Product details

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Abstract

In mid-2004, Nokia faces stagnant revenues and falling market share. Olli-Pekka Kallasvuo, Nokia''s new Chief Executive Officer, undertakes several initiatives to increase Nokia''s market share and revenue growth. He pushes snazzier products to market faster and works towards bringing out more models that appeal to status and trend-conscious buyers. To make up for a shortage of flip phones, Kallasvuo turns to outside manufacturers in Taiwan. To overcome the difficulty of making different handsets for individual operators without a reorganisation of its logistics chain, Nokia decides to customise handsets through software rather than hardware modifications. Nokia has also agreed to operator customisation. It is committed to including Wi-Fi (wireless fidelity) in virtually all future devices from its multimedia and enterprise products groups. It is also offering FM (frequency modulation) radio in some phones. Next on the cards is digital TV, new variations of 3G (third generation), support for RFID (radio frequency identification devices), and faster alternatives to Bluetooth. Kallasvuo wonders if Nokia should focus its research and resources solely on cellular technology or should it invest in various alternatives to cellular phones.
Industry:
Size:
EUR29.6 billion
Other setting(s):
2000-2005

About

Abstract

In mid-2004, Nokia faces stagnant revenues and falling market share. Olli-Pekka Kallasvuo, Nokia''s new Chief Executive Officer, undertakes several initiatives to increase Nokia''s market share and revenue growth. He pushes snazzier products to market faster and works towards bringing out more models that appeal to status and trend-conscious buyers. To make up for a shortage of flip phones, Kallasvuo turns to outside manufacturers in Taiwan. To overcome the difficulty of making different handsets for individual operators without a reorganisation of its logistics chain, Nokia decides to customise handsets through software rather than hardware modifications. Nokia has also agreed to operator customisation. It is committed to including Wi-Fi (wireless fidelity) in virtually all future devices from its multimedia and enterprise products groups. It is also offering FM (frequency modulation) radio in some phones. Next on the cards is digital TV, new variations of 3G (third generation), support for RFID (radio frequency identification devices), and faster alternatives to Bluetooth. Kallasvuo wonders if Nokia should focus its research and resources solely on cellular technology or should it invest in various alternatives to cellular phones.

Settings

Industry:
Size:
EUR29.6 billion
Other setting(s):
2000-2005

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