Eco-Fone Summative Assessment 2019: UK Smartphone Market Analysis

Desklib provides past papers and solved assignments for students. This project analyzes the UK's smartphone market.

Eco-Fone Summative Assessment 2019
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Table of Contents
Task 1...............................................................................................................................................3
Task 2...............................................................................................................................................5
Task 3...............................................................................................................................................7
Task 4...............................................................................................................................................8
Task 5...............................................................................................................................................9
Task 6.............................................................................................................................................13
Task 7.............................................................................................................................................13
Task 8.............................................................................................................................................16
Task 9.............................................................................................................................................17
Task 10...........................................................................................................................................18
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Task 1
The adoption of Smartphones among the adults of UK is increasing with time. As per the new
data of Deloitte more than 85%, adults in the country are using Smartphones for the daily
purpose. The adoption of the Smartphone is increasing due to several reasons such as the new
attractive features of the Smartphone are making the devices more popular to the new generation
as well to the elderly people of the country. The report says that the adoption rate of
Smartphones among the people was near about 52% and now it has become 85% (Deloitte.co.uk,
2017). The electronic and digital device industry is contributing a significant amount in the GDP
of the country. It is expected that the market will increase by 1-2% more and soon the adoption
rate will be near about 88%.
The popularity of Smartphones within the young people is too high. Near about 91%, youth uses
Smartphones on daily basis. It helps the Smartphone market to flourish at a huge rate. The new
connectivity is coming in the market of the Smartphones. The gigabyte connectivity is expected
to be more popular within the people of the country and it helps to contribute more in the market
of the Smartphones. The companies of the digital devices are coming with more upgraded
features and connectivity options and these options are making the people of the country to adopt
the Smartphones more. The adoption rate of Smartphones are increasing in a fast pace. The high-
speed connectivity is helping the people over the world to connect easily and it is one of the most
important reasons of becoming the Smartphones popular. The data adopted from Deloitte has
been analysed by a graph and the graph of the statistics is given below:
Activities 2016 2017
Using the facility of emails 41% 44%
Making calls by the people 33% 34%
Managing the structure 3% 23%
Viewing the documents in phone 17% 0%
Table 1: Top four activities of working people in UK
(Source: Deloitte.co.uk, 2017)
3

Email
Making Voice calls
Calender management
Documents viewing
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
41%
33%
3%
17%
44%
34%
23%
0%
Smartphone Activities of Working People
2017
2016
Figure 1: Activities of the working people in UK
(Source: Created by learner)
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Task 2
The digital media and the market are becoming popular with time. The digital media device
market is not only depends on the Smartphones but also the other devices of the market are
included in this list. Laptops and tablets are also included in the list of the electronic devices
market. The usage rate of all the devices are increasing and it helps the entire electronic industry
to flourish on its own way. The electronic industry is now becoming one of the strongest
industries in the country (Deloitte.co.uk, 2017). Deloitte has researched on the usage of the
devices in the industry from 2012 to 2017. The result of the research is denoting that the rate of
using all the devices in the country has been increased in a significant rate. The people like the
new features of all the devices and the different electronic devices have made the life of the
people easier. The rate of usage of different devices will be given below:
Devices 2012 2013 2014 2015 2016 2017
Laptop 73% 76% 75% 79% 76% 78%
Smartphones 52% 62% 70% 76% 81% 85%
Tablet 16% 36% 50% 60% 63% 68%
Table 2: Usage rate of different devices in UK
(Source: Deloitte.co.uk, 2017)
5

