A report submitted to

Asian Business School, Noida

as a partial fulfillment of Full time
Post Graduate Diploma in Management (PGDM)
(Approved by AICTE, Ministry of HRD)
ubmitted to ! ubmitted by !
Asst" #rof"M$%$& 'AI( (EE& %AMA& MAHAT)
AIA( *$I(E CH))& R)&& ()! +A,-+-. ()IDA
*ATCH !-+,-!-+,/
Project Report
On
NOKIA
1
INTRODUCTION

Introduction of the Problem
To know the best consumer buying behavior and demand into the minds of consumer of
Greater Noida because always consumer says something and does something, there are
many companies manufacturing mobile phones into the market, at the same time as there
are many companies manufacturing mobile phones, idea about thinking of customer on
whether, what, how, and for whom to purchase the mobile.
Therefore, research is required to measure present consumer buying behavior at the
purchase of Nokia mobile. So the researcher problem is to identify what are the criteria
that prospective customer takes into consideration before buying the mobiles.
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Objective of Study
Primary objective
The primary obective of the proect was to enhance the consumptions the Nokia products.
Secondary Objective
The whole process of doing the proect is to know why the market share of nokia handsets
slipping or coming down.
To know the consumer preferences and choices.
To know the potential of the market and e!pand into new markets and business.
To study consumer behavior and increase market share and create distance from competition.
Scoe of Study
Nokia is already well establish in the market, but there are lots of others things that has to
be understood as a Sales "ssistant.
#irst the main thing $ have learned how the supply chain process affect sales.
The intensity of competition in the mobile communications industry and our ability to maintain
or improve our market position or respond successfully to changes in the competitive landscape.
%ur ability to manage efficiently our logistics, as well as to ensure the quality, safety, security
and timely delivery of our products, services and solutions.
3
&uring the proect $ come to know that customers are too price conscious they want a quality
product in fewer amounts.
$ have learned about consumer behavior how they respond in practical life.'onsumers always
looks for better value proposition, they always compare the
benefits of one company to others.
!rief About Or"ani#ation
$ISTOR% O& NOKIA
Nokia is a #innish multinational communications corporation, headquartered in (eilaniemi
)spoo, a city neighboring #inland*s capital +elsinki. Nokia is focused on wireless and wired
telecommunications, with ,,-,-.- employees in ,-/ countries, sales in more than ,0/ countries
and global annual revenue of 0,., billion euros and operating profit of 1./ billion as of -//2.
3
t is
the world*s largest manufacturer of mobile telephones4 its global device marketsharewas about
516 in 75 of -//1, down from 586 in 75 -//2 and down from 9/6 sequentially

Nokia
produces mobile phones for every maor market segment and protocol, including GS: '&:",
and ;<'&:" =>:TS. Nokia*s subsidiary Nokia Siemens Networks produces
telecommunications network equipments, solutions and services.
Nokia has sites for research and development manufacture and sales in many continents
throughout the world. "s of :arch -//1, Nokia had ?@& centers in ,/ countries and employed
5/,9,0 people in research and development, representing appro!imately -26 of NokiaAs total
4
workforce

The Nokia ?esearch 'enter, founded in ,81., is Nokia*s industrial research unit of
about 1// researchers, engineers and scientists. $t has sites in seven countries4 #inland, &enmark,
Germany, 'hina, Bapan, >nited (ingdom and >nited States. Cesides its N?'s, in -//, Nokia
founded =and ownsD $ndy E Nokia $nstitute of Technology, a ?@& institute located in CraFil
Nokia*s production facilities are located at )spoo, %ulu and Salo #inlandG :anaus, CraFilG
Ceiing, &ongguan and SuFhou, 'hinaG #leet )nglandG (omHrom +ungaryG 'hennai $ndiaG
?eynosa , :e!icoG Bucu , ?omania and :asan South (orea.Nokia*s &esign &epartment remains
in Salo, #inland.
Nokia plays a very large role in the economy of #inland4 it is by far the largest #innish company
accounting for about a third of the market capitaliFation of the +elsinki Stock )!change =%:I
+elsinkiD as of -//2G a unique situation for an industrialiFed country $t is an important employer
in #inland and several small companies have grown into large ones as Nokia*s subcontractors
Nokia increased #inland*s G&J by more than ,.06 in ,888 alone. $n -//9 Nokia*s share of the
#inland*s G&J was 5.06 and accounted for almost a quarter of #inland*s e!ports in -//5. $n
-//., Nokia generated revenue that for the first time e!ceeded the state budget of #inland.
#inns have ranked Nokia many times as the best #innish brand and employer. The Nokia brand
valued at K50.8 billion, is listed as the fifth most valuable global brand in $nter brand Cusiness
;eeks Cest Global Crands list of -//1 =first non<>S companyD

$t is the number one brand in
"sia =as of -//2D

and )urope =as of -//1
D
the -5rd most admirable company worldwide in
#ortuneAs ;orld*s :ost "dmired 'ompanies list of -//1 =tied with )!!on :obilG second in
Network 'ommunications, fifth non<>S companyD,

and is the world*s 11th largest company in
5
#ortune Global 0// list of -//1, up from ,,8 of the previous year

"s of -//1, ":? ?esearch
ranks Nokia*s global supply chain number two in the world

