INTERNSHIP REPORT On Pakistan Mobile Company Limited Mobilink (An Orascom Telecom Company) Specialization in Marketing

Submitted To The Chairman Department of Business Administration Allama Iqbal Open University Islamabad Submitted By Rao Abdul Ghaffar Roll No. T-518375 Reg.No.06-PLE-0646
Mailing Address: 288/ E Gulshan-E-Ravi Lahore; Contact Number: 03008456492 E-mail address:rao.abdul@mobilink.net

Acknowledgements:

First of all, I would like to thank The Almighty Allah for giving me the courage and the ability to do this project. Secondly, Id like to thank my parents and my friends for always being there in rough times, supporting me and helping me in every way possible throughout the duration of this project. My institution, Allama Iqbal Open University, has done a superb job in training me throughout the course of my degree for this project,special thanks to Brig.(R) Muhammad Zubair-Reginal Director Lahore Allama Iqbal Open University for his always support and help for study. Special thanks go out to Mobilinks Management Mr. Fakhar Iqbal Butt (CS-BP & CR) Mr. Bilal Sheikh (Marketing-Vice President ), Ms. Rabia Saqib (Marketing Director), Mr. Hammad Kabir(Marketing), Mr. Zafar Ali (Customer Services), Ms.Aniqa Gul(Human Resources),M. Zafar Javaid (Fianance) and all the other colleagues of Mobilink who provided me with their valuable input during my project.

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Introduction:
Over the course of the last few years, Pakistans telecom sector has flourished appreciably with more competitors coming in to the market, thus bringing in much needed foreign investment for the country. This has also led to an incredibly competitive environment in the telecom sector which calls for the firms being more pro-active, identifying trends quickly and taking appropriate actions to increase their market share and profitability. The project is a detailed overview of the telecom environment, especially with respect to Mobilink. The project would give a detailed analysis of the internal environment of the firm itself and the external factors that affect it. During the course of the analysis quite a few models would be applied to judge the competitive environment, for example to judge the external environment and competitiveness with in the industry, Porters Five Forces Model would be applied. The reason for choosing the telecom sector was mainly because of the fact that the telecom sector has become very dynamic with new marketing campaigns and advertisements being shown heavily on the media. Being a marketing major, this industry has always fascinated me and I have been following its progress in Pakistan for quite some time.

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Objective of studying the Organization:

As an employee of Mobilink I selected my own organization for the final project on marketing as till now by entering many other competitors in the market Mobilink is the market leader, in terms of subscribers pace, coverage, sale, revenue profits and in corporate social responsibilities. Its a great pleasure for me to studying and evaluating the theoretical and practical knowledge on this organization and I hope this will provide me great deal of help and understanding for my career growth in the same organization by deeply analyzing the opportunities threats, weakness, strength to Mobilink and the operation as well as strategies adopted by the marketing department of organization.

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Over View of the Organization: Brief History:

Mobilink is the subsidiary of Orascom Telecom so before going for Mobilink history I would like to introduce first OT (Orascom Telecom).

Orascom Telecom Holding S.A.E.

("Orascom Telecom") or ("OTH") was established in 1998 and has grown to become a major player in the telecommunication market. OTH is considered among the largest and most diversified network operators in the Middle East, Africa, and South Asia, and has acquired in early 2008 a license to operate mobile services in North Korea. Orascom Telecom is a leading mobile telecommunications company operating in six emerging markets having a population under license of 430 million with an average penetration of mobile telephony across all markets of approximately 40%. OTH operates GSM networks in Algeria (Djezzy), Pakistan (Mobilink), Egypt (Mobinil), Tunisia (Tunisiana), Bangladesh (Banglalink) and Zimbabwe (Telecel Zimbabwe). OTH had exceeded 74 million subscribers as of March 2008. Orascom Telecom Holding S.A.E. ("Orascom Telecom") or ("OTH") was established in 1998 and has grown to become a major player in the telecommunication market. OTH is considered among the largest and most diversified network operators in the Middle East, Africa, and South Asia, and has acquired in early 2008 a license to operate mobile services in North Korea. Orascom Telecom is a leading mobile telecommunications company operating in six emerging markets having a population under license of 430 million with an average penetration of mobile telephony across all markets of approximately 40%. OTH operates GSM networks in Algeria (Djezzy), Pakistan (Mobilink), Egypt (Mobinil), Tunisia (Tunisiana), Bangladesh (Banglalink) and Zimbabwe (Telecel Zimbabwe). OTH had exceeded 74 million subscribers as of March 2008.

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OTH's first operation was the Egyptian Company for Mobile Services commonly known as ("Mobinil"). Mobinil is a market leader serving over 16 million subscribers representing a market share of 48.8% (as of March 2008). Mobinil is one of Egypt's five largest companies on Cairo & Alexandria Stock Exchange (CASE) in terms of market capitalization.

OTH witnessed success as Orascom Telecom Algeria SPA (Djezzy) was launched in February 2002. It grew to become the market leader in terms of both subscriber numbers as well as the quality of telecommunications services provided. Djezzy serves over 13.5 million subscribers on its network and has a 62.7% market share (as of March 2008).

Orascom Telecom Tunisie (Tunisiana) launched its services in December 2002, and serves approximately 3.8 million subscribers on its network with a growing market share of 48.5% (as of March 2008).

