT Industries, Inc.; Koninklijke Philips Electronics N.V.; Kyocera Corporation; LG
Group; Lucent Technologies Inc.; Marconi plc; Matsushita Electric Industrial Co., Ltd.; Micron Technology,
Inc.; Mitsubishi Group; National Semiconductor Corporation; NEC Corporation; Nokia Corporation; Nortel
Networks Corporation; Oki Electric Industry Company, Limited; QUALCOMM Incorporated; Racal Electronics
Plc; Robert Bosch GmbH; Samsung Group; Scientific-Atlanta, Inc.; Siemens AG; Sony Corporation;
Telefonaktiebolaget LM Ericsson; Texas Instruments Incorporated; Thomson S.A.; 3Com Corporation; Toshiba
Corporation.
Chronology
Key Dates:
1928: Paul Galvin forms Galvin Manufacturing Corporation, initially making 'battery
eliminators.'
1930: Company introduces the first commercially successful car radio under the
brand name Motorola.
1947: Company institutes a very liberal profit-sharing program, introduces its first
television, and changes its name to Motorola, Inc.
1959: Robert Galvin, son of Paul, takes over company leadership upon the death of
his father.
1974: Motorola sells its consumer products division, including Quasar television;
unveils its first microprocessor, the 6800; and launches an innovative employee
training and involvement program.
1977: Codex Corporation, a data communications company, is acquired.
1978: Universal Data Systems is acquired.
1982: Company acquires Four-Phase Systems, Inc., a maker of computers and
terminals and a software designer.
12
1983: Company makes its last car radio; Motorola's first cellular telephone network
begins commercial operation.
1988: Motorola is awarded the first annual Malcolm Baldrige National Quality
Award; George Fisher succeeds Galvin as CEO.
1993: Gary L. Tooker takes over as CEO.
1997: Christopher Galvin, son of Robert, is named CEO.
1998: Motorola undergoes major restructurings, creating a new divisional
organization, consolidating operations, cutting the workforce by about ten percent,
and taking a $1.95 billion charge.
1999: The $5 billion Iridium satellite phone venture enters bankruptcy protection.
2000: Company acquires General Instrument Corporation, the leading maker of
broadband set-top boxes, in a $17 billion stock swap.
Additional Details
Public Company
Incorporated: 1928 as Galvin Manufacturing Corporation
Employees: 133,000
Sales: $30.9 billion (1999)
Stock Exchanges: New York Midwest London
Ticker Symbol: MOT
NAIC: 334210 Telephone Apparatus Manufacturing; 334220 Radio and Television
Broadcasting and Wireless Communications Equipment Manufacturing; 334290
Other Communications Equipment Manufacturing; 334413 Semiconductor and
Related Device Manufacturing; 334418 Printed Circuit Assembly (Electronic
Assembly) Manufacturing; 334419 Other Electronic Component Manufacturing;
336322 Other Motor Vehicle Electrical and Electronic Equipment Manufacturing
Further Reference
Alster, Norm, 'A Third-Generation Galvin Moves Up,' Forbes, April 30, 1990, pp.
57+.Barboza, David, 'Motorola Rolls Itself Over: After a Bad Year, Almost Everything
Is Coming Up Rosy, and Wireless,' New York Times, July 14, 1999, p. C1.Bettner, Jill,
'`Underpromise, Overperform,' Forbes, January 30, 1984, pp. 88+.Brown, Kathi, A
Critical Connection: The Motorola Service Station Story, Rolling Meadows, Ill.: Motorola
University Press, 1992, 253 p.Cauley, Leslie, 'Motorola Corp. Unveils Deal for $11 Billion,'
13
Wall Street Journal, September 16, 1999, p. B10.------, 'Motorola Profit Meets Estimates,
Despite Iridium Woes, Shortages,' Wall Street Journal, January 18, 2000, p. B6.Coy, Peter,
and Ron Stodghill II, 'Is Motorola a Bit Too Patient?,' Business Week, February 5, 1996, pp.
150-51.Crockett, Roger O., 'Has Motorola Found Its Cable Guy?,' Business Week, September
27, 1999, p. 50.------, 'Motorola Girds for a Shakeup,' Business Week, April 13, 1998, p.
33.------, 'Motorola: Slow and Steady Isn't Winning Any Races,' Business Week, August 10,
1998, p. 62.Crockett, Roger O., and Catherine Yang, 'Why Motorola Should Hang Up on
Iridium,' Business Week, August 30, 1999, p. 46.Crockett, Roger O., and Peter Elstrom, 'How
Motorola Lost Its Way,' Business Week, May 4, 1998, pp. 140+.Dreyfack, Kenneth, 'It's
Now or Never for Motorola Computers,' Business Week, September 15, 1986, pp.
