Zong My Times New Roman With Table of Contents

TABLE OF CONTENTS
1. HISTORY OF COMMUNICATION: ................................................................................. 6 1.1. 1.2. 1.3. 1.4. 2. Smoke Signal.................................................................................................................... 7 Lantern Means of Communication ................................................................................... 7 Communication by Drums ............................................................................................... 8 Communication by Birds ................................................................................................. 9
HISTORY OF TELECOMMUNICATION ...................................................................... 10 2.1. What is Telecommunication? ......................................................................................... 10 Telegraph and Telephone ........................................................................................ 11 Radio and Television .............................................................................................. 12
2.1.1. 2.1.2. 3.
HISTORY OF CELLULAR COMPANIES IN PAKISTAN .......................................... 14 3.1. 3.2. Paktel .............................................................................................................................. 14 Instaphone ...................................................................................................................... 14 Market Share ........................................................................................................... 15 Cancellation of License........................................................................................... 15
3.2.1. 3.2.2. 3.3.
Mobilink ......................................................................................................................... 15 Mobilink DSL ......................................................................................................... 16 Company Profile ..................................................................................................... 16
3.3.1. 3.3.2. 3.4.
Telenor ........................................................................................................................... 17 Company Profile ..................................................................................................... 17
3.4.1. 3.5.
Warid .............................................................................................................................. 18 Company Profile ..................................................................................................... 18
3.5.1. 3.6.
Ufone .............................................................................................................................. 19 Company Profile ..................................................................................................... 19
3.6.1. 4.
BACKGROUND OF THE ZONG ..................................................................................... 21 4.1. 4.2. 4.3. China Mobile Communications Corporation (CMCC) .................................................. 21 China Mobile Pakistan (CM Pak) .................................................................................. 21 ZONG Pakistan .............................................................................................................. 22
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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.
Vision Statement ..................................................................................................... 23 Mission Statement................................................................................................... 23 Core Value .............................................................................................................. 23 Goals and Objectives .............................................................................................. 24 Company Information ............................................................................................. 25 Management Line of ZONG ................................................................................... 26 Organizational Chart ............................................................................................... 27 Customer Center Chart ........................................................................................... 28
PRODUCTS AND SERVICES........................................................................................... 29 5.1. 5.2. ZONG Postpaid .............................................................................................................. 29 ZONG Prepaid................................................................................................................ 30 ZONG Default Package .......................................................................................... 30 ZONG 45 Package .................................................................................................. 30 ZONG 65 Package .................................................................................................. 31 ZONG 12 Aanay Package ....................................................................................... 31 ZONG Free Package ............................................................................................... 32 ZONG Aik Second Package ................................................................................... 32
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 ................................................................................ 33 Break Time Offer (BTO) ........................................................................................ 33 Late Night Offer (LNO) .......................................................................................... 33 Location Based Charging (LBC) ............................................................................ 33 Friends and Family (FnF) ....................................................................................... 33 Happy Hour ............................................................................................................. 34 Super Free Number ................................................................................................. 34 Conference Call ...................................................................................................... 34 SMS packages ......................................................................................................... 35 GPRS Packages ....................................................................................................... 35
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 ............................................................................................................ 36 5.3.11. Missed Call Alert .................................................................................................... 36 5.3.12. ZONG Family Pack ................................................................................................ 36
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5.3.13. Student Entrepreneur Program (SEP) ..................................................................... 37 5.4. ZONG Mobile ................................................................................................................ 38 Android Handset ..................................................................................................... 38 ZONG Handset N281 ............................................................................................. 39 ZONG Handset R231 .............................................................................................. 40 ZONG Handset R221 .............................................................................................. 41 ZONG Handset G2201 ........................................................................................... 42 ZONG Handset Z100 .............................................................................................. 43
5.4.1. 5.4.2. 5.4.3. 5.4.4. 5.4.5. 5.4.6. 5.5.
ZONG usb ...................................................................................................................... 44 SMS charges ........................................................................................................... 44 Available at CSCs of the following cities ............................................................... 44
5.5.1. 5.5.2. 6.
DEPARTMENTS................................................................................................................. 45 6.1. Human Resource Department (HRD) ............................................................................ 45 Job Analysis ............................................................................................................ 46 Job Description ....................................................................................................... 46 Recruitment and Selection ...................................................................................... 46 Training Methods and Employee Development ..................................................... 47
6.1.1. 6.1.2. 6.1.3. 6.1.4. 6.2.
Administration Department ............................................................................................ 48 Mission Statement................................................................................................... 48 Functions of Administration Department ............................................................... 48
6.2.1. 6.2.2. 6.3.
Finance Department ....................................................................................................... 49 Mission Statement................................................................................................... 49 Functions of Finance Department ........................................................................... 49
6.3.1. 6.3.2. 6.4.
IT (Information Technology) Department ..................................................................... 49 Mission Statement................................................................................................... 49 Functions ................................................................................................................. 49
6.4.1. 6.4.2. 6.5.
Marketing Department ................................................................................................... 50 Mission Statement................................................................................................... 50
6.5.1. 6.6.
Sales and Distribution Department ................................................................................ 50 Mission Statement................................................................................................... 50

