INTERNATIONAL MARKETING AND

NOKIA
VISION STATEMENT
"Connecting people" is now connecting
people to what matters - whatever that means
for each person - giving them the power to
make the most of every moment, everywhere,
any time. Connecting the "we" is more
powerful than just the individual. That's how
Nokia is needed to help make the world a
better place for everyone.

GOAL
To become the leading provider
of mobile solutions.
CORPORATE STRATEGY
Our solutions strategy leverages one of our greatest
assets - a portfolio of outstanding devices, with
unmatched scale and geographic reach. We couple them
with smart services, integrated via an intuitive and
seamless user experience. We differentiate these
solutions offerings based on our in-depth consumer
understanding, with a strong focus on social location
(people and places).
In a world where connecting people to what matters,
empowers them to make the most of every moment. Our
ambition is to become the leading provider of mobile
solutions.

ORGANIZATION STRUCTURE

ORGANIZATION STRUCTURE
Nokia has designed its organizational structure to position
itself for a world where the mobile device, the Internet and
the computer are fusing together.
Mobile Solutions - Responsible for developing and managing
Nokias portfolio of smart-phones and mobile computers.
Development of a world-class suite of internet services under
the Ovi brand, with a strong focus on maps and navigation,
music, messaging and media.
Mobile Phones - Responsible for developing and managing
portfolio of affordable mobile phones, as well as a range of
services that people can access with them.



ORGANIZATION STRUCTURE
Markets Manages supply chains, sales channels, brand
and marketing activities, and is responsible for delivering
mobile solutions and mobile phones to the market.
Nokia Siemens Networks - Jointly owned by Nokia and
Siemens, provides wireless and fixed network
infrastructure, communications and networks service
platforms, as well as professional services to operators and
service providers.
NAVTEQ - Leading provider of comprehensive digital map
data and related location-based content and services for
automotive navigation systems, mobile navigation devices,
Internet-based mapping applications, and government and
business solutions.



History
Nokia Corporation is a Finland based
multinational company.
Founder - Fredrik Idestam in 1865 (145
Yrs)
Headquarter - Keilaniemi, Espoo, city
neighboring Finland's capital Helsinki.
CEO - Olli-Pekka Kallasvuo & Chairman -
Jorma Ollila.
Started their business as manufacturer of
paper.
Contd
In 1898, Finnish Rubber Works became a part of the
company.
In 1912, Finnish Cable Works was founded which
became foundation for Nokia's cable and electronics
businesses.
In 1960,Cable Works establishes its first electronics
department, selling and operating computers.
In 1967, Nokia Ab, Finnish Rubber Works and Finnish
Cable works formally merge to create Nokia
Corporation.


Contd
In 1979, Radio telephone company Mobira Oy began
life as a joint venture between Nokia and leading
Finnish television maker Salora.
1981 was beginning of mobile era as Nordic Mobile
Telephone (NMT), the first international mobile phone
network, is built.
1987: Mobira Cityman birth of a classic
Nokia launches the Mobira Cityman, the first
handheld NMT phone.
1991: Nokia equipment used to make the worlds first
GSM call.

NOKIA in India
Entered in 1994.
Nokia 2110 first ever GSM cell.
Operating office New Delhi, Mumbai, Kolkata,
Bangalore, Hyderabad, and Ahmadabad
The Indian operations handsets and network
infrastructure businesses
R&D facility in Bangalore, Hyderabad and
Mumbai
10th manufacturing facility in Chennai,
employs over 4100 people.

Initial Obstacles
When Nokia entered India , telecom policies were
not conducive for growth of mobile phone
industry.
Tariffs levied on importing mobile phones were as
high as 27%.
Usage charges Rs.16 per minute. At such high
rates, consumer not willing to buy mobile phones.
Competition from other powerful global players
like Motorola, Sony, Siemens, Ericson.
Huge Opportunity..

India is second largest market after China.
Today 6-7 million new subscribers every
month.
Indian consumers tend to change their phone
very fast.
GOAL
Nokia Corporation is a Finland based
multinational company.
Founder - Fredrik Idestam in 1865 (145
Yrs)
Headquarter - Keilaniemi, Espoo, city
neighboring Finland's capital Helsinki.
CEO - Olli-Pekka Kallasvuo & Chairman -
Jorma Ollila.
Started as manufacturers of paper and
later entered in electricity generation,
rubber and cable manufacturing.
6
15
INDUSTRY OVERVIEW
Number of mobile subscribers in INDIA has crossed the 650
million mark. It is projected that India will have 1.159 billion
mobile subscribers by 2013.
Mobile telecommunications system in India is the second
largest in the world.
Mobile phone production in India is expected to grow from 51
million units to 110 million units by 2011.
Handset Market Share
Nokia: 52.2%
Samsung: 17.4%
LG : 5.9%
Others: remaining





4 Ps




Product





Standardization/Adaption
FACTORS INFLUENCING
STANDARDIZATION





FACTORS INFLUENCING
ADAPTION
High Adaption Cost
Convergence & Similar
Tastes
Similar Urban
Environment
Centralize Control
Country Of Origin Effect
Economies of Scale
Economies in R&D
Economies in Marketing
Difference in Technical
Standards
Consumer and Personal Use
Product
Variation in Needs & Use
Conditions
Ability to Buy
Cultural Differences
Influence of Govt
PRODUCT - NOKIA
Focus on quality of core product Handset.
User friendly handsets.
Innovative to add features.
Started with bulky and quite unattractive sets but switched to
sleek and stylish.
Keep bringing new models and abolish the earlier ones.
Accessories that consumers buy with hand sets - carry cases,
hands free kits and in-car chargers.
Mini laptops On August 24, 2009, Nokia announced that they
will be entering the PC business with a high-end mini laptop
called the Nokia Booklet 3G.





