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Product Category: Projects

Product Code: 00007760

No of Pages: 62

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This study delves into the analysis of consumer preferences regarding mobile telecommunication attributes in Abia state, Nigeria, focusing on subscribers of MTN, GLO, AIRTEL, and ETISALAT within Michael Okpara University of Agriculture, Umudike (MOUAU). The primary objectives include identifying the correlation between network attributes and network patronage, determining the factors influencing consumer preferences for network patronage, and examining the impact of call tariffs on network patronage.

Employing a descriptive research design utilizing survey methodology, data was collected from a sample size of 333 subscribers, derived from the population using Taro Yamane’s formula. Data analysis involved the use of tables, pie charts, percentages, and Spearman’s rank correlation coefficient.

The findings underscore the significance of call quality, low tariffs, network efficiency, and network coverage as critical factors influencing consumer preferences, with mean scores reflecting their importance. Notably, call tariff emerged as the most crucial factor, followed closely by call quality, network coverage, and network efficiency. Conversely, the efficiency of customer service was perceived as less significant in influencing consumer preferences.


The majority of respondents acknowledged the impact of network attributes on their patronage preferences, emphasizing the importance of such attributes in their decision-making process. Additionally, the study revealed a strong and positive relationship between network attributes and patronage, indicating their pivotal role in shaping consumer choices.

Furthermore, the study highlighted the paramount importance of call tariffs in driving consumer preferences for network patronage, suggesting its influential role in decision-making processes.

In conclusion, the study identifies call quality, low tariffs, and network efficiency as the primary attributes influencing consumer preferences and patronage among MOUAU staff, while emphasizing the relatively lower importance of customer service efficiency.

Based on these findings, it is recommended that telecommunication service providers prioritize investments in enhancing call quality, network efficiency, and coverage to meet consumer expectations. While maintaining a focus on customer service efficiency, resources should be allocated judiciously to prevent loss of customers to competitors.







1.1    Background of the Study

1.2    Statement of Problem

1.3    Objectives of the Study

1.4     Research Questions

1.5      Statement of Hypothesis

1.6    Significance of the Study

1.7    Scope of the Study

1.8   Definition of Terms




2.1    Historical background                         

2.2   Theoretical review

2.3    Empirical review

2.3.1 Network effects

2.3.2 Attributes of the service organization

2.3.3 Customers perception and product/ customer attributes

2.3.4 Consumers Experience and Socialization

2.3.5 Repeated Exposure and Advertising

2.4    The Nigeria Mobile Telecommunication Industry: An Overview

2.4.1 History of Mobile Telecommunications in Nigeria

2.4.1 The 21th Century

2.4.2 The Players in the Industry

2.4.3 The Growth Progression

2.5 The Current Situation of Nigerian Mobile Telecommunication Industry

2.6 Relevance of the mobile telecommunications industry to the Nigerian


2. 7 Challenges facing mobile telecommunication service provision in Nigeria

2.8 Consumer Perception

2.8.1 Factors Affecting Product/service preference




3.1    Research Design

3.2   Areas of the Study

3.3   Population of the study

3.4    Determination of sample size

3.6      Sample and Sampling Technique

3.7    Data analysis techniques

3.8      Model Specification

3.9      Reliability and validity of research instrument




4.1   Data Presentation

4.2   Test Hypothesis

4.2.1 Restatement of Hypotheses




5.1   Summary  

5.2   Conclusion

5.3   Recommendation



Table 1:        Annual cost of generating power for MTN, GLO, AIRTEL, ETISALAT.

Table 4.1       what factors/attribute influences preference of a network

Table 4.2:      What is the level of patronage of your preferred network

Table 4.3:      To what extent does network attribute affect the patronage of your

preferred network?

Table 4.6:      What is the nature of your preferred network and network attribute


Table 4.7:      What the relationship between the call tariff and consumed

preference of network patronage










Figure 4.1     Questionnaire Distributed and Returned


Figure 4.2     Academic Union










1.1    Background of the Study

The history of mobile telecommunication dates back to 1886, when Adegboyega (2008), noted that a cable connection was established between Lagos and London, by the colonial administration. Bakare and Gold (2013), also said that from the onset it was clear that the introduction of telephone services in Nigeria was not induced by commercial or economic motives, but rather to serve the interest of the colonial administrators. Telephone connections to other parts of the country continued gradually, and at independence in 1960, and with a population of about 45million people, the country only had 18,724 phone lines in use (Bakare et al, 2013).

However, between 1960 and 1985, telecommunication services became commercialized. The old Department of Post and Telecommunications (P & T) under the Ministry of Communications was removed from the Ministry and Nigeria External Communication (NET) was created to take care of external telecommunications services, while the old Post and Telecommunications (P&T) handled internal networks (Salawu 2012). By January 1985, the Post and Telecommunication (P&T) divisions, merged with Nigeria External Telecommunication (NET) to form Nigeria Telecommunication Limited (NITEL). The objective of establishing NITEL was to harmonize the planning and coordination of the Post and Telecommunication (P&T) and Nigeria External Telecommunication (NET) services rationalize investments in Telecoms development and provide accessible, efficient and affordable service. NITEL thereafter, the only national monopoly operator in the sector, was synonymous with epileptic services and bad management, which made telephone then to be unreliable, congested, expensive and customer unfriendly. Ajayi et al (2012). This was actually the state of affairs in NITEL before the deregulation of the Telecom sector in 2001.

