Eco Fone: Smartphone Market Analysis and Business Expansion Report

This report provides a comprehensive analysis of Eco Fone, a British cell telecommunications retailer with two existing stores, focusing on the UK smartphone market and potential for business expansion. The study begins with an overview of the mobile phone market in the UK, forecasting smartphone usage by adults and identifying smartphones as a potential market for older customers. It evaluates the feasibility of expanding the business to Kingston using a pros and cons table, analyzes the costs associated with a new building, and tests for differences in net takings between the existing shops. Customer satisfaction is assessed through the analysis of email questionnaires, and quality procedures are examined using Poisson distribution to minimize defective invoices. The report concludes with key findings and recommendations for Eco Fone's future business strategies, emphasizing the growth of the UK mobile market and the importance of adapting to consumer trends.

ECO FONE

Contents
Introduction.................................................................................................................................................3
1. Analysis of Issues for Eco-Fone Smartphones......................................................................................3
1.1 An Overview of the Mobile phone market in the UK........................................................................3
1.2 Forecasting the UK Adult Smartphone use........................................................................................4
1.3 Smartphones - A potential market for older customers......................................................................6
1.4 Feasibility of Expanding business to Kingston using Pros and Cons table........................................7
1.5 Costs of a New Building....................................................................................................................8
1.6 Testing the Possible Difference in Net Takings in the Two Shops....................................................9
1.7 Customer Satisfaction......................................................................................................................10
1.8 Quality Procedures..........................................................................................................................11
1.9 Conclusions & Important Findings..................................................................................................12
2. References.............................................................................................................................................12
3. Appendices............................................................................................................................................13

Introduction
Eco Fone Smartphones is a British cell telecommunications retailer with two stores in
Putney and in Richmond. This business was established in 2014 and continues to expand quickly
as its consumers are well informed of consumer demand and patterns. The key goal of this report
is to evaluate the demand for cell phones and inform this business on some expansion
suggestions. Different activities, including reviewing recent trends in the cell phone industry, are
carried out in this study. In fact, a comparative review is carried out to decide if Eco Fone in
Kingston will grow or not. An assessment is also carried out between two shops inside this
organisation to determine whether the net income of two stores varies.
1. Analysis of Issues for Eco-Fone Smartphones
1.1 An Overview of the Mobile phone market in the UK
Overview based on information from Deloitte
In the United Kingdom, cellular telecommunications industry is the fastest growing market.
The Deloitte study reveals that most people employed in a workplace are utilizing their mobile
phones for work related reasons at least daily. This argument underlines the reality that
smartphones are seen most frequently among older people. In addition to being used for calling
purposes, smartphones are used by different functions of such apps to allow citizens to connect
in broad ways. There are many including smartphones for eMail, regular messaging, task control,
document browsing, voice messaging, Tab writing, costing and several other apps which can be
used for work-related correspondence and activities. Data for the two years 2016 and 2017
represents the use of Smart phone characteristics is given in the Deloitte study. Rather than
making regular calls, you can send emails that are 41% in 2016 and 37% in 2017 as the most
fascinating data that has been extracted from this Study. Aside from these two main apps,
citizens on the job most frequently display reports with 17 per cent in 2016 on their phones
(About smartphone feature. 2019). In spite of years variations, it has been found that workers in
2016 utilize Smartphones in the processing of records and control of their schedules, whereas
employers no longer utilize smartphones for such reasons. That is attributable to the strong rise
in intelligent clocks in 2017.
(b) Development of mixed bar chart for 2016 and 2017

Features % in Year 2016 % in year 2017
Emails 41% 37%
Making standards Calls 33% 32%
Viewing documents 17% 0%
Making voice Calls 6% 4%
1.2 Forecasting the UK Adult Smartphone use
Year Smartphones Use by
adults
2012 52%
2013 62%
2014 70%
2015 76%
2016 81%

