In 2012, Nokia over 100 year – old communications and technology corporation was the world’s leading mobile handsets manufacturer, a position it had held since 1998. Yet, in September 2013, Microsoft purchased Nokia`s Device and Services business for Euros 5.4 billion. However, by mid 2000s, the industry was increasingly competitive form new competitors from Asia and South Korea Samsung manufacturer entered markets in Europe that Nokia had dominated. This competition shortened product life cycle from nine months to six months.
SWOT ANALYSIS OF NOKIA
The SWOT is meant to discuss e strengths, weaknesses, opportunities and threats in Nokia Industry which was once one of the leading mobile handset manufacturer in the Mobile Industry. Nokia …show more content…
• User friendliness – Nokia is till to date remembered for its being a user friendly phone because it was the first mobile phone for many people. It was durable too.
• Strong financial support for R & D (1.4 billion USD) – Nokia invested a lot in Research and Development regularly to maintain its user base and keep them happy.
• Nokia’s largest network of selling and distribution – Nokia had an amazing distribution and reach across countries.
• Strong customer relationships. Every time consumers asked for new features Nokia factored them for instance plates that were factored in in Nokia 5110, released in 1998.
• Consumer product company- Nokia behaved like a consumer product company by introducing new models annually and encouraged users to customize their devices.
• Nokia’s wide range of products for all class. Nokia produced its own semiconductors in- house and designed its own radio chips. They also focused on mobile phones, consumer electronics and home appliances
High Resale value compared to other competitors The phones provided by Nokia have a much higher re-sale value compared to other mobile phone …show more content…
This was useful in regions with unreliable power
• User friendly. Nokia’s products were user friendly for instance a five –line LDC screen display 99 speed dial memory slot, a soft touch keypad, selectable ringtones that could be personalized and a retractable antenna.
• Nokia’s Global Expansion –This expansion was due to Nokia`s product innovation, flexibility and rapid responsiveness to market differences and meeting of consumer needs and demands
Weaknesses of Nokia
• The new E series was flop – Many of the new handsets of Nokia were a total flop and if it has to reenter the market, it will have to do so with some strong products in its portfolio.
• Lack of production capacity- This was one the major weakness. They gave the competitors a chance to outsource manufacturing of handsets
• Low voice quality
• Less stylish in low priced products. Some of Nokia’s product were not affordable for middle and lower class consumers
• The Finnish mobile company made comparatively lower profits due drop of sales that had resulted to rise of competition. By mid-2014 profits had declined by 7%
• Market skimming prices of high sets
Opportunities of
SWOT ANALYSIS OF NOKIA
The SWOT is meant to discuss e strengths, weaknesses, opportunities and threats in Nokia Industry which was once one of the leading mobile handset manufacturer in the Mobile Industry. Nokia …show more content…
• User friendliness – Nokia is till to date remembered for its being a user friendly phone because it was the first mobile phone for many people. It was durable too.
• Strong financial support for R & D (1.4 billion USD) – Nokia invested a lot in Research and Development regularly to maintain its user base and keep them happy.
• Nokia’s largest network of selling and distribution – Nokia had an amazing distribution and reach across countries.
• Strong customer relationships. Every time consumers asked for new features Nokia factored them for instance plates that were factored in in Nokia 5110, released in 1998.
• Consumer product company- Nokia behaved like a consumer product company by introducing new models annually and encouraged users to customize their devices.
• Nokia’s wide range of products for all class. Nokia produced its own semiconductors in- house and designed its own radio chips. They also focused on mobile phones, consumer electronics and home appliances
High Resale value compared to other competitors The phones provided by Nokia have a much higher re-sale value compared to other mobile phone …show more content…
This was useful in regions with unreliable power
• User friendly. Nokia’s products were user friendly for instance a five –line LDC screen display 99 speed dial memory slot, a soft touch keypad, selectable ringtones that could be personalized and a retractable antenna.
• Nokia’s Global Expansion –This expansion was due to Nokia`s product innovation, flexibility and rapid responsiveness to market differences and meeting of consumer needs and demands
Weaknesses of Nokia
• The new E series was flop – Many of the new handsets of Nokia were a total flop and if it has to reenter the market, it will have to do so with some strong products in its portfolio.
• Lack of production capacity- This was one the major weakness. They gave the competitors a chance to outsource manufacturing of handsets
• Low voice quality
• Less stylish in low priced products. Some of Nokia’s product were not affordable for middle and lower class consumers
• The Finnish mobile company made comparatively lower profits due drop of sales that had resulted to rise of competition. By mid-2014 profits had declined by 7%
• Market skimming prices of high sets
Opportunities of