Exploring Corporate Strategy
Analyzing a Company’s Competitive Position
is……
Evaluating in terms of qualitative and quantitative standpoints.
:Vision:Voice Goes Mobile….If it can go mobile–
it will
:Mission:Connecting People
:Vision:Leading the Digital Convergence Revolution
GROWING TO BE THE BEST
:Mission:Digital-ε Company.
Nokia’s Strategy in IndiaNokia’s Strategy in India
• Expand mobile voice
• Drive consumer multimedia
• Bring extended mobility to enterprises
• Clearly defined objectives and goals
• Right timing of decisions
• Determination and risk taking
• Foreseeing and using rising market opportunities
• Creating the future
Samsung Strategy in IndiaSamsung Strategy in India• Aggressively hawking flip-tops and clamshells with
polyphonic ring tones and color screens.
• Nationwide distributor and retail presence in the domestic consumer durables market.
• Samsung has been associated with the Lakme India Fashion Week (LIFW) for its Mobile Phones. The Company used the LIFW-2005 as a platform to launch its D-500, World’s Best Mobile Phone in the Indian market.
• Set up a handset manufacturing facility in India
What is SWOT AnalysisWhat is SWOT Analysis • It is a non-financial planning tool.
• It links the analysis in terms of advantages and disadvantages; and the internal and external business environment (in a matrix format).
• The Strengths and Weaknesses are defined by measures such as market share, loyal customers, level of customer satisfaction and product quality.
• Opportunities are new potential areas for business in the future, such as new markets, or new conditions in existing markets.
• Threats describe how the competition, new technology, or other factors in the business environment may affect the business's development.
SWOT ANALYSISSWOT ANALYSIS
Three stages of a SWOT Three stages of a SWOT analysisanalysis
1. Identify.2. Draw conclusions.3. Translate into strategic action.
Advantages of SWOT AnalysisAdvantages of SWOT Analysis
• Consolidate strengths• Minimizes Weaknesses• Helps to Grab Opportunities• Minimizes Threats• Facilitates Planning• Facilitates Alternative Choices• Helps to Innovate• Ensure Survival & Success
SWOT Analysis On SamsungSWOT Analysis On Samsung
Strengths
• New product concept to rollout in five months• Catching the pulse of the consumer, offering
good designs & understanding Emotions• Heavy investment in technology, product
design, and human resources• Focus on innovative products for the high-end
market.
Weaknesses
• Not pro actively coming out with newer models
• Lack in product differentiation.• Different models at different price points • Focus on mass market instead of niche
markets• Not very user friendly designs.
Opportunities
• Distinguish its service from competitors.• Offer product variations• Demand for cell phones driven by the
service providers or carriers• Tie up with service providers• Lowering the price of a phone by just $20
in many countries could increase its affordability by 43%.(As per a study report)
Threats
• Motorola’s dominance in the U.S, Nokia’s popularity in the European market, controlling more than half of the world market
• Aggressive competitors, including Sony, Ericsson, and Siemens eating into its share.
• Not keeping track of the new trends in the market
• Not an accessory and fashion statement
SWOT Analysis On NokiaSWOT Analysis On NokiaStrengths
• Strength of the corporate brand.• Complexity improves its Competitive position • Design, the branding and the technology • Backwards compatibility - protection from a
Japanese onslaught • Lending personality to its products (fashion
statement)• Effective advertisement and market
communication• Not only a tool for business but being an item of
everyday convenience
Weakness
• Lapse has opened up space for smaller competitors
• Potential threat from Microsoft’s entry into mobile telephony
• Ericsson- king of wireless infrastructure • Design to market takes more time
Opportunities
• Highest growth in markets such as China and Latin America
• Feature-loaded phones to act as an offset • Providing value at a reasonable lifetime cost• Life style marketing and segmentation• Building a worldwide supplier network • Preempting competitors in critical markets • Managing competitive interaction
Threats
• Biggest threat - “complacency” • “Inflection point” - a disruptive technological
change• New competitors with different skills and
potent brands challenge• 3G will increasing competition between
suppliers• Cheaper midrange models from Motorola and
others