nokia case study iiml
TRANSCRIPT
NOKIACASE STUDY
MINI CASE STUDY NOKIA: MARKETING INTERNSHIP UNDER PROF. SAMEER MATHUR,
INDIAN INSTITUTE OF MANAGEMENT, LUCKNOW
Introduction
Based in Finland
Employ nearly 130,000 people in 120 countries
38% of market share in 3rd quarter of 2009
Number one in the world for cell phone sales
Industry Analysis
Economy
People are saving money-spending less
2009 first quarter cell phone sales down 8.6% from a year ago
Households omitting landlines-using only cell phones
Barriers to enter are high
Fierce competition
Industry cont.
Companies struggling to expand
Nearly billion people own a cell phone
Motorola went from 2nd largest to 5th largest in 2007
Health risks are threatening to industry as a whole
No proven facts that cell phones cause cancer
On-going studies conducted
S.W.O.T ANAYSISStrengths
Nokia has ten series of cell phone; eight of them are used Symbian operating system.
all models in N series and E series are used Symbian S60 OS
Nokia Corporation purchased Symbian, Ltd in 2008
High quality and solid shell
The funny Nokia 1100
Opportunities
Smartphone is the future trends of cell phone.
The future trends of Smartphone are Touch Screen Smartphone and QWERTY Keyboard Smartphone.
High price, high quality, high tech and numerous functions but also mean high profits.
Weaknesses Nokia’s market share in North America is only 10 percent.
Firstly, Nokia didn’t have so much advertisement in America
Secondly, more than 90% of Nokia’s cell phones are in GSM net.
Thirdly, Nokia’s designs are not suitable for American customers.
The last but also the most important reason is telephone services providers.
Nokia in T-mobile
Threats
It is reported that Nokia’s market share of Smart phone was 35% in the third quarter of 2009.
Although an unlocked Iphone’s price is more than $700 dollars, but customers could only spent $199 dollars buy an Iphone with two years AT&T services.
Nokia in Europe
The Emergence of Competitors
Intellectual Property Disputes
Concern on Expanding Business
Nokia in north America
Outmoded Design
Ineffective Cooperation with Operator
Losing the Smart Phone Market
NOKIA IN ASIA
Nokia in China
-3G market
-Domestic Competitors
Nokia in India
-Accusation of After Service
-Walkout
Apple Inc
April 1,1976
Steve Job,Steve Wozniak & Ronald Wayne
Cupertino, California, United States
Revenue: US$32.48 billion (FY 2008)
Net income: US$ 4.83 billion (FY 2008)
Employees:35,000 (Q1 FY 2009)
Products
iphone (January 9, 2007)
Motorola
1928
Paul Galvin & Joseph Galvin
Headquarters: Schaumburg, Illinois, United States
Revenue: US$ 30.146 billion (2008)
Net income: US$ -4.244 billion (2008)
Employees:64,000 (2008)
Samsung
1938
Lee Byung-chul
Headquarters: Samsung Town in Seoul, South Korea
Revenue: US$ 173.4 billion (FY 2008)
Net income: US$ 10.7 billion(FY 2008)
Employees: 276,000 (Q1 FY 2009)
Samsung
Marketing Strategy
Sports marketing
•1988 Seoul (24th)•1998 Nagano(18th winter )•2000 Sydney (27th)•2002 salt lake city(19th winter )•2004 Athens (28th)•2006 Turin (20th winter )•2008 Beijing (29th)
Short-term recommendation
Enhance Cooperation with Operators in
North America
Smart Phone Market
Learn from Competitors
Long-term recommendation
Enhance Cooperation with Operators
Changes on Operation System
Meet Consumer’s Needs
Diversity