.
'ile#tone# and relea#e#
Nokia opened its (omHrom, +ungary mobile phone factory on :ay 0, -///.$n :arch -//2,
Nokia signed a memorandum with 'lu 'ounty 'ouncil, ?omania to open a new plant near the
city in Bucu commune. :oving the production from the Cochum, Germany factory to a low wage
country created uproar in Germany.
$n :ay -//2, Nokia announced that its Nokia ,,// handset, launched in -//5,39,L with over -//
million units shipped, was the best<selling mobile phone of all time and the world*s top<selling
consumer electronics product.
$n November -//2, Nokia announced and released the Nokia N1-, its first =and currently, onlyD
Nseries phone with Ienon flash.
"t the Nokia ;orld conference in &ecember -//2, Nokia announced their M'omes with :usicM
program4 Nokia device buyers are to receive a year of complimentary access to music
downloads. The service became commercially available in the second half of -//1.
$n "pril -//1, Nokia began finding new ways to connect people, asking the MaudienceM to use
their creativity and their mobile devices to become NokiaAs production company E to take part in
filming, acting, editing and producing a collaborative film. Nokia Jroductions was the first ever
mobile filmmaking proect directed by Spike Nee. This was a collaborative e!perience that
e!isted across borders and perspectives, working off a common script. The film premiered in
%ctober -//1.
6
$n -//1, Nokia released the Nokia )2, which was marketed to directly compete with the other
ClackCerry devices offering a full keyboard and cheaper prices.
Nokia announced in "ugust -//8 that they will be selling a high<end ;indows<based mini
laptop called the Nokia Cooklet 5G.
%n September -, -//8, Nokia launched two new music and social networking phones, the I.
and I5. The Nokia I. features 5-GC of on<board memory with a 5.-M finger touch interface and
comes with a music playback time of 50 hours. The Nokia I5 is a first series 9/ %vi Store<
enabled device. The I5 is a music device that comes with stereo speakers, built<in #: radio, and
a 5.- megapi!el camera.
%n September ,/, -//8, Nokia unveiled a new handset 22/0 Twist, a phone with a sports square
shape that swivels open to reveal a full 7;)?TO keypad
.
The new mobile, which will be
available e!clusively through PeriFon ;ireless, features a 5 megapi!el camera, web browsing,
voice commands and weighs around 5.99 ounces.
Ac(ui#ition#
%n September --, -//5, Nokia acquired Sega.com, a branch of Sega which became the maor
basis to develop the Nokia N<Gage device.
%n November ,., -//0, Nokia and $ntellisync 'orporation, a provider of data and J$:
synchroniFation software, signed a definitive agreement for Nokia to acquire $ntellisync.Nokia
completed the acquisition on #ebruary ,/, -//..
%n Bune ,8, -//., Nokia and Siemens "G announced the companies would merge their mobile
and fi!ed<line phone network equipment businesses to create one of the world*s largest network
7
firms, Nokia Siemens Networks.385L )ach company has a 0/6 stake in the infrastructure
company, and it is headquartered in )spoo, #inland. The companies predicted annual sales of
Q,. bn and cost savings of Q,.0 bn a year by -/,/. "bout -/,/// Nokia employees were
transferred to this new company.
%n "ugust 1, -//., Nokia and Noudeye 'orp. announced that they had signed an agreement for
Nokia to acquire online music distributor Noudeye 'orporation for appro!imately >S K./
million. The company has been developing this into an online music service in the hope of using
it to generate handset sales. The service, launched on "ugust -8, -//2, is aimed to rival iTunes.
Nokia completed the acquisition on %ctober ,., -//..
$n Buly -//2, Nokia acquired all assets of Twango, the comprehensive media sharing solution for
organiFing and sharing photos, videos and other personal media.
$n September -//2, Nokia announced its intention to acquire )npocket, a supplier of mobile
advertising technology and services.
$n %ctober -//2, pending shareholder and regulatory approval, Nokia bought Navteq, a >.S.<
based supplier of digital mapping data, for a price of K1., billion.39L388L Nokia finaliFed the
acquisition on Buly ,/, -//1.
$n September, -//1, Nokia acquired %R 'ommunications, a privately held company with
appro!imately --/ employees headquartered in :ontreal, 'anada.
%n Buly -9, -//8, Nokia announced that it will acquire certain assets of cellity, a privately
owned mobile software company which employs ,9 people in +amburg, Germany. The
acquisition of cellity was completed on "ugust 0, -//8.
8
%n September ,,, -//8, Nokia announced the acquisition of Mcertain assets of Jlum Pentures,
$nc, a privately held company which employed appro!imately ,/ people with main offices in
Coston, :assachusetts. Jlum will complement NokiaAs Social Nocation servicesM.
Cororate #tructure
Divi#ion#
Since %ctober ,, -//8, Nokia comprises three business groups4 &evices, Services, Solutions and
:arkets.3,/0L The four units receive operational support from the 'orporate &evelopment
%ffice, led by :ary T. :c&owell, which is also responsible for e!ploring corporate strategic and
future growth opportunities.3,/0L
%n "pril ,, -//2, NokiaAs Networks business group was combined with SiemensA carrier<related
operations for fi!ed and mobile networks to form Nokia Siemens Networks, ointly owned by
Nokia and Siemens and consolidated by Nokia.
&evices
The Nokia N8//, a :aemo 0 Ninu! based mobile $nternet device and touch screen smart phone
from Nokia*s Nseries portfolio. The &evices division is responsible for developing and managing
9
Nokia*s mobile device portfolio, including the sourcing of components, headed by (ai SistTmU.
The division consists of the previous mainline :obile Jhones division with the separate
subdivisions :ultimedia =Nseries devicesD and )nterprise Solutions =)series devicesD as well as
formerly centraliFed core devices ?@& E called Technology Jlatforms.
This division provides the general public with mobile voice and data products across a wide
range of mobile devices, including high<volume, consumer oriented mobile phones and devices,
and more e!pensive multimedia and enterprise<class devices. The devices are based on
GS:V)&G), 5GV;<'&:" and '&:" cellular technologies. Nokia*s Nseries :ultimedia
'omputers e!tensively uses Symbian %S.
$n the first quarter of -//. Nokia sold over ,0 million :J5 capable mobile phones, which means
that Nokia is not only the world*s leading supplier of mobile phones and digital cameras =as most
of Nokia*s mobile telephones feature digital cameras, it is also believed that Nokia has recently
overtaken (odak in camera production making it the largest in the worldD, Nokia is now also the
leading supplier of digital audio players =:J5 playersD, outpacing sales of devices such as the
iJod from "pple. "t the end of the year -//2, Nokia managed to sell almost 99/ million mobile
phones which accounted for 9/6 of all global mobile phones sales.
Services
The Services division operates in five areas of consumer $nternet services4 music, maps, media,
messaging and games The division consists of the previous enterprise and consumer driver
services businesses previously hosted in :ultimedia and )nterprise Solutions divisions, as well
10
as a number of new acquisitions =Noudeye, Gate0, )npocket, $ntellisync, "vvenu and %R
'ommunicationsD, headed by Niklas Savander.
The group works with companies outside the telecommunications industry to make advances in
the technology and bring new applications and possibilities in areas such as online services,
optics, music synchroniFation and streaming media.
Solution#
Solutions are responsible for Nokia*s offering of solutions, where the mobile device,
personaliFed services and content are integrated into a package for the consumer. The unit is led
by "lberto Torres.
'ar)et#
The :arkets division, the successor organiFation to Nokia*s 'ustomer and :arket %perations
division, is responsible for the management of the supply chains, sales channels, brand and
marketing functions of the company, headed by "nssi Panoki.
No)ia Siemen# Net*or)#
Nokia Siemens Networks =previously Nokia NetworksD provides wireless and wired network
infrastructure, communications and networks service platforms, as well as professional services
to operators and service providers.3,/0L Nokia Siemens Networks focuses in GS:, )&G),
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5GV;<'&:" and ;i:"I radio access networksG core networks with increasing $J and multi<
access capabilitiesG and services.
%n Bune ,8, -//. Nokia and Siemens "G announced the companies are to merge their mobile and fi!ed<
line phone network equipment businesses to create one of the world*s largest network firms, called Nokia
Siemens Networks.385L The Nokia Siemens Networks brand identity was subsequently launched at the
5GS: ;orld 'ongress in Carcelona in #ebruary -//2.3,/1L3,/8L
"s of :arch -//8, Nokia Siemens Networks serves more than .// operator customers in more than ,0/
countries, with over ,.0 billion people connected through its networks.3,,/L
Controver#y
NSN+# rovi#ion of intercet caability to Iran
" cartoon about Nokia*s provision of intercept capability to $ran and people who were arrested
in $ran by $?$ regime using intercept capabilities $n -//1, Nokia Siemens Networks, a oint
venture between Nokia and Siemens "G, reportedly provided $ran*s monopoly telecom company
with technology that allowed it to intercept the $nternet communications of its citiFens to an
unprecedented degree. The technology reportedly allowed it to use deep packet inspection to
read and even change the content of everything from Me<mails and $nternet phone calls to images
and messages on social<networking sites such as #acebook and TwitterM. The technology
Menables authorities to not only block communication but to monitor it to gather information
about individuals, as well as alter it for disinformation purposes,M e!pert insiders told The ;all
Street Bournal. &uring the post<election protests in $ran in Bune -//8, $ran*s $nternet access was
