Sie sind auf Seite 1von 61

PROJECT ON NOKIA .

SUBMITTED BY: DIVYA .R. VARTAK ROLL No: 5750 SUBMITTED TO: MISS VAISHALI RAUT SEMESTER: 5TH SEMESTER
PG NO 1

JSM COLLEGE ALIBAUG RAIGAD.

PG NO 2

C E RTI F I CATE
I_______________________________ hereby certify that_______________________ of __________________________________ College of TYBMS (Sem 5) has completed project on _______________________________________ ______________________ in the academic year ______________________. The information submitted is true and original to the best of my knowledge.

Signature of Project Co-ordinator Principal of

Signature of the the College/Institution

PG NO 3

TABLE OF CONTENT 1. Executive Summary 1 2. Company Profile 3 2.1 History 3 2.1.1 1865-1960 4 2.1.2 1960-1980 5 2.1.3 1980-2001 7 2.1.4 2001 and into the future 8 2.2 Mission and Vision 8 2.2.1 Vision 8 2.2.2 Mission 8 2.2.3 Strategy 8 2.2.4 Organization 11 2.3 Mobile Phone Market In India 14 3. Situation Analysis 17 3.1 Social Analysis 17 3.2 Environmental Analysis 19 3.2.1 Nokia environmental strategy 20 3.2.2 Main Issues In Focus 21 3.2.3 Supply Chain 23 3.3 SWOT Analysis 23 3.3.1 Strength 25 3.3.2 Weakness 26 3.3.3 Opportunities 26 3.3.4 Threats 27 4. Segmentation 32 4.1 Mobile Phone 32 4.1.1 Segmentation Strategy 35
PG NO 4

5. Nokia Strategies 37 5.1 Marketing Strategy 39 5.1.1 Marketing Objective 42 5.1.2 Ease-of-Use 43 5.1.2.1 Simplified Service Setup 43 5.1.2.2 Simplified user interface 45 5.1.2.3 Clear Payment Method 47 5.1.2.4 Easy access to Customer Support 48 5.1.2.5 Simplified service termination 49 5.1.3 Product Life Cycle 50 5.2 Positioning Strategy 52 5.2.1 Nokia Product Design 53 5.3 Promotion Strategy 55 5.3.1 Push 55 5.3.2 Pull 56 5.4 Pricing Strategy 57 5.4.1 Premium Pricing 57 5.4.2 Penetration Pricing 58 5.4.3 Economy Pricing 58 5.4.4 Price Skimming 58 5.5 Distribution Strategy 59 6. Marketing Schedule 67 7. Conclusion

PG NO 5

Preface

In this era, where the technology is growing in a very faster speed and every positive change is bringing new and enhanced features with them, the cellular phones are at the very hot issue in this growing technology.

The technologies in these cellular/mobile phones are enhancing and developing day by day, including new features of entertainment, and multiple options like imaging facilities, movie/animation features, sound technologies etc.

When the technology is the matter, every consumer/user prefers the latest, best and interacting featured technologies and also prefers these facilities in less cost. So, in this view, there is a very big and fast competition between many companies/manufacturers of cellular phones at the world level.

So I have choosen NOKIA for my project.

PG NO 6

Executive Summary: Mobile phone market in India is going through major changes. Key players are losing market share while new and young companies, mostly from Asian countries, are coming to the market. At the same time the market is slowly expanding when people are buying more phones than ever. The whole process of buying mobile phones has changed in the last few years. People no longer carry the same phone year in year out, change is the fast technological development of the phones. But also consumers but they change their phone every year, some even twice a year. One reason for these attitudes towards mobile phones has changed. Mobile phones are no longer seen as expensive, hi-tech products, but they have become accessories like jewellery or a piece of clothing. Nokia is still the largest mobile phone company in the world, but its long-term dominance is now challenged more than ever. Observers have
PG NO 7

begun asking whether the cutting edge that has turned Nokia into the No 1 vendor still exists, as Nokias market share and revenues have been on the decline. Falling average sales prices (ASPs) and market share have had an impact and forced Nokia to further rethink its strategy towards developed and emerging markets. This report gives an overview on what is happening on the mobile phone market today and analyses Nokias market position in the growing market. This report includes a brief introduction to Nokia followed by an environmental analysis, SWOT analysis of the company. Half way through the report you can find information about consumer behavior and segmentation. At the end, this report introduces the main strategies and objectives of Nokia for the competitive market. Finally we try to make a conclusion of the topics discussed and attempt to give some possible answers to the question at hand.
PG NO 8

2. Company Profile History The roots of Nokia go back to the year 1865 with the establishment of a forest industry enterprise in South-Western Finland by mining engineer Fredrik Idestam. Elsewhere, the year 1898 witnessed the foundation of Finnish Rubber Works Ltd, and in 1912 Finnish Cable Works began operations. Gradually, the ownership of these two companies and Nokia began to shift into hands of just a few owners. Finally in 1967 the three companies were merged to form Nokia Corporation. At the beginning of the 1980s, Nokia strengthened its position in the telecommunications and consumer electronics markets through the acquisitions of Mobira, Salora, Televa and Luxor of Sweden. In 1987, Nokia acquired the consumer electronics operations and part of the component business of the German Standard Elektrik Lorenz, as well as the French consumer
PG NO 9

electronics company Oceanic. In 1987, Nokia also purchased the Swiss cable machinery company Maillefer. In the late 1980s, Nokia became the largest Scandinavian information technology company through the acquisition of Ericsson's data systems division. In 1989, Nokia conducted a significant expansion of its cable industry into Continental Europe by acquiring the Dutch cable company NKF. Since the beginning of the 1990's, Nokia has concentrated on its core business, telecommunications, by divesting its information technology and basic industry operations. 1865-1960 From its inception, Nokia was in the communications business as a manufacturer of paper - the original communications medium. Then came technology with the founding of the Finnish Rubber Works at the turn of the 20th century. Rubbers, and associated chemicals, were leading edge technologies at the time.
PG NO 10

