REPORT ON NOKIA COMPANY
INTRODUCTION
Nokia Mobile Phones is the world’s largest mobile phone producer. With our comprehensive product portfolio covering all consumer segments and cellular protocols, Nokia is in a strong position to lead industry development, based on our vision of a world where an increasing share of all personal communication occurs over personal wireless terminals such as mobile phones.
As the functionality of mobile phones moves from voice-centric to include media, imaging, entertainment and business applications, whole new markets are being created and the growth opportunities are enormous. In 2002, Nokia’s market share rose for the fifth consecutive year to an estimated 38%. We also shipped a record number of 33 new products for the full year. At the end of 2002, Nokia Mobile Phones represented approximately 77% of Nokia’s net sales.
Winning in the mobile phone market is not about product offering alone. Competition is based on mastery of the entire business system. As this industry grows in complexity, investment and competence requirements in key areas like brand, logistics and new product development are constantly increasing.
Nokia adapting to foreign markets
Because of differences from country to country, and as Nokia engaged in international trade they generally adapt to foreign markets.
PRODUCT
Specialty product:
Nokia is a product of specialty features that group of buyers will spend considerable time and effort to purchase. It has variety of design, shape, color, size as buyers go to obtain the specialty product.
Total Product Offering
In 2002, we continued to renew our product line-up, launching a record 34 new products, incorporating color, imaging, multimedia, mobile games and polyphonic ring tones. Of the total new phones launched, 14 had color screens and multimedia capability. This highlights the growing share of feature-rich phones in our product portfolio. In imaging, we began shipping our iconic camera phone, the Nokia 7650, expanding the scope of the mobile market from voice to visual communications. During the year, we also launched our first WCDMA 3G phone, which began deliveries to operators for testing in October 2002, and commenced shipments of our first CDMA2000 1X mobile phones in the Americas. In mobile software, we were very happy with the uptake of the Series 60 platform, which has fast become the leading platform for smart phones.
Brand as an Asset
Nokia is in a unique position to build on established success and recognition. Nokia’s strong brand combined with the scale advantages of the leading market position and largest user group can continue to translate well into future growth. In 2002, Nokia grew its full-year market share in mobile phones for the fifth consecutive year, reaching 38%. This means the scale benefits to be had in terms of cost-efficiencies and getting greater numbers of new products out in a shorter time to market are unmatched in this industry.
Services:
1. Providing 1 year of guaranty if the battery damages.
2. Providing one year free servicing.
FEATURE AND MODELS:
NOKIA LUMIA 720
| GENERAL | 2G Network | GSM 850 / 900 / 1800 / 1900 |
| 3G Network | HSDPA 850 / 900 / 1900 / 2100 | |
| SIM | Micro-SIM | |
| Announced | 2013, February | |
