Statistical Research About Telecommunication in the Philippines 2

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    Chapter 1

    INTRODUCTION

    Smart Communications is a wholly-owned mobile phone and Internet service

    subsidiary of the Philippine Long Distance Telephone Company (PLDT). Its main focus is to

    handle the PLDT Group's wireless services business. It operates a nationwide cellular network

    covering over 99 percent of the population. On April 20, 2008, Smart updated its logo, changing

    with the new, shortened letter "S", stylized versions of letters "A" & "T", and a new line below

    the logo.

    On June 30, 2007, Smart reported that its GSM network consisted of 100 switches and

    100,000 base stations, over 2 of which are equipped with wireless broadband capability. It also

    has over 23 3G base stations nationwide. On December 31, 2009, it reported that it has

    41,328,641 subscribers on its Smart EDGE/UMTS and Red Mobile GSM networks, which

    includes Talk 'N Text subscribers that were transferred from Piltel.

    Digitel Mobile Philippines, Inc., is a mobile telecommunication service provider in the

    Philippines doing business as Sun Cellular. The company is a wholly-owned subsidiary of

    Digital Telecommunications Philippines, or Digitel. Digitel is in turn owned by the JG Summit

    Group with a minority stake held by the TeliaSonera Group. It is assigned to access codes of

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    922, 923, 932 and 933. It began its operations in 2003, positioned as a latecomer in the market

    allowed it to put up infrastructure at lower cost.

    Sun Cellular gained popularity because of its "24/7" offer of unlimited text messaging

    and calls for a fixed price for Sun-to-Sun transactions. This led competing networks

    Smart Communications and Globe Telecom to offer similar but higher-cost plans.

    As of March 2010, Sun Cellular has 12 million subscribers.

    In 1928, Congress passed Act No. 3495 granting the Robert Dollar Company, a

    corporation organized and existing under the laws of the State of California, a franchise to

    operate wireless long distance message services in the Philippines. The Robert Dollar Company

    subsequently incorporated in the Philippines as Globe Wireless Limited and in 1934, Congress

    passed Act No. 4150 transferring the franchise and privileges of the Robert Dollar Company to

    Globe Wireless Limited.

    Globe Wireless Limited was subsequently renamed

    Globe Mackay Cable and Radio Corporation. Congress, through Republic Act 4630 enacted in

    1965, further expanded its franchise to allow it to operate international communications systems.

    Globe Mackay Cable and Radio Corporation was closed in the Philippines by Martial law.

    Shortly before the expiration of its franchise, the Batasan Pambansa in 1980 enacted Batas

    Pambansa 95 granting Globe Mackay Cable and Radio Corporation a new franchise.

    On June 15, 1990, Isla Communications Co., Inc. (Islacom) was incorporated. Through

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    Republic Act 7372, Islacom was authorized to develop full-service telecommunications network

    in the country.

    In 1991, Globe Mackay was subsequently merged with the Clavecilla Radio Corporation.

    Globe Mackay as the surviving company was renamed GMCR, Inc. and on March 19, 1992, the

    Philippine Congress passed Republic Act 7229 approving the merger and the transfer of the

    franchise of Clavecilla Radio Corporation to the surviving company to be renamed GMCR, Inc.

    In 1994, Islacom launched the country's first digital mobile communication services

    using GSM world standard digital technology.

    On August 20, 1998, the Philippine Securities and Exchange Commission (SEC)

    approved the change of name of GMCR, Inc. to Globe Telecom, Inc. (Globe).

    On February 22, 2000, Globe and its principal shareholders Ayala Corporation (AC) and

    Singapore Telecom International Pte. Ltd. (STI), a wholly owned subsidiary of Singapore

    Telecom (ST), and Islacom and its principal shareholders Asiacom Philippines, Inc.(Asiacom)

    and DeTeAsia Holding GmbH (DeTeAsia), a wholly owned subsidiary of Deutsche Telekom

    AG (DT), entered into a general agreement for a combination of the business and operations of

    Globe and Islacom.

    On June 27, 2001, Globe completed the share swap transaction with Islacom, which

    effectively made Islacom a 100%-owned subsidiary of Globe.

