1.1.

TELECOM HISTORY SINCE 1842 TILL NOW

ith the dramatic changes in interpersonal communication over the past decade, Internet
messaging has emerged as the primary medium for transferring information quickly,
inexpensively, and reliably. However, the growing popularity of wireless telephones has added
another dimension to the communications equationmobility. As more Indians rely on cellular
communication, this market is expected to see explosive growth over the forecast period.

Lets have a review of telecommunication History: -

1.1.1. TELECOM HISTORY

1842: Wireless by conduction

1843: Early electromagnetic research, wireless by induction

1865: Induction and Dr. Loomis

Early radio discoveries

1879: D.E. Hughes and the first radio-telephone reception

1880: The photo phone and the first voice radio-telephone call

1880 to 1900: Radio development begins in earnest

1910: The first car-telephone

1924: The first car-mounted radio-telephone

1937: Early conventional radio-telephone development

 The modern era begins

1946: The first commercial American radio-telephone service

1947: Cellular systems first discussed

1948: The first automatic radio telephone service

1969: The first cellular radio system

1973: The Father of the cell phone

1978: First generation analog cellular systems begin

1980: Growth of Japanese cellular development

1981: NMT -- the first multinational cellular system

1982: The rise of GSM

1990: North America goes digital: IS-54

Prehistory (Birth to Bell Labs, 1924)

While puzzling over the mysteries of radio, many inventors worked concurrently on power
generation, telegraphs, lighting, and later, telephone. The thorough understanding of electricity
required to produce a reliable, practical radio system took a long time and happened in
different phases.

In 1820, Danish physicist Christian Ousted discovered electromagnetism, the science that
could help generate electrical power and, if fully understood and applied, usher in the era of
telecommunication.
Michael Faraday - 1791 to 1867

In 1821 Michael Faraday reversed Oberstars experiment and in so doing discovered induction.
This helped him build the world's first electricity generator. He worked on different electrical
problems in the next ten years, eventually publishing his results on induction in 1831.

Joseph Henry - 1797 to 1878

In 1830 the great American scientist Professor Joseph Henry transmitted the first practical
electrical signal; showing that electromagnetism could do more than just create current or pick
up heavy weights -- it could communicate. In a stunning demonstration in his Albany Academy
classroom, Henry created the forerunner of the telegraph. While Henry did not pursue electrical
signaling, he did help someone who did. And that man was Samuel Finley Breese Morse.

Samuel Morse - 1791 to 1872

In 1837 Samuel Morse invented the first practical telegraph, applied for its patent in 1838 and
was finally granted it in 1848. Joseph Henry helped Morse build a telegraph relay or repeater
that allowed long distance operation. The telegraph brought the country closer and eventually the
world. Morse also experimented with wireless, not by passing signals though the atmosphere but
through the earth and water. Without a cable.
Wireless by conduction

On October 18, 1842, Morse laid wires between Governor's Island and Castle Garden, New
York, a distance of about a mile. Part of that circuit was under water. But before he could
complete this demonstration a passing ship pulled up his cable, ending it seemed, his experiment.
Undaunted, Morse proceeded without the cable, passing his telegraph signals through the water
itself. This is wireless by conduction.

Over the next thirty years most inventors and developers concentrated on wire line telegraphy,
that is, conventional telegraphy carried over wires suspended on poles. Few tinkered
exclusively with wireless since a basic radio theory had not yet been worked out. Telegraphy,
however, did produce a good understanding of wireless by induction since wires ran parallel to
each other and often induced rogue currents into other lines.

Early electromagnetic research

In 1843 Faraday began intensive research into whether space could conduct electricity.
In 1864 Maxwell released his paper "Dynamical Theory of the Electromagnetic Field" which
concluded that light, electricity and magnetism were all related and that all electromagnetic
phenomena travelled in waves.
Induction and Dr. Loomis

In 1865, a dentist Dr. Mahlon Loomis of Virginia may have been the first person to
communicate through wireless via the atmosphere. Between 1866 and 1873 he transmitted
telegraphic messages at a distance of 18 miles. At one location he even flew a metal-framed kite
on a metal wire, perhaps taking inspiration from Benjamin Franklin. At another location a
similar kite picked up these signals and noted them with a galvanometer.

Early radio discoveries

Maxwell's 1864 conclusions were distributed around the world and created a sensation. But it
was not until 1888 that Professor Heinrich Hertz of Bonn, Germany, could produce and detect
radio waves consistently and reliably.
On November 22, 1875, while working on acoustical telegraphy, a science close to
telephony, Thomas Alva Edison noticed unusual looking electro-magnetic sparks. D.E.
Hughes and the first radio-telephone reception
From 1879 to 1886, London-born David Hughes discovered radio waves but was told
incorrectly that he had discovered no such thing. Discouraged, he pursued radio no further.
Hughes noticed a clicking noise in his home built telephone each time he worked using
his induction balance, a device now often used as a metal detector. He transmitted signals from
one room to another in his house in London. But since the greatest range there was about 60 feet,
Hughes took to the streets with his telephone, intently listening for the clicking produced by his
clockwork transmitter, gradually diminishing until it no longer could be heard.
 Alexander Graham Bell was the man who invented the telephone and made the first
call on a wired telephone to Thomas Watson. Bell was also first with radio.

1888 onwards: Radio development begins in earnest

In 1888 the German, Heinrich Hertz, conclusively proved Maxwell's prediction that electricity
could travel in waves through the atmosphere. Unlike Hughes, the extensive and systematic
experiments into radio waves that Hertz conducted were recognised and validated by inventors
around the world.

Jagadish Chandra Bose demonstrated electromagnetic waves in 1895 "by using them to ring a
bell remotely and to explode some gunpowder".
Marconi established the first successful radio system. In 1901, his radio-telegraph system sent
signals across the Atlantic Ocean. Ships were the first wireless mobile platforms. In 1901
Marconi placed a radio aboard a Thorny croft steam-powered truck, thus producing the first
land-based wireless mobile transmitting data, not voice.