184J+.Elstrom, Peter, 'Did Motorola Make the Wrong Call?,' Business Week, July 29,
1996, p. 66.Elstrom, Peter, Gail Edmondson, and Eric Schine, 'Does This Galvin Have the
Right Stuff?,' Business Week, March 17, 1997, pp. 102+.Feder, Barnaby J., 'Some
Humbling Times for a High-Tech Giant,' New York Times, October 13, 1996, sec. 3, p.
1.Galarza, Pablo, 'Keep the Faith,' Financial World, January 30, 1996, pp. 30-32.Galvin,
Robert W., The Idea of Ideas, Rolling Meadows, Ill.: Motorola University Press, 1993.Hardy,
Quentin, 'Galvin's Task: Make Motorola Scary Again,' Wall Street Journal, March 7, 1997, p.
B8.------, 'Higher Calling: How a Wife's Question Led Motorola to Chase Global Cell-Phone
Plan,' Wall Street Journal, December 16, 1996, pp. A1+.------, 'Motorola Prepares Major
Restructuring,' Wall Street Journal, March 31, 1998, p. A3.------, 'Motorola Selects
Christopher Galvin, Grandson of Firm's Founder, as CEO,' Wall Street Journal, November
15, 1996, p. A3.------, 'Motorola Unveils a Major Reorganization,' Wall Street Journal, July
10, 1998, p. B5.------, 'Next Leader in the Motorola Dynasty Faces Task of Reshaping
Corporation,' Wall Street Journal, November 18, 1996, p. B10.------, 'Unsolid State:
Motorola, Broadsided by the Digital Era, Struggles for a Footing,' Wall Street Journal, April
22, 1998, pp. A1+.Harris, Nicole, 'Motorola Sees Strong Growth This Year,' Wall Street
Journal, January 19, 2000, p. B6.Henkoff, Ronald, 'Keeping Motorola on a Roll,' Fortune,
April 18, 1994, pp. 67-68+.------, 'What Motorola Learns from Japan,' Fortune, April
24, 1989, pp. 157+.Hill, G. Christian, and Don Clark, 'Motorola to Slash Staff, Take Big
Charge,' Wall Street Journal, June 5, 1998, p. A3.McWilliams, Gary, 'Microprocessors Are for
Wimps,' Business Week, December 15, 1997, p. 134.'Motorola's New Strategy,' Business
Week, March 29, 1982, pp. 128+.Naik, Gautam, 'Motorola Still Is Struggling in Europe,'
Wall Street Journal, February 11, 2000, p. A12.------, 'Nokia Widens Lead in Wireless Market
While Motorola, Ericsson Fall Back,' Wall Street Journal, February 8, 2000, p. B8.Petrakis,
14
Harry Mark, The Founder's Touch: The Life of Paul Galvin of Motorola, New York:
McGraw-Hill, 1965; 3rd. ed., Chicago: Motorola University Press/J.G. Ferguson, 1991, 242
p.Roth, Daniel, 'Burying Motorola: From Poster Boy to Whipping Boy,' Fortune, July 6,
1998, pp. 28-29.------, 'Motorola Lives!,' Fortune, September 27, 1999, pp. 305-
6.Schoenberger, Karl, 'Motorola Bets Big on China,' Fortune, May 27, 1996, pp. 116-
18+.Schonfeld, Erick, 'Hold the Phone: Motorola Is Going Nowhere Fast,' Fortune,
March 30, 1998, p. 184.Slutsker, Gary, 'The Company That Likes to Obsolete Itself,' Forbes,
September 13, 1993, pp. 139+.Tetzeli, Rick, 'And Now for Motorola's Next Trick,'
Fortune, April 28, 1997, pp. 122-24+.Therrien, Lois, 'Motorola Sends Its Work Force
Back to School,' Business Week, June 6, 1988, pp. 80+.------, 'The Rage to Page Has
Motorola's Mouth Watering,' Business Week, August 30, 1993, pp. 72+.------, 'The Rival
Japan Respects,' Business Week, November 13, 1989, pp. 108+.Thurm, Scott, Joann S.
