...above industry-average profit. However, since both the business environment and individual firms are dynamic systems, continuously in flux, it is a big challenge to achieve a fit between these two systems (de Wit B and Meyer R., 2004) and therefore get the competitive advantage. This essay will firstly assess and consider the balance of marketled and resource-based approaches from the academic point of view. These two approaches should be viewed as complementary (Prahalad and Hamel, 1990; Mintzberg et al, 1995; Greenley and Oktemgil, 1996). Following the discussion, the essay just analyzes Nokia’s strategies and empirically justified the reciprocal and complementary relationship between these two approaches. On the process of Nokia’s development, the company achieved success because it could balance these two approaches well. Once it failed to do so, the company immediately suffered the fall in 2004, lost market share and decreased the revenue. However, the company quickly recovered because it followed the market trends, and simultaneously its strong internal strengths neutralised the external threats. In addition, I will argue that Nokia can maintain its market share and its market leader position in the following years based on the good market opportunities in mobile phone industry and its strong internal resources basis. Secondly, this essay will assess Nokia’s strategies in terms of emergent and planned approaches as well. Within the dynamic and complex mobile phone industry...
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...above industry-average profit. However, since both the business environment and individual firms are dynamic systems, continuously in flux, it is a big challenge to achieve a fit between these two systems (de Wit B and Meyer R., 2004) and therefore get the competitive advantage. This essay will firstly assess and consider the balance of marketled and resource-based approaches from the academic point of view. These two approaches should be viewed as complementary (Prahalad and Hamel, 1990; Mintzberg et al, 1995; Greenley and Oktemgil, 1996). Following the discussion, the essay just analyzes Nokia’s strategies and empirically justified the reciprocal and complementary relationship between these two approaches. On the process of Nokia’s development, the company achieved success because it could balance these two approaches well. Once it failed to do so, the company immediately suffered the fall in 2004, lost market share and decreased the revenue. However, the company quickly recovered because it followed the market trends, and simultaneously its strong internal strengths neutralised the external threats. In addition, I will argue that Nokia can maintain its market share and its market leader position in the following years based on the good market opportunities in mobile phone industry and its strong internal resources basis. Secondly, this essay will assess Nokia’s strategies in terms of emergent and planned approaches as well. Within the dynamic and complex mobile phone industry...
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... 3.3. Threat of Substitutes (low) 5 3.4. Threat of New Entrants (medium) 5 3.5. Industry Rivalry (high) 6 4. Strategic Recommendations 6 4.1. Differential Strategy of Technology 6 4.2. Differential Strategy of Product 6 4.3. Differential Strategy of Service 7 4.4. Differential Strategy of Brand 7 5. Conclusion 7 References 9 1. Introduction Huawei Device Co., Ltd which belongs to Huawei Technologies Co., Ltd., is one of the 4 big business groups of Huawei. The research and development of Huawei Device began in 1993, and rich experiences have been accumulated in several terminal technology fields, such as WCDMA, CDMA, GSM, video, access terminals, and application terminal. Huawei’s devices cover mobile phone, mobile broadband, fusion terminal and video etc. Now, Huawei Device serves 45th in "the world's top 50 telecoms operators" (Huawei, 2016), thus becoming the strategic partner of the world's leading operators, such as BT, Vodafone and Telefonica. With the rapid development of mobile broadband technology and mobile communication industry in China, due to its huge market potential, China has become world’s most competitive mobile phone markets where the famous mobile phone brands such as Apple, and Samsung in. Besides, more and more enterprises have also engaged in the global mobile phone industry (Euromonitor, 2016). As the world's leading network...
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...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 short liners in this regard: |1865: ...
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...about the challenges faced by Stephen Elop who is the new appointed president and Chief Executive Officer of Nokia Corporation in year 2010. Stephen Elop as the former head of Microsoft’s Business Division3 (MBD), was brought in to fix the numerous problems faced by the world’s leading mobile phone company, Nokia. His task for entering Nokia is an exertive job because he is expected to reverse not only Nokia’s eroding market share in the high-end smartphone industry segment but also its sharp dropping profits. The Finland-based Nokia had a presence in over 160 countries as of 2010. Although it was the world’s largest mobile phone maker in the first quarter of 2010, Nokia had been losing market share consistently in the high-end mobile phone market. Due to its profit margins have a dropping figure that caused by the company threats, year 2010 has been considered as a tough year for Nokia. On the end of second quarter of Nokia, the company received a substantial drop in profits. According to the analysts, the company’s problems started since 2007 when smartphone portfolio created by competitors and catch an enormous attention on the market. The company loses its customers in the high-end mobile phone market and failed to establish its presence in the world's largest smartphone market, United State as the company failed to create striking smartphone constitutes to catch the eyes of customers among the competitors. To improve the company situation, Nokia decided to overhaul its management...
