how nokia failed in the market?

How & Why NOKIA Failed?

Hey guys, I am Rishabh Gupta welcomes you with my new article which is related to mobile phones “Case Study Of Nokia“.The founder of the phone was the Fredrik Idestam, Leo Mechelin and Eduard Polon. As all, we know Nokia was established in Finland in 1865.it was dealed in different types of businesses like- communication, Information technology, Consumer Electronics and day by day it became a world’s biggest mobile company and it was said to be a father of mobile phones because in that century any company had not able to compete with them.If you also want to read the case study of kodak then click here.

nokia

HISTORY OF NOKIA FROM MILL TO ACQUIRED BY MICROSOFT

Mining engineer Fredrik Idestam startup a wood pulp mill at the Tammerkoski Rapids in south-western Finland.The Nokia name was born, inspired by the Nokianvirta river on the banks of which Idestam opens a second mill.Eduard Polon founds Finnish Rubber Works, which later becomes Nokia’s rubber business, making everything from rubber boots to tyres.Nokia was created radio telephone company Mobira Oy as a joint venture with leading Finnish TV maker Salora.The launch of the Nordic Mobile Telephone service, the world’s first international cellular network, and the first to allow international roaming.

nokia mobira senator

  • In starting 1982 it was created very heavy mobile phones. which was 10kilograms in weight.whose name was Nokia mobira senator, which was the first car phone.

nokia mobira talkman

  • First transportable phone In 1982 they improved them and created a  Nokia mobira talkman phone, which can be used in car and as well as outside the car also and also reduced the weight of phone by 5kilograms.

nokia mobira

  • In the year of 1987, they were doing a great job because they created a first movable phone.Whose name was  Nokia mobira city man and also reduced the weight of phone to only 800grams. And the sale of this phone increased day by day and it became a world’s biggest mobile company.

nokia gsm phone

  • In the year of 1991, Harri Holkeri Prime minister of Finland was the first person of who makes the first GSM call with the phone of Nokia.

 

  • In the year of 1992, they launched their set 1011, and very rapidly they spread in Europe and U.S market.which gives them huge high sales curve.

 

  • But in the year of 1994, they launched their 2100 series phones.These series phones give them a High iconic growth, Nokia assumed that to sell 4lac phones in the market but they sold 2crores phones in the market.They predicted that the users of mobile handset in the world were 40millions but users were 250millions and the sales graph of Nokia reaches the top.

 

  • And in the top, most 50 brands of phones in the world included the first 20s handsets of Nokia.The handset of 1100 & 1110 covered the 70% of market share in India. And Nokia becomes the biggest brand in the phone market.

HOW NOKIA FAILED?

            1.  Nokia moves too slowly-

Nokia was an explorer in the smartphone market, literally introducing consumers to the smartphone with its initial Symbian Series 60 devices in 2002. For the next five years, Symbian phones had little trouble maintaining a leadership position in the smartphone pack.They didn’t make the leap of faith onto Windows Phone until 2011. Now they are suffering from their slow response. Android proved that software matters more than hardware.  Nokia was slow to respond to these trends

In 2007, Apple introduced its iPhone. With the full touchscreen and app-based operating system, the iPhone changed the very definition of what a smartphone should be.but Nokia failed to respond to the iPhone and the shifting consumer demand that came with it.On the other hand, Samsung also changed them with the change of consumer taste and preference.Samsung chose Android at the right time, and it benefited from the maturation of that platform.

 2.  Hurting From both Sides-

In 2008, brands like Samsung, HTC, and Sony found roots to extend their market.  Samsung’s Android phones are user-friendly and budget friendly too.  When every manufacturer is busy in making touchscreen mobiles, Nokia felt that touch wouldn’t have a scope in the near future but customers overwrote their expectations. Nokia’s entrance into Windows platform is quite late  Finally Nokia gave up to a 7.1 billion to Microsoft.

 3.   Failure of Symbian OS-

Nokia launched its Symbian 60 series in the year 2002 which initially had a good market response.  The introduction of Apple iOS in 2007 and Android in 2008, the OS race was completely taken over by the two giants. The reasons for the collapse of Symbian OS is lack of applications and UI (User Interface).  After facing competition from iOS and Android, They continuously tried to improve their Symbian OS but was not creating something unique.

 4.   Wrong Deal with Windows-

The company made the biggest mistake of trust in Windows in 2011. At that point of time, the company already was in declining condition and trusting Windows which was new in the field to regain its status was the biggest mistake the company made.  All these phones which the company launched were comparable to other competitor devices but OS was the problem which leads to the ultimate collapse of the company.

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