| Status | Available. Released 2013, April |
| BODY | Dimensions | 127.9 x 67.5 x 9 mm, 78 cc (5.04 x 2.66 x 0.35 in) |
| Weight | 128 g (4.52 oz) |
| DISPLAY | Type | IPS LCD capacitive touchscreen, 16M colors |
| Size | 480 x 800 pixels, 4.3 inches (~217 ppi pixel density) | |
| Multitouch | Yes | |
| Protection | Corning Gorilla Glass 2 | |
| – ClearBlack display |
| SOUND | Alert types | Vibration; MP3, WAV ringtones |
| Loudspeaker | Yes | |
| 3.5mm jack | Yes | |
| – Dolby headphone sound enhancement |
| MEMORY | Card slot | microSD, up to 64 GB |
| Internal | 8 GB, 512 MB RAM |
| DATA | GPRS | Class B |
| EDGE | Up to 236.8 kbps | |
| Speed | HSDPA, 21.1 Mbps; HSUPA, 5.76 Mbps | |
| WLAN | Wi-Fi 802.11 a/b/g/n, dual-band | |
| Bluetooth | Yes, v3.0 with A2DP | |
| NFC | Yes | |
| USB | Yes, microUSB v2.0 |
| CAMERA | Primary | 6.1 MP, 2848 x 2144 pixels, Carl Zeiss optics, autofocus, LED flash, check quality |
| Features | 1/3.6” sensor size, geo-tagging | |
| Video | Yes, 720p@30fps, check quality | |
| Secondary | Yes, 1.3 MP, 720p@30fps |
| FEATURES | OS | Microsoft Windows Phone 8 |
| Chipset | Qualcomm MSM8227 | |
| CPU | Dual-core 1 GHz | |
| GPU | Adreno 305 | |
| Sensors | Accelerometer, proximity, compass | |
| Messaging | SMS (threaded view), MMS, Email, Push Email, IM | |
| Browser | HTML5 | |
| Radio | No | |
| GPS | Yes, with A-GPS support and GLONASS | |
| Java | No | |
| Colors | White, Red, Yellow, Cyan/Black | |
| – SNS integration
– Active noise cancellation with dedicated mic – MP3/WAV/eAAC+/WMA player – MP4/H.264/H.263/WMV player – 7GB free SkyDrive storage – Document viewer – Video/photo editor – Voice memo/dial/commands – Predictive text input |
| BATTERY | Non-removable Li-Ion 2000 mAh battery (BP-4GW) | |
| Stand-by | (2G) / Up to 520 h (3G) | |
| Talk time | Up to 23 h 20 min (2G) / Up to 13 h 20 min (3G) | |
| Music play | Up to 79 h |
| MISC | SAR US | 1.24 W/kg (head) |
| SAR EU | 0.76 W/kg (head) | |
| Price group |
NOKIA ASHA 310
| GENERAL | 2G Network | GSM 900 / 1800 – SIM 1 & SIM 2 |
| SIM | Dual SIM (Mini-SIM) | |
| Announced | 2013, February | |
| Status | Available. Released 2013, March |
| BODY | Dimensions | 109.9 x 54 x 13 mm, 67 cc (4.33 x 2.13 x 0.51 in) |
| Weight | 103.7 g (3.63 oz) |
| DISPLAY | Type | TFT capacitive touchscreen, 65K colors |
| Size | 240 x 400 pixels, 3.0 inches (~155 ppi pixel density) | |
| Multitouch | Yes | |
| Protection | Scratch-resistant glass |
| SOUND | Alert types | Vibration, Polyphonic, WAV, MP3 ringtones |
| Loudspeaker | Yes | |
| 3.5mm jack | Yes |
| MEMORY | Card slot | microSD, up to 32 GB, 2/4 GB included |
| Phonebook | 1000 contacts | |
| Call records | Yes | |
| Internal | 20 MB, 128 MB ROM, 64 MB RAM |
| DATA | GPRS | Up to 85.6 kbps |
| EDGE | Up to 236.8 kbps | |
| WLAN | Wi-Fi 802.11 b/g | |
| Bluetooth | Yes, v3.0 with A2DP | |
| USB | Yes, microUSB v2.0 |
| CAMERA | Primary | 2 MP, 1600×1200 pixels |
| Video | Yes, 176×144@10fps | |
| Secondary | No |
| FEATURES | Sensors | Accelerometer |
| Messaging | SMS, MMS, Email, IM | |
| Browser | WAP 2.0/xHTML, HTML | |
| Radio | Stereo FM radio with RDS, FM recording (in select markets) | |
| Games | Yes | |
| GPS | No | |
| Java | Yes, MIDP 2.1 | |