NOKIA AS BRAND
Value Change
From Last Yr
COMPANY LOGO
NOKIA
Company
logo,
1966.
"Connecting
People" slogan,
invented by Ove
Strandberg.
Product Life Cycle




Introduction -
Morph concept
Growth - Nokia E- series
Maturity - Nokia Symbian
& N- Series
Sales curve
Decline
Nokia 30 & 40 Series
Time
PRICE DECISION





Pricing
Decision
Pricing
Policies
Standard Price Policy
Two Tired Policy
Market price
Dumping
Sporadic Dumping
Predatory Dumping
Persistent Dumping
Reverse Dumping
PRICE - NOKIA
Market skimming Launching of Camera
Phones
Penetration Pricing Low cost handsets
Competitor Based Pricing
Price range to cover all segments.
Finance option available.






PLACE
International distribution should address-
1) Proper selection of channels of distribution
2) Selection of transportation mode








Distribution Issues & Decisions
Channels of
Distribution
Indirect
Selling
Direct
selling
Modes of Transportation
Market
location
Speed Cost
Indirect Selling






Manufacturer
Internal Export
Dept
Company selected
Foreign Distributer
Retailer/ End User
Direct Selling






Modes of Transportation






PLACE - Nokia
Nokia established a formidable distribution
network that reached over 25,000 dealers - a
network that is about 3X the size of Samsung's,
6X that of Sony-Ericsson's and one-fourth of
Hindustan Lever.
Mobile phone dealerships NOKIA Priority
Retailers and electronic suppliers.






PROMOTION
Advertisement





Language Differences
Government Controls
Availability
Economic Differences
Cultural Diversity
Coded Messages
by International
Marketer
Decoded
Messages by
Foreign Buyer
Constraints on International Advertising
Personal Selling
Making sales on the basis of personal contacts.
Used at every distribution level.
High cost.
Should be emphasized when
Personal attention is required due to high unit value.
To develop a measure of confidence in a customer.





Sales Promotion
Consists of a collection of short term incentive
tool e.g. samples, coupons, price-offs, prizes,
warranties etc.
May be used to get middlemens support too.
Used for new of existing products of low unit
value.
May be effected by psychological barrier.





Public Relation
Involves programs to promote companys
image or product.
To create belief that company is a good
corporate citizen, reputable & can be trusted.
Plays an important role in product launching,
repositioning a mature product, defending
product, and win political allies.





PROMOTION - NOKIA
Advertisement based on targeted segment.
Electronic and Print media TV,magazines.
Targeting different segments Youngsters,
Business Executives, Rural Customers, Music
Based, Gaming Based.
Publicity and Public relations Event
Sponsorship
Hires leading film stars as brand ambassadors-
Shahrukh Khan, Priyanka Chopra.





Nokia had pursued a cost leadership strategy in India,
looking for various ways to cut costs including setting
up a manufacturing base for handsets in India,
creating financing options for cell phones and working
with cellular operators to reduce airtime costs.
Nokia has preferred to work with distributors
associated with dealers of fast moving consumer
goods (FMCGs) and consumer durables. Many of
Nokias regional distributors were former FMCG
middlemen who found the margins in the mobile
phones business more attractive.


Joint Venture
Nokia Siemens Networks is a joint venture between Nokia
and Siemens AG on 19 June 2006.
Nokia Siemens Networks services division is based in INDIA
They merged their mobile and fixed-line phone network
equipment businesses to create one of the world's largest
network.
Both companies have 50-50 stake.
The companies predicted annual sales of 16 bn and cost
savings of 1.5 bn a year by 2010.


Acquisitions
Since December 1997, Nokia has acquired 37
companies or businesses.
In July 2007, Nokia acquired Twango.
In September 2007, Nokia acquire Enpocket,
a supplier of mobile advertising technology.
In July 2008, Nokia bought Navteq, a U.S.-
based supplier for a price of $8.1 billion.


Acquisitions
In September, 2008, Nokia acquired OZ
Communications of Canada.
On August 5, 2009, Nokia acquired Cellity,
a mobile software company.


SWOT ANALYSIS
STRENGHTS:
Strong R & D base, present in 16 countries.
Technology leadership.
One of the most popular brands in the world.
Economies of scale.









SWOT ANALYSIS
Weaknesses:
Higher price as compared to competitors
High supply chain cost
Initial flop of N-Series, created opportunity for
competitors.
Too wide range of handsets create difficulty for
buyers to take decision.









SWOT ANALYSIS
Opportunities
New growth markets where cell phone
adoption still has room to go, including India
and other countries.
Increase their presence in 3G and Edge market.
Potential in Latin America ,market for entry
Decrease prices in volume market & increase
profit margin overall.









SWOT ANALYSIS
Threats
Strong competitors.
Saturation in current market.
Rapid change in technology.
Cheaper and mid-range models from
competitors.
Threat from apple i phone.
Tough competition from local producers.









THANKS