In Pakistan, the Pakistan Mobile communications Ltd (Mobilink) started its operations in 1994 and, until early 2001, had a market share of 40%. In April 2001, OTH took over management control of the company. As the market leader, Mobilink

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serves more than 31.5 million subscribers, representing a market share of 38.5% (as of March 2008).

In September 2004, OTH purchased 100% of Sheba Telecom (Pvt.) Limited in Bangladesh. OTH re-branded and launched its services as "Banglalink" in February 2005. Immediately after the launch, OTH started its aggressive plans to develop Banglalink into a leader in the mobile sector by rapidly expanding its GSM network to provide high quality communications services at affordable prices. Banglalink serves over 8.3 million subscribers with 21.3% market share (as of March 2008). OTH has positioned itself as a leader in the region for its diverse GSM operations with various GSM support and Internet operations. One of OTH's main strategies is to create its own non- GSM subsidiaries to act as a backbone of support for its regional GSM operations. OTH has achieved this by dedicating financial, technical and management resources for supporting its subsidiaries. This includes network support and installation of GSM operations, equipment procurement, handset procurement and distribution companies, Value Added Services, and Internet operations. OTH is dedicated to providing the best quality services to its customers, value to shareholders and a dynamic working environment for its nearly 20,000 employees. OTH established a strong presence in the GSM Association (the world's leading wireless industry representative body) only five years after its inception. OTH's Chairman and CEO, Mr. Naguib Sawiris, was selected to join the GSM Association's CEO Board in 2002. OTH's stocks are traded on the Cairo and Alexandria Stock Exchange (CASE), (under the symbol ORTE.CA, ORAT EY) and on the London Stock Exchange (where its GDR is traded under the symbol ORTEq.L, OTLD LI). Source:www.orascomtelecom.com Rao Abdul Ghaffar 518375

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Brief History of Mobilink:

Mobilink GSM (PMCL), a subsidiary of Orascom Telecom, started its operations in 1994, and has become the market leader both in terms of growth as well as having the largest customer subscriber base in Pakistan - a base of over 30 million and growing. We pride ourselves on being the first cellular service provider to operate on a 100% digital GSM technology in Pakistan that also provides state-of-the-art communication solutions to its customers. Mobilink offers exclusively designed tariff plans that cater to the communication needs of a diverse group of people, from individuals to businessmen to corporate and multinationals. To achieve this objective, we offer both postpaid (Indigo) and prepaid (JAZZ) solutions to our customers. Compared to our competitors, both the postpaid (Indigo) and prepaid (JAZZ) brands are the largest brands of their kind in the Pakistan cellular industry. In addition to providing advanced voice communication services that makes the lives of millions that much easy, we also offer a host of value-added-services to our prized customers. At the same time, Mobilink places high importance to its coverage, which is why we cover you in 10,000+ cities and towns nationwide as well as over 150+ countries on international roaming service. In other words, we speak your language, everywhere.

Mobilink's Vision:
"To be the leading Telecommunication Services Provider in Pakistan by offering innovative Communication solutions for our Customers while exceeding Shareholder value & Employee Expectations".

Mobilink's Mission:
To promote Customer Services as a Mobilink Brand

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Every customer interaction to be a pleasant experience To promote Mobilink as a truly customer oriented organization

Mobilink's Values:
Total Customer Satisfaction: Customers are at the heart of our success. They have placed their trust and confidence in us. In return, we strive to anticipate their needs and deliver service, quality and value beyond their expectations. Business Excellence: We strive for excellence in all that we do. We aspire to the highest standards and raise the bar for ourselves everyday. This commitment to delivering world-class quality translates into unmatched service and value for our customers and all stakeholders. Trust & Integrity: At Mobilink, we take pride in practicing the highest ethical standards in an open and honest environment, and by honoring our commitments. We take personal responsibility for our actions, and treat everyone fairly, and with trust and respect. Respect for People: Our relationships drive our business. We respect and esteem our employees and all stakeholders. We believe in teamwork, empowerment and honor. Corporate Social Responsibility: As the market leader, we recognize and fulfill our responsibility towards our country and the environment we operate in. We contribute to worthy causes and are dedicated to the development and progress of the society.

Management Hierarchy:

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President and CEO Zouhair Abdul Khaliq

Chief Finance Officer Ehab Rochdy

Chief Information Officer Tariq Rashid

Chief Technical Officer Marwan Hayek

Vice President Administration & Human Resources Ali Raza Mehdi

Chief Officer Government & Regulatory Affairs Brig. F. R. Adhami

Vice President Sales Irfan Akram

Vice President Marketing Bilal Munir Sheikh

Vice President Strategic Planning, Business Development & PMO Naeem Zamindar

Vice President of Customer Services Mustafa Peracha

Source: www.mobilinkgsm.com

Strategy and Management:

Mobilink is led by Zouhair A Khaliq who is the President and the CEO. Mr Zouhair took over Mobilink in June 2003. Since then Mobilink has embarked on an aggressive growth strategy. Mobilink closed 2003 with 2 million customers. In comparison

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Mobilink closed 2005 with more than 11 million subscribers, which makes then the largest telecommunication service in Pakistan. Mobilink was awarded the license to operate in Azad Jammu and Kashmir (AJK) on 27 June-2006. The concession was awarded for a payment of US$ 10 million.

