Nokia was once the leading mobile phone brand but saw a decline due to failures to adapt to changing market demands and new technologies. The document analyzes Nokia's decline from 2007-2013 through three stages: being number one, decreasing, and being acquired by Microsoft. Key reasons for Nokia's decline included managers not understanding the market, deviations from business strategy like relying on the Symbian operating system, and lack of collaboration. Recommendations include adopting new strategies and technologies to better meet consumer needs and anticipate failures like those that led to Nokia's loss of market share.

1. 1. ABSTRACT
Nokia was a synonym for the mobile phone industry for a long time; in any case, when it came
into the period of savvy phones, the previous pioneer was beneath an unbalanced circumstance.
Nokia sold its versatile phone trade to Microsoft on September 3, 2013. A company taking after
Kodak with the legendary color fizzled within the effect of the unused innovation transformation.
This was an ordinary case of the subversion of an industry; hence, the creator accepted that it was
necessary to analyze the method. This paper considered Nokia’s decrease basically from the three
parts. To begin with, of all, looking back Nokia’s improvement handle from the glory to the
decline, it can be separated into three stages: Nokia’s Transition from Expansion to Specialization,
On the Way of Professionalization and Being No. 1 and From the Top to the Decrease and Last
Securing of Microsoft. Followed by analyzing the reasons of its decline from three parts: Nokia’s
Administrators Didn’t Grasp the Market Precisely, there’s a Deviation within the Business
Strategy of the Company and Nokia Was Need of Collaboration and finally analyzing all these I
made some recommendations for Nokia.

2. 2. INTRODUCTION
Nokia, the pioneer of mobile phone industry, was obtained by Microsoft in September 2013.
Nokia’s mobile phone business would be possessed by Microsoft since then. Microsoft reported
in Monday (September 2nd) evening that it would purchase most of Nokia’s portable phone
commerce at the cost of 3.79 billion euros (around 5 billion dollars), and purchase Nokia’s obvious
permit with 1.65 billion euros (around 2.18 billion dollars) in expansion, so the full cost of the
exchange was approximately 5.44 billion euros (approximately 7.17 billion dollars). Once the
exchange was completed, 32,000 workers of Nokia, counting 4700 workers in Finland and around
18,300 fabricating workers, would connect Microsoft; Microsoft would get Nokia’s division of
gadget and benefit, counting versatile phones, smart gadgets and the leading design team
(mobileinternet, n.d.). Nokia’s decrease was an irreparable misfortune for Nokia itself, whereas it
was a lesson that it was worth learning for other companies. Both trade world and scholarly circles
had been analysing the drop of Nokia from distinctive perspectives in arrange to get a few
important involvement and lessons.

3. 3. MARKETING MIX OF NOKIA:
1. Product:
Nokia's fundamental item is the mobile
phone and it contains a wide run of item
portfolio including over a hundred
devices. Nokia has delivered the primary
portable phone with the radio wire
interior, the primary built-in camera, the
first changeable faceplate or short-
message chat work, and so on. Nokia
offers different portable phones with
varied quality, shape, measure and color
2. Price
Nokia gets the most of the customers
demand portable multifunction gadgets, so
the budget of the target shopper for a
particular demonstration is considered.
Nokia costs the items by comparing them
to other items with comparative work
within the advertising. Nokia
Organization, which targets all client
sections, features a wide extend of cost
varieties from the lower cost group to the
higher cost bunch depending on
customer's positions and needs. Within the
mobile phone market, the variables
influencing Nokia's gadget prices are the
cost of items, client request, and
competition.
4. Promotion
In promoting portion, there are printed
advertisements utilized by the company to
advance their items. There are newspapers,
magazines, brochures, TV, radio, site
standards, announcements, and others.
Within the promotion, the company
continuously emphasizes their well-known
motto "connecting individuals" to
construct connections, to bring individuals
together, to collaborate, and communicate.
Nokia welcomes famous actors to ended up
talked people about the items. This will
pull in more buyers since numerous
individuals will support their symbol.
3. Place
Nokia selects its neighbourhood trade
operator based on 5C guidelines. Nokia
will choose whom to select concurring to
their capital, validity, channel,
participation, and administration. In the
meantime, pay consideration to the
organized marketing and attempt to
require seriously promoting methodology
in all domains. For illustration, Nokia
chose a modern channel design called FD,
which has the capacity to alter the
common specialist into the funds stage.
This spares a part of halfway joins.
Through this strategy, most Nokia
monopoly stores can procure the capacity
of coordinate supply which guarantee its
great post-sale benefit.

