Mobile Industry
About a decade ago in India mobile phones were considered to be aspirational products. Today India’s mobile telecommunication industry is the fastest growing market in the world and the considerable underclass are almost as well connected as the rich. Over the last decade the liberalization of the mobile handset industry together with the availability of devices in low cost range, reduction in tariffs on handsets, betterment of networkservices and reduction in costs of teleservices helped the industry undergo a major process of change. Now we can see see almost every Indian in a big city on his or her mobile phone, whether they are executives, businessman, shop owners, students, housewives, drivers or even rickshaw pullers.
As a country India has accepted the mobile culture readily which has also given the country prosperous economic rewards. According to the World Bank reports every 10 mobile phones per 100 people in a typical developing country can increase GDP growth by 0.8% points. India is expected to reach 893 million users by 2015 which will be 64.69% of the population .
Handset companies in India:
Apple Celkon mobile G Five
HTC Karbonn mobiles Lava mobiles
LG Micromax mobile Motorola
Nokia Onida Panasonic
Samsung Spice Sony
About Nokia:
Nokiais a Finnish communications and information technology multinational corporation that is headquartered in Espoo, Finland. Its Nokia Solutions and Networkscompany provides telecommunications network equipment and services,while Internet services, including applications, games, music, media and messaging, and free-of-charge digital map information and navigation services, are delivered through its wholly owned subsidiary.
As of 2013, Nokia had a total workforce o...
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... being the fastest.
4. Retailers seem keener on selling other brands because of aggressive support. One of the retailers had a new shop which was provided with branding by Samsung in the form of posters, stands and glow sign boards, none by Nokia.
Learning
As per our interactions, Nokia needs to work on the following aspects to improve its sales and distribution.
1. Faster refill times – Nokia’s refill time has been criticized by most of the dealers we met.
2. Lower barriers for branding – Dealers complained about lack of branding efforts compared to Samsung and HTC. In case of dealers who were starting their business Samsung supplied branding material one day before they opened their shops.
3. Margins are very low, this may be due to low cost models being more in number but even for latest Lumia models is only 5% which is still low compared to Samsung at 8%.
Companies realize what people need and they take it as sources to produce commodities. However, companies which have famous brands try to get people’s attention by developing their products. Because there are several options available of commodities, people might be in a dilemma to choose what product they looking for. In fact, that dilemma is not real, it is just what people want. That is what Steve McKevitt claims in his article “Everything Now”. When people go shopping there are limitless choices of one product made by different companies, all choices of this product basically do the same thing, but what makes them different is the brand’s name. Companies with brands are trying to get their consumers by presenting their commodities in ways which let people feel impressed, and that are some things they need to buy. This is what Anne Norton discussed in her article “The Signs of Shopping”. People are often deceived by some famous brands, which they will buy as useless commodities to feel they are distinctive.
Cellular phones are a phenomenon that has engulfed people in the nineties. They have become a common occurrence whether you are waiting in line at the super market or in a movie theatre. One professor at Murray State University said, “Many students are carrying them, I had a student get a call in the middle of a test last semester.” Although many people have accepted the thought of carrying a telephone wherever they go, others have not taken the onslaught of cell phones quite so easily. Cell phones have become part of everyday life, and with the dramatic changes that have been made, there is no sign of their existence diminishing. Today, cellular service is available in all 306 Metropolitan Statistical Areas across the country and all of the 428 Rural Service Areas.
Some of these advantages are the mobility that it has and the communication that provides to the people. Another good thing about the cell phone is thet it is wireless and can be used anytime and anywhere (Srivastava 111). Not only it is used by people to communicate, but it is also used in today’s professional life (Srivastava 119). The cell phone provides rapid access to information, but it can also have a negative side. Some negative things about this device are that it has become a “fashion accessory,” and people are buying it by how it looks (Srivastava
Kapoor, C. “Benefits of Cell Phones.” BenefitsOf.Net. N.p., 5 Sept. 2011. Web. 19 Nov. 2013.