2017 85%
2018 94%
2019 94%
2012 2013 2014 2015 2016 2017 2018 2019
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
52%
62%
70%
76% 81% 85%
94% 94%
Smartphones Use by adults
In order to evaluate these applications, smartphones are often utilized by teenagers and are used
beyond the linear prediction process. Smartphone use is expected for this strategy in 2018 and
2019. From the chart and tables above, the utilization of such devices over the subsequent years
has increased. This methodology, because the linear relation in parameters and pattern in this
case cannot be pointed to as that or dropping in this instance, may even fluctuate, as this
methodology Id is not true here Linear Prediction approach is not suitable. In these situations a
predictor model must be used that, using an incremental smoothing algorithm, will return a
predicted value for a certain future date to allow a true prediction. The Exponential Smoothing
(ETS) method will be considered for 2018 and 2019 below phones.
Year Smartphones Use by
adults
2012 52%

2013 62%
2014 70%
2015 76%
2016 81%
2017 85%
2018 91%
2019 98%
1.3 Smartphones - A potential market for older customers
Smartphones are the machines that make life simple. Older people aged between 55 and
75 are known as the top mobile consumers as it makes it easy for them. Many of the following
functionality focused on a BBC news report are addressed:
 Social media site access- Older citizens are typically retired and have enough spare time
to interact with their mates and age-like men. It has become clear that 50% of the elderly
have Face book built along with a 70% of the general adult population (About
smartphone market in United Kingdom. 2019). Such social networking platforms such as
Face book provide a forum to connect with peers and to appreciate the material of such
pages. It is one of the key and useful features for old age group people of United
Kingdom.
 Booking a taxi- Taxi apps are another function widely utilized by elderly people in the
UK. Smart phone apps allow the users ' taxi reservation systems and when older people
cannot drive, they can switch from one location to another. This function benefits them.
 Bigger screens- Smartphone’s have wider displays than standard cell phones to allow
users including the elderly to see with the assistance of loud speakers.
 Easy to make payment via phone- Today's mobile enables consumers to pay with a single
button. This is possible since you can connect the bank account to cell phones for

payment. Older clients tend to purchase smart phones so they can make electronic
purchases that mitigate the cost of bringing currency.
So these are some key benefits of smart phones for old age customers. Herein, this is important
to know that smart phones are not only beneficial for the old age customers but also contributes
in a huge manner for young age group people (Kim, Yoon and Han, 2016).
1.4 Feasibility of Expanding business to Kingston using Pros and Cons table
The system Pros and Cons is an appraisal that scored different virtues and demerit points
and then added up all the qualities to decide whether the ranking of the pros is better or not
(Lizama, 2017). For this case, Eco Fone is actually operating for two locations and this review
will be carried out to decide whether or not it is to grow in Kingston. The following are certain
benefits and drawbacks of Eco Fone in Kingston.
By the recent review, it can be seen that Kingston's average benefit value is 8.14, while the
average negative performance is 7.28. Thus they should chose option of expanding business at
Kingston. Though above mentioned pros and cons are not assure that these will occur because
future is uncertain and can be change. But above table states that Eco- fone should go with the
expansion of their business at Kingston as this can be beneficial for them in future time period.

1.5 Costs of a New Building
a) Calculation of the monthly cost of repayment mortgage
Hence the cost of building for per month will be of £ 3201.61.
**Excel formula is shown in appendix
(b) Presenting graphic containing eight logos of well-known commercial mortgage
lenders in the UK

These are the companies who provide loan facility to customers in the United Kingdom. Except
from these, there are some other companies who provide mortgage to customers and companies
in accordance of their credit score.
1.6 Testing the Possible Difference in Net Takings in the Two Shops
Information which is available for both the stores of Eco Fone
Particular Amount
Sample from daily takings 40
Mean of 1st shop 100
S.D. 20
Mean of 2nd shop 90
S.D. 40
Significance level 5%
H0: Null hypothesis: There is no significant difference in net taking of two shops.
H1: Alternative hypothesis: There is significant difference in net taking of two shops.
Assessment of Z score value
Table 1
Mean of 1st shop 100
Mean of 2nd shop 90
S.D. (1st shop) 20
Z score assessment (100 – 90) / 20
0.5
Table 2

