Nokia Case Study

Nokia Company is considered to be one of the biggest market leading in the production of high quality equipment and mobile phones, which was rooted back to 19th century. However, despite the tremendous rise in Nokia, the company experienced massive changes during its presence on the Finnish, which later spread to the world’s market. Nokia Company, started as a small forest industry that dealt in the production of cable and rubber. It then shifted to the manufacturing of computers, more particularly the monitors. Later on, the company diversified its operations and started the production of mobile phones and its related accessories.

Nokia is the world leader in mobile phones. The decision to concentrate only on telecommunications and early investment in GSM has made Nokia to become the world leader in mobile phones. In a span of five years , Nokia's turnover increased almost 5 times from 6.5 billion euroes to 31 billion euroes. This enhanced Nokia to improve the technology and bought many new features in the mobile phones later.

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

Nokia Corporation is one of the world’s largest vendor of mobile phones from 1998 to 2012. At Nokia, they are committed to connecting people around the world through technology. From 2014, Nokia reorganized its structure into four category of business groups: Mobile Phones, Multimedia, Enterprise Solutions, and Networks. Nokia operates 15 manufacturing facilities in nine countries and maintains research and development facilities in 12 countries (Reference For Business, n.d.).

On February 11, 2011, Stephen Elop, a recently appointed CEO of Nokia’s Finland headquarters, announced that the company would be introducing a new mobile strategy that would adopt Microsoft’s new Windows phone. The new smartphone was reportedly to be unproven and the market was not interested in the new development. Upon hearing of the adopted mobile strategy, the market to react poorly to Mr. Elop’s new decision as company stock took a 14-cent dive. In reaction to the company stock plunging and a struggling market for Nokia, Stephen Elop partnered with Microsoft in order to save the company. This partnership allowed them to manufacture a new global ecosystem mobile phone called the Vertu Luxury cell phone. Frank Nuovo created the Vertu Luxury mobile phone in the 1990’s (Kwong-Kay Wong, 2011, p. 1).

Early 2014, Microsoft came to a deal acquiring Nokia’s handset business for US$7.2 billion, aiming to extend its markets for mobile devices while rivaling Google’s Android operating system (OS), Apple and Samsung in the global smartphone business (deal, 2013). It seemed a valuable deal merging both software and hardware, beneficial to both Microsoft who determined to control the telecommunication value chain and Nokia, who required an ally of strong financial capability. Six month later, Microsoft decided to move away from the Nokia brand - switching the name of smartphones from “Nokia Lumia” to “Microsoft Lumia” while still using ‘Nokia’ for low-end basic phone (T, 2014). This report will investigate the decision of

The products that are offered in this industry are essentially smartphones. Handheld devices which besides being able to use for calling and texting, are capable of navigating the web with high tech processors that allow fast speed and access to apps that range from a wide variety of categories (Books, Business, Entertainment, Music and Audio, Navigation and Travel, Shopping, Social, etc.). The smartphones really became “smart” when they were capable of basically doing similar stuff that a computer does. I still remember when Nokia was a big hit back in the early 2000s with their color screen phones, or Motorola with their “Razr”, which you may remember was the latest in design.

The Nokia name has been around ever since the 1865 starting out as a small paper mill in Finland, yet didn’t become involved in telecommunications until the 1960’s (Nokia 2014) Nokia bought a company called Salora Oy a Finnish electronics company in 1984 and changed the company 's telecommunications branch name to Nokia-Mobira Oy (Wikipedia 2014). Nokia launched the Mobira Talk man in 1984, it was one of the world 's first transportable phones. Then In 1987, Nokia introduced one of the world 's first handheld phones also, called the Mobira Cityman 900. Since then the Nokia Mobile Phone Company took off, “By 1998, Nokia was the world leader in mobile phones, a position it enjoyed for more than a decade.” (Nokia 2014) Nokia also established themselves as the world