Another major technological change was the expansion of electricity into homes and factories which led to the establishment of the Finnish Cable Works in 1912 and, quite naturally, to the manufacture of cables for the telegraph industry and to support that newfangled device the telephone! After operating for 50 years, an Electronics Department was set up at the Cable Works in 1960 and this paved the way for a new era in telecommunications. Nokia Corporation was formed in 1967 by the merger of Nokia Company - the original paper-making business - with the Finnish Rubber Works and Finnish Cable Works. 1960-1980 Design has always been important at Nokia and today's mobile phones are regarded as a benchmark for others to follow. Take, for example, multi-colored, clip-on fascias which turned mobiles into a fashion item overnight. But Nokia has always thought like that and back in the fashion-conscious 1960's when one branch of the corporation was a major
PG NO 11

rubber manufacturer, it hit on the idea of making brightly-colored rubber boots at a time when boots followed the Henry Ford principle - you could have any colour, so long as it was black! The '60s, however, were more important as the start of Nokia's entry into the Telecommunications market. A radio telephone was developed in 1963 followed, in 1965, by data modems - long before such items were even heard of by the general public. In the 1980's, everyone looked to micro computers as the next 'big thing' and Nokia was no exception as a major producer of computers, monitors and TV sets. In those days, the prospect of High Definition TV, satellite connections and teletext services fuelled the imagination of the fashion conscious homeowner. In the background, however, changes were afoot. The world's first international cellular mobile telephone network, NMT, was introduced in Scandinavia in 1981 and Nokia made the first car phones for it. True enough, there were 'transportable' mobile phones at
PG NO 12

the start of the '80's but they were heavy and huge. Nokia produced the original hand portable in '87 and phones have continued to shrink in inverse proportion to the growth of the market ever since. 1980-2001 It took a technological breakthrough and changes in the political climate to create the wire-free world people are increasingly demanding today. The technology was the digital standard, GSM, which could carry data in addition to high quality voice. In 1987, the political goal was set to adopt GSM throughout Europe on July 1st 1991. Finland met the deadline, thanks to Nokia and the operators. Politics and technology have continued to shape the industry. The '80s and '90s saw widespread deregulation, which stimulated competition and customer expectations. Nokia changed too and in 1992 Jorma Ollila, then President of Nokia Mobile Phones, was appointed to head the entire Nokia Group. The corporation divested the non-core operations and focused on
PG NO 13

telecommunications in the Digital Age. Few people in the early '90s would have thought that 'going digital' would change things so much. 2001and into the Future

Nokia is harnessing its experience in mobility and networks to generate a startling vision of the future. Meeting rooms, offices and homes will be 'smart' enough to recognize their human visitors and give them whatever they want by listening to their requests. Nokia welcomes change and improvement and can embrace new ideas at great speed. Such characteristics will never change but, as to the rest, the story has only just begun!

Nokias first century


PG NO 14

The first Nokia century began with Fredrik Idestam's paper mill on the banks of the Nokianvirta river. Between 1865 and 1967, the company would become a major industrial force; but it took a merger with a cable company and a rubber firm to set the new Nokia Corporation on the path to electronics...

: 1865-1967

1865: The birth of Nokia Fredrik Idestam establishes a paper mill at the Tammerkoski Rapids in south-western Finland, where the Nokia story begins.

1898: Finnish Rubber Works founded Eduard Poln founds Finnish Rubber Works, which will later become Nokia's rubber business.
PG NO 15

1912: Finnish Cable Works founded Arvid Wickstrm starts Finnish Cable Works, the foundation of Nokia's cable and electronics businesses.

1937: Verner Weckman, industry heavyweight Former Olympic wrestler Verner Weckman becomes President of Finnish Cable Works.

1960: First electronics department Cable Works establishes its first electronics department, selling and operating computers.

PG NO 16

1962: First in-house electrical device The Cable Works electronics department produces its first in-house electrical device - a pulse analyzer for nuclear power plants.

1967: The merger Nokia Ab, Finnish Rubber Works and Finnish Cable works formally merge to create Nokia Corporation.

PG NO 17

The newly formed Nokia Corporation was ideally positioned for a pioneering role in the early evolution of mobile communications. As European telecommunications markets were deregulated and mobile networks became global, Nokia led the way with some iconic products...

1979: Mobira Oy, early phone maker Radio telephone company Mobira Oy begins life as a joint venture between Nokia and leading Finnish television maker Salora.

1981: The mobile era begins Nordic Mobile Telephone (NMT), the first international mobile phone network, is built.

PG NO 18

1982: Nokia makes its first digital telephone switch The Nokia DX200, the companys first digital telephone switch, goes into operation.

1984: Mobira Talkman launched Nokia launches the Mobira Talkman portable phone.

1987: Mobira Cityman birth of a classic Nokia launches the Mobira Cityman, the first handheld NMT phone.

