TABLE OF CONTENTS

EXECUTIVE SUMMARY ........................................................................................................................ 5 1. HISTORY OF COMMUNICATION ................................................................................................ 6 1.1. 1.2. 1.3. 1.4. 2. Smoke Signal ................................................................................................................................ 6 Lantern Means of Communication ............................................................................................... 7 Communication by Drums ............................................................................................................ 8 Communication by Birds .............................................................................................................. 8

HISTORY OF TELECOMMUNICATION ..................................................................................... 9 2.1. What is Telecommunication?........................................................................................................ 9 Telegraph and Telephone .................................................................................................... 10 Radio and Television .......................................................................................................... 11

2.1.1. 2.1.2. 3.

HISTORY OF CELLULAR COMPANIES IN PAKISTAN ........................................................ 12 3.1. 3.2. 3.3. 3.4. 3.5. 3.6. Paktel........................................................................................................................................... 12 Instaphone ................................................................................................................................... 12 Mobilink...................................................................................................................................... 13 Telenor ........................................................................................................................................ 15 Warid........................................................................................................................................... 16 Ufone........................................................................................................................................... 17

4.

BACKGROUND OF THE ZONG................................................................................................... 19 4.1. 4.2. 4.3. China Mobile Communications Corporation (CMCC) ............................................................... 19 China Mobile Pakistan (CM Pak) ............................................................................................... 19 ZONG Pakistan ........................................................................................................................... 20 Vision Statement ................................................................................................................. 21 Mission Statement ............................................................................................................... 21 Core Value .......................................................................................................................... 21 Goals and Objectives .......................................................................................................... 22 Company Information ......................................................................................................... 23 Management Line of ZONG ............................................................................................... 24 Organizational Chart ........................................................................................................... 25 Customer Center Chart........................................................................................................ 26
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4.3.1. 4.3.2. 4.3.3. 4.3.4. 4.3.5. 4.3.6. 4.3.7. 4.3.8.

5.

PRODUCTS AND SERVICES ........................................................................................................ 27 5.1. 5.2. ZONG Postpaid ........................................................................................................................... 27 ZONG Prepaid ............................................................................................................................ 28 ZONG Default Package ...................................................................................................... 28 ZONG 45 Package .............................................................................................................. 28 ZONG 65 Package .............................................................................................................. 29 ZONG 12 Aanay Package ................................................................................................... 29 ZONG Free Package ........................................................................................................... 30 ZONG Aik Second Package ............................................................................................... 30

5.2.1. 5.2.2. 5.2.3. 5.2.4. 5.2.5. 5.2.6. 5.3.

Other Offers and Services by ZONG .......................................................................................... 31 Break Time Offer (BTO) .................................................................................................... 31 Late Night Offer (LNO) ...................................................................................................... 31 Location Based Charging (LBC) ........................................................................................ 31 Friends and Family (FnF) ................................................................................................... 31 Happy Hour ......................................................................................................................... 32 Super Free Number ............................................................................................................. 32 Conference Call................................................................................................................... 32 SMS packages ..................................................................................................................... 33 GPRS Packages ................................................................................................................... 33

5.3.1. 5.3.2. 5.3.3. 5.3.4. 5.3.5. 5.3.6. 5.3.7. 5.3.8. 5.3.9.

5.3.10. ZONG E-Care ......................................................................................................................... 34 5.3.11. 5.3.12. 5.3.13. 5.4. Missed Call Alert ................................................................................................................ 34 ZONG Family Pack ............................................................................................................ 34 Student Entrepreneur Program (SEP) ................................................................................. 35

ZONG Mobile ............................................................................................................................. 36 Android Handset ................................................................................................................. 36 ZONG Handset N281.......................................................................................................... 37 ZONG Handset R231 .......................................................................................................... 38 ZONG Handset R221 .......................................................................................................... 39 ZONG Handset G2201........................................................................................................ 40 ZONG HandsetZ100 ........................................................................................................... 41

5.4.1. 5.4.2. 5.4.3. 5.4.4. 5.4.5. 5.4.6. 5.5.

ZONGsUSB ............................................................................................................................... 42 SMS Charges ...................................................................................................................... 42

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5.5.1.

5.5.2. 6.

Available at CSCs of the following cities ........................................................................... 42

DEPARETMENTS ........................................................................................................................... 43 6.1. 6.2. Human Resource Department (HRD) ......................................................................................... 43 Administration Department......................................................................................................... 43 Mission Statement ............................................................................................................... 43 Functions of Administration Department............................................................................ 44

6.2.1. 6.2.2. 6.3.

Finance Department .................................................................................................................... 44 Mission Statement ............................................................................................................... 44 Functions of Finance Department ....................................................................................... 44

6.3.1. 6.3.2. 6.4.

Marketing Department ................................................................................................................ 45 Mission Statement ............................................................................................................... 45

6.5.1. 6.5.

Sales and Distribution Department ............................................................................................. 45 Mission Statement ............................................................................................................... 45 Distribution ......................................................................................................................... 45

6.6.1. 6.6.2. 7.

ANALYSIS ........................................................................................................................................ 46 7.1. 7.3. 7.4. SWOT Analysis .......................................................................................................................... 46 PEST Analysis ............................................................................................................................ 53 Number of Subscribers and Market Shares................................................................................. 56 Check Territory Sales Officers (TSO) activity in Market ......................................................... 57 Check Stock Availability in Market............................................................................................ 57 Brand Promotion ......................................................................................................................... 57 Shopkeeper Claims ..................................................................................................................... 57 Say Welcome to The Customers in The Office .......................................................................... 58 Postpaid Billing Process and Term & Conditions about Postpaid Connection........................... 58 ZONG Number Booking Procedure and Number Activation Procedure .................................... 58 SIM Replacement Process .......................................................................................................... 59 Prepaid Sale Process ................................................................................................................... 60 Handset Sale Process .............................................................................................................. 60

8.

WHAT I DID IN MY INTERNSHIP .............................................................................................. 57 8.1. 8.2. 8.3. 8.4. 8.5. 8.6. 8.7. 8.8. 8.9. 8.10.

9.

APPLICATION OF CLASSROOM LEARNING IN ORGANIZATION .................................. 61 9.1. 9.2. Management Concepts ................................................................................................................ 61 Marketing Concepts .................................................................................................................... 62
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9.3.

Organizational Behaviour Concepts ........................................................................................... 62

10. CONCLUSION ................................................................................................................................. 63 11. SUGGESTIONS AND RECOMMENDATIONS........................................................................... 64 12. GLOSSARY....................................................................................................................................... 65 13. REFERENCES .................................................................................................................................. 67 14. ANNEXURE ...................................................................................................................................... 68

EXECUTIVE SUMMARY
As a student of MBA I also got the chance to be a part of a reputed business company in telecom sector of Pakistan during my summer vacations. This practice by the company is known as Internship Program. It is a compulsory part of our studies and as per rules of the Department of Business Administration, each and every student of MBA/BBA program. And during my internship I write a comprehensive report on CM Pak, I have discussed about every major aspect of the ZONG, which I observed and perceived during my internship program. In this report, I have explained the detail about the current position along with the processes; policies, procedures and products and services offered by the ZONG are also discussed in detail. In this report, I discussed the SWOT analysis in detail of the company. In which I explain the what are the strength of the company and how by using these strength they can got the opportunity that are prevail in the market. And what is the weakness of the company if they do not solve these problems in very early time that can becomes threat for them. For understanding the working environment of the market of the Pakistan telecommunication sector for which I do complete the PEST analysis of that market which reflect the problematic area for the businesses in the Pakistan market and what economic, political, technological factors the company have to follow to retained in the market and expanded their market share. At the end I discuss my internship working with ZONG in this report in which is discuss my duties responsibilities and accomplishment during internship period and also write suggestion and recommendations for ZONG which I understand during my internship that they should follow these points to grow more.