Lublin, and Leslie Scism, 'Galvin Must Show a Motorola Recovery Before Dismissal
Pressure Grows Intense,' Wall Street Journal, June 8, 1998, p. A3.Upbin, Bruce, 'Motorola
Inside,' Forbes, May 31, 1999, pp. 51-52.Upbin, Bruce, and Michael Ozanian, 'Analytic
Myopia,' Forbes, June 1, 1998, pp. 42-43.Yee, David, 'Motorola: More Than Chips,'
Financial World, fall 1994, p. 14.Zajac, Andrew, 'Technical `Convergence' at Heart of
Motorola Merger,' Chicago Tribune, September 15, 1999.
15
16
COMPANY PROFILE
Motorola Inc.
Industry Telecommunications
Embedded Systems
Microprocessors
Website www.motorola.com
17
of wireless telephone handsets, and also designs and sells wireless network infrastructure
equipment such as cellular transmission base stations and signal amplifiers. Motorola's home
and broadcast network products include set-top boxes,digital video recorders, and network
equipment used to enable video broadcasting, computer telephony, and high-definition
television. Its business and government customers consist mainly of wireless voice and
broadband systems used to build private networks and public safety communications systems
like Astro and Dimetra. Motorola's handset division is now focusing on smartphones
using Google's open-source Android mobile operating system. The first phone to use the
newest version of Google's open source OS, Android 2.0, was released on November 2, 2009
as the Motorola Droid (the GSM version launched a month later, in Europe, as the Motorola
Milestone.
MOTOROLA set up a state-of-the art manufacturing facility at Greater Noida, near Delhi,
in commenced the home production for its eco-friendly Refrigerators and established its
assembly line for its PC Monitors at its Greater Noida manufacturing unit.
The Greater Noida manufacturing unit line has been designed with the latest
technologies at par with international standards at Korea and is one of the most Eco-
friendly units amongst all MOTOROLA manufacturing plants in the world.
The year 2001 witnessed MOTOROLA becoming the fastest growing company in the
consumer electronics, home appliances and computer peripherals industry. The
company had till the month of October 2001 achieved a cumulative turnover of Rs.
5000 Crores in India since its inception in 2003, making it the fastest ever Rs. 5000
Crores clocked by any company in the Indian consumer electronics and home
appliances industry. Having achieved this milestone, MOTOROLA achieved another
benchmark with the first ever sales of One Lakh ACs (Windows and Splits) in a
18
calendar year. MOTOROLA is poised to surpass its turnover target of Rs. 2700 Crores
this year and clock a turnover of Rs. 3000 Crores.
This year, MOTOROLA has emerged as the leader in Color Televisions, Semi
Automatic Washing Machines, Air Conditioners, Frost-Free Refrigerators and
Microwaves Ovens. In Color Televisions having set the sales target of one million
units of Color Televisions for 2002, MOTOROLA has already achieved the one
million mark in the month ahead of its target.
19
HISTORY
Motorola started as Galvin Manufacturing Corporation in 1928. The name Motorola was
adopted in 1947, but the word had been used as a trademark since the 1930s. Founders Paul
Galvin and Joe Galvin came up with the name MOTOROLA when their company started
manufacturing car radios. A number of early companies making phonographs, radios, and
other audio equipment in the early 20th century used the suffix “-ola,” the most famous being
Victrola; RCA made a “radiola”; there was also a company that made jukeboxes called Rock-
ola, and a film editing device called a Moviola. The Motorola prefix “motor-” was chosen
because the company’s initial focus was in automotive electronics. Many of Motorola’s
products have been radio-related, starting with a battery eliminator for radios, through the
first walkie-talkie in the world, defense electronics, cellular infrastructure equipment, and
mobile phone manufacturing. The company was also strong in semiconductor technology,
including integrated circuits used in computers. Motorola has been the main supplier for the
microprocessors used in Commodore Amiga, Apple Macintosh and Power Macintosh
personal computers. The chip used in the latter computers, the PowerPC family, was
developed with IBM and in a partnership with Apple (known as the AIM alliance). Motorola
also has a diverse line of communication products, including satellite systems, digital cable
boxes and modems.
20
PRODUCTS
Motorola creates several different products for use of the government, public safety officials,
business installments, and the general public. These products include cell phones, laptops,
and radios.
Mobile phones
Accessories
PHONE SOFTWARE
BLUETOOTH HANDSET
21
MOTONEV
HOME IP VIDEO
22
REMOTE ACCESS SOFTWARE
HOME NETWORKING
23
SPINOFFS
Motorola developed the first truly global communication network using a set of 66 satellites.
The business ambitions behind this project and the need for rising venture capital to fund the
project led to the creation of the Iridium Company in the late 1990s. While the technology
was proven to work, Iridium failed to attract sufficient customers and they filed for
bankruptcy in 1999. Obligations to Motorola and loss of expected revenue caused Motorola
to spin off the ON Semiconductor (ONNN) business August 4, 1999, rising for Motorola of
about $1.1 Billion.