| Colors | Black, White, Golden Light | |
| – SNS applications
– WAV/MP3/WMA/eAAC+ player – MP4/WMV/H.263/H.264 player – Organizer – Photo viewer/editor – Predictive text input |
| BATTERY | Li-Ion 1110 mAh battery (BL-4U) | |
| Stand-by | Up to 600 h | |
| Talk time | Up to 17 h | |
| Music play | Up to 54 h |
| MISC | SAR EU | 0.93 W/kg (head) |
NOKIA 808 PURE VIEW:
| GENERAL | 2G Network | GSM 850 / 900 / 1800 / 1900 |
| 3G Network | HSDPA 850 / 900 / 1700 / 1900 / 2100 | |
| SIM | Micro-SIM | |
| Announced | 2012, February | |
| Status | Available. Released 2012, June |
| BODY | Dimensions | 123.9 x 60.2 x 13.9 mm, 95.5 cc (4.88 x 2.37 x 0.55 in) |
| Weight | 169 g (5.96 oz) |
| DISPLAY | Type | AMOLED capacitive touchscreen, 16M colors |
| Size | 360 x 640 pixels, 4.0 inches (~184 ppi pixel density) | |
| Multitouch | Yes | |
| Protection | Corning Gorilla Glass | |
| – Nokia ClearBlack display |
| SOUND | Alert types | Vibration; MP3, WAV ringtones |
| Loudspeaker | Yes | |
| 3.5mm jack | Yes | |
| – Dolby Digital Plus
– Dolby headphone enhancement |
| MEMORY | Card slot | microSD, up to 32 GB |
| Internal | 16 GB storage, 1 GB ROM, 512 MB RAM |
| DATA | GPRS | Class 33 |
| EDGE | Class 33 | |
| Speed | HSDPA 14.4 Mbps, HSUPA 5.76 Mbps | |
| WLAN | Wi-Fi 802.11 b/g/n, DLNA, UPnP technology | |
| Bluetooth | Yes, v3.0 with A2DP | |
| NFC | Yes | |
| USB | Yes, microUSB v2.0, USB On-the-go |
| CAMERA | Primary | 41 MP (38 MP effective, 7152 x 5368 pixels), Carl Zeiss optics, autofocus, Xenon flash, check quality |
| Features | 1/1.2” sensor size, ND filter, up to 4x lossless digital zoom, geo-tagging, face detection | |
| Video | Yes, 1080p@30fps, lossless digital zoom, check quality | |
| Secondary | Yes, VGA; VGA@30fps video recording |
| FEATURES | OS | Nokia Belle OS |
| CPU | 1.3 GHz ARM 11 | |
| GPU | Broadcom BCM2763 | |
| Sensors | Accelerometer, proximity, compass | |
| Messaging | SMS (threaded view), MMS, Email, Push Email, IM | |
| Browser | HTML5, Adobe Flash Lite | |
| Radio | Stereo FM radio with RDS; FM transmitter | |
| GPS | Yes, with A-GPS support | |
| Java | Yes, MIDP 2.1 | |
| Colors | Black, White, Red | |
| – SNS integration
– Active noise cancellation with a dedicated mic – HDMI port – MP3/WMA/WAV/eAAC+ player – MP4/DivX/XviD/H.264/H.263/WMV player – Voice memo/command/dial – Organizer – Document viewer – Video/photo editor – Predictive text input |
| BATTERY | Li-Ion 1400 mAh battery (BV-4D) | |
| Stand-by | Up to 465 h (2G) / Up to 540 h (3G) | |
| Talk time | Up to 11 h (2G) / Up to 6 h 50 min (3G) |
| MISC | SAR US | 1.21 W/kg (head) 1.46 W/kg (body) |
| SAR EU | 1.23 W/kg (head) | |
| Price group |
Nokia Pricing Methods
Nokia determines prices on the basis of product demands. This method based on the level of demand for the product. The price of mobile set fluctuates with demand.
With this method Nokia estimate the quantities of a product that consumers will demand at various prices.
Tax:
The National Revenue Board Imposes tax on Per mobile set tk.2500 of which price is bellow tk.10000 and tax levied tk.3500-4000 of which price is above tk.10000.
Place/ Distribution
Marketing Channels of Nokia is world wide
Agent/Broker: Products are distributed from Nokia to Agent/broker.
