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Chapter -1

INDUSTRY PROFILE

Telecom Industry
The telecom industry is one of the fastest growing industries in India. India has nearly 300
million telephone lines making it the third largest network in the world after China and USA.
. Withagrowth rate of 45%, Indian telecom industry has the highestgrowth rate in the world.
Much of the growth in Asia Pacific Wireless Telecommunication Market is spurred by the
growth in demand in countries like India and China. Indias mobile phone subscriber base is
growing at a rate of 82.2%.China is the biggest market in Asia Pacific with a subscriber base of
48% of the total subscribers in Asia Pacific.
ComparedIndias share in Asia Pacific Mobile Phone market is 6.4%.Considering the fact that
India and China has almost comparable populations, Indias low mobile penetration offers huge
scope for growth.
The telecom industry has been divided into two major segments, that is, fixed and wireless
cellular services for this report. Besides, internet services, VAS, PMRTS and VSAT also have
been discussed in brief in the report.
In todays information age, the telecommunication industry has a vital role to play. Considered
as the backbone of industrial and economic development, the industry has been aiding delivery
of voice and data services at rapidly increasing speeds, and thus, has been revolutionising
human communication.
Although the Indian telecom industry is one of the fastest-growing industries in the world, the
current teledensity or telecom penetration is extremely low when compared with global

standards. Indias teledensity of 36.98% in FY09 is amongst the lowest in the world. Further,
the urban teledensity is over 80%, while rural teledensity is less than 20%, and this gap is
increasing. As majority of the population resides in rural areas, it is important that the
government takes steps to improve rural teledensity. No doubt the government has taken certain
policy initiatives, which include the creation of the Universal Service Obligation Fund, for
improving rural telephony. These measures are expected to improve the rural tele-density and
bridge the rural-urban gap in tele-density.

Evolution
Indian telecom sector is more than 165 years old. Telecommunications was first introduced in
India in 1851 when the first operational land lines were laid by the government near Kolkata
(then Calcutta), although telephone services were formally introduced in India much later in
1881. Further, in 1883, telephone services were merged with the postal system. In 1947, after
India attained independence, all foreign telecommunication companies were nationalised to
form the Posts, Telephone and Telegraph (PTT), a body that was governed by the Ministry of
Communication. The Indian telecom sector was entirely under government ownership until
1984, when the private sector was allowed in telecommunication equipment manufacturing
only. The government concretised its earlier efforts towards developing R&D in the sector by
setting up an autonomous body Centre for Development of Telematics (C-DOT) in 1984 to
develop state-of-the-art telecommunication technology to meet the growing needs of the Indian
telecommunication network. The actual evolution of the industry started after the Government
separated the Department of Post and Telegraph in 1985 by setting up the Department of Posts
and the Department of Telecommunications (DoT).
The entire evolution of the telecom industry can be classified into three distinct phases.

Phase I- Pre-Libralisation Era (1980-89)

Phase II- Post Libralisation Era (1990-99)

Phase III- Post 2000

Until the late 90s the Government of India held a monopoly on all types of communications
as a result of the Telegraph Act of 1885. As mentioned earlier in the chapter, until the industry
was liberalised in the early nineties, it was a heavily government-controlled and small-sized
market, Government policies have played a key role in shaping the structure and size of the
Telecom industry in India. As a result, the Indian telecom market is one of the most liberalised
market in the world with private participation in almost all of its segments. The New Telecom
Policy (NTP-99) provided the much needed impetus to the growth of this industry and set the
trend for libralisation in the industry.

Chapter -2
COMPANY PROFILE

IDEA Cellular Limited


As India's leading GSM Mobile Services operator, IDEA Cellular has licenses to operate in
13circles and 22service operating areas .
With a customer base of over 17 million, IDEA Cellular has operations in Delhi, Maharashtra,
Goa, Gujarat, Andhra Pradesh, Madhya Pradesh, Chattisgarh, Uttaranchal, Haryana, UP-West,
Himachal Pradesh and Kerala. IDEA Cellular's footprint currently covers approximately 45% of
India's population and over 50% of the potential telecom-market.