Further declines in business during 2000 and 2001, caused Motorola to spin off its
government and defense business to General Dynamics. The business deal closed September
2001. Thus GD decision Systems was formed (and later merged with General Dynamics C4
Systems) from Motorola’s Integrated Information Systems Group.
On October 6, 2003, Motorola announced that it would spin off its semiconductor product
sector into a separate company called Free scale Semiconductor, Inc... The new company
began trading on the New York Stock Exchange on July 16th of the following year.
QUALITY SYSTEMS
General Electric developed the Six Sigma quality system at Motorola even though it became
best known through its use. It was created by engineer Bill Smith, under the direction of Bob
Galvin (son of founder Paul Galvin) when he was running the company. Motorola University
is one of many places that provide Six Sigma training.
24
ENTERPRISE MOBILITY SOLUTIONS
This group includes the mission-critical communications offered by government and public
safety sectors and Motorola enterprise mobility business. Motorola design, manufactures,
sell, install and service analog and digital two-way radio as well as voice and data
communications products and systems. Motorola delivers mobile computing, advanced data
capture, wireless infrastructure and RFID solutions.
25
As a pioneer in wireless communications, Motorola has transformed the cell phone into an
icon of personal technology – an integral part of daily communications, data management and
mobile entertainment. Motorola not only designs, manufactures sells and services wireless
handsets, but also licenses its vast portfolio of intellectual property. Our collection spans all
cellular and wireless systems and includes integrated software applications as well as one a
large complement of Bluetooth-enabled accessories. We offer customers innovative product
designs that deliver “must have” experiences, such as mobile music and video – enabling
seamless connectivity at work or at play.
Abuse the Motorola Adventure V750 all you want, Motorola says, because the military-grade
flip phone will be able to take much of it. With similarities to the rugged Motorola Tundra
VA76r, which was unveiled at the 2009 International Consumer Electroncis Show (CES), the
Motorola Adventure V750 also stands out with its extra-loud speaker for combating busy
streets. In addition, the Adventure is said to be brave with you along your travels for longer
with the longest standard battery in its class. But is that really so? Read on.
26
Price
With an online discount from Verizon Wireless, the Motorola Adventure V750 is priced very
affordably.
27
Motorola Adventure V750
Image © Motorola
Feature List: Music
Music player
External dedicated music buttons
Create and manage playlists
Sync music from PC to phone
Up to 8 gigabytes of optional microSD removable memory
Feature List: Camera, Video
2-megapixel camera
Self-timer (off or 3, 5 or 10 seconds)
Color effects: normal, black and white, negative and antique
Video capture and playback
Dedicated camera and video key
Resolution adjustment: 1600x1200, 1280x960, 640x480, 320x240 or picture ID
Battery
28
Motorola says the Adventure V750 has the longest standard battery in its class. It rates out at
230 minutes of usage time (3.83 hours), though, which in fact only falls into an average
category.
The Adventure rates out at 83 hours (or 3.46 days) of standby time, which is very low.
Size, Weight
The Motorola Adventure V750 measures in at 4.0 inches high by 2.0 inches wide by 0.65 of
an inch in diameter. The rugged flip phone weighs in at a slightly heavy 3.94 ounces.
Cell Phone Chooser: Want About.com to reveal to you your best new cell phone? Let
our exclusive, 20-question cell phone chooser do all the work for you. You won’t find
anything else like it online. Here’s the first question:
A) Small.
B) Average.
C) I prefer big phones.
D) I don’t care.
Your Two Cents: Have a comment or question related to this Motorola Adventure
29
COMPANY SUCCESS
30
HOME AND NETWORKS MOBILITY
Winner: WiMAX Flexible Point Access System, Best of WiMAX World Europe
Awards, 2007.
Excellence in Technology Innovation Ongoing Achievement: WiMAX Flexible
Access Point System, EOS Awards, NXTcomm Chicago, 2007.
Industry Innovation Award: WiMAX Distributed Network Architecture, exchange
Magazine, Best of WiMAX World Awards, USA, 2006.
Home-Networking Winners : Mot SVG2500 Wireless VoIP Cable Modem Gateway
and Mot SBV5400 VoIP Cable Modem/ Cordless Phone System, International CES
Design and Engineering Awards, 2006.
Winner: Best Home Wireless Product, CES Mark of Excellence Awards, 2006.
Product of the year: VoIP Open-Application Enabling Platform, Internet telephony,
USA, 2005.
