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Brand positioning of smart phones in India Essays

BRAND POSITIONING OF SMARTPHONES IN INDIA
A Research Project submitted in partial fulfillment
of the requirements for the degree of
MBA (Tech)
In
(Chemical/Marketing)
By
RISHEN KAPOOR
210
Under Supervision
of
Prof. Bhalerao
Year of Graduation
2015
1
DECLARATION
I hereby declare that the research project titled, “BRAND POSITIONING OF SMARTPHONES IN INDIA “, submitted by me is based on original work carried out by me. I certify that it has not been submitted anywhere else. I further declare that Mukesh Patel School of Technology Management and Engineering-NMIMS (deemed-to-be-university) will have the copyright on the project report submitted by me to the college (MPSTME)
Thanking You
Rishen Kapoor
2
ABSTRACT
“BRAND POSITIONING OF SMARTPHONE’S IN INDIA , A CUSTOMER’S
PERSPECTIVE”
The aim of this study is to understand the buying behavior of consumers of Smartphone’s in the Indian market concentrating on two factions of the population namely : students and professionals. Using the concept of brand positioning to ascertain the differences and similarities in the buying behavior of students and professionals, this study will try and identify the drivers and restraints of the Smartphone market in India. The primary data for the same will be collected through a survey, which will comprise of an organized questionnaire. This study will further try and provide a useful insight in the dynamic and growing Indian Smartphone market , allowing for a better understanding of the customers buying behavior. Thereby making an attempt to help in achieving better branding and understanding of the market.
3
CONTENTS
ABSTRACT…………………………………………………………………………………………………………………………………… 3 INTRODUCTION …………………………………………………………………………………………………………………………… 5 OBJECTIVE OF THE STUDY …………………………………………………………………………………………………………….. 7 HYPOTHESIS ……………………………………………………………………………………………………………………………….. 7 LITERATURE REVIEW ……………………………………………………………………………………………………………………. 8 RESEARCH GAP ANALYSIS …………………………………………………………………………………………………………… 10 TENTATIVE METHODLOGY ………………………………………………………………………………………………………….. 10 REFRENCES ……………………………………………………………………………………………………………………………….. 11
4
INTRODUCTION
Brands are the most valuable intangible asset that any company has in its arsenal, hence superior branding is a pre-requisite for the
success of the firm in a competitive market.
Brand positioning has always been an integral part of branding especially in a growing market like the Indian Smartphone market.
The Indian mobile market has transitioned from feature mobile phones to Smartphone’s, the Indian Smartphone market is currently the 3rd largest in the world in terms of volumes. The Indian Smartphone market has grown by 129% in the year 2013 from 2012.
COUNTRY
2012 SHIPMENT’S
2013 SHIPMENT’S
GROWTH
(million)
(million)
CHINA
42.3
88.1
108%
USA
24.2
32.9
36%
INDIA
3.9
9.0
129%
JAPAN
6.9
8.6
25%
UK
5.5
7.4
34%
OTHER’S
75.4
92.1
22%
-NDTV
Correspondent,
August 06, 2013
5
The top 5 brands in terms of market share have been identified as ; 1.Samsung
2.Micromax
3. Karbon
4.Sony
5.Nokia
others
29%
smasung
smasung
26%
micromax
sony
nokia
karbon
13%
nokia
5%
karbon
micromax
22%
others
sony
5%
“Brand positioning put simply is owning a piece of the consumer’s mind” -Ries & Trout
Brand positioning is how the product or service being offered is perceived in the mind of the target customer in relation to the competitors brand. Consumers perceive the same product differently based on how it is branded. Therefore, it becomes necessary for a brand to position itself in the minds of the target customers.
6
OBJECTIVE OF THE STUDY
 To understand how Indian consumers perceive different brands of Smartphone’s available in the Indian market based on different attributes.
 To understand the drivers and restraints in the Indian Smartphone market, using the data received from the two focus groups.
HYPOTHESIS
HYPOTHESIS 1
Ho: Students prefer domestic manufactures of Smartphone’s
H1: Students do not prefer domestic manufactures of Smartphone’s
HYPOTHESIS 2
Ho: Samsung has the strongest brand position in the Indian Smartphone market. H1: Samsung does not have the strongest brand position in the Smartphone market.
7
LITERATURE REVIEW
(Sara Djerv & Zenia Malla, 2012) studied the drivers of brand equity drivers for Uppsala university students in the Swedish Smartphone market and how these brand preferences influence the buying behavior of the students. This research adopted a qualitative method, by conducting semi – structured interviews of the students. The research concluded that the Swedish Smartphone market is functionally oriented and that perceived quality is the main driver in purchasing a particular smart phone.
