Selection of Cellular Operators in Bangladesh: An Empirical Analysis

Khairul Alom, Ashik Imran Khan and ANM Meshquat Uddin

Abstract:

This study attempts to identify the determinants of cellular operator selection based on a multi-item measure used for data collection. Results reveal that two factors, brand image and perceived call rate, have strong positive and significant influence on consumers' selection of a cellular operator in Bangladesh. Perceived value-added services and perceived customer services have less impact compared to other factors, but have positive and significant influence on consumers' brand selection. Only strong network coverage has shown comparatively less positive influence on brand selection. The study identifies unanswered questions and shows future research implications.

Introduction

There are six mobile operators including four private PSTNs (Public Switching Telephone Network) and the government controlled BTCL (Bangladesh Telecommunication Company Limited) operating in the Bangladesh mobile industry. The level of ongoing competition is visible here and the market is highly competitive, but still there are huge opportunities for exploring potential subscribers. The growth rate of this sector has become sluggish compared to past trends. Cox (1962) was one researcher who developed a model of the consumer product evaluation process. Since then, researchers have concentrated on brand evaluation research, focusing on the influence of different types of cues. Therefore, it is the perfect time to retain consumers by offering excellent services in every aspect, increasing subscriber demand through demand generation, and ensuring the revenue generating base (RGB) of subscribers to survive stiff competition in the competitive market (Zeithaml, 1988).