BRAND SWITCHING

CASE STUDY
ON
MOBILE PHONES
By:
1

Meenakshi
Sidhu
11035287022

OPERATIONAL RESEARCH
DEFINITION
Operational Research is an application of scientific
methods, techniques and tools to problems involving
operations of a system so as to provide those in control of
operation with the optimal solution to the problem.
Operations research, or Operational research in British
usage, is a discipline that deals with the application of
advanced analytical methods to help make better
decisions.

BRAND SWITCHING
Switching is the concept of choosing to
switch from routine use of one product or brand
to steady usage of a different but similar product.

Brand

Brand Loyalty is the concept where consumers

become committed to your brand and make
repeat purchases over time. It is a result of
consumer behavior and is affected by a persons
preferences. Loyal customers will consistently
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purchase products from their preferred brands.

BRAND SWITCHING
The

aggregate brand switching behaviors displayed by

large group of customers from one time period to another
may be described probabilistically. This probability
description is given by transition matrix, whose elements
give the probabilities of various changes which may
occur. If Pij is the probability that a customer will switch
from one brand i to brand j from one period to next, the
transition matrix is
TO
A

PAA

PAB

PBA

PBB

FROM

where PAA is the probability that consumers of A will stick

to the same brand
over a time period.

MOBILE COMPANIES

SAMSUNG

NOKIA

APPLE

SAMSUNG GROUP
Samsung group is a South Koreanmultinational
conglomerate companyheadquartered inSamsung
Town ,Seoul.
Samsung was founded byLee Byung-chul in 1938.
According to the founder of Samsung Group, the
meaning of theKorean hanjawordSamsung ( )
is "tristar" or "three stars". The word "three"
represents something big, numerous and powerful,
the "stars" meaneternity.
Samsung group diversified into areas including food
processing, textiles, insurance, securities and
retail,electronics industry ,construction and
shipbuilding industries. Following Lee's death in
1987, Samsung was separated into four business
groups Samsung Group, Shinsegae Group ,CJ
Groupand Hansol Group.
Samsung's revenue was equal to 17% of South Korea's
$1,082 billion GDP

SAMSUNG ELECTRONICS

Samsung Electronics Co., Ltd. is a South Korean multinational

electronicscompany headquartered inSuwon South Korea.It is the
flagshipsubsidiary of theSamsung Groupand has been theworlds
largest information technology companyby revenues since 2009
Samsung has long been a major manufacturer of electronic
components such aslithium-ion batteries,
semiconductors,chips,flash memoryandhard drivedevices for
clients such asApple,Sony,HTCandNokia.
The company has diversified into consumer electronics It is the
world's largest manufacturer ofmobile phonesand smart phones
.The company is also a major vendor oftablet computers.
Samsung is the world's largest manufacturer of mobile phones since
2011.Samsung Electronics displaced Apple Inc. as the world's largest
technology company in 2011.
KEY PEOPLE Lee Kun-hee (Chairman),Lee Jae-yong (Vice
chairman) ,Kwon Oh-hyun (Vice chairman and CEO) ,JK
Shin(President) ,BK Yoon(President and CEO).

SAMSUNG MOBILES PHONES

Samsung's flagship mobile handset line is theSamsung
Galaxy S, which considers as direct competitor of the
AppleiPhone ..
In 2010, the company had 70 million unit mark in shipped
phones, giving it a global market share of 22 percent,
trailingNokia by 12 percent. In 2011,the company
overtook Apple in worldwide smart phone sales, with a
total market share of 23.8 percent, compared to Apple's
14.6-percent share .Samsung became the world's largest
cell phone maker in 2012 with the sales of 95 million
smartphones.

APPLE INC.

Apple Inc.is an Americanmultinational corporation

headquartered inCupertino,California, that designs,
develops, and sells consume electronics, computer
software and personal computers. Its best-known
hardware products are theMacline of computers,
theiPodmedia player, theiPhonesmart phone, and
theiPad tablet computer.
KEY PEOPLE APPLE was founded by Steve
Jobs,Steve Wozniak, andRonald Wayneon April 1,
1976. Companys chairman is Arthur D. Levinson and
CEO is Tim Cook.
On January 9, 2007 to reflect its shifted focus
towardsconsumer electronics.

APPLE INC.

Apple is theworld's second-largest

information technology companyby revenue
afterSamsung Electronics, and theworld's
third-largest mobile phone maker after
Samsung andNokia.
Apple is thelargest publicly traded
corporation in the world by market
capitalization, with an estimated market
capitalization of $446 billion by January,
2014. Its worldwide annual revenue in 2013
totalled $170 billion. As of Q1 2014, Apple's
five-year growth average is 39% fortop line
growth and 45% forbottom line growth. 10

NOKIA

Nokia Oyj is aFinnish communications

and information technologymultinational
corporationthat is headquartered
inEspoo, Finland. In 2013, Nokia reported
annual revenues of around 30 billion.
In 2013, Nokia sold what was once the
world's largest vendor of mobile phones
toMicrosoft as part of an overall deal
totalling 5.44 billion (US$7.17 billion).
Nokia unveiled its third range ,theNokia X
family, which run a modified version of
theAndroid operating system. The range
includes three mid-tier devices;Nokia 11
X,Nokia X+andNokia XL.

NOKIA

KEY PEOPLE Fredrik Idestam and Leo Mecheli are

co-founders of Nokia.
Risto Siilasmaa(Chairman & CEO)
Timo Ihamuotila(President and CFO)
Stephen Elop(EVP, Devices & Services).