In December 24, 1906, Reginald Fessenden accomplished the first radio bandwave
communication of human speech over a distance of 11 miles, from Brant Rock,
Massachusetts, to ships in the Atlantic Ocean. Radio was no longer limited to telegraph
codes, no longer just a wireless telegraph, but a means of verbal communication.

The first car-telephone

From 1910 onwards, Lars Magnus Ericsson, the man who founded Ericsson in 1876, and his
wife Hilda, regularly worked the first car telephone. Access was not by radio, instead there were
two long sticks, like fishing rods, handled by Hilda. She would hook themover a pair of
telephone wires, seeking a pair that was free. When they were found, Lars Magnus would crank
the dynamo handle of the telephone, which produced a signal to an operator in the nearest
exchange.

Around the same time, the triode tube was developed, allowing far greater signal strength to be
developed both for wireline and wireless telephony. No longer passive like a crystal set, a triode
was powered by an external source, which provided much better reception and volume.

Later, with Armstrong's regenerative circuit, tubes were developed that could
either transmit or receive signals, were stable and powerful enough to carry the
human voice and sensitive enough to detect those signals in the radio spectrum.
In 1919, three firms came together to develop a wireless company that one day
would have a reach across the globe. Heavy equipment maker ASEA, boiler and
gas equipment maker AGA and telephone manufacturer LM Ericsson, formed
SRA Radio, the forerunner of Ericsson's radio division
The first car-mounted radio-telephone

Bell Laboratories claims to have invented the first version of a mobile in 1924. It was a
two-way, voice-based radio-telephone and the adjoining photograph from their site certainly
seems to confirm it.
History of cellular mobile telephony: 1982 to 2001

1980 - First cellular phones began to appear

1982 - Nordic Mobile Telephony (NMT) standard

1983 - American Mobile Phone System (AMPS) standard

1986 - Nordic Mobile Telephony (NMT) 900 MHz

1991 - Commercial launch of the GSM service

1993 - Coverage of main roads GSM services start outside Europe

1994 - Japanese Digital Cellular (JDC)

1996 - USA Personal Communications Systems (PCS)

1982 - The beginning

During the early 1980s, analog cellular telephone systems experienced rapid growth in
Europe, particularly in Scandinavia and the United Kingdom, but also in France and Germany.
Each country developed its own system, which was incompatible with those of others, in
equipment and operation. This was an undesirable situation, because not only was the mobile
equipment limited to operation within national boundaries, but also limited to the market for
each type of equipment. This scenario in a unified Europe was undesirable.
The Europeans realized this early on, and in 1982, the Conference of European Posts and
Telegraphs (CEPT) form a study group called the Group Special Mobile (GSM) to study and
develop a pan-European public land mobile system. The proposed system had to meet certain
criteria, which included:

1. Good subjective speech quality.

2. Low terminal and service cost.

3. Support for international roaming.

4. Ability to support handheld terminals.

5. Support for a range of new services and facilities.

6. Spectral efficiency

7. ISDN compatibility.

Nordic Telecom and Netherlands PTT proposed to the CEPT the development of a new
digital cellular standard that would cope with the ever-burgeoning demands on European mobile
networks. The European Commission (EC) issued a directive which required member states to
reserve frequencies in the 900 MHz band for GSM to allow for roaming.

1986 Main GSM radio transmission techniques were chosen.

1987 September - 13 operators and administrators from 12 areas in the CEPT GSM advisory
group signed the charter GSM (Groupe Spciale Mobile) MoU "Club" agreement, with a launch
date of 1 July 1991.

The original French name Groupe Spciale Mobile was changed to Global System for Mobile
communications; but the original GSM acronym remains.

GSM SPECIFICATIONS WERE DRAFTED.

1989 1998

In 1989, GSM responsibility was transferred to the European Telecommunication

Standards Institute (ETSI), and phase I of the GSM specifications was published in 1990.
Commercial services started in mid 1991, and by 1993 there were 36 GSM networks in 22
countries, with 25 additional countries like South Africa, Australia and many Middle and Far
East countries opting for GSM. By the beginning of 1994, there were 1.3 million subscribers
worldwide.
 The developers of GSM chose an unproven (at that time) digital system, as opposed to
the then standard analog cellular systems like AMPS in the United States and TACS in the
United Kingdom. They had faith in the advancements in compression algorithms and digital
signal processors to allow the fulfillment of the original criteria and the continual improvement
of the system in terms of quality and cost.

The European Telecommunications Standards Institute (ETSI) defined GSM as the

internationally accepted digital cellular telephony standard.

1990

Phase 1 GSM 900 specifications were frozen

DCS adaptation started.

Validation systems implemented.

First GSM World congress at Rome had 650 participants.

1991

First GSM specification was demonstrated.

DCS specifications were frozen.

GSM World Congress at Nice had 690 participants.

1992

January - The first GSM network operator was Oy Radiolinja Ab in Finland.

December 1992 - 13 networks were on air in 7 areas.

GSM World Congress at Berlin had 630 participants.

1993

GSM was demonstrated for the first time in Africa at Telkom '93 in Cape Town.

Roaming agreements between several operators were established.

By December 1993, 32 networks were on air in 18 areas.

GSM World Congress at Lisbon progressed with 760 participants.

Telkom '93 was held in Cape Town. First GSM systems were shown.

1994

First GSM networks in Africa were launched in South Africa.

Phase 2 data /fax bearer services were launched.

Vodacom became the first GSM network in the world to implement data/fax.

GSM World Congress at Athens drew 780 participants.

December 1994 -- 69 networks were on air in 43 areas.

1995

GSM MOU was formally registered as an association registered in Switzerland with 156
members from 86 areas.
GSM World Congress at Madrid attracted 1400 participants.

December 1995 - 117 networks were on air in 69 areas.

Fax, Data and SMS roaming started.

GSM phase 2 standardisation was completed, including adaptation for PCS 1900.

First PCS 1900 network was shown live 'on air' in the USA.

Telecom '95, Geneva -- Nokia shows 33.6 kbps multimedia data via GSM.

Namibia goes on-line.

Ericsson 337 wins GSM phone of the year.

US FCC auctioned off PCS licenses.
1996

December 1996 - 120 networks were on air in 84 areas.