12
reported to have slowed to less than a tenth of its normal speeds, and e!perts suspected this was
due to the use of the interception technology.
The oint venture company, Nokia Siemens Networks, asserted in a press release that it provided
$ran only with a *lawful intercept capability* Msolely for monitoring of local voice callsM. MNokia
Siemens Networks has not provided any deep packet inspection, web censorship or $nternet
filtering capability to $ran,M it said.
$n Buly -//8, Nokia began to e!perience a boycott of their products and services in $ran. The
boycott was led by consumers sympathetic to the post<election protest movement and targeted at
those companies deemed to be collaborating with the $slamic regime. &emand for handsets fell
and users began shunning S:S messaging.
Ne! Nokia
$n -//8, Nokia heavily supported the passing of a law in #inland that allows companies to
monitor their employeesA electronic communications in cases of suspected information leaking.
'ontrary to rumors, Nokia denied that the company would have considered moving its head
office out of #inland if laws on electronic surveillance were not changed. The #innish media
dubbed the name Ne! Nokia for this law, named after the #innish copyright law =the so<called
Ne! (arpelaD a few years back.
Nokia<"pple patent dispute
%n %ctober -//8, Nokia filed a lawsuit against "pple $nc. in the >.S. &istrict 'ourt of &elaware
citing "pple infringed on ,/ of its patents related to wireless communication including data
13
transfer. "pple was quick to respond with a countersuit filed in &ecember -//8 accusing Nokia
of ,, patent infringements. "ppleAs General 'ounsel, Cruce Sewell went a step further by
stating, M%ther companies must compete with us by inventing their own technologies, not ust by
stealing ours.M This resulted in an ugly spat between the two telecom maors with Nokia filing
another suit, this time with the >.S. $nternational Trade 'ommission =$T'D, alleging "pple of
infringing its patents in Mvirtually all of its mobile phones, portable music players, and
computers.M Nokia went on to ask the court to bar all >.S. imports of the "pple products
including the iJhone, :ac and the iJod. Not one to be pushed behind, "pple countersued by
filing a complaint with the $T' in Banuary -/,/, the details of which are yet to be confirmed.
,nvironmental record
)lectronic products such as cell phones impact the environment both during production and after
their useful life when they are discarded and turned into electronic waste. "ccording to
environmental organiFation Greenpeace, Nokia has a good track record in limiting the amount of
to!ic chemicals in its products, supporting recycling, and reducing impact on climate change,
compared to other market leaders in the electronics industry. $n the ,9th Greenpeace Guide to
Greener )lectronics, Nokia stays in first place with a total score of 2.5V,/.
$n version ,5 of the Guide, Nokia scored ma!imum points for its voluntary take<back program,
which spans 19 countries with almost 0,/// collection points for end<of<life mobile phones. $t
also scored top marks for the information it provides on what to do with discarded products.
+owever, the recycling rate of Nokia phones was only 5E06 in -//1, according to a global
consumer survey released by Nokia. The maority of old mobile phones are simply lying in
14
drawers at home and very few old devices, about 96, are being thrown into landfill and not
recycled.
Nokia scored very well on to!ic chemical issuesG it launched new models free of JP' at the end
of -//0, first products without components containing C#?s from Banuary -//2, and aims to
have all new models free of all brominated and chlorinated compounds and antimony trio!ide
from the beginning of -/,/.Nokia scored ma!imum points for committing to reduce absolute
'%- emissions by a minimum of ,/6 in -//8 and ,16 in -/,/ from a baseline year of -//..
Top marks were given for product energy efficiency as all but one of its mobile phone chargers
e!ceed the )J"As )nergy Star requirements by 5/E8/6.3,0-L Since -//,, Nokia has provided
eco declarations of all its products.
Nokia is currently actively researching the use of recycled plastics in their products, which are
currently used only in packaging.3,09L $n an effort to further reduce their environmental impact
in the future, Nokia released a new phone concept, ?emade, in #ebruary -//1.3,00L The phone
has been constructed of solely recyclable materials.3,00L The outer part of the phone is made
from recycled materials such as aluminum cans, plastic bottles, and used car tires.3,0.L The
screen is constructed of recycled glass, and the hinges have been created from rubber tires. The
interior of the phone is entirely constructed with refurbished phone parts, and there is a feature
that encourages energy saving habits by reducing the backlight to the ideal level, which then
allows the battery to last longer without frequent charges
Comari#on to #imilar #y#tem#
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Car hone
" type of telephone permanently mounted in a vehicle, these often have more powerful
transmitters, an e!ternal antenna and loudspeaker for hands free use. They usually connect to the
same networks as regular mobile phones.
Cordle## telehone -ortable hone.
'ordless phones are telephones which use one or more radio handsets in place of a wired
handset. The handsets connect wirelessly to a base station, which in turn connects to a
conventional land line for calling. >nlike mobile phones, cordless phones use private base
stations =belonging to the land<line subscriberD, which are not shared.
Profe##ional 'obile Radio
"dvanced professional mobile radio systems can be very similar to mobile phone systems.
Notably, the $&)N standard has been used as both a private trunked radio system as well as the
technology for several large public providers. Similar attempts have even been made to use
T)T?", the )uropean digital J:? standard, to implement public mobile networks.
Radio hone
This is a term which covers radios which could connect into the telephone network. These
phones may not be mobileG for e!ample, they may require a mains power supply, or they may
require the assistance of a human operator to set up a JSTN phone call.
16
Satellite hone
This type of phone communicates directly with an artificial satellite, which in turn relays calls to
a base station or another satellite phone. " single satellite can provide coverage to a much
greater area than terrestrial base stations. Since satellite phones are costly, their use is typically
limited to people in remote areas where no mobile phone coverage e!ists, such as mountain
climbers, mariners in the open sea, and news reporters at disaster sites.
IP Phone
This type of phone delivers or receives calls over internet, N"N or ;"N networks using Po$J
as opposed to traditional '&:" and GS: networks. $n business, the maority of these $J
Jhones tend to be connected via wired )thernet, however wireless varieties do e!ist. Several
vendors have developed standalone ;i<#i phones. "dditionally, some cellular mobile phones
include the ability to place Po$J calls over cellular high speed data networks andVor wireless
internet.
Some firsts for Nokia in India
/001 E #irst mobile phone call made in $ndia on a Nokia phone on a Nokia
Network
/002 < Saare Bahaan Se "cchha, first $ndian ring tone in a Nokia 0,,/
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3444 < #irst phone with +indi menu =Nokia 5-,/D
3443 < #irst 'amera phone =Nokia 2.0/D
3445 < #irst :ade for $ndia phone, Nokia ,,//
3446 < Saral :obile Sandesh, +indi S:S on a wide range of Nokia phones
3446 < #irst ;i<#i Jhone< Nokia 'ommunicator =N80//D
3441 E Nocal >$ in additional local language
3447 E Nokia manufacturing plant in 'hennai
3448 E #irst vernacular news portal
Comany De#crition
'ana"ement Team
Olli9Pe))a Kalla#vuo
'hairman, Jresident and ')% of Nokia 'orporation
18
Robert Ander##on
)!ecutive Pice Jresident, &evices #inance, Strategy and Sourcing
Simon !ere#ford9:ylie
'hief )!ecutive %fficer, Nokia Siemens Networks
Timo Ihamuotila
)!ecutive Pice Jresident, Sales
'ary T; 'cDo*ell
)!ecutive Pice Jresident, 'hief &evelopment %fficer
$all#tein 'oer)
)!ecutive Pice Jresident, +uman ?esources
Tero Ojaner<
)!ecutive Pice Jresident, )ntertainment @ 'ommunities
I)la# Savander
)!ecutive Pice Jresident, Services and Software
Richard A; Simon#on
)!ecutive Pice Jresident, 'hief #inancial %fficer
19
=eli Sundb<c)
)!ecutive Pice Jresident, 'orporate ?elations and ?esponsibility
An##i =anjo)i
)!ecutive Pice Jresident, :arkets
Dr; Kai >i#t<m?
)!ecutive Pice Jresident, &evices
20
21
No)ia /444 #erie# ,/,, W ,,//V,,/, W ,,,/V,,,/i W ,,,- W ,-// W ,-/1 W
,.// W ,.,/ W ,.0/
No)ia 3444 #erie# -,,/i W -,,0i W -5,/ W -.// W -.// classic W -.,/ W -.5/ W
-.0/ W -.0, W -2// classic W -25/ classic W -2./
No)ia 5444 #erie# 5,//V5,//bV5,/0 W 5,,/ W 5,,/ classic W 5,-/ W 5,-/
classic W 5,00 W 5-//V5-//bV5-/0 W 5-,/ W 5--/ W 5-5/ W
5-0/ W 55,/ W 55,0 W 555/ W 59,/ W 50// classic W
50,/V508/V5080 W 50,/i W 5.//V5.-/V5.0/V5../ W 5.//
slide W 52-/ classic
No)ia 1444 #erie# 0/2/ W 0,// W 0,,/ W 0,5/ Ipress :usic W 0-// W 0-,/ W
0--/ Ipress :usic W 0-5/V0-50 W 05// W 05,/ Ipress
:usic W 05-/ W 055/ :obile TP )dition W 00// Sport W
00,/ W 005/ W 0.,/ W 02// W 025/ W 01//
No)ia 7444 #erie# ./,/ W ./-/V./-, W ./5/ W ./2/ W ./10 W .,// W .,/, W
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W .-,/ W .-,/ Navigator W .--/ classic W .-5/ W .-55 W
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.0// classic W .0// slide W .000 W ..// W ..// fold W ..//
slide W ..,/i W ..-/ W ..5/ W ..0/ W ..0/ fold W ..2/ W
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classic W .25/ W .1// W .1,/ W .1-/ W .1--
No)ia 8444 #erie# 2,,/ W 2,./ W 2-,/ W 2-0/ W 2-1/ W 25./ W 251/ W 258/ W
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No)ia N#erie# N2/ W N2, W N2- W N25 W N20 W N2. W N21 W N28 W N1/

