NOKIA CORPORATIO

N
CASE STUDY
Melisa Anderson
Alex
Amber
Vivian

INTRODUCTION

Based in Finland
Employ nearly 130,000 people in 120 countri
es
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 pro
ducing radios, TVs, and computers
1992-changed strategy and focused only on t
elecommunications

INDUSTRY ANALYSIS

Economy
People

are saving money-spending less

2009 first quarter cell phone sales down 8.6% fro
m a year ago
Households omitting landlines-using only cell pho
nes

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 20
07

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 ANAYSIS
STRENGTHS

Nokia has ten series of cell phone; eight of th

em are used Symbian operating system.
all models in N series and E series are used S
ymbian S60 OS
Nokia Corporation purchased Symbian, Ltd in
2008
High quality and solid shell
The funny Nokia 1100

WEAKNESSES

Nokias market share in North America is only

10 percent.
Firstly, Nokia didnt have so much advertisem
ent in America
Secondly, more than 90% of Nokias cell phon
es are in GSM net.
Thirdly, Nokias designs are not suitable for A
merican 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 phon

e.
The future trends of Smartphone are Touch S
creen Smartphone and QWERTY Keyboard Sm
artphone.
High price, high quality, high tech and numer
ous functions but also mean high profits.

THREATS

It is reported that Nokias market share of S

mart phone was 35% in the third quarter of 2
009.
Although an unlocked Iphones price is more
than $700 dollars, but customers could only s
pent $199 dollars buy an Iphone with two yea
rs AT&T services.

CURRENT SITUATION

Great Reputation

New Attempts

New Competitors

Great Advantage on Market share

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 Way
ne
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)

APPLE INC
Strength
1.Operating system
2.Design

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)

2006

MOTOROLA

current
situation

SAMSUNG

1938
Lee Byung-chul
Headquarters: Samsung Town in Seoul, So
uth 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
1998
2000
2002

2004
2006
2008

Seoul 24th
Nagano 18th winter
Sydney 27th
salt lake city 19th winter
Athens 28th
Turin 20th winter
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 Consumers Needs

Diversity

CONCLUSION

Any questions?
Thank you!