GSM World Congress was held in Cannes.

GSM MOU Plenary was held in Atlanta GA, USA.

8K SIM was launched.

Pre-paid GSM SIM cards were launched.

Bundled billing was introduced in South Africa.

Libya goes on-line.

Option International launches the world's first GSM/Fixed-line modem.

2001

Feb -- GSM Conference held in Cannes.

By May 2001 there were 500m GSM 900/1800/1900 users worldwide.

16 billion SMS messages were sent in April 2001.

By April, 500 million people are GSM users.

COMPANY PROFILE

Airtel comes to you from Bharti Cellular Limited - a part of the biggest private
integrated telecom conglomerate, Bharti Enterprises.
Bharti provides a range of telecom services, which include Cellular, Basic, Internet and
recently introduced National Long Distance. Bharti also manufactures and exports telephone
terminals and cordless phones. Apart from being the largest manufacturer of telephone
instruments in India, it is also the first company to export its products to the USA. Bharti is the
leading cellular service provider, with a footprint in 15 states covering all four metros and more
than 7 million satisfied customers.

VISION:

To make mobile communications a way of life and be the customers' first choice.

MISSION:

We will meet the mobile communication needs of our customers through:

Error-free service delivery

Innovative products and services

Cost efficiency

Unified Messaging Solutions

CORE VALUE:

We will delight our customer with our simplicity, speed & innovation.

We will honours our commitment.

We will follow the highest standard of professional integrity & behaviour.

We will respect individual, build winning teams and lead by example.

We will create a fun filled and friendly workplace.

AIRTEL MOBILE COMMUNICATIONS LIMITED

Bharti Tele-Ventures Limited was incorporated on July 7, 1995 for promoting

investments in telecommunications services. Its subsidiaries operate telecom services across
India. Bharti Tele-Ventures is India's leading private sector provider of telecommunications
services based on a strong customer base consisting of 7.42 million total customers, which
constitute, 6.76 million mobile and 657,000 fixed line customers, as of April 30, 2004.

Bharti Tele-Ventures vision for its mobile business is To make mobile communications a way
of life and be the customers first choice.

The mission is to meet the mobile communication needs of the customer through 1) error free
service 2) Innovative products and services and 3) cost efficiency. The Companys strategic
objective is to consolidate its leadership position amongst the mobile service providers in India.
The Indian mobile market, according to the COAI, has increased from approximately 1.2 million
subscribers as of March 31, 1999 to approximately 29.21 million subscribers as of June 30, 2004.
Despite this rapid growth, the mobile penetration rate in India, at approximately 2.8% as of June
30, 2004, is significantly lower than the average mobile penetration rate in other Asian and
international markets.
The number of mobile subscribers in India is expected to show rapid growth over the next four
years. By 2006 it is projected at 50 million by COAI and 44 million by Gartner.
Bharti Tele-Ventures believes that the demand for mobile services in India will continue to grow
rapidly as a result of the following factors:

Lower tariffs and handset prices over time;

Growth in pre-paid customer category;

Greater economic growth and continued development of India's economy;

Higher quality mobile networks and services; and

Greater variety and usage of value added services.

Bharti Tele-Ventures, through its subsidiary has the licenses to provide GSM services in all the
twenty-two telecom circles in India. It proposes to consolidate all its subsidiaries providing
mobile services under Bharti Cellular Limited.

As of June 30, 2004, approximately 92% of India's total mobile subscriber market resided in the
Company's sixteen mobile circles, which collectively covered only 56% of India's land mass.

AIRTEL DISTRIBUTION SYSTEM

DISTRIBUTION SYSTEM

A proper distribution system is very important for every company because now a days the
customer wants full service without any pain. Airtel has a deep penetration in the market
of prepaid cards, coupons, easy recharge and postpaid cards. I also seen in the market the
happy faces of customers and retailers of Airtel because of the easy availability of Airtel
cards and coupons.

BENEFITS OF GOOD DISTRIBUTION SYSTEM

1. Easy availability

2. Satisfied customers

3. Competitive advantage

4. Better market reputation

5. Saves time
DISTRIBUTION SYSTEM OF AIRTEL

1. Organisation (C&FA's)

2. Distributor

3. Re
 ORGANIZATION STRUCTURE

Organisation of AIRTEL provides services through FSO (Full Service Outlets) and DSA
(Direct Sales Agent)

MANAGEMENT HIERARCHY AT AIRTEL

"M ANAG EM ENT HIERARCHY"

CHIEF SALES AND M ARKETING O FFICER

VICE PRESIDENT VICE PRESIDENT CHIEF G ENERAL M ANAG ER

M ARKETING STRATEG Y SALES PLANNING

CIRCLE SALES & M ARKETING HEAD

DISTRICT O PERATIO N HEAD PRE PAID HEAD CIRCLE M ARKETING HEAD

CHANNEL O PERATIO N M ANAG ER PRE PAID M ANAG ER M ARKETING SUPPO RT M ANAG ER -A M ARKETING SUPPO RT M ANG ER -B
THREE TYPES OF SALES:

1. Primary Sales - Organisation to Distribution of Prepaid, Postpaid Cards, Coupons,

easy recharge etc.
2. Secondary Sales - Distributor to Retailers
3. Tertiary Sales - Retailer to Customer
PROCEDURE OF ACTIVATION OF PREPAID CONNECTION:

Dealer (Confirms on 570)

FOS (Saw that the form is completed and has Accessory papers

Distributor (Activates the card)

PROCEDURE OF ACTIVATION OF POSTPAID CONNECTION:

Dealer (Collects of Cash and facilitates in Competition)

FOS (Collects the Form)

Distributor (Activates the card)

OBILE FOOTPRINT

The map below depicts the location of, and provides certain information for, Bharti Tele-
Ventures' existing mobile circles in India:
SOURCE:

(1) Population estimates are as per National Census, 2001 and are as of March 1, 2001. The
population for Uttar Pradesh (West) circle is approximately 37% of the total population for the
state of Uttar Pradesh.
(2) Mobile subscriber statistics are as of June 30, 2004 and are based on data released by COAI.
Mobile market size comprises the total number of mobile subscribers of all the service providers
in a circle.
(3) Demographics of Maharashtra and Tamil Nadu do not include demographics of state capitals
(metros) Mumbai and Chennai respectively.
(4) Demographics of Haryana does not include Faridabad & Gurgaon as they are included in
Delhi & NCR. Similarly demographics of Uttar Pradesh (West) & Uttaranchal does not include
Noida & Delhi as they are included in Delhi NCR.
The significant growth in the Company's mobile business has been through a combination of
organic growth and acquisitions of additional licenses and has been summarized below. The
information given below is for the total market and is not representative of our market share or
network coverage.