Wholesaler:
In Bangladesh there is only one sole distributor. They have given rights from Nokia to whole sell the products to retailers. The following business information is given about the wholesaler-
Business Information
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PROMOTION
Advertisement
The total cost of advertisement Nokia pay 2/3 and the rest 1/3 beared by the sole distributor.
NOKIA LIMITED WARRANTY
Nokia Mobile Phones (“Nokia”) warrants that this Nokia cellular product and/or genuine Nokia accessory (“Product”) is free from defects in material and workmanship, according to the following terms and conditions:
1. The limited warranty for the cellular phone, data product, and all genuine Nokia accessories extends for the first twelve (12) months beginning on the date of purchase of the Product.
2. The limited warranty for genuine Nokia battery packs extends for the first twelve (12) months beginning on the date of purchase of the Product.
3. The limited warranty extends only to the original consumer purchaser (“Consumer”) of the Product and is not assignable or transferable to any subsequent purchaser/end user.
4. The limited warranty extends only to Consumers who purchase the Product in one of the countries set forth at the end of this document. The limited warranty is only(or areas) valid in Nokia’s intended country(or area) of sale of the Product.
5. During the limited warranty period, Nokia or its authorized service network will repair or replace, at Nokia’s option, any defective Product, or parts thereof, with new or factory rebuilt replacement items, and return the Product to the Consumer in working condition. No charge will be made to the Consumer for either parts or labor in repairing or replacing the Product. All replaced parts, boards or equipment shall become property of Nokia. The external housing and cosmetic parts shall be free of defects at the time of shipment and, therefore, shall not be covered under these limited warranty terms.
6. Repaired Product will be warranted for the balance of the original warranty period or for ninety (90) days from the date of repair, whichever is longer.
7. Upon request from Nokia or its authorized service center, the Consumer must provide purchase receipt or other information to prove the date and place of purchase.
8. Transportation, delivery and handling charges incurred in the transport of the Product to and from Nokia or its authorized service center will be borne by the Consumer.
9. The Consumer shall have no coverage or benefits under this limited warranty if any of the following conditions are applicable:
(a) The Product has been subject to: abnormal use, abnormal condition, improper storage, exposure to moisture or dampness, exposure to excessive temperature or other such environmental conditions, unauthorized modifications, unauthorized connections, unauthorized repair including but not limited to use of unauthorized spare parts in repairs, misuse, neglect, abuse, accident, alteration, improper installation, Acts of God, spill of foods or liquids, maladjustment of customer controls or other acts which are beyond of reasonable control of Nokia, including deficiencies in consumable parts such as fuses and breakage or damage to antenna, unless caused directly by defects in materials or workmanship, and normal wear and tear of the Product.
(b) Nokia was not notified by Consumer of the alleged defect or malfunction of the Product during the applicable limited warranty period.
(c) The Product serial number or the accessory date code has been removed, defaced or altered.
(d) The defect or damage was caused by defective function of the cellular system or by inadequate signal reception by the external antenna.
(e) The Product was used with or connected to accessory not supplied by Nokia, not fit for use with Nokia cellular phones or used in other than its intended use.
(f) The battery was short circuited or seals of the battery enclosure or cells are broken or show evidence of tampering or the battery was used in equipment other that for which is has been specified.
10. If a problem develops during the limited warranty period, the Consumer should take the following step-by-step procedure:
(a) The Consumer shall return the Product to the place of purchase for repair or replacement processing.
(b) If “a” is not convenient, the Consumer may contact the local Nokia office for the location of the nearest authorized service center.
(c) The Consumer shall arrange for the Product to be delivered to the authorized service center. Expenses related to removing the Product from an installation are not covered under this limited warranty.
(d) The Consumer will be billed for any parts or labor charges not covered by this limited warranty. The Consumer shall be responsible for expenses related to reinstallation of the Product.
(e) In case of certain operator specific features in the Product such as SIM-lock, Nokia reserves the right to refer the Consumer to the relevant cellular operator before service will be provided.