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...Victoria DeGuzman 4/19/2016 T-Mobile Name: T-Mobile USA Industry: Telecommunications Website: www.t-mobile.com BACKGROUND and HISTORY T-Mobile USA is a national provider of wireless voice, messaging, and data services capable of reaching over 293 million Americans where they live, work, and play. Around the country, our Personal Coverage Check gives customers a clear picture of their local coverage. Presently John J. Legere is an American businessman who is the chief executive officer and president of T-Mobile US. -Mobile US Inc. said earnings nearly tripled in the fourth quarter as the wireless provider continues to add customers at a solid clip as of Feb, 2016. T-Mobile reported 2.1 million net ads in its latest period, bringing its tally for the year to 8.3 million. Meanwhile, the company boosted branded postpaid customers--the most lucrative type of wireless subscriber--by 1.3 million in the quarter. T-Mobile continued to be the fastest growing wireless company in America in the third quarter of 2015 as customers continue to flock to the Un-carrier for value, flexibility and choice. The Company reported 61.2 million total customers at the end of the third quarter, growing its base by 2.3 million total customers. T-Mobile has successfully delivered over 1 million total net customer additions for the past ten quarters and more than 2 million in five of the past seven quarters. ANALYSIS VIA PORTER’S FIVE FORCES MODEL The five forces applied to T-Mobile gives the management...
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...from the Ministry of Posts and Telecommunications, Bangladesh government. March 26, 1997: Grameen Phone launched its service on the Independence day. December 1998: Launched the GP-GP service. September 1999: Launched a unique billing system, EASY which is the Prepaid service. The shareholders Grammen Phone has equity of 55 USD. It is divides among four partners of which Telenor is major. The equity structure of Grameen Phone is as below: [pic] Telenor: It is the state owned telecommunications company in Norway, a country with one of the highest mobile phone densities in the world. Telenor is using the expertise it has gained in its home and international markets and putting it to use in an emerging market such as Bangladesh. Grameen Telecom: It is a non-profit company registered as per the laws of Bangladesh for attaining certain social objectives. Marubeni Corporation: It is one of the leading Japanese trading companies. Gonofone Development Corporation: It was established in New York in the early 1994 for the sole purpose of organizing Grameen Phone. The major lenders are International Finance Corporation, Commonwealth Development Corporation, Asian Development Bank and NORAD. It has given Grameen Phone loan of 50 USD. It also has preferred shareholders of USD 5 million. Industry analysis General environment Macro-economic: Grameen phone is doing business across the nation. So macro-economic variables like purchasing power, exchange rate...
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...INNOVATION STRATEGY FOR LG ELECTRONICS Thanks to the continuous technological innovation of handsets, the rise of mobile phones has been nothing short of phenomenal and the trend is expected to continue in the years to come (Frost & Sullivan, 2006). Their continued success is down to the fact that today’s handsets have become much more than simply mobile phones. A mobile phone can function as a camera, PDA and has many other features such as gaming functions and access to the Internet. Based on 3G, broadband is also paving the way for video-telephony and TV viewing. Characterised by continuous change and innovation, the mobile phone industry then sets an exciting stage for devising an innovation strategy. Our focus will be on mobile phone manufacturer LG. LG Electronics, Inc. is in fact a consumer electronics company with two other business units (Digital Display & Media and Digital Appliances), besides the Handset unit we will focus on in our report. On a global scale, LG’s handset division is 5th in terms of market share based on handset revenue, behind Nokia, Motorola, Samsung, and Sony Ericsson (see Appendix 1). Despite not being in the ‘Big Four’, LG’s market position is that of a strong challenger considering the many other ‘me too’ competitors that exist (e.g. NEC, Sanyo), but who fail to register in consumers’ minds. LG’s achievement can be seen to be mainly due to the success of their ‘Black’ series with popular models such as ‘Chocolate’ and ‘Shine’. Industry experts...