1) Comprises the circles of Maharashtra and Goa.

2) Comprises the circles of Delhi, Himachal Pradesh, Karnataka and Andhra Pradesh.

3) Comprises the circles of Delhi, Himachal Pradesh, Karnataka, Andhra Pradesh and

Chennai.

4) Comprises the sixteen operational circles of Bharti Tele-Ventures.

5) Based on data released by the COAI on the total number of persons subscribing to
mobile services in our licensed areas.
 2.1.USINESS & MARKETING STRATEGIES

Some Marketing And Business Tools Adopted By AIRTEL As To

Promote Its Activities:

Seminars: seminars are conducted at different places by the expert time by

time to make people aware.
Publicity: publicity is done through various media.

Stalls at famous places: they conduct their stall after a particular period of time on
the famous and public place to attract them towards themselves. DSA (Direct
Sales Agency)
Print media

Hoarding

Banners

Advertisement

Leaflets

Follow ups

By KNOP
Mobile Strategy

Capture maximum telecommunications revenue potential with minimum geographicalcoverage

to maximise its revenues and margins.Build high quality mobile networks by deploying state-of-
the-art technology to offer superior services.
Use the experience it has gained from operating its existing mobile networks to develop and
operate other mobile networks in India and to share the expertise across all of its existing and
new Circles.
Attract and retain high revenue generating customers by providing competitive tariffs, offering
high quality customer support, proactive retention programs and roaming packages across all
of its mobile circles.

Provide affordable tariff plans to suit each segment of the market with a view to expand the
reach, thereby increasing the mobile customer base rapidly.

Key highlights of Jan-04 are as follows:

Industry additions were up from the last month's 12.71 Lacks to 13.69 Lacs this month. In
percentage terms, this translates to a increase of 8 % in net adds over last month.
The number of subscribers moved up from 21.99 Mn at the end of Dec-03 to 23.36 Mn at the
end of Jan-04, a growth of 6.22 %.
All India monthly growth in subscriber numbers was 6.13 %. The growth elsewhere was :

Metros 5.28 %

A circles 6.22 %

B circles 7.75 %

C circles 3.43 %
 All Circles Total 6.67 %

Airtel 6.39 %

B Circle category has shown the highest growth in subscriber base on an individual basis this
month.
At Airtel, we have always sought to enhance value for you as a customer by providing you the
most relevant and easy to use services through innovation and by harnessing the latest
developments in technology. In line with this strategy, we have constantly introduced innovative
products and services to suit your unique needs and wants.

Our services range from CLI to Music Messaging to Lost Call Alerts all to serve you better.

Move your mouse over any service from the following menu to get a brief description on what it
is all about.

SMS

ASTROLOGY

RINGTONES

VOICE-MAIL

DAIL-A-RINGTONE

LOGOS

CALLER TUNES

MUSIC MESSAGING

FLASH MESSAGES

BLINKING MESSAGES

JOKES

LOVE JOKES

YAHOO! MESSAGING

YAHOO! MAIL

NEWS UPDATES

SPORTS

CALLER IDENTIFICATION
TRENDS IN MOBILE COMMUNICATIONS

The growth and penetration of sophisticated digital communication systems, infrastructures, and
services, has been increasing constantly over the last decade. Examples of these services are the
Internet, electronic mail, multimedia, pagers, PDA's, and mobile telephony. From marginal
penetration 15 years ago, these systems and services are becoming a commodity in both
professional and consumer markets worldwide. The developments in these fields are still going
strong. In particular, rapid advances - both in technology and services - can currently be observed
in wireless and mobile systems that support the communication of different media, such as data,
speech, audio, video and control.
Current wireless network and mobile phone services roll-out is centered around four available
technologies, namely WAP, UMTS, Bluetooth, and mobile positioning systems. The wireless
application protocol (WAP), initially carried by second generation GSM and in the future by
third generation UMTS wireless networks, will turn the mobile phone into a networked smart-
phone capable of low to medium data rate Internet functionalities. Bluetooth will allow for short-
range data communication between consumer appliances in a domestic environment. Positioning
systems will become integral part of mobile phones such that services can be made dependent on
the location of the user in the network.
When projecting the progress in mobile networks and services into the future, three
developments are of importance. In the first place, we can observe that more and more
mobile phone-like devices start to include accessories such as a small keyboard, a display, and a
speech interface. Such communication and information-oriented systems are emerging as
hybrids between the mobile phone and the wireless laptop personal computer. With higher bit
rates supporting more advanced services, the integration of the personal computer and personal
communication devices will be pushed even further.
In the second place, we observe that computing resources are becoming ubiquitously - that is
everywhere and at all time - available. We will soon live in an environment that supports us by
providing ubiquitous Computing for a wide variety of tasks and services. Daily life consumables,
durable products and services already contain an ever-increasing number of
sensors, actuators, processing units, and (embedded) software. The personal computer has
entered daily life as a necessary commodity, and the development of sophisticated
communication systems in today's society relies heavily on the availability of computation
resources.
Finally, we observe that communication and computing is becoming increasingly personal. The
device (and therefore the user) is always on-line, the user is identifiable, the device can be
personalized, and the system knows about the users position.