1. HISTORY OF COMMUNICATION
Communication is the process of sharing ideas, information and messages with others. The most basic communication methods that are known to man are speech (verbal) and non-verbal expressions such as facial expressions and body language. Apart from these basic methods of communication there are other methods of communication. These methods began to evolve and become complex as the wants and needs of human beings became complex. Other than these methods of communication there were other methods used to signal and communicate with in a distance. Our ancestors developed systems for sending simple messages or signals over a distance through: 1.1. fire or smoke signals, lanterns, drumbeats, Birds and arrows. Smoke Signal

In 150B.C. Native Americans (old American) used a type of communication called smoke signals. In this form of communication, puffs or columns of smoke were sent into the air in many different ways, signaling different things. The smoke signals were not exactly a full language, but were mostly used as brief signals of communication. Some of the recognized signals are remembered today.
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One puff of smoke sent into the air was believed to signal attention. Two puffs meant all's well or everything is okay. Three puffs signal either danger, call for help, or simply just trouble.

The smoke is made by putting green branches or grass into the fire. Blankets are used to control the smoke puffs. Important events were also marked by smoke signals like war, death, or marriage. There were light and heavy signals, each meaning separate things. One meant good, the other meant bad. In Ancient China, soldiers stationed along the Great Wall would alert each other of impending enemy attack by signaling from tower to tower. In this way, they were able to transmit a message as far away as 750 kilometers in just a few hours. 1.2. Lantern Means of Communication

Another interesting element of the Chinese lanterns history is that, they also served as a means of communication among neighbors, when placed on the doorway, and the colors of the lanterns symbolized the events that the family was going through. Red Lantern: Red is a symbol of exuberance and zeal at its peak. As such, when placed outside a house, it symbolizes an event of marriage, or a birth in the family. Blue Lantern: A blue lantern is an indicator of poor health in the house, and also symbolizes the degenerating health of a family member. White Lantern: As is the case with many cultures across the world, white represents death in the Chinese culture too. When two white lanterns are placed on top of a doorway, along with a white sash that is placed across them, it symbolizes that a family is in mourning. Not only were Chinese lanterns used to communicate the good and bad events in a family, they also served as a means of communication among the military.

1.3.

Communication by Drums Drums are used for communication in central Africa. Many languages of the Bantu family of languages, spoken there, have drum

equivalents. It works just about like the Morse code (a code of signaling and telegraphy), except that the Morse code uses letters as units, and the drum communication uses words. 1.4. Communication by Birds Ever since the beginning of time as we know it, our civilization has developed and relied on various forms of communication in order to confer amongst those of his own species. Whether it is to convey messages of friendship, anger, sadness or even war, Birds carried messages through a long distance. The message was attached to a foot of a Pigeon or a Falcon who flew home with the message. This specific method of communication was used to a great extent during World War I.

2. HISTORY OF TELECOMMUNICATION
2.1. What is Telecommunication? Telecommunications is a general term for a vast array of technologies that send information over distances. Mobile phones, land lines, satellite phones and Voice over Internet Protocol (VoIP) are all telephony technologies just one field of telecommunications. Radio, television and networks are a few more examples of telecommunication. Telecommunication is a term coming from Greek and meaning communication at distance through signals of varied nature coming from a transmitter to a receiver. In order to achieve effective communication, the choice of a proper mean of transport for the signal has played (and still plays) a fundamental role. In ancient times, the most common way of producing a signal would be through light (fires) and sound (drums and horns). However, those kinds communications were insecure and certainly left room to improvement as they did not permit message encryption or a fast transmission of information on a large scale. The true jump in terms of quality came with the advent of electricity. Electromagnetic energy, in fact, is able to transport information in an extremely fast way (ideally to the speed of light), in a way that previously had no equals in terms of costs reliability. Therefore, we may say that the starting point of all modern telecommunications was the invention of the electric cell by Alessandro Volta (1800). It was shortly thereafter that the first experiments on more advanced communication system begun from 1830s that electrical telecommunication system started to appear.
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Telecommunication is started at that time through Telegraph and telephone Radio and television

2.1.1. Telegraph and Telephone 2.1.1.1. Telegraph A very early experiment in electrical telegraphy was an 'electrochemical' telegraph created by the German physician and inventor Samuel Thomas in 1809 based on an earlier, less robust design of 1804 by scientist Francisco. Both their designs employed multiple wires (up to 35) in order to visually represent almost all letters and numerals. Thus, messages could be conveyed electrically up to a few kilometers with each of the telegraph receiver's wires. An electrical current was sequentially applied by the sender through the various wires representing each digit of a message. 2.1.1.1. Telephone The conventional telephone was invented by Alexander Graham Bell in 1876, based on his earlier work with harmonic (multi-signal) telegraphs. The first commercial telephone services were set up in 1878 and 1879 on both sides of the Atlantic in the cities of New Haven and London. Bell held the master patent for the telephone that was needed for such services in both countries. The technology grew quickly from this point, with inter-city lines being built and telephone exchanges in every major city of the United States by the mid1880s.

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2.1.2. Radio and Television 2.1.2.1. Radio In 1832, James Lindsay gave a classroom demonstration of wireless telegraphy to his students. By 1854, he was able to demonstrate a transmission across the Firth of Tay from Dundee to Woodhaven, a distance of two miles (3 km), using water as the transmission medium. Afterward this technology get advanced and radio invented. 2.1.2.2. Television In December 1901, Guglielmo Marconi established wireless communication between Britain and New foundland, earning him the Nobel Prize in physics in 1909 (which he shared with Karl Braun). After that he worked with Scottish scientist Mr. Baird and 1925 they work on moving picture broadcast which were by most accounts the first true television pictures. However for most of the twentieth century televisions depended upon the cathode ray tube invented by Karl Braun.

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3. HISTORY OF CELLULAR COMPANIES IN PAKISTAN

3.1. Paktel Paktel limited was the first mobile network provider company whom laid the foundation of mobile industry in Pakistan. And after this new race of mobile technology started in Pakistan. During the past decade the company built a reputation for excellence with the widest coverage, network quality, customer services and value-added facilities that have earned us the respect of consumers experts. But the general perception was that company introduced the mobile as a status symbol and charged exorbitant rates during it early years. Paktels progression towards becoming a leading mobile service provider primarily comes from the early entry. The cellular networks offer services in over 200 cities and towns across the country. Paktel offers the range of cellular services with real utility; it has recently decided to shift from AMPS technology to the GSM version. It advantages are wide coverage, value added facilities, and good customer services.

3.2.

Instaphone Instaphone was a telecommunications company in Pakistan and the pioneer of cellular industry in Pakistan. The company was initially owned by Millicom International and was acquired later by the Arfeen Group.

In January 2008, the Pakistan Telecommunication Authority (PTA) terminated the license of Instaphone due to the companys failure to pay outstanding dues.

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3.2.1. Market Share Before the company's license was canceled, it was ranked at the bottom in terms of market share. Revenue, millions PKR 2003-04 2004-05 2005-06 2006-07 3196 2593 1539 472

3.2.2. Cancellation of License On January 4, 2008, Pakistan Telecommunication Authority (PTA) terminated the license of Instaphone due to the companys failure to pay outstanding dues for the license renewal fee they agreed to in April 2005 ($291MM). Pakcom, the company that runs Instaphone, failed to meet the payment schedule of $291 million for getting the operating license renewed for next 15 years from 2005.

3.3.

Mobilink The Mobilink GSM started operation in the year 1994. The Mobilink GSM is a subsidiary of Orascam telecom and market leader in Pakistan. This was the first company that introduced the GSM technology and cut down the rates. The company offers tariff plans that are exclusively designed to cater to the communication

needs of a diverse group of clientele, taking into account occasional users to businessmen. To achieve this objective, Mobilink offers both postpaid and the pre-paid (brand name JAZZ) solution to our customers. The company also offers advanced voice communication services, and a number of value added services to Subscribers. Mobilink since its start shown enormous

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growth. At the time when it entered the market it was a small player in the cellular market of Pakistan it is now the market leader in terms of having the largest subscriber in Pakistan. 3.3.1. Mobilink DSL Besides its cellular service recently Mobilink has also started its DSL/Wimax internet service in 26 major cities of Pakistan including

Lahore, Karachi, Rawalpindi, Islamabad, Faisalabad, Peshawar, Multan, Gujranwala, Gujrat, Jhe lum, Sialkot, Hyderabad, Mardan, Rahim Yar Khan, Sahiwal, Wah, Sargodha, Sheikhupura, Abbotabad, Quetta, Dera Ghazi Khan, Ghazi Kot, Bahawalpur, Sukkur, Nawabshah&Larkana. 3.3.2. Company Profile Mobilink GSM Pakistan Mobile Communications Ltd (PMCL) Type Parent or Subsidiary Founded Headquarters Key people Products Parent Slogan Website Private Limited Company Subsidiary 1994 42 Kulsum Plaza, Blue Area Islamabad, Pakistan President and CEO: Zouhair A Khaliq, Indigo (postpaid) , JAZZ (prepaid), MobilinkPCO Orascom Telecom Reshaping lives www.mobilinkgsm.com Egypt

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3.4.