Achievements:
ISO 9002 Quality Management System Certification for Billing, Engineering Departments and CS Contact Center Implementation of a full Intelligent Network (IN) platform from Siemens for the Prepaid platform Largest Call Center in Pakistan, which is there to assist the customers 24 hours Only cellular service in Pakistan to provide coverage on the M2 motorway Bilateral roaming in over 120 countries around the world with true international roaming with over 300 operators across the globe First mobile operator in Pakistan to offer extensive GPRS Roaming and BlackBerry Roaming services MOBILINK GSM's Short Message Service Center allows Vehicle Tracking and Fleet Management services that are being provided by Trakker (Pvt.) Ltd., under the brand name of C-Track, a company licensed by Pakistan Telecom Authority (PTA). Trakker currently operates from Karachi but can provide these facilities at all those locations where GSM coverage is available

Network:

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During the last 13 years, Mobilink has set up one of the largest cellular networks in the country. Currently, we are covering more than 9000+ cities and towns. This has involved an investment in the company of more than US$ 1 Billion. We have 66 Switches and more than 6,300 cell sites and the number keeps growing at a rapid pace. We also have deployed around 5,000 km of optical cable. Years of Business Cities Investment Switches Cell Sites Optical Cable Deployment Switches Radio Base Stations Intelligent Networks Microwave Equipment Operating Frequency SMSC 13 9000+ USD 1 Billion+ 66 6,300 5,000 KM Nokia-Siemens, Alcatel, Huawei Motorola and Alcatel. Siemens NEC and Alcatel 900/1800 MHz Logica CMG

Super Brands:

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Today Mobilink a company at the forefront of technology stands tall with the world's strongest brands. Pakistan 's favorite cellular service is the first ever cellular network to have been awarded with the ' SuperBrands' accolade. Reliability, innovation, growth and performance above and beyond others is what sets us apart. We thank all our family members for making Mobilink indigo and Mobilink Jazz achieve the super brand status.

Nature of the Organization:

Mobilink is a largest cellular industry of Pakistan and providing services of telecommunication through voice and data, and also providing the advance voice communication services that makes the lives of million that much easy ,Mobilink offer a host of value added services to their valued customers. Mobilink is also providing the facilities of PCO for people to run an independent business and also providing business solutions to many corporate firms in the shape of blackberry; connect card, broad band and wi-max. Mobilink along with their business also helping Pakistan for a better tomorrow, Mobilink is a longstanding believer in giving the portion of its revenues for charitable causes and is making efforts for bringing about a positive social change for the underprivileged.

Business Volume:

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Mobilink is private limited company and not registered in stock exchange and as per the company policy only the below mentioned information can be share for education purpose ,the below mentioned some information are taken from the PTA annual reports 2006 and 2007 and some are taken from the company internal record ,and all these information are only estimations. Financial highlights of last five years are as under: Years Market share by Revenue Market share by subscriber Total Revenue US $ million Net profit US $ million Total Investment US $ million Gross sales(by subscribers) Total Coverage cities/towns/villa ges Total Subscribers 11M 12M 14M 200 3 65% 65% 300 M 6 150 1M 1000 200 4 65% 61% 400 M 12 200 2M 2500 2005 68.9 % 55% 600M 20 300 5M 4000 2006 60% 50% 900M 30 335.9 11M 6000 + 19M 2007 48.60% 41% 1Billion 70 591 13Millio n 10000 + 30M

base Note: These all above mentioned figures are only estimation and provided for education purpose by Mobilink. Source;www.pta.gov.com; & internal records of Mobilink In the above mentioned table the figures shows that in year 2004 and 2005 Mobilink market share both in revenue and subscribers base was maximum but in year 2006 and 2007 it has been decreased as previous in year 2004 there was few competitors (Ufone and Paktel) of Mobilink but after year 2005 two more competitors (Warid, Telenor) added in the market and market share divide in between. In sales Mobilink did a good job as from year 2003 -2007 Mobilink sales are continuously increasing by the good marketing strategies, promotional activities, excellence services and customer care. In investment Mobilink also increase its investment for the improvement of network to give the unmatched services to its valued customers Rao Abdul Ghaffar 518375

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Mobilinks profits are also increasing as compare of 2003 to 2007 as Mobilink is truly working well for the retention and satisfaction of the customers.

Profile of employees:
Mobilink hired fully motivated, educated and devoted employees, because employees are the backbone and strength of any company. Mobilink hired Engineers for Technical department, MBAs for Management, HR and for Marketing, M.COM for Finance department mostly employees from higher management are foreigner qualified with great exposure of foreigner work style. All employees of Mobilink are satisfied with the pay structure and other non cash benefits as Mobilink exceeding their employees expectation. Majority of employees have experience in his particular area but Mobilink also encourage fresh graduates and masters selection criteria in Mobilink is purely based on merit base. In technical and IT and in contact centre the selection criteria is based on test system if person qualified the test then go further chain of interview with the manager ,director of the department where he/she implied and at the end final interview with the Vice President of the department. Mobilink is always exceed the employees expectation and also provide the opportunities for career growth through required training and workshops, and Mobilink is also providing education assistance to their employees for the enhancement of knowledge and latest studies. Number of employees working in Mobilink = 4,700 hundreds Source: Mobilink internal record

