Nokia Warns Consumers of Fare Handsets Sold Locally 1. How will the proliferation of fake Nokia handsets affect the operations of Nokia Philippines? * I think the proliferation of fake Nokia handsets have a huge effect on the operation of Nokia Philippines. The emerged of fake Nokia handsets may destroy the Nokia’s top position in the market. Nokia may lost the overall mobile phone market share in the Philippines and may suffer from declining profit margins due to fake Nokia handsets.

2. What do you think is the main cause of such proliferation? * I think the main cause of such proliferation is that there’s an existing demand on fake Nokia product which consumers can buy in a cheaper price. Since the original Nokia handsets are expensive, buyers are drawn by the opportunity to own and display what it looks like the genuine Nokia phone at a fraction of the price of the original product. The important thing is to the consumers is to get what they believe to be the same product at a bargain price. In a country like the Philippines where greater part of the population are consider poor and low income, they are not capable of buying an original Nokia which is expensive. It is rational choice for them buying a fake Nokia which is less expensive but with inferior quality over the more expensive original.

3. What measures would you recommend to Nokia Philippines in order to alleviate, if not totally eliminate, the marketing of fake Nokia handsets? * Some measures that I will recommend to Nokia Philippines in order to alleviate if not eliminate the marketing of fake Nokia handsets is to asked and demand help from the government to be strict and diligent in allowing the entry of fake product in the Philippines. Nokia Philippines may conduct training with the immigration officers at the border entry points to stem down the entry of fake handsets. It may also