Report for Eco-Fone 2019

This report evaluates the product, customer and financial information of Eco-Fone for evaluating the overall performance. It analyzes the Smartphone market and the expansion of business in Kingston. It also determines the cost of a new building and compares the net takings from both retail shops. The satisfaction of customers is evaluated based on the findings.

Running head: REPORT FOR ECO-FONE 2019
Report for Eco-Fone 2019
Name of the Student
Name of the University
Author Note
Table of Contents

REPORT FOR ECO-FONE 2019
Introduction:...............................................................................................................................3
Discussion:.................................................................................................................................3
Overview of the UK mobile phone market:...............................................................................3
Production of an appropriate line chart based on report of Deloitte Report:.............................5
Analyzing the Smartphone market based on news article of BBC by summarizing the features
of Smartphone that made it popular among older age group:....................................................6
Evaluating the expansion of business in Kingston using pros and cons table:..........................7
Determining the cost of new building to be acquired by Eco-Fone:..........................................9
Comparing the net takings from both the retail shops of Eco-Fone:.......................................10
Evaluating the satisfaction of customers by summarizing the findings generated from the
report:.......................................................................................................................................11
Evaluating the quality procedures of Eco-Fone:......................................................................12
Findings and Conclusion:.........................................................................................................12
References and Bibliography list:............................................................................................13

REPORT FOR ECO-FONE 2019
Introduction:
The report demonstrates the product, customer and financial information of Eco-Fone
for evaluating the overall performance. The Smartphone market is analyzed for gaining a
better understanding in respect of the usage with the main focus on the age group of adults.
There are two shops owned by Eco-Fone that sells accessories and smart phones. Several
trends amongst consumers have been noticed by company that has resulted in increasing net
profits generated by company (Homburg et al. 2017). The expansion of business in Kingston
is analyzed by using a table of pros and cons which would help in determining the viability of
expansion. Therefore, the overall report prepared addresses the feasibility of expansion of
business and measuring the overall satisfaction of customers that would help in determining
the growth prospects of Eco-Fone.
Discussion:
Overview of the UK mobile phone market:
UK is experiencing a boom in the sales of smartphones with 71% of older people
owning a handset that is app capable. It has been observed that over the past five years, the
adoption rate in this age group is faster. The rising possession of smart phones amongst older
people is one of the factors preventing its decline. It has been found that the possession of the
smart phones is highest in this age group. Over the forecast period, it is expected that the
market will reach saturation and to offset declining volume, the likelihood of manufactures to
raise the price is quote fair. Of the total employed workforce in the county, half of the
respondents use the smartphones for work related and business activities (deloitte.co.uk
2019). The workforce uses the smartphone mostly for sending e mails followed by making
standard calls and thereafter, it is used for viewing documents and workload management.

REPORT FOR ECO-FONE 2019
For the work purposes, there is paucity of usage of smartphones and it cannot be attributed to
the lack of needs. Using smartphone can be ideal option for workforce which would overkill
the usage of tablets and personal computers. In the recent years, there is decline in sales
volume of smartphones and this decline in volume of sales cannot be offset by the rising price
(Marriott and Williams 2018). Hence, it is required by the companies to strategies price in a
manner that helps them in increasing the sales to customers.
Email Making standard calls Viewing documents Managing my
time/workload
0%
5%
10%
15%
20%
25%
30%
35%
40%
45% 41%
33%
17%
8%
37%
32%
0%
6%
2016
2017
Mixed chart presenting top four work related activities:
Source: created by author
From the above chart, it is observed that workforce uses smartphones mostly for
sending and receiving email with 41% and 37% in year 2016 and 2017 respectively
indicating a decline in the usage. It was followed by making standard calls with 33%
recorded in year 2016 and 32% in year 2017. Usage of smartphones for viewing documents
in year 2016 was recorded at 17%. However, workforce did not use smartphones for viewing
documents in year 2017. For managing the workload, there was decline in the usage from 8%
in year 2016 as against 6% in year 2017 (deloitte.co.uk 2019).

REPORT FOR ECO-FONE 2019
Production of an appropriate line chart based on report of Deloitte Report:
Following are the charts presenting below the usage of smartphones, laptop and
tablets along with the forecasted values.
2012 2013 2014 2015 2016 2017 2018 2019
68%
70%
72%
74%
76%
78%
80%
82%
84%
Forecasting Laptop usage
Laptop usage Forecast(Laptop usage)
Lower Confidence Bound(Laptop usage) Upper Confidence Bound(Laptop usage)
Forecast the laptop usage:
Source: created by author
2012 2013 2014 2015 2016 2017 2018 2019
0%
20%
40%
60%
80%
100%
120%
Forecasting Smartphone Usage
Smartphone usage Forecast(Smartphone usage)
Lower Confidence Bound(Smartphone usage) Upper Confidence Bound(Smartphone usage)
Forecast the smartphone usage:

