Eco-Fone Business Expansion Analysis

The assignment report provides a detailed analysis of Eco-Fone's business expansion opportunities in the global market. It identifies key factors such as market trends, customer satisfaction, and statistical data that support the company's decision to expand its business. The report also explores potential areas for expansion, including Kingston, and highlights the benefits of raising output and efficiency, improving brand exposure, and minimizing errors using Poisson distribution. Overall, the analysis concludes that Eco-Fone's business expansion is effective and profitable.

Eco phone report

Table of Contents
Introduction .....................................................................................................................................2
Task 1 ..............................................................................................................................................2
Overview on mobile phone market in UK .................................................................................2
TASK 2............................................................................................................................................2
Preparing an appropriate line chart.............................................................................................2
TASK 3............................................................................................................................................3
Identify and summaries some features which make smartphones so popular with older
customers.....................................................................................................................................3
TASK 4............................................................................................................................................4
TASK 5............................................................................................................................................5
TASK 6............................................................................................................................................5
Presenting the findings................................................................................................................5
TASK 7............................................................................................................................................6
TASK 8............................................................................................................................................7
TASK 9- REFERENCES ................................................................................................................8
TASK 10..........................................................................................................................................9
1

Introduction
Eco phone sell smartphone in UK and it main purpose is provided facility and make
easier to all work of people. So smartphone is a device that helps in chat, communicate and video
conference in global level and it saves cost and time of people. Older age of people maximum
uses and attract from smart phones compare than younger (Hadland, Borges-Rey and Cameron,
2017). Because smartphones present in market with different and unique features like video
conference, chat, bill payment and taxi booking so its make easy to all work. This report will
cover that market of mobile phones in UK, older customer attract from different features and
market spread day by day.
Task 1
Overview on mobile phone market in UK .
Mobile phones is play vital role in people's lives and its helps in communication at global
level. In UK smartphones is very popular and 85 % adult and this data reach in 2020 at 90 %. So
its use is continued increasing. Youth of UK maximum use smart phones for play games, image,
videos and chat. It is very useful for news and messages of all over world. Research and survey
in UK shows that 34 % adults check their phone within 5 minutes of wake up. 17% of 16-24
years old look smartphones 100 times daily. Uk market of mobile phones is very largely spread
and 1900 mobile operator stores present in UK. E-commerce sales of mobile phone are growing
and day by day retailers of mobile phones is increase. Because maximum phone purchase
through online. In UK maximum revenue come from mobile phone market because people
purchase expensive smart phones (Vanden Abeele, 2016).
TASK 2
Preparing an appropriate line chart
Year Tablet Laptop Smartphone
2012 16% 73% 52%
2013 36% 76% 62%
2014 50% 75% 70%
2015 60% 79% 76%
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2016 63% 76% 81%
2017 68% 78% 85%
The above depicted line graph clearly shows that in the upcoming time period use of tablet,
laptop and smartphone will be increased significantly. However, in comparison to other gazets
use of smartphone will rise significantly in the upcoming time period. Thus, focus needs tobe
placed by Eco-Fone on indulging unique features in smartphone. This in turn helps in increasing
the level of both revenue as well as profit margin.
TASK 3
Identify and summaries some features which make smartphones so popular with older customers.
Smart phone is a common among older and adult in UK. This market boom in UK day by
day because it improve features day by day so its helps in attract to people of all agge group. In
UK 71% old people that age of 55 -75 keep own capable handset. Old people very fast attract
from mobile phones and its data for use mobile phone is more than younger people it means that
older people number is large compare than young people and they also check their phones within
15 minutes. Facebook is also majorly use by older people. Smart phone is improve their features
day by day and it helps in attract to older people. Bills payment feature is very useful for peoples
and for taxi booking is also very important because through mobile it make easy and it provide
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help for people. New smartphones has also very good and big screen with clearity so older
people see clear on big screen and loud speakers also very good of smart phone so above 75
years old people less listen and less see capacity. Android smart phones is very easy to operate so
they easily use this type of smart phones. So all these features helps in increase sale of smart
phones in UK (Campbell and Ling, 2017).