    In September 2002, Globe announced the operational integration of Globe and Islacom's

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    wireless networks. A key element of the integration involves the migration of existing wireless

    subscribers of Islacom to the improved Touch Mobile (TM) service.

    On August 7, 2003, the National Telecommunications Commission (NTC) approved the

    legal transfer of Globe's wireline business, authorizations, properties, assets and obligations to

    Islacom.

    On August 25, 2003, the SEC approved the change in name of Islacom to Innove

    Communications, Inc. (Innove).

    On March 30, 2007, Globe Telecom, through its president and chief executive Gerardo

    Ablaza Jr. said it is diversifying from its core business to take advantage of the booming

    broadband business. Ablaza said the company would increase its investments in cable systems

    and wire lines to build its broadband Internet infrastructure. Industry analysts have viewed

    Globe's plan to invest in cable systems as a strategy to compete more aggressively with

    Philippine Long Distance Telephone Company (PLDT), which took advantage of its wire line

    infrastructure to diversify into broadband business.

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    THE BACKGROUND OF THE STUDY

    This research paper aims to know what telecommunication network gives more

    satisfaction to the second year students of marketing management and to fulfill the following

    objectives:

    1. To know what sim card is being used by many?2. To know the satisfaction rate of our respondents?3. To know if they encounter problems and how often does happen?4. To share this particular research for future reference?

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    STATEMENT OF THE PROBLEM

    Our main purpose in this research was to know the customer satisfaction rating

    of second year marketing management students.

    Specifically, our research sought to answer the following problems:

    1. What SIM are you using right now?2. How often do you reload your SIM?3. How long you are subscribe in this network?4. Do you encounter problems with the network you are using now?

    How often it happens?

    5. Are you satisfied with the services that your network provides?

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    SIGNIFICANCE OF THE STUDY

    The researchers believed that this research is important.

    It can be a source of reference for future use of other people. By the use of this

    reference, you will be able to know the satisfaction of the respondents provided by their

    network company.

    This research also aims to know the weaknesses of the networks. This can be also

    beneficial to those market researchers in doing their studies.

    Retailers can be also benefit on this study for they now what network as most

    preferred by their customers.

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    DEFINITION OF TERMS

    S.I.M. this refers to the subscribers identity module.

    UNLIMITED CALL or TEXT this refers to the promo of the telecommunication

    company giving subscribers non-stop call or text in a given period of time.

    NETWORK they are the one who provides different services to the customers.

    BRAND NAME it represents the companys product or service, it is also the one

    that the customers prefer in choosing their network provider.

    LONG DISTANCE

    C.E.O. ( Chief Executive Officer ) the one with the highest position in a

    telecommunication company.

    SMART one of the biggest telecommunication network in the Philippines.

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    GLOBE second biggest telecommunication network in the Philippines.

    SUN first telecommunication network in the Philippines that offers unlimited

    call and text promo.

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    Chapter 2

    RELATED LITERATURE

    THE LEADING TELECOMMUNICATION COMPANY IN THE PHILIPPINES

    Sun Cellular

    Raissa Anne S. Bola, former CEO of Sun Cellular. According to him. Before Sun

    entered the market, the competing giants Globe and Smart had been running smoothly

    and its competing for the same price of service, while the lowest-cost providers namely

    Touch Mobile ( a wholly-owned brand of Globe) and Talk n Text ( a wholly-owned

    brand of Smart) offers low prices on calls and services.

    Sun Cellular is one of todays biggest wireless telecommunication providers in

    the Philippines that first introduced the UNLIMITED Call and TEXT in the market. This

    strategy boosted the company into its success today. But this wasnt the case back on its

    beginnings, the Cellular Mobile Philippine Phone, Sun isnt even in the middle of its

    success today.

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    When Sun Cellular entered the scene the two giants did not feel threatened by

    the newcomer. Sun was left behind and needed of a plan to lure more subscribers to

    their network. This became the origin of the UNLIMITED pricing scheme. Sun used

    this strategy to lure customer, and sure enough, the population grew each week. Globe

    and Smart, who was caught unaware with this powerful strategy, were forced to follow.

