...Nokia is a mobile technology manufacturer headquartered in Espoo, Finland with 2010 revenue of $43Billion. A pioneer in manufacturing mobile phones and the GSM technology, Nokia’s profitability has been on the decline in recent years. A reduction of market share in N. America of 35% in March 2008 to 8.1% in April 2010 highlights Nokia’s decline. This led its Board of Directors to replace its CEO with Stephen Elop. Find below a SWOT analysis description and summary document on Nokia. Strengths Nokia has a lot of strengths going in its favor. It is the worldwide leader in mobile phone sales and in 1987 introduced one of the world’s first handheld phones while being a key developer of GSM (Global System for Mobile Communications). GSM is used predominantly as the cellular phone protocol worldwide except in North America which uses CDMA (Code division multiple access). Nokia has an international research capability that creates specific phone models to certain regions. This increases their value of the mobile phones as the customers are given a product that is tailored to their specific needs. Apart from the Mobile Phone segment, Nokia also owns NAVTEQ, which is a provider of Geographic Information Systems and Global Positioning Systems (GPS), and a lot of other mobile phone technology providers. Nokia recently hired Stephen Elop as its CEO. This move is a positive one as Stephen Elop brings with him a diverse telecommunications career and also networking connections with Microsoft...
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...Nokia Corporation Company Profile Publication Date: 27 Aug 2010 www.datamonitor.com Europe, Middle East & Africa 119 Farringdon Road London EC1R 3DA United Kingdom t: +44 20 7551 9000 f: +44 20 7551 9090 e: euroinfo@datamonitor.com Americas 245 5th Avenue 4th Floor New York, NY 10016 USA t: +1 212 686 7400 f: +1 212 686 2626 e: usinfo@datamonitor.com Asia Pacific Level 46 2 Park Street Sydney, NSW 2000 Australia t: +61 2 8705 6900 f: +61 2 8088 7405 e: apinfo@datamonitor.com Nokia Corporation ABOUT DATAMONITOR Datamonitor is a leading business information company specializing in industry analysis. Through its proprietary databases and wealth of expertise, Datamonitor provides clients with unbiased expert analysis and in depth forecasts for six industry sectors: Healthcare, Technology, Automotive, Energy, Consumer Markets, and Financial Services. The company also advises clients on the impact that new technology and eCommerce will have on their businesses. Datamonitor maintains its headquarters in London, and regional offices in New York, Frankfurt, and Hong Kong. The company serves the world's largest 5000 companies. Datamonitor's premium reports are based on primary research with industry panels and consumers. We gather information on market segmentation, market growth and pricing, competitors and products. Our experts then interpret this data to produce detailed forecasts and actionable recommendations, helping you create new business opportunities and ideas...
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...Nokia microsoft Steve ballamer = chief executive of microsoft. Microsoft bought Nokia phone business for a total amount of 5.4 billions Nokia licences patens and mapping services to microsoft. Nokia share jump 35% . microsoft fell by 5%. Ballamer : microsoft known for software pcs to a company that focuses on mobile devices. Aim to turn a software comany into a devices and services business- Microsoft struggles as consumeres replaced traditional pc ‘s for tablets and smartphones. Critics say microsoft has been to slow to respond to the booming market mobile devices. It is a necessary gamble for microsoft to break into mobile, but given its complete reliance on nokia for windows phones devices and competitive position of apple and google with rival phone plattforms an understanable move… WTF ???? Background: nokia founded in 1871 1987 launches 1st phone. = mobira cityman 2000 stock market value: hits 186billion euros ( now worth 11) 2003 basic 1100 launched and become sthe most popular consumer electronic device. 2011: abandons symbian mobile phon operating system and switches to the windows platform instead. 2013 : launches Lumia 1020 boasting a 41 megapixel camera. Sold 53.7 million devices during the quarter ( which one ) and down to 27% down sales on last year. ( does not make sense) Microsoft signed a dela to 10 year licensing arrangement with nokia to use their brand on current mobile phone products. Microsoft deal= strategy...
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...Nokia SWOT analysis (Barney, 1991). Internal analysis (Resource-based model) Strengths – Having the advanced technology over the competitors in the mobile phone industry – Decentralized company structure, innovative and creative employees and Charismatic strong leader, such as: Jorma Ollila. – The market leadership in the mobile industry. – Strong brand name and company image in the global market – Has its own manufacture and network. – Product innovation. – Economy of scale Weaknesses – Complacency and arrogance. – Few customized, operator-specific handsets. – Few alliances, company sticks to its standing in the market, do not want to cooperate with the operators. External analysis (Environmental models of competitive advantage) Opportunities – The emerging market in developing countries, such as China, India – The emerging market for high-end mobile phone such as business user phone. Threats – Facing more new competitors, especially from Asia. – Stronger buyer power from the network operators. – Lost market share – The market becomes saturatedong competition in mobile industry OPPORTUNITIES LG: its...