II@ Theoretical Per#ective
AITR,ATUR, R,=I,:
$n recent years, the adoption of the mobile phones has been e!ceptionally rapid in many parts of
the world and e especially in $ndia, where cellular phones are nowadays almost as common as
wrist watches.
22
"lthough it is evident that the large players in the telecommunication business constantly
conduct market research, the problem is that the results are obtained are usually kept inside
company walls and therefore consumer behavior in mobile phone industry is an une!amined
genre in academic literature
The trend that mobile phones are purchased earlier and earlier was verified with the data.
;hile looking at oldest surveyed group three =older university studentsD maority of them bought
their first mobile phone at the age of ,1 =-96D, followed by the age of ,8 =-56D and-/ =,06D. $n
comparison, 556 of the youngest group =secondary school studentsD, acquired their first mobile
phone at the age of ,0.
Jrice and properties were regarded as the most important motives affecting the decision to
purchase current mobile phone model among the respondents as displayed. "ccording to the
survey close to 1/ percent and over 10 percent, for price and properties respectively, felt that
price and properties had affected their decision making at least relatively much.
Jrice might have dominated the decision making in the sample more than it does for the
whole population, as the average net income in the target group was relatively low
Conclu#ion < The e!ploratory study was conducted to increase our understanding of the mobile
phone market in general and analyFe consumer decision making in particular. The study
attempted to cast light on the much une!amined area of the mobile phone purchase, operator
choice, and use of the mobile phone services.
The main results of the study indicates that<
23
/; #irst of all the age of purchasing a mobile phone among young $ndian has lowered in ust few
years from ,1<,8 to ,9<,0.
3; Secondly, the factors underlying purchase of a mobile phone were found to be manufacturer,
market condition, and influential persons. #or the choice of operator the factor were found to be
features and brand, components in pricing, quality and influential persons.
5; Thirdly, only about ,06 of the respondents felt that their use of mobile services would
increase in the ne!t ,- month.
Con#umer !ehavior BA Theoretical Concet
'eanin" and Definition of Con#umer !ehavior
The whole behavior of person while making purchases may be termed as consumer behavior it is
the attempt< and prediction of human actions in the buying role. "ccording to ;alter and Jaul
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X'onsumer behavior is the process whereby individuals decide whether, what, when, where, how
and from whom to purchase goods and servicesY. Thus in consumer behavior we consider not
only ;hy, +ow and ;hat people buy other factors also such as where , how and under Zunder
what circumstances the purchases are madeA. $n this process, the consumer deliberates within
himself before finally makes any purchases. This deliberation relates to several factor and is
aimed at solving consumption problems. "mongst these problems, the first problem is to decide
whether to actually spend money or save it. $n case , the decision is taken to spend[money, <the
second problem arises as to what to buy because the wants are unlimited and resources are
scarce. Therefore, the wants should be ranked first in order of priority. The ne!t problem relates
to the place where to buy , the mode of purchase[largeVsmall quantities ,cashVcredit purchases
and the Nike. The problem is to decide the sellerAs shop, i.e. from which shop to buy. $n this way
the whole consumer behaviours consists of physical and mental activities or e!ercises
&ACTORS OR D,T,R'INANTS O& CONSU',R !,$A=IOUR
" number of factors affect or determine consumer behaviour. $t is important to note that
consumer behaviour never remains fi!ed but is ever changing. +ence ,factors affecting consumer
behaviour are also changing. The factors or determinants of consumer behaviour may be broadly
classified under the following three maor heads4
=$D Jsychological #actors or &eterminants of $lNima ii Cehaviour.
=$$D )conomic #actors or &eterminants.
=$$$D Sociological #actors or &eterminants.
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Pariables of 'onsumer Cehaviour
The decisions taken by consumers in connection with purchases are influenced by various
variables. They are aimed at solving consumerAs problems. "ccording to Jhilip (otler, the maor
variables which influence consumer behavior are as follows
,. 'ulture4 The most important determinant of consumer behavior is the culture, $n case of
animalsG their behavior is generally triggered by instinct, whereas in case of human beings,
behavior is normally learned. ;hen the child grows up, he is largely influenced by all those
things which he sees around himself. $t includes his family and the society as a whole in which
he lives. +is preferences and behaviour patterns etc. are all influenced and result in his behaving
in a particular way. :arketers try to spot cultural shifts so that they can aim their marketing
activities accordingly. #or e!ample, $ndian culture emphasiFes the purchasing and wearing of
new dresses on festivals like &eepawali. Naturally, there will be good demand of new dresses on
the eve of &eepawali. These are variables within the cultural aspect of consumer behavior.
-. Subculture4 ;ithin a culture group there is a smaller group which has been termed as
subculture by Jhilip (otler. +e gives as illustrations, groups, such as 'atholics and BewsG racial
groups such as blacks and whites having their different culture styles and attitudes. Similar
subculture segmentation can also be applied in $ndia where we have several types of linguistic,
religious and communal groups +indu, :uslim, Sikh, 'hristian etc.D as well as behaviour
patterns which vary from north to south and east to west.
5. Social 'lass4 $t refers to several homogeneous groups that e!ist in the society. #or instance,
take the case of caste system in $ndia. &ifferent casts constitute different social groups. Jeople
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within such a social class tend to behave on similar lines as per the caste pattern. They can be
motivated by similar marketing appeals.
9. Jersonal #actors4 < "ccording to Jhilip (otler, personal factors also influence buying
decisions of the consumers. Jersonal outward characteristics, such as age, income, occupation,
life style and personality also count. Taste in clothes, furniture, food, recreation etc. Pary
according to age and income of the individual.

