Nokia Case Study

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Nokia Case Study

February 27, 2011

I. Introduction

This case study will examine the development and implementation of corporate strategy of the Nokia Corporation. This case study will examine in particular recent events involving Nokia’s cellular phone business.

Nokia is a Finnish company that is the world’s largest manufacturer of mobile devices. In addition, Nokia offers communication services, software, as well as, phone and internet based content. Nokia includes a network management segment called Nokia Siemens Networks which offers network based products and services. This case study will focus primarily on the mobile device market.

II. Porter Five Force Analysis

Rivalry Among Existing Competitors
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Conversely, there is opportunity to use multiple vendors to product one type of component which reduces supplier power.

Bargaining Power of Buyers

The bargaining power of the buyer is fairly high. There are many options with regard to mobile device providers. In addition, service carriers, such as AT&T, Sprint and Verizon are the entities that put the various products before the end-user. This requires that Nokia provide incentives to carriers. This is particularly true in the United States where Nokia does not have as strong a presence as in Europe and Asia (O’Brien, 2009).

III. Strengths, Weaknesses, Opportunities and Threats (SWOT) Analysis

Table 2: Nokia SWOT

|Strengths |Weaknesses |
|Strong brand reputation |Weak penetration in US market |
|Sizeable market |Aging product operating system |
|Opportunities |Threats |
|Partnerships and acquisitions |hyper-competition |
|Growth of 3G and broadband demand |legal challenges from

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