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6.6.1.
6.6.2. 6.7.
Distribution ............................................................................................................. 50
Customer Services Department ...................................................................................... 50
6.7.1. Mission Statement ..................................................................................................... 50 6.7.2. Customer Service Centers ......................................................................................... 50 6.8. Regulatory Corporate Affairs Department ..................................................................... 51 Mission Statement................................................................................................... 51
6.8.1. 7.
ANALYSIS ........................................................................................................................... 52 7.1. 7.2. 7.3. 7.4. 7.5. 7.6. 7.7. BCG Matrix .................................................................................................................... 52 SWOT Analysis.............................................................................................................. 54 PEST Analysis................................................................................................................ 60 Porters Five Forces Model ............................................................................................ 63 Competitive Profile Matrix (CPM) ................................................................................ 65 Number of Subscribers and Market Shares .................................................................... 66 Market Mix (4 Ps) .......................................................................................................... 67 Check Territory Sales Officers (TSO) activity in Market ............................................ 69 Check Stock availability in Market ................................................................................ 69 Brand Promotion ............................................................................................................ 69 Shopkeeper Claims ......................................................................................................... 69 Say Welcome to The Customers in The Office.............................................................. 69 Postpaid Billing Process and Term & Conditions about Postpaid Connection.............. 70 ZONG Number Booking Procedure and Number Activation Procedure ....................... 70 SIM Replacement Process .............................................................................................. 71 Prepaid Sale Process....................................................................................................... 71 Handset Sale Process .................................................................................................. 72 Cash Management ...................................................................................................... 72
8.
WHAT I DID IN MY INTERNSHIP................................................................................. 69 8.1. 8.2. 8.3. 8.4. 8.5. 8.6. 8.7. 8.8. 8.9. 8.10. 8.11.
9.
FINANCIAL ANALYSIS ................................................................................................... 74 9.1. 9.2. 9.3. Operational Results ........................................................................................................ 74 Balance Sheet ................................................................................................................. 75 Ration Analysis .............................................................................................................. 76
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10. CONCLUSION .................................................................................................................... 78 11. SUGGESTIONS AND RECOMMENDATIONS ............................................................. 79 12. GLOSSARY ......................................................................................................................... 80 13. REFERENCES .................................................................................................................... 82
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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. One of the major means of communication is writing. Most languages do have a written form. It can be written down and someone else may read it and understand the meaning. Writing has been used from the time of the Mayans and Egyptians. The oldest record of writing is some 5000 years old. Writing in the early days was used to mark down the major events of history. It was also used inside temples and chambers of kings. Visual communication also goes hand in hand with writing. The first paintings found were drawn more than 5000 years ago, well before words were written down. Paintings were used in the past like writing. 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: fire or smoke signals, lanterns, drumbeats, Birds and arrows.
All these methods of communication have evolved and today it is impossible to imagine a world without it. Households, businesses, organizations and entire countries depend upon the level of communication. The simple act of exchanging ideas has become one of the most important parts of human life.
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1.1.
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. 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
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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. The famous war hero, Zhu Geliang has been credited with the invention of a special lantern, used to alert neighboring cities of potential attack or danger. This he did by dousing a strip of cloth in kerosene, and placing it within a lamp that was light enough to float into the sky at night. 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.
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Intonation (a particular tone ring with the drum) is very important in the Bantu languages. A word can have completely different meanings, depending on the intonation. That intonation relies on high/low tones. These tones can easily be duplicated by the drums. Of course, there are words that have the same amount of syllables (a word that contain the vowel sound) and have the same intonation. You can imagine that a message sent using drums could get quite long. 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.
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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.
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. The first commercial electrical telegraph was constructed in England by Sir Charles Wheatstone and Sir William Cooke. It used the deflection of needles to represent messages and started operating over twenty-one kilometers (thirteen miles) of the Great Western Railway on 9 April 1839. Both Wheatstone and Cooke viewed their device as "an improvement to the [existing] electromagnetic telegraph" not as a new device. 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
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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 mid-1880s. In 1880, Bell and co-inventor Charles Sumner Tainter conducted the world's first wireless telephone call via modulated light beams projected by photo phones. The scientific principles of their invention would not be utilized for several decades, when they were first deployed in military and fiber-optic communications. 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. Addressing the Franklin Institute in 1893, Nikola Tesla described and demonstrated in detail the principles of wireless telegraphy. The apparatus that he used contained all the elements that were incorporated into radio systems before the development of the vacuum tube. However it was not until 1900 that Reginald Fessenden was able to wirelessly transmit a human voice. 2.1.2.2. Television In December 1901, Guglielmo Marconi established wireless communication between Britain and Newfoundland, earning him the Nobel Prize in physics in 1909 (which he shared with Karl Braun). On March 25, 1925, Scottish inventor John Logie Baird publicly demonstrated the transmission of moving pictures at the London
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department store Selfridges. In October 1925, Baird was successful in obtaining moving pictures with halftone shades, which were by most accounts the first true television pictures. Baird's first devices relied upon the Nipkow disk and thus became known as the mechanical television. It formed the basis of semi-experimental broadcasts done by the British Broadcasting Corporation beginning September 30, 1929. 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), Mobilink PCO 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: Thorleif Enger Industry Products Slogan Website Telecommunication talk shawk (Prepaid), Djuice (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 Nahayan Mabarak 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 Ufone is a 100% 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 (CM Pak) 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, CM Pak 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 ever-demanding Pakistani customer, it will be offering unprecedented coverage, voice and data services, as well as a wide range of tariff options to choose from. CM Pak'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. CM Pak 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, CM Pak 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 CM Pak. And then, on 16 May 2007, China Mobile announced that it had upped its stake in CM Pak 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 CM Pak. 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. CM Pak 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 CM Pak 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
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Type Parent or Subsidiary Founded Founder Headquarters Investment Cell sites