Cuying ?oles4
$nitiator
$nfluencer
&ecider
Cuyer
>ser
T+) "&%JT$%N J?%')SS
"wareness
$nterest
)valuation
Trial
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?e<Trial
"doption
Cuying Jrocess
Jroblem ?ecognition
$nformation Search
)valuation "lternatives
Jurchase &ecision
Jost < Jurchase Cehaviour
Satisfaction
"ctions
>se and &isposal
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'%NS>:)? C>O$NG &)'$S$%N J?%')SS
There are following five stages in consumer buying decision process.
,. N))& ?)'%GN$T$%N
The buying process starts when the buyer recogniFes a problem or need. The need can be
triggered by internal or e!ternal stimuli. :arketers need to identify the circumstances that trigger
a particular need. Cy gathering information from a number of consumers, :arketers can identify
the most frequent stimuli that spark an interest in a product category. They can then develop
marketing strategies that trigger consumer interest.
-. $N#%?:"T$%N S)"?'+4<
The consumer tries to collect information regarding various productsVservice. Through gathering
information, the consumer learns about completing brands and their features. $nformation may be
collected form magaFines, catalogues, retailers, friends, family members, business association,
commercial, chamber of commerce, telephone directory, trade fair etc.
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:arketers should find out the source of information and their relative degree of importance to
the consumers.
Jersonal Sources4 #amily, friends, neighbor, as quittances.
'ommercial Source4 "dvertising, sales persons, dealers, packaging, displays.
Jublic sources4 mass media, consumer, rating organiFations.
)!perimental sources4 +andling. )!amine, using the product.
5. )P"N>"T$%N %# "NT)?N"T$P)4<
There is no single process used by all consumers by one consumer in all buying situations. There
is several #irst, the consumer processes, some basic concepts are4
#irst, the consumer is trying to satisfy need.
Second, the consumer is looking for certain benefits from the product solutions.

