ECO FONE Report: Smartphone Market Analysis and Business Strategy

This report provides a comprehensive analysis of the UK smartphone market, focusing on Eco Fone's potential for business expansion. It begins with an overview of the market, including growth trends and consumer behavior. The report then delves into specific tasks, such as linear regression m...Read More

REPORT FOR ECO
FONE

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK 1 ...........................................................................................................................................3
TASK 2 ...........................................................................................................................................4
TASK 3 ...........................................................................................................................................5
TASK 4 ...........................................................................................................................................5
TASK 5............................................................................................................................................6
TASK 6............................................................................................................................................7
TASK 7 ...........................................................................................................................................8
TASK 8 .........................................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
APPENDICES...............................................................................................................................13

INTRODUCTION
The project report is based on the analysing and forecasting of market condition of
smartphones in the context of United Kingdom (Savic and Pedrycz, 2015). The report covers
information about overview of mobile phone market in UK as well as forecasting is done to help
Eco fone company. Along with pros and cons of expanding of business are also covered in
report. In addition, further part of report consists information evaluation of efficiency of above
company's phones and for this purpose different kinds of tasks are performed.
MAIN BODY
TASK 1
(a) Overview of mobile phone market in United Kingdom.
In the context of United Kingdom, there are different range of electronic devices which
are purchased by customers. The smartphone is one of them which is purchased by customers in
more frequency. In the current time period, it is being expected that market of smartphones will
grow by a huge margin. As per the report, it can be find out that smartphones are being
purchased with a growth of 30% among different electronic devices. While rest of devices'
purchasing is almost half. The laptops are purchased with 15% (About smartphone market in
United Kingdom, 2019). It indicates that market of smartphones in the United Kingdom is too
high and expected to increase by a huge margin in upcoming years. The first touch screen phone
launched about 10 years ago and after this innovation the smartphones are developed
continuously. As a result people started to buy these. Eventually, the key reason of success or
increased market area of smartphones in United Kingdom is including different range of features
inside the phones. These smartphones includes feature of camera, installation of different
applications and many more. Due to this importance of smartphones has been increased and
market share also raised up. It is predicted that penetration of smartphones will be of 90 to 95 %
in year 2022.
All above mentioned findings show that market of smartphones in the United Kingdom is
on peak and it can be beneficial for ECO FONE to enter in the market.
(b) Usage of smartphones

Email
Making standard call
Calendar management
Viewing document
0 0.05 0.1 0.15 0.2 0.25 0.3 0.35 0.4 0.45
41.00%
33.00%
3.00%
17.00%
37.00%
32.00%
0.00%
0.00%
2016
2017
TASK 2
Liner diagram of given data during 2012-17.
04/07/1905 05/07/1905 06/07/1905 07/07/1905 08/07/1905 09/07/1905
0
10
20
30
40
50
60
70
80
90
52
62
70 76 81 85
Smartphone
In the aspect of above case, there should be implementation of simple linear regression model.
This is so because, it is a kinds of method which predicts data accurately in an effective manner.
By implementation of this model, their finance department can become able in order to take
crucial decision regards to forecasting of upcoming data (Chang, Chen and Zhou, 2019).
TASK 3
Key features which makes smartphones so popular among old customers.