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 Xu Haiyong Xin Jee Zafar Usmani Wai Giang Fu Syrus Sikander Amir Mahmood Mannan Shabbir 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 CALL CENTER
MARKTING
coo SALES AND DISTRIBUTION CS CSC
CFO
DIRECTOR FINANCE
PROCUREMENT
CEO
CITO IT OPERATIONS
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
BZU sub Capmus SAHIWAL 30
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
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 Send sub to 931 or by dialing 931
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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 Package 5 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.

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 Handset Z100
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.
ZONG usb
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.
DEPARTMENTS
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 three pioneer companies of Pakistan, including UFONE, MOBILINK, TELENOR and WARID. Human resource department performs different kind of
functions/practices in this regard to make its effort more and more effective, are as follow: Job analysis Job description Recruitment & Selection process Training & Development
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6.1.1. Job Analysis When HR department is asked or demand for more employees in any other department, the activity HR department performs that first they compile the whole job duties, responsibility grade, work unit and placement and afterwards they prepare the job description. 6.1.2. Job Description A single job description is prepared for two purpose, first they use it to publish it in the local newspaper which have a nationwide network and secondly they use the same job description for the website where the online application facility for the new employment. Job description they prepare for the newspaper has a slight difference from the job description they have on their website. Job description they prepare for the newspaper is very simple. 6.1.3. Recruitment and Selection Group/organization always formed with two or more than two people. For this reason hiring of the people from different sources is very necessary and important on its side. Because its (recruitment/selection procedure) performance further leads the organization to success or failure that how they are recruiting people whether it from within the organization or outside the organization. Every organization uses different kind of methods and techniques for hiring the people. In human resource language we can say that, People are most valuable assets for any organization. Zong Pakistan as it is said that they are new here in Pakistan market and they are facing too many challenges, in which the hiring of the people is very important still the activity of hiring the people is going on, the most acceptable reason for this, it is on the growth stage of its product development, we know that with the establishment of the its network they have to hire more and more workers/ executives and managers on their side. Different methods they are using for hiring their employees are as follows:
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6.1.3.1. Internal Recruitments Internal recruitment stands for the recruitment within the organization, as they are newly established business they do not have any kind of internal recruitment still they are focusing on hiring the people from outside. 6.1.3.2. External Recruitment External recruitment stands for the recruitment of the employees from other source/externally. They perform different kind of steps in this category, For the external recruitment first the need for the new employment is created or if it is being demanded by any department. Human resource department first identifies the need of that job, particular its expenses in hiring that employee(s), time required for its training and orientation in Zong Pakistan. After the approval of the manager of human resource department, different methods they adopt for the external recruitment are as follows. advertisement through news paper advertisement through net (official web site)
6.1.4. Training Methods and Employee Development The principles relating to the development of the working environment are made available on the learning portal Learn at Zong in the form of separate e-learning programs for both employees and managers. Zong believes that each individual is attributed with potentials, which can be maximized by enabling conditions favorable to their growth. It is recommended that staff gets an opportunity to engage and learn through active involvement in HRD interventions, which could include trainings, workshops, learning exposures, conferences, exchange visits etc. The staff training needs will be identified through performance development program plans in consultation with respective line managers and individual staff. Line managers will be fully responsible for ensuring their staff receives access to training and development events in areas that have been identified for them. The national HRD budget will be