The marketer must know which criteria the consumer will use in the purchase decision.
9. '+%$') %# J>?'+"S$NG &)'$S$%N4<
#rom among the purchase of alternatives the consumer makes the solution. $t may be to buy or
not to buy. $f the decision is to buy the other additional decisions are4
;hich types of bike he must buy\
#rom where to buy a bike\
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+ow the payment to be made\ "nd so on.
The marketer up to this stage has tried every means to influence the purchase behavior, but the
choice is properly consumers. $n the evaluation stage the consumer forms preferences among the
brands in the choice set. The consumer may also form an intention to but the most preferred
brand.
0.J%ST J>?'+"S) C)+"P$%?4<
"fter purchase the product, the consumer will e!perience the same level of product. The
:arketerAs ob not end when the product is buying must monitor post<purchase satisfaction, post<
purchase action, post<purchase use and disposal.
Jost Jurchase Satisfaction4<
The buyer, S satisfaction is a function %f closeness between the buyer, S e!pectation and the
products Jerceiver performance. The larger the gap between e!pectation and performance, the
greater the consumer dissatisfaction.
Jost purchase "ction4< The 'onsumer, S satisfaction or dissatisfaction with the
product influence subsequent behavior. $f the consumer satisfied, he or she will e!hibit a
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higher probability of purchasing the product again. &issatisfaction consumer may
abandon and return the product.