Deregulation started with the granting of license to three companies to provide wireless Telecommunication services using the Global system for mobile (GSM). Though four GSM licenses were initially auctioned, three were actually issued- Mobile Telecommunication Network (MTN), Mobile Telecommunications services (MTEL) and Econet Wireless Nigeria, now Airtel. In subsequent years, more licenses were approved for GLOBACOM, ETISALAT and some other mobile telecommunication service providers to render similar services.

Nowadays, due to competition, the telecommunication service providers offer innovative services as well as competitive prices also. The nature of the competition today in the Global telecommunications industry seems to centre on market activities that aim at gaining competitive advantages through strategic combinations of resources and presence in multiple services and geographical areas (Chanolmsted and Jamison, 2013).  In a competitive market, service providers are expected to compete on both price and quality of services and also it is necessary for the service providers to meet the customer’s requirements and expectations in price and service quality (Melody 2011).

As competition is increasing among the companies, it is necessary  for them to know about the consumers perception about the price, promotion, product, service quality and other important attribute that are playing a vital role to choose the telecommunication service provider. Service is a form of attitude which is related to satisfaction and also leads to consumer loyalty (Johnson and Sirikit, 2002) and future purchase. In particular, consumers prefer service quality when the price and other cost elements are held constant (Boyer and Hult, 2012). Service quality is essential and important for a telecommunication service provider company to ensure the quality service for establishing and maintaining loyal and profitable customer (Zeithaml, 2013, Leisen and Vance, 2012). Conversely, Johnson and Sirikit (2002) stated that service delivery systems have the ability to allow managers of company to identify the real customer feedback and satisfaction on their telecommunication service since; quality reflects the customer’s expectations about a product or service. (Love lock 2000)

Generally, service and product quality is in the mind of the consumers. So it is necessary for the mobile telecommunication service providers to talk with the consumers for measuring quality. Since, quality reflects the extent to which a service meets or exceeds consumer expectations   (Wal et al, 2012). Service quality has significant influence on consumer’s preference for mobile telecommunication.


1.2      Statement Of Problem

There is no doubt therefore that the deregulation or the separation of the telephone regulator from the networks/service providers by the establishment of the NCC (Nigeria communication commission), has revolutionized the telecommunication sector in Nigeria. The operators have not made the use of mobile telecommunication pleasurable experience for subscribers, not minding the huge revenue they make from their rather high tariff.

 Olatokun and Nwonne (2012), quoting Henning  Thurau et al, (2000) affirmed that satisfaction of consumers with products and services of a company is considered the most important factor leading towards competitiveness and success and it is what makes consumers loyal to one telecommunication service provider or the other. Proper understanding of the consumer is therefore strategic for the telecommunication industry. Evaluating the perception of a mobile user in a highly competitive telecommunication market is very crucial (Olatokun and Nwonne, 2012).

Thus far, most of the studies conducted on consumer preference for mobile telecommunication attributes are outside the shores of Nigeria. Other countries like London, Canada, Turkey, and other developed economies have various external and internal factors that might affect their preference for mobile telecommunication attributes which might not be obtainable in Nigeria. Therefore, the preference pattern of this country cannot be the same with Abia. This is a gap, which if bridged, should assist the firms in their marketing strategy implementation.


1.3    Objectives Of the Study

The broad objective of this study is to carryout an analysis of consumer’s preference for mobile telecommunication attributes in Abia state. The specific objectives are:

1.    To identify the relationship between network attributes and network patronage.

2.    To identify the factor that influence consumer’s preference for network patronage.

3.    To examine the effect of tariff (call rate) for network patronage


1.4     Research Questions

1. what is the relationship between network attribute ad network patronage

2. What factors influences the preference of a network patronage?

3. What are the effects of tariff (call rate) on consumer’s preference for network patronage?


1.6           Statement Of Hypothesis

Ho1: network attributes/ factor does not influence consumer preference for a network

 Ho2: There is no significant relationship between network attribute/ and network patronage

Ho3: There is no significant relationship between call tariff and consumers preference for network patronage


1.6    Significance Of The Study

This analysis seeks to provide solution to the numerous challenges facing Nigeria mobile telecommunication industry. Mobile telecommunication subscribers are assets and their value increases and decline in relation to the service rendered by marketing institution or service providers. This view expresses the unique motivation and importance for this study.

Customer patronage is key to the survival of any organization. The increasing competition being witness in the mobile telecommunication industry and cost of switching from one service provider to another makes this study a significant one.

Furthermore, owing to the objective of this study, it will be beneficial to academia, consumers, service providers, government and market regulators.


1.7    Scope Of The Study

 The subject scope is in the area of consumer behavior, the geographical scope is MOUAU, the coverage scope is subscribers of telecommunication services (MTN, GLO, AIRTEL, and ETISALAT)


1.8     Definition Of Terms

Consumer: This can be defined as an individual who buys products or services for personal use and not for manufacture or resale.

Consumer’s preference: This is defined as the subjective (individual) tastes, as measured by utility, of various bundle of goods.

Perceived Quality: These can be defined as the consumers judgment of the products overall excellence or superiority.

Product/Service Attributes: In this content, it will be described as the actual cores. Product service offer after which subsequently determines product acceptance i.e. defining the benefit that the product will offer.

Customer’s Satisfaction: is defined as the level of fulfillment which denotes positive effective and evaluates preference of an identical brand or product.

Patronage: It’s the support, encouragement, privilege, or financial aid that an organization or individual bestows to another.


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