As a leader in Value Added Services, Innovation is central to IDEA's VAS Factory. It is the first
cellular company to launch music messaging with 'Cellular Jockey', 'Background Tones', 'Group
Talk', a voice portal with 'PAN INDIA' and a complete suite of Mobile Email Services.

Idea Cellular is a wireless telephony company operating in various states in India. It initially
started in 1995 as a join venture between the Tatas, Aditya Birla Group and AT&T by merging
Tata Cellular and Birla AT&T Communications.
Initially having a very limited footprint in the GSM arena, the acquisition of Escotel in 2004
gave Idea a truly pan-India presence covering Maharashtra (excluding Mumbai), Goa, Gujarat,
Andhra Pradesh, Madhya Pradesh, Chattisgarh, Uttar Pradesh (East and West), Haryana, Kerala,
Rajasthan and Delhi (inclusive of NCR).
The company has its retail outlets under the "My Idea banner. The company has also been the
first to offer flexible tariff plans for prepaid customers. It also offers GPRS services in urban
areas.
IDEA Cellular is a publicly listed company, having listed on the Bombay Stock Exchange
(BSE) and the National Stock Exchange (NSE) in March2007.
IIDEA Cellular is a leading GSM mobile service operator with pan India licenses. With a
customer base of over 44 million in 13 service areas, operations are soon expected to start in
Chennai Metro; Kolkata & West Bengal, North East & Assam, and J&K.
A frontrunner in introducing revolutionary tariff plans, IDEA Cellular has the distinction of
offering the most customer friendly and competitive Pre Paid offerings, for the first time in India,
in an increasingly segmented market. From basic voice & Short Message Service (SMS) services
to high-end value added services such as Mobile TV, Games etc - IDEA is seen as an innovative,
customerfocusedbrand.
IDEA 'Women's Card' caters to the special needs of women on the move, and 'Youth Card'
covers the emerging youth segment. IDEA 'My Gang' - the widely popular community user
group product recently bagged the prestigious 'Golden Peacock Award 2008' under the Most
Innovative Product category at the "19th World Congress on Total Quality".
A brand known for many firsts, IDEA was the first to launch GPRS and EDGE in India. IDEA
has partnered with Research in Motion (RIM) to offer Blackberry services on

its network.

IDEA 'Net Setter'- Plug & Play, EDGE enabled USB Data Card offers affordable data
connectivity with faster speed and consistency.

IDEA offers seamless coverage to roaming customers traveling to any part of


well as to international traveling customers across over 200 countries.

the country, as

IDEA Cellular has

partnership with over 400 operators worldwide to ensure that customers are always connected
while on the move, across the globe.
IDEA has received several national and international recognitions for its

path-breaking

innovations in mobile telephony products & services.


Idea Cellular
Idea Cellular was started in 1995, with its head office in Mumbai. It also provides 3G services to
its subscribers.
Type- Public listed company
Industry - Telecom services
Founded - 1995
Headqurater - Mumbai India
Key Person - Kumar Manglam Birla (Chairman)
Members - 159.20 Millions
Parent - Aditya Birla Group (49.05%)
Axiata Group Berhad(19.96%)
Providence Equity (10.06%)
Slogan - An Idea Can Change Your Life

Vodafone
Vodafone India is a 100% subsidiary of Vodafone Group. It commenced operations in 1994 when its predecessor
Hutchison Telecom acquired the cellular license for Mumbai. Brand Vodafone was launched in India in September
2007, after Vodafone Plc. acquired a majority stake in Hutchinson Essar in May 2007. From a single operation base
with 31 million customers, the company has expanded its operations across the country to cover all 22 telecom
circles and service 180 million customers. This journey is a strong testimony of Vodafone's commitment and success
in a highly competitive and price sensitive market.

