Thesis Essay

1183 Words Feb 4th, 2014 5 Pages
Nokia Warns Consumers of Fare Handsets Sold Locally 1. How will the proliferation of fake Nokia handsets affect the operations of Nokia Philippines? * I think the proliferation of fake Nokia handsets have a huge effect on the operation of Nokia Philippines. The emerged of fake Nokia handsets may destroy the Nokia’s top position in the market. Nokia may lost the overall mobile phone market share in the Philippines and may suffer from declining profit margins due to fake Nokia handsets.

2. What do you think is the main cause of such proliferation? * I think the main cause of such proliferation is that there’s an existing demand on fake Nokia product which consumers can buy in a cheaper price. Since the original Nokia handsets
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Nokia Philippines may also continue to undertake consumer awareness programs especially on how to identify genuine Nokia products starting from the packaging, features, pricing and warranty period. I also recommend that Nokia Philippines review their pricing strategy and if they are not really cannot lower their existing price then produce and offer a new Nokia handset that is affordable with the mass of consumers.

4. “Nokia handsets are expensive so some manufactures have thought of offering of cheaper handsets to people and provide them with the Nokia experience. These manufactures prioritize consumer welfare. They are not doing anything wrong. It is Nokia that must review its pricing strategy.” Comment. * I agree when the statement said that manufacturers are not doing anything wrong when they produce and offer cheaper handset to consumers and provide them with Nokia experience, of course the manufacturers should prioritized the consumer welfare. But, I think what is not right is when the other manufacturers produce and offer cheaper price handsets with Nokia features then used the label and brand name of Nokia. These make it illegal. I believe that when other manufacturers said that they will provide consumers with the Nokia experience it does not only pertain to new features offered by Nokia but also the display of Nokia brand name. It is evident that consumers now a day appear to be paying

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