In the aspect of selling products, age group plays a key role. It is so because different age
group people needs various kinds of products. Herein, below some key features of smartphones
are mentioned which making it popular for old age group people:
 Bigger screen- This is one of the key feature which is making popular to smartphones
among old age group people. It is so because of large screen, this becomes easier for old
age people to see (Reynolds, 2017).
 Better sound quality- It is also an another key feature of smartphones which is attracting
old age people to buy. This is so because latest smartphones are based on new and
advanced techniques which makes easier to old group customers to hear sounds. Along
with due to advanced techniques in sound systems, it does not hurt to their ears.
 Easier software- In the new smartphones different kids of software are includes which are
easier to use for old age customers (Spekman and Davis, 2014). In addition, there are a
wide range of applications that can help to this customer segment to understand various
difficulties.
 Streamlined versions of applications- In current time period, the android companies are
providing a streamlined version of their applications which help to elder people to
understand an easy manner.
So, these are some key features of smartphones which are making smartphones more popular
among old age group of people (About smartphone feature, 2019.).
TASK 4
Should ECO FONE expand their business to Kingston or not?
Pros Scor
e/10
Cons Score/
10
Reach to new customers- This is one of
the key benefit of expanding business
into new location. Business has
opportunity to reach with new customer
segment. Such as for above company, it
can be beneficial for them to attract more
5 Shortage of cash- This is one of the
common issue which can be faced by
above company if they will expand
their business in Kingston.
9

number of new customers.
Increased market share- As well as due to
expansion of business at new locations,
companies market share can also increase
(Laszlo,Sherman, Whalen and Ellison,
2005). It is so because of increasing in
number of customers and profitability
level.
4 Lack of control- This is also an
another issue which may occur to
above company if they will expand
their business. It is so because
operating different branches may lead
to ineffective management.
8
Reduced external risk- Due to expansion,
a company can get free from the external
risks such as higher level of competition
and many more.
5 Increased capital requirement- In
order to manage more then one
branch of business, a wide amount of
cost is needed. For above company, it
may lead to cause of increased
demand of capital (Smith, 2014).
9
Total pros: 14 Total cons 27
Average pros: 4.67 Average cons 9
On the basis of above analysis, it can be stated that above company should not expand their
business in Kingston. This is so because of higher range of disadvantages.
TASK 5
(a) Monthly cost of loan of 15 year whose amount is of 350000.
Loan amount= 350000
Rate of interest= 7 %
Tenure= 15 years
EMI of each month= 3127.65
Total payable interest= 212977
Total payment= 562977

So, the cost of new building for above company can be of £562977 if they will take loan of
£350000. This cost of loan is higher to pay because of higher rate of interest. As well as this may
lead to more cost. Along with the instalment of each month is of £3127.65 which is needed to be
paid in 180 month by above company.
(b) Eight famous company for loan in United kingdom.
TASK 6
Efficiency two retail shops of Eco Fone company.
The above company operates their activities and operations into two different locations
which are located at various place. In order to compute their efficiency, sample size of 40 is
taken which is analysed below:
First shop-
Mean = £100
Standard deviation = £ 20
Coefficient of variation = standard deviation / mean * 100
= 20 / 100 *100
= 20 %
Second shop-
Mean = £90
Standard deviation = £ 40
Coefficient of variation = standard deviation / mean * 100
= 40 / 90 *100
= 44.44 %

On the basis of above analysis this can be find out that both shops have different number of
coefficient of variances. Such as the first shop's efficiency is of 20 % while second shop has of
44.44 %. It is clearly indicating that second shop seems better as compare to first shop. The
reason of this variation is the difference in mean and standard deviation. The mean and standard
deviation of shop one are of £100 and 20. On the other hand, second shop has the mean and
standard deviation of £90 and 40 respectively. So overall, shop two is better.
TASK 7
Question 1. When was the last time you purchased a product or service from us?
Within the last month- 19
Between 1 and 3 months- 27
Between 3 and 6 months - 12
Between 6 months and 1 year-27
More then 1 year- 19
Never- 0
Summary- There are 27 respondents who purchased above company's products and there is no
any respondents who never purchased. As well as there are common 19 respondents who visited
in last month and more then in year ago.
Question 2. How long you have used our product?
Fewer then 6 months- 1
Between 6 months to 1 year- 30
Between 1 and 3 years- 37
Between 3 and 5 years- 27
More then 5 years- 8
Never- 0