Vodafone India Ltd. is the second largest mobile network operator in India by subscriber base,
after Airtel. It is headquartered inMumbai, Maharashtra.[2] It has approximately 185 million customers
as of June 2015. It offers both prepaid and postpaid GSMcellular phone coverage throughout India
with better presence in the metros. Vodafone India provides services on basis of 900 MHz and
1800 MHz digital GSM technology. Vodafone India launched 3G services in the country in the
JanuaryMarch quarter of 2011 and plans to spend up to $500 million within two years on its 3G
networks.It has already launched its 4G services in Mumbai from February,2016 and plans to
expands its network to various cities from March 2016 .Vodafone is the second largest player in
telecom operator in India after Airtel, with a market share of 18.42%.

Mobile services

3G
On 19 May 2010, the 3G spectrum auction in India ended. Vodafone paid 11617.86 million (the
second highest amount in the auctions) for spectrum in 9 circles. The circles it will provide 3G in
are Delhi, Gujarat, Haryana, Kolkata, Maharashtra & Goa, Mumbai, Tamil Nadu, Uttar
Pradesh (East) and West Bengal
On 16 March 2011, Vodafone launched 3G services in Uttar Pradesh (East) in the city of Lucknow. It
was the fifth private operator (seventh overall) to launch 3G services in the country, following Tata
Docomo, Reliance Communications, Airtel, and Aircel.
On 23 June 2011 Vodafone launched 3G service in Kerala by joining with Idea in an Intra Circle
Roaming agreement. Initially Vodafone 3G services will be available in the following cities in Kerala
Ernakulam, Aluva, Palakkad, Thrissur, Calicut, Koyilandy, Alappuzha, Cherthala, Malappuram and
Manjeri. On 28 June 2012, Vodafone launched a new international roaming package under which
the users shall have not to pay multiple rentals in the countries they are visiting

4G[edit]
On 8th December 2015, Vodafone announced the roll out of its 4G network in India on 1800 MHz
band, starting from Kochi, Kerala.

M-Pesa[edit]
M-Pesa, branded as M-Paisa (the paisa being the largely unused subunit of the Indian rupee), was
launched in India as a close partnership with HDFC bank in November 2011. Development for the
bank began as early as 2008. The service continues to operate in a limited geographical area in
India. Vodafone India had partnered with both HDFC and ICICI, ICICI launched M-Pesa on April 18,
2013. Vodafone plans to rollout this service throughout India.[28] The user needs to register for this
service by paying 100 Rupees and there are charges levied per M-Pesa transac they can get
recharge mobiles and DTH from m-pesa and also they can transfer the money to other users and
other banks also.

Type

Public

Industry

Telecommunications

Headquarters

Mumbai, Maharashtra, India

Services

Mobile telephony
Wireless broadband

Members

185.47 million[1] (April 2015)

Parent

Vodafone Group

Slogan

Power to you

Website

www.vodafone.in

AIRTEL

Bharti Airtel Limited is an Indian global telecommunications services company headquartered


in New Delhi, India. It operates in 20 countries across South Asia, Africa, and the Channel Islands.
Airtel provides GSM, 3G and 4G LTE mobile services, fixed line broadband and voice services
depending upon the country of operation. It is the largest mobile network operator in India and
thethird largest in the world with 325 million subscribers.[5][6] Airtel was named India's second most
valuable brand in the first ever Brandz ranking by Millward Brown and WPP plc.[7]
Airtel is credited with pioneering the business strategy of outsourcing all of its business operations
except marketing, sales and finance and building the 'minutes factory' model of low cost and high
volumes. The strategy has since been adopted by several operators.[8] Airtel's equipment is provided
and maintained by Ericsson and Nokia Solutions and Networks[9] whereas IT support is provided
by IBM.[10] The transmission towers are maintained by subsidiaries and joint venture companies of
Bharti including Bharti Infratel and Indus Towers in India.[11] Ericsson agreed for the first time to be
paid by the minute for installation and maintenance of their equipment rather than being paid up
front, which allowed Airtel to provide low call rates of 1/minute (US$0.02/minute)

Airtel is the one of the largest mobile operator in the world in terms of subscriber base and has a
commercial presence in 20 countries and the Channel Islands, Baysquare Technology developed a
Settlement and Reconciliation Tool (SRT) to reconcile from various data streams. The system was
developed to match the calls being captured by the network elements and the calls getting rated, i.e.
ensuring that operator is billing all calls its serves and also it is paying out to other operators the
correct billing amounts