TASK 4
SHOULD ECO-FONE EXPAND THE BUSINESS TO KINGSTON
PROS SCORE/10 CONS SCORE/10
Increased the Output
efficiency and Scale
8 Increase logistic
Complexities
5
Improves Brand
Exposure with
Multiple Locations
4 Greater Needs of
Capitals
2
Greater Impact
towards local
community
7 Weekend Business
Culture and
Relationship
5
Broaden the horizons
of the business
9 Timing Issues 4
Sales and Customers
base will be increased
5 Language Barriers 8
Increased the brand
awareness
6 Currency Fluctuations 4
Reaching new
customers
9 Diverse Culture 5
TOTAL PROS 48 TOTAL CONS 33
AVERAGE PROS 48/7= 6.85 AVERAGE CONS 33/7= 4.71
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INTERPRETATION: From the above tabular presentation of force group analysis, it
identified that Eco-fone company should go for the business expansion. It is because the average
number of total pros for business expansion is more than the total number of cons, 6.85 and 4.71
respectively. By expanding the business in the Kingston, Eco-fone company will get enjoys
several benefits such as it raise the output and efficiency and scale of the business as they can
raise the scale, it also improved the exposure of brand with multiple location (Villar, Dasí and
Botella-Andreu, 2018). Further, the zone of business is also broaden by the expansion in
Kingston. Eco-fone will also raise the the customer base along with sales of the business by this
expansion. Thus, it is clearly understood that Eco-fone company can move towards the
expansion. On the other hand, for successful expansion of the business of Eco-fone, management
should look towards the cons and take effective measure to resolve and mitigate the risks of
failure of the business (Li, Cui and Lu, 2017). Thus, with the force field analysis, the risk of
failure of the company will be overcome and company can expand the business in Kingston.
TASK 5
Particulars Figures
Asked price £400000
Negotiable price £350000
Time 15 years
Repayment mortgage £350000
Rate of mortgage 7%
Particulars Figures
Debt payment [((1+0.07) ^ 15) -1] / [0.07 * (1+0.07) ^15]
Total amount of loan / Discounting factor
1.76 / 0.19
=9 .11
Total amount of loan
350000 / 9.11
= £38419.32
Repayment amount on monthly basis
38419.32 / 12
= £3201.61
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TASK 6
Presenting the findings
H0: Null hypothesis: There is no statistical significant difference takes place in the figure of two
shops with regards to net taking.
H1: Alternative hypothesis: There is a statistical significant difference takes place in the figure
of two shops with regards to net taking.
Given:
Sample 40
Average 100
Standard deviation 20
Second shop
Mean 90
Standard deviation 40
Calculation of Z score
Table 1
Average (first shop) 100
Average (second shop) 90
SD (first shop) 20
Z score assessment
(100 – 90) / 20
= 0.5
Table 2
Mean value (first shop) 100
Mean value (second shop) 90
SD (second shop) 40
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Z score assessment
(100 – 90) / 40
=0.25
Outcome of Z score assessment clearly exhibit that null hypothesis is true and other one
rejected. On the basis of statistics, alternative hypothesis is rejected when p>0.05. Thus, it can be
stated that statistically no significant difference take place in the mean value of net taking figure.
TASK 7
Ques 1 Ques 2 Ques
3a
Ques
3b
Ques
3c
Ques
3d Ques 4 Ques 5 Ques
6
Mean 2.95 2.89 1.98 2.50 3.25 2.51 2.51 2.52 3.71
Standard
Error 0.15 0.09 0.08 0.09 0.12 0.10 0.12 0.09 0.11
Median 3 3 2 2 4 3 2 2 4
Mode 4 3 2 2 4 3 2 2 4
Standard
Deviation 1.48 0.95 0.84 0.87 1.25 1.07 1.19 0.92 1.15
Sample
Variance 2.18 0.90 0.71 0.76 1.56 1.13 1.41 0.84 1.33
Kurtosis -1.46 -0.72 0.24 -0.65 -0.82 -1.21 -0.17 -0.13 0.24
Skewness -0.03 -0.27 0.75 0.26 -0.89 -0.16 0.84 0.47 -1.10
Range 4 4 3 3 4 3 4 4 4
Minimum 1 1 1 1 1 1 1 1 1
Maximu
m 5 5 4 4 5 4 5 5 5
INTERPRETATION: From above calculation it can be interpreted about Eco-Phone
expansion decisions and the result of descriptive statistics distinctly shows that average mean is
(2.95), which means that the number of customer’s buy products from Eco-fone company in
between 6 months and 1 year. While on the other hand, 50% of participants support this prospect
as per the value of median which is (3). Moreover, mode (4) represents that that large number of
customers bought product from the Eco-fone approximately more than 1 year.