located. The employee upon return form local HRD event will submit detail report outlining key learnings and use of training received in the organizational work set. Zong Pakistan is providing the training to its employees at level where the organization feels about the performance gaps especially in engineering department and IT division and level of technology does matter too. Zong at present providing the training to its employees when they introduce any kind of new technology and further more they also provide training to their employees in the call center division. Most important thing to note that Zong Pakistan is still employing the experienced people for jobs and at start they dont have any kind of formal training. 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 thud outstanding mage of the company and ultimately to be the No. 1 admin operation within CMCC(china mobile communication corporation) by any measure. 6.2.2. Functions of Administration Department 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.
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6.3.
Finance Department
6.3.1. Mission Statement Zong has strong financial position since its inception. China has been invested $1500 million in Pakistan for Zong and wants to invest more. The improvement in net earnings resulting from strong internal sales growth both postpaid, prepaid segments. 6.3.2. Functions of Finance Department 6.4. Payable Pay Commission. Audit and Accounts. Cash Management Financial Accounting Taxation Fixed Assets Sun System (Accounting Software) Administration
IT (Information Technology) Department
6.4.1. Mission Statement To provide the lowest cost and highest speed systems through Automation, Centralization and Out-sourcing. 6.4.2. Functions IT Project and Planning IT Infrastructure IT System and Database Management IT Operations
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6.5.
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 the organization towards the achievement of short term and long term goals. 6.6. 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. 6.7. Customer Services Department
6.7.1. Mission Statement To realize the perceived value of the customers and build higher expectations through excellence in service. 6.7.2. Customer Service Centers The beacon of Zongs impression and torch bearers of a new era in customer interaction, taking customer service into a portal of customer excitement. These are the doors to Zongs first and foremost realization of its promise to excite customers with a new trend in service, setting the
tone and ambiance which is second only to your home, these are Zongs arm across the country to welcome everyone to experience the comfort when a true promise is fulfilled. 6.8. Regulatory Corporate Affairs Department
6.8.1. Mission Statement Maintain the most affable relations with the government to ensure support and facilitation in the technical installations and the commercial activities of the organization.
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7.
7.1.
ANALYSIS
BCG Matrix
Companies those are large enough to be organized into Strategic Business Units (SBUs) face the challenge of allocating resources among those units. In the early 1970's the Boston Consulting Group developed a model for managing a portfolio of different business units. The BCG growthshare matrix displays the various business units on a graph of the market growth rate vs. market share. Companies check which unit is more profitable for the business and which needs to improve.
On the vertical axis, market growth rate provides a measure of market attractiveness. On the horizontal axis, relative market share serves as a measure of company strength in the market. The Growth-Share Matrix Defines Four Types Of SBUs: 7.1.1. Cash Cow - (Low Growth, High Market Share) A business unit that has a large market shares in a mature, slow growing industry. Cash cows require little investment and generate cash that can be used to invest in other business units. 7.1.2. Star - (High Growth, High Market Share) A business unit that has a large market shares in a fast growing industry. Stars may generate Cash, but because the market is growing rapidly they require investment to maintain their lead. If successful, a star will become a cash cow when its industry matures.
7.1.3. Question Mark - (High Growth, Low Market Share) A business unit that has a small market shares in a high growth market. These business units require resources to grow market share, but whether they will succeed and become stars is unknown. 7.1.4. Dog - (Low Growth, Low Market Share) A business unit that has a small market shares in a mature industry. A dog may not require Substantial cash, but it ties up capital that could better be deployed elsewhere. Unless a dog has some other strategic purpose, it should be liquidated if there is little prospect for it to gain market share. 7.1.5. Zong SBUs Post paid Prepaid Zong mobile Zong USB