(f) If the Product is returned to Nokia after the expiration of the warranty period, Nokia’s normal service policies shall apply and the Consumer will be charged accordingly.
11. Any implied warranty of merchantability or fitness for a particular purpose or use, shall be limited to the duration of the foregoing written warranty. Otherwise, the foregoing warranty is the purchaser’s sole and exclusive remedy and is in lieu of all other warranties, express or implied. Nokia shall not be liable for incidental or consequential damages or a loss of anticipated benefits or profits, loss or impairment of privacy of conversation, work stoppage or loss or impairment of data arising out of the use or inability to use the product.
12. The benefits conferred by this limited warranty are in addition to all other rights and remedies under any applicable mandatory legislation as may be in force from country/area to country/area.
13. Nokia neither assumes nor authorizes any authorized service center or any person or entity to assume for it any other obligation or liability beyond that which is expressly provided for in this limited warranty.
14. All warranty information, product features and specifications are subject to change without notice.
15. The countries or area in which this limited warranty is in force, subject to clause 4 above, are Australia, Bangladesh, Brunei, Cambodia, Fiji, Guam, Hong Kong SAR, India, Indonesia, Laos, Macau, Malaysia, Myanmar, New Zealand, Papua New Guinea, People’s Republic of China, Singapore, South Korea, Sri Lanka, Tahiti, Taiwan, Thailand, The Philippines and Vietnam.
Personalization
The Nokia 3210 dual band GSM 900/1800 mobile phone includes picture messaging, user changeable front and back covers and predictive text input
Nokia has today announced a mobile phone with a set of personalized features for users’ total convenience. The Nokia 3210 dual band GSM 900/1800 mobile phone can be customized with the Nokia Xpress-On front and back covers. The stylish grey covers can be easily removed without any tools and replaced with covers that better match the user’s mood and attire. There are 6 optional colored covers, and there will also be an extensive range of painted and graphic covers available. The Nokia 3210 was unveiled at the CeBIT ’99 exhibition in Hannover, Germany, and at an Asia Pacific launch held in Singapore. The product will be available in volume in the second quarter of 1999.
“The Nokia 3210 demonstrates Nokia’s commitment to meeting the personal needs of today’s savvy and trendy users. The user has the freedom to make the Nokia 3210 reflect his or her individual taste. We trust that the Nokia 3210 will attract wide consumer appeal especially among the young and the young at heart. First-time buyers and upgraders alike will be impressed by the extensive set of features and the highly sophisticated design of the Nokia 3210,” said Anssi Vanjoki, Senior Vice President, Nokia Mobile Phones, Europe and Africa.
The new phone is much smaller and slimmer than the popular Nokia 5110, yet it is full-featured. The predictive text input feature enables users to type messages with greater speed and convenience. The phone has a built-in dictionary, which assists in quickly picking up the right word. Picture messaging is a totally new feature, allowing users to send short messages containing images. With Nokia 3210 user can create his/her own images, download new ones from the web, and send them to any other Nokia 3210 phone. It is now possible to create truly personal and surprising messages. These features are complemented by the large, high-contrast quality display. The Nokia 3210 is equipped with the Nokia NaviKey, the famous innovation enabling easy access to the phone features.
The Nokia 3210 has a sensitive built-in antenna that makes the phone convenient to carry and use. The phone works on three types of networks, GSM 900, GSM 1800 and GSM900/1800 dual band networks. The phone automatically chooses the best available frequency band, and it has the capacity for handover between 900 MHz and 1800 MHz frequency bands even during a call within the dual band network.
The internal battery of the Nokia 3210 is protected under the Nokia Xpress-On back cover. The semi-fixed Ni-MH battery gives up to 4 hours 30 minutes of talk-time and up to 260 hours of standby time. The Nokia 3210 has 40 ringing tones. Extra ringing tones can be either composed by the Nokia 3210 or downloaded over the air. Every phonebook entry can have an individually selected ringing tone.
The Nokia 3210 has 34 language options. The credit status of the pre-paid subscription can be graphically viewed either constantly on the display or accessed through the menu. The Nokia 3210 supports all three wireless voice codecs: Full Rate, Enhanced Full Rate and Half Rate. Nokia developed the Enhanced Full Rate together with the University of Sherbrooke and drove for its adaptation as the industry standard.
CONSUMER BEHAVIOR:
Why customers buy Nokia?
Nokia Systems Integration and Customization Key functionality:
Nokia Systems Integration and Customization produces chargeable services that work together seamlessly. The service includes: 1) Planning, creating, deploying and integrating Nokia and 3rd party platforms, allowing new value added services. 2) Enabling rating, charging and provisioning of the new services. 3) Integrating service and business management systems to support the operator’s processes.
Key benefits:
- Shorter lead time for revenues
- One-stop shopping
- Cost efficient and future proof solutions
Nokia Care ensures you get the very best from Nokia. It’s not just about repairs; we also provide friendly personalized assistance, in an efficient and hassle-free environment. So whether you are looking for helpful tips or advice on choosing the right products, would like to talk to someone about your current phone, or simply need help with a particular phone feature, Nokia Care is only a fax, phone call or email away.
NOKIA CARE CENTRE:
At Nokia Care Centers, you’ll find everything you need to keep your Nokia phone and accessories in tip-top shape. Our professional service staff will be more than glad to help with any problems you may have with your phone. Or simply visit us for general maintenance, servicing and repairs, warranty and upgrades. All this in an environment that’s helpful and friendly, with quality service you can rely on. So head to your nearest Nokia Care Center today at the following locations.
Status
Nokia targets business customers
Nokia is setting up a special division to sell integrated mobile offerings to enterprises, admitting it has not focused on the market in the past. At the annual Nokia Press Update event in Helsinki, the company announced that it would make the business market a more specific target, despite it previously concentrating on the larger consumer market. Nokia has recently signed deals with Oracle, IBM and mobile player RIM to help build integrated mobile systems for companies. The first corporate beta sites in the UK to use combined Oracle and Nokia solutions were recently signed up, said Erik Anderson, senior vice president of the business applications business unit, Nokia Mobile Phones.
Anderson said Nokia had targeted the consumer market before the business market because companies found it hard to cope with handset management, security and the higher management costs. But significant technology standardization in the industry would help businesses take the mobile route more easily, he added.
“The popularity of technologies like Java, the Symbian mobile operating system, wireless standard Bluetooth and virtual private networks [VPNs], means companies now have the tools to fully link up their mobile workforce to the corporate network securely and cost-effectively,” he said. Last year Nokia split up its largest Mobile Phones division into nine units, including one focusing on business products.
This is now expected to be turned into a separate division in its own right and will be merged or work closely with the Nokia Internet Communications network security division. When asked whether NIC and the business division was about to be created, Anderson said: “I’m not directly answering your question today because I have nothing formally to announce, but this is the direction we are going in.” Anderson predicted the enterprise market would “grow significantly” for the company in the “next three to five years”. In Helsinki NIC also launched the Nokia Secure Access appliance, designed to work in parallel with existing Nokia firewall and VPN appliances linked with data connectivity products from the likes of RIM, Oracle and IBM.
In which area they lived
In the global market the consumers of Nokia lived all over the world. But specifically or geographically we segmented the market place as Asia Pacific, Europe, and America. In Asia Pacific Nokia customers are specially lived in China, India, Malaysia, UAE, and Bangladesh etc. In Bangladesh Nokia customers are separated as Nation wide.
Competition
Handset makers will have their profit margins squeezes as competition heats up in the mainland market, and the ultimate winner will depend on their management style and products. The top three makers Motorola, Nokia and Samsung have been experiencing increased competition from each other, as well as a growing threat and increased competition from domestic handset makers. Motorola who dethroned Nokia in 2001 as China’s top selling product saw market share drop from 31 percent down to 27 percent but has still posted and excellent year with sales in China reaching US$5.7 billion and expects that to increase to double digits in 2003. In a move which shows Motorola’s continued commitment and desire to tap the Chinese market they recently chose Shanghai as the location to introduce 8 new handsets rather than in America or Europe.
