Eco Fone: Smartphone Market Analysis, Kingston Expansion, and Sales

This report analyzes the UK smartphone market for Eco Fone, a company selling smartphones and accessories. It examines market growth, including statistics and a line chart illustrating smartphone usage by adults. The study includes an analysis of smartphone sales based on a BBC news article and a critical evaluation of expanding the business to Kingston, including financial requirements and potential advantages and disadvantages. Furthermore, the report provides a comparison of sales statistics between Eco Fone's existing shops, along with a customer questionnaire and the importance of using Poisson distribution for business operations. The analysis covers market trends, older customer preferences, financial calculations for expansion, and the use of statistical tools to assess sales performance. The report recommends strategies for Eco Fone to enhance sales, attract older customers, and make informed decisions regarding business expansion and resource management.

Eco Fone

Table of Contents
TASK 2............................................................................................................................................1
Preparing an appropriate line chart.........................................................................................1
TASK 3............................................................................................................................................1
TASK 5............................................................................................................................................1
Calculation..............................................................................................................................1
TASK 6............................................................................................................................................2
Presenting the findings...........................................................................................................2
TASK 7............................................................................................................................................3
TASK 8............................................................................................................................................3
TASK 9- REFERENCES.................................................................................................................4
TASK 10..........................................................................................................................................4

