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Transcript of NOKIA
The largest market share in 2010.
It is stable and reliability.
It has advanced environmental protection technology .
Declining R&D (Research and Design)
Nokia presence in the US and in Japan it has very weak position.
Nokia’s first company at Finnish and second company at Nordic.
First arrived in Chinese market.
The position of the Finnish home base-decrease, but significance overseas-grew.
CEO-Jorma Ollila foucused become a global company, and non-domestic company.
1. How can Nokia position itself in developing markets to
capture future market share (while maintaining economies
2. What must Nokia do to better position their mobile phone
business in developed markets?
3. Can Nokia maintain economies of scale in the developed
markets? Should it use outsourcing as part of its new
Youth wants the fashionable handsets.
NOKIA response strategies after challenge
Young consumer groups.
Increase product value and visibility.
(1) Nokia was listed on the New York Stock exchange.
America represented an environment of price competition.
(2) In Japan Nokia was the first Europe manufacturer.
Become global company, so many of personnel work outside of Finland.
(1) NOKIA aiming mobile to recycle. (2) green. (3) recyclable material
Outsouced 25 percent.
China in this year was a huge milestone.
Nokia and Microsoft collaboration.
March: Samsung replaced Nokia .
June: Nokia have plan to reduce spending.
September:Microsoft buy Nokia’s two departments.
History of Nokia
In 1865 Nokia was founding of a forest company.
In 1967 Nokia merged with Rubber Works and Cable Works to the form what is now known as the Nokia Corporation.
In 1980s Nokia increase its position in the telecommunications and consumer electronics markets.
In 1984 Nokia was became the largest information technology company in Scandinavia.
In 1998 ,Nokia to start develop the mobile Internet capability.
In 2001, Nokia added Internet security appliances.
Nokia move to Mobility
In 1977 Kari Kairamo saw Nokia’s future in technology.
In 1987 Nokia introduced the ﬁrst NMT portable phone.
In 1992 Nokia introduced its ﬁrst GSM hand-portable phone.
In 1994 Jorma Ollila let hand-portable phone become a must-have item among consumers.
Since 1997, Nokia has been focusing on the mobile Internet as it moves towards a ‘‘mobile information society.’’
In 2001 Nokia began develop a global standard for 3G soft- ware.
In 2002 Nokia announced its ﬁrst phone with a built-in camera.
In 2003 Mobile Phones generated 80 percent of Nokia’s net sales.
The Nokia Way
The mission of Nokia is ‘‘Connecting People’’called The Nokia Way.
• Expand mobile voice.
• Drive consumer multimedia.
• Bring extended mobility to enterprises.
Nokia had joint venture with Siemens of Germany.
It comes up with innovative phones almost every 6 months.
The new phones have some new feature or price difference
Special and limited editions of its mobile phones on spicial occasions
The three main factors affecting the amount charged for a product or service:
Nokia mobile phones are very easy to access now days.
Sold the phone at Nokia Priority, Nokia Care Center and specialized outlets
Provide the information to the customer with media platforms
"Money off deals" and "Free giveaways"
Offering discounts on special occasions and giving gifts.
In 1998 Nokia passed Motorola
In 1999，the market share of Nokia continued to increase to 27%
From 2004 to 2007:
Nokia still was the NO.1 in cell phone market and
its market share had more than 40% in the world.
The low price of Nokia’s phone was very popular to consumers in 2006.
2007, Nokia’s market share had huge decreases,
Because a lot of competitors into market, like…
Why Nokia started to drop also in 2010?
Nokia created a complicated system
– Symbian system in 2010
The major impact to Nokia was that
and Samsung also created
The competitive set of Nokia is at the same time vastly different and incredibly similar.
The industry is charaterizes by huge amount of SKUs.
Much pressure from consumer for each manufacturer
Leader in electronic products and wireless, broadband and automotive technologies.
Led the way with its clamshell style cellular phones.
Popular in the U.S. and Asian markets.
Product offerings range from cell phone handsets to televisions, computers and home appliances.
Strong on the manufacturing side as it is one of the largest producers of chips for mobile phones.
Europe’s second largest mobile phone manufacturer behind Nokia.
First handset to have the ability of downloading fully protected music over the air without the need of a separate player.
Nokia joint venture with
10 years of the eco innovation
cost of production
Focused on low-cost mobile phone segment for rural markets in India.
Perfect price for each and very consumer segment in the market
(3) Siemens AG