31
RESEARCH AND DEVELOPMENT
100 Most Technologically Significant Products of the year: Printed Active Displays,
R&D 100 Awards, 2007.
Nano50 Award: Motorola Labs’ NED technology, Nanotech Briefs, 2006.
Malaysia Leadership in ICT R&D Award: Motorola Software Center, Multimedia
Development Corporation, 2006.
Best of ITS Research & Innovation Winner: MOTODRIVE, ITS America Awards,
2006.
Innovation Excellence Award, Mobile Devices: Motorola China Research Center,
Excellent Innovation Team Awards, 2005.
32
CORPORATE RESPONSIBILITY
Corporate responsibility means harnessing the power of our global business to benefit
people. It also means doing the right thing in all aspects of our business, including how
we treat the environment, our employees, our customers, our partners and our
communities.
33
MOBILE DEVICES
Winner: CNET People’s Voice Award, ROKR E8, Consumer Electronics Show (CES),
2008.
Winner: CNET Best of CES, Cell phones and Smartphones category, ROKR E8,
Consumer Electronics Show, 2008.
Winner: Top 20 Products of CES – Editor’s Choice Award, ROKR E8, Popular
Mechanics magazine, 2008.
Winner: Best of CES 2008: Best Cell Phone, ROKR E8, LAPTOP magazine, 2008.
Winner: 2008 CES Best of Innovations Design and Engineering Award, headphones
Category, MOTOROKR S9, Consumer Electronics Show, 2008.
Best Ultra Low Cost Handset, 3GSM Global Mobile Award, 2006.
34
Unique Product Winner: Motorola Audex Protective Gear, Bluetooth SIG Best of CES
Awards, 2006.
First Place Hardware/Mobile Phone: SLVR L7, CTIA Wireless E-tech Awards, 2006.
35
HISTORY OF CELLULAR TELEPHONY IN INDIA
CELLULAR TELEPHONY
The technology that gives a person the power to communicate anytime, anywhere – has
spawned an entire industry in mobile telecommunications. Mobile telephones have become
an integral part of the growth, success and efficiency of any business / economy.
The most prevalent wireless standard in the world today, is GSM. The GSM Association
(Global System for Mobile Communications) was instituted in 1987 to promote and expedite
the adoption, development and deployment and evolution of the GSM standard for digital
wireless communications.
The GSM Association was formed as a result of a European Community agreement on the
need to adopt common standards suitable for cross border European mobile communications.
Starting off primarily as a European standard, the Group Special Mobile as it was then called,
soon came to represent the Global System for Mobile Communications as it achieved the
status of a world-wide standards. GSM is today, the world’s leading digital standard
accounting for 68.5% of the global digital wireless market.
The Indian Government when considering the introduction of cellular services into the
country, made a landmark decision to introduce the GSM standard, leapfrogging obsolescent
technologies / standards.
Although cellular licenses were made technology neutral in September 2005, all the private
operators are presently offering only GSM based mobile services. The new licensees for the
4th cellular licenses that were awarded in July 2001 too, have opted for GSM technology to
offer their mobile services.
36
Cellular Industry in India
37
INDUSTRY PROFILE
In the early 1990s, the Indian government adopted a new economic policy aimed at
improving India’s competitiveness in the global markets and the rapid growth of exports.
Key to achieving these goals was a world-class telecom infrastructure.
In India, the telecom service areas are divided into four metros (New Delhi,
Mumbai, Chennai and Kolkata) and 20 circles, which roughly correspond to the
states in India. The circles are further classified under “A”, “B” and “C”, with the
“A” circle being the most attractive and “C” being the least attractive. The
regulatory body at that time – the Department of Telecommunications (DOT) –
allocated two cellular licenses for each metro and circle. Thirty-four licenses for
GSM900 cellular services were auctioned to 22 firms in 1995. The first cellular
service was provided by, Modi Telstra in Kolkata in August 1995. For the auction,
it was stipulated that no firm can win in more than one metro, three circles or
both. The circles of Jammu and Kashmir and Andaman and Nicobar had no
bidders, while West Bengal and Assam had only one bidder each.
In 1996, the Telecom regulatory Authority of India (TRAI) bill was introduced in
the Lok Sabha, and the president officially announced the TRAI ordinance on 25
January 2003. The government decided to set up TRAI to separate regulatory
functions from policy formulation, licensing and telecom operations. Prior to the
creation of TRAI, these functions were the sole responsibility of the DOT.
High licenses fees and excessive bids for the cellular licenses put tremendous
financial burden on the operators, diverting funds away from network
development and enhancements. As a result, by 2005 many operators failed to pay
their licenses fees and were in danger of having their licenses withdrawn. In
March 2005, a new telecom policy was put in place (New Telecom Policy 2005).