Telenor Telenor Pakistan is a Pakistani GSM cellular service provider, and is a subsidiary of Telenor, Norway. Telenor acquired the license for providing GSM services in Pakistan in April 2004, and has launched its services commercially in Islamabad, Rawalpindi and Karachi on March 15, 2005. Telenor has its corporate headquarters in Islamabad, with regional offices in

Karachi and Lahore. On January 28, 2006 Telenor established a call center in Lahore. The official opening was held in Islamabad with the President of Pakistan General Pervez Musharraf as the guest of honor and a Telenor delegation headed by CEO Telenor Jon Fredrik Baksaas. On March 23, 2005 Telenor started its services in Lahore, Faisalabad and Hyderabad. Telenor will be launching its services in other cities as per the roll out plan. 3.4.1. Company Profile Telenor Type Founded Headquarters Key people Chairman: ThorleifEnger Industry Products Slogan Website Telecommunication talk shawk, Djuice(Prepaid), Persona(postpaid) Here to help, bato bato mie www.telenor.com Public Limited Company April 2004 Islamabad CEO: Jon Fredrik Baksaas,

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3.5.

Warid Warid Telecom Uganda Ltd is fully owned by WARID Telecom International a subsidiary of the Abu Dhabi Group, a large investment group active both in the UAE, Pakistan and now numerous other markets on the African continent including Uganda, Congo and Cote de Ivoire (African area where people lived). The group has sizeable

investments in various sectors including:

Telecommunications Hospitality Property development Oil exploration and supplies Banking and financial services Automobile industries.

This group currently providing GSM cellular services in Pakistan and Bangladesh (to launch in October 2006) with headquarters located at Abu Dhabi UAE.

Warid Telecom purchased a license of Telecom Operator in 2004 from Government of Pakistan and launched the service covering 28 cities of Pakistan and increasing its coverage 110 cities town highways. On the 10th of October 2006, it was reported on the media that the launch of Warid Bangladesh had been delayed by at least six months. 3.5.1. Company Profile Warid Telecom Type Founded Private Limited Company 2004 301-Dhabi Tower, Hamdan Street, Post Box 44222, Abu Dhabi, United Arab Emirates

Headquarters

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Key people

Chairman: Sheikh NahayanMabarak Al Nahayan, CEO Abu Dhabi Group &Warid International: Mr. Bashir A. Tahir, Zem(prepaid), Zahi(postpaid) We Care www.waridtel.com (Pakistan) www.waridtel.com.bd (Bangladesh)

Products Slogan Website

3.6.

Ufone Ufoneisa100% owned subsidiary of PTCL was established to operate cellular GSM services. The company commenced its operations, under the brand name of Ufone, from Islamabad on January 29, 2001. After the privatization of PTCL, Ufone is now owned by Etisalat.

During the year, as a consequence of PTCLs privatization, 26% of its shares were acquired by Emirates Telecommunication Corporation (Etisalat). Being part of PTCL, the management of Ufone has also been handed over to Etisalat. During the year July 2005 to June 2006, Ufone continued on the path to success. The Company further expanded its coverage and has added new cities and highways. Ufone has network coverage in more than 750 cities, towns and across all major highways of the country. 3.6.1. Company Profile Pakistan Telecommunication Mobile Ltd. (PTML), Ufone Type Parent or Subsidiary Private Limited Company Subsidiary

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Founded Headquarters

January 29, 2001 Islamabad, Pakistan 13-B, F-7 Markaz 2336 cities of Pakistan, GT Road, Super Highway & Motorway Abdul Aziz, CEO Pre Pay, Post Pay PTCL Pakistan

Area served Key people Products Parent Slogan Website

Its all about U! (Tum He Tou Ho) www.ufone.com

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4. BACKGROUND OF THE ZONG

4.1. China Mobile Communications Corporation (CMCC)

China Mobile is the world's largest telecom operator. Having a customer base of over 300 million customers, its network routes 700 million text messages every day and handles 250 million calls every hour. China Mobile is perhaps the only cellular network that provides uninterrupted, reliable coverage through tunnels, on highways, inside sky scrapper elevators as well on top of Mount Everest. China Mobile's first overseas subsidiary, China Mobile Pakistan has the license to offer and operate voice, data and all value added services in the entire country. One of the fastest growing cellular markets in the world, Pakistan is a key region that is likely to offer expansion opportunities as well the chance to make a difference in the lives of a growing clientele that is demanding, understands, and appreciates better quality and service standards. 4.2. China Mobile Pakistan (CM Pak)

China Mobile Pakistan (CMPak) is a 100% subsidiary of China Mobile. The pioneering overseas set up of China Mobile came through acquisition of a license from Millicom to operate a GSM network in Pakistan. So far, CMPak has invested more than US$ 700 million in the telecom sector in Pakistan and an additional US$ 800 million will be invested till the end of year 2008. With ambitious plans to cater to the fastest growing Pakistani market and to win over the everdemanding Pakistani customer, it will be offering unprecedented coverage, voice and data services, as well as a wide range of tariff options to choose from. CMPak's edge comes from the experience and expertise of running the world's largest telecom service and the commitment they make to setting quality and customer relations standards. CMPak is geared to offer neatly packaged VAS products that will benefit the individuals, corporate as well as small businesses. Led by a team of professionals from the field of cellular

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communication, CMPak is determined to make its mark in the Pakistani market and to change the way people communicate. 4.3. ZONG Pakistan

On January 22, 2007 stated that it would sell its 88.86 percent stake in Paktel Ltd. to China Mobile for $284 million, which includes the repayment of intercompany debt and China mobile company has invested $721 million in telecom sector in Pakistan during 2007 and it would further invest $7 million in Pakistan this year. The sale implies an enterprise value for Paktel of $460 million, Millicom said in its press release. Merrill Lynch advised China Mobile on the transaction. On 4 May 2007, Paktel was renamed to CMPak.And then, on 16 May 2007, China Mobile announced that it had upped its stake in CMPak to 100%. ZONG is the first International brand of China Mobile being launched in Pakistan. It is meant to empower and liberate the people of Pakistan in every nook and corner of the country. It will become a part of their hearts, their minds and bring about a change in their lives that everyone desired but few thought would be possible. ZONG would offer its customers with entertaining & innovative value added services and will empower them by giving a wide variety of products, services, & content to choose from. We are privileged to be the pioneering country introducing this brand with others to follow. And God willing, together we will make ZONG a success story for others to try and replicate.

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4.3.1. Vision Statement With perfect sincerity and integrity, we will strive to fulfill their triple-sided responsibilities: their economic responsibility; their social responsibility and their environmental responsibility 4.3.2. Mission Statement To be leasing mobile operator in Pakistan by continuously innovating and offering exceptional quality and service , to be a good corporate citizen and envy of friendship between China and Pakistan.

4.3.3. Core Value Responsibility Makes Perfection Five Key Values. 4.3.3.1. Trust Worthiness

Trust worthiness to be promoted between employees and with customers. Building Trust and Integrity must characterize in everything we do. We want everyone who comes in contact with us to know that we do things the right way at CMPak. We work with honesty, integrity and loyalty. We don't take short cuts. 4.3.3.2. Respect

Respect to be core part of the work environment .We treat each other with respect giving individuals autonomy, privacy, due courtesy in day to day interaction with our customers, suppliers, contractors, and of course each other. We tolerate and accept diversity.

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4.3.3.3.