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OBJECTIVE OF CASE STUDY

The purpose of the case study is to assess the market share for
different brands of Mobile Phones used by customers and
analyze the Brand Switching behaviour of them.
I have taken 3 most popular brands in the indian market for my
study :
NOKIA ,SAMSUNG & APPLE.
The objective of the study is to find the information from the
sample data:

Market share by price limit

Market share by Brands name

Most popular brand

Brand switching analysis for different brands

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ROHINI
MARKET SHARE BY PRICE LIMIT
SHARE(%)
40
30
20

SHARE(%)

10
0

Upto 15000

15000-25000

25000-35000

Above 35000

INTERPRETATION:
From the above chart it is clear that the most popular RANGE LIMIT is
Rs. 15000-25000 followed by upto Rs. 15000.

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MARKET SHARE BY BRANDS

NAME
MARKET SHARE (%)
OTHERS BRANDS; 12%
NOKIA; 14%
SAMSUNG; 52%
APPLE; 22%

INTERPRETATON :
On studying this sample we can say that SAMSUNG is leading the market,with 52% of market
15
share .

PITAM PURA
MARKET SHARE BY PRICE LIMIT
SHARE(%)
35
30

SHARE(%)

25
20
15
10
5
0

Upto 15000

15000-25000

25000-35000

Above 35000

INTERPRETATION :
From the above chart we can infer that the most popular range is Upto Rs.1500025000 and followed by Rs.25000-35000

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MARKET SHARE BY BRANDS

NAME
MARKET SHARE (%)

OTHER BRANDS; 21%

APPLE; 26%

SAMSUNG; 33%

NOKIA; 19%

INTERPRETATION:
On studying this sample, we can say that SAMSUNG is leading with 34% market share.

17

SHALIMAR BAGH
33.96

30.19
MARKET
SHARE BY PRICE
LIMIT
26.42

35
30
25
20
15

9.43

10
5
0

Upto 15000

15000-25000

25000-35000

Above 35000

SHARE(%)

INTERPRETATION :
From the above chart, it is concluded that range Rs15000-25000 is
the most popular range followed by range less than Rs15000.

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MARKET SHARE BY BRANDS

NAME
MARKET SHARE (%)

OTHERS BRANDS; 17%

SAMSUNG; 36%
NOKIA; 23%
APPLE; 25%

On studying this sample, it is evident that SAMSUNG is the most

popular brand with a market share of 36% and all other brands are
closely fighting for the second place and no one is giving competition
to SAMSUNG.

19

RANI BAGH
MARKET SHARE BY PRICE LIMIT
SHARE(%)
35
30
25

SHARE(%)

20
15
10
5
0

Upto 15000

15000-25000

25000-35000

Above 35000

20
INTERPRETATION:
From the above chart, it is clearly visible that the most popular price range is Rs. 15000-25000 followed by
Upto Rs. 15000.

MARKET SHARE BY BRANDS

NAME
MARKET SHARE (%)

OTHER BRANDS; 21%

SAMSUNG; 33%

APPLE; 26%
NOKIA; 19%

INTERPRETATION:
On studying this sample, it is evident that SAMSUNG is leading the market share by 34% and APPLE is the
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nearest rival with 26% which is not exactly a competition.

PASCHIM VIHAR
MARKET SHARE BY PRICE LIMIT
SHARE(%)
40
30
20
10
0

SHARE(%)

INTERPRETATION:
From the above chart we infer that the most popular price range limit is LESS THAN Rs.15000
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followed by Rs.15000-25000.

MARKET SHARE BY BRANDS

NAME
MARKET SHARE (%)

APPLE; 24%
OTHERS BRANDS; 26%NOKIA; 20%
SAMSUNG; 30%

INTERPRETATION:
On studying this sample, it is quite evident that SAMSUNG is leading
brand in the market and OTHER BRANDS are closely competiting with it

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SURVEY OF ALL 5 PLACES

MARKET SHARE BY PRICE LIMIT
SHARE(%)
SHARE(%)
34.61
27.32

24.23
13.84

Upto 15000

15000-25000

25000-35000

Above 35000

INTERPRETATION:
From the above chart we infer that the most popular price range limit is Rs 15000-25000
followed by upto Rs.15000.

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MARKET SHARE BY BRANDS

NAME
MARKET SHARE (%)

OTHER BRANDS; 18%

NOKIA; 20%

APPLE; 25%
SAMSUNG; 37%

INTERPRETATION:
On studying this sample, it is quite evident that SAMSUNG is leading
brand in the market

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CONCLUSION OF THE STUDY

The transition matrix obtained
TO
through
my studies is:
FROM

NOKIA

SAMSUNG

APPLE

OTHERS

NOKIA

0.569

0.216

0.117

0.098

SAMSUNG

0.083

0.667

0.156

0.094

APPLE

0.108

0.154

0.646

0.092

OTHERS

0.125

0.230

0.083

0.562

The Net Market Share

obtained
is:
S.No.
SAMSUNG
NOKIA
NET
MARKET
SHARE

37%

20%

APPLE

OTHERS

25%

18%

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BIBLOGRAPHY

WEBSITES
www.wikipedia.org
www.google.co.in
www.samsung.co.in
www.nokia.com
www.apple.com/in

BOOKS

Operations research-JK Sharma

Operations research-H.A. Taha
Operations research-Philip Kotler
Operations research-C.N Sonatakki

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Thank You!!!!
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