BSNL
Bharat Sanchar Nigam Limited (abbreviated BSNL) is an Indian stateowned telecommunications company headquartered in New Delhi, India. It was incorporated on
15 September 2000 and took over the business of providing of telecom services and network
management from the erstwhile Central Government Departments of Telecom Services (DTS) and
Telecom Operations (DTO), with effect from 1 October 2000 on a going concern basis. It is the
largest provider of fixed telephony and broadband services with more than 60% Market share

and sixth largest mobile telephony provider in India. However, in recent years the company's
revenues and market share have plummeted into heavy losses due to intense competition in the
Indian telecommunications sector.[3][4] BSNL is India's oldest communication service provider and had
a customer base of 93.29 million as of June 2015.[2] It has footprints throughout India except
for Mumbai and New Delhi, which are managed by Mahanagar Telephone Nigam (MTNL).

Services[edit]
Bsnl Mobile is major provider of GSM cellular mobile services under the brand name Cellone. BSNL
provides complete telecom services solution to enterprise customers including MPLS, P2P and
Internet leased lines. It provides fixedline services and landline using CDMA technology and its
extensive optical fiber network. BSNL provides Internet access services through dial-up connection
as prepaid, NetOne as Postpaid and DataOne as BSNL Broadband.[5][6]
BSNL offers value-added services, such as Free Phone Service (FPH), India Telephone Card
(Prepaid card), Account Card Calling (ACC), Virtual Private Network (VPN), Tele-voting, Premium
Rate Service (PRM), Universal Access Number (UAN).[7] BSNL also offers the IPTV which enables
customers to watch television through internet and Voice and Video Over Internet Protocol (VVoIP).
[8]

In 2007, BSNL announced plans for providing 5 million broadband connectivity and secured 80% of

the INR 25 billion rural telephony project of Government of India.[9] On 20 March 2009, BSNL
launched blackcherry services across India. BSNL paid Rs. 101.87 billion for 3G spectrum in 2010.
[10]

As of 2011, BSNL offers coverage in over 800 cities across India. [11] BSNL launched in 2012 a 3G

wireless pocket router named Winknet Mf50.[12] BSNL 3G provides HSPA+ service with highest speed
of 21.1 Mbit/s downlink and 5.76 Mbit/s uplink.
BSNL announced the discontinuation of its telegram services from 15 July 2013, after 160 years in
service. It was opened to the public in February 1855; it was upgraded to a web-based messaging
system in 2010, through 182 telegraph offices across India

DOCOMO
Tata DOCOMO is an Indian cellular service provider on the GSM, CDMA and platform-arising out of
the strategic joint venture between Tata Teleservices and NTT Docomo in November 2008.
DOCOMO stands for Do Communications Over Mobile Network. It is the country's seventh largest
operator in terms of subscribers (including both GSM and CDMA).Fast growing network. On 2015
spectrum auction tata docomo won 10 mHz frequency bandwidth in Tamil Nadu circle

History[edit]
Further information: Tata Group
Tata DOCOMO is part of the Indian conglomerate Tata Group. The company received the license to
operate GSM services in nineteen telecom circles and was allotted spectrum in eighteen of these
circles and launched GSM services on 24 June 2009. It began operations first in South India and
currently operates GSM services in eighteen of twenty two telecom circles. It has licences to operate
in Delhi but has not been allocated spectrum from the Government. [1]Docomo provides services
throughout India. Tata DOCOMO offers both prepaid and postpaid cellular phone services. It has
become very popular with its one-second pulse especially in semi-urban and rural areas. [citation needed]
In November 2008, NTT Docomo invested $2.2 billion in Tata Teleservices, at 117 a share for a
26.5% stake in the latter.[2] DoCoMo, TTSL and Tata Sons had in March 2009 signed shareholder
agreement for the business alliance. In March 2009, DoCoMo acquired a 27.31% in Tata
Teleservices for Rs 12,924 crore and 20.25% in Tata Teleservices (Maharashtra) Ltd, the listed arm
of TTSL, for 949 crore. Overall, DoCoMo holds 26.5%in Tata Teleservices.[3]