Responsibility

Responsibility sharing and being aware of the responsibility with in the work place and outside of it.CMPak is a much larger company today than we were. With this increased size comes the challenge of operating in a timely fashion. We must avoid bureaucratic delays in the pursuit of excellence. We must be agile enough to act faster than our competitors. 4.3.3.4. Communicate Openly

We want good news to travel fast and bad news to travel even faster up the line. We need to be mindful of the importance of honestly communicating problems as well as breakthroughs. The sooner we communicate a problem, the easier it is for us to marshal our company's resources to solve it. We must communicate with each other at all levels fostering harmony and a culture of openness. 4.3.3.5. Team Work

Team works culture within the organization. CM Paks power comes from the talented people who make up our company. By cooperating and sharing our knowledge with each other seamlessly across organizations, we can make our company even stronger 4.3.4. Goals and Objectives Mobile communication is now a utility. You need your mobile phone. ZONG team seeks to meet consumers all communication needs by providing the best technology at an affordable price. It would be their prime objective to be rated as the best cellular service provider in Pakistan by expanding their service area to every corner of the country which is to be backed by excellent after-sales service. ZONG a fresh dynamic and customized brand befitting your lifestyle in order that you feel it as part of your life. A brand that you can always count on, sincerely, that understands your needs (ZONG Z20 package in which 20 seconds billing), wishes and desires and helps you get connected with your loved ones anywhere, anytime (ZONG to ZONG free city

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package). So speak your heart out and be good to your expression as ZONG is all set to mesmerize you with the ever-entertaining As a major step towards achieving their goal of expanding their services rapidly. They have decided to award the expansion contract to different vendors in Pakistan. These high ambitions would certainly lead us to become a major force in the development of telecom industry in Pakistan. We know that their partners Alcatel-Lucent Technologies, Ericsson Pakistan Limited, Huawei Technologies Pakistan and ZTE Pakistan are very well-known globally for their technical expertise and professionalism. The professionals representing their Partners will help CMPak achieve its goals in the shortest possible time. ZONG have completed acquisition of 100% shares of ZONG. US $ 723 million worth of FDI has already been made in the country and on top of that Theyll be investing millions of dollars in the future Let me reiterate their resolve and uncompromising commitment that China Mobile is here to stay which is why They are planning to continuously invest to improve their network coverage and quality. China Mobile has the resources and technical expertise to become one of the largest operators of the country. 4.3.5. Company Information China Mobiles Pakistan (CM Pak) ZONG Private Limited Company Subsidiary May 16, 2007 China Mobiles Pakistan (CM Pak) 7 Mauve Area, Islamabad, Pakistan US $1500 million 6300

Type Parent or Subsidiary Founded Founder Headquarters Investment Cell sites

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Industry

Telecommunication, Wireless Communication Communication (Mobiles and SIM and USB) +92-51-111222111 +92-51-111031031 ZONG Sab Keh Do www.zong.com.pk

Products Telephone Fax Slogan Website

4.3.6. Management Line of ZONG MANAGEMENT LINE OF ZONG Management Line CEO CTO CFO COO CHRO Director Operations Director Finances Director Sales Name Qin Lee XuHaiyong XinJee ZafarUsmani WaiGiang Fu SyrusSikander Amir Mahmood MannanShabbir Location Islambad Islambad Islambad Islambad Islambad Islambad Islambad Islambad From China China China Pakistan China Pakistan Pakistan Pakistan

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4.3.7. Organizational Chart

MARKTING COO SALES AND DISTRIBUTION

CALL CENTER

CSC

CFO

DIRECTOR FINANCE

PROCUREMENT

CEO
IT OPERATIONS CITO IT PROJECT

CHRO

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4.3.8. Customer Center Chart

BDO

TSOs

CSR Zong Mobile CSR Prepaid VAS CSR Prepaid Connection

CSC Manager

CSR Postpaid

Account Officer

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5. PRODUCTS AND SERVICES

5.1. ZONG Postpaid

Exciting news for ZONGs postpaid customers, ZONG has introduced some new postpaid packages and may be the most feature rich in market. Now, ZONGs postpaid packages comes with the free minutes on-net and off-net, and also unlimited SMS, 15 MB of free GPRS quota and many more. Packages are given below: Line Rent (Rs) On-Net Calls Airtime Rs./min Off-Net Calls Airtime Rs./min FNF Rs./min Free SMS (On & Off-Net) SMS Rate Rs./sms GPRS(MB) 100 0.5 0.5 0.4 N/A 1 15 300 0.45 0.45 0.3 N/A 1 15 600 0.375 0.375 0.2 N/A 1 15 1200 0.3 0.3 N/A Free 1 15 2000 0.1 0.2 N/A Free 1 15

Free SMS Free Minutes On-Net Off-Net-PTCL Off-Net-Other Mobile Operator Refundable Security Deposit

90 100 60 20 20 600

90 300 180 60 60 1,000

90 600 360 120 120 1,500

90 1,200 720 240 240 2,500

90 6,800 6,000 400 400 4,000

If customer comes to purchase postpaid SIM than he can avail packages which are given above. On postpaid SIM there is no default package customer will select any of the above packages according to his need and deposit line rent according to the package and package will be changed.

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5.2.

ZONG Prepaid

Following packages can be applied of the prepaid SIM 5.2.1. ZONG Default Package ZONG default package have some following features Network Call Rate (All networks) SMS (All networks) MMS (All networks) GPRS Unlimited GPRS Unlimited SMS Happy Hour Friends and Family ZONG Friends and Family rate 5.2.2. ZONG 45 Package ZONG 45package have some following features Charging Unit Voice: All networks in Pakistan SMS: All networks in Pakistan MMS: All networks in Pakistan GPRS Unlimited SMS Friends and Family Special offers (e.g. Happy Hour, 8 Aanay, LNO, BTO, Super Free, Unlimited Free) Switching for package Send sub to 931 or by dialing 931 20 Seconds 45 paisa/20 seconds Rs. 1/SMS Rs. 3/MMS upto 300KB Rs. 15/MB Rs. 3.99/day Not Applicable Not Applicable Price 80 paisa/30 second 80 paisa Rs. 3.00 upto 300KB Rs. 15/MB Rs. 400/month Rs. 3.99/day Rs. 4.99 per hour 5 Numbers 50 Paisas

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5.2.3. ZONG 65 Package ZONG 65 package have some following features Charging Unit Voice: All networks in Pakistan SMS: All networks in Pakistan MMS: All networks in Pakistan GPRS Unlimited SMS Friends and Family Special offers (e.g. Happy Hour, 8 Aanay, LNO, BTO, Super Free, Unlimited Free) Switching for package 5.2.4. ZONG 12 Aanay Package ZONG 12 aanay package have some following features Network ZONG to ZONG ZONG to any other number SMS to any other network Happy Hour ZONG Friends and Family numbers ZONG Friends and Family rate 8 Aanay Offer MMS Mobile Internet Switching for package Price 75 paisas/30 second 75 paisas/30 second 75 Paisas / sms Rs. 4.99 per hour 5 Numbers 50 Paisas 50 Paisas Rs. 3/300KB Rs. 15/MB Dial 907 Send sub to 910 or by dialing 910 30 Seconds 65 paisa/30 seconds Rs. 1/SMS Rs. 3/MMS upto 300KB Rs. 15/MB Rs. 3.99/day Not Applicable Not Applicable

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5.2.5. ZONG Free Package Features of ZONG free Package are as follows Network ZONG to ZONG ZONG to any other network SMS to any network ZONG Friends and Family numbers Late Night Offer (Midnight to 7:00 am) - Break Time Offer (Noon to 2:00 pm) - Break time offer Fridays Only(Noon to 4:00 pm). ZONG Friends and Family rate MMS Mobile Internet Super free number Switching for package 5.2.6. ZONG Aik Second Package Features of ZONG Aik Second Package are given below Make call for just 4 paisas per second! All Networks. All Numbers. All Time! Call 5 Friends and Family numbers for just 2 paisas per second. For subscription dial 900. Price Rs. 2.00/minute Rs. 2.00/minute Rs. 0.20 10 numbers Rs. 3.99 per hour Rs. 3.99 per hour Rs. 3.99 per hour Re. 1.00/minute Rs. 3/300KB Rs. 10/MB Free for 24 hour a day Dial 900

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5.3.