PG NO 19

1991: GSM a new mobile standard opens up Nokia equipment is used to make the worlds first GSM call. Mobile revolution:1992-1999 In 1992, Nokia decided to focus on its telecommunications business. This was probably the most important strategic decision in its history. As adoption of the GSM standard grew, new CEO Jorma Ollila put Nokia at the head of the mobile telephone industrys global boom and made it the world leader before the end of the decade...

1992: Jorma Ollila becomes President and CEO Jorma Ollila becomes President and CEO of Nokia, focusing the company on telecommunications.

1992: Nokias first GSM handset Nokia launches its first GSM handset, the Nokia 1011.
PG NO 20

1994: Nokia Tune is launched Nokia launches the 2100, the first phone to feature the Nokia Tune.

1994: Worlds first satellite call The worlds first satellite call is made, using a Nokia GSM handset.

1997: Snake a classic mobile game The Nokia 6110 is the first phone to feature Nokias Snake game.

PG NO 21

1998: Nokia leads the world Nokia becomes the world leader in mobile phones.

1999: The Internet goes mobile Nokia launches the world's first WAP handset, the No

Nokia now:2000-today Nokias story continues with 3G, mobile multiplayer gaming, multimedia devices and a look to the future...

2002: First 3G phone Nokia launches its first 3G phone, the Nokia 6650.

PG NO 22

2003: Nokia launches the N-Gage Mobile gaming goes multiplayer with the N-Gage.

2005: The Nokia Nseries is born Nokia introduces the next generation of multimedia devices, the Nokia Nseries.

2005: The billionth Nokia phone is sold Nokia sells its billionth phone a Nokia 1100 in Nigeria. Global mobile phone subscriptions pass 2 billion.

2006: A new President and CEO Nokia today Olli-Pekka Kallasvuo becomes Nokias President and CEO;
PG NO 23

Jorma Ollila becomes Chairman of Nokias board. Nokia and Siemens announce plans for Nokia Siemens Networks.

2007 Nokia recognized as 5th most valued brand in the world. Nokia Siemens Networks commences operations. Nokia launches Ovi, its new internet services brand.

2008 Nokia's three mobile device business groups and the supporting horizontal groups are replaced by an integrated business segment, Devices & Services.

PG NO 24

2.2.1 Vision
Our customers continue to our First Priority Nokias future success depends on delivering great experiences to our customers by creating products and solutions that work seamlessly and are appealing.

2.2.2 Mission
In a world where everyone can be connected, we take very human approach to technology Connecting is about helping people to feel close to what matters. Wherever, whenever, Nokia believes in communicating, sharing, and in the awesome potential in connecting the 2 billion who do with the 4 billion who dont. If we focus on people, and use technology to help people feel close to what matters, then growth will follow. In a world where everyone can be connected, Nokia takes a very human approach to technology.

2.2.3 Strategy
Wherever, whenever, we believer in communicating, sharing and in the awesome potential of connecting the 2 billion who do, with the 4 billon who dont At Nokia, customers remain our top priority. Customer focus and consumer understanding must always drive our day-to-day business behavior. Nokias priority is to be the most preferred partner to operators, retailers and enterprises. Nokia will continue to be a growth company, and we will expand to new markets and businesses. World leading productivity is critical for our future success. Our brand goal is for Nokia to become the brand most loved by our customers.
PG NO 25

In line with these priorities, Nokias business portfolio strategy focuses on five areas, with each having long-term objectives: - Create winning devices - Embrace consumer Internet service - Deliver enterprise solutions - Build scale in networks - Expand professional services There are three strategic assets that Nokia will invest in and prioritize: - Brand and design - Customer engagement and fulfillment - Technology and architectur

PG NO 26

SWOT Analysis
The mobile landscape has fundamentally shifted, and some of Nokia's strengths and core beliefs may no longer be valid. In the following research, we discuss Nokia's strengths and challenges and provide advice for enterprises partnering with, purchasing from and working with Nokia.

3.3.1 Strength
Nokia has long established identity (1898); lots of available resources (financial, etc.) Nokia has high penetration rate in Europe, especially in Northern countries (close to 100%) Nokia Consumer Electronics has access to innovative technology through group companies

3.3.2 Weakness
Lack of centralized marketing strategy and champion; completely different positioning strategy depending on the country Too many brand names (100) in one market; problem trying to find balance Corporate culture is highly technical and operational: So what if the customer does not understand!; lack of customer service priority

3.3.3 Opportunities
Potential for brand name sales in Europe and Asia-pacific Growing replacement and supplement television market NCE has opportunity of using its technology to enhance userfriendliness

PG NO 27

3.3.4 Threats
The market for color TVs and VCRs is a mature/saturated market; consumers are buying less often and only to replace older units (same trend for all countries across Europe) Cant differentiate based on technical advancement or price; competitors too fast to match Impact of recent purchases (for example, Sony) and mergers is unknown; competitors are getting larger and integrating supply chains Competitors (Samsung, Gold star, Daewoo) quickly and successfully building brand name and image Branding Strategy In the color TV market, neither technology nor price provides a competitive advantage. The decision a consumer makes to purchase is primarily motivated by emotion, and is driven largely by comfort level with a particular brand. A successful branding strategy for NCE is, therefore, critical to gaining a competitive advantage. Specifically, NCE should brand for the following reasons: Competitive advantage is gained through brand name (not technology or price) According to brand awareness studies, Nokia is recognized most of the time (in Germany, France, Italy, UK and Norway), but not necessarily affiliated with consumer electronics such as TVs and VCRs Consumers buy televisions based on emotion Consumers perceive value in features that are marketed as user-friendly. In the past Nokia has relied heavily on its ability to innovateit is a strong technology company. However, it is not good at introducing or packaging this technology for consumers. It must introduce a new mindset to NCE; a strategic shift that encourages customer service and international marketing.
PG NO 28

Internal Management Challenge faces at least two challenges within NCE that he must address immediately: 1. Lack of a marketing champion in corporate headquarters 2. A continued reliance on technology as the main marketing approach.

