...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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...beginning, we want use some figures to help us understand what is the position that Nokia standing. In 2010, Nokia, the world’s largest phone maker, has lost almost 60 billion euros ($77 billion) in market value since the iPhone’s 2007 debut, with the stock falling 25 percent this year alone. The Espoo, Finland-based Company has lowered profit forecasts twice in three months, as new high-end Smartphone were delayed. Chairman Jorma Ollila has stood by CEO Olli-Pekka Kallasvuo and his management team in the four years since Nokia’s last big hit, the N95, helped boost the operating margin in the devices unit to more than 21 percent. Since then, Apple and Research in Motion Ltd. have eaten away at Nokia’s customers and profit, pushing the handset margin to 12.1 percent in the first quarter. Then we move to 2011, during this year, the market share of Nokia fallen to less than 30%. From these numbers our group found that one of the reasons Nokia has fallen so fast is that it has a simple branding problem: Nokia isn’t a distinctive brand. It is a brand with positive associations and high awareness, but it isn’t unique. For many years, Nokia seemed to successfully do what marketing experts say you can’t do: serve all segments in a market. Nokia sold very high-end, technologically advanced phones and simple, inexpensive phones, all under the Nokia brand. The branding structure was very simple: the Nokia brand with a product number, such as N8, the company’s newest smartphone, or E7. Of...
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...José Aleixo Maria Osório | Pedro Castro STRATEGIC MANAGEMENT SMARTPHONES Professor Francesco Castellaneta FIND INSIDE Table of Contents I. INTRODUCTION 2 o II. Mission, Vision, Core Values 2 INDUSTRY ANALYSIS 3 o o o o Pest analysis 3 Porter’s Five Forces of Competition Framework 4 Market Segmentation 5 Key success factors 8 III. COMPETITVE ADVANTAGE ANALYSIS 9 o o o Emergence of Competitive Advantage 9 Porter’s Value Chain 12 Porter’s Generic Strategies 15 IV. CORPORATE STRATEGY 16 o o o The scope of the firm 16 Vertical and Horizontal Diversification 20 Managing the corporate portfolio 23 V. GLOBAL STRATEGY AND THE MULTINATIONAL CORPORATIONS 25 o o o o o Patterns of internationalization 25 Analyzing competitive advantage in an international context 25 International Location of Production 27 Global integration vs. National differentiation 27 Strategy and organization within the multinational corporation 28 VI. VII. VIII. CONCLUSION 28 APPENDIX 29 BIBLIOGRAPHY 30 I. Introduction COMPANY PROFILE Nokia is a Multinational communications and information technology Corporation, with headquarters in Finland. Even though, their product portfolio is quite diverse, their main products are mobile phones and IT devices. Nokia occupied the leadership position in the mobile phones’ industry for more than a decade; however in 2011 this position was lost. The introduction of the smartphones in the market, the scandal related with Stephen Elop’s...
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...Since the last 150 years, Nokia has developed gradually from a riverside mill in south-western Finland to a global telecommunications leader connecting over 1.3 billion people. Meanwhile they made rubber boots and car tires. They generated electricity, manufactured TVs and as time passed the existing condition of affairs is what they had always done and intend to do it in future. http://www.nokia.com/global/about-nokia/about-us/story/the-nokia-story/ In 1865, Nokia was established of a forest industry activity in South-Western Finland by mining engineer Fredrik Idestam. In year 18998, the foundation of Finnish Rubber Works Ltd and in 1912 Finnish Cable Works began operations. Eventually the ownership of these two companies and Nokia started to shift into hands of just a few owners and finally in 1067 the three companies were combined together to form Nokia Corporation. In 1980, Nokia strengthened its position in the telecommunications and consumer electronics markets by gaining Mobira, Salora, Televaa and Luxor of Sweden. In 1987, Nokia gained the consumer electronics operations and section of business of the German Standard Elektrik Lorenz and the French consumer electronics company Oceanic. In 1987, Nokia also got the Swiss cable machinery company Maillefer. In 1980, Nokia became the largest Scandinavian information technology company through the achievement of Ericsson’s data systems division. In 1989, Nokia lead an important expansion of its cable industry into Continental...
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...forces model on Nokia, I felt a PESTLE analysis would analyse the macro environment of Nokia. These are all the external forces that are out of Nokias' control but have a significant effect on how the company operates and the strategic decision they make. This model looks at the Political, Economical, Social, Technological, Legal and Environmental factors relating to Nokia and the industry they operate in. To understand the macro environment more this article will study each section in depth. Political The Political factors relates to the factors which the government also affects such as government instability or rules and regulations which the business must follow. Nokia have recently moved one of its manufacturing facilities to India, and because of this it is important that Nokia follow the rules and regulations that are set in India, so that they can operate as efficiently as possible. The types of things they will have to be aware of is the minimum wage, the maximum hours a week employees can work and especially the Health and Safety regulations; this is to avoid any bad press or revolt from employees that will ultimately damage the reputation of Nokia both short term and long term. As well as foreign government it is vital that Nokia have a good relationship with their government in Finland, as any political instability such as a change in government or coalition may result in new laws being implemented, which will affect Nokia a lot Economical Nokia are vital to the...