CELLULAR MOBILE PRICING STRUCTURE AND TRENDS

Successful growth and diffusion of mobile communication services is focusing greater attention
on how mobile relates to fixed networks. Accordingly, it is necessary for regulatory authorities to
review current frameworks in those instances where regulation might impede the offering of
certain pricing structures, such as calling party pays. This issue is critical in putting fixed and
mobile networks on an equal footing, so the potential for competition between networks can be
exploited. Testing the demand for new pricing structures can be left to the market. Successful
growth and diffusion of mobile communication services is focusing
greater attention on how mobile communication relates to the Internet and electronic commerce.
This report reviews and benchmarks the pricing of emerging services such as short message
services. These services are the harbingers of ? Third generation ? Information services over
mobile networks, and policy makers need to review current regulatory frameworks to enhance
pricing innovation and competition in the provision of these services.
INDIVIDUAL CUSTOMIZATION

An important trend in our society is agility or mass individualization. Consumer behavior is

much more volatile, much less predictable and increasingly concerned with instant gratification.
The expectation is that in due course this trend towards individualization will become a more
important factor in the emerging markets too, particularly in the urban areas. As well as setting
quality standards for products, this attitude also demands delivery at the right time and in the
right place. At any moment, wherever the consumer may be, it has to be possible to satisfy his or
her requirements; it is a question of the consumer as a "moving target" and how we can increase
our chances of "scoring a hit".
In modern thinking about categories of consumers, every consumer has something of this instant
consumer in his or her make-up, alongside other possible descriptions, such as "rational",
"social" and "responsible". What's more, this can vary according to the product category. One
moment, moreover, this instant consumer will be demanding products on the basis of flavor,
convenience or cheapness, and in the next breath will be voicing concerns about the
environment, animal welfare or his or her own health. The likelihood is that in the long term
health, the environment and animal welfare will be significant factors in the concept of quality,
as safety already is.
Changes in consumption patterns are an important factor in this development. While the retail
trade is evolving from supermarket to household service provider in response to mass
individualization, consumers are increasingly also obtaining their food through other outlets:
company canteens, take-away meals, snack bars, old people's homes etc. "Young couples" in
Europe are rapidly moving towards the situation that already exists in the United States, where
50% of the food consumed is prepared outside the home. This places different demands on
products in terms of keeping qualities (shelf life), convenience and presentation.

Consumer-driven technology development

these trends in the market and among consumers generate a demand for a more differentiated and
more rapidly changing product range and also call for a different approach to technology
development (dedicated production systems). In the future there will have to be product
development that takes the dynamic of the market and the divergent wishes of the consumers as
its starting point and uses the technologies of the future: biotechnology, separations technology,
sensor technology and modern information technology (IT). To achieve this, product
development will have to be tackled in a more structured way, and knowledge deriving from
different areas of research will have to be integrated more effectively. The development of sensor
technology in the agro sector, for instance, requires the integration of materials technology,
biotechnology and process technology. New scientific developments also provide interfaces
through which the sector may respond to wishes relating to health: both the information about
genetic aspects and the new insights into bioactive components - substances that, in low
concentrations, affect human health - offer interesting prospects of made-to-measure food!
In the future, "made-to-measure food" will also mean "food produced in a way that the public
finds socially acceptable". Such aspects as the environment, animal welfare etc. will play a
major role. This will have to be specifically taken into account in the development of
technology.

From chains to flexible networks

As well as imposing requirements in terms of technology development, trends such as mass

individualization call for a responsive answer to a sharply fluctuating market demand. This
places considerable demands on the organization of agricultural production chains. The full
vertical integration of links in a chain can mean a loss of flexibility. It would appear to be more
efficient to opt for a continuation of the development of the chain concept; leading to
responsive networks that combine the advantage of co-ordination with the flexibility of more
loosely linked organizations. These independent organizations work closely together in the flow
of goods along the chain in order to achieve the desired "customer value" at the lowest possible
cost.
 COMPANYS PLANS

PREPAID PLANS

Are you wary of committing yourself to a date for making your bill payments? Is it too much of
a bother for you to remember dates for bill payments? Do you often end up paying late fees
against your monthly utility services bills? Do you end up spending too much if you have the
option to pay the bill later?
Think over for if one of these represents you, we have a solution for you. Start thinking prepaid
is our advise!
So what exactly is this prepaid! It is simply a way of going cellular by paying for the talk time in
advance. For e.g. if you feel that you need Rs. 300 worth of talktime for a month, you can buy a
recharge coupon which gives you that much talktime on your cellphone. Once that money gets
exhausted you can buy another recharge coupon for the same or different denomination
depending on your future need.
Prepaid allows you to be in control of your cellular expenses even while you are spending. You
will be surprised that today In India, Prepaid connections account for almost 60 to 70 percent of
the total new entrants into cellular telephony. Thats because almost every one of us wants to be
in control of our cellular expense.

Advantages of prepaid:

Some of the many advantages that you enjoy with Airtel Pre-Paid...

Total Cost Control

Enjoy the liberty of total cost control with your Airtel Pre-paid! Re-charge as
much as you feel the need to! Now that's what we call complete freedom!

No Rentals

Buy an Airtel prepaid card without having to pay any rentals!

No deposits

Your Airtel prepaid card comes without you having to pay heafty deposits!
 STD/ISD facility till the last rupee

Now experience complete freedom like never before with Airtel! Our STD/ISD facility allows
you to make long distance calls in India and Overseas from your cellular phone!

Instant Balance Inquiry

Check your talk-time instantly by calling our toll-free number!

60 second pulse

Airtel provides you with a 60-second pulse rate! Freedom for you to experience like never
before!

Instant Recharge

Avail of instant recharge on your Airtel prepaid card with just a few simple steps!

24-hour recharge facility

With our round-the-clock recharge facility, recharge you Airtel prepaid card anytime,
anywhere!

Caller Line Identification

Call Line Identification gives you the power to know the phone number of
the calling party even before you answer the call, thus giving you the choice
to
either reject or take the call. It provides the added advantage of saving the
incoming number directly in the Handset Phone Book. So that the next time
you want to call the same person, you don't need to retype his number,
simply use your phone book.
 the calling party even before you answer the call, thus giving you the choice to

either reject or take the call. It provides the added advantage of saving the

incoming number directly in the Handset Phone Book. So that the next time you want
to call the same person, you don't need to retype his number, simply use your phone
book.

