Nokia Strategy Analysis Essay

1 . Does Nokia have a truly global approach, rather than simply a series of local strategies?

Explain. Yes, it can have a global strategy. A global strategy of Nokia may be the foundation of each of the regional tactics and that is depending on overall client needs. That they found out the main consumer requirements is focused on selling products (phones) as cheapest price all over the world having its simple, simple basic versions. Also beside that Nokia has number of regional strategies that use sophisticated technologies with regards to Camera, music and nanotechnology which is the future feature in the phones in e versatile shape and the last not the least is definitely focusing on the business enterprise communications to compete with other companies in the industry and keep its position while the market head.

Therefore they will placed their very own strategy in 3 facets: 1 . growing the number of persons using Nokia, 2 . modifying the devices people work with. 3. buidling new businesses. 2 . Consider the several global promoting environments reviewed in the text.

How do these kinds of environments differ in producing versus developed countries? Developing countries: African, Asian, Latin American countries and Middles East region have the greatest sale volumes of prints in a way that the half of the community population have cell phones and one of the 3 hold a Nokia telephone, as China and India are among the countries with highest number of population and also got the very best number of revenue, as an example 70 mil cell phones were bought from China in 2007 that is certainly 38% more than the previous year’s sales.

Basically the high demand in this product during these regions is for simplicity and user friendly program that the Nokia has along with its low price, as most of the people during these regions have very low salary and in some place the portable is shared by dozen of people who even are not able to read or perhaps write ( mostly in Africa). In these regions (African-Asia) the main target is hooking up one person to another, could be a simple greeting call, or a straightforward test communication. It does not matter in the event it’s colourful or grayscale white, or if it has a camera or perhaps Social group connection just like Facebook, Twiter or so in.

The simple life-style will remain similar in the usage of the phone as the device will not quit the normal persons gathering and family meetings while in the Developed countries this varys. Developed countries: European countries consists of 39% of Nokia’s net Sales. It was certainly not explained in the text precisely what is the attraction of the European towards Nokia, but I assume it is based on the different features that each phone has that is different from an additional phone plus the user friendly technology that is used can be another reason as other competitors’ phones really are a bit challenging to get used to.

The U. T. only contains 5% from the Nokia’s sales and the explanation could be the people’s attraction is usually towards the innovative technology smartphone that includes all the required and clingy application in one slim size and lightweight weighted smartphone and this is why many Americans search for competitors telephone like, I phone, Samsung, LG, Sony and Motorella and Black Berry phones. When it comes to environment U. S may be the place of business and fast interaction, no dual in this you can put level of education is very high and simple phones are certainly not the demand from the smart and highly well-informed individuals, they look for most modern technology and the ease is certainly not their key aim.

They try to preserve time for appointment, gathering by a simple online video call, or chat or so on which is the lifestyle with the people of the produced countries. three or more. Discuss Nokia’s global strategy in terms of the five global product and communications approaches.

Nokia, attempts to get maximum number of Nokia users not merely through the inexpensive and simple mobiles that are generally sold in the developing countries, it is also planning to grow in the niche marketplaces that different competitors are focusing on including the touch screen telephones that were initial introduced by Apple’s, and music focus products such as i-pod, in camera is usually competing with other phones and Canon while having even more sales than Canons, as well as the business communication phones with advanced technology cell phones. The substantial amount of investment in R&D and expanding the product range of products are typical part of Nokia’s strategy to be able to stay in industry and keep where it stands as the market leader for the very long period.

I personally enjoy Nokia’s strategy as it is this keeps the Nokia name brand always speeded around for all the segments demands which is the key global purpose of the Nokia meeting the actual consumer wish. 4. Can easily competitors quickly replicate Nokia’s global approach? Why or perhaps Why not? I don’t think so.

Because other companies are merely focusing on their very own specific specific niche market and buying other specialized niche needs large investment and it’s already taken by Nokia, and the simply way is achievable if you will see high expense in these businesses to take on Nokia. Since several of the competitive companies are not simply Phone makers, they are creating a other electronics as well and their profit is usually gained in the whole variety of their gadgets that they sell off and concentrating only in a single different objectives of one individual item (Mobile cellphone for low income individuals) would not always be very necessary for them to make investments is. (Such as The samsung company; Smart TELEVISION, mobile phones, Washer, . ) But in future (about 20-50 years coming from now) I do think as we proceed further this technologies will be cheaper and cheaper, in a way that there will be significantly less demand for these kinds of low cost mobiles as most almost certainly these as well available for free or perhaps they will not be taken at all as there are new products or devices that is introduced that could replace the Mobile phone the same for different electronic devices whom knows? five.

Will Nokia’s planned growth into various other products and services work? Explain. I think it won’t.

As I possess read in several places that Nokia experienced released a Laptop as well as sales was not successful. I think Nokia is knows like a Mobile Phone developer and has to focus more upon that industry only. As if it makes other electronics, Nokia’s consumer will lose their very own focus on the Nokia because the leader inside the Mobile phone devices. Nokia in the event is trying to expand, their better to use the sample development as laptop computer, tablet to get very limited period, as limited period only and study the market require.

If it was successful (which it was certainly not in the initial place) can expand usana products slowly in the business-communicating products only.