REPORT FOR ECO-FONE 2019
Source: created by author
2012 2013 2014 2015 2016 2017 2018 2019
0%
20%
40%
60%
80%
100%
120%
Forecasting tablet usage
Tablet usage Forecast(Tablet usage)
Lower Confidence Bound(Tablet usage) Upper Confidence Bound(Tablet usage)
Forecast the tablet usage:
Source: created by author
The determination of future values using linear forecasting model requires some
important metrics and measurement of variables. There are basic statistics involved in using
linear model by making use of time series data that helps in future value projection. Hence,
under this mode, the predicted value of one variable is forecasted based on another variable
value. In the given case, it is required to forecast the usage of different products of Eco-Fone
without considering any other metrics which implies that there is no other variable involved.
In such situation, it would be appropriate to apply the Excel forecasting model.
Analyzing the Smartphone market based on news article of BBC by summarizing the
features of Smartphone that made it popular among older age group:
Recent years have marked growing ownership level of smartphones among the older
age group and this trend is supported by the statistical data. There has been a six percentage

REPORT FOR ECO-FONE 2019
increase in the smartphone penetration among age group of 55-75 from 29% in year 2012 to
71% in year 2018 (bbc.co.uk 2019). This increase in the sales of smartphones among older
people is attributable to several features of smart phones that are making its usage attractive
to this particular age group. Any type of payment via the mobile phone is supported due to
growing number of parking meters using apps offering greatest convenience. Some of the
changes to smartphones that have benefitted older people involve bigger screens and loud
speaker that make them easier to view. Another added feature is facial recognition which is
the authentic mechanism is very popular among elderly people. Instead of fiddling about the
buttons to press, old people like the idea of picking up the phone and looking at it to access it
(bbc.co.uk 2019). These are some of the added features of smartphones which has made
smartphones popular among older people.
Evaluating the expansion of business in Kingston using pros and cons table:
Pros Score/10 Cons Score/10
Promoting the culture of
business expansion and start
up and reducing the risk
posed by overly dominant
sector.
8 There is lack of
availability of
traditional loan bank
which makes
funding a
challenging area for
business expansion
(Cityofkingston.ca
2019).
8
Growing industrial base for
international outlook
7 Lack of business
diversity and higher
7

REPORT FOR ECO-FONE 2019
intended to reduce reliance
on single sector.
level of productivity
due to lack of labor
talent and market.
The mobile industry in
Kingston has heavy
investment in its
development and research
activities.
9 Lack of retention of
young and skilled
workforce for
supporting
development and
growth.
8
Availability of skilled labor
in the telecommunication
sector of Kingston.
9 Business
accommodation
shortage due to
reduction in the
amount of business
space.
8
Shaping an ambitious
development program that
would help the business in
networking with each other
(Moderngov.kingston.gov.uk
2019).
7 Business and
economy as a whole
has a low tolerance
for risk.
7
The digital Catapult centre is
better engaged for
supporting the development
and growth of new product
8 Hindrance in the
development of
mobile companies
due to platform
7

REPORT FOR ECO-FONE 2019
innovation. fragmentation
(Cityofkingston.ca
2019).
Due to increase in recent
internal investment in
Kingston, the expansion of
mobile business can be at the
center stage.
8 Mobile companies
operating in
Kingston faces
security challenges
due to lack of
security concern.
6
Total pros 56 Total cons 51
Average pros 5.6 Average cons 5.1
From the above table, it is inferred that the scoring of pros of expanding business in
Kingston is more than cons. The average value of total pros comes to 5.6 compared to
average values of total cons at value of 5.1. This is implication of the fact that it would be
feasible to expand business in Kingston.
Determining the cost of new building to be acquired by Eco-Fone:
a) In this section, it is required to compute the monthly cost of repayment mortgage at
the applicable rate of interest using the formula of Excel.
Negotiable price of new building= £ 350000
Mortgage rate= 7% per annum
Time period of mortgage= 15 years

REPORT FOR ECO-FONE 2019
The total number of times of making payment is obtained by multiplying total number
of payment made in a year with the time period.
Mortgage Amount £3,50,000.00
Mortgage Rate 7%
Period (in years) 15
Nos. of Payments p.a. 12
Total Nos. of
Payments
180
Monthly Repayment £3,145.90
Table showing the computation of monthly repayment
(Source: created by author)
The total amount of monthly payment that is to be made by Eco-Fone for acquiring
new building on mortgage is £3,145.90.
b) This section presents the appropriate graphic of logos of well known financial lenders
operating in United Kingdom. These comprise of Royal bank of Scotland, Cynergy bank,
Barclays, HSBC, Natwest, Cynergy bank, shawbrook bank and Lloyd bank.

