Long history of successful change and innovation Adaptable to shifts in markets and technologies.

1. NOKIA CASE STUDY
KEERTHANA B S
SOWMYA C L
AKSHAY M R
GAWLI SOPAN BALIRAM
SHARAN G
VARUN B
SAMBIT MISHRA
SUBMITTED BY :

2. Nokia History
 Long history of successful change and innovation
Adaptable to shifts in markets and technologies.
 Humble beginning
One Paper Mill
Cables
Paper Products
Industrial Electronics
Telecommunication

3. Timeline
1960
• Nokia first entered the telecommunications equipment market
• Electronics department was established at Finnish Cable.
1967
• Nokia took its current form as Nokia Corporation
• rubber, cable, forestry, electronics and power generation.
1982
• Nokia introduced the first fully-digital local telephone
exchange in Europe.

4. 1990
• Nokia made a strategic decision to make telecommunications as a core
business.
• Goal of establishing leadership in every major global market.
1991
• The first GSM call was made with a Nokia phone over the Nokia-built
network of a Finnish operator called Radiolinja.
1998
• Nokia was the world leader in mobile phones, a position it enjoyed for more
than a decade
2011
• Nokia joined forces with Microsoft to strengthen its position in the highly
competitive Smartphone market.

5. Nokia’s Entry in India
• Nokia entered India in 1995.
• Nokia’s arrival came a year after India’s telecom sector
opened up to private companies and the first cellular
services licenses were given out.

6. Nokia Success story
• First Indian ringtone “Saare Jahan Se Accha”– on
a Nokia 5110 handset.
• The ring tone was popular at that time.
1998
• Introduced its first phone with a user menu in
Hindi, in Nokia 3210 handset.
2000
• Introduced its first camera phone – Nokia 7650.2002
• Introduced its Nokia 1100 – the company’s first
made-for-India phone.
2003

7. • Nokia introduced text messaging in Hindi.
• Introduced the first Wi-Fi enabled phone – Nokia
Communicator N9500
2004
• User interfaces in other Indian languages.
• First firm to set up a manufacturing unit for mobile
phones at Sriperumbudur, Chennai.
2006
• Launched its first regional news portal in India
• In May 2007, Nokia chose India for the global
launch of its handset – Asha 501.
2007
• It launched Nokia Life – information tools on
mobile phone handsets – for the first time in India.
• Nokia had 500 million mobile subscribers in
India.
2009

8. Strengths
1. Experience
2. Largest network of selling & distribution
3. Strong customer relation
4. The biggest strength of the company is their brand name.
5. Wide range of products for all class
6. High Resale value compared to other competitors
7. Durability
8. Long battery life

9. Weakness
1. Low voice quality.
2. Less stylish in low priced products.
3. Heavy sets.
4. Unlike I phone apple, Nokia N97 is complex, tough and not
user friendly.
5. Took a long time to enter the highly productive and booming
Smartphone market.
6. Some of Nokia’s products are not affordable for middle and
lower class consumers.

10. Opportunities
1. New growth markets.
2. Well designed and styled sets.
3. Increase their presence in 3G & edge market
4. Mini notebooks
5. The Microsoft-Nokia deal is a win-win situation for both
companies. The deal possesses great opportunity if both
utilize resources in a proper way.
6. Opportunities to expand the range of products and their
prices. Also bring in new features and applications on to
Windows OS.

11. Threats
1. China mobiles – It has made exact copy of Nokia N96 and they
provide more features in less cost.
2. Sales may decline due to global economic downturn
3. Strong competition from other Smartphone companies will
make it hard for Nokia to maintain and expand their market
share.

12. SWOT Analysis of Nokia Models

13. Failures Of Nokia
 Failure of Symbian OS : - lack of applications and UI (User
Interface).
 Wrong Deal with Windows : - Windows which was new in the
field to regain its status was the biggest mistake the company
made.
 NOKIA Became Laggard in Smartphone Market : -
Stiff competition from Samsung and Apple, and
lack on focus on innovation was the big reason
of collapse.

14. Contd…
 Failure to Implement the Right Umbrella Branding Strategy:
Apple was the first phone to use the strategy of umbrella
branding using iPhone as an umbrella brand and then building
subsequent models each year. Samsung was quick in identifying
this concept and they started building their high end phones with
Galaxy S series.
 Nokia on the other hand used an umbrella brand in the N series
and recently the Lumia series, but they failed to create buzz
among customers

15. Make In India
A major new national program. Designed to facilitate investment.
Foster innovation. Enhance skill development. Protect intellectual
property. And build best-in-class manufacturing infrastructure.
There's never been A better time to make in india.

16. Wow ! Made In India
1. Giant assembly plant of VIs and component suppliers, by hand
with cheap labour
2. 8,000 full time jobs out of a figure of 30,000 ; mostly women
3. Effective transportations cost, flown via cargo jumbo jets
4. Jijits and widgets from Shenzhen and Dongguan in China
5. India production share ; cardboard packets i.e. less than 5% of
unit cost
6. Even components as simple as keyboard and charger and
other low tech items are not in fortune of Sriperumbudur
plant.

17. Sriperumbudur Plant Assets Freeze

18. Timeline Of Chennai Issue
8-Jan-13
• India’s Income
Tax department
inspects the
Chennai factory
21-Mar-13
• The Income Tax
Department issues Rs
2,080 crore tax
demand (later
rectified to Rs 2,649
crore) on Nokia India.
17-Apr-13
• The Delhi High court
asks the Income Tax
Department to re-
examine its claim
against Nokia and not
to take any further
coercive action.

19. 8-May-13
• At Nokia India’s
request, Finland
invokes the Mutual
Agreement
Procedure (‘MAP’)
under the DTAA,
asking the
competent
authorities in India to
seek an agreement
on the application of
the DTAA
31-May-13
• The
Commission
er of Income
Tax
(Appeals)
dismisses
Nokia India’s
appeal
3-Sep-13
• Nokia
announces
that it
intends to
sell its
Devices &
Services
division to
Microsoft
25-Sep-13
• India’s
Income Tax
Department
freezes all
assets of
Nokia India

20. 12-Dec-13
• The Delhi High
Court agrees to
unfreeze Nokia
India’s assets in
return for the
deposit of Rs
2,250 crore into an
escrow account
12-Feb-14
• Nokia India
announces it will
appeal the
decision of the
Delhi High Court
to the Indian
Supreme Court
14-Mar-14
• India’s Supreme
Court dismisses
Nokia India’s asset
freeze appeal,
allowing the Delhi
High Court order
to stay in force.

21. 21-Apr-14
• Nokia confirms
that the Chennai
factory will be
excluded from
the Microsoft
deal, due to the
asset freeze
imposed by the
Income Tax
Department
25-Apr-14
• Nokia globally
completes the
sale of
substantially all
of its Devices &
Services
business to
Microsoft.
6-Oct-14
• After Microsoft
ends its
transitional
services
agreement (TSA)
, Nokia
announces from
November 1
operations will
be suspended
31-Oct-14
• The last
working day
of the
Chennai
factory.

22. Conclusion
 Nokia has been an industry leader for many years however the
market has changed quickly and Nokia must right itself.
 There is a significant risk for Microsoft it should deliver a world
class OS or otherwise the customers will turn to Apple and
android.
 The main reason for why Nokia Can’t MAKE IN INDIA
is the Chennai Scam.

23. Thank you
