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About the Company

Nokia Corporation (NYSE: NOK) is one of the world's largest

telecommunications equipment manufacturers. With headquarters in
Keilaniemi of Espoo, Finland, this Finnish telecommunications company is
best known today for its leading range of mobile phones. Nokia also
produces mobile phone infrastructure and other telecommunications
equipment for applications such as traditional voice telephony, ISDN,
broadband access, professional mobile radio, voice over IP, wireless LAN
and a line of satellite receivers.

Nokia provides mobile communication equipment for every major market

and protocol, including GSM, CDMA, and WCDMA.

Nokia was established in 1865 as a wood-pulp mill by Fredrik Idestam on the

banks of Nokia rapids. Finnish Rubber Works established its factories in the
beginning of 20th century nearby and began using Nokia as its brand. Shortly
after World War I Finnish Rubber Works acquired Nokia wood mills as well
as Finnish Cable Works, a producer of telephone and telegraph cables. All
three companies were merged as Nokia Corporation in 1967. The name
Nokia originated from the river which flowed through the town of the same
name (Nokia).
In the 1970s Nokia became more involved in the telecommunications
industry by developing the Nokia DX 200, a digital switch for telephone
exchanges. In the 1980s, Nokia offered a series of personal computers called
MikroMikko [1], however, these operations were sold to International
Computers, Ltd. (ICL), which was later merged with Fujitsu-Siemens AG.
Nokia also began developing mobile phones for the NMT network;
unfortunately, the company ran afoul of serious financial problems in the
1990s and streamlined its manufacturing of mobile phones, mobile phone
infrastructure, and other telecommunications areas, divesting itself of other
items, such as televisions and personal computers.

In 2004, Nokia resorted to similar streamlining practices with layoffs and

organizational restructuring, although on a significantly smaller scale. This,
however, diminished Nokia's public image in Finland, and produced a
number of court cases along with, at least, one television show critical of

Recently, Nokia joined other mobile phone manufacturers to embrace

Taiwanese Original Device Manufacturers. Nokia signed a contract with
BenQ, a Taiwanese Original Device Manufacturer, to develop three high-end
mobile phones, which are scheduled to retail by the end of 2005.
Nokia in the Region of Asia – Pacific

A leading player in mobile communications in the Asia Pacific, Nokia first

started operations in the region in the early 1980s. It has since established a
leading brand presence in many local markets, and business has expanded
considerably in all areas to support customer needs and the growth of the
telecommunications industry in the region.

Nokia's regional corporate headquarters is located at Alexandra Technopark

in Singapore. As the regional hub for Nokia, it is a base from which over 700
staff provide leading-edge technology, product and solutions support to the
20 diverse markets and Nokia offices in the Asia Pacific.

Nokia's regional treasury center - Nokia Treasury Asia - operates out of

Singapore as an in-house bank for Nokia subsidiaries in the Asia Pacific
region, while Nokia Research Centre - the corporate research unit - has
offices in Japan and China. Nokia also manufactures products out of three
major facilities in Masan, Korea, and Beijing and Dongguan in China.

As of January 2004, Nokia streamlined its global organizational structure to

strengthen its focus on convergence, new mobility markets and growth. To
address emerging new business areas in the Mobility era while continuing to
grow its leadership in mobile voice communications, Nokia has four business
groups to best meet the unique dynamics of each business.

Mobile Phones offers a global range of highly competitive mobile phones for
large consumer segments, and develops mobile phones for all major
standards and customer segments in over 130 countries. It is responsible for
Nokia's core mobile phones business, based mainly on WCDMA, GSM,
CDMA and TDMA technologies. Mobile Phones focuses on bringing
feature-rich, segmented mobile phones to the global market.

Multimedia brings mobile multimedia to consumers in the form of advanced

mobile devices and applications. Its products have features and functionality
such as imaging, games, music, media and a range of other attractive content,
as well as innovative mobile enhancements and solutions.

Networks continues to offer leading-edge network infrastructure, technology

and related services, based on major wireless standards to mobile operators
and service providers. Focusing on the GSM family of technologies, the
group aims at leadership in GSM, EDGE and WCDMA radio networks. Our
networks have been installed in all major global markets that have adopted
these standards. Networks is also a leading provider of broadband access and
TETRA networks for professional users in the public safety and security
Enterprise Solutions provides a range of terminals and seamless mobile
connectivity solutions based on end-to-end mobility architecture, dedicated
to helping businesses and institutions worldwide improve their performance
through extended mobility. Its end-to-end solution offerings range from
business optimized mobile devices on the front end, to a robust portfolio of
mobile business optimized gateways in the back end including: wireless
email and internet, application mobility, message protection, virtual private
networks, firewalls, and intrusion protection.
Company’s Profile