BA#v=onepage&q=price%20of%20cell%20phone%20in%201980s&f=false Chowdhury. R. Evolution Of Mobile Phones: 1995 - 2012. (n.d.). Retrieved from http://www.hongkiat.com/blog/evolution-of-mobile-phones/ MobiThinking. Global mobile statistics 2013 Part A: Mobile subscribers; handset market share; mobile operators. (n.d.). Retrieved from http://mobithinking.com/mobile-marketing-tools/latest-mobile-stats/a#subscribers Poole. I. History of Mobile Phone. (n.d.). Retrieved from http://www.radio-electronics.com/info/cellulartelecomms/history/mobile-cell-phone.php UMTS World. History of UMTS and 3G development. (n.d.). Retrieved from http://www.umtsworld.com/umts/history.htm WorldMapper. Cellular Subscribers 1990. (n.d.). Retrieved from http://www.worldmapper.org/display.php?selected=333
In today’s current economic state, the likelihood of a company entering into a global market is inevitable. Multinational corporations (MNCs) such as Vodafone are required to standardise their Research & Development activities throughout the world in order to penetrate the market. This is achieved by obtaining new technological opportunities, such as the most up-to-date phones, thus maintaining a competitive driver in the market.
Mobile is the first order priority device for access because people are connecting with others, finding entertainment, and doing business—all with smart phones. The prices of mobile phones are never over $1,000 in today’s world. They are affordable and accessible. As the result of the changes the worldwide and national business environment has undergone, people own 1-2 cell phones on average. However, the mobile markets in US seems to have been saturated.
Vodafone is the world's largest mobile telecommunications community, employing over 65,000 staff and with over 130 million customers. The business operates in 26 countries worldwide. Vodafone is a public limited company with listings on the London and New York stock exchanges.
The article poignantly observes that “mobile” technology may at times not have anything to do with “mobility” pointing to the example of young people who text each other while sitting in the very same room (Lacoheé 203)! Like Dr. Goggin, these authors provide an overview of the history of mobile technology but their piece does so from a global perspective. AT&T was in the lead of mobile technological advances in the 1940’s but couldn’t hold it. “The sheer size of America presented problems that were not to be encountered elsewhere.” European countries were much smaller and they were able to advance much more quickly. But in Europe service nationalized in some countries, like the United Kingdom. Service also had to be standardized so that mobile users could travel from country to country without service interruption.
Today, Nokia is the world leader in mobile communications. The company generates sales of more than $27 billion in a total of 130 countries and employs more than 60,000 people. Its simple mission: to "connect people."
This report is mainly based on the case study Emerging Nokia, using the frameworks and concepts we have learned to analyze the case. This report is divided into 5 parts, first is the summary of the case, the second part is about the competition Nokia faced, the third part is the factors that contributed to the success of Nokia, then the challenges Nokia may face in China and the recommendations to them and the last part is the conclusion of the report.
Besides Apples iPhone being one of the most expensive phones in the market right now, many of the other Smartphone competitors also engage in price wars with Samsung in attempt to pull market share away from both Samsung and Apple, the two largest Smartphone market shareholders. Engaging in price wars creates a big threat to Samsung because competitors are able to drop down prices for their phones in order to
Since their initiation mobile phones have enjoyed an especially uptake among teenagers and young adults (Baron, 2010). Though Information Communication Technology (ICT), internet and outsourcing have changed the way every business is managed by providing capabilities and have helped small or large organizations to ever changing conditions, mobile technology is going to change the ways business is directed. The biggest challenge is for an enterprise to adopt mobile phone technology to create competitive advantage, improves productivity and profitability of the c...
By the end of 2003, Nokia was the clear market leader in the mobile phone industry in terms of sales and profitability. It was ahead of giant companies like Motorola, Ericsson, Siemens, Samsung, and other worthy competitors. Since the early 1990s, Nokia's Strategic Intent was to build distinctive competency in product innovation, rapid response, and global brand management. Its strategic intent required rapid growth in the core businesses of mobile phones and telecommunications networks. This goal was achieved by Nokia's development of new products and expansion into new markets. In order to become the global leader as it is today, the company had overcome numerous challenges and obstacles over the last decade.
The growth of services sector in our economy is a step forward in the development of Indian economy. In day to day life of an individual the use of mobile phones acts as necessity in getting connected with people for one or the other purpose. India has a largest variety of smartphones available for the users. Because of the fast technologies in smartphones & in market, the networks and services providers of telecom must be updated so as to meet the requirements of people. Indian telecommunication industry is considered to be one of the fastest growing telecom industries in the world. The mounting up of the subscribers reaches to an approximate 800 billion plus users in telecom sector. The industry is growing at as pace in such a way that it will reach a level beyond the telecom markets of USA &