4. 4. FROM GLORY TO DECLINE-THE DEVELOPMENT OF
NOKIA
Nokia has experienced a add up to of three changes: from elastic, paper to cable, from cable to mobile
phones, from mobile phone to mobile Web over a hundred a long time of commerce prepare since 1865.
The two previous changes can be said to be exceptionally idealize and did make an extraordinary
commitment to the advancement of Nokia. In any case, within the period of mobile Web, Nokia within the
third change has been out of circle, and has not propelled star items assembly the necessities of portable
Web. Confronting the fast advancement of Apple and Android phones, it appeared that Nokia was a bit
feeble, and has as of now misplaced the administration fashion of the mobile phone industry.
4.1 Nokia’s Transition from Expansion to Specialization (1865-1998)
Before 1998, Motorola is the world’s largest mobile phone manufacturer, and Nokia has been in hot pursuit
of it. In the 6 years of the implementation of the professional tactic, Nokia’s rate of increase increment has
remained at around 50%, becoming the world’s largest mobile communications manufacturers. Nokia
produced the 100,000,000th mobile phone in 1998, and then become the world’s largest mobile phone
manufacturers instead of Motorola.
4.2 On the Way of Professionalization and Being No. 1 (1998-2007)
The year of 2007 was Nokia’s collect year, since its worldwide advertise share come to 40%; in China, the
biggest showcase, the advertise share of this year was moreover more than 30% (Financial matters Modern,
Jan. 2012). So distant, in China and the worldwide advertise, there's no such insane information (Research
(2012) , n.d.). In any case, the wonderfulness of Nokia appeared to be drawing to a near amid this year.
4.3 From the Top to the Decrease and Last Securing of Microsoft (2007-
2013)
Nokia has endured an arrangement of assaults since 2012. It has been squeezed by numerous occasions,
counting a few arrive- stamp occasions Nokia declared 10,000 cutbacks universally on June 15, 2012, other
than Nokia sold central station building at 17 million euro on December 5, 2012; at long last Nokia sold the

5. company's portable phone trade to Microsoft on September 3, 2013 (China Internet Network Information
Center (CNNIC) , 2012).
5. Analysis of the Reasons for Nokia’s Decline
Nokia had a long history of manufacturing versatile phone, and not as it were its fabricating standard but
moreover its administration authority comes to a decently high level. Nokia as a versatile phone brand left
the organize of history and went over course of its mobile phone advancement. All through the history of
its advancement, I analysed Nokia’s decrease basically from the taking after three viewpoints.
5.1 Nokia’s Administrators Didn’t Grasp the Market Precisely
Within the confront of the changes of the market and buyer demand, Nokia still embraced the technology-
oriented and product-oriented methodologies to direct the innovation of items, proceeded to reinforce the
characteristic properties of Nokia mobile phone indiscriminately: for illustration, Nokia was attempting to
make its cell phone difficult to broken, then misused better approaches to amplify its battery’s life span,
and expanded the pixel of versatile phones to reach the cameras’ standard (Zheng, Z.Q., 2013) . The
administrators centre on items and innovation a parcel, so as to disregard that the requirements of shoppers
have changed with the advertise appearing distinctive characteristics (Wang, Y.W., Ma, J., Wu, X.F. and
Liu, S.C. , 2012). Decision-making that wasn’t based on consumer’s request lead Nokia not as it were to
partition itself from the advertise, overlook the genuine needs of customers, but too to do much sit out of
gear work.
5.2 There's a Deviation within the Business Strategy of the Company
The working framework of Nokia mobile phone was Symbian, which was exceptionally prevalent within
the machine age and did gain a parcel of showcase share for Nokia. In any case, within the period of smart
phones, Symbian’s downsides slowly developed and inevitably got to be the greatest prevent for the
development of the Nokia mobile phone (Yang. K. , 2013). Firstly, Symbian framework isn't congruous,
not as it were having the numerous incongruent adaptations, but too having no capacity of in reverse
compatibility, which lead to Saipan 7 application couldn’t run on Symbian 8, and expanded investigation
and improvement costs essentially. Besides, Saipan’s inadequacy such as handle set and clumsy issue
caused it not to back touch screen, mixed media and unused operation interface, which implied Nokia
portable phones were at a drawback within the keen phone advertise. At long last, Saipan’s demanding on
2G improvement didn’t adjust to current 3G improvement energy.