REPORT FOR ECO-FONE 2019
Comparing the net takings from both the retail shops of Eco-Fone:
In this task, it is required to compare the net takings from both the retail shops
offering accessories and discounted mobile phones. For this purpose, the analysis of mean
value and standard deviation is done that would help in determining the shops with higher net
value.
Sample of net takings from both the shop is equal to 40. For the first shop, the mean
value of net daily takings is equal to £ 100 and standard deviation of £ 20. On other hand, the
mean value of net daily takings from shop 2 is equal to £ 90 and standard deviation of £ 40.
Therefore, the total value of net takings from both the shop comes to 4000 (40*£ 100) and
3600 (£ 90*40). From the figures, it can be inferred that the total net takings from shop one is
higher than the net takings from shop two. In addition to this, the standard deviation of shop

REPORT FOR ECO-FONE 2019
two is more than shop one indicating that the variability in the takings from shop two is more
than shop one.
Evaluating the satisfaction of customers by summarizing the findings generated from
the report:
This section demonstrates the summary of the findings generated from report. With
reference to question 1, it has been observed that the last time customers purchased the
product and a service of Eco-Fone was between three and six months. The second question
concerns about the time period for which the products and services are used. It is indicated by
the data that the customers use the products and services for a time period of one to three
years. Question 3 seeks to rate the company on different attributes such as customer service,
quality, sales staffs and value. In regard to customer service, average number of customer has
rated the customer service as fair. The quality of products and services, price of goods and
sales staff is rated as good (Kim et al. 2016). Hence, the customers perceives good about all
the listed attributes of company. Now, the next question is about the overall satisfaction of
customers with the company which the customers have rated as neutral. The likelihood that
the customers would continue doing business with Eco-Fone has been rated as neutral.
Moreover, it is quiet unlikely that the customer would recommend the services and products
to others.
From the analysis of the data gathered through questionnaires, it can be concluded
that the overall satisfaction of customers with the products and services of Eco-Fone is not
satisfactory. Hence, it is required by company to make some efforts to improve their services
and products. Eco-Fone should improve their customer services and come up with additional
features that would increase the sales and thereby profits (Aghazadeh 2015).

REPORT FOR ECO-FONE 2019
Evaluating the quality procedures of Eco-Fone:
The Poisson distribution can be used for distributing the defect counts where the
sample size should be large enough. It helps in modeling the rates of defect per unit and
describes the occurrence of rare events from large set (Zenginis et al. 2016). Using of such
distribution is considered appropriate when chances of concurrence of error are event under
the sample being studied is large. It helps in identifying the errors or defects from the
constant sample size. From the given scenario, it is found that the total sample size comprise
of 10000 invoices which is large enough to use the Poisson distribution with the average
errors of two per month. In addition to this, it is required by the quality procedure that the
probability of returning of three invoices is less than fifteen percent indicates that the chances
of error is low. In such situation, it is appropriate to use Poisson distribution. Also, it is
inferred that Eco-Fone is meeting its quality standard.
Findings and Conclusion:
The given case study depicts that the company is generating steady profits and looks
for expansion in Kingston. However, after analyzing the data gather from customers, it has
been ascertained that the overall satisfaction of customer with the products and services of
company is low. Therefore, it is necessary for the company to make improvement in its
services and products so that a larger section of population is attracted towards buying the
products. However, the scope for expanding the business in Kingston is positive. Therefore,
the recommendation is to improve the customer services and launch phones with added
features to enhance the sales and increase the market share.

REPORT FOR ECO-FONE 2019
References and Bibliography list:
Aghazadeh, H., 2015. Strategic marketing management: Achieving superior business
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https://www.bbc.co.uk/news/technology-41319684 [Accessed 20 Mar. 2019].
Cityofkingston.ca. (2019). [online] Available at:
https://www.cityofkingston.ca/documents/10180/15060/Business+Case+for+Expansion/
69a80ba1-9fd8-46cc-9c4f-1c3225a15156 [Accessed 21 Mar. 2019].
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implementing an evolving marketing concept. Journal of the Academy of Marketing
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International, E. and International, E. (2019). Mobile Phones in Canada | Market Research
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Kim, J.S., 2018. Measuring willingness-to-pay for mobile phone features: a multi-region
study. Journal of Research in Marketing and Entrepreneurship, 20(2), pp.189-213.

REPORT FOR ECO-FONE 2019
Kim, M.K., Wong, S.F., Chang, Y. and Park, J.H., 2016. Determinants of customer loyalty in
the Korean smartphone market: Moderating effects of usage characteristics. Telematics and
Informatics, 33(4), pp.936-949.
Marriott, H.R. and Williams, M.D., 2018, May. Enhancing the Customer Experience:
Understanding UK Consumers’ M-Shopping Adoption Intention. In Academy of Marketing
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2019].
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management: current market characteristics. International Journal of Obesity, 41(1), p.200.
Tran, T.X., Hajisami, A., Pandey, P. and Pompili, D., 2016. Collaborative mobile edge
computing in 5G networks: New paradigms, scenarios, and challenges. arXiv preprint
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Yang, Z., Asbury, K. and Griffiths, M.D., 2018. Do Chinese and British university students
use smartphones differently? A cross-cultural mixed methods study. International Journal of
Mental Health and Addiction, pp.1-14.
Zenginis, I., Vardakas, J.S., Zorba, N. and Verikoukis, C.V., 2016. Analysis and quality of
service evaluation of a fast charging station for electric vehicles. Energy, 112, pp.669-678.

REPORT FOR ECO-FONE 2019
Appendix: