Feasibility Study: Digicel T&T's Potential iPhone X Launch Strategy

This research proposal investigates the viability of Digicel Trinidad & Tobago launching the iPhone X in the local market. It outlines a research plan employing quantitative methods to assess market feasibility, considering factors like customer demographics, competitor pricing, and overall demand. The study aims to determine if launching the iPhone X would be profitable and increase Digicel's market share. The proposal includes research questions and hypotheses related to age, income, competitor pricing, and consumer preferences, and details the statistical tests that will be used to analyze collected data. The research methodology incorporates descriptive and experimental designs, utilizing primary and secondary data collection methods, to provide Digicel's management with data-driven insights for strategic decision-making.

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RESEARCH PROPOSAL
“Should Digicel Trinidad & Tobago launch the new iPhone X?”

Should Digicel Trinidad and Tobago launch the new iPhone X?
CHAPTER ONE:
1. INTRODUCTION
Digicel a local mobile phone network provider wishes to launch the new iPhone
X to the Trinidad & Tobago market. Before any company launches a product it first
carries out market research in order to find out if the new product will work, make a
profit for the company and increase the companies' market share. This research
proposal is based on the deductive approach and the final research will attempt to test
the hypotheses. In order to decide how feasible it would be for Digicel to launch this
new product, this report will explore the approaches used for data collection and
interpretation of data using quantitative methods which can provide vital information to
help Digicel upper level management in their strategy decision making process.
1.1 BACKGROUND OF THE STUDY
Digicel has been serving businesses and consumers over the Caribbean and
Central America since 2001. A mere six (6) years in the Trinidad market, the company
has already established forty-three (43) outlets throughout the country. In today’s
extremely competitive environment, mobile phone technology is constantly evolving
especially the iPhone. In September 2017, Apple introduced the long awaited iPhone X
for the company’s 10th anniversary. This is the company’s most expensive product to
date which features an all-new design, facial recognition technology and other new
features.
In this new decade, mobile phones have become an essential part of a person’s
image and social identity. Digicel T&T competitor made an announcement to introduce
the new technology to the T&T market for Christmas 2017. Consumers can now search
online for the product’s features, compare prices and offers and buy offline. This
premium device ranges between US$999 to US$1149.00 and with other taxes can be
sold for approximately TTD $9,800 which bears a huge price tag.
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Should Digicel Trinidad and Tobago launch the new iPhone X?
As the price of the product is extremely high, it might not be affordable for most
of the people of Trinidad and Tobago as the country is currently experiencing an
economic downfall. However, there are the elites who still will be interested in
purchasing the phone. Even though people might prefer the lower versions of the
phone, demand for this higher priced latest version might be very limited.
1.2 RESEARCH AIMS
The aim of this study is to research and determine the viability of launching the
new iPhone X to the Trinidad and Tobago market. According to Kotler and Keller
(2012, p.98) “marketing research is the systematic problem analysis, model building
and fact finding for the purpose of improved decision making and control in the
marketing of goods and services”. The study will seek to analyze the market
segmentation and customer demographic by investigating market variables such as
geographic, demographic, psychographic and behavioural.
1.3 RESEARCH QUESTIONS
The following research questions are framed from the aims of the research
described above:
 Is there any significant relationship between the age, income and occupation of
the people of Trinidad and Tobago and the demand of the iPhone X in the
Trinidad and Tobago market?
 Is there any significant relationship between the price of the phones of the
competitor brands and demand for iPhone X in the Trinidad and Tobago market?
 What percentage of the market is interested in purchasing the new iPhone X?
 What proportion of people of Trinidad and Tobago are using the previous versions
of iPhone?
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Should Digicel Trinidad and Tobago launch the new iPhone X?
 What proportion of people of Trinidad and Tobago prefer to buy the iPhone X
from Digicel rather than from the authorized iPhone stores in Trinidad and
Tobago market?
1.4 RESEARCH HYPOTHESIS
On the basis of the research questions, the following six hypothesis statements can be
developed.
Null Hypothesis 1 (H01): There is no significant relationship between age of the people of
Trinidad and Tobago and the demand of iPhones in the Trinidad and Tobago market.
Alternate Hypothesis 1 (HA1): There is a significant relationship between age of the people
of Trinidad and Tobago and the demand of iPhones in the Trinidad and Tobago market.
Null Hypothesis 2 (H02): There is no significant relationship between the income of the
people of Trinidad and Tobago and the demand of iPhones in the Trinidad and Tobago
market.
Alternate Hypothesis (HA2): There is a significant relationship between the income of the
people of Trinidad and Tobago and the demand of iPhones in the Trinidad and Tobago
market.
Null Hypothesis 3 (H03): There is no significant relationship between the price of the phones
of the competitor brands and demand for iPhones in the Trinidad and Tobago market.
Alternate Hypothesis (HA3): There is a significant relationship between the price of the
phones of the competitor brands and demand for iPhones in the Trinidad and Tobago market.
Null Hypothesis 4 (H04): More than 50 percent of the people of Trinidad and Tobago are
using previous versions of iPhone.
Alternate Hypothesis (HA4): Less than 50 percent of the people of Trinidad and Tobago are
using previous versions of iPhone.
Null Hypothesis 5 (H05): More than 50 percent of the people of Trinidad and Tobago prefer
to buy iPhones from the local shop Digicel than authorized iPhone stores.
Alternate Hypothesis (HA5): Less than 50 percent of the people of Trinidad and Tobago
prefer to buy iPhones from the local shop Digicel than authorized iPhone stores.
Null Hypothesis 6 (H06): There is no significant relationship between the preference of
iPhone and occupation of people in Trinidad and Tobago.
Alternate Hypothesis (HA6): There is a significant relationship between the preference of
iPhone and occupation of people in Trinidad and Tobago.
Each of the hypothesis stated above will be tested using an appropriate statistical test.
For these tests, a test statistic will be framed from the variables involved in each of the stated
hypothesis. Based on the type of test to be run, these values of the test statistic will follow
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Should Digicel Trinidad and Tobago launch the new iPhone X?
different distributions in different hypothesis. In some cases, the test statistic values will
follow the t-distribution, in some other cases it may follow a f-distribution or chi square
distribution or some other distributions as well.
In the first hypothesis H01, the relationship between age and the demand for iPhones has
been tested. The dependence of buying of iPhones on the age of people has to be tested here.
This will be done with the help of regression analysis and the test statistic in this case will
follow a f-distribution. Similarly, for hypothesis H02 and H03, regression will be conducted. In
hypothesis H04 and H05, the test for proportion has been conducted. The test statistic that is
required to run this test will follow a z-distribution. Finally, for the sixth hypothesis H06,
relationship has to be tested on two categorical variables – preference of iPhones and
occupation of people. To test the relationship between two categorical variables, the most
appropriate table for the test statistic to follow is the chi-square table. A chi square test of
association will be performed to test the claim.
The respective tests for the respective hypothesis will be performed and based on the
results of the tests, a conclusion to accept or reject the null hypothesis will be made. From
each of the tests, a p value will be obtained. In each of the cases the null hypothesis will be
accepted if the p value is higher than the level of significance (0.05) stated for each of the
tests. If the p value is less than the level of significance, the null hypothesis will be rejected.
If the p values of the tests are equal (for example, 0.049 or 0.051) to the considered level of
significance (0.05), then the results obtained will be termed as indeterminate and the
researcher can freely make their own assumptions for the results.
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Should Digicel Trinidad and Tobago launch the new iPhone X?
CHAPTER TWO:
2. LITERATURE REVIEW
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Should Digicel Trinidad and Tobago launch the new iPhone X?
CHAPTER THREE:
3. RESEARCH METHODOLOGY
In this section which is mostly a roadmap to the outcome of the research, provides
details about the tools and techniques necessary to attain the objectives and aims of the
study. The figure 1 below provides a portrayal of this study’s research methodology:
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Should Digicel Trinidad and Tobago launch the new iPhone X?
Figure 1: Research Methodology
3.1 RESEARCH DESIGN
The design of a research project is very important and is needed to facilitate the smooth
sailing of several research operations. According to Kothari (2004, p.31), “a research
design is the arrangement of conditions for collection and analysis of data in a manner
that aims to combine relevance to the research purpose with economy in procedure. In
fact, the research design is the conceptual structure within which research is conducted;
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Research
Design
Descriptive
Experimental
Research
Philosophy
Positivism
Research
Approach
Deductive
Research
Method
Quantitative
Data
Collection
Primary- Questionnaires, Interviews, Observation and Surveys
Secondary- Reports, Articles and Internet sources
Methods
of Data
Analysis
Descriptive Analysis
Hypothesis Testing
Correlation Analysis