Other Offers and Services by ZONG

ZONG has always provided its customer with the best offers and services some of them are given below 5.3.1. Break Time Offer (BTO) ZONG offers Break time offer now call on any ZONG number at Rs.3.99 from noon to 2 pm, and on Friday from noon to 4 pm. This offer is on ZONG free package.To subscribe dial 900. 5.3.2. Late Night Offer (LNO) ZONG offers late night offer now add call from mid night to 7 am @ Rs. 3.99 per hour. This offer is on ZONG free package. To subscribe dial 900. 5.3.3. Location Based Charging (LBC) ZONG has always provided its customer with the best offers and services and in continuing of efforts ZONG now brings LBC. LBC is in more than 40 cities through which the customer can enjoy free ZONG to ZONG calls @ only Rs. 7+tax per day. 5.3.4. Friends and Family (FnF) ZONG brings special rates for your friends and family members add FNF numbers in almost all prepaid and postpaid packages. In ZONG postpaid packages FnF rates applied of line rent 100, 300, and 600 call rates are 0.4, 0.3, and 0.2 rupees per minute only respectively. And on prepaid FnF rates applied on ZONG Default Package and ZONG 12 Aanay Package5 FnF numbers 50 paisas per 30 seconds and and on ZONG Free Package 10 FnF @ 1 Rs per minute, and in ZONG Aik Second Package call on 5 Friends and Family numbers for just 2 paisas per second.

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5.3.5. Happy Hour ZONG brigs happy hour talk for an entire hour of your liking-any hour, for only Rs. 4.99 and for first time in Pakistan you can change the hour every day. Happy hour needs to be activated by the subscriber; every action/modification will be charged at Rs5. Friends and family rate apply for 24 hours, for those customers who have subscribed for happy hour, Friends and Family rates will not be applicable during that hour Happy hour can be modified once every day.

5.3.6. Super Free Number ZONG offers the ZONG super free number for that special someone deserves something special. Now call on your one special number 24 hours - for free! You can change the one super free number at the end of your subscription Already entered FnF numbers can be added as Super free number only after 30 days of selection i.e. after 30 days of adding the FnF number Dial 908 for package conversion & special number selection / modification You can also subscribe through SMS by sending sub <space> free <space> <mobile number> to 908 5.3.7. Conference Call Now five members can talk to each other at one time ZONG brings to you conference call service. Now activated on all prepaid and postpaid numbers.

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5.3.8. SMS packages ZONGS SMS packages are as follows Packages Daily SMS bundle Weekly SMS bundle Fortnightly SMS bundle Monthly SMS bundle SMS 500 SMS & 100 MMS per day 1000 SMS 500 SMS per day 500 SMS per day Days Limit 1 day 7 days 15 days 30 days Price 3.99+tax 10 + tax 50 + tax 80 + tax

Just SMS <sub> to 700. You would receive an SMS asking you to choose from the following bundles Send a reply with 1 for daily, 2 for weekly, 3 for fortnightly, 4 for monthly. To unsubscribe, SMS <unsubscribe> to 700

5.3.9. GPRS Packages GPRS (General Packet Radio Services) packages detail is given below ZONG Monthly Package Prepaid Offer Monthly Unlimited 4 GB Bundle Truly Unlimited Postpaid Offer Truly Unlimited ZONG Free ZONG Time Based Packages Hourly package For Activation Dial Rs. 0.25 per minute 905 Rs. 400 @ Rs. 10/M Rs. 200* Rs. 400 Rs. 999

*Monthly unlimited package provide downloading up to 2 GB.

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5.3.10. ZONG E-Care No need to walk into a Customer Support Center or make a call to get such modifications done. Our customers now have this facility in the comfort of their homes and offices. Through Prepaid E-Care, customers can enjoy the following features online: Web Portal Activation / Subscription for: Call packages change facility SMS bundle information Block unwanted call and SMS GPRS activation and packages change FnF numbers check & change facility BYN (Book Your Number)

5.3.11. Missed Call Alert No is miss call now, ZONG brings miss cal alerts for its customer. A message will be sent to you that this number called you if your phone is: Busy Not answered Out of reached Not responding

5.3.12. ZONG Family Pack

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Now with ZONG Family Pack, subscribers can call to their three family numbers without being worrying about the time limit or additional charges. Though, free calls are not for all ZONG numbers but to a group of three, that could be your family or friends. Bill will be paid by only one member who active this package. For activation dial 930 Monthly charges PKR 799+tax

5.3.13. Student Entrepreneur Program (SEP) For the first time in Pakistan ZONG has established a concrete earning opportunity for students. If you are currently enrolled in a university program and you want to earn a decent pocket money then ZONG has an amazing solution for you. Just get yourself registered as SEP in any CSC of ZONG anywhere in Pakistan. And avail that chance to get sales experience and also enjoy profit as well.

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5.4.

ZONG Mobile

5.4.1. Android Handset

ZONG brings to you the new Android handset based on the latest V 2.2 - Froyo Android operating system and that too at an unbelievable price.The Android phone is packed with numerous features that will revolutionize the handset market. You can know your exact Location, find Places to eat or shop or find an ATM near you with a single Touch on the screen. Handset along with the ZONG SIM for Rs. 10,999. Discount of Rs. 150 can be got by the customer if he has ZONG SIM with him Rs 450 of balance divided over 3 moths (Rs 150/month) 8MB free GPRS per month for 6 month

5.4.1.1. Features of Android Handset CPU 528 MHz QUALCOMM processor 3.2 MP camera Bluetooth & Wi-Fi EDGE supported USB Accelerometer Proximity sensor email support Micro SD card support (Micro SD card not included)

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5.4.2. ZONG Handset N281

ZONG is all set to shake the telecom industry with its startling new Touch Screen phone being offered at an unbelievable price. Along with this splendid Touchscreen handset and high-quality camera you will also get an incredible bundle deal of free GPRS and balance to make calls and SMS to any network in Pakistan. Handset along with the ZONG SIM for Rs. 6,999. Discount of Rs. 150 can be got by the customer if he has ZONG SIM with him Rs 300 of balance divided over 3 months (Rs 100/month) 6MB free GPRS per month for 3 months

5.4.2.1. Features of Handset N281 Touch Screen 2 MP Camera EDGE Support FM Radio 20MB Internal Memory Micro SD card Supported 8 Pre-Loaded Bookmarks (which include Facebook, Gmail, Google, CricInfo, ZONG, Wikipedia, Yahoo) ZONG Music Hot Key for one touch access to ZONG Music website
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5.4.3. ZONG Handset R231

The R-231's sleek and stylish design along with its music related functions. The handset is packed with numerous features and a remarkable bundle offer of free calls and SMS to any network in Pakistan. Handset along with the ZONG SIM for Rs. 3,999. Discount of Rs. 150 can be got by the customer, if he has ZONG SIM with him Rs 225 of balance divided over 3 months (Rs 75/month) balance is valid for on-net call. Off-net calls and SMS 6MB free GPRS per month for 3 months

5.4.3.1. Features of Handset R231 2 MP Camera EDGE Support FM Radio 34MB Internal Memory Micro SD card Supported

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5.4.4. ZONG Handset R221

The stylish R-221 is an amazing handset packed with a camera, FM Radio, Torch and GPRS. Its classy look and features will definitely attract you. Handset along with the ZONG SIM for Rs. 2,499. Discount of Rs. 150 can be got by the customer, if he has ZONG SIM with him Rs 150 of balance divided over 3 months (Rs 50/month) balance is valid for on-net call. Off-net calls and SMS 6MB free GPRS per month for 3 months

5.4.4.1. Features of Handset R221 0.3 MP Camera GPRS FM Radio Torch

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5.4.5. ZONG Handset G2201

Following the immense success of our previous affordable handset offers, ZONG is back with another handset deal with the latest affordable handset offer that is bound to catch your interest and attention. The stylish and affordable G 2201 handset coupled with an amazing bundle offer from ZONG. Handset along with the ZONG SIM for Rs. 1,999. Discount of Rs. 150 can be got by the customer if he has ZONG SIM with him 1000 minutes (on-net) 1000 SMS (on-net) 2MB free GPRS Validity of free resources: 15 days

5.4.5.1. Features of Handset G2201 FM Radio GPRS Supported Torch

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5.4.6. ZONG HandsetZ100

The new stylish handset comes with 1000 free minutes and 1000 free SMS but that's not all, among a number of features ZONG is now offering the handset in two different colors to provide the valued customers with the choice as per their preference. Handset along with the ZONG SIM for Rs. 1,599. 1000 minutes (on-net) 1000 SMS (any network) Validity of free resources: 15 days

5.4.6.1. Features of Handset Z100 Slim and smart Torch FM Radio with loudspeaker Color Display 300 Phonebook entries 100 SMS storage

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5.5.