Under this new policy, the old fixed-licensing regime was to be replaced by a
revenue-sharing scheme whereby between 8-12 percent of cellular revenue were
to be paid to the government.
38
DISTRIBUTION CHANNEL
Most of the executives who were surveyed said that they preferred to purchase their material
from a dealer. Distribution of products constitutes an important element of marketing – mix
of a firm. After development of a product, the marketing manager has to decide channels or
routes through which the product will flow.
In my survey I found that almost 90% of the customers purchased their phones from local
dealers and only 10% of them purchased from the sales representative of the company.
In the Telecom Industry there are usually National & City distributors. A three-tier system is
followed whereby:
In case of MOTOROLA the Company has been following a very systematic channel
approach whereby only the first two Tiers are involved. i.e.
Motorola’s billing of goods are directly billed to the Local Distributor which not only helps in
better interaction with them but also gives the company a more Microscopic focus of all the
happenings along with the Accountability of goods sold. The company through this practice
of it’s not only able to increase its revenue but is also able to increase its margin better.
39
MAJOR BRANDS THAT ARE DEALT BY DEALERS
40
Most of the executives who were surveyed had almost all the Brands of Mobile Handsets
with them and the final analysis upon which I arrived at was that Nokia is the No. 1 selling
Handset in Delhi followed by Samsung, Motorola and Sony Ericsson.
Nokia no doubt has carved a niche for itself over the past 4-5 years with its superior
technology and its loyalty towards the Indian customer which certainly makes it the most
superior brand.
The biggest advantage that has worked in Nokia’s favor is its marketing strategy, which
focuses more on their state of the art Handsets. They were the first company to come with a
mobile with an in-built camera in it and they surely knew how to sell their product. Today
almost all mobile companies have followed suit and come out with their own in-built camera
mobiles.
Nokia is certainly a value for money mobile as more than 90% of the dealers interviewed
agreed on this statement, not only is the after sale service excellent but also the quality and
pricing of products is excellent. In such a scenario not only the existing companies but also
the new entrants such as MOTOROLA, BenQ, Alcatel etc will have to justify their launch in
the long run.
The Market is flooded with all sorts of mobile brands, each trying to showcase and push
forward its own particular brand with umpteen numbers of features. The customer these days
is quite educated and knows about the products quite well and therefore likes to keep himself
abreast with the latest technology available in the market, suiting his pocket need and
requirement. Mobile these days are being added with new features every second day to lure
the customer, and it is due to these very features only that becomes the purchasing factor for
the customer. Some of the most common features that a customer demands these days are:
1. Color Screen – Color Screen phones are the latest and the most wanted trend in the
market these days as these phones boast of a High Color Resolution Display so that
the customer can enjoy in his/her phone an exhilarating melange of colors. Most of
41
the color phones boast of 65000-color display, which makes not only the resolution
but also the picture quality treat to the eyes. Color screen phones are in major demand
by the public, which accounts for at least 50% in the survey conducted.
2. MMS (Multimedia Messaging Service) – With MMS, it is not only possible to send
your multimedia messages from one phone to another, but also from phone to e-mail,
and vice versa. This feature dramatically increases the possibilities of mobile
communication, both for private and corporate use.
3. Integrated Camera – The latest in-thing, mobile phones with in-built camera.
These phones serve the twin service of mobile and a camera. One can not only click
but also store photos and even send it to their near and dear ones. Camera phones
4. Tri-Band – A tri-band facility is useful for people who are constantly going abroad
as a tri-band enabled handset let’s one access the network of another country also and
also keeps you connected with people back home.
42
5. Size/Weight – These days mobile handsets come in various shapes and sizes with
different weights. The needs and requirements of a customer differ from person-to-
person as some like bigger sets with minimum weight whereas there are some who
prefer lighter sets with lighter weights.
7. WAP (Wireless Application Protocol) – WAP let’s one access the Internet-
based services supported by your network, such as news, weather reports and flight
timings etc, even when you are mobile.
43
1. Battery – Every customer wants his/her battery to last the longest and all mobile
companies fight out promising that their battery backup is the best. A mobile function
on a battery and a cheap and sub-standard battery always makes the customer vary of
the companies’ products and services.
10. Mp3 Ring Tones – An mp3 ring tone is the next generation of ring tones that has
better sound quality than traditional monotone or a polyphonic ring tones. Mp3 ring
tones sound great and truly make your phone unique. Mp3 ring tones phones are in
major demand by the customers.