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...Nokia Swot Analysis Nokia SWOT Analysis Nokia group is the world’s largest mobile phone manufactures. Strengths Strong brand image, Nokia’s core asset is its strong brand image.A strong and highly visible brand enables the company to command a premium for its products and distinguish from the competitors.Nokia’s brand is the fifth most valued brand in the word according to the top 100 best brands list compiled by interbrand in 2009. Significant market position, Nokia has been a hignly efficient manufacturing and logistics machine.It posseses the largest network of distribution selling its products all the world.So Nokia probably is still the No.1 in terms of volume now.In addition ,Nokia has dominance in the low- to mid- ranges,especially in developing markets like India. Weakness Low competitiveness in smartphones market. Nokia’s high-end devices are weak, lacking appealing touch screen and sleek designs compared with the products of its competitors.Moreover,most of smartphone’s value is now in software and data services.Nokia’s strength is producing handsets but its software platform is regarded technically inferior. Turning a hardware-maker into a provider of software and services is no easy undertaking.So it is hard for Nokia to found a way to shift from hardware to software. Weak presence in the US Losing its edge in smartphone battle has put Nokia’s share under pressure in developed markets ,particularly the US.Nokia has a relatively weak presence in the...
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...Nokia SWOT Analysis Nokia group is the world’s largest mobile phone manufactures. Strengths Strong brand image, Nokia’s core asset is its strong brand image.A strong and highly visible brand enables the company to command a premium for its products and distinguish from the competitors.Nokia’s brand is the fifth most valued brand in the word according to the top 100 best brands list compiled by interbrand in 2009. Significant market position, Nokia has been a hignly efficient manufacturing and logistics machine.It posseses the largest network of distribution selling its products all the world.So Nokia probably is still the No.1 in terms of volume now.In addition ,Nokia has dominance in the low- to mid- ranges,especially in developing markets like India. Weakness Low competitiveness in smartphones market. Nokia’s high-end devices are weak, lacking appealing touch screen and sleek designs compared with the products of its competitors.Moreover,most of smartphone’s value is now in software and data services.Nokia’s strength is producing handsets but its software platform is regarded technically inferior. Turning a hardware-maker into a provider of software and services is no easy undertaking.So it is hard for Nokia to found a way to shift from hardware to software. Weak presence in the US Losing its edge in smartphone battle has put Nokia’s share under pressure in developed markets ,particularly the US.Nokia has a relatively weak presence in the US compared to its competitors...
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...However, it’s a challenge for a Chinese company, because in recent years, many of Chinese companies have being gone abroad, to exploit overseas market. Now, choose one Chinese company(for example Li Ning’s international marketing strategy) marketing consumer goods to American consumers, and you are the marketing manager responsible for American market. Please complete the tasks as following: Task 1 Analyse the concepts and process of marketing, and you are required to do these considering the company you choose. To do this, you should introduce your company briefly first. Li Ning Company Limited is one of the leading sports brand enterprises in the PRC, possessing brand marketing, research and development, design, manufacturing, distribution and retail capabilities. The Group's products mainly include footwear, apparel, equipment and accessories for sport and leisure uses under its own Li Ning brand. The Group has established an extensive supply chain management system, and a distribution and retail network in the PRC primarily through outsourcing of manufacturing operations and distribution via franchised agents. The Group also directly operates retail stores for the Li Ning brand. The Group adopts a multi-brand business development strategy. In addition to its core Li Ning brand, the Group (i) distributes sports products under its Z-DO brand via hypermarket channel; (ii) manufactures, markets, distributes and sells outdoor sports products under the French brand AIGLE...