PG NO 29

4. Segmentation
4.1 Mobile Phone Mobile Phones connect people by providing expanding mobile voice and data capabilities across a wide range of mobile devices. We seek to put consumers first in our product-creation process and primarily target high-volume category sales of mobile phones and devices based on the following global cellular technologies: GSM/EDGE, 3G/WCDMA and CDMA. In voice centric and mainstream mobile phones, we believe that design, brand, ease of use and price are our customers' most important considerations. Increasingly, our product portfolio includes new features and functionality designed to appeal to the mass market, such as mega pixel cameras, music players and advanced-quality color screens. Quality is at the heart of Nokias brand promise, very human technology. We want our customers to know that Nokia is the best quality company in the industry. Our goal is to have the industrys best products and services, most loyal customers and most efficient operational mode. We believe that quality is about meeting and exceeding customer expectations. At Nokia, we view quality holistically and as an integral part of business management. The quality of products and customer experiences depends on the quality of processes, which in turn is tied to the quality of management. Our key quality targets are: For Nokia to be number one in For Nokia to be number one in For Nokia to be number one in The quality and reliability or our

customer and consumer loyalty. product leadership. operational excellence. products and services are among
PG NO 30

the most important factors driving customer satisfaction and loyalty. Designing good quality products begins with understanding customer requirements and creating the best user experience. The whole chain, from suppliers through to R&D, operations, sales and distribution to customers, impacts the endresult everybody in the chain has a role to play in achieving quality. Our products and customer experiences are the results of our everyday processes. Process management means finding the simplest way of operating, in order to create customer value in a lean manner. Our process thinking covers everything we do, and processes are continuously improved based on the measures and the feedback we receive from our customers. Quality in management is vital for leveraging innovations globally and improving productivity in general. Our approach to this is platform thinking, process management and combining factbased management with values-based leadership. We have developed a key framework for improvement at Nokia, which we call the 'Self-Regulating Management System'. It's about management practices that allow us to run our business in a consistent, effective and fact-based manner. Commitment to quality improvement is a continuous management process. It is both a business strategy and a personal responsibility, and it is a part of our culture and values. But at the end of the day, quality improvement is much more than something we can quantify in words or pictures. It is an attitude a mindset. By taking quality personally we are able to deliver world-class quality to our customers. It is our source of inspiration, energy and excitement.

PG NO 31

4.1.1 Segmentation Strategy 1. Nokia Market Demographic The profile for Nokia customer consists of the following geographic and demographic: Geographic Our immediate geographic target is rural India. The total targeted population is estimated at 100 million. 2. Demographic Male and female. Ages 25-50, this is the segment that makes up 80% of the Nokia mobile phone market according to the NOKIA India Ltd. Professionals and College students.

PG NO 32

MARKET SEGMENTATION OF NOKIA MOBILE

PG NO 33

NOKIA PHONE USER SEGMENTATION


Nokia Phone Life Style Segmentation Style Variable Basic / Entry Expression Active Classic Fashion Premium

Nokia Phone functionality Variable Voice Entertainment Imaging Media Business Application

PG NO 34

Marketing Department
Market Share of Nokia Corporation in year 2009

4Ps, Marketing Mix of Nokia 1 Product

Historically, the thinking was: a good product will sell itself. However there are no bad products anymore in today's highly competitive markets. Plus there are many laws giving customers the right to send back products that he perceives as bad. Therefore the question on product has become: does the organization
PG NO 35

create what its intended customers want? Define the characteristics of your product or service that meets the needs of your customers. Functionality: Quality Appearance Packaging Brand Service Support Warranty

Product Life Cycle


A large untapped potential exists among the present base of non-users: the 10% of existing customers who use services infrequently or do not use services at all, even though they have the right mobile handset. In general, these mainstream users are more loyal to their existing service provider, making them a group to reward for their loyalty. Ease-of-use is one of the key factors when increasing customer loyalty, which, in turn, will lower churn and eventually lead to a decrease in marketing expenditures. Differentiation by ease-of-use experience will also have an effect on increasing ARPU, because it speeds up the adoption of new
PG NO 36

services. The more mainstream the target users, the more they value ease-ofuse and customer intimacy and seek practical uses for new services. The fact that ease-of-use is particularly relevant to mainstream users makes it such an important consideration. Making a service successful in the mainstream market has the challenge for most existing services. Creating ease-of-use in services will help a service provider to cross the chasm from the early market of innovators and trendsetters to the mainstream market of average users

Pricing Strategy
Nokia observes different pricing strategy for different range of product. The main aim is to gain the market at rural village of India and maintain its customer for Mid range phone.

Premium Pricing
Use a high price where there is uniqueness about the product or service. This approach is used where a substantial competitive advantage exists. Such high prices are charge for luxuries such as NOKIA E-series mobile phone.