Nokia Corporation manufactures mobile devices principally based on

global system for mobile communications, code division multiple access
(CDMA), and wideband CDMA (WCDMA) technologies. The company
operates in three divisions: Multimedia, Enterprise Solutions, and
Networks. The Multimedia division focuses on bringing connected mobile
multimedia to consumers in the form of advanced mobile devices, including
3G WCDMA mobile devices and solutions. The Enterprise Solutions
division enables businesses and institutions extend their use of mobility
from mobile devices for voice and basic data to secure mobile access,
content, and applications. Its solutions include business-optimized mobile
devices for end users, a portfolio of Internet portfolio network perimeter
security gateways, and mobile connectivity offerings. The Networks
division provides network infrastructure, communications, and networks
service platforms and professional services to operators and service
providers. Nokia connects people to each other and the information that
matters to them with mobile devices and solutions for voice, data, imaging,
games, multimedia, and business applications. The company also provides
equipment, solutions, and services for its operator and enterprise customers.
It sells its mobile devices primarily to operators, distributors, independent
retailers, and enterprise customers worldwide. Nokia Corporation is based
in Espoo, Finland.

Historically, the thinking was: a good product will sell itself. However there
are no bad products anymore in today's highly competitive markets. Plus
there are many laws giving customers the right to send back products that
he perceives as bad. Therefore the question on product has become: does
the organization create what its intended customers want? Define the
characteristics of your product or service that meets the needs of your

• Quality
• Appearance
• Packaging
• Brand
• Service
• Support
• Warranty
Some of the Products that Nokia offers to
Customers are:

Nokia N90 Nokia 9300 Nokia 7710

Nokia 8800

Nokia 7280 Nokia 7270 Nokia 6822 Nokia 6681

Nokia 6680 Nokia 6670 Nokia 6630 Nokia 6260

Nokia 6255 Nokia 6235

Nokia 6230i Nokia 3230
New Products Launching & Operating Highlights

The Mobile Phones business group increased its consumer offering

during the quarter with the introduction of new models in a range of
form factors and designs. Highlights include:

- Nine new GSM models, including the Nokia 6280, our first mid-range
WCDMA/3G phone.
- Four new CDMA models, growing our mid-range offering in CDMA.
- Premium category devices: the Nokia 8800 and Nokia 8801 stainless
steel slide phones.
- The Nokia 6270 slide phone: one of two new models with 2 mega
pixel cameras.
- The Nokia 5140i camera phone: Nokia's first mobile device to comply
with upcoming EU environmental legislation.
- Two entry-level mobile phones, the Nokia 1110 and Nokia 1600, each
offering technological features designed to reduce the total cost of
ownership for users.

How much are the intended customers willing to pay? Here we decide on
a pricing strategy - do not let it just happen! Even if you decide not to ask
(enough) money for a product or service, you must realize that this is a
conscious decision and forms part of the pricing strategy. Although
competing on price is as old as mankind, the consumer is often still
sensitive for price discounts and special offers. Price has also an irrational
side: something that is expensive must be good. Permanently competing
on price is for many companies not a very sensible approach.

List Price:
• Discounts
• Financing
• Leasing Options
• Allowances.

Price of the Most Selling Mobile Phones of

Nokia In the Market
Model Price Approx in Rs
Nokia 3230 Rs.15,000

Nokia 7610 Rs.16,000

Nokia 6230 Rs.12,000

Nokia 6630 Rs.22,000

Nokia 9300 Rs.28,000

Nokia 3660 Rs.11,000

Nokia 1100 Rs.3500

Nokia 6610 Rs.6000

Available at the right place, at the right time, in the right quantities? Some
of the recent major changes in business have come about by changing
Place. Think of the Internet and mobile telephones

• Logistics
• Channel members
• Channel Motivation
• Market Coverage
• Service Levels
• Internet
• Accessibility

How are the chosen target groups informed or educated about the
organization and its products? This includes all the weapons in the
marketing armory - advertising, selling, sales promotions, Public
Relations, etc. While the other three P's have lost much of their meanings
in today's markets, Promotion has become the most important P to focus

• Front Line Service
• Public Relations
• Message
• Direct Sales
• Sales
• Media
• Budget

All people directly or indirectly involved in the consumption of a service are an
important part of the extended marketing mix. Knowledge Workers, Employees,
Management and other Consumers often add significant value to the total product
or service offering.