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...About the company Nokia Corporation (NYSE: NOK) is one of the world’s largest telecommunications equipment manufacturers. It has since established a leading brand presence in many local markets, and business has expanded considerably in all areas to support customer needs and the growth of the telecommunications industry. Nokia also produces mobile phone infrastructure and other telecommunications equipment for applications such as traditional voice telephony, ISDN, broadband access, professional mobile radio, voice over IP, wireless LAN and a line of satellite receivers. Nokia provides mobile communication equipment for every major market and protocol, including GSM, CDMA, and WCDMA. SWOT Analysis of the Company: Nokia Strengths: - Nokia has largest network of distribution and selling as compared to other mobile phone company in the world. It is backed with the high quality and professional team in the HRD Dept. The financial aspect is very strong in case of Nokia as it has many more profitable business. The product being user friendly and have all the accessories one want that is why is in great demand making it No-1 selling mobile phones in the world. Wide range of products for all class. The re-sell value of Nokia phones are high compared to other company’s product. Weakness: – Nokia has many strengths and some weakness. Some of the weakness includes the price of the product offered by the company. Some of the products are not user friendly. Not concern about the...
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...Introduction Nokia is of the largest telecommunication manufacturer company and is known globally for its reliable and good quality products. It has good reputation all around the world. It is leading brand in some areas and still growing day by day. About the company Nokia Corporation (NYSE: NOK) is one of the world's largest telecommunications equipment manufacturers. It has since established a leading brand presence in many local markets, and business has expanded considerably in all areas to support customer needs and the growth of the telecommunications industry. Nokia also produces mobile phone infrastructure and other telecommunications equipment for applications such as traditional voice telephony, ISDN, broadband access, professional mobile radio, voice over IP, wireless LAN and a line of satellite receivers. Nokia provides mobile communication equipment for every major market and protocol, including GSM, CDMA, and WCDMA. SWOT analysis of Nokia SWOT analysis is the tool which helps the organization to understand where it stands. The SWOT analysis of Nokia make it understand that where Nokia stand in the market. Strengths * Strong brand name Nokia has the strong brand name which is its one of the most important strength because it is then favorable for Nokia to launch its new products because it is reliable for the customers by establish as strong brand. * User friendly The product being user friendly and have all the accessories one want that is why...
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...Introduction This report is designed to analyze Nokia Company and provide some recommendations for actions to improve its current competitive position. In addition, this report will discuss the overview of Nokia, its competitive advantages, the environmental scanning, five forces analysis, capabilities analysis, and competitive positioning. This analysis will help Nokia company to improve its services which will help it to attract many customers. Overview “Nokia is a leader in the fields of network infrastructure, location-based technologies and advanced technologies. Headquartered in Espoo, Finland, and with operations around the world, Nokia invests in the technologies of the future. Moreover, Nokia deals in wireless technology and mobile phones. It involves producing mobile phones for all customers. Nokia offers a wide range of mobiles for target customers. Until recently, Nokia also was a key participant in the mobile devices market through its Devices & Services business. In September 2013, Nokia announced an agreement with Microsoft whereby it would sell substantially all of its Devices & Services business to Microsoft. The transaction was completed on April 25, 2014.” (Nokia 2014) Competitive Advantages Nokia started 18 months back even before Android and iPhone and this make them have strong brand name. Also, Nokia offers cost effective and compatible products. This is because it has different prices where low income earners can be afford and those of high income...
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...A CASE ON RISE & FALL OF NOKIA (INSIGHT TO THEIR STRETEGIES) Submitted by: RAJIV KUMR ROHILA – S065 JAGDEEP SINGH - S029 TOSHIT KUMAR - N065 Case Overview NOKIA was the most successful European company of the 1990s. The Finnish mobile-phone manufacturer captured the emerging market for mobile phones and built the industry's most powerful brand. Its handsets virtually defined the industry from the time it launched its first GSM phone, the 1011, in 1992. From 1996 to 2001 its revenues increased almost fivefold, and by 1998 it was the world's biggest mobile manufacturer. In 2005, it sold its billionth handset, an 1100 to a customer in Nigeria. Despite being the market leader in the mobile phone market since 1998, the company saw a decline in its brand value since the early 2000. It was once a firm with turnover exceeding the tax revenue of the country it was based in. However, the company not only first lost its number one ranking, a position it had held for 14 years but reach to sell-off in less than 10 years. So the most valid question from all is what happened to Finland's most beloved company? This case is all about analysis of NOKIA’s strategies responsible for its market domination to sell-off . Snapshot of NOKIA’s History To understand the Rise and Fall of NOKIA, it is important to track the history of NOKIA on a single canvas. The same is attempted through following...