Penetration Pricing
The price charged for products and services is set artificially low in order to gain market share. Once this is achieved, the price is increased. This approach was used Nokia on Model No. 1100 and 1108, in Indian rural market.
PG NO 37

Economy Pricing
This is a no frills low price. The cost of marketing and manufacture are kept at a minimum. Nokia follow it for its mid range Mobile phone. Normally it is to attract middle income group.

Price Skimming
Charge a high price because you have a substantial competitive advantage. However, the advantage is not sustainable. The high price tends to attract new competitors into the market, and the price inevitably falls due to increased supply.

Place

Available at the right place, at the right time, in the right quantities? Some of the recent major changes in business have come about by changing Place. Think of the Internet and mobile telephones Locations: Logistics Channel members Channel Motivation
PG NO 38

Market Coverage Service Levels Internet Accessibility Distribution Strategy


Mobile phones have become a major part of our everyday life. On the one hand, Indias Mobile phone market has grown rapidly in the last few years on the back of falling phone tariffs and handset price, making it one of the fastest growing markets globally. Nokia is a world leader in mobile communications, driving the growth and sustainability of the broader mobility industry. Nokia connects people to each other and the information that matters to them with easy-to-use and innovative products like mobile phones, device and solutions for imaging, games, media and businesses. Nokia provides equipment, solutions and services for Network operators and corporations. Nokia held a global market share of 34.2 percent at the end of January, according to consultants strategy Analysis, while Motorola had 18.3 percent, Samsung 11.1 percent, and LG and Sony Ericsson 6.6 percent each. To illustrate Nokias performances, more than one third worlds phone users use a Nokia phone. In India Nokia is the market leader, with a manufacturing facility in Chennai. Understanding of distribution channel used by Nokia Distribution is the life blood for an organization in order to make sales. The products are required to reach the outlets for sales based on the demand for the product. Only if distribution channel is effective products can reach the consumers, as well maintain or increase their market share. This is very important, as there is intense competition in the market from various other players, in order to stay ahead and meet the competition we need to provide goods on time to the dealers to make sales and earn profits for
PG NO 39

both company as well as outlets. Availability of goods and time is an essential for any organization this could be done only by having good distributors and redistributors stockiest. Further the company should take care of goods manufactured reach the distributor & the redistributors stockiest on time. The company requires to have a regular check on these channels if they working efficiently and take steps to further step to improve. The company only stay ahead in profits, market share etc, only if their products reach the outlets on time as well based on demand. The project began with the basic understanding of how distribution of mobile phones takes in the market by Nokia. Nokia works with the distribution of mobile phones takes in the market by Nokia. Nokia works with the distributor, re distributor stockiest (R.D.S) and finally the retailer from whom the product is sold to the consumer. Five forms of outlets sell Nokias products:

Distributors-:
1. HCL infosystem 2. Bright point.

Outlets-:
1. 2. 3. 4. 5. Nokia priority dealers Multi brand outlets Reliance web world Reliance web world express Tata true value shop.

Nokia Distribution Channels Distributors: a) HCL Infosystem: During the last ten years, the HCLNokia relationship has witnessed strong growth in the Indian GSM handset market resulting in a significant market share
PG NO 40

gain for Nokia, and the increased need for a distribution Network that will meet the projected market growth of 200 million subscribers by 2007. The relationship with Nokia has been a very satisfying one, and the agreement between Nokia and HCL reaffirms Nokias commitment to the growing Indian Market, to ensure that mobile devices are accessible to more consumers in the cities and towns across India. Mobile penetration is getting into the next phase of growth of which a major portion is expected to come from smaller towns and remote locations. There is clear pick up ion demand. The challenges ahead would be to penetrate deeper, preserve market and in order to have much greater depth, align to global policy of balanced channel mix and also to ensure that all possible channels are included, and channel partners are well served so that growth opportunities are captured. The two companies have extended their agreement for another five years. This strong relationship between these two players plays a crucial role in increasing the sales as well to hold the market leader position in the market. Both entering the distribution channels will in fact help the consumer to get the best product in the nearest location in any part of the country.

b) Bright point : It offers the most comprehensive

selction of brands and products in the wireless industry. Handset, Integrated devices, PDAs, etc. They also provide full selection of OEM and aftermarket accessories, Modems and software. It distributes product manufactured by the worlds leading handset manufacturer.

PG NO 41

Outlets: a) Nokia priority dealers are exclusive show rooms for


buying Nokia products. These outlets are directly under the control and supervision of Nokia, which makes them solely accountable to Nokia. NPDs are preferred outlets to buy Nokia products, as they are their genuine dealers of its products. These outlets have the complete portfolio of Nokia products existing in the market. The buying experience the consumer enjoys is the better than any other outlet in the city.

b) Multi brand outlets are the outlets, which deal

with all the company products in the market. They provide service and space to all the competitors as they sell all the products in the market. The major purpose is not to dissatisfy the consumers entering the outlet and provide them with all the brands asked by him. The amount of sales made is higher as well the profit earned is higher. The numbers of these outlets are higher in the city.

c) Reliance web world are exclusive reliance outlets. They deal with reliance products of providing

connections and billing of the connections. These outlets also sell mobile phones of various brands. The major aspect in these outlets is the stock reaches these outlets directly from the company itself. The RDS has no role to play other than providing these providing these outlets POS materials to these outlets.

d) Reliance web world express are also exclusive reliance outlets but are the franchise outlets of Reliance. They also deal with reliance

products of providing connections and billing of the connections. These outlets also sell mobile phones of various brands. The major difference between web world and
PG NO 42

express are the stock that reaches these outlets. The RDS and his sales men provide both stocks as well POS materials to these outlets.

e) Tata true values Shoppe are also exclusive Tata outlets but are the franchised outlets. They also deal with
Tata products providing connections and billing of the connections. These outlets also sell mobile phones of various brands. The RDS and his sales men provide both stocks as well POS materials to these outlets.