Zong postpaid has low market share of 15% and high growth rate of16% so in BCG matrix it lies in quadrant of question marks. Zong prepaid has high market share of 60% and high growth rate of15% so in BCG matrix it lies in quadrant of stars. Zong mobile has low market share of 20% and high growth rate of11% so in BCG matrix it lies in quadrant of question marks. Zong USB has low market share of 05% and no growth rate. So in BCG matrix it lies in quadrant of dog.
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7.2.
SWOT 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. 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. S.2. Network Portability 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 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
16.3
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. 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.
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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. Location And Geographical Coverage 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 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 Paktek 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.
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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 condition of liquidations 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. 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
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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. 7.2.6. Strategies That ZONG Can Follow By SWOT Analysis 7.2.6.1. SO-Strategies
Matching the S.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.
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. 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
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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.
Porters Five Forces Model
Five forces looks at five key areas namely threat of new entry, power of buyers, power of suppliers, threat of substitutes, and competitive rivalry. 7.4.1. Threat of Potential Entrant As government of Pakistan is showing liberalism in case of telecommunication sector and opened its policies to award new licensees to new mobile service providers so threat of new entry is high. 7.4.2. Bargaining Power of Buyers Power of buyer is high in telecommunication sector. There are five market players and players are offering different packages at different prices and a situation of price war is running. Buyers have a power to buy any package which is suited to them. Cost of switching from one company package to other company package is low. Hence, power of buyers is high. 7.4.3. Bargaining power of Suppliers The power of suppliers is low in case of telecommunication sector.
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7.4.4. Threat of Substitute Government also gave so many land lines and wireless local loop licenses to different companies like PTCL wireless local loop, GO CDMA, WORLD CALL etc. these services in future will be like mobile phone services like they are planning to offer services a lot but currently they are offering SMS and CLI services to their customers. 7.4.5. Rivalry Among Competing Firms in Industry Currently there are five market players but in future they will the increased in number because there is less barriers to entry the future expected satellite service. Thuraya satellite service is offering subscribers freedom of mobility and uninterrupted service. Thuraya's satellite technology supplements of existing mobile service providers, overcoming the challenges of large geographical areas.
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7.5.
Competitive Profile Matrix (CPM) Competitive Profile Matrix (CPM)
Critical Success Factors (CSF) Market Share Growth Rate Management Coverage CCS Advertising Brand Name Packages Price Competitiveness TOTAL
Weight 0.15 0.10 0.13 0.10 0.15 0.10 0.10 0.10 0.07 1.00
Rating 4.00 1.00 4.00 4.00 4.00 2.00 4.00 2.00 2.00
Weighted Score 0.60 0.10 0.52 0.40 0.60 0.20 0.40 0.20 0.14 3.16
Rating 3.00 3.00 3.00 3.00 3.00 3.00 2.00 3.00 3.00
Weighted Score 0.45 0.30 0.39 0.30 0.45 0.30 0.20 0.30 0.21 2.90
Rating 1.00 4.00 3.00 2.00 3.00 3.00 3.00 3.00 3.00
Weighted Score 0.15 0.40 0.39 0.20 0.45 0.30 0.30 0.30 0.21 2.70
Rating 3.00 3.00 3.00 2.00 3.00 4.00 3.00 4.00 3.00
Weighted Score 0.45 0.30 0.39 0.20 0.45 0.40 0.30 0.40 0.21 3.10
Rating 2.00 2.00 1.00 2.00 1.00 2.00 2.00 2.00 3.00
Weighted Score 0.30 0.20 0.13 0.20 0.15 0.20 0.20 0.20 0.21 1.79
The ratings values are as follows: 1 = Major Weakness, 2 = Minor Weakness, 3 = Minor Strength, 4 = Major Strength As indicated by the total weighted score of 2.70, Zong is weakest. Because it is at its initial position as compare to competitors. With the point of 3.16 Mobilink is leading. But Warid have 1.79 score so that is why there is a opportunity for Warid and Zong as well to merge their business because Zong have great growth rate in the market and Warid is older in current market so it is beneficial for the both Zong and Warid.