Call Divert, Call Hold and Call Wait

Avail of special services like call waiting, call hold and call divert all with your
Airtel prepaid card!

Short Messaging Service (SMS)

With Airtels Short Messaging Service (SMS), send messages and jokes to your
friends and colleagues, anytime anywhere!

SMS based Information Services

With Airtel's SMS based information services; you can get up to-the-minute cricket
scores, order flowers as well as send couriers or check your daily horoscope!

Voice Mail service

Voice Mail lets you receive messages even when your handset is switched off or when
you are outside the coverage area. You can listen to your messages whenever you feel
like, from anywhere in the world. Voice Mail can store up to 75 messages, with each
message of two-minute duration.

POST-PAID PLAN

Airtel welcomes you to a vibrant world of unlimited opportunities. More exciting, innovative yet
simple new ways to communicate, just when you want to, not just through words but ideas,
emotions and feelings. To give you the unlimited freedom to reach out to your special people in
your special way.

Post paid Plan:

New Airtel 15
Customer Care

Do you need any clarifications on your bills? Do you have any feedback or query
on our Products & services? You can call us, send us an E-mail or meet us in person. We
shall be glad to help you out in every possible way.

Contact us by phone

If you are on Airtel, just call us on 121 your Airtel Prepaid phone.

If you are on Airtel postpaid, just call us on 121 from your Airtel Postpaid phone
These toll free numbers however, cannot be dialed when you are roaming.
Airtel launches Music Messaging service

Customers can dedicate songs along with their voice messages;

Airtel, one of the leading cellular operators in Maharashtra, Goa, and Daman & Due and
today announced the launch of a new innovative service called Music Messaging. The
service will allow music lovers to listen to the various songs and then dedicate the same to
any other Airtel mobile subscriber along with a personalized voice message.

For using the service, the customer simply needs to dial 646 from his mobile and
follow the voice prompts. This will lead him to the options Hindi and English songs. There
are 10 songs under each option and the customer can either go on to listen to the song
clippings of 90 seconds each or move on to the next or previous song. While listening to
the song, the subscriber may choose to dedicate the song to some other Airtel Subscriber
after recording a 10 second long personalized voice message. The music message will then
be received by the person to whom it has been dedicated as a Voice Message with the CLI
of the sender. Once delivered, the message begins with the senders voice message
followed by a 30 second clip of the song that has been dedicated. The charge for the
service is just Rs 7/minute for a 60 second pulse.
Announcing the launch of the service, Mr. N.F.Aibara, COO, Airtel-Maharashtra
said The mobile phone today is no longer just a communication device. Rather it is a
driver of self-identity and creative pursuits especially for the youth segment which
constitutes about 70 % of the new customers that we enrol every month. We have always
sought to provide our customers with new and exciting services that have been made
possible through innovation and use of latest technology. The launch
of this new service is another step in the same direction as it enables customers to add a
musical edge to their messages-nothing can be more powerful than a message in ones own
voice along with a song to suit the situation. I am sure this service will be liked by all our
customers and more specially the youth

BHARTI CELLULAR FOOTPRINT

Bharti is to first achieve critical mass, then drill deep instead of spreading thin.

Thereafter, it is ready for controlled expansion.

In keeping with this, the company has been providing excellent service to its
subscribers in various states. It controls a portfolio of India's most attractive and
contiguous telecom geographies, including the states of Maharashtra (excluding
Mumbai), Goa, Gujarat, Andhra Pradesh, Madhya Pradesh, Chattisgarh and Delhi
(inclusive of NCR). With a footprint dominating the map of India, Airtel Cellular
accesses over 45% of India's

total telephony potential. With the objective of critical mass achieved, Airtel Cellular
turned to drilling deep.
3.1.OBJECTIVE OF THE STYDY

o To study the consumer trends in telecommunication sector.

o To study consumer decision-making & preferences.

o To study marketing strategies adopted by Airtel.

o To study the level of customer satisfaction in Airtel.

o To study the market potential.

o To study customer purchase decision behaviour.

o To understand the needs of different consumer segments.

o Comparative study of different mobile companies.

o why some retailers dont sell new connections of Airtel.

 RESEARCH METHODOLOGY:

Research problem:

To study consumer trends, behaviour, preferences and level of

satisfaction in Airtel communication Ltd. The study was conducted in Delhi with sample
size of 50 and sample units were suppliers and Consumer of mobile connection

Research Objectives:

o To study the consumer trends in telecommunication sector.

o To study consumer decision-making & preferences.

o To study marketing strategies adopted by Airtel.

o To study the level of customer satisfaction in Airtel.

o To study the market potential.

o To study customer purchase decision behaviour.

o To understand the needs of different consumer segments.

o Comparativestudyofdifferentmobilecompanies.

Research Design

The following methodology was adopted for the study purpose:

Type of research:

Descriptive and qualitative research design were used while conducting the project.
Sampling Design was taken by the researcher as the Research design.
 The major purpose of the study is to describe the state of affairs as it exists at present. The
study was based on the facts or information already available, & analysis of this available
information make a critical evaluation of the material.

Research Method/Technique:

In the project report the researcher used following techniques while conducting his study:

Analysis of documents

Survey Method: A market survey was done on life insurance companies.

Interview (Personal): Both open and closed ended (unstructured) questions were
asked while taking some information from the users of the cellular at

DELHI.

Questionnaire (Structured): A structured designed comprehensive questionnaire was

framed and pretested for data collection from the customer of mobile

Research Data

Data is the key activity of marketing research. The design of the data collecting method is
backbone of research design.Data constitute the foundation of statistical analysis and
interpretation.

Hence the first step in statistical work is to obtain data.Data can be obtained from two important
sources, namely:

1. Primary Data

2. Secondary Data

Primary Data: Primary data are gathered for the specific purpose or for a specific research
project, consist of original information for the fulfilment of project objective. When the data are
required for the particular study can be found neither in the internal record of the enterprises nor
in published sources. In some cases, it may become necessary to collect original data.
Primary data can be collected in four ways: -

1. Observation

2. Survey
 Secondary Data:

Secondary data are the data, which already exists somewhere. Secondary
data provide starting point for research and after that the advantage of low cost and ready
availability. Secondary data can be divided into two types:
1. Internal data

2. External data

When researcher uses the data that has already been collected by other data
are called secondary data. Secondary data can be obtained from journals i.e. internal
sources report, government publication and books, professional bodies etc.
Internal data are reports and memos generated within an organisation to
facilitate its operations and annual report. External data are those specially produce for
outside consumption.