INTRODUCTION
The present study is about the Eco fone smartphones company that sells smartphones and
accessories in Putney and Richmond. The study provides a brief overview of the mobile phone
market of UK along with the statistic summary relating to this study. It also shows the line chart
of the data of adults of UK using smartphone. In addition, the study also includes an analysis of
the smartphone sales based on the BBC news article and a critical evaluation of expanding the
business in Kingston along with the all the requirements that the company would be needed for
the expansion purpose. Further, the assignment also provides a comparison of the statistics of of
both the shops of eco fone smartphones company. In addition, present study also shows a
questionnaire used by the company for gaining the reviews of customers. Furthermore, the
assignment includes the importance of using poisson distribution by the company.
TASK 1
Overview of smartphone market in UK
As per the report of Deloitte, the smartphone market is rapidly growing in UK in recent
years. The sale of smartphones has been increased by 87% in the UK. Further the ownership of
tablets have also been increased by 4% recently (Shaw and et.al., 2016). The usage of
smartphones by the adult customers is growing with the higher rate of 52% in the UK.
As per these statistics it can be analysed that the this market contains a higher amount of
competition along with a larger amount of profit margin. In this regard, the opportunity of
enhancing the profitability is higher in this market. The eco fones company needs to build a
strong strategies for the company.
In addition, the company also should keep innovate its products and services in order to
keep its customers with the company. Further, the innovation in the features of the customers
should be made as per the needs and demand of the adult customers as to regain them with the
companies product.
TASK 2
Preparing an appropriate line chart
Year Tablet Laptop Smartphone
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2012 16% 73% 52%
2013 36% 76% 62%
2014 50% 75% 70%
2015 60% 79% 76%
2016 63% 76% 81%
2017 68% 78% 85%
Interpretation
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From the analysis of above statical report and chart based on the report of the Deloitte, it
can be analysed that the graph and statistics of the use of smartphone, tablets and laptop is
continuously increasing over the year during the period of 2012 to 2019.
The growth in use by adults in UK of tablet is the highest in the period of 2012, 2013 and
2014. its use was increasing rapidly by 20%, 14% etc. this percentage of growth slowed down in
further years. Talking about the growth in the use of laptop, it can be analysed from the chart that
percentage of increasing the use was quite low (Dabija and Grant, 2016). However, its used has
been increased over the year.
Further, the increase in the use of smartphones by the adults in UK also increased rapidly.
Although, this growth rate is neither high nor low.
TASK 3
Features that can make the smartphones popular with older customers
As per the report of BBC news articles, around 71% of the older customers are able to
use the handset. Most of the older customers of UK uses the premium handset. Although, some
so of the users that uses the smartphones. The uses of smartphones by the older customers is
increasing with the faster rate.
From the analysis of the above study, it can be evaluated that the use of smartphones is
increasing rapidly in the market of UK. In this order the Eco fones company should make a
complete analysis of the smartphones and should innovate them as to provide some latest
features taking into consideration the older customers (Kim and et.al., 2016). It would help the
company in attracting them towards the smartphones and gaining the opportunity of enhancing
the sales volume of the company.
As per this article, the company can innovate the features of its smartphones like,
enhancing the display so that the customers can easily view the fonts of smartphone. Further, the
volume of the voice should also be installed in the smartphones. This innovation would lead in
providing more convenience to the old customers.
Further, the eco fones can also launch the smartphone with a kind of software which is
easy to be used and understand by the old customers. Facial recognition feature, research
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suggestion application software, etc. can also lead in making the smartphones easy to be used by
the old customers.
In this order, the eco fones smartphone company can attract the old customers towards
their smartphones and enhance its sale as well.
TASK 4
Critical evaluation of expanding business inKingston
Should we expand our business to Kingston?
Pros Score/10 Cons Score/10
Increase in sales 9 Higher amount of
competition
5
Profit growth 8 Decline in the qulaity of
smartphones
6
Boosting up the brand
awareness
9 Requirement of larger
amount of investment
7
Involving latest trends in the
company
7 Increase in the need of
number of employees
8
Reduction in the external
risk
5 Insufficiency of cash 5
Total Pros 5 Total Cons 5
Average Pros 8 Average Cons 6
Interpretation
From the above critical analysis it can if the eco fone smartphones company wants to
expand its business in Kingston, it would result in providing numerous advantages as well as
disadvantages to the company. As per the above critical analysis, the average pros of the
expansion is 8 on the other hand, the average cons of this decision is 6.
As the average pros are higher than the average cons, the company should take the
decision of expanding the business in Kingston as it would result in enhancing the sales volume
and profitability of the company (Berenguer and et.al., 2017). Further, it will also result in
enhancing the ability of the company of boosting up its brand which will help it in enhancing the
brand equity and reducing the external threats as well.
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TASK 5
A) Calculation of monthly cost of the company in case of expanding the business in Kingston
Asking price 400000
Negotiable price 350000
15 years
Repayment mortgage 350000
Rate of mortgage 7
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
350000/9.11
Total amount of loan 38419.32
Repayment amount on monthly basis 38419.32/12
3201.61
Interpretation
From the above calculation, it can be interpret that if the eco fones smartphones company
wants to expand its business, it would result in increasing the amount of loan of the company by
38419.32. further, it would also result in enhancing the liability of repaying the amount of loan
on the monthly basis by 3201.61 per month.
In this regard, the company would need to make the availability extra funds of 3201.61
monthly in the company for the purpose of enhancing its capability of working and reducing the
financial incapability of the company as well (Berenguer and et.al., 2017)
B) Representing the graphic containing eight logoes of a well known mortgage lenders in UK
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TASK 6
Presenting the findings
Given
Particulars Figure
Sample 40
Average 100
Standard deviation 20
Second shop
Mean 90
Standard deviation 40
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 value of one shop 100
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Illustration 1: UK's best mortgage lender
(Source: Apply For a Home Loan or Refinance. 2018)