Product Lines:
Mobilinks major products in prepaid are Jazz and in postpaid are Indigo and there are many more others value added services and business solutions for corporate clients. Post-Paid (Indigo):

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Indigo is the only post paid brand in the Pakistan General philosophy: payment after the service derived Real Post paid Brand: Indigo-launched in February 2004 elite market image Freedom plans: The best choice for everyone flexible call rates Pre-Paid (Jazz):

Jazz is synonymous with cellular in the country General Philosophy: payment before the service derived Jazz Offerings Jazz CDs Scratch cards OTAR Electronic Voucher Recharge Balance Share

Mobilink World: Value added services (VAS) of Mobilink falls under the brand name Mobilink World Broad service categories of Mobilink World are business solutions, payment solution, info solution & fun, some of the popular services are; Bolo SMS ,Talking books, Car Crazy ,Love Calculator SMS to TV Messaging services, Ring tones, Gup Shup Corner Ring tone Club ,Cricket Updates,Mobitunes ,Horoscope, Yahoo Messenger ,Conference calling, Voice Mail SMS Trivia ,SMS Buddy, International MMS, Web SMS Chat Lounge 144 ,Mobi Greetings, Kids Corner ,Sports Portal Mobile Banking ,Info-Line services, Kisan service ,Job Alerts , Blackberry,Mobisafe,SMS Marketing, Corporate Misconnect cards Fax Mail, Stock Watch,PIA Reservation, SO Card, MCA

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Call Forward, Flash Mobile,Mobilink Tourist Guide Mobile, Power tools ,Religious Services SMS based Banking Services, SMS to Radio Services, Octane Tools Cricket Chat, Ownership Services

Ad many more Getting Connected Mobilinks competitive advantage has been its aggressive retail presence. Mobilinks prepaid product sold under the brand name Jazz is widely available in more than 5000+ cities, towns and villages with service code (0300,0301,0302,0303,0306,0307 and 0308) Jazz is the most successful and popular Pakistani brand and was coined by a team led by Aamir Ibrahim in 1998. Junaid Khan, then the President of Mobilink, preferred it over the runner up choice 'Buzz'. Product Category Chart

Telecom

Pre-paid

Post Paid

Calling Cards

Wireless Phones

Mobile Connections

PCOs

ISPs

Land Lines

Mobile Connections

PCOs

ISPs

JAZZ

Indigo

Adapted from report on Mobilink Jazzs & Indigos brand strength by Haris Khan

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Organizational Structure:

President and CEO

Chief Information officer

Chief technical officer Director Senior Manager Manager

VP HR/ Admin/ Security 3 Directors Senior Manager Manager

Chief Financial Officer Director

VP Marketing Director SALES

VP Commerci al

Director legal affairs

Director Senior Manager Manager

Customer

Managers

Services

Senior Manager Manager

Senior Manager Manager

Source: Mobilinks internal records De f init io n: De fi ni ti ons of the se rul e s are gi ve n be l ow: Co mp any me ans Pak i stan Mobi l e C ommuni c a ti ons (Pvt) L td (PMC L ), w i th i ts he ad offi c e at K ul sum Pl aza i nc orporate d unde r the C ompa ni e s O rdi nanc e 19 84 at I sl amab ad, Pak i stan.

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 H e ad Off ice me ans the pl ac e w he re the mai n offi c e of PMC L i s e stabl i she d. M anag e me nt me ans, The Pre si de nt, O ffi ce rs, Di re c tors & Manage r and C oordi nators of the c ompany to w hom the rel e vant pow e rs have be e n de le gate d by the Pre si de nt. Pre s id e nt me ans the pre si de nt of the C ompany. Chie f Of f ice rs me ans the Vi c e Pre si de nts / C EO , C C O, C TO , C IO , C FO & VP HR/ Admi n at the He ad O ffi ce . Dire ct o rs The i n c harge of de partme nts di re c tl y re porti ng to the C hi e f O ffi ce r. M anag e r me ans the i n-c harge of a se c ti on unde r a de partme nt at by the Pre si de nt / He ad of De partme nt from ti me to ti me . Spe cialis t me ans the e mpl oyee w ho i s assi sti ng the Manage r i n obtai ni n g the obj e c ti ve s of the de partme n t. Ass o ciat e me ans the e mpl oye e w ho i s assi sti ng hi s/ he r supe rvi sor i n the day- to- day ac ti vi ti e s. Main Offices: Mobilink has extensive network of main offices and sales point along that Mobilink is also giving that task to many franchise and its head office is in Islamabad Head office Mobilink; Pakistan Mobile Company Limited (PMCL/Mobilink) 42-Kulsum Plaza, Blue Area, Islamabad. Tel: 051-2273984-9, Fax: 051-2270966 e-mail ;customercare@mobilink.net

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Offices: Mobilink divide the Pakistan in three different and major regions. Central (Punjab) North (NWFP) South (Singh) Mobilink divide further central in central1,central 2,central 3,central 4 and north in north1 ,north 2 as well as south in south 1,south 2and south 3.Mobilink has its 18 main offices including head office in different regions and 475 franchises which providing the services to the whole Pakistan. Further number of office in different regions; Central; In central there are 8 offices, including 3 offices in Lahore, one in Gujrawala, one in Rahim Yar Khan, one in Faisalabad and one in Sargodha. North; In north there are 3 offices, in Islamabad, Rawalpindi and Peshawar. South; In south there are 10 offices, including 4 offices in Karachi, one in Hyderabad, one in Quetta, one in Nazimabad, one in Gulshan-e-Iqbal, one in Shahrah-e-Faisal and one in Clifton.