On 5 November 2010, Tata DOCOMO became the first private sector telecom company to
launch 3G services in India. Tata DOCOMO had about 42.34 million users at the end of December
2010.[4]
In April 2011, Tata DOCOMO signed Bollywood actor Ranbir Kapoor as its brand ambassador on a
three-year contract, now the contract is expired.[5] For the southern states ofTamil Nadu and Andhra
Pradesh, actors Vijay and Ram Charan Teja are the brand ambassadors respectively.

Rebranding[edit]
On 20 October 2011, the Tata Group brought its brands Indicom (CDMA), Tata Docomo (GSM),
Walky (Fixed Wireless Phone), Photon, INTERNET under the Tata DOCOMO name. All
subscribers to these services were migrated to the Docomo brand on 20 October 2011. [6] The
companies other brands Virgin Mobile and T24 are not part of the rebranding and continue to
retain their names.[7]

Reliance Communication
Reliance Communications Ltd. (RCOM) is an Indian Internet
access and telecommunications company headquartered in Navi Mumbai, India. It provides CDMA
(CDMA2000, 1xRTT, EV-DO), GSM (Voice, 2G, 3G) mobile services, fixed line broadband and voice
services, DTH depending upon the areas of operation. Reliance Communications is
the fourth largest telecom operator in India with 109.90 million subscribers as of June 2015.
[4]

Established in 2002, it is a subsidiary of Reliance Anil Dhirubhai Ambani Group. Reliance

Communication IT Support is provided by Reliance Tech Services and Telecom network is


maintained and operated byEricsson, transmission towers are maintained by its subsidiary Reliance
Infratel.
In November 2015, Reliance Communications entered into an agreement to acquire MTS India.

Mobile services[edit]
In 2002, it launched CDMA Operations in 22 circles and became a pan India operator. In 2008,
Reliance Communications launched GSM. In the 2010 spectrum auction, Reliance Communications
paid 58,642.9 million for 3G spectrum in 13
circles Delhi, Mumbai,Kolkata, Punjab, Rajasthan, Madhya Pradesh, West Bengal, Himachal
Pradesh, Bihar, Odisha, Assam, North East and Jammu & Kashmir.[5]

On 25 May 2012, RCom announced a price reduction of 61% on its 3G services. [6] In 2011, Reliance
provided up to 28 Mbit/s data rate in India with its MIMO technology.[7] On 31 January 2013, Reliance
announced its partnership with Lenovo to market co-branded smartphones in India.[8] The
smartphones were said to use the Android operating system and have dual-core processors.[8]In
2015, it launched CDMA in REV. B technology in non 3G circles.

Objectives

1. To know the priority given by customer to service provider and why.


2. To identify the reason for choosing service provider.
3. To know the customer base.
4. To understand the cusromer satisfaction level with price.
5. To know customer attracted towards the good schemes and promotional
schemes.

Literature Review

G. S. Popli
Delhi School of Business

Dr. Manish Madan


Rukmini Devi Institute of Advanced Studies
June 11, 2013

Abstract:
The purpose of this study is to find out those determinants and factors which can affect and
have an impact on the satisfaction level of customers in the telecom industry in the National
Capital Region of Delhi, India especially the cellular sector. By satisfying the customers, the
organization can maximize the number of users. The main objective of this kind of study is
to search and find the factors influencing the satisfaction level of the customers in
the telecom industry.
The study has identified major six factors through which are responsible for customer
satisfaction in telecom industry. A structured questionnaire was developed to analyze the
study. A random sampling technique has been used and the sample size was 150. For
analyzing the results Descriptive Statistics along with Correlation and regression has been
used and analysis is done with the use of SPSS software version 17.