Jost<Jurchase >se or &isposal 4<
The marketer should also monitor new buyers use and dispose of the product. $f the
consumer store the product in a close, the product is probably not very satisfying. $f the
consumer throws the product away, the marketer needs to know how they dispose of itG
especially it can be hurt the environment.
'+"?"'T)?$ST$' %# C>O)? C)+"P$%?S
The chief characteristics of the buyers behaviors are as follow4<
=,D $t consists of mental and physical activities which consumers undertake to get goods and
services and obtain satisfaction from them.
=-D $t includes both observable activities such as walking through the market to e!amine
merchandise and making a purchase and mental activities<such as forming attitudes, perceiving
advertising material, and learning to prefer particular brands.
=5D 'onsumer behaviors are very comple! and dynamic to constantly changing. "nd therefore,
management need to adust with the change otherwise market may be lot.
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=9D The individuals specific behaviors in the market place is affected by internal factor, such as
need , motives, perception, and attitudes, as well as by e!ternal of environmental influences such
as the family social groups, culture, economics and business influences
Chater9III@ 'ethodolo"y
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?)S)"?'+ :)T+%&%N%GO
?esearch methodology is systematic way to solve the research problems, $t refers to search for
knowledge , a scientific and systematic search for information. :arketing research is the
systematic design, collection, analysis and reporting of data and finding relevant to a specific
marketing design, collection, analysis and reporting of data and finding relevant to a specific
marketing situation facing the company.
%bectives of ?esearch
Primary objective
To understand the problem thoroughly.
?ephrasing the same into meaningful terms from an analytical point of view.
Secondary objective
To fill the gap in knowledge.
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To resolve contradictory finding.
To test the theoretical prediction
Data collection
&ata collection means collections of information, facts or figures for the problem.
Primary data collection< Jrimary data is the first hand information obtained by investigator.
Jrimary source is one itself collects the data. Jrimary data can be collected by observation , by
interviews, by face to face questioning , by using questionnaire, when the needed data do not
e!ist or are dated , inaccurate , incomplete, or unreliable.
Secondary data collection E Secondary data is collected by others already and the researcher is
using that information for his own research purpose.
Secondary data can be collected from published reports , newspaper, websites, ournals,
publications of national and international organiFation.
Samlin" lan4
Sampling unit < ;alk<in customers in retail outlet.
Sample siFe < 0/
Sampling $nstruments< 7uestionnaire, face to face interview
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Nimitations < Nimitations of the proects are to know the behavior of the customers, and the
attitude, feeling and reaction of the consumer towards the products.
C$APT,R C I=
DATA ANAAA%SIS
36
"s per the questionnaire given in "nne!ure , $ analyFed the follwing results.
,.
Yes 68%
No 32%

