|← McCann-Erickson Worldwide, Inc.||Business Economic Introduction →|
Custom Marketing Plan of Nokia essay paper sample
Buy custom Marketing Plan of Nokia essay paper cheap
Introduction: Nokia is well known and world known company for mobile devices and in congregating communication and integrate industries. They have branches in 120 countries and sales in 150 countries with 128,445 employees. The operating profit of this world?s largest mobile manufacturers is 5.0 and 37% of market share according to Q1 2009. For every market segment and protocol they introduce mobile devices of different technology like W-CDMA (UMTS), CDMA, and GSM. Nokia Siemens network make services and solution along with telecommunication network equipment. They are providing digital map information and internet services through owned subsidiary. This popular public liability company listed on stock exchanges of New York, Helsinki, and Frankfurt. Nokia is a very important employer in Finland and plays very vital role in the financial system of Finland. In fact as a partners and sub contractors of Nokia Company, very small employers grown high in very short period. In the year 1999 GDP of Finland increased more than 1.5% by Nokia and in the year 2004 it was 3.5%. Hence Nokia is ranked as a best Finnish employer and best Finnish brand. Nokia occupied a fifth place as a valuable global brand in the list of Interbrand/BusinessWeek?s best global brands 2008. And it?s a first non US company ranked in the list. In the year 2007 it is a number one brand in Asia and in Fortune's World's Most Admired Companies list of 2009 Nokia considered as 42nd world?s admirable company. According to AMR research Nokia supply chain ranked sixth in the world and third in network communication. In case of environmental issues Nokia holds a superior track of record in restraining the usage level of toxic chemicals in their products. Those records are approved by Greenpeace environmental organization. Comparing to other electronic brands Nokia highly reduced impact on climate change and strongly supporting recycling of electronic waste. In 11th Greenpeace Guide Nokia company obtained first place with improved score. Executive Summary: As a result of Nokia?s recent organizational restructure there was a change in strategy, mission and goal of Nokia Company into precise objectives. Nokia stated that ?Our goal is to be a good corporate citizen wherever we operate, as a responsible and contributing member of society. We take part in long-term projects aimed at helping young people create their own place in the world, for example through our global youth programs.? To achieve this goal they following this mission statement ?By connecting people, we help fulfill a fundamental human need for social connections and contact. Nokia builds bridges between people ? both when they are far apart and face-to-face ? and also bridges the gap between people and the information they need.? In order to pursue its mission and to achieve its goal they implementing the strategy of ?Expand mobile voice, drive consumer multimedia and bring extended mobility to enterprises.? However Nokia has a very limited product line but when considering development and research areas, manufacturing and service portfolios it?s an impressive company. It can be implicit that mobile phone market is lucrative. The sales rate of Nokia in the year 2003 is $37.1 billion and profit is about $4.53 billion along with the phone industry market share of 35%. The patent technology is very vital to the opulence of Nokia. The advanced mobile technology of Nokia includes information transfers through blue tooth, wireless internet capabilities and data synchronization. The cutting edge technology of Nokia in imaging, video, audio, browsing and in mobile instant messaging made them contrast from their competitors. Hence they are pioneers in the mobile phone capabilities. The employment opportunities are very vast in Nokia organization and they are offering position to talented people of all educational level. Competitive Analysis: Nokia suffers huge competition from the Mobile Manufactures like Sony Ericsson, Motorola, Siemens, Panasonic, Sagem, NEG and Toplux. These manufacturers are having the technology in their hand and providing the mobile at the cheapest prices. However the customer care of Nokia is extremely providing the incomparable service to their customer base. Nokia is also getting fresh new competition from the Google and Apple. These companies are branded companies in 3G technologies available in the market. Smart Phone is the latest buzz in the mobile industry that spreads around for quite some time. Nokia launches the new touch screen mobile phone 5800 XpressMusic. This is the first touch screen model released by Nokia. Nokia VP Jo Harlow said that, ?By adding the benefits of touch-screen technology to S60, the world's leading smartphone interface, Nokia is taking the familiar and giving it a human touch,? However there is not considerable threat to Nokia, as the market share of Apple iPhone 3G is somewhat small. Nokia?s 5800 are based on the S60 Platform and it is operated using the operating system called Symbion. This is not a new operating system in the market. It is also used by other mobile manufactures like Samsung, Panasonic and LG. Nokia should consider the importance of introducing the mobiles having different variations from the previous releases. Nokia released its first touch screen after the long release of LG only. Nokia is the big player in the Mobile industry for the past 10 years, but they are not eager to experiment things. Other competitors like LG, Samsung released the touch screen as soon as their entered into the mobile industry market 1. Nokia