Strategic Analysis Nokia Essay

2436 Words Dec 23rd, 2013 10 Pages
Strategic Analysis


Introduction / Case Context

Nokia for many years was the largest mobile phone company in the planet. It sold in 2010 the great amount of 450 millions mobiles around the world (Gartner, 2011). However, today Nokia has been challenged and has lost market share due competitor’s pressure. According to Douglas Perry, “Samsung has become the world's largest cell phone maker in Q1 2012, overtaking Nokia for the first time”(2012). Nokia has been left behind because if its inability to quickly respond to innovative competitors, such as RIM with Blackberry and Apple with IPhone.

Nokia’s rivals are not just in North America, but all around the world. Asian competitors threaten Nokia by taking control on the mass
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Nokia needs to keep pace with competitor’s innovations and anticipate the market demand. These needs to get done, for Nokia be able to secure substantial revenues on investment, as well as to preserve its competitive advantage and maintainable growth.

SWOT Analysis

Nokia has a portfolio of over 10,000 patents and this is one of its biggest strength(Interim report, 2012). Also, it has the largest network distribution reaching over 160 nations. Nokia has a valuable and recognizable brand, however, it has devaluate over last years. Additionally, Nokia is the global leader in supply Chain Management, having its own subsidiary called NAVTEG, which provides geographic information, such as navigation and digital mapping. Nokia’s mobile phones are reachable to any social class because of it price range.

Weaknesses are also seen in this organization and have been increasing in the last number of years. Nokia has a weak presence in the United States compared to Asia and Europe that are their main markets. Moreover, the strategic alliance Nokia made with Microsoft to materialize the Windows Phone platform is so recent and basicallyan unverified addition to the marketplace. Another weakness seen from their past performance is that Nokia has grown so fast, they have been unsuccessful to maintain its growth at its present rate.

However, Opportunities may arise and Nokia may take advantage of them. In today’s modern time, Nokia may launch a

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