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Nokia

            NOKIA AND THE CELLULAR PHONE INDUSTRY .
            
             The case is situated in the spring of 1994 when Nokia just finished a successful year with an increase of more than 70 % of the profits and forced to many of their competitors to shut down or sell out.
             The phone industry was increasing with a presence on more than 90 countries with cellular services.
             With the support of the Nordic governments of this area was the first to establish cellular services, with a penetration rate of up to 10% and other countries adapt these technology (like France, Spain and Austria among others). Take in consideration that Germany only had a 2.47% and USA 6% of penetration. The dominant producers were Ericsson (Sweden) a Nokia (Finland) that also produce Infrastructure for cellular services.
             The expectation of the market growth were to move from 1993 with a 33 million of subscribers to the predictions in the year 2000 with a 100 to 170 millions of subscribers. But the great uncertainty was the price level, versatility of the product, ease to use and the service of the carriers.
             SWOT Analysis.
             Strengths.
             - Assembling factories into countries of low-wage.
             - Flow of communication (all employees involve in the process).
             - Adapt to different standards.
             - Flexibility of the company.
             - Products with added value.
             - Brand getting notoriety.
             - Fast development into new technological challenges.
             - Costumer oriented.
             - High knowledge (R&D) and experience.
             - Supplier of Infrastructure .
             - Choice to expand in all markets.
             Weaknesses .
             - Process integration was not vertically.
             - Problems into establish in distribution channels.
             - Organizational defects due to pressure with the employees.
             - Image that was a Japanese brand.
             Opportunities.
             - OEM contracts.
             - Alliances and agreements with other companies.
             - Agreements with governments.
             - Emerging markets (China, India).
             - Predictions to increase with new users.
             Threats.
             - Technology change very quickly.
             - High competition.
             - Uncertain environment and diversity.


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