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Structure of Marketing Department:

Vice President Marketing Department

Director Brand Team

Director Marketing Operation

Director Pricing Strategy

Director VAS LDI IR

Director Public Relations

Manager

Manager

Manager

Manager

Manager

Specialist

Associate

Specialist

Specialist

Specialist

Specialist

Associate

Associate

Associate

Associate

Source: Mobilink internal record Number of employees working in Marketing Department: In Mobilink marketing department 65 employees are working, below are the details of number of employees working in each department; Vice President Brand Team Marketing Operations VAS /LDI Unit 16 Pricing Strategy Public Relation Total Employees 14 4 65 1 16 14

Source: Mobilink internal record

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Marketing Operation:
Every company needs to manage its marketing activities effectively. Especially the company needs to know how to analyze the market opportunities, select appropriate target markets, segmenting the market in proper segments, establishing the effective marketing mix and manage the marketing efforts effectively. To fulfill these requirements, marketing department is established in almost all well-known organizations.

Defining Marketing Objectives:

According to Peter Drucker, The aim of marketing is to make selling superfluous. The aim is to know and understand the customer so well that the product or service fits him or her and sells itself.

Operations of Mobilinks marketing department are as follows:

Analyzing the trend of the market and competitions movement of marketing. Analyzing the customer demand and product development process Analyzing the quality assurance process and enhance the market share as compare to competitions.

Introduce new product in the market through research and development process. Create the need for the new and existing customers through different loyalty programs Run all he promotional activities efficiently and effectively Public relation Research and development

Function of Mobilinks marketing Department:

Following are the functions of Mobilinks marketing in details;

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Trade Marketing; In this sub department of marketing ,all trade and retail level activities at ground level is working efficiently and the whole department is responsible for the marketing of promotional and sales activities of the Mobilink for trade and retailer. BTL (on ground activity); This sub department of Mobilinks marketing is responsible for the land and site acquisition for cell sites, bill boards, sign boards and banners. Along with this it is responsible for the installation of cable network and server used in cell sites. Handset Offers ; This sub department is responsible for the different bundle offer for corporate groups of customers and for individual customer for retention and loyalty programs. This includes the bundle handsets offers and many such related campaigns. Corporate Social Responsibilities; This sub department is playing very important role for the growth of the organization, and this department responsibilities are to manage or organize all the community welfare related activities for the Pakistani nation following are the activities; a) Donations for Community welfare: Helping Pakistan for a better tomorrow, Mobilink is a long standing believer in giving a portion of its revenues for charitable causes and is making efforts for brining about a positive social change for the underprivileged. It has been actively involved in providing regular donations to Shaukat Khanam Memorial Cancer Research Hospital and urging its huge customer base to partake with their own donations for the cause. Mobilink also supports other organizations such as the Khidmat Foundation, Umeed-enoor, and PIMS Children Hospital Islamabad, in making lives of millions in Pakistan more comfortable. b) Educating the Youth High quality education is the right of every Pakistani. Most of the time this right does not see the light of the day due to many factors, and one of them is the high cost of education. Mobilink has decided to help out those deserving students or organizations however it can.

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c) Cultivating the Community Respecting and protecting the environment we live in, is a job we must all do together. The only way to combat poverty is to transform the less fortunate into productive members of the society. Mobilink has taken steps to alleviate poverty while protecting and beautifying the environment by collaborating with Khushhali Bank to empower villagers to own personal mobile phones through micro-financing. Mobilink was also the official sponsor of the second Human Resource Development Congress held in October 2004. d) Encouraging Arts Each culture is best defined by an artistic expression. To preserve and cultivate art is a necessity that should be partaken more often in Pakistan. Mobilink has taken the lead in doing so in many different ways. e) Encouraging Arts Each culture is best defined by an artistic expression. To preserve and cultivate art is a necessity that should be partaken more often in Pakistan. Mobilink has taken the lead in doing so in many different ways.

f) Revival of Cinema Industry; Promote the cinema industry and starts different campaign for the revival of the industry through various promotional activities and sponsoring the latest movies in Pakistans cinemas. Promotional Activities; The one of the functions of Mobilinks marketing is to handle different promotional activities for customers and for distributors/retailer with smart way. Public Relations; The functions of this public relation unit are to create good relations with media or with customers through different surveys and campaigns. Product Development & Research;

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This units functions are to develop different new products or value added services for the customers through various surveys and researches, this unit of Mobilink has a great worth within the organization. Pricing Strategies; The function of this sub unit of Mobilinks marketing is to introduce the price of the products after the analyzing the market need and customers demand and this is also responsible for the increase or decrease in the product price. Business Intelligence Unit; This units functions are to store the data and to do different analysis and trends for the growth of business. Loyalty programs; This unit responsibility is to create different loyalty programs for the good relations and retentions of the customers with company. Satisfaction Surveys/ Feedback; The function of this unit of Mobilinks marketing is to conduct various surveys through different telemarketing team to know the satisfaction level and feedback of the customers so that if changes required they can implement.