ZONGsUSB

ZONG has finally launched its high-speed wireless Broadband services in major cities of Pakistan. This service will be available with a USB Stick which is supported by a built in SIM with EDGE/GPRS activated.After you have bought the SIM simply you have to plugin in the USB in USB port, and you will be asked to set up some basic instructions and voila you can access the internet on the go. Price Rs. 8,000/Unlimited GPRS package Rs. 400/month + tax

5.5.1. SMS Charges Domestic - Rs. 0.5/SMS +tax International - Rs. 5/SMS +tax Each month the users will have to recharge the SIM account to continue using uninterrupted services @ Rs. 400+tax 5.5.2. Available at CSCs of the following cities Faisalabad Lahore Hyderabad Multan Gujranwala Peshawar Karachi Islamabad Rawalpindi
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6.
6.1.

DEPARETMENTS

Human Resource Department (HRD)

ZONG Pakistan has a skilled human resource planning department. As we know that each human resource department in any organization play key role and operate like an eye of an organization, like wise in ZONG Pakistan they are performing their functions and fulfilling their requirement of the organization by matching the organizational needs with the employees skill, knowledge and ability whether these needs are identified or being demanded by any department of the ZONG Pakistan. Human resource planning in the ZONG is basically performing different kind of functions which are as follows, 1. Whether there is need for recruitment in the organization. 2. If there is demand from any department, they (HR department) identify the need of the department. 3. Placement of their employees. 4. Work for employees motivation. 5. Check on employees performance etc. ZONG is newly born baby in Pakistan market, they have had strong competitors in their fields, and they entered in the market of telecom where already the price war (price competition) had been initiated among pioneer companies of Pakistan, including UFONE, MOBILINK, TELENOR and WARID. 6.2. Administration Department

6.2.1. Mission Statement To anticipate the needs of all departments and their employees, to address their demands for creating better safe and secure friendly working environment, to accept challenges, achieving goals and ultimately to be the No. 1 admin operation within CMCC(china mobile communication corporation).
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6.2.2. Functions of Administration Department 6.3. Provision of offices for all staff. Provision of all office equipment for use by staff e.g. Computers. Ensuring a clean and secure office environment. Ensuring availability of adequate lighting, water, telecommunication, email, fax, etc. Providing, where possible, designated parking for vehicles. Ensuring availability of stationery. Ensuring availability of adequate photocopying services/facilities. Setting of internal operating rules.

Finance Department

6.3.1. Mission Statement The improvement in net earnings resulting from strong internal sales growth both postpaid, prepaid segments. 6.3.2. Functions of Finance Department Payable Pay Commission. Audit and Accounts. Cash Management Financial Accounting Taxation Fixed Assets Sun System (Accounting Software) Administration

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6.4.

Marketing Department

6.5.1. Mission Statement ZONG marketing department will become the best marketing department of the industry in terms of adding values to their brand name, improving the image of the organization, increase in sales, with quality of people and team spirit to lead toward the goals. 6.5. Sales and Distribution Department

6.6.1. Mission Statement To maximize the number of revenue generating subscribers by efficiently planning and executing policies and operations related to product visibility and availability. 6.6.2. Distribution ZONG purchases equipment from four companies ZTE, Ericsson, Alcatel and Hawaii, these are the venders and operator of ZONG distributors and franchises, CCSC (customer care service centers) and different outlets, ZONG has CCSC and 100,000 different outlets in Pakistan.

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7.
7.1. SWOT Analysis

ANALYSIS

SWOT Analysis is to evaluate the business in the market and a strategic planning tool used to evaluate the Threats, Opportunities and Strengths, Weaknesses, involved in a project or in a business venture or in any other situation requiring a decision. This is an important tool which is helpful to formulate strategy. This Matrix is an important matching tool that helps managers develops four types of strategies: SO Strategies (Strength-Opportunities) WO Strategies (Weakness-Opportunities) ST Strategies (Strength-Threats) and WT Strategies (Weakness-Threats)

SWOT is defined precisely as follows: Strengths are attributes of the organization that are helpful to the achievement of the objective.

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Weaknesses are attributes of the organization that are harmful to the achievement of the objective. Opportunities are external conditions that are helpful to the achievement of the objective. Threats are external conditions that are harmful to the achievement of the objective.

7.2.1. Steps for developing strategies: There are eight steps involved in constructing a TOWS Matrix: 1. Analyze the external opportunities 2. Identify the external threats 3. Identify the internal strength 4. Identify the internal weaknesses. 5. Match internal strengths with external opportunities and mention the result in the SO Strategies. 6. Match internal weaknesses with external opportunities and mention the result in the WO Strategies. 7. Match internal strengths with external threats and mention the result in the ST Strategies. 8. Match internal weaknesses with external threats and mention the result in the WT strategies. 7.2.2. Strength -- S S.1. Resources Being multinational company ZONG huge resources in terms of capital. It has billions of capital to invest in various projects. Its offices are luxuriously equipped with every facility. ZONG while choosing people for jobs follow the strategy of choosing the best among all therefore majority of its staff people are highly qualified from renowned universities of Pakistan. Certain people are foreign qualified. So far CM Pak has invested more than US$ 700 million in the telecom sector in Pakistan and an additional US$ 800 million invested at the end of 2008.
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S.2. Increasing MNP Trend Over 500,000 people have been switched to ZONG from other networks S.3. High Growth Rate

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 6.9 Dec-09 6.9 Mar-10 6.7 Jun-10 7.5 Sep-10 8.5 Dec-10 8.9 Jan-11 18.8 16.3 17.2 17.5 17.6 22.5 23.3 23.8 23.8 24.7 25.1 18.5 18.8 19.5 20.2 20.3 20.4 Mobilink Ufone Telenor Warid Zong 30.8 31.5 32.2 31.4 31.8 32.1

16.9

Above table shows clearly about the growth rate of ZONG from December 2009 to January 2011. Almost in one year the market share is grew up by 2%. That is why it is also counted in strength of ZONG. S.4. ZONG Mobile ZONG also offer mobile phones with very low prices and the SIM having balance of one year (given every month). This is also very effective promotion for ZONG.

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S.5. Strong Image of Parent Company (CM Pak) ZONG have a strong image of their parent company china mobile Pakistan CM Pak. That is plus point for ZONG. S.6. Lowest rate nation wide ZONG provide lowest rates as compare to other telecom industry its a great thing which is only provided by ZONG. S.7. Cell sites coverages ZONG is also covering the all cities of Pakistan and in 2008 ZONG completed its record sites 1000 in Pakistan its great achievement. ZONG is covering the northern areas of Pakistan rapidly.

7.2.3. Weaknesses -- W W.1. Bad Image of Paktel Bad image of associate with Paktel. And still now having old staff of paktel. W.2. Low Market Share Till now ZONG have low market share 8.9% in January 2011. But the market share of ZONG increasing rapidly from December 2009 to January 2011. Almost in one year the market share is grew up by 2%. W.3. Weak MIS ZONG does not have the proper lists of its customers. It has the list but this list is not authentic which is increasing the unauthorized use of its SIM specially pre pay. Owner of

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SEP issued sometimes unlisted numbers due to personal interest. So that is the weakness of ZONG. W.4. Old Staff ZONG has till now old staff of Paktel which is not very much efficient in this era to technology. But now ZONG try to overcome this weakness by retiring the old employees with golden hand shake to those employees.

7.2.4. Opportunities -- O O.1. Globalization

ZONG can expand the globally and can develop it strategy in other countries. O.2. Acquiring / Merger

As Warid is going in loss and in the decreasing its market shares in telecom market in Pakistan its big opportunity for ZONG to acquire Warid telecom. O.3. Covering Pak China Border

ZONG can cover the border of China, with the Karakoram highway (old Silk Route) and can play a vital role in freight transportation. O.4. Covering Northern Areas

China mobiles have huge experience of network operation in similar high mountainous areas in china itself. So it is opportunity for ZONG (CM Pak) to cover the northern areas of Pakistan and get good image in the eyes of current users and potential users.

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O.5.