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...Wireless Communication Providers During the latter half of the 20th century to the early years of the 21st century, cellular phones have become a massive trend in our culture. Cell phones originally were seen as novelties that weren’t necessary and were items that only the wealthy wasted their money on. The majority of people have incorporated cellular phones into their everyday life. From 2006-2010 subscriber numbers increased an estimated 5.9% per year, resulting in increases in industry revenue at an average annualized rate of 3.9% (Brumley). Cell phone would be nothing without a cellular service provider. In order for you and I to have teleconferences, talk with family and friends, or hold any type of conversation while on the go without being tied down by wires cellular service providers offer transmission services to us through radio frequency signals rather than through end-to-end wire communication like land lines. These services can sometimes be complemented with data, messaging, and GPS packages and even more. Due to our constant need to be connected with each other cellular service providers are continuing to grow in the domestic market. For an industry that started less than 30 years ago it had revenues of about $138 billion in 2007 and currently has an estimate of 238.2 million subscribers. Wireless services were based on cellular technology in the beginning. Cellular technology divided geographic regions in cells and sent analog signals to customers...
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...Marketing Strategy Title Summary………………………………………………………2 Introduction……………………………………………………2 Situational analysis (SWOT) (PESTLE)…………………….2 Differential advantage/ Competitive edge (USP)……………9 Segmentation Targeting & Positioning (STP)………………10 Marketing objectives and goals (SMART)………………….11 Marketing strategies and programmes (7P’s)………………12 Conclusion…………………………………………………….14 Reference………………………………………………………15 Summary: Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives. China is a big market; the mobile phone industry in China develops very fast. By 2008, the Chinese mobile phone users has reached nearly 400 million, China became the world's largest mobile phone market. OPPO mobile phones as a part of Chinese domestic mobile phone brand grow up together with the cause of China's communication. Introduction: Guang Dong OPPO Mobile Telecommunications corp. OPPO Company is from Dongguan, the pearl mobile communication co., LTD changed its name, 2 at the end of 2009 the company completed name change procedures. Dongguan, the pearl mobile communication co., LTD., formerly known as Dongguan Shengming electronic co., LTD., founded in April 2003, in 2007 changed its name to April Dongguan, the pearl mobile communication co., LTD. OPPO in 2008 launched a music cell phone products, because...
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...1: Nokia’s mission and vision 2 III. Question 2: Alarm in Nokia’s strategic pursuits 4 IV. Question 3: Strategy and techniques recommended for Nokia 8 V. Question 4 :Technologies that Nokia should have done 9 VI. Question 5: Business level strategy Nokia should take and actions to support it. 10 VII. Question 6: Nokia and Microsoft corporate 12 VIII. Conclusion 13 IX. Reference 14 I. Introduction Operating in the turbulent and globalized business market require a well-prepared plan and vision in order to go ahead of the market and being the market leader, which would ensure the success and survival for the organization in long-term (Sadler and Craig, 2003). Failure to do so and the organization would see itself going bankruptcy in couple of years head. The case of Nokia is the typical example of the failure to catch the demand of the customers, to follow up the market and to struggle in the way to become powerful again. Nokia is well known about its products, which are mobile telephone and portable IT device. Used to be the market leader in the mobile phone industry, but the company now has been struggling in order to survive through the fast growing and many competitors of mobile phone industry. This report would invest the case study “Alarm ringing: Nokia in 2010”; analyze the situation and prospects for Nokia to be more competitive in the mobile phone market. II. Question 1: Nokia’s mission and vision The mission statement and the vision statement are created...
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.....……………………3 The target market strategy of Nokia…………..........……..………..…………….3 The competitive strategy of Nokia………………………………………...........….5 The marketing mix of Nokia...………………………………………………...……..7 Conclusions…………………………………………………………………………..12 References……………………………………………………………………………13 Executive summary Mobile phone, which is defined as a high technology electronic product, is popular all over the world. China must be one of the biggest markets for those mobile phone manufacturers. As a leader in mobile telecommunications market, Nokia has its scientific business strategy that leads to success, and pays a great attention to the market of China. Based on the Chinese mobile phone market, this paper analyzes Nokia’s business strategy to show reason of Nokia’s success. The business strategy includes the strategic intent, the competitive strategy and marketing mix. The strategic concept of Nokia is to take the demand-side strategy. Nokia subdivides the whole market into several objective markets according to the researches about the partialities of different individuals. And then different types of mobile phones are put into the market aimed at attracting different consumer groups. The competitive strategy of Nokia is to improve the innovative ability to win the competitive advantage. Strong technological innovation ability makes Nokia stand in the most forward position of mobile industry all the time, and characterized...