Summary- On the basis of above respondents analysis, this can be find out that there are 37
respondents who used products between 1 to 3 yeas. As well as there is no respondent who never
used their product.
Question 3 Please rate us on the following:
Customer service- 7
Quality of product- 14
Sales staff-52
Price/value- 30
Summary- On the basis of above analysis, this can be find out there are 52 respondents who rate
best service of staff. While only 7 customers gave rating to services. In addition, there are 30
customers who rated better pricing of company.
Question 4. How would you rate yourself overall satisfaction with us?
Very satisfied- 11
Satisfied-10
Neutral- 16
Dissatisfied-50
Very dissatisfied-16
Summary- There are 50 respondents who are not satisfied by their services. As well as 11
customers are satisfied. As well as there are 10 customers who are satisfied by above company's
products and 16 respondents are those who are neutral in nature.
Question 5 . How likely are you to continue doing business with us?
Very likely- 2
Likely-14
Neutral-30
Unlikely-47

Very unlikely-10
Summary- there are 47 respondents who do not want to continue business with them and only 2
respondents who want to continue. In addition, there are 30 customers are those who are neutral
in nature. As well as 10 customers are those who do not want to continue business with them and
they are very unlikely.
Question 6 . How likely are you to recommend our products?
Very likely-21
Likely-60
Neutral-0
Unlikely-15
Very unlikely-7
Summary- there are 60 respondents who want to recommend their products and only 7
respondents who do not want to recommend. As well as there are 15 customers are those who are
unlikely to recommend their products to customers.
TASK 8
Reason for which poisson distribution is needed to be applied in the context of above mentioned
case of Eco Fone company.
In the aspect of above company's case, poisson distribution seems suitable. It is so
because this may lead to improvement in their quality. The term poisson distribution can be
defined as a number of events which occur in a particular time period (Shaban, 2018). The
accountant of Eco Fone company sends out about 10000 invoices in an each month and average
of two is returned back with an error. In this context they are needed to implement above
mentioned probability distribution method. If they will do so then efficiency will improve and it
will be easier for their accountant to make accurate financial results.

CONCLUSION
On the basis of above project report, it has been concluded that market of smartphones in
the United Kingdom at its peak and this can be beneficial for above mentioned company. The
project report concludes about current marketing environment of smartphones in the economy of
United kingdom as well as regards to forecasting model that is applied. In the further part of
report, key feature of smartphones are covered which are crucial for attracting old age group
people. In addition, possible pros and cons are concluded regards to expanding business at the
new location Kingston. Along, it can be point out that their most of the customers are not
satisfied with their services. This is so because of ineffective services provided by them. In the
end it can be concluded that poisson probability method is suitable for above company because
of their weakness in the qualitative aspect of accounting.

REFERENCES
Books and journals:
Savic, D. A. and Pedrycz, W., 2015. Evaluation of fuzzy linear regression models. Fuzzy sets and
systems. 39(1). pp.51-63.
Chang, Y. F., Chen, C. S. and Zhou, H., 2019. Smart phone for mobile commerce. Computer
Standards & Interfaces. 31(4). pp.740-747.
Reynolds, P .D., 2017. New and small firms in expanding markets. Small business economics.
9(1). pp.79-84.
Spekman, R .E. and Davis, E. W., 2014. Risky business: expanding the discussion on risk and the
extended enterprise. International Journal of Physical Distribution & Logistics
Management. 34(5). pp.414-433.
Laszlo, C., Sherman, D., Whalen, J. and Ellison, J., 2005. Expanding the value horizon: how
stakeholder value contributes to competitive advantage. Journal of Corporate
Citizenship, (20), pp.65-76.
Smith, S. S., 2014. The expanding role of CPAs in a changing business environment. The CPA
Journal. 84(6). p.13.
Shaban, S. A., 2018. Poisson-lognormal distributions. In Lognormal Distributions (pp. 195-210).
Routledge.
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>

APPENDICES
(b) Usage of smartphones
2016 2017
Email 41.00% 37.00%
Making standard call 33.00% 32.00%
Calendar management 3.00% 0.00%
Viewing document 17.00% 0.00%