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7.6.
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 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
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7.7.
Market Mix (4 Ps)
"Marketing Mix" is set of correlated tools that work together to achieve companys objectives, they are: Product Price Promotion Place
7.7.1. Product Product means offerings of a company, and ZONG is offering its customers Services as well as products. In services ZONG is offering followings: Postpaid packages Prepaid packages Value added services
Postpaid packages are generally for business class and in postpaid ZONG are offering many other packages like 100 line rent, 300 line rent, 600 line rent, 1200 line rent and 2000 line rent. Prepaid packages are for low and middle class in prepaid ZONG also offer many packages like 12 Anny, 65 paisa, free package and Aik second package. And also many exciting value added services like missed call alert, Ramzan value time offer, dial tune, happy hour and many more exciting offers. And products like mobile phone. 7.7.2. Price ZONG is offering its products and services at a low price so ZONG is using price penetration because all the packages (postpaid and prepaid) are very low priced and also other value added services are also very low in cost. Some of them are absolutely free of cost like: Missed Call Alert MNP
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Conference Call
As Ufone is giving its customers Uth package and it charge its customers hourly rate but ZONG gives its customers a package called location base charging it charge you only one time charges and then whole day free and many more other.
7.7.3. Promotions
ZONG is promoting its products and services in many ways like: Print media Billboards TV ads Mobile Promotions Internet
In print media print ads and newspapers are include if ZONG is offering something in a specific place than ZONG use print media like print ads and newspapers. Billboards are use in all over the country. On many TV channels Ads are promoting ZONG. Mobile promotions like in Multan and Lahore when trucks and buses decorated with ZONG logos and advertising about LBC (Location Base Charges) and Lahore unlimited offers. On many websites ZONG is promoting its packages and offers and also ZONG has its own commercial web site www.zong.com.pk. 7.7.4. Place Place means that how a company reach to its customers or how a customer can get product of a company. ZONG is reaching to its customers in the following manners: Franchises Customer service centers Retailers Through Student Entrepreneurs
Franchises and customer service centers are there for customers and also customers can get ZONGs products and services from retailers and student entrepreneurs.
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 8.5. 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. Say Welcome to The Customers in The Office
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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: 8.9. 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. Prepaid Sale Process
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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. 8.11. Cash Management Cash in hand: Contains the closing balances of all the major Franchises and Sales Centers of Zong. It is added to identify the amount of money that would come into the bank accounts of Zong.
Details: The details contain the major bank accounts of Zong. These include the major current and saving accounts in which major collection comes. There are more than 40 such different accounts. Furthermore some accounts are for specific purposes, for example MCB account is used to pay commissions for the franchises and for vendors payment and NBP-Mirpur is used to pay the taxes in AJK.
Liabilities: In this section, major liabilities for the month are recorded in the following categories: commissions, payroll, and repayment of loans. The liabilities are updated as needed, with amounts; bank used for paying off and date of payment.
Cheque Float: In cheque float, the major liabilities of different vendors are recorded. They are divided into three different regions, which include Islamabad, Karachi and Lahore. The intimidation of the cheques released comes from the accounts payable department, while the clearance coming from daily bank statements. All payments of vendors are made from MCB.
LC and ICs: This section includes the Import Contract (IC) and Letter of Credit (LC) payments that have to be paid out for the foreign transactions that take place with Zong. The intimation comes from the Trade department of Zong Treasury.
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9.
FINANCIAL ANALYSIS