Nokia, now in second place for market share is set to intensify their focus on China in a bid to regain the lead. Nokia’s market share in the third quarter of 2002 fell to 19 percent from 31 percent in the first. They have been reorganizing their distribution system in China and adding partnerships with local companies to improve availability of their phones to areas outside of the big cities.
Samsung has been importing phones into the Chinese market, but only recently have secured approval from Beijing to directly sell GSM handsets in China rather than relying on import agents. The move will allow them to compete head-to-head with the likes of Motorola and Nokia. Samsung’s total sales in China were expected to hit US$5.8 billion.
A greater threat to these mobile phone giants are the local manufacturers. Local Chinese companies such as TCL, Legend, Hai’er and Ningbo Bird have claimed 30 percent of the domestic market and have been lifting sales by selling cheaper phones assembled from ready-made parts purchased abroad. We are more likely to see in the future further cut throat competition as mobile phone makers vie for larger shares of the Chinese market.
| China GSM Handset Supply(million Units) | 2002 | 2003 |
| Motorola | 15.66 | 19.71 |
| Nokia | 11.25 | 14.59 |
| Siemens | 5.54 | 6.24 |
| TCL | 6.3 | 9 |
| Ningbo Bird | 6.2 | 10 |
| Philips Sa Fei | 1.83 | 1.75 |
| DBTEL | 2.85 | 5 |
| Ericsson Beijing | 1.68 | 1.12 |
| Alcatel | 1.32 |
Challenges and strategies
Nokia is at an important crossroads in its history. Having architected many of the key tenets for growth during the formative years of the mobile phone industry, the market with which Nokia is so familiar may be adopting different rules, ones that it may not fully understand. The situation Nokia faces may be similar to the period in the PC industry when Dell Computer surpassed perennial leaders IBM, Hewlett-Packard and Compaq Computer. Why might this happen? Because Nokia’s strengths are so well-understood by its competitors, they are well-targeted and improved upon. The wireless market’s evolution has slowed, making it easier to challenge the incumbents. Also, the progress of technology has made many of Nokia’s early advantages easier to overcome. Nokia’s leadership position is a result of paying persistent attention to market needs and taking the right chances at the right time. Nokia was the first to acknowledge fashion as an important element in mobile phone purchases, and it is solidly behind the push for Multimedia Messaging Service, which could become the first data service beyond Short Message Service to be deemed successful. There is a significant gap between Nokia and startups, which makes it difficult to compete against Nokia. Nokia’s tie to operators has kept its products solidly in consumers’ view.
Yet, Nokia faces some serious challenges. The mobile landscape has fundamentally shifted, and some of Nokia’s strengths and core beliefs may no longer be valid. In the following research, we discuss Nokia’s strengths and challenges and provide advice for enterprises partnering with, purchasing from and working with Nokia.
The cornerstones of Nokia’s mobile phone strategy in working towards sustainable growth and profitability are threefold: 1) differentiating ourselves through our total product offering, 2) leveraging the installed base and the Nokia brand, and 3) benefiting from the strength of our demand-supply network.
CONCLUSION
Horizontalization is also a natural consequence of an increasingly complex industry. As the mobile industry evolves into new applications and services, we see growing cooperation among industry players. This means faster adoption of mobile services as well as market growth for the entire mobile industry. Nokia was a founding member of the Open Mobile Alliance, launched in June 2002, which grew to include more than 300 companies at December 31, 2002. This industry wide alliance aims to deliver open mobile standards, helping to create interoperable services which work across countries, operators and mobile terminals. We see our experienced and efficient way of operating as a core competence, increasingly putting us ahead of the competition. At Nokia we have learnt to balance new ideas and technologies with the necessary experience to deliver them in product form, at the right time, and in the right volumes to meet the right demand.
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