New Product

As above mentioned China mobiles have large experience of network so ZONG can introduce new products such as dish TV. Because ZONG have good wireless technology e.g. ZTE, Ericsson, Alcatel and Hawaii etc. So it is easy for ZONG to introduce dish TV. 7.2.5. Threats T T.1. Old Stable Companies

1st threat for ZONG is old stable companies in Pakistan these have good brand image in the eyes of customers. The Mobilink GSM started operation in the year 1994 Ufone starts its GSM operation in Pakistan on January 29, 2001 Telenor acquired the license for providing GSM services in Pakistan in April 2004 Warid starts GSM cellular services in Pakistan and Bangladesh in October 2006 But ZONG started telecommunication business in Pakistan On January 22, 2007

T.2.

Attractive Packages By Competitors

Another threat for ZONG is the attractive packages offered by the competitors but the best example is Ufone there are so many packages offered by Ufone. T.3. Price War

In Pakistan there is 5 cellular companies so that is why bargaining power of buyers is very much high, so there is price war is also threat for new entrant ZONG. T.4. Economic and Political Condition of Pakistan

Economic and political condition of Pakistan is very bad so this is also threat for the companies. Increase in taxes is also threat for the companies.

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7.2.6. Strategies That ZONG Can Follow By SWOT Analysis 7.2.6.1. SO-Strategies

Matching theS.1. and O.4. ZONG can expand their business. From S.1.and O.3. they can use the strategy of acquisition. ST-Strategies

7.2.6.2.

Matching the S.1. and T.3. ZONG can use the strategy of cost leadership. Matching the S.1. and T.2. ZONG can use the strategy of penetration. WO-Strategies

7.2.6.3.

Matching the W.3. and O.2. ZONG can use the strategy of acquisition. WT-Strategies

7.2.6.4.

Matching the W.3. and T.2. ZONG can use the strategy of downsizing.

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7.3.

PEST Analysis

In order to survive and remain profitable in todays competitive marketplace, ZONG need to be able to react and adapt to changes in the external environment and ideally be proactive in impacting these forces. External environment factors can be classified into five general categories: competitive, social/cultural, legal, economic, political, and technological.

7.3.1. Political Factors 7.3.1.1. Political Instability Pakistan is facing political instability causing danger for the telecom industry. But the political factor does not effect on ZONG so high because ZONG related from china and relationship of china and Pakistan is very strong. 7.3.1.2. Deregulation The telecom sector of Pakistan has successfully liberalized in an efficient, transparent and fastest deregulation of telecom in the region. The Government of Pakistan gave the status of Industry to Pakistan Telecommunication Sector.
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7.3.1.3. Changes in Tax Laws Tax rates have been increased day by day government tax rate of call is 15% and government increased it by 6 % more. recently

7.3.2. Economic Factors: 7.3.2.1. Gross Domestic Product Telecom sector of Pakistan has a share of almost 2 percent in National GDP. 7.3.2.2. Average Revenue per User (ARPU) The average revenue per user is falling. It does not affect value able on ZONG. Because ZONG started in same condition. 7.3.2.3. Decline in Money Value: The decline in Rupee value against the US Dollar, the decrease in the interconnect charges and lower priced tariffs have resulted in an overall decrease of ARPU in US Dollar terms. 7.3.2.4. Outflow of Capital: The ongoing economic turmoil along with the worsening of security conditions in Pakistan has caused an increased outflow of capital from the country.

7.3.3. Social factors: 7.3.3.1. Strategies according to the need of people: While making the marketing strategies company consider the many factors like cultural and social. The study of culture helps to understand the consumer behavior and in turn assists firms

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to improve their marketing strategies. ZONG has done wonderful job in this perspective. Before entering into market it has done extensive research on the behaviors of the consumers.

7.3.4. Technological Factors: 7.3.3.1. Technological Development: Companies are investing in their infrastructure to not only expand but also to upgrade their existing structure. As the competition is strong ZONG is focusing on its value added services 7.3.3.2. Technological Advancement: Currently all companies are providing Multi-media Messaging Services (MMS), General Packet Radio Service (GPRS), Virtual Private Network (VPN), Pocket Stocks, Conference Calling, Wallpapers Animated pictures Polyphonic ring tones (WAP), and Voice Mail at low price. 7.3.3.3. Technological Trends

The well-recognized technology trends that are influencing the evolution of the network indicate that: The cost of a call is becoming even more insensitive to the distance; The modularity of the network is increasing; The switching off from one network to another is very easy; The geographic boundaries are irrelevant for emerging technology; The intelligence and function are moving away from the central office.

In these conditions competition is very strong among competitors. ZONG is improving itself in technology.

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7.4.

Number of Subscribers and Market Shares

7.6.1. Number of Subscribrs Mobilink Dec-09 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 32,202,548 32,264,625 31,777,445 31,444,099 31,453,954 31,544,480 31,794,292 32,106,671 Ufone 19,549,100 20,087,449 20,182,449 20,236,451 20,187,309 20,192,949 20,275,002 20,374,352 Zong 6,704,288 7,018,055 7,249,813 7,453,034 7,785,713 8,028,087 8,497,799 8,881,402 Telenor 23,798,221 23,786,402 23,743,680 23,836,209 24,121,009 24,401,083 24,692,818 25,056,416 Warid 16,931,687 17,039,238 17,085,379 17,164,955 17,167,065 17,474,523 17,517,476 17,587,927 Total 99,185,844 100,195,769 100,038,766 100,134,748 100,715,049 101,641,122 102,777,387 104,006,768

7.6.2. Market Share

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 6.9 Dec-09 6.9 Mar-10 6.7 Jun-10 7.5 Sep-10 8.5 Dec-10 8.9 Jan-11 18.8 16.3 16.9 17.2 17.5 17.6 22.5 23.3 23.8 23.8 24.7 25.1 18.5 18.8 19.5 20.2 20.3 20.4 Mobilink Ufone Telenor Warid Zong 30.8 31.5 32.2 31.4 31.8 32.1

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8.
8.1.

WHAT I DID IN MY INTERNSHIP

Check Territory Sales Officers (TSO) activity in Market

This is also including in my working that I check the activity of the Territory Sales Officers (TSO)in the market. My focus is on the salesman that either they come in the market on the regularly basis or not. I also consider that how the salesman behaves with the shopkeeper and compare the our TSOs behavior with our competitors in the words of shopkeeper. 8.2. Check Stock Availability in Market

When I visit the market, then it is must for me that I ensure the ZONGs stock available in the market or not. Stock related to: 8.3. SIM cards Easy load And the ZONG cards Brand Promotion

During my working in the market I also focus and consider the product display and brand display. During this activity I also focus on the display of the brands that all brands are available as well as properly display on the proper place. 8.4. Shopkeeper Claims

I go in every shop and asked from the shopkeeper that they have any complaint about the TSO, about Behavior of TSO is good or not Is TSO visit market regularly or not Either TSO provide the stock (SIM cards, ZONG Cards, Easy Load) on time or not.

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8.5.

Say Welcome to The Customers in The Office

In this process there is a machine that provides receipt about customers arrival purpose there are four different options on the machine that provide printed receipt to the customer Postpaid information Prepaid SIM activation/ change SIM packages/ SMS packages etc. SIM blocking and SIM duplication Others.

And provided receipt has a serial number on it, there is the screen that displayed the serial number of receipt and that particular customer go that counter and ask about his/her problem. And there is LCD TV available that entertained the customers. 8.6. Postpaid Billing Process and Term & Conditions about Postpaid Connection

There are some terms and conditions about billing procedure and collecting the bill, I have learnt there how to collect bill and warning procedure and SIM blocking threats also to the customers etc. Terms and condition are as follows & Outgoing activity block On reaching 90% of their credit limit, ZONG (CM Pak) will always notify its postpaid users via SMS about their billing status. On reaching 100% of the defined credit limit, the outgoing activity of our postpaid customer gets blocked but incoming remains active for another 90 days. Line rent will not be charged during this period. On completion of another 90 days after outgoing is blocked, incoming will also get blocked and thus the account will be completely blocked. 8.7. ZONG Number Booking Procedure and Number Activation Procedure

First book that number again go to telesales and choose NUMBER BOOKING menu than:
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Enter the number which is checked

Now message will come Number <31xxxxxxxx> booking OK. Please use HLR <x> SIM for activation.