Promotion

How are the chosen target groups informed or educated about the organization and its products? This includes all the weapons in the marketing armory - advertising, selling, sales promotions, Public Relations, etc. While the other three P's have lost much of their meanings in today's markets, Promotion has become the most important P to focus on.

Advertising:
PG NO 43

Front Line Service


Public Relations Message Direct Sales Sales Media Budget

PG NO 44

Organizations Network:

Nokia is manufacturing its products world wide in following countries

Austria Bahrain Belgium Bosnia-Herzegovina Croatia Cyprus Czech Republic Denmark Finland France Germany Greece

Gulf countries Hungary Israel Italy Kuwait Lebanon Luxembourg Malta Monaco Netherlands Norway Oman Poland

Portugal Qatar Saudi Arabia Serbia and Montenegro Slovakia Slovenia Spain Switzerland Tunisia Turkey UAE Yemen

PG NO 45

Marketing Strategy Today, the true killer data application is still text messaging, a typical example of person-to-person communication. Other enduser services, however, have not taken off as expected in recent years. The primary reason for this slow take-up is that most of these services do not fulfill the expectations of users. Although ring tones are one example of successful person-to-content services, progress must be made for market take-up of other mobile data services such as: Messaging (e.g., MMS and e-mail) Entertainment (e.g., graphics, logos, games) Information (e.g., directory services, news) A variety of user needs will drive market growth for mobile data services There are two main barriers to increased usage of data services. First is the lack of relevant service propositions, where the price does not correlate with the perceived value of the service. Second is the complexity of service adoption and usage, where users perceive that data services require too much effort compared to other solutions. User needs and market growth are clearly present, as illustrated in Fig.5.3. However, mass-market adoption will happen only when the service providers have identified the relevant service propositions and ease-of-use factors. Delivering ease-of-use is within the reach of any service provider, regardless of whether it operates its own network. However, the challenge is to understand the underlying reasoning for end-user behaviour and usage patterns and to organize the service offering accordingly. Visibility into the end-user service experience can be obtained from resources such
PG NO 46

as sophisticated end-user quality monitoring systems, continuous end-user behaviour studies and end-to-end performance field measurements. Moreover, it is of great importance to analyze internal customer processes and readjust them according to customer needs. Eventually, the need to be attuned to the customer experience might lead to a new, customer-centric organizational structure with clear responsibilities for end-to-end Quality of Experience (QoE). Who will have the overriding responsibility for end-user experience will vary depending on the operators business model and organizational structure? In order to prepare the organization for differentiation, the research firm Forrester proposes that the marketing department should be made responsible for the total customer experience. Today, service providers offer data services that appeal to a very small proportion of mobile users: the young and technology savvy. This group is also one that is most prone to churn. Yet todays high ARPU (average return per subscriber) users are arguably the customers to retain, as they will likely remain at high ARPU levels for some years to come.

Marketing Objective
Capture rural Indian market Target school student Attract Customers to New technology Enhance Distribution Maximize our revenues Maintain Customers Loyalty

Ease-of-Use
PG NO 47

The main reason why data services have not yet achieved massmarket adoption is due to the complexity perceived and experienced by end-users. The poor reputation of data services increases the threshold of willingness for non-users to experiment with data. Bad user experiences also inhibit existing users from adopting new services.

PG NO 48

Nokias Human Resource Department:


The following excerpt is from Nokia Supplier Requirements, defining our expectations for Human Resources. Workforce planning and recruiting Supplier shall have a system to ensure the availability of workforce for current and future business needs, in a sustainable and ethical manner, at both organizational and unit level. Resource planning Resources need to be available to meet both current and future business needs according to company strategy. Resource planning shall be conducted at both organizational / global and unit / local levels. In particular, underage workers or false apprenticeship schemes must not be used. Recruiting and exit procedures Supplier shall ensure that competent and eligible individuals are recruited and appointed to open positions, according to competence, with equal opportunity and on a voluntary basis. Supplier shall check the eligibility of candidates and that they exceed the minimum legal age of employment. Upon employment, individuals shall be provided with a work contract /agreement /offer letter, basic induction training and not be required to give financial deposits or original identity documents. Forced labor must not be used. Employees shall be free to leave the company after giving reasonable notice. Supplier shall ensure that exit procedures are compliant with local legislation, international labor standards and applicable collective agreements. Non-disclosure and confidentiality agreements Supplier shall ensure that employees working with Nokia products or projects or having access to Nokia specific knowledge, information or data, or to Nokia facilities, have signed a Non-Disclosure Agreement (NDA). Supplier shall ensure that the employees fully understand its practical implications. Occupational health and safety protection