Mean of 1st shop 100
Mean of 2nd shop 90
S.D. (2nd shop) 40
Z score assessment (100 – 90) / 40
0.25
Two assumptions are taken in the following test, one of which reveals that two shops of
Eco Fone take little difference in everyday take. And the other observation that has been made
claims that net takeovers for both stores create a big impact. From the Z score test, it has been
found that for the two stores, the significance is greater than 0.05, indicating that the net taking
variations between the two stores are not important. This implies that zero assumptions are valid.
1.7 Customer Satisfaction
Eco Fone is a Smartphone company which distributes e-mail questionnaires. The findings
are presented in Excel and then appended to the question. In particular, a test is used to pose six
questions. A total of 103 individuals have sent a question with choices focused on the Likert
scale and responses to the code are evaluated. The follows are the purpose of all the responses as
well as question IDs:
ID Q1 Q2 Q3a Q3b Q3c Q3d Q4 Q5 Q6
Mean
values 2.951456 2.893204
1.98058
3 2.504854 3.252427
2.51456
3 2.514563 2.524272 3.708738
It is evaluated by the above that when it was questioned about the last time they bought anything
from Eco Fone, the answer was 2.95, that implies that over the last 3 to 6 months typical
customers acquired something from their shop, which is also positive for the company. Once
questioned how often they used the products bought in the Eco Fone shops, the participants
responded to a response of 2.89 (1-3 years). While question 3 comprises four sub-points aimed at
delivering customer satisfaction reviews, merchandise efficiency, sales staff and value-added

costs. From the mean value of 103 respondents, the result was that the standard of service
requires enhancement because it is graded because "equal." As regards questions 4, 5 and 6, the
degree of service reached by Eco Fone consumers and how likely it is to be suggested is
calculated. It is calculated from the average value of all participants that they do not genuinely
enjoy the facilities of Eco Fone but are certainly prepared to suggest them to their families and
friends, and are unlikely to remain with their clients.
1.8 Quality Procedures
Poisson distribution is the independent likelihood method that characterizes occurrences
that have a small chance of occurring over time, and may minimize uncertainty (Pararai,
Warahena-Liyanage and Oluyede, 2017). The administration is faced with a problem with Eco
Fone, in which two invoices are defective per month. To minimize the risk of such defective
invoices by 15%, distribution of Poisson should be used because it characterizes defective
invoices and decreases the frequency of incidence.
Poisson random variable 2
Mean rate of success 15
Poisson probability P(X=2) 0.000
Cumulative probability P(X<2) 0.000
Cumulative probability P(X>2) 1
Cumulative probability P(X>=2) 1
Through the aforementioned, this strategy reduces the probability that defective invoices may
arise. This does not require 2 faulty invoices a month, but it does indicate that standard standards
have not been followed in companies with which Eco Fone has been recommended to use
Poisson distribution to allow them to deliver such invoices after securing their accuracy.

1.9 Conclusions & Important Findings
The above report concludes that the United Kingdom mobile market is increasing quickly
and companies in this field will evolve in order to harness these patterns. It has been identified
from different tasks carried out above that the older people are more likely to use smart
telephones or working persons to make email and regular calls with their smart phones. The Pros
and Cons analyses also reveal that the corporation needs to increase its corporate activities in
Kingston and purchase a real estate with months of mortgage payment. Finally, using survey
research, it was found that the services offered by Eco Fone, which Poisson distribution is meant
to be used for, are not entirely satisfied by consumers.
2. References
Books and Journals
Lizama, C., 2017. The Poisson distribution, abstract fractional difference equations, and
stability. Proceedings of the American Mathematical Society, 145(9), pp.3809-3827.
Pararai, M., Warahena-Liyanage, G. and Oluyede, B.O., 2017. Exponentiated power Lindley–
Poisson distribution: Properties and applications. Communications in Statistics-Theory and
Methods, 46(10), pp.4726-4755.
Kim, S.C., Yoon, D. and Han, E.K., 2016. Antecedents of mobile app usage among smartphone
users. Journal of marketing communications, 22(6), pp.653-670.
Online:
About smartphone market in United Kingdom. 2019. [online] available
through:<https://www.deloitte.co.uk/mobileuk2017/assets/img/download/global-
mobile-consumer-survey-2017_uk-cut.pdf>
About smartphone feature. 2019. [online] available through:
<https://www.bbc.com/news/technology-41319684>