(Prathmesh Muzamdar,2012) studied the effect of brand name on the buying behavior of an experimental group , focus group and a control group. The focus group ranked the 14 features of a Smartphone , the 5 highest ranked features were selected. These 5 features were selected as the basis for the reaming questionnaires. The experimental group was given a questionnaire that avoided any brand name and the control group were given a questionnaire with brand names. The result of this case study was that the perceived value offered to the customer by the I phone 5 was the highest in the Smartphone segment .
(Raven Jainarain, 2012) studied the buying behavior of generation – y consumers i.e. consumers born after 1977 but before 2001 ,this research was a qualitative research that was carried out in south Africa using surveys as a source of primary data and past research papers as a secondary source, this research concluded that rather than brand value and positioning the major driver in the South African market is processor speed and aesthetic appeal. (Nishi Verma, 2012) carried out a comprehensive study on the Indian Smartphone market and indentified the major drivers and inhibitors in the market, this research also forecasted trends that would emerge in the Indian
market. The conclusion of this research paper was that the development of the Indian Smartphone market will help in the development of complementary markets such as the mobile broadband market.
8
(Alexandra Sponga, 2013) studied the brand positioning and marketing strategies of Smartphone’s in the Canadian market, with a focus on the Samsung and Apple rivalry. The data collection was accomplished using a netnographic approach, the target group was exposed to a briefing about the rivalry then divided into 2 groups based on their initial brand preference, the two groups then had a discussion about the pro’s and con’s of each brand, this discussion was conducted by a neutral judge, observations were recorded from the above mentioned discussion. A survey was also conducted to find out the perceived value of both Samsung and apple products in the consumers mind’s. The conclusion of this research was that consumers perceived that Apple Smartphone’s provided more value as compared to Samsung. (Maha Al Azzawi, 2012) carried out this study to understand student brand preference between Apple and Samsung Smartphone’s. This study took a quantitative approach to the research methodology . Questionnaires were developed and distributed to 214 students from all four schools in the university. The questionnaires were distributed via digital mediums and , this was the major source for primary data. This research concluded that Apple had a stronger brand preference amongst the students.
9
RESEARCH GAP ANALYSIS
Volatility of the Smartphone market.
The Smartphone market as a whole is very volatile and unpredictable , the emergence of new technology is quite rapid and this constantly changes the market dynamics, hence making it difficult to analyze trends and forecast with certainty.
The above research papers are catering to Smartphone’s and their positioning
but not with an Indian perspective. The buying behavior , background , social forces and purchasing powers of different markets vary greatly , hence it will not be possible to use the results of the above carried out researches as a reference point for this research paper.
TENTATIVE METHODLOGY
SOURCES OF DATA
The primary data will be collected through a survey , this survey will consist of a well designed questionnaire , which will be filled out by the target groups of students & working professionals Secondary data from research papers will be used to supplement the primary data which has been acquired through the questionnaire’s.
SAMPLING TYPE
The sample population will be divide into two strata’s based on occupation: as students and working professionals. There will be homogeneity within the strata’s but heterogeneity between them.
This is the stratified random sampling method and will be used to segregate the target population.
10
TENTATIVE DATA ANALYSIS
From the questionnaires parameters that a consumer takes into consideration before buying a Smartphone will be taken into consideration and a factor analysis will be carried out. The observations of the two strata’s will be evaluated separately and then comparisons will be drawn out between the response of both the sample groups. The data will be validated by carrying out statistical regressions and other tests like the Chronbachs alpha and factor analysis. The observation of all participants in the survey using Samsung Smartphone’s will be monitored as a separate set , besides the cumulative analysis to understand if the market leader has the strongest brand position.
REFRENCES
Alexandra Sponga(2013) COMPETING SMARTPHONE BRANDS : UNDERSTANDING BRAND RIVALRY BETWEEN TWO BRAND COMMUNITIES The University of Guelph. Nishi Verma(2012) INDIA SMARTPHONE MARKET OUTLOOK: LOW COST DEVICES TO DRIVE THE GROWTH IN THE INDIAN MARKET Frost and Sullivan market research. Maha Al Azzawi(2012) STUDENT BRAND PREFRENCES BETWEEN APPLE AND SAMSUNG SMARTPHONE School of Sustainable Development of Society and Technology. Prathamesh Muzamdar (2012) GAME OF THE NAMES: BRANDING IN THE SMARTPHONE INDUSTRY The University of Texas , Arlington.
Raven Jainarain (2012)ATTRIBUTES THAT INFLUENCE GENERATION-Y CONSUMERS IN THIER CHOICE OF SMARTPHONE Gordon Institute of Business Science. Sara Djerv , Zenia Malla (2012) A QUALITATIVE STUDY OF THE DRIVERS OF BRAND PREFRENCES IN THE SWEDISH SMARTPHONE MARKET Uppsala University.
NDTV correspondent August 06 2013
http://www.ndtv.com/topic/ndtv-correspondent/news/page-3
Positioning: The Battle for Your Mind – Ries & Trout

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