Should Digicel Trinidad and Tobago launch the new iPhone X?
it constitutes the blueprint for the collection, measurement and analysis of data”. The
framework for this research, Descriptive and Experimental design will be applied in the
study. The rationale behind implementing Descriptive design is to find answers to the
research questions like what, when, where, who, how and why. (Ghauri and Gronhaug,
2014). For example, in order for customers to purchase the new iPhone X from Digicel,
customers may be asked what their package preferences are. Whilst, descriptive design
answers the study’s structured questions, the experimental design is the conceptual
framework in which the researcher can test the hypothesis.
3.2RESEARCH PHILOSOPHY
Research philosophy explains how theoretical constructs of research methodology have
been evolving in a particular field of study through a series of assumptions. The
researcher thinks of the practical nature of the research effort rather than the outcome.
Thus it is all about the correlations between the knowledge and its applications. Research
philosophy has three branches – epistemology, ontology and deontology (sometimes
referred to as axiology).
Epistemology refers to the nature of acceptability of the kind of knowledge concerning a
certain discipline. Epistemology in turn has three sub branches – positivism, realism and
interpretivism. Positivism is related to philosophy while realism refers to reality of
knowledge. Interpretivism on the other hand is concerned with researcher’s own opinion
about knowledge (Saunders, et al, 2007).
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Should Digicel Trinidad and Tobago launch the new iPhone X?
CHAPTER TWO:
REFERENCE
Ghauri, P. and Gronhaug, K. (2014). Research Methods in Business Studies. Vancouver,
B.C.: Langara College.
Kotler and Keller, (2012) Marketing Management. Global Edition, 14th Edition. Pearson
Education Limited. Retrieved from http://socioline.ru/files/5/283/kotler_keller_-
_marketing_management_14th_edition.pdf
Kothari, C.R. (2004). Research methodology-Methods and Techniques. Daryaganj: New Age
International Pvt. Ltd., Publishers.
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