Laptop Smartphones Tablet
0%
50%
100%
150%
200%
250%
300%
350%
400%
450%
500%
73% 52%
16%
76%
62%
36%
75%
70%
50%
79%
76%
60%
76%
81%
63%
78% 85%
68%
Devices penetration among UK adults 2012-
2017
2017
2016
2015
2014
2013
2012
Figure 2: Graphical representation of the usage rate of the devices among adults in UK
(Source: Created by learner)
The data of the previous years have been shown in the table and it denotes that the rate using the
laptop, Smartphones and tablets have been increased in a significant way. The Smartphones are
the most popular devices among the other devices of the industry. These electronic devices have
made the work easier (Deloitte.co.uk, 2017). Nowadays maximum work is done through the
laptops and the other electronic devices. From the above table of data the forecast of the
upcoming two years can be done and it will help to understand the market of the electronic
devices and the companies can become ready with the production of the processes. The data
forecast table for the device usage would be given below:
Devices 2018 2019
Laptop 79% 80%
Smartphones 94% 100.31%
Tablet 84% 94%
Table 3: Forecast table
(Source: Created by learner)
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Laptop Smartphones Tablet
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
79% 94% 84%
0.00%
0.00%
0.00%
Forecasting Table
2018
2019
Figure 3: Graphical representation of forecasting table
(Source: Created by learner)
The above table has been prepared using the forecasting function in excel. The linear forecasting
is helpful to understand the amount of the production but linear forecasting is not always
accurate. In case of the production of industry, the linear forecasting is not the proper method.
The linear forecasting is entirely dependent on the historical data and the level of accuracy is low
in this case. Several other methods are there that help to forecast the future rate with more
accuracy. The time series forecasting method could be used in this to forecast the rate of future
production.
Task 3
The above analysis has already successfully established the amount of popularity of the
Smartphones in the country. Now BBC has done a different research and that states about the
popularity of Smartphones among the elderly people of the country. The usage of Smartphones
has been increased to 71% within the people of age between 55 to 75 years. The age group has
adopted the Smartphones in a far faster rate than the other age group of the country. The research
also says that 50% of the elderly people check their phones in every 15 minutes.
Facebook is one of the key reasons of the popularity of the Smartphones within the elderly
people. Facebook is already popular for its features and the old people need to be connected with
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the friends. The Smartphones have made using the Facebook easier and it has increased the
popularity of the Smartphones within the elderly people (BBC News, 2017). The amount of
wealth within the elderly people and it helped them to buy the Smartphones in an easier way.
The attractive features of the Smartphones are other reasons of the popularity of Smartphones.
BBC has also stated that the rate of buying premium handsets is higher in the elderly people. As
the elderly people have the tendency of being more emotional it makes them to use the
Smartphones gifted by their children. The bigger screens of the Smartphones are one of the most
important factors of becoming helpful to the elderly people. The bigger screens of the
Smartphones help the elderly people to see the things easily as the eyesight of them is generally
weak. The louder speakers of the mobile phones help the elderly people to become more
convenient in using the phones.
Mobile phones have made the payments and the works of banking easier. The elderly people
who cannot go to the bank can use the mobile phones for their daily use of banking. The taxi
booking has now come to the fingertips of the people and it helps the people to become more
effective towards the elderly people. The face recognition facility of the mobile phones helps the
elderly people to stop fiddling within the keys of the mobile phones. It has made answering the
call and operating the phone easier to the elderly people.
The above-mentioned reasons are the most important reasons for making the Smartphones
popular to the elderly people of the country.
Task 4
Should we expand our business to Kingston?
Pros Score/
10 Cons Score/
10
High productivity rate in the
country 8
Price of expansion and the raw
materials are high 9
High demand in the market 9 Rate of saturation in the market 6
Highly upgraded technological
market 9
Cost of trading in the country and the
market 5
High rate of foreign investment in
the country
6 Time zone problem in the country 9
Huge market of diversification 8 Problem of currency evaluation 8
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Labour market is huge 7 Volatility in the politics of the country 8
Amount of talent is high 9 Cultural diversification 5
Total Pros 56 Total Cons 50
Average Pros 8 Average Cons 7
Table 4: Table for pros and cons of expansion
(Source: Created by learner)
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Task 5
a. Calculation of the mortgage repayment of the loan
Mortgage Information
Loan Amount £ 350,000.00
Annual Interest Rate 7%
Term Length (in Years) 15
First Payment Date 1/4/2019
Compound Period Monthly
Payment Frequency Monthly
Payment £ 3,145.90
Balance at a Specified Year
Date 1/4/2019
Interest Paid £ 24,066.50
Principal Paid £ 13,684.30
Outstanding Balance £ 336,315.70
Mortgage Summary
Total Payments £ 594,432.57
Total Interest £ 244,432.57
Years Until Paid Off 15
Last Payment Date 1/4/2033
Table 5: Mortgage repayment table
(Source: Created by learner)
b. The eight logos of the mortgage companies in UK
Name of the companies that
provide mortgages
Logos of the companies
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L & C Mortgages
Habito Mortgage Broker
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Just Mortgage Brokers
Kensington Mortgage Brokers
Right Mortgage Company UK
The Better Mortgage Company
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