Mean value of second shop 90
Standard deviation (one shop) 20
Z score assessment (100 – 90) / 20
0.5
Table 2
Mean value of one shop 100
Mean value of second shop 90
Standard deviation (two shop) 40
Z score assessment (100 – 90) / 40
0.25
As per the above mentioned tables presenting the findings of both shops of the eco fone
smartphones company, it can be interpret that standard deviation i.e. variation in the one shop is
20 whereas the variation in the shop two is 40. Further , Z core assessment of one shop is 0.5
which is higher than the shop two i.e. 0.25.
TASK 7
Average values of the questions and summarisation of the findings
Ques 1 Ques 2 Ques
3a
Ques
3b
Ques
3c
Ques
3d Ques 4 Ques 5 Ques6
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
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Minimum 1 1 1 1 1 1 1 1 1
Maximu
m 5 5 4 4 5 4 5 5 5
Interpretation
From the above statistic analysis of the above table it can be analysed that mean i.e.
average of the question 6 is highest which is lowest of the question 3a. Further, as per the data of
standard errors question 3c was having the highest amount of standard errors. Further, the
median of all the questions were approximately same in each question.
Further the variation in the answers of questions was highest in the question 1. the
variation has been determined with the help of the standard deviation. The Kurtosis and
skewness has been also calculated of the data collected through questionnaire, as per which the
question 3 a contains the highest range of Kurtosis and skewness.
Furthermore, the range, of all the questions lies between 3 to 4. in addition, the maximum
rage of the questionnaire is 5 and 4 and the minimum range of each questionnaire is same in all
the questions i.e. 1.
TASK 8
Explaining the need of poisson distribution in the eco fones company
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
Interpretation
From the analysis of the above calculation, it can be interpret that the possion i.e.
repeatness of the events in the business is 2 which is quite low in the company. In addition, the
cumulative probability of occurrence of the event is also low i.e. 1 in the eco fone smartphones
company.
Poisson distribution
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It is the term which used to determine the probability. It is used by the business for the
purpose of determining the average number of occurring the same event in the business. This
technique of the probability helps the business in determining the average time and resources that
would be needed as to perform a particular activity in the business.
Further, with the help of this method, company enables to maintain the sufficiency of
resources in the business so that the company can efficiently fulfil the market demand of the
smartphones without sacrificing its quality (Bakker and et.al., 2018)..
TASK 9- REFERENCES
Books and journals
Shaw, H. and et.al., 2016. Predicting smartphone operating system from personality and
individual differences. Cyberpsychology, Behavior, and Social Networking. 19(12).
pp.727-732.
Dabija, D. C. and Grant, D. B., 2016. Investigating shopping experience and fulfilment in
omnichannel retailing: A proposed comparative study in Romania and UK of generation
Y consumers. In Proceedings of the 21st Annual Logistics Research Network (LRN)
Conference, University of Hull, September, e-proceedings.
Kim, M. K. and et.al., 2016. Determinants of customer loyalty in the Korean smartphone market:
Moderating effects of usage characteristics. Telematics and Informatics. 33(4). pp.936-
949.
Berenguer, A. and et.al., 2017. Are Smartphones Ubiquitous?: An in-depth survey of
smartphone adoption by seniors. IEEE Consumer Electronics Magazine,. 6(1). pp.104-
110.
Bakker, D. and et.al., 2018. Development and Pilot Evaluation of Smartphone-Delivered
Cognitive Behavior Therapy Strategies for Mood-and Anxiety-Related Problems:
MoodMission. Cognitive and Behavioral Practice. 25(4). pp.496-514.
Online
Smartphone sales boom with over-55s. 2018. [ONLINE] Available through
<https://www.bbc.com/news/technology-41319684>
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Apply For a Home Loan or Refinance. 2018. [ONLINE] Available through
<https://www.intercaplending.com/>
TASK 10
Summary of the above study
From the above study it can be analysed that the smartphones market is rapidly increasing
in the UK. Eco fones should innovate its features of smartphones taking into account the older
customers to attract them towards the handset in order to enhance its sales and profitability of the
market. Furthermore, the company can also expand its business in the Kingston as it would result
in providing lots of advantages to it. The eco fons's debts and liability will also increase due to
such expansion. Further, the study has also concluded that both the shops of the company varies
from each other in terms of the sales and profitability. In addition, the probability of repeating
same activity in the business is low. Although the company should use the poisson distribution in
order to perform its business activities without sacrificing with the quality.
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