2. HISTORY OF NOKIA :
• Founded on 1871 and Nokia began with making paper
• In 1898 founds the Finnish Rubber Works
• In 1912 sets up the Finnish Cable Works
• In 1963 starts developing radio telephones
• by 1987 Nokia is the third largest TV manufacturer in
Europe.
3. The Mobile Era
• Nokia in 1979 started radio telephone company Mobira Oy with Finnish TV
maker Salora
• in 1981 Nokia launched the Nordic Mobile Telephone (NMT) service
• In 1984 Nokia launches the Mobira Talk man portable car phone
• In 1987, GSM (Global System for Mobile communications) is adopted as the
European standard for digital mobile technology.
4. NOKIA IN NEW AGE:
• In 1992, Nokia launches its first digital handheld
GSM phone, the Nokia 1011.
• In 1994, Nokia launches the 2100 series, the first
phones to feature the Nokia Tune ringtone.
• The Nokia 2100 series goes on to sell 20 million
phones worldwide. Nokia’s target was 400,000.
• By 1998, Nokia is the world leader in mobile
phones.
5. Competition…
• While it was not totally unexpected, what
caught Nokia off-guard is the rate at which
competitors where innovating new technology.
6. Competition…
Nokia primarily failed to innovate attractive
technology and features.
Newer concepts such as User Experience and
User Interface were being neglected.
Nokia was clinging onto Symbian OS
for too long. It had reached its peak.
7.
8. Redrafting Strategies
In 2011, Nokia joined forces with Microsoft to
strengthen its position in the smart phone
market.
• Under the leadership of the Stephen Elop, Nokia
decided to stick to only and only Windows OS
while Android was a free alternative.
• Though Nokia is now reporting profits, it had
lost its glory in the market it once dominated
single-handedly.
9. Redrafting Strategies
In September 2013, Nokia entered into an agreement
with Microsoft whereby Microsoft would purchase
substantially all Devices & Services.
11. The Nokia House, Nokia's head office located by the Gulf of
Finland in Keilaniemi, Espoo, was constructed between 1995
and 1997.
12.
13. What did Stephen Elop do
wrong?
• While the entire smartphone OS industry was evolving,
manufacturers moved on and adopted various operating
systems like Android, Windows, Bada, Meego, et cetera, Nokia
decided to stick to Windows OS only.
• As Android and iOS became more popular, Nokia and its
windows phones failed to attract any attention.
14. Mistakes that lead to Nokia Failure
1. Failure of Symbian OS
2. Wrong Deal with Windows
3. NOKIA Became Laggard in Smartphone
Market
4. Losing Market Share on Both Ends
5. Failure to Implement the Right Umbrella
Branding Strategy
15. SWOT
Strength
• Brand name.
• teaming up with
Microsoft’s experts
• higher re-sale value
• easy to use
• Price ranges
Weakness
•Poor after sales services.
• Late comers to Smartphone
market
•Unaffordable for middle and
lower class consumers
17. Conclusion
From Technology perspective, Nokia did not
deliver as per expectations based on previous
performance
From the Strategy perspective, though Nokia did
eventually come up with nice lucrative products, it
lost in the race against time due to poor strategies
and sly competition.
From the organizational and people perspective, the
new CEO’s attitude and competency proved to be
fatal for the company.