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...NOKIA MARKETING PLAN PROJECT INTRODUCTION Nokia was founded in 1865 as a paper mill in Finland. It went on to establish it’s self as a renowned mobile phone manufacturer and one of the most powerful brands in the world. In 1992 Nokia shifted its focus to primarily telecommunications and appointed Jorma Ollila as its CEO. Six years later in 1998 Nokia had established it’s self as the world’s largest mobile phone manufacturer with a turnover of 31 billion. In 2006, Olli-Pekka Kallasvuo replaced Jorma Ollila as the CEO, but was not able to reverse the decline of Nokia’s market share especially in the high end segment. Competitors like Apple, Blackberry, HTC, Samsung, and phones using Google’s Android operating system captured market share from Nokia at an alarmingly increasing rate. By the end of 2010 Android was already the most widespread smart phone operating system in the world and Nokia’s market share in the smart phone segment had declined from 38 to 31 percent in one year (Sokala). In September 2010, the appointment of the Canadian Stephen Elop as the new CEO of Nokia aroused adversarial feelings among people since Elop became Nokia’s first CEO not to originate from Finland. Elop was hired to change the course of Nokia and to stop the declining trend in Nokia’s global market share especially in the smart phone segment. The first major decision was to start extensive cooperation with Microsoft in February 2011. VISION AND STRATEGY Nokia’s mission is simple: Connecting...
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...Case Study Introduction Finland-headquartered Nokia was a global telecommunications equipment manufacturer that also operated a luxury mobile phone brand called Vertu. Vertu was founded by Frank Nuovo by using precious materials, fine jewels and exotic leathers (Kwong & Wong, 2011). Vertu was unique, luxurious and one of a kind, for a moment in time. Synopsis of the Situation Nokia has been one of if not the leader in the telecommunication equipment industry for a long time. Under the new management of Stephen Elop, he allowed Nokia’s chief designer, Frank Nuovo design and run at arm’s length in England the creation of the never-seen before luxury phone called Vertu. With the birth of the Vertu phone, it showed growth in 70 countries selling mobile phones (Kwong & Wong, 2011). Things would not stay golden forever though. Key Issues After years of being that one-of-a-kind luxury mobile phone competitors began wanting in on the niche but profitable market. Technology was also growing faster than Vertu phone were keeping up with. With this revenues began to fall. Elop made the executive decision to partner with Microsoft windows to adopt their operating system since Nokia’s was OP becoming obsolete. Define the Problem Elop’s strategy to partner with Microsoft in order to convert over to Windows OP system failed due to the a .14 cent drop in Nokia’s share prices the day of the closing on the partnership. Does Nokia keep Vertu at arm’s length or pull it in closer...
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...Unit 3 Vertu Case SWOT analysis Kaplan University School of Business MT460 Management Policy and Strategy Lionel McMillon Prof. Andryce Zurick SWOT Analysis of Vertu Modern SWOT Analysis A SWOT analysis undertakes an external and internal evaluation of Vertu’s business environment; it is an essential part environment, policy planning process. Strengths * Is a major player in the mobile market through its majority possession of Symbian shares? * Nokia has cost advantages compared to other mobile phone companies * The Brand status of Nokia is probably one of the top brands globally (Kwong & Wong, 2011). Weaknesses * The N-Gage is seen as a flop * Being the market principal and its high role in Symbian is giving the company a bad picture, just like Microsoft in the PC sector. * The brand is slow in adopting new ways of thinking. For example in clamshell phones which are favored by many customers. * Leverage its communications to get favor and a stronger status with carriers (Kwong & Wong, 2011). Opportunities * enhance their presence in CDMA industry, which they are * New developing markets where product adoption still has space to go, like India and other countries. * Use its infrastructure strategy to get first choice and a stronger status with carrier (Kwong & Wong, 2011). Threats * Delay in the game in 3G causes a risk to be surpassed by leaders such as Motorola, LG, NEC and others and...
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...The case study of Nokia Table of content Acronyms 2 Executive summary 2 1.0 Case background 3 2.0 Method 3 3.0 Large scale organizational change 3 4.0 Body of analysis 3 4.1 Background to this change 3 4.2 Key pressures 4 4.2.1Environmental pressures 5 4.2.1.1 Market decline pressure 5 4.2.1.2 Hyper competition Pressures 6 4.2.1.3 Reputation and Credibility Pressures 6 4.2.2 Organizational pressure 7 4.3 Relevant management models 7 4.3.1 SWOT analysis 8 4.3.1.1 Strength and weakness 8 4.3.1.2 Opportunity and threats 8 4.3.2 Scenario Planning Model 9 4.4 Organizational change unfolded over time 10 4.5 Overall evaluation of the change 11 5.0 Conclusion 12 6.0 References 13 7.0 Appendices 13 Acronyms ...
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