Failure Of Nokia

There came a time where it shut down its manufacturing plants in most of the countries. If they had put more focus on collecting the data and analyzed it, they could have sustained the markets. Although there were other internal problems like organizational failure, unwillingness to adapt to change, internal politics, one of the main reasons was the lack of proper data analysis which proved to be a major blow in company's profits. In 2017, finally Nokia used Android OS in their phones and is still trying to stay in the

Microsoft is a multinational corporation of the United States; It specializes in developing, manufacturing, trading software licenses and supporting a wide range of computer related products and services.. In terms of revenue, Microsoft is the world's largest software maker. It is also called "one of the most valuable companies in the world".

Nokia, which overtook Motorola in 1998 to take the crown of biggest phone manufacturer of world, lost its prestigious crown after struggling for last 3 years. The 4 costly mistakes that lead to Nokia losing the battle are described in this article. Nokia launched its Symbian 60 series in year 2002 which initially had a good market response but with the introduction of Apple iOS in 2007 and Android in 2008, the OS race was completely taken over by the two giants. The reasons for collapse of Symbian OS is lack of applications and UI (User Interface). After facing competition from iOS and Android, Nokia continuously tried to improve their Symbian OS but it was mostly following the UI of Android and iOS and was not creating something unique. Secondly, the company failed to look into the need of available applications in gaining market share. The company made the biggest mistake to take a leap of faith in Windows in 2011. At that point of time, the company already was in declining condition and trusting Windows which was new in the field to regain its status was the biggest mistake the company made. tiff competition from Samsung and Apple, and lack on focus on innovation was the second big reason of collapse. Even if users could ignore the OS, the the hardware features which Nokia was rolling out were quiet late as compared its major competitors Samsung and Apple.

Nokia’s aggressive strategy to dominate mobile communication cluster would be the main reason how Nokia could become a world leader in the sector among other reasons. Nokia’s passion for mobile communication industry was great enough to give up more than 40% of its revenue in is pre-owned communication industry to concentrate only in mobile communications. Nokia was also lucky enough to see the possibility of mobile communication early enough to predominate the industry and prevent any competition from

Mobile Phones will drive Nokia’s ”web for the next billion” strategy. Mobile Phones will leverage its innovation and strength in growth markets to connect the next billion people and bring them affordable access to the Internet and applications. The Mobile Phones unit will be led by Mary McDowell.

However, nowadays Ericsson is faced with a plethora of internal and external problems, hindering its growth and limiting its market footprint and this is what this report aims to

The Finnish giant was sitting on its laurels and they have never thinking about improving continuously. They were only focusing on their internal strategies rather than on the customers, they failed to evolve and compete. This has led them to be decreased, after the smart phone industry become known and famous. This is an example of lack of evolution, even Sony, Motorola, Ericsson has failed due to lack of evolution. All these companies were at their prime, they have the technology, they have first mover advantage, but just because they didn’t continuously improve and neither did they evolve, they have been almost gone out of their industries and market

They created the first GSM telecommunication and make it commercial. It is namely as Nokia Protitype Phone and the first product was Nokia 1011. Eventhough they were still have many competitors like Erricson, Samsung, and Google at the time, Nokia still keep trying to do their best when their falling era. Because of their innovation in GSM Phone, Nokia can get more their market for telecommunication and spread their product to their market. In 1992, Nokia tried to do the agreement with Vodafone and successfully in improving the network roaming for its GSM as the dominant network standardization. In the end of 1990s and in the beginning of 2000s, Nokia is still in the inertia eventhough they have many innovation products on GSM but their competitor like Erricson also created the same mobile for the telecommunication so that they competed each other for controlling the

From Nokia’s vision and mission statement it can be inferred that Nokia wants to be known for its credibility and to be a market leader again as it was before the year 2007 (Kess, 2014). Nokia understands that the company has to use innovation to offer products that are not yet

Nokia’s history stretches back 150 years to a time in a small town in Finland, Fredrik Idestam, when a 27 year old mining engineer, discovered a new way of producing paper from wood rather than from rags as it was commonly produced, and set up his first factory of paper mill in 1865. Within three years, the company set up a second mill. By 1902, it had expanded its operations to the generation of electricity from the hydropower assets Nokia possessed.

Nokia which is headquarters is located in Finland is a global telecommunications equipment manufacturer (Kwong & Wong, 2011). Stephen Elop the new CEO of Nokia announced a new mobile strategy to adopt Microsoft’s new but unproven Windows phone as its primary smart phone operating system (Kwong & Wong, 2011). The day of his big proclamation the stock market to a 14 cent dive. Vertu was the luxury mobile phone that was founded by Frank Nuovo in the 1990’s.

Nokia has always been famous for its mobile phone devices however instead of research and development it has to focus on the profitability and competitiveness of its smartphone business at that stage. Meanwhile it still conducted acquisitions of “imaging assets” and owned patents crucial for next mobile transition. But Nokia must recognize the indirect costs of layoffs that it would lose experienced researchers and engineers and this may prevent it from catching up on innovations. Direct cutting may also bring negative public associations - lowering the brand image and investors may become unfavorable toward

EV: Generally, the threat of substitutes is low in the smartphone industry as there are not definite products that can readily substitute the smartphone. Consumers rely heavily on Smartphone and would not be able to find a close substitute that has all the function of a mobile phone. Furthermore, Nokia is a long and established company with many loyal customers. These people may continue to stay faithful to Nokia and are hence less resistant to change. Also, the perceived level of product

According to my project I am going to explain two companies; which one of them is successful at producing and selling Smartphone and one of them is, can not success at production and sale of Smartphone. Firstly I am going explain Nokia which is leader of communication industry but going to fail at Smartphone sector and after that, I am going to explain Apple, that is best at producing Smartphone and proved its quality in last 4 years. I am going to explain briefly Nokia’s history and position in industry and explain marketing strategy deeply. Soon, I’m going to explain Apple and its product Iphone and how being successful at communication industry with explaining marketing

The Swedish telecommunications company Ericsson, one of the “Big Three” mobile handset manufacturers in the 1990s, started to reach difficulty as it entered the new millennium. In 2001, Ericsson’s sales dropped by 52%, recording a $1.39 billion loss which preceded an announcement that would lay off 20% of their workforce. Ericsson found itself losing market share to “Big Three” rivals Nokia and Motorola and eventually even to Siemens. Analysts attributed this downfall to Ericsson’s stagnant phone designs, slow time to market and their inability