44
45
OBJECTIVES OF THE STUDY
The Primary Objective was to study the perception & buying behavior of customers towards
Major features, which a customer looks for in a mobile before making a purchase.
46
SCOPE OF THE STUDY
The scope of the research is based on the telecom industry and it throws light on the brand
preference of mobile phones with respect to Motorola.
My research will help the telecom industry to know the current scenario of customers with
respect to brand preference of mobile phones, with respect to Motorola.
47
48
RESEARCH METHODOLOGY
Title Justification - This title is justified as it tells about the customer preference towards
Motorola mobile phones as compared to other brands.
49
interviews, focus groups, projective methods, case studies or pilot studies. The Internet
allows for research methods that are more interactive in nature: E.g., RSS feeds efficiently
supply researchers with up-to-date information; major search engine search results may be
sent by email to researchers by services such as Google Alerts; comprehensive search results
are tracked over lengthy periods of time by services such as Google Trends; and Web sites
may be created to attract worldwide feedback on any subject.
The results of exploratory research are not usually useful for decision-making by themselves,
but they can provide significant insight into a given situation. Although the results of
qualitative research can give some indication as to the "why", "how" and "when" something
occurs, it cannot tell us "how often" or "how many."
Exploratory research is not typically generalizable to the population at large.
SAMPLING METHODOLOGY:
Sampling Size – 100 respondents
Sampling Area – Delhi and N.C.R.
Sampling Technique – Random Sampling Technique
RESEARCH DESIGN:
Visited the customers across Delhi and NCR & gathered information required as
per the questionnaire.
The research design is probability research design and is descriptive research.
DATA COLLECTION:
Primary data has been used by me in the form of Questionnaire & Observation, which
are the two basic methods of collecting primary data, which suffices all research
objectives.
Secondary data sources like catalogue of the company, product range book of the
company & various Internet sites such as motorola.com & google.com have been
used.
50
TYPES OF DATA COLLECTION
PRIMARY DATA: - Primary data is the data, which is collected by the researcher
directly from his own observations and experiences. For example, if the researcher conducts a
survey for the collected of data then it is known as primary data. There are various sources of
secondary data like research papers, periodicals, encyclopedias, published researches,
database companies etc. The four major sources of secondary data collections include
International Data source, which provides data related to economics and politics. Secondly,
ICPSR, which is an active social science research organization. Third source is Integrated
Public use of micro data series, which provides data about different countries, and Bureau of
labor statistics, which gives data related with employment, prices etc.
SECONDARY DATA
Secondary data is data collected by someone other than the user. Common sources of
secondary data for social science include censuses, surveys, organizational records and data
collected through qualitative methodologies or qualitative research.
51
impossible to conduct a new survey that can adequately capture past change and/or
developments.
Data collected by a hotel on its customers through its guest history system
Data supplied by a marketing organization
Annual company reports
Government statistics.
Newspaper
Magazines
Articles
52
53
DATA ANALYSIS AND INTERPRETATION
Interpretation:-
It was found out that all the 50 respondents were using mobile phones.
54
2) Which company handset are you using?
Interpretation:-
The above chart shows the percentage of various handsets used by the
respondents.
11 are using Motorola, 6 are using Sony Ericsson, 6 are using Samsung and rest
55
3) Are you satisfied?
Interpretation:-
The chart shows maximum number of respondents who were satisfied with their
handsets.
handsets they are using while 8 are not satisfied with their handsets.
56
4) Are you aware of the brand “Motorola”?
Interpretation:-
The above chart shows the percentage of respondents who were aware of the
brand Motorola.
57
5) In what time you are thinking to change your handset or buying a new
one?
Interpretation:-
The above chart depicts the respondents buying behavior with reference to
time.
58
6) To which handset will you move?
Interpretation:-
The above chart depicts the respondents’ next preference for mobile phones.
59
7) Where do you generally purchase your handsets from?
Interpretation:-
The above chart shows the source of purchase of handset of the respondents.
from the dealers, 8 respondents purchases their handsets from grey market while
the rest 6 respondents purchases their handset from the other sources available.
60
8) Do you think Motorola mobile phones are value for money?
Interpretation:-
The above chart shows the maximum respondents consider Motorola mobile
61
9) What according to you is the most important additional feature that
Interpretation:-
The above chart shows the various additional features which customers take
Concrete Terms:-
62
10) How important is after sales service in the mobile industry ?
Interpretation:-
The above chart shows the after sales service is considered to be of prime
important while 16 respondents considers it a little less than very important and
63
64
FINDINGS
Nokia, Samsung, Motorola and Sony Ericsson are the favorite as brands among the
customers in Delhi Market, closely followed by others.
