This happened in 1871. In 1967 Idestam Nokia AB decided to merge with Finnish Rubber Works company that manufactures tires, rubber boots and other rubber products. Then they decide also to merge with Finnish Cable Works Ltd., a manufacturer of power cables and telephone founded in 1912. It was given the name Nokia Corporation. So Nokia begins to deal with several types of businesses: rubber, cable,
Nokia Nokia Corporation is a Finnish company founded in 1865 that was started in the paper-manufacturing company. The company was seeking the transformation of the company through the merger with Finnish cable company and rubber firm. In 1992, Nokia produced the first commercially available mobile phone called Nokia 1011 and turn out to be the best-selling mobile phone
A Familiar organization There are many familiar organizations that have successfully used globalization to expand markets and profitability. One of such organization is Nike Inc. Established in 1964 with the name ‘Blue Ribbon Sports’ (BRS) by Phil Knight and Bill Bowerman, the organization began as a distributor and importer of Japanese running shoes before embarking on a project to design its brand, which has become a household name in sportswear industry (O 'Reilly, 2014). Analyzing ways Nike Inc. has successfully used globalization to expand markets and profitability. There are various ways Nike Inc. has successfully used globalization to expand markets and profitability.
would have broken into the wider market and gain its market share. This strategy was effective as Nike sold millions of products and profiting from the outsourcing. However, when the Japanese production price began to increase in the 1970s, Nike Inc. strategically relocated to alternative lower-cost producers in countries like china, Taiwan, Korea, and Thailand. This outsourcing development led Nike Inc. to close its faction and relied solely on importing from Korea and Taiwan. However, when the cost of production began to similarly increase in Korea and Thailand, Nike Inc. encourage its suppliers to transfer their operation to countries of lower costs of production in other to maintain its expansion strategy.
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
By 1998 Nokia was the market leader in mobile phones a position which it enjoyed for a decade. Then in 2006 Nokia acquired mapping software company to strengthen its location services. In 2007 it combined its telecom infrastructure with those of Siemens to form a joint venture named Nokia Siemens Networks, which then became the leading telecom infrastructure provider with a focus on offering innovative mobile broad band technology. Nokia joined hands with Microsoft to strengthen its smartphones market, but then acquired by Microsoft completely in 2013. In 2013 Nokia saw an organizational restructuring, with new strategy and vision, building on its three strong businesses: Nokia networks, HERE, and Nokia Technologies.
After a time of time, the organization decreases the high cost for beginningdepending on their rival costs and they make less benefit. In any case, there is still an extensive benefit on account of expanding measure of offers. Due to Nokia is building as marked so it has the ability to offer items atthe value they need or even lower value when contend with other organization. This fruitful cost strategyenables Nokia to increase upper hand in the market.The real technique for Nokia to valuing choice is the Brand Life Cycle Model. This model is to situated distinctive costs taking into account diverse life cycle of item.
Collaboration with universities and knowledge centres was considered utmost important, as were internal education programmes. Nokia played a key role in the shift from NMT to GSM (originally named Group Spécail Mobile, latter capture by Anglo Saxon countries to be labelled as Global System for Mobile Communications). The position of Nokia was reinforced by investments in 1993 in GSM 2+ or GSM 2.5. 1994 was the year that the Nokia 2110 DCT/GSM handset was brought to the market with 618.000 units sold (Häikiö, 2001, p.
In 1976, the company hired John Brown and Partners, based in Seattle, as its first advertising agency. The following year, the agency created the first "brand ad" for Nike, called "There is no finish line", in which no Nike product was shown. By 1980, Nike had attained a 50% market share in the U.S. athletic shoe market, and the company went public in December of that year. ACQUISITIONS : Nike has acquired several apparel and footwear companies over the course of its history, some of which have since been sold. Its first acquisition was the upscale footwear company Cole Haan in 1988,followed by the purchase of Bauer Hockey in 1994.
Opportunities Threats • Market for all ages: The potential business is developing as kids are turning out to be more inspired by cell phones at ever-more youthful ages and elderly individuals are attempting to stay aware of the inexorably quick pace of innovation. • Existing brand reputation: The current brand notoriety can be utilized to expand on promoting methodologies and make an in number bond to millions. • Inovation of new product: Altogether new potential outcomes would open up, if they somehow managed to participate in the tablet PC market. • Joint venture: With Microsoft as an associate, Nokia and Microsoft advantage from one another, as both organizations have an awesome faithful purchaser base • Strong price pressure: Nokia needs to confront the always intensifying value wars with contenders because of the solid value weight from the Asian market with its better dissemination channels. • New innovation from competitors: Another threat may be the dispatch of another, imaginative item from opponents that Nokia has just minimal opportunity to stay aware of, as they are as yet attempting to make up for lost time with the most recent