Marketing Strategy:
Marketing strategy is the practical application of marketing techniques. It is the analysis, planning, implementation, and control of programs designed to create, build, and maintain mutually beneficial exchanges with target market. The marketing manager has the task of influencing the level, timing, and composition of demand in way that will achieve organizational objectives.

Marketing Strategy of Mobilink:

Mobilink is the market leader both in revenue and customers and is the first GSM service provider of the Pakistan as leader Mobilink strategies are to lead the market and to get the maximum share of revenue thats why Mobilink is always adopting leader ship strategies. Mobilinks major strategy involves; Be always first in introducing latest technology in telecommunication Focus on best quality ,customer satisfaction Identifying the market style and market trend

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Identifying the customer trend and style Identifying the customer needs and demands Identifying the new research and development in telecommunication Identify the segments within the market Understand company's strengths and weaknesses. Implementation of 4p's price place product promotions. Understand where you want your brands to be in the future Internal service quality of customer satisfaction.

In Mobilink private when lunch any product they all decision making on higher management and first the complete analysis of the market and customer behavior all sensitive issues with point of competitors of current market situation then pre test lunch the product if they successful then introduced in the market. Product planning, development & management: Mobilinks new product development process based on following steps; Idea Generation: A process starts with idea generation, which may draw the Mobilinks inspiration from internal sources, customers, competitor's suppliers and others. Idea Screening: The next step is idea screening which reduces the number of ideas based on the Mobilink own criteria which the best suitable for the company. Concept Development: After the idea screening Mobilink research and development management continue through product concept development in which a detailed version of the new product idea is stated in meaningful consumer terms. Test Market: In this stage concept testing new product concepts are tested with a group of current market target consumers to determine if the concept have strong consumers appeal and successful in market. Marketing Strategy: After the successful concept of the new product to proceed to marketing strategy development in which an initial marketing strategy for the new product is developed from the product concept. Business Analysis: After the marketing strategy of Mobilink proceed to in business analysis stage a review of the local and nation market of the sales, costs and profit projections for

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new product is conducted to determine whether the new product is likely to satisfy the Mobilinks objectives . Commercialization: With positive results there the ideas become more concrete through test marketing and finally are launched for commercialization. Pricing Strategy: Mobilink is a market leader in subscribers and always introduces a reasonable price for their products with good quality. Mobilink pricing strategies for new products; Positioning Strategy; Mobilink uses both premium strategy (high price & high quality) and good value strategy (low price & high quality) for their new products. Mobilink also uses the marketing skimming strategy for new products and market penetration for existing products. Distribution Strategy: Distributing the products in the market is one of the major functions of any distribution center on behalf of the principal. As it is said in the previous section that Mobilink treats every principal as a separate business unit, so the distribution process for all the principals vary considerably with each other. Extensive nationwide distribution network positioned to lunch new products as well as service existing ones. 18 Offices 250 Cities. 475 frachises enhancing relationships with third party distributors to enhance penetration. Mobilink divide the whole Pakistan in three regions for the better take up of the distributions and to increase the sale in efficient way below are the details of the regions; 1. Central 2. South 3. North Promotional Strategy: Mobilink give the desirable information in the print ads to the target market in order to inform the customers about the benefit of their products. Whenever Mobilink introduced new products they give ads on print media at regular intervals. So that the customer is informed about the new product.

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For their matured products they give ads with different gaps in the newspapers. The newspapers they use are: The NEWS, DAWN, and JUNG Radio Radio is a good local acceptance, high geographic and demographic selectivity and low cost advertisement. Magazines The Magazines advertisement high geographic and demographic selectivity, credibility and prestige and high quality reproduction, long life and good pass along readership.

Outdoor Advertising Outdoor Advertisement flexibility high repeat exposure low cost low message competition, good positional selectivity. For example Sing Boards Bill Boards Banners Public Relation It is communication efforts that are designed to favorably influence attitudes toward an organization, its products and policies. Mobilink is not just a quality product services supplier, but also a socially conscious corporate citizen. It has been equally involved in promoting and funding several community welfare projects through aggregate revenue Mobilink is a professionally managed, organization.

Critical analysis of theoretical and practical experience:

The main objective of this internship program is to critically analyze the theoretical concepts and relating them with the practical experiences, I studied the Mobilink for this purpose. I have observed that Mobilink is a market leader both in revenue and in customers share as they are practicing the right procedure what they have written, Mobilink is ISO 9002 certified in billing and engineering. In this organization I observed and noticed that all the department and business processes are implementing as of theoretical concepts for the better results. Every department processes are written, and all the staff are implementing on the written procedures with pleasure and its the secret of Mobilinks leadership. Rao Abdul Ghaffar 518375

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Mobilink is providing the friendly environment for their internal customers and giving then the salaries as per the market standards, I observed that in all the departments of Mobilink all the theoretical concepts are implementing As in Mobilink particular in marketing department every thing is handling with respect to same as theoretical or what we studied in MBA as in product development ,marketing research, in pricing ,distribution and in promotional activities every thing is well organized and planned.