No company can remain in business if it cannot sustain and grow its profits and telecom companies are no exemption. If Zong wants to remain the market leader in the mobile industry and wants to satisfy its customers, it itself needs to remain a profitable company. Zong is a Private Limited Company and due to this reason, its financial statements are not made public. However it does provide its financial information to different financial institutions and companies that have invested in Zong. Financial information regarding the zong is given below 9.1. Operational Results 2010 Amount in PKR Revenue/Sales Profit Before Tax Profit After Tax 53,185,818,288 5,232,193,340 3,113,745,313 41,903,898,840 5,529,544,507 3,075,294,451 2009
Description
Interpretations As major portion of Zong is on prepaid basis, including SIM sales, securities and balance recharges the revenues for Zong have increased from December 2009 to December 2010, this increase is because of the large increase in the consumer base of Zong in 2010. The increase in revenue has led to an increase in the profit before tax, and although the costs of services and selling and administrative charges in 2010 have increased from the past year, the increased revenue helped in offsetting the increase in the expenses.
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9.2.
Balance Sheet 2010 Amount in PKR 2009
Description
Fixed Assets Current Assets Total Assets Current Liabilities Long term Liabilities Total liabilities Shareholders Equity Total Equities
103,619,616,557 12,235,342,304 115,854,958,860 38,806,519,709 59,405,946,034 98,212,465,742 17,642,493,118 115,854,958,860
78,672,109,189 13,644,814,204 92,316,923,393 38,201,202,275 41,898,730,907 80,069,933,183 12,246,990,210 92,316,923,393
Interpretations Fixed assets are increased because cell sites are expanded and very large investment done on the towers in different areas with low distance for the better signal and networks for the customer. Due to above project a big capital is used so the shareholders equity is decreased and long term liabilities are also increased from 41.8 Billion to 59.4 Billion.
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9.3.
Ration Analysis
9.3.1. Current Ratio 2010 0.315 : 1 Interpretation Current ratio measures how easily a company can pay off its current liabilities using its current assets. For Zong although most of its revenues are on a prepaid basis but still the current assets fall short to pay off the current liabilities in both 2009 and 2010. Furthermore the current ratio has fallen in 2010, which again shows that there arent enough liquid assets to pay off the current liabilities and may affect Zongs solvency in the short term. 9.3.2. Total Assets Turnover Ratio 2010 45.907% Interpretation Total Asset Turnover shows how effectively a company uses its assets. That is using its assets to generate sales. Most of ZONGS assets are include cell sites and other equipment. As the above table shows, the ratio has increased in 2010, from 45.391% to 45.907%. Although the increase is very small, the major reasons associated are the sales increased more than the assets. Total assets rose by 25%, while the revenue rose by 27%. The major reason for the increase in the sales associated with the increase in the total subscribers in 2010, as compared to 2009 e.g. total subscriber in 2009 is 6.7 million and in 2010 is 8.4 million. 9.3.3. Debt Ratio 2010 85% 2009 87% 2009 45.391% 2009 0.357 : 1
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Interpretation The Debt Ratio measures the percentage of funds provided by sources other than equity. For zong, most of its growth is funded through long and short term financing, and even though zong has expanded its operations, but still the debt ratio fell in 2010, but only by 2%, which is mainly because of the large increase in the total assets as compared to liabilities. Assets are increased by 25% and liabilities are increased by 23%. 9.3.4. Net Profit Margin 2010 5.85% 2009 7.33%
Interpretation Net profit margin denotes the percentage of net profit from sales/revenue. Net profit margin in decreased as compare to the previous year 2009 by 1.48%, but sales is increased in 2010 as compare to 2009 the reason behind it the increase in operating expenses (selling expenses and administration expenses). Because hired more new staff for ZONG. 9.3.5. Return on Equity Ratio 2010 17.64% Interpretation Return on equity measures the extent to which the shareholders of a company are getting returns on their investments. The ratio for ZONG has decreased significantly in 2010, a decrease of 7.47%. This decrease can be associated to the small income available to the shareholder. Most of the net income has to be paid out in financial charges, which leaves less or the shareholders, which in 2008, expanded their investment in the company. 2009 25.11%
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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 preform 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.
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12. GLOSSARY
AMPS ARPU ATM B.C. BCG 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 Boston Consulting Group 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
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TABLE OF CONTENTS