    Suns, today is providing the best offers and services for its subscribers, Sun Cellular is

    branded as the fastest growing network in the Philippines.

    Smart

    Smart has built a reputation for innovation, having introduced world-first wireless

    data services, including mobile commerce services such as Smart Money, Smart load and

    Smart padala. Smart also offers 3G and HSPA services. Its Smart Link service provides

    communications to the global maritime industry. Smart Broadband Inc., a wholly-owned

    subsidiary , offers a wireless broadband service, Smart BRO. Smart is a wholly-owned

    subsidiary of the Philippines leading telecommunication carrier, the Philippines Long

    Distance Company.

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    Globe

    Is a leading telecommunications company in the Philippines, our mission is to

    transform and enriched lives through communications by way of our vision of making

    great things possible.

    Through our renewed commitment to enriching lives through east and

    relevance, our goal is to enrich everyday communications by simplifying and removing

    obstacle in communication technology so that we bring our customers closer to what

    matters to them most.

    RELATED STUDIES

    CASE STUDY: CELLULAR NETWORK

    cellular networkis a radio network made up of a number ofradio cells (or just cells)

    each served by a fixed transmitter, known as a cell site or base station. These cells are used to

    cover different areas in order to provide radio coverage over a wider area than the area of one

    cell. Cellular networks are inherently asymmetric with a set of fixed main transceivers each

    serving a cell and a set of distributed (generally, but not always, mobile) transceivers which

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    provide services to the network's users.

    Cellular networks offer a number of advantages over alternative solutions:

    y increased capacityy reduced power usagey better coverage

    A good (and simple) example of a cellular system is an old taxi driver's radio system where the

    taxi company will have several transmitters based around a city each operated by an individual

    operator.

    General characteristics

    The primary requirement for a network to succeed as a cellular network is for it to have

    developed a standardized method for each distributed station to distinguish the signal emanating

    from its own transmitter from the signals received from other transmitters. Presently, there are

    two standardized solutions to this issue: frequency division multiple access (FDMA) and; code

    division multiple access (CDMA).

    In the case of the aforementioned taxi company, each radio has a knob. The knob acts as

    a channel selector and allows the radio to tune to different frequencies. As the drivers move

    around, they change from channel to channel. The drivers know which frequency covers

    approximately what area. When they don't get a signal from the transmitter, they also try other

    channels until they find one which works. The taxi drivers only speak one at a time, as invited by

    the operator (in a sense TDMA).

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    SYNTHESIS OF RELATED STUDIES

    In this synthesis of related studies will discuss the function of cellular network in the

    primary networks in the Philippines today.

    Based on the related studies weve gathered, we can say that through this so called

    cellular network, the network providers can be more flexible in giving more services to their

    valued customers.

    Cellular networks offer a number of advantages over alternative solutions:

    o increased capacityo reduced power usageo

    better coverage

    Also through this, they can give satisfaction those customers depending on the services

    they provide.

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    The Research Paradigm

    INPUT PROCESS OUTPUT

    Figure 1

    Respondents

    y 31 2nd year AMarketing

    Management

    students

    y 20 2nd year BMarketing

    Management

    studentsy 28 2nd year C

    Marketing

    Management

    students

    y 33 2nd year DMarketing

    Management

    students

    y Questionnaire

    Asking the students satisfaction

    regarding their network provider

    y 2nd year MarketingManagement students

    y Students Attitudey Tabular Methody Statistical Treatment of

    data

    y Analysis of Data

    Plan of action for

    continuous

    improvement of their

    network provider.

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    Frame one of the model shows the students respondent who are taking

    Marketing Management. These second year students of Marketing Management

    are involved of plan of action for continuous improvement of their network

    provider. It also include questionnaire graph that will help the researcher elicit

    the necessary information from the respondents.

    Frame two consists of asking the students satisfaction regarding their

    network provider, basically on the areas of second year Marketing Management

    students. The availability of second year marketing Management students

    including students attitude, the statistical treatment, tabular data, and analysis

    of gathered data.

    Frame three consists of the action plan for continuous improvement of

    their network provider as a whole to ensure the benefits, not only on the

    Marketing Management students needs but more also in other people.