Nokia is a finnish multinational communication and information technology company, founded in 1865. Nokia is headquartered in Espoo, Usimaa in the greater Helsinki metropolitan area. In 2014, Nokia employed 61,656 people across 120 countries, did business in more than 150 countriesand reported annual revenues of around €12.73billion. The company has had various industries in its 151-year history. Originally founded as a pulp mill ,and current focuses on large-scale telecommunication infra structures,and technology development and licensing.Nokia is also a major contrtibuter to the mobile telephony industry,having assisted in the development of the GSM and LTE standards ,and was,for a period ,the largest vendor of mobile phones in the world.Nokia’s dominance also extended into the smart phone industry through its Symbian platform ,but eventually shadowed by competitors.Nokia eventually entered into a pact with Microsoft in 2011 to exclusively use its windows phone platform on future smartphones.Its mobile phone business was eventually bought by Microsoft in an overall deal totaling $7.17billion .Stephen Elop,Nokia’s former CEO,and several other executives joined the new Microsoft Mobiles subsidiary of Microsoft as part of the deal,which was complete on 25 april 2014 .

Prior to the turn of the 21st Century Nokia been the leader of world telecommunications. Nokia the town had diversified into the business in the 1990’s after producing everything from toilet roll, rubber boots, and televisions within its eleven divisions. (Sainsbury 2013:55). However in recent years, Nokia’s telecommunications sales has decreased with net sales falling by 17% from 2013/14 (Nokia Annual financial reports page 93). Previously they have been delving into a more software driven acquiring Gate 5 and Navteq both software companies. Nokia also adopted Microsoft’s Windows Phone Operating System for Smart devices as an alternative to IOS and Android in the hope of bolstering their competiveness within the market in 2011, as well as the purchase

Nokia is well-known as a Finnish Corporation which makes quality phones, but at its beginning, it was just a pulp mill. According to Nokia Website (Our history, 2017), “Few companies have Nokia’s storied capacity for transforming, developing new technologies and adapting to shifts in market conditions.” Indeed, Nokia had a successful transformation in business. Nokia was founded in 1865 by a Finnish engineer, Fredrik Idestam. As a pure mill, paper making was its main business. Then, it gradually expanded to the business of rubber, cable, power plant, and television (Our story, 2017). It mainly engages in electronic information technology, multinational communications, and consumer

For this assignment, I chose the company NOKIA. Now Nokia is a mobile telecommunications company, which offers far more than just mobile phones for day to day use. Nokia offers networking solutions for businesses that help businesses stay connected and communicate with each other at all times and places. Nokia also offers special mobile phones with exquisite and unique functions and options. In this project, first I will talk about what Nokia is and what they do. I will also mention their history, from where they started to where they are today. Vision, goals, and their

Nokia must self-questioning to know what is it place in the mobile phone market. Indeed, Nokia should actualise its knowledge in mobile market to be able to be a serious competitor. The company has to use application its strategy about innovating and become a leader of the market. This can pass also in the use of its capable workfore which is on of its assets too. Nokia has to applicate its key success factor in term of innovate activities especially but also in using the capacity of its workforce.

Nokia has a long history of success in the development of high quality mobile phone. Nokia has extensive research and development segments and manufacturing facilities around the world. As a result, Nokia has both established geographic and technological advantages compared to other mobile phone companies. Base of the various demands due to different income level, Nokia developed different phones to help customer communicate and gain access to the internet in different countries.

The Nokia Corporation poised as the best company to choose for this assignment given its sacksful flux and innovation in the industry over time and more so, it’s captivating and inspiring history. The long successful journey of this famous corporation started by Fredrik Idestam, a mining engineer The Company kicked off as a paper mill company. With time, they diversified their activities and were involved in many sectors such as rubber boots, tires, telecommunication infrastructure, electronics and cables. Currently, the corporation is best-related to the production and distribution of wireless communication technologies.