nepal telcomm services

7/31/2019 Nepal Telcomm Services

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Telecom Companies Of Nepal

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Research Report

On

Telecom Companies of Nepal

Prepared by:

Atit Gurung

Madhupriya Dugar

Ravi Keyal

Sophie Shrestha


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2

INTRODUCTION


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3

LITERATUREREVIEW


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4

THEORITECALFRAMEWORK


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5

RESEARCHDESIGN


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6

DEMOGRAPHICS


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7

ANALYSIS


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8

QUESTIONS


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9

Introduction

Objective

Effect of the branding strategies, network service and service plans of various

telecom companies of Nepal on the consumer choice.

Also, to find out which of the various companies are doing well by examination of

peoples perspective on the telecom services of Nepal.

Outcome

The outcome of this research will help the various telecom companies to have an

idea about the consumers perspective and their current status in comparison to

other companies.


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10

Overview of Telecom Industry of Nepal

As compared to the rest of the world history of development of telecommunication in Nepalis very young.

Telecommunication was introduced with the installation of open wire trunk telephone linebetween Kathmandu and Birgunj for the first time in Nepal around 1914 beginning of theFirst World War.

Until 2003, Nepal Telecom (NT) formerly known as Nepal Telecommunication Corporation(NTC) was the only state owned telecommunication company of Nepal.

Private sector was later involved to create a competitive environment for the developmentand expansion of telecommunication sector in Nepal.

United Telecom Limited (UTL) started providing services in 2003.

NTC was converted into a Public Limited Company on April 14, 2004.

Spice Nepal Private Ltd., popularly known under its brand name "Mero Mobile" earlier andnow known as NCELL, is the first private GSM mobile operator in Nepal.


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Review of Literature

The telecommunication service was initially commenced on 1970 B.S, inNepal.

Came into formal existence only after the establishment of MOHANAKASHWANI in 2005 B.S.

According to the First National Five year plan (2012-2017),Telecommunication Department was established in 2016 B.S.

Converted into Telecommunications Development Board in 2026 B.S. as perthe third five-year plan (2023-2028)

Enactment of Communications Corporation Act 2028

Turned out into a fully owned Government Corporation called NepalTelecommunications Corporation in 2032 B.S.


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Previous Research Findings

Few researches had previously been conducted on the

telecommunication services in Nepal.

However, the particular research topic in the concerned subject

area is unknown.


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Telecommunication companies in Nepal

Nepal Telecom Corporation (NTC)

Ncell Pvt Ltd.

United Telecom Limited (CDMA)

Smart Telecom Pvt. Ltd.


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Nepal Telecommunication Corporation

Previously known as Nepal Doorsanchar Company Ltd.

After 29 years, transformed to Nepal Telecommunication

(NTC) Corporation on 01/01/2061.

Provides both GSM and CDMA services in Nepal.

l f l


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NCELL

First private operator in the GSM standard in Nepal.

Established on 2004 AD as Spice Nepal Pvt Ltd and broke the

NTC monopoly.

Commercially launched its only GSM service under the Mero

Mobile brand on September 17, 2005 A.D.

l C i Of l


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United Telecom Limited

Providing CDMA services since 2003 A.D.

A joint venture of four different companies.

Company Capital Share

Mahanagar Telephone Nigam

Limited (MTNL)

26.68 %

Telecommunications Consultants

India Limited (TCIL)

26.66 %

Tata Communications Ltd (TCL) 26.66 %

Nepal Ventures Private Limited (NVPL) 20.00 %

T l C i Of N l


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Smart Telecom

Telecommunications Service (RTS) provided license in July 1,

2008 A.D.

Launched its VSAT services on 26th November 2009 A.D.and the GSM service since 9thJuly 2010.

Launched its services by building a mixed network of fixed

and wireless technology, whichever is appropriate for thelocation.

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Statement of problem

What is the brand position and status of various telecom

companies according to the consumers point of view?

Why this problem:

The requirement for this problem to be analyzed arises to

identify the current position of the companies due to the

increasing competition in the market by entry of newcompanies, increasing promotional and advertising activities,

the network services and the service plans and the changing

taste of the consumer- provided to benefit the consumers.

T l C i Of N l


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Hypothesis

Set 1:

H0: Choice of selection is independent of branding and

advertisements.

HA: Choice of selection depends on branding and advertisements.

Set 2: H0: Choice of selection is independent of quality of network

provided.

HA: Choice of selection depends on quality of network provided.

Set 3:

H0: Choice of selection is independent of the versatility of service

plan.

HA: Choice of selection depends on the versatility of service plan.

T l C i Of N l


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Theoretical framework



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Research Design

Descriptive research design was adopted for the research.

The questionnaire method was used to collect the data whichwere administered through face to face interview with the

consumers and retailers.

The sample size and the sample were selected based onconvenience sampling method.

The study was restricted to Kathmandu city. The sample sizefor consumers was 150 (aged between 15-60).