Moreover, referring to question number second, mean value present for 3 which in turn
shows that in between 1 and 3 years average customers used the product of Eco Fone. In addition
to this, statistical data straightly display that customers rated services of Eco Fone as antitrust
and fair. Apart from this, customers rated aspects pertaining to quality, sales staff and price or
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value as good. Therefore, for accomplishing success in the highly competitive business era, it is
important to focus on the demand, expectations and needs must be placed on top by the
company on offering quality services to the customers (Bennett, 2017). Further its also aids in
raising the level of customer satisfaction and thereby raise both profitability as well as
productivity. Along with this, survey response shows that customers unlikely prefer to
recommend the products of Eco Fone. Therefore, Eco fone should lay emphasis on modern
aspects as well as quality of product or service. Through this company would become able to get
desired level of outcome or success in the market of Kingston.
TASK 8
 Poisson random variable: 2
 Mean rate of success: 15
 Poisson probability P(X=2): 0.00
 Cumulative probability P(X<2): 0.00
 Cumulative probability P(X>2): 1
 Cumulative probability P(X>=2): 1
As per the case scenario, Eco-fone company used to sent out about 10000 invoices in a
month as well as has an average of two returned with an error per month. It is very important for
Eco-fone company to reduce the errors which are affecting the quality of the products company
is offering. Thus, with the poison distribution, it has becomes easy and effective to reduce the
errors so that quality can be improve and average numbers of return will also be minimized
(Collins and et.al., 2015).
Poisson Distribution is the desecrate frequency that gives the probability of a number of
independents events occurring in a fixed time. With the help of Poisson distribution,
management will predict the chances of certain events from happening when you know how
often the events has occurred. So, by using this tool company can identify the probability of
errors that is happening very offensively. The process of poison is for the series of discrete event
where the average time bet ween events in known but exact time of events is random (Sellers,
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Morris and Balakrishnan, 2016). Thus, with the application of poison distribution, Eco-fone
company will analyse the chances of different errors regarding how many returns are coming.
TASK 9- REFERENCES
Villar, C., Dasí, À. and Botella-Andreu, A., 2018. Subsidiary-specific advantages for inter-
regional expansion: The role of intermediate units. International Business Review, 27(2),
pp.328-338.
Li, M.H., Cui, L. and Lu, J., 2017. Marketized state ownership and foreign expansion of
emerging market multinationals: Leveraging institutional competitive advantages. Asia
Pacific Journal of Management, 34(1), pp.19-46.
Bennett, M.E., 2017. A Conceptual Framework for International Defence Industrial Alliances:
Motivations, Advantages and Business Entry Mode Preferences (Doctoral dissertation,
University of Liverpool).
Poi
Collins, D.J., Neild, A., Liu, A.Q. and Ai, Y., 2015. The Poisson distribution and beyond:
methods for microfluidic droplet production and single cell encapsulation. Lab on a Chip,
15(17), pp.3439-3459.
Sellers, K.F., Morris, D.S. and Balakrishnan, N., 2016. Bivariate Conway–Maxwell–Poisson
distribution: formulation, properties, and inference. Journal of Multivariate Analysis, 150,
pp.152-168.
Hadland, A., Borges-Rey, E. and Cameron, J. 2017. Mobile phones and the news: How UK
mainstream news broadcasting is stalling the video revolution. Convergence.
p.1354856517703964.
Vanden Abeele, M.M. 2016. Mobile youth culture: A conceptual development. Mobile Media &
Communication. 4(1). pp.85-101.
Campbell, S.W. and Ling, R. 2017. Mobile communication: Bringing us together and tearing us
apart. In Mobile Communication (pp. 11-26). Routledge.
TASK 10
CONCLUSION
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From the above report, it was identified that Eco-fone company have many opportunities
by which they could expand the business in the global market. The smart phone is mere decade
old and with every year has becomes ever more integral to people lives. Fruther, report also
concluded the identified that Eco-fone company should go for the business expansion. It is
because the average number of total pros for business expansion as from the force filed analysis
the number of pros is more than the cons. Moreover report also included the area of expanding
the business in the Kingston, Eco-fone company will get enjoys several benefits such as it raise
the output and efficiency and scale of the business as they can raise the scale, it also improved
the exposure of brand with multiple location. On the other hand, statistical data straightly display
that customers rated services of Eco-Fone as antitrust and fair. The report also included the
importance of poison distribution as it is one of the best tool for the minimising the errors which
are occurring very offensively so that average number of returns are controlled. On the other
hand, report also included the customers rated aspects pertaining to quality, sales staff and price
or value as good. Further, the discussion comes to end that the decision of expansion decision of
the company is effective and profitable for the company.
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