have to concentrate on making the mobile based on the open platform. And the other thing they have to cope up with market expectations.Internal Analysis: Internal Analysis of Nokia mainly based on the Market-led and Resource based approaches and Planned and emergent approaches. Market Led Approaches are based on the changes in the market and the resources that Nokia having in their hands. In this approach, the situation of the market needs to be watched carefully and implemented in the Marketing and strategic plans of Nokia. This plan is considered as emergent where the implementation is made upto date. Planned Approaches will be very useful when the company introduces new product into the market. Market study of the new product must be made to get to know that this product is released in the right time. Competitive study also will be made to know about the survival of the product. Internal analysis must be made to know about the strengths and weakness of every department in the Company. These type of analysis helps to study the growth of the company 7. SWOT analysis: SWOT is expanded as the Strength, Weakness, Opportunity and Threat. These parameters are needed to study the market scheme of any company. Nokia Strength is the Popularity of the Company. It is the most preferred mobile in any country. It has the sale of 52,000 in the year 1997 and it is the 34% increase from the previous year 8. Weakness is considered to be the internal factors. Weakness comes into play while the product is failing in the Market. It is the obvious reason that weakness or loss in only incurred by analyzing the product only. Below are some of the weaknesses of the Nokia?s Product 9. 1. They are only targeting their product at a drenched market sector. 2. Their salary cost is rising forever. 3. Some of the countries placing high tax for the imported products and no tax cut for the Nokia mobile phones 10. 4. Supply chain cost is increased considerably and it is incurred in the cost of the product. 5. Nokia is loosing its reliability among the customers. It?s not a big decline but in the future it may give big worries for Nokia. Opportunity is the other main parameter that gives you more focus about what are all the external factors that can be added to improve the performance of a company. Nokia?s External Factors are mainly depends on two things, they are, 1. Concentrating on the more advanced version of mobile phones will give good sale to the Nokia. Nowadays customers are looking for mobile phones which are highly competitive to the Apple?s iPhone 3G. Nokia Simplicity makes the customers to expect more from them. They are expecting phones like Blackberry from Nokia. In more simple terms, customers are expecting a phone that exactly works like PDA. 2. Innovation is the key thing for every business to grow upwards in the market. They have to continuously reinvent the strategies and give the customer something new. They have to think and innovate some new ideas that none of the competitors failed to provide. 3. Another Important opportunity is the reduction in cost of the call charges in many countries provides the opportunity to Nokia to sell more products. Threat is also one of the external factors to effectively analyze the Companies situation in the Market. Nokia?s development is hampered by the Loosing Market Share and the legislations prevailing in most countries. To get a 3G License in Europe, A company have spend to 110 billions euros. This extreme high cost will hamper the development of the Nokia?s entry into the 3G arena. Below are the Key threats to Nokia 14. 1. Market Penetration ? The main purpose of the market penetration is to sell the current products into the current market. Nokia have to change some things to adapt this method. They must change the pricing scheme to match the competitor?s price. They have to introduce some discounting. There must be a different approach to the advertising formula. 2. Market Development ? Nokia?s Market development to achieve the complete development effectively. They have to find the new market to sell its product, if the market attains the saturation level. Changing the times of the Television ads and changing the place of the print ads will give some results effectively. 3. Product Development ? Since from the launch of the particular product, the product must be continuously updated with the current technology. Nokia stopped some products after the poor performance in the market. However some of the products of Nokia are still in operation and also in Manufacturing. They need to update with the latest technology and make them appealing to the large customer base. 4. Diversification ? Nokia have to contribute something different to the customer. This is the most common way of getting the desired Market and also it leads to the high profits 15. Executive Summary of Nokia: In sector of mobile technology inorder to attain the latent improvement it is necessary for an organization to properly influence the power of new model and in expanding the breed of mobile solution. By providing high quality service at the fast turn around time an organization can easily override the competitors. Similarly, communication and frequent interaction between employees, partners and customers improves the work quality within short period of time. For an immediate crucial action communication between the officials is very vital to access the information effectively. However success of the company is completely based on the availability of information to the employee and his effective accessibility of particular information. In such case mobile technology is very useful for a team conference and meeting even though members are in different countries or