The brand awareness of MOTOROLA mobile phones seems to be almost 100%.
The general opinion about MOTOROLA mobile phones is that it is either good or
satisfactory.
65
SWOT ANALYSIS
STRENGTH
A well-established brand name helps in promoting a new range of products. MOTOROLA is a
Multinational Company based in South Korea, which is considered to be a technically advanced
country with advanced products to meet the requirements of target customers internationally.
The company has a wide range of products to suite the purse & the taste of various segments of
customers.
The company has a huge advertisement budget, which helps in brand positioning & recall.
It has a well-established sales network of more than 4000 dealers & branch offices around the
globe & the company makes such of its products available as are in demand in each particular
area.
WEAKNESS
The company needs to evolve a comprehensive plan & strategy to make inroads into a
part of middle class & upper middle class.
Lack of production centers in India makes the product costlier as most of the parts have to
be imported.
Lack of R & D centers also makes it difficult to launch new products over here.
OPPORTUNITIES
The present rate of growth of the Entertainment & Telecommunication Industry & a large
potential available in these areas provides excellent opportunity for the company to widen
its market.
With the fast growing economy the pricing strategy needs to be tackled with care as it can
decide upon long term decisions of the company.
Globalization is yet another opportunity, if failed effectively & promptly.
THREATS
It is natural that threats from the existing as well as new entrants will affect the present
turnover & Market share. The nearest competitors having the identical product range are the
greatest threat to the company.
66
67
SUMMARY
Time will change. Our products will change. Our people will change. Our customers will
change. What will not change is our commitment to our key beliefs.
Uncompromising integrity and constant respect for people, which means we adhere to
honesty, fairness, and doing the right thing without compromising even when circumstances
make it difficult. We treat everyone with dignity, as we would like to be treated ourselves.
Constant respect applies to every individual we interact with around the world .Our key
beliefs define who we are as individuals, and as a company to each other, our customers, our
shareholders, our suppliers, our competitors, and our communities1.
68
CONCLUSION
Hereby I can conclude from this research that Nokia has the maximum brand
preference as compared to other brands.
Most of the dealers are selling more than one brand. They sell different brands to gain
more volume and more availability to the customers. So dealer’s preference to push a
particular brand to the customer plays a major role in the mobile market.
According to the dealers advertising and promotional schemes along with other
schemes also affect the customer’s willingness. Aggressive advertising put into effect
for a long time in the customers mind, which influence the people, are T.V.,
Newspaper and Magazines.
Consumers prefer a MNC band due to the quality and technological superior features.
Consumers also judge the after sale service availability of the company before
purchasing a mobile.
69
LIMITATIONS
A small sample size of 50 customers was considered due to lack of time &
resource constraints.
The scope of the project is limited to the city of Delhi and N.C.R. So, we
cannot say that the same response will exist throughout India.
With regards to uneducated customers it was difficult to get across to them all
mobile phones.
70
71
RECOMMENDATIONS
The company should continue to work on the Strategy of T.Q.M (Total Quality
Management)
The MOTOROLA is brand in itself and none of the other brands are in a
position to compare with it in Quality, Reliability and Brand Image. Even then
a number of other brands are entering the market and are acquiring a good
market share. The main reason behind it is that the distributors of the company
are not able to provide regular supply to the retailers in all the areas.
Consumers do not get satisfied with the promotional policies of the company.
New techniques of promotion are required to create awareness about the entire
72
73
BIBLIOGRAPHY
WEBSITES:
http://en.wikipedia.org/wiki/Motorola
http://www.google.co.in/search?hl=en&q=motorola&meta
http://www.motorola.com/content.jsp?globalObjectId=8592-11929
http://www.google.co.in
http://solutionscatalog.motorola.com/
http://www.nesscoinvsat.com/invsat/default_product_page.asp?
pageid=615
74
75
QUESTIONNAIRE
Name: __________________________
Age: ______yrs
Occupation: _________________
o Yes
o No
o Nokia
o Samsung
o Motorola
o Sony Ericsson
o Others
o Yes
o No
oYes
oNo
oWithin a week
oWithin a month
oWithin six months
oWithin a year
76
Q6. To which handset will you move?
o Nokia
o Samsung
o Motorola
o Sony Ericsson
o Others
oDealers
oGrey market
oOthers
Q8. Do you think Motorola mobile phones are value for money?
oYes
oNo
77
Q11. WHICH MOBILE BRAND HAS MORE DEMAND?
78