Swot Analysis Of Nokia Company

2.3.2 Weakness

One of the problems faced by Nokia is having difficulties to follow the change of customer trends and also in producing innovative products. Nokia has lack of appropriate innovation ability to change its strategies following the change of external environment requirements. Unfortunately, Nokia’s executives do not follow the market trend accurately where Nokia still applying the technology-oriented and product oriented strategies and ignored the needs of the customers which have changed nowadays as they use mobile phone as entertainment tool, not just for basic need for calling and texting. This makes Nokia product isolated from the current market.

Business tactic of a company is very important

Apple and Samsung had ruled the market trends and became market leader. Although iPhone price is quite high, but due to its own iOS system with innovative technology and quality, they become popular among the smart phone users. Manufacturer companies such as Samsung, HTC, Sony and new entrant such as Oppo, Huawei, Xiaomi use Android system, which is a friendly operating system that consist of many application. Thus, the customers will choose among these products, which offer more applications that follow their needs. This makes Nokia hard to maintain and expand their market share. Low-cost threats by China mobile companies and others can cause big problems to Nokia

The executives need to observe and keep updating the mobile phone industry so that they will not miss any opportunity in increasing their sales. The recommendation for second solution, which is to make the right business tactic, the board of the company needs to sit together and find what are their currently product advantages and disadvantages. They need to become more realistic and ready to accept any changes in their product even though the previous product has put Nokia as the first ranking mobile phone manufacturer. In this case, the major changes need to be done on the software, which is the need to eliminate the Symbian software and replace with another operating system such as Android. The third recommendation for the proposed solution is suggesting Nokia to be more cooperative. The leader of this company should find the way to cooperate with other mobile phone manufacturers so that, they can find ideas on improving this industry and in the same way to get the profit together. Other than these recommendations that related to the solution proposed, there is another recommendation that might safe Nokia Company from keeping decline. Nokia might get back on its tract if they improve their strategies in the 4ps, which are Promotion, Place, Price and Products. Nokia should enhance their strategy by providing an innovative