NOKIA- OBJECTIVES,PROBLEM AND SOLUTION Nokia is a leading electronics company engaged in the fields of network infrastructure, location based technologies and other advanced technologies. With its headquesrters in Espoo, Finland Nokia has developed into a multinational company with its operations spanning across internaitonal borders. Nokia has three fields of expertise: Nokia Networks which form a part of their infrastructure business; HERE, which consists of the location intelligence business; and Nokia Technologies who’s main priority is to focus on technology development and activities related to intellectual property rights. The company’s focus has been on developing large scale telecommunications infrastructure, technology and licensing. It
The policy created an enormous potential market for Nokia, who has been heavily involved in R&D activities in attempt to integrate GSM technology into handsets. Without doubt, the tapped into the lucrative opportunity and marched into the European GSM market with a market share of %. (Book: Insider) Nokia also tried to spread its wings to penetrate into the U.S. mobile phone market. The American phones, by that time, were dominated an entirely different wireless network called Code Division Multiple Access (CDMA). Nokia faced fierce competitions from Motorola, the leading player in America.
Nokia’s success also derives from its broad strategic view of how to build a global brand and international consumer base. The company sells a wide range of products and services in all price ranges to different types of consumers all over the world. 2. What can Nokia do to gain market share in the United States and Europe where its presence is not as strong? I think they need to find a solution to develop also the Code Division Multiple Access (CDMA) because this is the wireless standard used in US.
This had a massive effect on the Nokia and affected the company’s portfolio and sadly from here on in Nokia just had a string of problems. In 2008 Android was launched as a competitor the Nokia’s Symbian platform. All of Nokia’s competitors such as Samsung, LG and HTC all bought into android and that was the start of a land slide for Nokia’s sales. Through the next few years with the rise of iPhone nokia continued to decline and more and more jobs were been lost. Many saw the company hiring a non-finish CEO for the first time as a weakness as he couldn’t understand nokia as the brand that produced high quality phones.
1.0 Introduction Nokia’s humble beginnings was founded in the year of 1865 as a business which focus on the operation of milling paper. Throughout the years, Nokia has successfully branched out onto other sectors such as rubber boots and tires. Nokia also went on to branch out to notable sectors including telecommunications and mobile phones. In 1998, Nokia rise through the ranks and became the market leader for mobile phones (Nokia, 2017). The first Global System for Mobile Communications also known as GSM handset that Nokia produced earlier in 1991 was the Nokia 1101.
Microsoft is an American technology company which develops, manufactures, licenses, supports and sells computer software, system, consumer electronics, and services. In recent decade, it has increasingly diversified from the operating system market and has made a number of corporate acquisitions to grow the company such as Mojang, aQuantive, Nokia, LinkedIn and lot of others. Some of them added valuable new business software to Microsoft's portfolio. Some of them also cause huge loss of Microsoft or some problems but not failure. Microsoft/Skype is one of that which also has some mistakes in acquisition.
October 7,2014, we are shutting down the production plant located in Chennai in the absence of orders from our new parent firm(Microsoft)” a Nokia India Official told IANS. The plant Shut down will result in making 8000 workers jobless. This step was taken after the software giant Microsoft, who has acquired Finland based Nokia’s global devices and services business, including the Nokia India Business worth $7.2 billion, made a decision to shutdown its Chennai based manufacturing unit though it could not take possession of it due to the legal fight with Tamil Nadu government on Tax issues. The result of which is the government has freezed the nokia asset due to tax dispute over an estimated Rs. 23000 crore.
Microsoft was founded by Paul Allen and Bill Gates on April 4, 1975, to develop and sell BASIC interpreters for Altair 8800. Its aim was to dominate the personal computer operating system market with MS-DOS in the mid-1980s, followed by Microsoft Windows. The company's 1986 initial public offering, and subsequent rise in its share price, created three billionaires and an estimated 12,000 millionaires among Microsoft employees. Since the 1990s, it has increasingly diversified from the operating system market and has made a number of corporate acquisitions. In May 2011, Microsoft acquired Skype Technologies for $8.5 billion in its largest acquisition to date and in June 2016 announced plans to acquire LinkedIn for $26.2 billion.
This successful pricing strategy enables Nokia to gain competitive advantages in the market. Nokia positions its top end devices as a classy product. To the middle segment customers these devices are in the form of the best alternative. To the lower end segment, Nokia gives actual value, as a high-tech product, at affordable