Sanjeet Singh
UITTR, Chandigarh University; Chandigarh University

Gagan Deep Sharma


Guru Gobind Singh Indraprastha (GGSIP) University

Mandeep Mahendru
Gian Jyoti Institute of Management & Technology

May 17, 2011

Abstract:
In India cellular service were made available to the public after liberalization
of telecom policy way back in1994. Since then ever operator in the cellular
services sector has been vying to after of range of a new services. The present research
investigated customer perception towards services provided by the cellular companies and
checks the satisfaction level of the customers with the service they are using. The sample
size used for this research is 100 and the samples are chosen from north India (Chandigarh,
Mohali. Kharar, Sirhind and Gobindgarh) region viz. Airtel, Vodafone, BSNL, Reliance, Spice
and others was taken into consideration. The statistical tools i.e., Standard deviation, Z test
are used for the purpose of data evaluation.

Helani Galpaya
LIRNEasia

Rohan Samarajiva
LIRNEasia
August 1, 2009
Presented at the International Telecommunications Society Africa, Asia, Australia Regional Conference in
Perth, Australia
Abstract:

The Telecom Regulatory Environment (TRE) survey presented in this paper is a tool to
evaluate the effectiveness of the Telecom Regulatory and Policy Environment of a country. It
asks senior stakeholders to assess the effectiveness (efficacy) of the regulatory and policy
environment in the telecom sector of a country along seven dimensions. The dimensions are
based on the General Agreement for Trade in Services (GATS) regulatory reference paper on
telecommunications, with some additions. Three telecom subsectors of fixed, mobile and
broadband are evaluated separately. The evaluation is done on a Likert scale of one to five.
The stakeholders are selected to represent in a balanced manner those directly affected by
regulation and policy (such as operators and equipment manufacturers), those observing

the sector with broader interest and affected by its overall performance (such as lawyers,
consultants, investment analysts) and those representing consumer interests (such as civil
society organizations, other government institutions). Equal weight is given to each subgroup of stakeholders in order to ensure that a range of views are represented in the final
score.
The results can be used to diagnose the positives and negatives of a countrys regulatory
environment. When multiple countries are surveyed, resulting comparisons can give insight
into best or worst practices and act as tool for leaning. For investors who are evaluating
investment options in multiple countries, the TRE scores can act as a proxy indicator for
regulatory risk.
The paper surveys the literature on measuring regulatory performance in infrastructure
sectors, describes the TRE methodology and discusses the results from implementing the
survey in 2006 and 2008 in a number of South and South East Asian countries.

Emanuele Bacchiocchi
Universit degli Studi di Milano

Massimo Florio
University of Milan - Department of Economics, Management and Quantitative Methods (DEMM)

Marco Gambaro
Universit degli Studi di Milano - DEPA
May 5, 2008
TPRC 2009
Abstract:

We study the impact on consumers of privatization and liberalization in


the telecommunication sector for 15 EU Countries. Policy reforms are
summarized by the OECD regulatory indicators (REGREF), that consider the
extent of privatization, vertical disintegration, and market entry. After controlling

for other country variables, we first test the impact of ownership and regulatory
changes on productivity and consumer prices. In a second step, we consider the
Eurobarometer data on consumers satisfaction about quality and prices of the
telecommunication service. The analysis confirms the importance of market
regulation in reducing prices and increasing productivity performances, but
minimize the role played by privatization per se. The latter and liberalization of
the telecommunication market play a role in explaining the consumers
satisfaction about prices and quality of the service, but country features are more
important. Overall, our findings offer only mixed evidence, and somehow
contradict, the hypothesis of welfare dominance across the EU of a unique reform
paradigm in the telecom industry.

Dr. Urvashi Makkar


Institute of Management Studies, Ghaziabad

Harinder Kumar
Independent
June 24, 2011
International Journal of Arts & Sciences (IJAS), December, 2012
Abstract:

This paper is an attempt to find the variables/factors that affect Customer Satisfaction Index
for Rural Mobile Telecom Subscriber in India. The impact of various service parameters like
Service Quality, Service Performance, Support services, Billing Services etc. on Customer
Satisfaction Index has been analyzed.