buildings. Mobile technology improved the possibility to interact with back end employees directly. So the company can make a competitive edge in cost-efficient and productive manner. An organization can opportunistically meet the ongoing needs by mobilizing the operations and process of existing business application and widening the resource and infrastructure to mobile work force. Nokia realized the situation of ?hidden mobile workforce? in most of the companies. And a recent survey by Simpson proved that 24% of employees using mobile technology for instant communication. In fact employees are very eager to use the in built facilities of nokia mobile phones for official use like to access company emails. Now it can be assumed that mobile technology deployed the organization beyond the planning stages, for good connectivity among the employees either via emails or voice. Marketing Objectives of Nokia: Because of the Successful marketing plan, Nokia has reached all over the world. The objectives of marketing plan should be clear and legitimate. Below are some of the main objectives of Nokia, 1. Customer satisfaction: In every business customer satisfaction is very important. Nokia has taken utmost care to find out whether the product has given 100% satisfaction. Even they conducted some research regarding the customer satisfaction and expectation. Those results prove to be good for Nokia. 2. Customer perception: Before buying the product of any branded company, the customer may have some perception about the product. Similarly Nokia tries to catch the perception of a customer through various feedback systems. Customer can interact with the nearest store and get some ideas about the Product. 3. Customer needs and expectations: Satisfying the customer needs and expectation is the main goal of any branded company. Nokia spent some time on this to develop products according to the Customer expectations. It is totally a waste of time, if you cannot manufacture according to the customer needs. 4. Generating income or profit: Every organization needs to be function only if they are getting sufficient profit from the business. Obviously providing quality service is the main objective but without money you cannot provide quality service. Getting high returns will also satisfy your shareholders as well as it will provide the opportunity to get more investment on the Nokia. 5. Be aware of the environment: Every organization must have a look around the environment to perceive what is happening in the market. Nokia has given some high priority to this issue. Some of the key things are mobile technology advancement, slow down of the market, rapid growth of the market, updating the mobile technology news, saturation level in the market and changing trends with the market. Targeting and Positioning of Nokia: Targeting the potential customer is the main target of the every marketing plan. Positioning is placing the product in the different types of population. The process of identification of the potential customers is the main thing that needs to be done to sell the product. Nokia has also some serious concerns to choose the right target audience. They chose the youth market that is falling between the ages of 13-19. They conducted a research that the youths receiving lot of packet money and they are not having any commitments to spend that money. So they can easily buy mobiles from the pocket money. Nokia is branded company and can able spend lot of money on promoting and advertising the product. However companies smaller than Nokia cannot able to afford big amount for the ads. Television ads gives good results buy it must be played at right time to attract huge number of audiences. Nokia has also had the idea of targeting the business people. For this reason Nokia conducted some events to promote the product among the businessmen?s. They placed the ad in television and banner where the large number of audience can get view the ads. Nokia spreads the product also in the magazines. Particularly in men?s magazines, because the large amount of Nokia Phones are bought by the Men?s. Nokia?s targeting and positioning is been good. It contains the mix of attracting the large viewers as well as they are attracting more specific ones. By following this method, Nokia?s marketing won?t let them down in any recession. Selection of Competitive Advantage: How Nokia outperformed its competitors? Cell phone has been one of the important aspects of our day to day life; it has made life so easy for us. Cell phone has become necessity for each and everyone to communicate between each other. There are several companies which offer cell phones such as Nokia, Samsung, Sony Ericisson, LG, Motorola, Reliance, Tata, Apple, Blackberry and the list goes endless. Despite of heavy competition how could Nokia able to outperform its competitors in all aspects. Where it started? Nokia started its initial production in Finland slowly but steadily it has diversified its business throughout the world. Nokia secured a separate place in India where none of competitors could overcome them since its launch. A survey says that in India out of 4 people 1 has a mobile phone which clearly shows the need for the mobile phone. What makes Nokia special? The reason why most people wish to be a part of Nokia is it is user friendly even a layman could easily work on the phone and could learn the features easily. Nokia provides something for everyone starting from the price, features, design etc. These cell phones are economical, easy to use, and they provide good customer care support which is also a key aspect for the success over their peers. Nokia?s caption says ?connecting people? yes they do act as a bridge when people are far apart.