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    Chapter 3

    METHODOLOGY

    This chapter describes the research design, research environment, respondents of

    the study, data gathering procedure, instrument and statistical treatment of data.

    Research Design

    This research made use of Tabular Method to know what is popular being use by

    the students of the University of Caloocan City. The research is also made by using a

    questionnaire that best fit to our research . This design was used because it involves a set

    of student has been using different SIM Cards.

    Research Environment

    Course of Bachelor of Science in Business Administration Major in Marketing

    Management in second year level has four sections namely 2A, 2B, 2C, and 2D. This

    course is based on the following criteria:

    y This course is easy to gathered the data.Respondents of the Study

    The respondents of the study were Second Year students of Bachelor of Science

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    in Business Administration major in Marketing Management from different sections.

    `Majority of the respondents were female belonging to age bracket of 18 20 y/o.

    Instrumentation

    The researchers made use of questionnaire sheet as our main data gathering

    instrument. Before its administration this went through a developmental procedure

    through assistance of people in authority to give comment and suggestions for the

    improvement of the questionnaire.

    Questionnaire

    a)

    Personal data sheet. This was accomplished by all second year Marketing

    Management students. This helped the researcher to know the profile of the respondents.

    b) There were also 5 sets of checklist accomplished by the second yearMarketing Management students , they were asked to check their answers on the space

    provided.

    Checklist 1. The respondents were asked what SIM are they using right now.

    Checklist 2. The respondents were asked how often they reload their SIM.

    4 Choices were given:

    4 always 3 sometimes 2 seldom 1 never

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    Checklist 3. The respondents were asked how long they are subscribed in their

    respective network.

    3 Choices were given:

    __1 6 mos. __7 11 mos. __1year and up

    Checklist 4. The respondents were asked if do they encounter problems with the

    network they are using, two choices were given: YES or NO, if the respondents answer

    YES they will be asked again, how often it happens. Four choices were given to that

    question:

    4 - always 3 - sometimes 2 - seldom 1 - never

    Checklist 5. The respondents were asked if they were satisfied with the services

    that their network provides. Five choices were given:

    5 - Very Satisfied 4 - Satisfied 3 - Moderate

    2 - Unsatisfied 1 - Very unsatisfied

    Data Gathering Procedure

    The data was collected by face-to-face interaction with the respondents.

    Sample Size

    Size : 154

    Focusing on second year Marketing Management students.

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    Sampling Type

    Sampling Type : Area Sampling

    Data Analysis

    Univariate tabulation percentage, graphs and arithmetic mean were used for data

    analysis.

    Statistical Treatment

    Upon the retrieval of the instrument, the response were properly encoded, tallied,

    and subjected to statistical treatment as follows:

    The Graph 1,2,4, and 5; the researcher used frequency count percentage to

    determine the profile of the respondents.

    The Graph 3,6, and 7 will be analyzed through the tabular method to determine the

    satisfaction of the respondents .

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    Number of sample

    n = N

    1+Ne2

    Where :

    n = sample sizeN = total population

    e = Marginal error which is 5

    Computation of our samples :

    Given :

    N = 154

    e = 5%

    Computation :

    n = 154

    1+154(5%)2

    n = 154

    1+154(.0025)

    n = 154

    1+.0385

    n = 154

    1.0385

    n = 111.19

    *number of sample : 112

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    Number of sample per section

    Z = x/N

    Where :

    Z = sample size per section

    x = number of sample

    N = total no per section

    Computation of our sample per section :

    Given :

    x = 112 N = 4

    Computation of our sample per section :

    Z = x/N

    Z = 112 / 4

    Z = 28

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    Percentage Computation

    % = n/N (100)

    Where;

    n = number of respondent for specific question

    N = total number of respondent

    Weighted Mean

    xw = (wx)w

    Where;

    w = weighted mean factor, frequency (the number of student) who answered the specific

    questions.

    x = points of interval

    (wx) = summation of weighted factor answer points of interval.

    w = summation of weighted factor

    Range

    R = Highest score Lower score

    Starting Points = highest score divided interval

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    Chapter 4

    Presentation, Analysis, and Interpretation of Data

    This Chapter presents analysis, interpretation of data gathered in this study.

