[ppt]nokia corporation case study business... · web viewintroduction based in finland employ...
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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
HISTORY Started as a paper mill in 1865 Near bankruptcy after World War One-
joined with rubber works and cable works
First electronic device-pulse analyzer Kept diversifying product line-eventually
producing radios, TVs, and computers 1992-changed strategy and focused
only on telecommunications
INDUSTRY ANALYSIS Economy
People are saving money-spending less2009 first quarter cell phone sales down
8.6% from a year agoHouseholds 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 phoneMotorola went from 2nd largest to 5th largest
in 2007 Health risks are threatening to industry
as a wholeNo proven facts that cell phones cause
cancerOn-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
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
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.
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