3.2.1. 3.2.2. 3.3.

3.3.1. 3.3.2. 3.4.

Telenor ........................................................................................................................... 17 Company Profile ..................................................................................................... 17

Warid .............................................................................................................................. 18 Company Profile ..................................................................................................... 18

Ufone .............................................................................................................................. 19 Company Profile ..................................................................................................... 19

BZU sub Capmus SAHIWAL

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.

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

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.

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

6.1.1. 6.1.2. 6.1.3. 6.1.4. 6.2.

6.2.1. 6.2.2. 6.3.

6.3.1. 6.3.2. 6.4.

6.4.1. 6.4.2. 6.5.

Marketing Department ................................................................................................... 50 Mission Statement................................................................................................... 50

Sales and Distribution Department ................................................................................ 50 Mission Statement................................................................................................... 50

BZU sub Capmus SAHIWAL

Customer Services Department ...................................................................................... 50

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

3. HISTORY OF CELLULAR COMPANIES IN PAKISTAN

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

Abbotabad, Quetta, Dera Ghazi Khan, Ghazi Kot, Bahawalpur, Sukkur,

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

investments in various sectors including:

BZU sub Capmus SAHIWAL

Products Slogan Website

BZU sub Capmus SAHIWAL

Area served Key people Products Parent Slogan Website

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

BZU sub Capmus SAHIWAL

4. BACKGROUND OF THE ZONG

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

Type Parent or Subsidiary Founded Founder Headquarters Investment Cell sites

Products Telephone Fax Slogan Website

BZU sub Capmus SAHIWAL

4.3.7. Organizational Chart CALL CENTER

coo SALES AND DISTRIBUTION CS CSC

BZU sub Capmus SAHIWAL

4.3.8. Customer Center Chart

CSR Zong Mobile CSR Prepaid VAS CSR Prepaid Connection

BZU sub Capmus SAHIWAL

5. PRODUCTS AND SERVICES

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

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

BZU sub Capmus SAHIWAL

Other Offers and Services by Zong