    Graph 1

    INTERPRETATION:

    This graph shows the percentage number of the respondent involve in making this survey.

    It shows that 62% or 69 is female respondents and 38% are male respondents.

    As you can see in the data above it shows that there is dominant number of female

    62%

    38%

    Distribution of Respondets to Gender

    female male

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    respondents than male respondents. In this data, we separate the male and female respondents

    to show the number of respondents that willing to answer our survey questionnaire.

    Graph 2

    The SIM CARD that Used by our Respondents

    INTRODUCTION: This graph represents the percentage of the SIM CARD that used by our

    respondents.

    INTERPRETATION:

    The data show that most the student of Marketing Management preferred Talk N Text

    0

    10

    20

    30

    40

    50

    60

    Female

    0

    10

    20

    30

    40

    50

    60

    70

    1 year

    and up

    7-11

    months

    1-6

    months

    Red

    Mobile

    Sun Touch

    Mobile

    Male

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    SIM. But as you can see in graph 2, the male has a large number of percentage that are

    Using Talk N Text SIM Card, and has a big differences between Smart of 6 or 34.79%. In the

    female aspects, they also choose. Talk N Text SIM but the difference between has a small

    number of percentage of 9 or 11.39%.

    You can also notice in graph 2 that the girls do not use Touch Mobile but one of our

    respondents in the boys is using Touch Mobile SIM CARD and has a percentage of 2.17% or 1.

    You can also observe that the girl has a large number of percentages than boys in terms of

    using Sun Cellular SIM. Their difference is 1.07% or 3.

    As the data reveals, both gender preferred Talk N Text SIM CARD because they are

    satisfied in their network provider.

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    Graph 3

    TIMES OF RELOADING THE RESPONDENTS SIM

    INTRODUCTION: This graph shows in how often do the respondents reload their SIM.

    INTERPRETATION:

    As you can see in the first graph for female, 44 or 63.77% of them said they reload their

    SIM Sometimes; 24 or 34.78% said they Always reload their SIM; 1 or 1.45% said they

    reload their SIM Seldom and 0 or 0% said they Never reload their SIM.

    If you go the second graph for male, 31 or 73.81% said they reload their SIM Sometimes;

    0% 20% 40% 60% 80%

    Never

    Seldom

    Sometimes

    Always

    Female

    0% 20% 40% 60% 80%

    Never

    Seldom

    Sometimes

    Always

    Male

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    6 or 14.29% said they Seldom reload their SIM; 5 or 11.90% said they Always reload their SIM

    and 0 or 0% said they Never reload their SIM.

    And as a conclusion, we can say now that majority of both male and female respondents

    reload their SIM Sometimes.

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    Graph 4

    LENGTH OF TIME OF SUBSCRIPTION

    INTODUCTION: This graph shows the length of time of subscription of respondents.

    INTERPRETATION:

    If you can see the graph for female respondents, it shows that 52 of them or 75.36% are

    using their SIM for 1 year and up. Next to them are 11 or 15.94% - using their SIM for 7-11

    months. And the last is 6 or 8.70% - using their SIM for 1-6 months.

    75%

    16%

    9%

    Female

    1 year and up 7-11 months 1-6 months

    81%

    12%7%

    Male

    1 year and up 7-11 months 1-6 months

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    If we go on to the graph for male respondents, 34 of them or 80.95% are using the for 1

    year and up, 15 of them or 11.91% are using their SIM for 7-11 months and 3 of them or

    17.14% are using their SIM for 1-6 months.

    We can say now that both male and female respondents are using their SIM for more

    than 1 year.

    Graph 5

    NETWORK PROBLEMS ENCOUNTERED BY THE RESPONDENTS

    INTRODUCTION: Graph 5 represents the respondents assessment if they encounter problems

    on their network provider.

    86%

    14%

    Female

    Yes No

    86%

    14%

    Male

    Yes No

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    INTERPRETATION:

    Based on the data, weve gathered, 59 female or 85.51% said that theyve

    encounter problems with their network provider, while 10 female or 14.49% said they have not

    encounter problems.