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Interretation C This graph shows that out of hundred .26 consumers use Nokia
mobile, and the rest companies are too behind than Nokia. So Nokia 'ompany is ruling
the $ndian mobile market.
-.
Nokia 67%
samsung 12%
Sony Erccsion 8%
Motoroa 7%
!"# 3%
ot$ers 3%
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Interretation C This graph shows that out of hundred .26 consumers use Nokia
mobile, and the rest companies are too behind than Nokia. So Nokia 'ompany is ruling
the $ndian mobile market.
5.
39

Interretation9 :ost of the consumer using Nokia mobile for the quality of #:, 'amera and
the Cluetooth which is available in Nokia handsets in ust ?s 5,// only . No other company
provides all three features in this amount.
9. ;hich feature you want in new mobile
40
Cluetooth .16
#: 206
:J5V:J9 006
'amera ./6
)!pandable
memory
906


Interretation E "ccording to this most of the consumers wants GJ?S in their new handset and
Navigator feature also. Pery few asked for the )&G) and others features.
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Cluetooth .16
#: 206
:J5V:J9 006
'amera ./6
)!pandable
memory
906
Cudget for purchasing
$nterpretation<Narge number of population of $ndia comes under middle class. :ost of the
customer spends between ?s ,///<5///. Some customer also more than ?s 0/// more features.
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,///<5/// 216
5///<./// 006
.///<,//// 516
,////<,9/// ,06
"bove,9/// 86
0. ;hich series you like most


Interretation E "ccording to this most of the consumers wants N<series in the new handset and
e<series also. Pery few asked for the c<series.
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Series Number of consumers
./// ,56
2/// ,,6
1/// .6
c series -6
e< sertes --6
N<series 9.6
. .+ow do you come to know about Nokia +andsets
Me%ium % o&
consumer
s
'( 11%
Mag)ines 6%
*a%io 8%
+a,aint 5%
-nternet 18%
.rien%s 42%
/t$ers 10%
1. "re you satisfied with the service of Nokia
Satisfied % of Consumers
Yes 78%
No 22%
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0" De1ision ma2er
45
De1ision (o" of respondent
Fat3er /+4
Mot3er 54
elf 5+4
)t3er 54
Interretation C the data shows that maority of consumer decides by own;
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C$APT,R C =
CONCAUSION
47
O!S,R=ATION D &INDINES
"ccording to my observation Nokia ascendancy to leadership in $ndian market has been
swift and systematicG with the result that millions of people in thousands of towns and
villages today use Nokia mobiles.
The worldAs fastest growing market for wireless handsets.
This success has seen the company Zs market share rise to more than .26 currently from
9.6 in :arch -//2 Nokia concentrated on $ndiaAs largely untapped rural market as well
as the lower and urban market whose consumers eventually upgrade their phones.
Nokia penetrate the marketAs wide range of customerAs preferences, incomes disparities,
regional differences and language requirements.
NokiaAs one winning result G the creation of a global best Eseller , the low cost and hardy
Nokia ,,,/ that came with alarm clock, calculator, and torch.
S:OT ANAA%SIS
Nokia was the first to acknowledge fashion as an important element in mobile phone purchases,
and it is solidly behind the push for :ultimedia :essaging Service, which could become the first
data service beyond Short :essage Service to be deemed successful. There is a significant gap
between Nokia and startups, which makes it difficult to compete against Nokia. Nokia*s tie to
operators has kept its products solidly in consumers* view. Oet, Nokia faces some serious
challenges. The mobile landscape has fundamentally shifted, and some of Nokia*s strengths and
core beliefs may no longer be valid. $n the following research, we discuss Nokia*s strengths
48
and'hallenges and provide advice for enterprises partnering with, purchasing from and working
with Nokia.
Stren"th
Nokia has long established identity =,181DG lots of available resources =financial, etc.D
Nokia has high penetration rate in )urope, especially in Northern countries =close to ,//6D
Nokia 'onsumer )lectronics has access to innovative technology through group companies
:ea)ne##
Nack of centraliFed marketing strategy and championG completely different positioning
trategy depending on the country
Too many brand names =,//D in one marketG problem trying to find balance
'orporate culture is highly technical and operational4 So what if the customer does not
understand] Nack of customer service priority
Oortunitie#
Jotential for brand name sales in )urope and "sia<pacific
Growing replacement and supplement television market
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N') has opportunity of using its technology to enhance user<friendliness
Threat#
The market for color TPs and P'?s is a matureVsaturated marketG consumers are buying
less often and only to replace older units =same trend for all countries across )uropeD
canAt differentiate based on technical advancement or priceG competitors too fast to match
$mpact of recent purchases =for e!ample, SonyD and mergers is unknownG competitors
are getting larger and integrating supply chains
'ompetitive advantage is gained through brand name =not technology or priceD
"ccording to brand awareness studies, Nokia is recogniFed most of the time =in Germany,
#rance, $taly, >( and NorwayD, but not necessarily affiliated with consumer electronics
such as TPs and P'?s
'onsumers buy televisions based on emotion.
'onsumers perceive value in features that are marketed as user<friendly. $n the past Nokia
50
has relied heavily on its ability to innovate0it is a strong technology company

C$APT,R C=I
R,CO''ANDATIONS
51
Cu#tomer Related Recommandation C@
N%($" products are used all over in $ndia by the people of the every region. Cut now days the
people want more values for their money worth, it means a better designed product with quality
and they are most willing to buy the product frequently.
The positive suggestions are as follows4<
"s the others companies like Samsung. :otorola and others offers products in good packing,
so the product packaging must be made attractive so that the young generation willing to accept
it.
The product line must be e!tended so that all the generation levels must be able to use it as per
their taste.
'ustomers want some fancy type or good looking mobiles.
The main thing is the availability of the products at retail outlets.
The product packaging must be changed time to time.
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The media marketing must be done highly and a good relationships should be made with the
customers by giving frequents offers and arranging various competitions
.

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