PG NO 49

Supplier shall ensure that physical and mental working conditions allow employees to perform their tasks safely and efficiently. Supplier shall have procedures for identifying, minimizing and preventing hazards. They shall be implemented as, for example, safety instructions, work procedures, preventive maintenance, employee training, identification of potential hazards and appropriate safety devices, personal protective equipment and clothing, hearing protectors, chemical control or machine safeguarding. Supplier shall nominate and train persons responsible for the occupational health of employees. Supplier shall have specific procedures in place for employees under the age of 18 (young workers). Supplier shall assume responsibility for the occupational health of employees working off-site (e.g., at customer premises). Occupational health and safety response Supplier shall have occupational health and safety procedures to prepare for and respond to emergency situations involving occupational health and safety risks. Supplier shall record and investigate emergency situations. Management shall encourage employees to report accidents and take action upon these records and reports. Employee amenities Supplier shall ensure that employees are provided with access to potable water and clean toilet facilities. Canteen facilities and food preparation areas shall be clean and safe, and food shall be provided at reasonable cost. Employee dormitories shall be clean, safe (equipped with, e.g., fire extinguishers and exits), adequately ventilated and/or heated, shall provide reasonable personal space and shall be provided at reasonable cost.

Competence analysis Supplier should periodically conduct competence analyses to identify the knowledge and skills/competences required to perform the organizations business activities according to short- and long-term strategic goals. Competence development
PG NO 50

Supplier shall ensure that employees, at all levels and with equal opportunity, have the education, training and competence they need for their positions and tasks. Supplier shall develop training plans based on competence analyses and implement them to enhance and develop workforce capabilities. Supplier shall maintain a training register, detailing the training employees have received. Nokia specific training and certification Supplier shall ensure, on request, that personnel allocated to Nokia work have the necessary training on Nokia policies, products, processes and guidelines and, if needed, have necessary licenses and certificates. Supplier shall ensure such licenses and certificates are valid in terms of time and scope. Supplier, providing services at Nokia facilities, including (Nokia's) customer sites, shall ensure that its personnel act in accordance with Nokia values and Code of Conduct. Working time and time off Supplier shall ensure that employees can perform assigned tasks efficiently without exceeding the maximum working hours as defined by local labor laws or applicable collective agreements. Supplier shall ensure that employees have at least one day off per seven-day week, and that overtime work is voluntary. Holidays (e.g., public holidays) and leaves of absence (e.g., medical or parental) shall comply with local labor laws or applicable collective agreements. Compensation and benefits Supplier shall provide all employees (permanent, temporary, apprentices and contract workers) with fair compensation (wages /salaries) meeting or exceeding local legal and industry minimum standards, for regular as well as overtime work. Supplier shall also provide employees with benefits to reward contributions, skills and behavior considered vital to success. Compensation and benefits shall be aligned with relevant company policies. Fair treatment Supplier shall ensure that employees at its facilities are treated with respect and dignity, equal opportunity and are safe from abuse, harassment or bullying of any kind (e.g., physical, verbal, mental, sexual, racial, cultural, age or disability related). Supplier shall ensure company rules / guidelines are communicated to employees. Supplier shall ensure that disciplinary procedures prohibit physical punishment and do not support financial deductions, or the threat thereof.
PG NO 51

Performance management Supplier should have a system to manage employee performance. Supplier should ensure individual objectives are derived from company strategy and policies. Supplier should ensure performance is evaluated fairly and objectively, against defined criteria and on a periodic basis, to identify ways to improve performance. Communication and coordination Supplier shall ensure that information relevant to employees (about, e.g., business activities, changes and results) is communicated across the organization. Supplier shall ensure employees can share such information fast enough to be able to align their activities efficiently. Supplier shall respect the right of all employees to form and join trade unions of their choice and to bargain collectively, and in cases this is restricted by law, facilitate parallel means to ensure that individuals or groups are able to raise concerns to the attention of the management. Employee satisfaction Supplier should have the means to evaluate and improve employee satisfaction. A company of substantial size (i.e. headcount exceeding 100) should have an employee satisfaction program based on employee opinion surveys and should take action based on the results of the program.

Feedback and complaint channels Supplier shall have a system through which employees can give feedback or complain about unethical conduct, unfair treatment or practices, violation of company values, policies and procedures, or improvement ideas and suggestions. Management shall, when appropriate, act upon this feedback and handle it confidentially and anonymously. Management shall ensure that there are no adverse consequences as a result of giving feedback.

PG NO 52

Positioning Strategy
When Nokia positions its brand in the crowded mobile phone marketplace, its message must clearly bring together the technology and human side of its offer in a powerful way. The specific message that is conveyed to consumers in every advertisement and market communication (though not necessarily in these words) is "Only Nokia Human Technolgy enables you to get more out of life" In many cases, this is represented by the tag line, "We call this human technology". This gives consumers a sense of trust and consideration by the company, as though to say that Nokia understand what they want in life, and how it can help. And it knows that technology is really only an enabler so that you-the customer-can enjoy a better life. Nokia thus uses a combination of aspirational, benefit-based, emotional features, and competition-driven positioning strategies. It owns the "human" dimension of mobile communications, leaving its competitors wondering what to own (or how to position themselves), having taken the best position for itself. 5.2.1 Nokia Product Design Nokia is a great brand because it knows that the essence of the brand needs to be reflected in everything the company does, especially those that impact the consumer. Product design is clearly critical to the success of the brand, but how does Nokia manage to inject personality into product design? The answer is that it gives a great deal of thought to how the user of its phones will experience the brand, and how it can make that experience reflect its brand character. The large display screen, for example, is the "face" of the phone. Nokia designers describe it as the "eye into the soul of the product". The shape
PG NO 53

of phones is curvy and easy to hold. The faceplates and their different colors can be changed to fit the personality, lifestyle, and mood of the user. The soft key touch pads also add to the feeling of friendliness, expressing the brand personality. Product design focuses on the consumer and his needs, and is summed up in the slogan, "human technology." Nokia now accounts for over half of the value of the Finland stock market, and has taken huge market share from its competitors. According to one brand valuation study carried out in mid-1999, it ranked 11th on the world's most valuable brand list, making it the highest-ranking non-U.S. brand. As has been pointed out, it has unseated Motorola. Nokia achieved its brilliant feat through consistent branding, backed by firstclass logistics and manufacturing, all of which revolve around what consumers what.