6. 5.3 Nokia Was Need of Collaboration
Any promoting methodology ought to ensure that the company and other endeavours may accomplish a
win-win circumstance. These days, attempting to control the market share of a certain industry through the
innovation restraining infrastructure to get tall profits was not conceivable within the setting of item and
benefit homogenization. The greatest mistake that Nokia made was denying to participate with other
portable phone producers in its trade prepare. Owing to Android framework was a completely open
framework, which can be connected to any phone, so distant numerous portable phone producers have
joined the Android camp, such as Samsung, HUAWEI, HTC, SONY Ericsson, Coolpad and ZTE, etc.
Numerous Android camp companies’ participation was not as it were sufficient to compete with Nokia, but
too may improve and improve the Android framework create more applications assembly wants of
customers (Yi, M. , 2011).

7. 6. SWOT ANALYSIS OF NOKIA:
 Strengths
 The greatest strength of the company is
their brand title.
 Most of Nokia’s exceedingly qualified
staff have joined up with Microsoft’s
specialists as a portion of the
procurement deal.
 The phones given by Nokia have a
much higher re-sale esteem compared
to other mobile phone brands.
 Many of Nokia’s items are simple to
utilize and are as a rule coupled with an
assortment of helpful accessories.
 Products advertised by the company are
accessible in all cost ranges
 Threats
The ultimate portion of SWOT analysis for
Nokia is the threats:
 Strong competition from other
smartphone companies will make it
hard for Nokia to preserve and grow
their market share.
 Low-cost dangers by China portable
companies and others can cause huge
issues.
 Opportunities
After talking about the inner components of
SWOT analysis of Nokia, let’s move our
center towards outside factors:
 The Microsoft-Nokia bargain could be
a win-win circumstance for both
companies.
 The bargain has an awesome
opportunity on the off chance that both
utilize assets in a legitimate way.
 Opportunities to grow the extend of
items and their costs.
 Moreover, bring in modern highlights
and applications on to Windows OS.
 Weaknesses
 The company, though, is frequently
criticized for destitute after sales
services.
 Took a long time to enter the
exceedingly beneficial and
booming smartphone advertise.
 Some of Nokia’s items are not
reasonable for centre and lower-
class shoppers, which frequently
influences their looks negatively.
 The Finnish versatile company has
made comparatively lower benefits
due to a drop in deals that result
from intense competition.

8. 7. PESTLE analysis of Nokia:
A brief examination of the Political, Economic, Social/Cultural, Technological, Legal and
Environmental, or PESTLE, conditions influencing Nokia can deliver us a glimpse of the
company’s potential future-
7.1 Political Variables Influencing Nokia:
Unlike a few tech companies, Nokia needs solid government bolster since it is based in a little
nation. This will both offer assistance and hurt the company since it isn't related with a major
control, but it might need the political influence of American- or Chinese-based rivals (nokia-not-
getting-finnish-government-bailout, 2015). This may constrain it to move generation to higher-
cost areas such as the Joined together States.
7.2 Economic Variables Influencing Nokia:
In specific, Nokia appears to need the research and development capabilities that have empowered
these companies to create modern gadgets and tap modern markets. One reason why it needs those
capabilities is that Nokia basically does not have the money to fund broad research and
developments endeavours like its competitors do.
7.3 Social/Cultural Variables Influencing Nokia:
The popular affiliation of Apple with smartphones in a few countries—such as the Joined together
States—has cut profoundly into Nokia’s showcase by making a generation of customers that as it
were purchase one brand. In more later a long time, Nokia has had to bargain with the well-known
misinterpretations that there are as it were two brands of smartphone within the market, Apple and
Samsung, and as it were two working frameworks: iOS and Android. This has kept numerous
clients from indeed considering Nokia products.