Sources from which the researcher has taken the secondary data are as
under:
 1. Direct observation

2. Airtel website

3. Books for marketing management

4. Surveys and customer data & report

5. Airtels customers care office

6. Airtels Brouchers

SAMPLE DESIGN

Area of Sample:

The areas covered up in this survey was DELHI

Selection of units under study

Sampling Units from DELHI were suppliers and

Consumer of mobile connection

Source list (Sampling Frame)

SUPPLIERS: 10

CUSTOMERS: 40

Sample size: 50

Sampling Procedure: Probability Sampling (Simple Random Sampling)

 LIMITATIONS OF THE STUDY

While working on this project I have to face some difficulties while conducting the survey.
People were not interested in giving there actual information about their family income and
airtime, as they were extremely scared about the income tax some people have difficult to
take them in confidence so that they can give correct information. Some of the limitations
are:

Not at home

Refusal to co-operate

Respondent bias
DATA ANALYSIS AND INTERPRATION

(1) Do you have own mobile connection?

A. Yes

B. No.

14

Having Mobile

Not having
mobile

86
The data shows that the total sample size of 50 people taken
for research out of which 86% of persons keep mobile with
them.

Sam
ple
size
50

Having mobile Respondent

Yes 43
No 7
 (2) Which kind of phone you would like use?

Land line

Mobile

The data shows that the total sample size of 50 people taken for research
out of which 50% of persons like to use land line phone and 30% person like to
use mobile and rest 20% person like to use WLL.

Sample size 50

CONNECTION Respondent
LANDLINE 25
MOBILE 15
WLL 10
(3) Which age group you belong to?

(a) 1520

(b) 2025

(c) 2535

(d) 35 above

15-20

20-25
25-35

35-above

The analysis shows that 14% people from 15 20 age group, 8% persons from 20-
25 age group, 36% persons from 2535 age group, and 42% of people from 35-
above age group keep mobile with them.

Sample size 50
Age Respondent
1520 7
2025 4
2535 18
35above 21
 (4) What occupation do you have?

(a) Business

(b) Professional

(c) Government Employee

(d) Student

The data shows that 50 persons are from, 23 persons are professionals, 16 persons are

Private and 5 persons are found retirement 6 person are government employee to

consume mobiles.

Sample size 50
Occupation Respondent
Professional 23
Private 16
Retirement 5
Government 6
(5) Which connection would you prefer?

(a) MTNL

(b) Airtel

(c) Orange/ Hutch

(d) BPL

(e) Reliance

When the preferences for mobile phone connections were asked, results drawn that
40% of persons prefer to take BSNL because they believe in BSNLs better
coverage & cheaper rates after BSNL, 20% of people opt Reliance services because
of its cheaper rate and flexible schemes, then Airtel is only 25% but there is very
high recommendation for its better connectivity. Airtel is rich in attractive schemes
and plans for business persons and persons related to corporate world.
Sample size: 50

Phone Connections Respondent

Airtel 20
BPL 8
MTNL 12
OTHERS 10
 (6) You would like to take prepaid connection or Post paid connection?

a. Prepaid

b. Post paid

The research study shows that almost people from the selected segment give
priority to Post Paid connection, because of the flexibility and attractive plans for
this market segment.

Sample size: 50

Connection Respondent
Pre paid 40
Post paid 10
 Airtel Competitor's Airtel Competitor's Airtel Lapu Competitor's
market % market% market% Market% % Lapu %
Careters meeting Pt. 40% 60% 45% 55% 41% 59%
Final Touch 67% 33% 45% 55% 45% 55%
Naaz photo comm. 36% 64% 42% 58% 43% 57%
Tone & melodies 45% 55% 43% 57% 40% 60%
Milan comm. 38% 63% 43% 57% 38% 63%
Aalamcomm. 45% 55% 57% 43% 29% 71%
Vijay electronics 38% 62% 38% 63% 38% 62%
Aman comm. 42% 58% 40% 60% 38% 62%
Rose comm. 43% 57% 29% 71% 29% 71%

TOTAL 45% 55% 43% 57% 37% 63%

 Airtel market Competitor's Airtel Competitor's Airtel Competitor's
Outlet name
% market% market% market% Lapu % Lapu %
A 2 Z communication 43% 57% 40% 60% 33% 67%
B.K.Marketing 64% 36% 50% 50% 40% 60%
Santacruz mart 61% 39% 9% 91% 41% 59%
Mobile villa 68% 32% 27% 73% 44% 56%
Vakola Mall 80% 20% 40% 60% 44% 56%
Matrix telecom 37% 63% 50% 50% 30% 70%
Gupta Telecom 58% 42% 38% 62% 45% 55%
Moon contacts 74% 26% 42% 58% 53% 47%
Mobile city 44% 56% 33% 67% 45% 55%
Konkan electronics 58% 42% 38% 62% 43% 57%
TOTAL 61% 39% 24% 76% 43% 57%
 Airtel Competitor's Airtel Competitor's Airtel Competitor's
market % market% market% market% Lapu % Lapu %
Gala & sons 75.00% 25% 53% 47% 60% 40%
Bharat telecom 75.00% 25% 45% 55% 45% 55%
Praveen & sons 70.97% 29% 56% 44% 56% 44%
Zarina general store 64.52% 35% 57% 43% 48% 52%
Ravi communication 72.73% 27% 55% 45% 48% 52%
Sai communication 75.00% 25% 45% 55% 44% 56%
Quality inn 62.50% 38% 52% 48% 56% 44%
Nirmals shop 76.47% 24% 48% 52% 60% 40%
Andheri Shop 66.67% 33% 50% 50% 43% 57%
Total 72.27% 28% 49% 51% 54% 46%
 Airtel Competitor's Airtel Competitor's Airtel Competitor's
market % market% market% market% Lapu % Lapu %
Nair Gallery 55% 45% 45% 55% 33% 67%
Poonam Art Gallery 50% 50% 44% 56% 43% 57%
Aman comm. 63% 38% 42% 58% 42% 58%
Khar Internationals 44% 56% 33% 67% 31% 69%
Saif business 26% 74% 47% 53% 40% 60%
Unique telecomm. 43% 57% 36% 64% 67% 33%
Antique
54% 46% 54% 46% 43% 57%
Communications
Harmain Entp.. 56% 44% 42% 58% 43% 57%
Orpat watches 56% 44% 56% 44% 29% 71%
Sindhi Mobiles 45% 55% 40% 60% 38% 62%
TOTAL 50% 50% 43% 57% 40% 60%
 Airtel competitor's Airtel competitor's Airtel competitor's
market % market% market% market% Lapu % Lapu %