PG NO 54

Nokia Product Design


Nokia is a great brand because it knows that the essence of the brand needs to be reflected in everything the company does, especially those that impact the consumer. Product design is clearly critical to the success of the brand, but how does Nokia manage to inject personality into product design? The answer is that it gives a great deal of thought to how the user of its phones will experience the brand, and how it can make that experience reflect its brand character. The large display screen, for example, is the "face" of the phone. Nokia designers describe it as the "eye into the soul of the product". The shape of phones is curvy and easy to hold. The faceplates and their different colors can be changed to fit the personality, lifestyle, and mood of the user. The soft key touch pads also add to the feeling of friendliness, expressing the brand personality. Product design focuses on the consumer and his needs, and is summed up in the slogan, "human technology." Nokia now accounts for over half of the value of the Finland stock market, and has taken huge market share from its competitors. According to one brand valuation study carried out in mid-1999, it ranked 11th on the world's most valuable brand list, making it the highest-ranking non-U.S. brand. As has been pointed out, it has unseated Motorola. Nokia achieved its brilliant feat through consistent branding, backed by firstclass logistics and manufacturing, all of which revolve around what consumers what.

PG NO 55

Promotion Strategy
"Push or Pull"? Marketing theory distinguishes between two main kinds of promotional strategy - "push" and "pull".

Push:
A push promotional strategy makes use of a company's sales force and trade promotion activities to create consumer demand for a product. The Nokia promotes the product to wholesalers, the wholesalers promote it to retailers, and the retailers promote it to consumers. For example Nokia promote their products via retailers such as Carphone Warehouse. Personal selling and trade promotions are often the most effective promotional tools for companies such as Nokia - for example offering subsidies on the handsets to encourage retailers to sell higher volumes. A "push" strategy tries to sell directly to the consumer, bypassing other distribution channels (e.g. selling insurance or holidays directly). With this type of strategy, consumer promotions and advertising are the most likely promotional tools.

Pull:
A pull selling strategy is one that requires high spending on advertising and consumer promotion to build up consumer demand for a product. If the strategy is successful, consumers will ask their retailers for the product, the retailers will ask the wholesalers, and the wholesalers will ask the producers.

PG NO 56

Target Market:The target market of NOKIA is very wide. Its products are demanded world wide and are given preference at any other cellular company in the world. They have comparatively low rates than the other companies and have a very good and interactive performance and interesting features, so because of these features, people prefer NOKIA than the other companies. Specially in Asia, Europe, America and the Middle East, NOKIA has a very big market. It is manufacturing GSM and AMPS technologies cellular sets which are meeting every kind of consumers requirements.

PG NO 57

Conclusion
Nokia being in a competitive market holds the market as a monopoly with its Unique identity, Marketing Strategy and distribution policy. Through the Ease-of-use concept, it will add a lot to Customer Value, which further helps Nokia in capturing the market share in India. Our goal is to be a good corporate citizen wherever we operate, as a responsible and contributing member of society.

As Nokia is the leading manufacturer of mobile phones whole over the world, its new strategy of diversification in Nokia Mobile Network will be at great success, also customers are loyal to Nokia and Nokia has positioned itself properly in the minds of all the customers. It will be easier for Nokia to attract its existing customers. Besides this Nokia with its latest technology and strong networks is laying more stress on rural areas where till now no network has satisfied rural people. Nokia maintains distinctive advantage over their current and future competition without patent protection But on the other Hand the products from the Finnish company, Nokia, are some of the very best in the world, but the company still hasnt found a profitable way to market its goods. The very reason that other mobile phone companies are fast eating up Nokias market share is their superior (yet simple) marketing practices. Motorola and Samsung must now be in the FUW (frequently used words) list in Nokias board meetings. These companies have made Nokia pay dearly for its undeveloped approach in marketing its phones. The aggressive marketing practices followed by Motorola have hit
PG NO 58

Nokia very hard and it is losing very crucial global market share every month to its American competitor. Hence if Nokia doesnt take much care of this matter he will face tough time in the Future.

Suggestions
PG NO 59

Though the NOKIA is the worlds largest cellular phone company and has the very efficient features and facilities but there are some suggestions by me after analyzing and researching about this company. It should decrease its prices of the sets so that the sets may become in reach of every user and the market may increase and become the cause of increasing profit rate. Its spare parts should be available in its every market. There should be replace warrenty in case of defection. Memory capacity should be increased to save the different entertaining materials in the sets.

PG NO 60

References Nokia sales point, VITHAL BHAVAAN ALIBAUG www.nokia.com www.nokiausa.com www.yahoo.com www.google.com www.nokia.com/downloads.htm www.nokia.com/info.htm
S

PG NO 61

Das könnte Ihnen auch gefallen