Once the desired numbers is booked then go back to telesales menu and choose NUMBER ACTIVATION and enter: MSISDN (that number which was booked earlier) ICCID (serial number of the SIM) Name (customer name) Address (customer address)

On successful procedure the successful message will come. 8.8. SIM Replacement Process

Customer walks in to replace his/her SIM following are the required steps to follow: CSR will verify the customer as per verification parameters. CSR will inform the customer about SIM replacement charges (if any). CSR will fill CSAF and get it signed by the customer and attaches a copy of CNIC. CSR will process the SIM replacement in their system. CSR will hand over the customer copy and finance copy to customer and guide customer to cash counter. Cashier will get CSAF copies and payment from customer. Cashier will record transition in system. Cashier will hand over SIM and payment receipt to customer. CSR will CSAF to data warehouse for filling.

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8.9.

Prepaid Sale Process

For the sale of prepaid connection following are the required steps: CSR receive the customer request and required documents for prepaid connection and verify customer as per the verification parameter. CSR will ask the customer to provide CNIC. CSR will fill CSAF and get signed by the customer. CSR will hand over Customer & finance copy to customer and guide him/her to cash counter. Cashier will mark the cash paid stamp and sign the customer copy and hand over SIM card and customer copy to customer. 8.10. Handset Sale Process Customer walks in for the purchase of handset following are the required steps to follow: CSR will guide customer about bundle deal of handset. If customer agrees, CSR will ask customer to select the ZONG number form stock. CSR will ask customer to fill CSAF. CSR will guide the customer to finance counter for payment and handset collection. Finance officer will perform the functions of system. Finance officer will associate ZONG number with IMEI of hand set in system. Finance officer will record transaction in system. Finance officer will ask the customer to open the packing of handset to check if accessories (handset + charger + warranty card) are complete. Finance officer will take warranty card from customer and after signing and stamp, he will hand over the warranty card and handset and customer copy to customer.

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9.

APPLICATION OF CLASSROOM LEARNING IN ORGANIZATION

As I am a student of Masters in Business Administration, so in this we learn all about business, How business is run? How policies are made? How management make decisions? Etc. regarding above questions we study many subjects like principals of management, marketing, managerial finance, human resource management, organizational behavioral, operations management and many more, so everything we learn in our class has somehow practical implication in my organization. But ZONG is telecommunication company mostly work is based on marketing, management and organizational behavior in customer service center, so I practically get exposure about management and marketing and organizational behavior that how practically these are implemented in organizations. 9.1. Management Concepts

The concepts of management which we study in our subject principles of management are implemented in my organization, how they follow the management concepts is given below: The four management functions that are: Planning, organizing, controlling and leading were followed in the ZONG. Planning and organizing is done by top level managers whereas leading and controlling is done by middle level managers. There were basically cultural dimensions that are actually prevailing in ZONG are: People oriented, Team oriented, Innovation. The flow of command is not fully centralized not fully decentralized in ZONG. Basically top management provides directions toward their goals and then fully authority is in hand of lower management to achieve the goals. But top management has strict check and balance on the performance of lower management and employees.

Management adopts administrative style to get all the activities done effectively and
efficiently.

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9.2.

Marketing Concepts

Marketing concepts are practically implemented in my organization are as follows: The marketing department is working on the basis of marketing mix that is price, place, promotion and product. Price means that the price of product is affordable for the needy customer and less prices and more quality as compare to the competitors, Place means product is conveniently available to the customers near to their homes more franchises are opened in the different areas to provide better services and to provide the products conveniently. Promotional strategies are used by the ZONG in order to create awareness among customers. Different communication channels are used to attract different market segments. And to convince the customer to buy the product according to new marketing style, (new marketing style is to identify the need the of customer and offer product according to that need so customer will satisfy and try to purchase again). 9.3. Organizational Behaviour Concepts Organizational behavior helped me in understanding the organization environment (friendly environment, strict environment etc) in ZONG there is strict environment during dealing with the customers. The type of the communication, (downward communication, upward communication etc) there is both type of communication in ZONG because this organization get suggestions from the lower management or from the employees and then top management make policies according to that suggestions. Employee motivation is done in ZONG through is any employee fulfill his target or to sell more than that target organization offer rewards and incentives to that employee, rewards may be the shield, performance excellent certificate etc.

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10. CONCLUSION
ZONG has strong financial position and growing very fast in the current position of the market of Pakistan in which other companies growing very slowly or decreasing their market shares. As we check in the market growth analysis ZONG increased its market share by 2% from December 2009 to January 2011. It is very big achievement for the ZONG because it is new brand in the market. As ZONG become the favorite brand of the youngsters just because of its best prepaid packages and the SMS packages we can say that ZONG can be a market leader after few years as early it is growing. As all of we know that the other communication companies especially UFONE providing the more and more packages for its customers ZONG also have to focus on it and also provide more offerings to its customers. The best suggestion for ZONG to become more favorite brand it should provide cheaper GPRS packages like ZONG GPRS daily free package with some daily charges etc. ZONG have kept in mind that these points are for the better progress in ZONG. And ZONG also have to use more promotion campaigns to increase the sale.

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11. SUGGESTIONS AND RECOMMENDATIONS

After doing internship in the ZONG I have find out some deficiencies in the ZONG so if I appointed as a manger I will suggest some following points to the ZONG:

Voice clarity and call disconnection is the major issue of ZONG; this issue can be resolve by installing new boosters in the different areas. ZONG put emphasis on hiring young, fresh and energetic persons and firing the older ones which is a good step for ZONG but beside this they should train their old and experienced workers because human resources are the assets of the company, because after training that old workers perform very as compare to the fresh workers.

In the ZONGS SBUs, ZONG mobile should use strategy to provide the spare parts for the ZONG mobile in the mobile markets, so customer can repair the mobile after the warranty, due to this step customer will get more faith on China Mobiles.

ZONG have strong financial position, and buyer is more powerful in the current market because he/she has more options so by using this option ZONG should follow the cost leadership strategy e.g. it should provide cheaper GPRS packages like ZONG GPRS daily free package with some daily charges etc.

China Mobiles have huge experience of network operation in similar high mountainous areas in china itself. So it is opportunity for ZONG (CM Pak) to cover the northern areas of Pakistan and get good image in the eyes of current users and potential users and ZONG can cover the border of China, with the Karakoram highway and can play a vital role during the journey from this border.

To increase the market share of the company and to get more loyal customers ZONG have to launch the wireless broadband package because there is less signal problem of the cellular companies as compare to existing wireless broadband companies (wateen etc) so companies can get competitive advantage to provide this facility.

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12. GLOSSARY
AMPS ARPU ATM B.C. BTO CCSC CM Pak CMCC CPU CSAF CSC EDGE FDI FM FnF GB GPRS GSM HRD IT LBC LNO MB MHz MMS MP Advances Mobile Phone System Average Revenue Per User Automated Teller Machine Before Christ Break Time Offer Customer Care Service Center China Mobiles Pakistan China Mobile Communication Corporation Central Processing Unit
Customer Service Agreement Form

Customer Service Center Enhanced Data rates for GSM Evolution Foreign Direct Investment Frequency Modulation Friends and Family Giga Byte General Pocket Radio Services Global System For Mobile communications Human Resource Department Information Technology Location Based Charges Late Night Offer Mega Byte Mega Hertz Multi-media Messaging Services Mega Pixels

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OS PKR PMCL PTA PTCL SBU SEP SIM SMS UAE USB VAS VoIP WAP Wi-Fi

Operating System Pakistani Rupees Pakistan Mobile Communication Ltd Pakistan Telecommunication Authority Pakistan Telecommunication Company Limited Strategic Business Unit Student Entrepreneur Program Subscriber Identification Module Short Message Service United Arab Emirates Universal Serial Bus Value Added Services Voice over Internet Protocol Wireless Application Protocol Wireless Fidelity

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13. REFERENCES
http://www. zong.com.pk/aboutus_ccmc.html http://www. zong.com.pk/about_us.html http://www.zong.com.pk/index_value_added_page.html http://www.zong.com.pk/vas_new_offers.html http://www.zong.com.pk/packages.html http://www.zong.com.pk/vas_gprs_edge.html http://www.zong.com.pk/packages_sms_bundle.html http://ecare.zong.com.pk:8080/aiecare/index.jsp http://www.zong.com.pk/vas_zong_handsets.html www.mobilinkgsm.com www.waridtel.com www.telenor.com www.ufone.com www.pta.gov.pk

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14. ANNEXURE

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