9. 7.4 Technological Variables Influencing Nokia:
Nokia has not been able to essentially tap the possibly profitable market for other sorts of versatile
gadgets such as tablets and wearable innovation (nokia-hit-ballmer-era-now, 2015). This seem
incredibly diminish its competitive edge within the future.
7.5 Legal Variables Influencing Nokia:
Nokia’s legal environment is greatly challenging since it works inside the European Union. That
body’s controllers have been examining Google’s use of Android for a conceivable antitrust case
(Simon Hill, April 30,2015). One conceivable diversion changer could be that popular Google
arrangements such as Gmail may well be taken off of Android, which might constrain its
popularity.
7.6 Environmental Variables Influencing Nokia:
A long-range challenge might be climate change made by global warming, which might disturb
transoceanic shipping and Nokia’s supply chain. Modern environmental laws in China outlined to
check nursery gasses seem increment generation costs in that nation and influence Nokia’s costs.
8. RECOMMENDATIONS FOR NOKIA:
In this rising time of quick advancements in innovation and science, there's a requirement for
organizations to encourage the development of investigating ponders to guarantee they in the long
run improve their item offerings in terms of quality. The buyer markets are habitually changing
their inclinations as the showcase characteristic alter as well as the rise of unused and inventive
items. As such, the Nokia Company must share within the usage of modern strategic measures that
would empower the advancement of operational and innovative policies for the eventual fulfilment
of the different client needs. In this manner, it may be a need for the organizational administrators
to get a handle on the advertise patterns particularly concerning the consumer demands and
acquiring behaviours to empower the fulfilment of superior deals and the maintenance of improved
market shares. To maintain a strategic distance from such decay in showcase share control as

10. demonstrated by the Nokia and Kodak Companies, it may be a need for the individual company
directors to integrate succinct strategies and methodologies into markets. These techniques and
ventures ought to be subject to succinct investigation to anticipate the event of the conceivable
outcomes of disappointment in this way hurting the development and development of the
company.
9. CONCLUSIONS:
The decline of the Nokia Corporation regarding the misfortune of market share to Samsung and
Apple is primarily a characteristic of the failure by the administration to study the essential
approach and techniques to control the showcase characteristics for their inevitable victory. Nokia
has control in major markets due to their well eminent market brand and notoriety thus the
fulfilment of item restoration requires the organization to create computer programs and equipment
that are mechanically conducive and competitive with other items. To conclude, the report
essentially considers it fundamental for Nokia to require few steps back and reconsider their
procedure rather than competing with organizations such as Apple and Google which are well set
up in the ICT markets.
10. References
China Internet Network Information Center (CNNIC) , 2012. China Mobile Internet Users Online Behavior
Research Report..
mobileinternet, n.d. 1. http://www.cnii.com.cn/mobileinternet/2013-09/03/content_1214896.htm.
nokia-hit-ballmer-era-now, 2015. [Online]
Available at: http://www.wired.com/2015/07/microsoft-takes-big-nokia-hit-ballmer-era-now/
[Accessed 3 june 2021].
nokia-not-getting-finnish-government-bailout, 2015. PESTLEanalysis Contributor. [Online]
Available at:
http://businesstech.co.za/news/mobile/16053/http://businesstech.co.za/news/mobile/16053/nokia-
not-getting-finnish-government-bailout
[Accessed 3 June 2021].
Research (2012) , n.d. China Mobile Network Retail Market Testing Report. 12.

11. Simon Hill, April 30,2015. EU vs Google: is there a case against Google?. [Online]
Available at: https://www.androidauthority.com/eu-right-bring-antitrust-case-google-603007/
[Accessed 2021].
Wang, Y.W., Ma, J., Wu, X.F. and Liu, S.C. , 2012. Introduction of New Technology, Organizational
Practice Update, Enterprise Competitiveness Research-Based on Nokia, Apple Case Comparison
Research. Science and Technology Management, , pp. 150-159.
Yang. K. , 2013. Nokia, the Giant Dying from the Advantage.. East China Science and Technology, pp. 62-
63..
Yi, M. , 2011. When Nokia Met Apple.. Business Management,, Volume Vol-12, pp. 60-62..
Zheng, Z.Q., 2013. Influence of Utilitarianism and Hedonism on Purchase Behavior in Mobile Phone—
Nokia and Apple as an Example.. Journal of Liaoning Medical College, Volume vol-10, pp. 50-52. .