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Demographics

11%

42%20%

10% 17%

Age Composition

10-20 yrs

20-30 yrs

30-40 yrs

40-50 yrs

50 and above

60%

40%

Gender

Male

Female

37%

15%22%

13%13%

Occupation

Student

Business Man

Employed

Retired

Others

63%

37%

Marital Status

Single

Married



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9%

47%25%

9%5% 5%

Monthly Income

Nil

55,000

41%

32%

20%

7%

Awareness of the Brand

NTC

NCELL

UTL

SMART

73%

22%

3%2%

Brand Usage

NTC

NCELL

UTL

SMART

40%

60%

Service Plan Usage

Post-

paid



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20%

25%31%

8%7%

7%

2% Monthly Usage

< Rs. 500

Rs. 500-1000

Rs. 1000-2000

Rs. 2000-3000

Rs. 3000-4000

Rs. 4000-5000

Others

66%

34%

GPRS Usage

Yes

No

39%

27%

34%

Internet Plan Usage

Usage Based

Unlimited Usage

Not Using

67%

33%

Effect of Avertisements &

Promotions

Yes

No


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RELATIONSHIP BETWEEN CHOICE OF SELECTION

AND BRANDING AND ADVERTISEMENTS:

Chi-Square TestsValue df Asymp. Sig. (2-

sided)

Exact Sig. (2-

sided)

Exact Sig. (1-

sided)

Pearson Chi-Square .829a 1 .362

Continuity Correctionb .406 1 .524

Likelihood Ratio .874 1 .350

Fisher's Exact Test .425 .267

Linear-by-LinearAssociation

.824 1 .364

N of Valid Cases 150

a. 0 cells (.0%) have expected count less than 5. The minimum expected count is 5.67.

b. Computed only for a 2x2 table

The chi-square test of dependency between choice of selection and branding and

advertisements shows that the asymmetric significance is .216 which is greater than 0.05.Hence, we accept H0 i.e. both these parameters are independent of each other.

From the above Chi-square results for NTC, NCELL, UTL and SMART we can conclude that

branding and advertisements do not have effect on the choice of selection of consumers.

Very less portion of people are affected by advertising and branding promotions in the

market.



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AND QUALITY OF NETWORK PROVIDED:

Chi-Square Tests

Value df Asymp. Sig. (2-sided)

Pearson Chi-Square 43.647a 5 .000

Likelihood Ratio 34.903 5 .000

Linear-by-Linear Association 18.847 1 .000


a. 6 cells (50.0%) have expected count less than 5. The minimum expected count is 1.93.

The chi-square test of dependency between choice of selection and the quality of network

provided shows that the asymmetric significance is .002 which is smaller than 0.05. Hence,

we reject H0 i.e. both these parameters are independent of each other. Therefore it isconcluded that quality of network provided determines his/her choice of service provider

telecom company.

It can be thus said that the choice of selection of consumers is highly dependent on the

quality of network provided by the telecom companies.



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AND THE VERSATILITY OF SERVICE PLAN:

Chi-Square Tests

Value df Asymp. Sig. (2-

sided)

Pearson Chi-Square 43.131a 5 .000

Likelihood Ratio 33.257 5 .000

Linear-by-Linear Association 23.782 1 .000


a. 6 cells (50.0%) have expected count less than 5. The minimum expected count is .23.

The chi-square test of dependency between choice of selection and the versatility of

service plan shows that the asymmetric significance is .002 which is smaller than 0.05.

Hence, we reject H0 i.e. both these parameters are independent of each other. Thereforeit is concluded that versatility of service plan provided determines his/her choice of service

provider telecom company.

Thus, it can be concluded that the versatility of the service plan provided affects the choice

consumers make while selecting the telecom service brand.



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A Comparative study of various levels of satisfaction of

consumer from different telecom companies:

0

20

40

60

80

100

120

140

160

Importance of Various Attributes to Consumers

Quality of Network

Quality of Message

Service

Versatility of Service

Plan

Affordability

Internet Facility

Comfortability of Usage



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Highly

SatisfiedSatisfied Neutral Less Satisfied Not Satisfied

NTC 20 30 32 27 17

NCELL 19 46 5 0 4

UTL 2 0 0 0 0

SMART 0 0 3 0 0

0

5

10

15

20

25

30

35

4045

50

AxisTitle

Overview of Consumer's Satisfaction for Quality of

Network services



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Highly

Satisfied

Satisfied Neutral Less Satisfied Not Satisfied

NTC 21 52 36 17 0

NCELL 15 48 5 0 4

UTL 0 0 2 0 0

SMART 0 0 1 2 0

0

10

20

30

40

50

60

AxisTitle

Overview of Consumer's Satisfaction for Quality of

Message services


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e eco Co pa es O epa

Highly

Satisfied


NTC 13 64 38 9 2

NCELL 6 17 37 8 4

UTL 0 2 0 0 0

SMART 0 0 3 0 0

0

10

20

30

40

50

60

70

AxisTitle

Overview of Consumer's Satisfaction for Affordability



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p p

Highly

Satisfied


NTC 17 37 39 12 17

NCELL 20 21 21 8 2

UTL 0 0 0 0 0

SMART 0 0 0 0 0

0

5

1015

20

25

30

35

40

45

AxisTitle

Overview of Consumer's Satisfaction for Internet Facility



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p p

Highly


NTC 22 53 40 9 2

NCELL 11 26 29 2 4

UTL 0 0 2 0 0

SMART 0 0 0 3 0

0

10

20

30

40

50

60

A

xisTitle

Overview of Consumer's Satisfaction for Comfortability of

Usage



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p p

Highly


NTC 22 29 32 23 20

NCELL 12 34 19 5 2

UTL 0 0 2 0 0

SMART 0 0 3 0 0

0

5

10

15

20

25

30

35

40

AxisTitle

Overview of Consumer's Satisfaction for Customer Service



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nepal telcomm services

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