    In the male section, weve found out that 36 of them or 85.71% said theyve

    encounter problems on their network provider, while the remaining 6 or 14.29% said that theyve

    not encounter problems.

    If we compare the two data, we will see that they are almost the same in

    result, majority of both females and males encounter problems.

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    Graph 6

    FREQUENCY PROBLEM ENCOUNTERED BY OUR RESPONDENTS

    INTRODUCTION: This graph show how often they encounter problems.

    INTERPRETATION:

    As the data reveals in graph 6, majority of our female respondent answered

    Sometimes, and has a large number of respondent with a percentage of 59.70% or 40

    respondents. Next is Seldom with a percentage of 29.85% or 21 female respondents. While in

    never in got a percentage of 8.96% or 6, while in Always got a percentage of 1.49% or 1. The

    last two has a difference of 7 or 7.47%. You can notice that Sometime and Seldom has a

    large difference of 29.85% or 20.

    0.00%

    10.00%

    20.00%

    30.00%

    40.00%

    50.00%

    60.00%

    Female

    0.00%

    10.00%

    20.00%

    30.00%

    40.00%

    50.00%

    60.00%

    Male

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    They are almost the same answer but there difference in the number of

    percentage, because male respondents is less than female. Most of the boys answered

    Sometimes, 21 or 51.22%, secondly is Seldom, got 18 or 43.90%, they almost near to each

    other with the difference of 3 or 7.32%. Then last, Always and Never has the same number

    of percentage of 1 or 2.44%.

    Now we can conclude both of our respondents are encountered at

    Sometimes, so they are not very satisfied.

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    Graph 7

    THE SATISFACTION OF THE RESPONDENT

    INTRODUCTION: This graph presentation the satisfaction of our respondents in their network

    provider.

    INTERPRETATION:

    If you notice in this upper left portion female of our presentation, many of

    our respondents said that they are satisfied in their SIM CARD with a percentage of 85.72% or

    59 and the other said they are moderate satisfied has a percentage of 5.72% or 4.

    0.00% 50.00% 100.00%

    Ver y Unsatisfied

    Unsatisfied

    Moderate

    Satisfied

    Very Satisfied

    Female

    0% 20% 40% 60% 80%

    Very Unsatisfied

    Unsatisfied

    Moderate

    Satisfied

    Very Satisfied

    Male

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    In the male upper right portion of our data said that they are satisfied ontheir SIM CARD using with a percentage of 64.29% or 27 and other said that they Moderate

    satisfied and has a percentage of 33.33% or 14.

    We use this tabular method to show the satisfaction of our respondents on

    their SIM CARD using.

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    Chapter 5

    SUMMARY, CONCLUSIONS AND RECOMMENDATIONS

    This chapter presents the summary, conclusions, and recommendations of the study.

    Summary

    The study was conducted to make a statistical report of data about customer

    satisfaction of second year Marketing Management students regarding on their network

    provider.

    Specifically, this study attempted to answer the following questions :

    1. What SIM are they currently using.2. How often are they reloading their SIM.3. How long is their subscription to their network provider.4. How often they encounter problems with their network provider.5. If theyre satisfied to their network.

    The study made use of descriptive method of research using a questionnaire

    checklist as the mean of instrument in gathering data needed for this research work.

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    This study involved 154 students form Bachelor of Science in Business

    Administration major in Marketing Management second year students of University of

    Caloocan City Camarin Annex.

    The gathered data were properly tallied, tabulated and statistically treated using

    frequency count, percentage, weighted mean, rank and analysis of variance.

    Conclusion

    From the data gathered, the following conclusions can be drawn:

    1. Second year students from BSBA Marketing Management mostly preferred touse

    Talk N Text SIM card for some reasons:

    y Affordabilityy Convenience of reloading outlets.y Offers more promos

    2. Most of the respondents have a duration of 1 year and up of using their SIM.3. Majority of the respondents were not fully satisfied with the services provide by their

    network .

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    Recommendations

    Based on the conclusions, the recommendations are hereby given.

    For the network providers, exert more effort to :

    1. Have new product line.2. Give more attention to their advertisements.3. Inform the customers.4. Build more message centers to attain excellence in terms of signal proficiency.5. Compress their product and have a more affordable price.