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...I. EXTENDING THE NOKIA BRAND AND THE PRODUCT LINE i. NOKIA CURRENT BRAND Nokia is one of the leading brands in the industry of manufacturing mobile devices and in converging Internet and communications industries. The company is engaged in developing a range of devices for all the consumer segments and offering Internet services, Ovi, that enable people to experience music, maps, media, messaging and games. The giant mobile phone manufacturer also provides services for communications networks through Nokia Siemens Networks. The Finland-based manufacturer of mobile phones has been steadily working on its corporate brand name and the management of consumer perceptions over the last few years. Its efforts have paid off, because it is currently one of the most well-known and admirable brand in Finland in particular as well as around the world in general. The Nokia brand image is even solid in fast developing markets, where Nokia leads in market share and continues its strategy of targeting younger audiences. However, given the economic downturn and competition for high-end phones from the niche rivals like Apple’s iPhone and RIM’s BlackBerry, Nokia reported a worse-than-expected 90 per cent slump in first quarter profits of 2009. As a result, the Nokia brand image has been affected and became less dominant as it used to be in the world market. While Nokia brand image is favorable and potent in the Smartphone category, where the company still leads in terms of...
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...Research Report Submitted To Sir Khalid Jamil Ansari Prepared By Babar Saeed (BM-25208) Bashir Ali (BM-25178) TABLE OF CONTENTS Acknowledgement 02 Executive Summary 03 Company Introduction 04 Company History) 05 a) First Mobile Phone 06 b) GSM Introduction 06 c) Strategic Change 07 Vision, Mission, Organization Direction 07 Environmental Analysis (Internal) 09 Environmental Analysis (External) 12 a) Pestle Analysis 12 b) Porter five forces Analysis 14 SWOT Analysis 18 Market/Competitor Analysis 19 Strategic Analysis 23 a) Corporate Strategy 25 b) Business Strategy 25 c) Operational Strategy 25 d) Supply Chain Strategy 26 e) Defensive Strategy 26 f) Competitive Strategy 26 Nokia Marketing Strategies Analysis 27 a) Segmentation by Geographically 27 b) Segmentation by Demographically 28 c) Segmentation by Consumer / Business 28 Marketing Mix Strategies 29 a) Product b) Price c) Place d) Promotion Key Strategic Issues Face Nokia 30 Nokia Leading Mobile Series 31 a) N Series 31 b) E Series 32 c) X Series 33 d) Asha Series 33 e) Lumia Series 34 References 35 ACKNOWLEDGEMENT One of the great pleasures of writing the report is acknowledging the efforts of our teacher and friends whose hard work, cooperation, friendship and understanding were crucial to the preparation of this report. First of all, we would like to acknowledge the efforts of Sir Khalid Jamil Ansari whose sincerity, loyalty, hard working and...
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...Human Resources Management analysis: Nokia Research Paper July 3, 2013 I have chosen Nokia because of its activities in the past and uncertain future so that I can analyze the company from the viewpoint of human resource management and to understand if bad management was one of the causes that led Nokia to lose its position as a global leader in the mobile phone market. After I describe the current human resource management, the employee recruitment and selection as well as the talent management I will try to make recommendations on how human resources and talents could be used more effectively based on my research. Because I never worked in a large global company as I am currently developing my own companies in the field of finance and web development I cannot bring my own experience from the past. I will conduct, however, a thorough research to justify my point of view and the proposed changes. The Nokia Corporation is a Finnish communications and information technology corporation operating worldwide from its headquarters in Espoo, Finland. Nokia manufactures mobile telephones and other portable IT devices. Currently, Nokia is in a joint venture with German company Siemens, producing telecommunications devices under the Nokia Siemens brand. Nokia currently employs 102 000 people around the world and shows annual revenues around $30 billion. Despite the crisis of the past few years, which will be described later, Nokia is still the second largest mobile...
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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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...Webster University Nokia Product Design Analysis A Product Design Project for the new Lumia Century Jaqui Melton Business 6110 Professor Gary Sample December 20, 2013 Nokia Product Design Analysis 2 Abstract Having been made project manager for the design of Nokia’s new cell phone, the Lumia Century, the purpose of this report is to provide management with an anticipated project schedule and calculated project duration. In doing this, a project network has been created; and the slack times, not along the critical path were identified. Additionally, the impact of two possible changes was investigated and evaluations were made regarding whether or not the changes would be in Nokia’s best interest to pursue. Utilizing the work breakdown structure provided by supervisors this product design project develops the plan for ensuring the successful and timely launch of our highly anticipated new cell phone. Keywords: [telecommunications, network planning, critical path, supplier integration] Nokia Product Design Analysis 3 As a leader in mobile communications, Nokia has made its mark on the global ecosystem by enabling mobility through its different businesses. Our Nokia Solutions Network creates innovative mobile products and telecommunication infrastructures for people around the world. In regards to our cellular services, we believe that Windows phone and the broader Windows platform offer unique and compelling experiences that make Nokia Lumia Smartphones standout...
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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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...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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...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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...Consumer Behaviour Theory Analysis In Nokia And Motorola Marketing Essay ukessays.com /essays/marketing/consumer-behaviour-theory-analysis-in-nokia-and-motorolamarketing-essay.php The company manufactures mobile devices for almost every key market segment and protocol that also involves GSM, CDMA, and W-CDMA. In addition to manufacturing mobile devices the company also offers various internet services like applications, maps, games, media, music and messaging (Nokia Looks Beyond, 2004). The company’s subsidiary “Nokia Siemens Networks” manufactures telecommunications network equipment, resolutions and services. Moreover, the company also serves its customers with free digital map information and navigation services (About Nokia, 2010). The company operates as a leader in the mobile telecommunications and this competency of the company depends upon its abundant experience, technology invention and precise marketing strategy. In the product category of mobile-phone brand, Nokia has attained number one position and it is all due to its approach towards its customers. In this project the product category selected for the discussion is “mobile phones” in which Nokia has established itself as leading brand in comparison to any other mobile phone manufacturer. With its advanced technologies and features the company has established itself a well-known brand in the mobile phone category (About Nokia, 2010). The company believes in offering handsets with attractive designs, advanced applications...
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