Akshaya Kumar Sahoo


Siksha O Anusandhan (SOA) University - Institute of Business and Computer Studies (IBCS)

Braja Ballav Kar


KIIT University - School of Management

Srikant Das
KIIT University
November 8, 2015
Mediterranean Journal of Social Sciences, Vol. 6, No. 6 S4, 2015
Abstract:

Telecom Service Industry in India is going through a phase of high growth, excessive
competition, continual lowering of tariffs and rapid change of technology. Policies are still
evolving and causing substantial change in the competitive landscape. Telecom Services
have become more commoditized; it is easy to replicate. The market can be compared to a
red sea, and it does not give sustainable competitive advantage. Customer retention and
addition of new customers becomes very crucial for the profitability and survival. The
research takes the responses of 803 customers of different telecom service providers and
analyses their response with respect to quality perception, duration of use and switch
intention. The responses are further correlated to the demographics of the sample to
generate understanding about their behavior. The research finds that there is a need to
relook at the relatedness of loyalty and service quality concepts in telecom sector,
precisely when customers are simultaneously using multiple services from multiple service
providers. The data analysis indicates that long term customers with higher level of
satisfaction and higher income are more likely to have greater intention to switch.

Purva Kansal
Panjab University - University Business School
December 1, 2013
South Asian Journal of Management, 20(4), 120-143, 2013
Abstract:

Present study tests the conceptual model which states that to ensure a successful service
recovery, a service firm should communicate effectively with the aggrieved customer, be
empathetic, provide feedback, offer an explanation of what went wrong, empower

employees who receive complaints to solve the problem that the customer complained
about, and ensure that staff are appropriately dressed and appear professional in terms of
the appearance of their working environment that elements of service recovery construct do
not equally influence the resulting satisfaction. The present study is conducted in
telecommunication sector in India. To test the hypothesis data was collected from 200
respondents across three service providers, i.e., Airtel, BSNL and Vodafone, using RECOVSAT.
The results of discriminant analysis resulted in 2 functions. These results highlighted the
relative importance of atonement, empowerment and feedback in service recovery efforts.
Results further highlighted that for cluster 3, i.e., satisfied customers loaded positively on
the 3 dimensions of function I namely atonement, empowerment and feedback. These
results indicate that as companies focus their strategies on these variables customers move
from being dissatisfied with the companies' service recovery efforts to being satisfied with
the company's service recovery efforts. The recommended service mix was tested for three
service providers in telecom industry i.e. Vodafone, Airtel and BSNL. Though all the three
companies are involved in service recovery efforts the results indicated that Vodafone had
best service mix in terms of function I and also had maximum percentage of customers
satisfied from its complaint process and service recovery efforts. Despite their efforts BSNL
and Airtel were not doing so well because they were investing in Function 2 of the service
recovery mix. Therefore, a focus in service recovery strategies would help service providers
gain satisfaction in service recovery efforts and also have an impact on the customers
emotions and future behavior. This would help companies get maximum impact on
perceptions of customers within the limits of a marketing budget

QUESTIONNERE
We would be grateful if you could spare a few minutes to complete this Questionnaire to help us
analyze the effect of training and development process in your company.

Please tick mark () where required.


1. Which operator you are choosing ?
( ) IDEA

( ) AIRTEL

( ) DOCOMO

( ) Reliance

( ) VODAFONE ( ) BSNL

2. Reason for choosing service provider ?


( ) Attractive number

( ) Better connectivity

( ) Brand name

( ) Call rates

( ) New good schemes

( ) Value added services

3. You are giving preference to connectivity and monthly bill ?

( ) Strongly agree

( ) Agree

( ) Strongly dissatisfied

( ) Dissatisfied

Neutral

4. While choosing service provider you are giving preference to customer service ?
( ) Yes

( ) No

( ) May be

( ) Not sure

5. Brand name effect in choosing service provider ?


( ) Yes
( ) May be

6. Attractive new good scheme?


( ) Yes

( ) No
( ) Not sure

( ) No

7. Promotional offer?
( ) Yes

( ) No

( ) May be

( ) Not sure

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