Procedure, mechanisms and flow of activities by which services are consumed
(customer management processes) are an essential element of the marketing
Nokia has rapidly moved from functionally oriented organisation to a
business process oriented mode, and our information systems have not
followed the change as fast as they should. To fill the gap, IM organisation
must learn and implement working methods which enable the creation of
business process oriented information systems. To satisfy these business
needs, Nokia has introduced a new development approach for information
systems development. These processes have been created and tested during
the SPI.

In 1996, the starting point of software engineering practices in Nokia

Mobile Phones/Information Management was that there were no clearly
defined processes to guide the software development according to the
business needs. Requirement analysis was usually done with an ad-hoc style
without a pre-defined process. For the technical design and implementation,
there was a first version of project manual to follow.

Technical environment from IT point of view at Nokia is great.

Market’s leading brands are utilized in every part of the company and
personnel’s skill level is high in technical issues. In the SPI project, ICL ltd
was selected as the vendor to provide a consulting point of view and to
deliver their skills for business analysis and requirements specification areas.

Business environment in telecommunication industry is fast moving

and quite young, which means big challenges for information management:
timing is crucial. Because of the changing environment, also organisation is
changing rapidly. Change is an every day phenomenon at Nokia, which helps
a lot when changing working practices as a part the SPI. Skill set needed for
the business and requirements analysis and other parts of the SPI is different
from the technical expertise so common at Nokia. In order to succeed, some
time for training was reserved during the SPI.

The technical target environment for the SPI included a R/3 based
standard package as the baseline project environment, a CASE tool to
support the IM Process and an intranet environment where the results were

Pay Packages of the Company

Key Executives In The Company

Pay Exercised

Mr. Jorma Ollila , 54 $ 4.64M $ 6.00K

Chairman, Chief Exec. Officer and Chairman of the Group Exec.

Mr. Pekka Ala-Pietilä, 48 $ 1.63M $ 0

Pres, Head of Customer and Market Operations and Member of
Group Exec. Board

Mr. Olli-Pekka Kallasvuo , 52 $ 1.41M $ 0

Exec. VP, Pres of Mobile Phones, Gen. Mang. of Mobile Phones
and Group Exec. Board Member

Mr. Rick Simonson, 47 N/A $0

Chief Financial Officer, Sr. VP and Member of Group Exec.

Mr. Pertti Korhonen , 44 N/A $ 38.00K

Chief Technology Officer, Sr. VP and Group Exec. Board

SWOT Analysis of the Company: Nokia

Nokia has largest network of distribution and selling as compared
to other mobile phone company in the world. It is backed with the high
quality and professional team in the HRD Dept. The financial aspect is
very strong in case of Nokia as it has many more profitable business. The
product being user friendly and have all the accessories one want that is
why is in great demand making it No-1 selling mobile phones in the
world. Wide range of products for all class. The re-sell value of Nokia
phones are high compared to other company’s product.

Nokia has many strengths and some weakness. Some of the
weakness includes the price of the product offered by the company.
Some of the products are not user friendly. Not concern about the lower
class f the society people. Not targeting promotion toward them. The
price of the product is the main issue. The service centers in India are
very few and scare. So after sales service is not good.

Nokia has ample of opportunity to expand its business. With the
wide range in products, features and different price range for different
people, it has an advantage over the competitors around. With the
opportunity like ‘Telecom penetration in India’ being at the peak time,
Nokia has an opportunity to increase its sales as well as the market share.
As the standard of living in India has increased the purchasing power of
the people as increased as well, so Nokia has to target right customer at
right time to gain the most out of the situation.

Nokia has many threats to tackle to maintain its position as market
leader. The threats like emerging of other mobile companies in the
market. The companies like Motorola, Sony Eriksson, Cingular (U.S)
etc. these companies have come to the stand of tough competition with
Nokia in the field of Mobile Phones. Threats can be like providing cheap
phones, new features, new style and type, good after sales service etc.
So, Nokia has to keep in mind the growing competition around. Nokia
has to make strategies to tackle problems in the present and the near
future. The growing demand of WLL network can cause drop in sales for
Nokia, as Nokia provides many less CDMA phones to the customer.
1. About the Company
2. Nokia in the region of Asia- Pacific
3. Company’s Profile
4. Product
5. Products that Nokia offers
6. New Products & Operating Highlights
7. Price
8. Price of Some Most Selling Mobile Phones
9. Place
13.Pay Package
14.SWOT Analysis
Thakur College of Science & Commerce
BMS Department

Project on Marketing Management

Topic of the Project on:

Efforts for This Project is made by: Tushar Inani (S.Y.B.M.S)

Submission on: 30th August 2005

Submitted to: Mrs. Shalini

“This Idea of ‘Connecting People’ by Nokia provides Service to

people with the help of the Products”