Success and failure of products of Mobilink in Market with reasons:

In Mobilink every product is successful as per the demand and need of the customers, as Mobilink is a market leader and launch their every product with planning and deep research, feed back of their existing and new customers. These successful products are for prepaid customers, post paid customer, for corporate customers and for corporate level business solutions. Following are the some successful products from the list of successful products; Successful Products of Prepaid Customers; 1. Jazz Octane 2. Jazz Ladies First 3. Jazz GPRS 4. SMS Fever 5. Jazz One 6. Jazz GPRS Successful Products of Postpaid Customers;

1. Indigo GPRS 2. Indigo Freedom Unlimited

3. Indigo Freedom Plans 4. Indigo Talk Fiesta Successful Products for Corporate Customers & Business Solutions : 1. Black berry 2. Connect card 3. Mobilink Genie 4. SMS bundle Offers

Reasons:
Mobilink is a marketing leader and its every product is very successful in the market and as per the customer demand and requirement, as before launching any new

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product or any value added services for their existing and new customers Mobilink always did a solid research for the need and requirement of the customers through different channels, surveys and questionnaires from customers. Mobilink also keep an eye on the market environment and on the competitors activities. Mobilink focus on the strong marketing strategies and before introducing any product worked on the marketing mix very carefully.

Major Competitors of the Organization:

In Pakistan, currently five cellular mobile operators i.e. Telenor Pakistan, PTCL (Ufone), Warid Telecom and China Mobile Pakistan (CMP/Paktel) are providing services using GSM technology whereas the sixth operator i.e. Instaphone is providing services using D-AMPS technology. Above mentioned names of operators are the major competitors of Mobilink.

Zong (CMP/Paktel) China Mobile is the largest telecom operator in China. It has recently completed the purchase of Paktel.

Source: www.zong.com.pk

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 every one desired but few thought would be possible.

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The core essence of ZONG is to allow people to communicate at will. Without worrying about tariffs, network coverage, capacity issues or congestion. ZONG will be supported by ground breaking communications, trend setting customer service and an unmatched product offering which will redefine rules of the game and establish ZONG as a serious contender for the number one spot. 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 also make ZONG a success story for others to try and replicate.

Warid

Source: www.waridtel.com

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Warid Telecom is a joint venture between Abu Dhabi Group & SingTel Group. Abu Dhabi Group entered into a strategic alliance with Singapore Telecom. Subsequent to this transaction in July 2007, telecom giant SingTel acquired 30% percent equity stake in Warid Telecom, Pakistan, for US$758 million. This partnership is part of a strategy to support Warid Telecoms continued growth and to enhance its market position. Abu Dhabi Group, one of the largest business groups in the Middle East and the single largest foreign investor in Pakistan. It has diversified business interests, offering strong financial resources and extensive management expertise that result in commercial success for several institutions. SingTels investment in mobile operations include, Advanced Info Service (AIS) Thailand, (21.4%), Bharti Telecom Group India (30.5%), Optus Telecom Australia (100%), Globe Telecom Philippines (44.5%), Pacific Bangladesh Telecom (PBTL) Bangladesh (45%), Telkomsel Indonesia (35%) and Warid Telecom Pakistan (30%).

Ufone;

Source: Ufone website (www.ufone.com) Ufone GSM is a Pakistani GSM cellular service provider. It is a subsidiary owned by Pakistan Telecommunication Ltd (PTCL). It is a brand of Pakistan Telecommunication Mobile Ltd. (PTML), It was established to operate cellular telephony. The company commenced its operations from Islamabad on January 29, 2001. 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

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cities and highways. Ufone has network coverage in more than 750 cities, towns and across all major highways of the country. 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 networkDuring 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 3756 locations and across all major highways of the country. During the year Ufone successfully completed the network expansion of Phase IV in existing as well as in new cities and towns which amounted to more than US Dollar 170 million. As a result the asset base of the Company has increased from Rs. 20 billion to Rs. 27 billion. During the year Ufone adopted the policy of simplified tariffs with no hidden charges, which resulted in positive impacts on the usage trends of subscribers as well as total subscriber base, which has increased from 2,579 k in June 2005 to 7,487 k in June 2006. Ufone currently caters for International Roaming to more than 225 live operators in more than 130 countries and introduced International roaming facility for Prepaid subscribers in Saudi Arabia, United Kingdom, United Arab Emirates, Singapore, Portugal, Thailand, Cyprus, Bangladesh, Uzbekistan, Tunisia, Sri Lanka, Belgium and Kuwait with lowest rates, featuring no security deposit and activation charges. GPRS Roaming facility is available with more than 115 Live Operators in more than 85 countries. The company has also been awarded a new License for providing cellular services in Azad Jammu & Kashmir and Northern Areas. Telenor

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Source: www.telenor.com.pk

Telenor Pakistan is 100% owned by Telenor ASA and adds on to its operations in Asia together with Thailand, Malaysia and Bangladesh. Telenor Pakistan launched its operations in March 2005 as the single largest direct European investment in Pakistan, setting precedence for further foreign investments in the telecom sector. The company has covered several milestones over the past twenty eight months and grown in a number of directions, we have grown to become a leading telecom operator in the country. In fiscal year 2006, we achieved nearly 200% growth in our subscriber base the highest in the industry by a wide margin. We are the fastest growing mobile network in the country, with coverage reaching deep into many of the remotest areas of Pakistan. In the most difficult terrains of the country, from the hilly northern areas to the sprawling deserts in the south, at times we are the only operator connecting the previously unconnected. We are keeping ahead by investing heavily in infrastructure expansion. With USD1 billion already invested, we have extended agreements with our vendors for network expansion and services until 2009. The agreements, with a potential to result in USD750 million worth of orders from Telenor Pakistan, are some of the biggest of their kind in the industry. We are spread across Pakistan, creating 2,500 direct and 25,000-plus indirect employment opportunities. We have a network of 23 company-owned sales and service centers, more than 200 franchisees and some 100,000 retail outlets.

