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Introduction
What is marketed in mobile industry?
In industry mobile phone, Land Line Phones, pagers, chargers, memory card etc.
Prominent players
Nokia LG
Samsung Apple
Sony Ericsson Motorola
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NEED A ND WA NT
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MISSION STA TE MENTSONYERICSSON
³Our mission is to establish Sony Ericsson as the most attractive andinnovative global brand in the mobile hand set industry.´
NOK IA
Everyone has a need to communicate and share. Nokia helps Peopleto full fill this need and we help people feel close to what matters tothem. We focus on providing consumers with very humantechnology ± technology that is intuitive, a joy to use, and beautiful.
We are living in an era where connectivity is becoming trulyubiquitous. The communications industry continues to change and
the internet is at the centre of this transformation. Today, the internetis Nokia's quest.
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A NSOFF MA TRIX
Market penetration strategy
(CURRENT MARKET AND
CURRESNT PRODUCT)
Product development
strategy
(CURRENT MARKET AND
NEW PRODUCT)N-Series, E-series etc.
Market development
strategy
(NEW MARKET AND
CURRENT PRODUCT)
Diversification strategy
(NEW MARKET AND NEW
PRODUCT)
Eg. Nokia Siemens network
business, OVI internet
service
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SW OT A NALY SIS OF NOKIA
Strengths
One of the most popular mobile Brand offering high
product quality.
Wide range of product and price.
Product warrantee worldwide.
Fashionable product ( serve new trend).
Global marketing (product)
Good distribution channels
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WEAKNESSES
Higher price as compared to competitors
High supply chain cost
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OPPORTUNITIES
Increase their presence in the CDMA market, which
they are just entering, as well as 3G and Edge.
New growth markets where cell phone adoption still
has room to go, including India and other countries. Joint venture in Technology.
± Nokia with NAVTEQ for providing Navigation
Technology.
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THREATS
Looking mainly at the competition that are
taking away Nokia¶s market share.
Government legislations that hinder Nokia¶s
development as a company (total cost of 3Glicensing in Europe is 110 billion Euros).
Higher import charges.
Gray market Presence of CHINA MOBILE in India.
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PRODUCT LIFE CYCLE
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ENVIRONMENT FACTOR
POLITICAL FACTOR:
Nokia reported spending $5.4 mn on lobbying in theU.S. in 2007 and $2 mn on lobbying in 2008.
ECONOMIC FACTOR
Nokia had to change its functions from single market toglobal market due to collapse of Russian Federation.
SOCIAL FACTOR Nokia has been a member of the United Nations GlobalCompact since 2001.
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TECHNOLOGICAL FACTOR
Changes in technology
LEGAL FACTOR
Patents and technology:
Health risk and regulation
ENVIRONMENTAL FACTOR
Environmental impact of suppliers products andprocesses Environmentally ethical considerationsamongst suppliers Life cycle impact of productsthroughout the supply chain.
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INV OLVE MENT
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MOBILE BUY ING PROCE SS
Total set Awareness set Consideration set choice set decision
NOKIA
LG
SONY ERICSSON
MOTOROLA
VIRGIN
SPICE
VID
EOCO
NONIDA
BOSS
CHINA
APPLE
NOKIA
LG
SONY ERICSSON
MOTOROLA
VIRGIN
SPICE
NOKIA
SONY ERICSSON
MOTOROLA
NOKIA
SONY
ERICSSON
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TA RGET SEGMENTS
Communication-centric users
Information-centric users
Entertainment-centric users
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PRICING STRETEGY Market skimming pricing: Sony Ericsson k-790i
cyber shot mobile was sold at Rs 16000 in 2007 while
now its current price is approximately Rs 8700.
Market penetration pricing: To gain market & fight
Gray market, to tap rural market
Optional product pricing: Accessory like Blue tooth
hands free, memory card of higher memory storage,
multi media speakers, car charger, carrying cover, car
holder, captive charger etc. e.g. Sony Ericsson
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Allowances:
Nokia also offer cash allowances: By buying 1200 and 1208 get 50Rs
75Rs on buying 1650
100R
s on buying 2630 and 3110 200 and 250 Rs on buying 6300 and 5310
1 GB card free with N-72
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SEGMENTED PRICING:
Entry level: (Rs 2,500-6,000)
Nokia: 3310,3315,5510,1100,1110
Classic Series: (Rs 7,000-17,000)
Nokia:6300,6233,6120,3120 etc Xpress music: (Rs 13,000-35,000)
Nokia: 5220, 5310, 5800, 5610, 5320
E-series: (Rs 18,000-60,000)
Nokia: N70, N73, N95, N96, N80, N81, N91
Premium series: (Rs 80,000-1,500,000)
8800Gold, 8800arts
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Distribution Channel
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Distribution cost:
2.7 per cent of the revenues for the half year
Nokia Regional Distributor (3 to 4 % )
HCL Distributor (2%)
RDSS [Re - Retailer distributor stockist] (2% )RDSS City & RDSS MD (2% &1%)
MD [micro distributor] (1% )
Retailer ( super market, malls, mobile next, mobile
store, hot spot ) [1%]
Nokia also sells Nokia mobile through franchisee.
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Distribution through bundling offers:
Nokia handsets will be offered with a free
Airtel Prepaid SIM Card with validity options
ranging from 18 months to lifetime.
Distribution through CDMA player:
Nokia with TATA Indicom
Nokia with reliance
Samsung with TATA Indicom
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Promotional Tools
Celebrity endorsement:
Nokia : Shah rukh khan, priyanka chopra
Samsung : Aamir khan
Sony Ericsson : Hrithik roshan
Motorola : Abhisekh bachan
Spice : katrina kaif
Nokia strategy for promotion is Eye level is buy
level.
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EVENTS & EXPERIENCES
Sponsor of Kolkata knight Rider, IPL
Nokia football crazy
Nokia had signed on as the Official Sponsor of the
50th Annual Grammy Awards. Sony Ericsson is official sponsor of WTA tour.
SAMSUNG is also among the chief sponsor of IPL
2009.
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SALES PROMOTION Sony Ericsson Mobile Communications has
launched a wide range of embedded Star Wars,
Spiderman 2-3, Jems bond 007 wallpapers and
ringtones in the selected handsets of Sony Ericsson
mobile phones.
NOK IA:
N73 mobile offer 2500Rs original Blue tooth Free
NOK IA 6220 offer leather Wallet
NOK IA 6300 offer caps and shirts
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Public Relation N-gage.com for game lovers
Samsung fun club site for downloading wallpapers,
videos, ringtones etc.
Sony Ericsson has tied up with Star Television¶smobile interactive division µPlus¶ to pre-install its
portal on its phones. Which allows users to view the
synopsis of daily soaps and entertainment shows on
leading channels of the Star India network.
Doordarshan launched a mobile TV service for eight
channels that were made available by Nokia on its N-
series phones.
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