Nature of Business - Pok

Nature of the Business

• Products: Mostly are mobile phones and smart phones. Some shops will add more variety with MP3 players and other gadgets like iPad.

• Stores: Consumers can buy the products at 2 different types of shops.
   o Authorized dealer: such as AIS, DTAC, or Jaymart. These stores offer 100% original products (No fraud or modified), but with a little higher price. They also give a longer warranty period.
   o Non-authorized dealer: like those small shops in MBK (L77 is one of them). Those shops charge for a lower price than the authorized dealer, while they cannot guarantee the products as the original version (Even though they tell the customers that their products are not counterfeit, no one would believe that). In addition, they offer shorter warranty period, but have services like free application or give MP3 ring tone for free.

• Consumers’ behavior: Starting from needs to awareness to consideration until making the decision to buy.
  o Needs: consumers might need to buy a new mobile phone, because the old one is broken or out-of-fashion.
  o Awareness and Consideration: consumers started to search for a new one on Internet or get some references from friends or family. Then they will compare those data and decide which model of the products they like, and they also find a shop to buy it.
  o Making decision: Most consumers will make the transaction at the shop recommended by reference persons. If they were not received any suggestions, they will have to choose to buy from the shops that gives them comfortable and creditability or they will select the authorize dealer as a last resort.