Market Share:
Mobilink is currently the market leader with 41% market share by subscriber and 50% market share by revenue, whereas Ufone, Warid and Telenor are significantly behind. CM Pak (Paktel) at the moment has 2% share in both by revenue and Rao Abdul Ghaffar 518375

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subcribers , but it is expected to increase when they launch their new products. Below is a chart taken from PTAs Annual Reports for the year 2007 that shows the division of market share amongst the current players in the industry.

Market Share by Subscribers;

Market Share of Pakistan's Mobile Operators by Subscribers ,source;PTA

CMPak, 2% Ufone, 22%

Instaphon e, 1%

Mobilink, 41%

Warid, 17% Telenor, 17%

Source: PTA Annual Reports 2007.

Market Share by Revenue:

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Market Share of Pak istan's Mobile Operators by Revenue,Source ;PTA

CMPak, 2.2% Ufone, 16.4% Warid, 15.3% Telenor, 17.1%

Ins taphon e,0.4%

Mobilink, 48.6%

Source: PTA Annual Reports 2007.

Future prospects of the Organization:

As Mobilink is a market leader and always pioneer in providing the latest technology to telecommunication industry of Pakistan. In future Mobilink is planning to launch a new service for Mobilinks new and existing customers called V-CON. This would be a video conferencing service that Mobilink could launch after it gains the 3G license.

Mobilink will introduce a video conferencing service aimed at its postpaid customers (Indigo), prepaid customers (Jazz) and for new customers. The video conferencing would work on 3G technology compatible cell phones like the Nokia N-series. These cell phones have two cameras, one on either side of the phone, that enable it to be in a video conference with more than one person at a time. Research has suggested that videoconferencing is very successful when there is a clear communication need that cannot easily be met using other media. While users feel that video conference meetings do not have the flow and momentum of face-to-face meetings they are seen to be particularly good for:
dealing with routine matters

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dealing with non-controversial issues quick informal meetings at short notice saving travel costs saving time

Short-falls/weakness of the Mobilinks marketing department: SWOT Analysis Strengths:

Competitive in value added features Infrastructure sharing reducing operational & fixed costs & largest number of cell sites

Aggressive promotional activities Extensive staff training programs Standardized pay structure Management is always open to improvement from every level of hierarchy Strong brand value Comparatively better value added services than competitors Largest Network Coverage

Weaknesses:
Lack of good coordination with other department Instability of network

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Problems with Billing systems Inefficient Complaint Management System Customer verification and recording antecedents High Traffic Declining quality Poor call service department

Opportunities:
Expansion in new geographical areas Providing per second billing Providing more value added services Expanding into new markets (DSL) Coverage Expansion is the fastest way to capture the remaining addressable market 1st mover advantage. Developing Network in uncovered areas at a fast pace Ensure seamless mobility Infrastructure sharing reducing operational & fixed costs Use technology to go beyond GSMs usual limits 35Km which can be doubled

Threats:
Pressure on Quality of Service (QoS) Increased competition Price sensitivity Declining quality With MNP in place the basic product becoming homogeneous could force mass exodus of the consumer to better offerings MNP conversion cost could have negative implication on ROI Technology improvements a continuous process and threat

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Declining market share Decline in profits due to price wars New entrants (China Mobile) Mobile industry overall is at a saturation point

Conclusion: Recommendation:
Currently, Mobilink is following the concentrated growth strategy, where it is concentrating on cost optimization, right sizing and increasing market share. However this strategy will have to change in the fast changing telecom industry of Pakistan. The industry is growing saturated with new entrants like CM PAK. It is assumed that CM PAK will introduce very low tariffs for their services. Mobilink will not be able to compete with them on the basis of price. However, Mobilink can differentiate itself on the basis of innovation, quality and technology. Mobilink should follow the constrained diversification approach, which means to diversify in to products or services related to the main product line. Mobilink will have to successfully bid for 3G technology which will be coming in to Pakistan by the end of the current year. PTA will hold auctions in which they will hand out licenses to three telecom operators in Pakistan for 3G technology. Once Mobilink gets the license to introduce 3G technology, they will have a whole arsenal of new services that they can introduce for their customers. This will successfully counter the threat of a new entrant like CM PAK whose quality will be far below Mobilinks standards once it gains 3G technology rights. A common mistake for Mobilink would be to compete on the basis of price with CM PAK, which would be a wrong strategy since price wars always tend to lower the profitability of a firm. They should instead seek to differentiate their services from the rest of the pack.

References & sources used:

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