Magic gallery 46% 54% 40% 60% 31% 69%

Photo world 40% 60% 40% 60% 35% 65%
Baba Telecom 42% 58% 63% 37% 36% 64%
Gift Point 48% 52% 5% 95% 37% 63%
Gift 4 U 36% 64% 45% 55% 29% 71%
Arco electronics 43% 57% 35% 65% 36% 64%
Marlboro telecom 38% 63% 38% 62% 36% 64%
Star comm. 43% 57% 30% 70% 36% 64%
Malik comm. 43% 57% 37% 63% 39% 61%
Highway international 44% 56% 29% 71% 38% 62%

TOTAL 43% 57% 38% 62% 35% 65%

 Juhu
Amar Golden Bharat Kapil Plus Point Plaza New Star Kumail
general
enterprises tel. stores comm. comm. comm. comm. comm.
store

Airtel prepaid connection

67% 58% 63% 71% 75% 73% 56% 50% 56%
stock
Competitor's stock 33% 42% 38% 29% 25% 27% 44% 50% 44%
Airtel coupon value 42% 40% 33% 33% 42% 40% 60% 40% 50%
Competitor's coupon value 58% 60% 60% 67% 58% 60% 40% 60% 50%
Airtel Lapu value 45% 40% 50% 56% 48% 47% 42% 40% 38%
Competitor's Lapu value 55% 60% 50% 44% 52% 53% 58% 60% 63%
SWOT ANALYSIS OF AIRTEL

Strengths

INVESTORs FAITH:

Investors faith in Airtel that causes huge monetary support.

STRONG ADMINISTRATION:

Under the leadership of Bharti Cellular Ltd Airtel proved themselves as an well-organized &

administrative company.

BRAND NAME:

Airtel as a brand is the synonym of success. It is the largest private limited organization of India.

Weakness

Lack Of Co-Ordination Between Deptt.

Lack of Choice of Good Pre-paid numbers like XXYY numbers like others providing.

Opportunity

favourable TARRIFS: Newly issued tariffs are suitable for Airtel so they can easily modify their
tariff plans according to it and gain customer attraction.

Threats

tough COMPETITION: Airtel has to face a tough competition with existing market leaders like
Reliance (Reliance is providing Free Outgoing also) Hutch, Idea, Dolphin and Trump.
FINDINGS

Basically for providing customer services in terms of their queries to build good relation with
customers to reach a point of customer satisfaction. Building good customer relation does not
only help in expanding sales but also helps in knowing the customer better and knowing the
customer further leads to acknowledgement of tastes & preferences of the customer.

One of the various ways to reach the customer is through franchisee. It helps the customer to be
in touch with a particular business. The franchisee should be at many places to build a strong
relation with all segments of customer. It must also have many customer executives so that there
are enough people to attend all customers and time can be saved. It leads to instant help to the
consumer to be happy and satisfied and the sole purpose of marketing "Customer Satisfaction is
achieved.

SUGGESTIONS:

There should be more customer care numbers and executives so that the problems of the
customers can be solved quickly.
They should have more space for payment.

The executives there should be given training time to time about new schemes and plans.

No phone calls should be attended while entertaining the customer.

Every executives should know his responsibility and work.

(a) As the company have captured the western market they

should retain the customers
(b) Try to capture the nearest other markets nearby

(c) Occasional offers

(d) Proper billings to the post paid users

(e) Proper response to the customers on the helpline no. Or toll

free nos.

(f) Roaming deposits should be reduced

-
 CONCLUSION

Good services is the way to retain the clients

AIRTEL CONNECTIONS ARE SELLING BECAUSE OF BEST NETWORK

COVERAGE.GOOD RELATIONSHIP OF FOS. & REATILER IS BEING HELPFUL IN
SELLING.

LARGE MARKET COVERAGE, EASY AVAILABILITY OF COUPONS.

CUSTOMER CARE NUMBER DOES NOT CONNECTS EASILY AND EXECUTIVES

THERE WERE ALSO NOT AWARE OF THE SCHEMES.
QUESTIONNAIRE

Name:

Sex : Age:

1. WHICH PRODUCTS OF AIRTEL THEY WERE SELLING AND WHICH NOT?

__________________________________________________________________

__________________________________________________________________

_____________________________________________
2. WERE THEY NOT SELLING THAT PARTICULAR PRODUCT.
__________________________________________________________________

__________________________________________________________________

_____________________________________________

3. WHAT ARE THE DIFFICULTIES FACED DURING SELLING THE PRODUCTS.

__________________________________________________________________

__________________________________________________________________

_____________________________________________

4. WHAT IS THE LEVEL OF STOCK MAINTAINED BY THEM.

__________________________________________________________________

__________________________________________________________________

_____________________________________________

5. THEIR FEEDBACK IN COMPARISON WITH THE COMPETITORS.

_____________________________________________________________________
_____________________________________________________________________

_______________________________________
BIBLOGRAPHY

BOOKS

Marketing Management by Philip Kotler 9th Edition

Research Methods for management by Dr. S. Shajahan 2nd Edition

Principal & Practice of Management by L.M. Prasad, 4th Edition.

WEBSITES & SEARCH ENGINE

www.airtelworld.com

www.bhartiteleventures.com

www.researchandmarket.com