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...Case Analysis “Virgin Mobile USA: Pricing for the Very First Time” Marketing II – BUSI2202U Group 40, Tuesday Session Word Count: Paper 2,912, Appendix 345 Problem Definition The unimpressive performance numbers in the market belonging to Virgin Mobile are mainly due to the lack of an attractive pricing strategy that would appeal to the target market group. The target market group (consumers aged 19 to 25) have different characteristics than other market groups and Virgin Mobile’s current pricing strategy is clearly not complementing those characteristics. As a result, a re-evaluation of the target market group is required in order to choose a better and more correct pricing strategy to appeal to the majority. The re-evaluation should result in a more successful pricing strategy as well as a solid entrance strategy to get the largest amount of exposure. Situation Analysis External Variables The American cellular market was not an easy market to penetrate as it was already overcrowded. Adding another service provider would not be an easy feat for Virgin Mobile. By 2001, there were already six national carriers and many regional players as well. Based on market share there were only four main industry players; Verizon, Cingular, AT&T, and Sprint. These companies controlled over 60% of the market along with VoiceStream, Alltel, US Cellular, Leap and number of smaller carriers. On top of there being many competitors, it was also believed that the cellular market...
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...project-Consumer analysis driven market analysis pursued by NOKIA,SAMSUNG and LG mobile phones. Abstract-In recent year,adoption of mobile phone devices dramatically increased so fast in india. Having a mobile phone,during 1990,in india considered as luxury. It was owned by rich class businessmen and officers. But reduction in service charges and cost of the handset made it ubiquituos throughout india. Now,Mobile phones have become a part of life of every indian people. It totally realized indian consumers’ hidden needs about to take care of business works and beloved ones. It unveiled other unsought needs likewise messaging,recreation,gaming,and surfing internet etc. due to the other benefits mobile phone s are no longer a device only to make a call but also for other stuffs. Nowadays mobile phones are purchased not only on the basis of its core benefit but also on the basis of its other multi featured facilities. Introduction-India has come in a close second in the sale of mobile phones in the year 2006.china has led the race of mobile sales being the heighest in the world. In India however,the GSM phones rule over the CDMA Handsets. Leading the categories are Nokia, SAMSUNG,LG,SONY Ericssion,MOTOROLA and blackberry. GSM handsets are more preferred over CDMA handsets because of its attribute of portability with every SIM cards. But only three major mobile phone manufacturing companies rule over Indian mobile phone device market named as NOKIA corporation,SAMSUNG electronics and LG...
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...MOBILE INDUSTRY HISTORY Indian Mobile Industry Stats [Infographic] by ARUN PRABHUDESAI Recently, I have been coming across some interesting infographics and presentations on Indian Mobile Industry. We published one such infographic earlier this week – And here is the second one which the readers will find quite interesting as well. Eyedea Lab, a Web and Graphics Design Studio at Kolkata recently published an informational Infographic which gives you a nice overview of Indian Mobile Industry. Did you know that first mobile phone call in India was made by Late Mr. Jyoti Basu to Mr. Sukh Ramon 30th July 1995. so it can be officially said that Indian Mobile Industry has just finished its 16th year – and is still a teenager so to say! Indian Mobile Industry Infographic [Click on the image to zoom] Yeah, the call rates back then were Rs. 32 per minute and incoming & outgoing both used to be charged ! MARKET TRENDS Five Trends That Will Shape the Mobile Industry in 2011 * Evaluation of Patent Trends, Technology Evolution, and Product Innovation Indicates Potential Winners and Losers in the Technology Battles Facing Mobile Industry UBM TechInsights has made key predictions about the future of the mobile industry based on its in-depth research on patent trends, technology evolution, and product innovation. These five trends will be of strategic importance to most players in the mobile communication industry in 2011, including smartphone and tablet computing OEMs...
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