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Presenting Karbonn A new generation of mobile phones that redefines life in every way. Loaded with features, looks, quality, technology, service and more, it is the perfect harmony of style and function. Discover Karbonn. Live your life. About Us Welcome to the Karbonn World In the telecom arena, technology and innovation have created a multitude of opportunities. Today, as the world opens up to new avenues in communication, the consumer is becoming equally demanding - expecting the latest trends, faster. To ring in new changes designed to truly delight the consumer, two Indian telecom majors have joined forces to trigger the revolution - UTL and Jaina. The UTL Group is a multi division telecom group with an annual turnover of Rs 1600 crore and over 2000 employees. Headquartered in Bangalore, it is a leading Indian telecom powerhouse with interests that span across manufacturing, services and distribution. The credentials are endless: leading suppliers of landline telephones and electronic exchanges in India; leading supplier of telecom equipment to cellular operators; build-and-operate state-wide area networks for several state governments; business relations with reputed international and national telecom brands as principal, vendor or business partner; closely linked with the mobile phone revolution in the country - promoted JTM, (erstwhile mobile operator for Karnataka, Andhra Pradesh and Punjab); successfully represented reputed mobile phone brands like Alcatel, Nokia, Samsung and Virgin in the country, either as regional or national distribution partners. The Jaina Group is a reputed distribution house with interests in telecom and consumer durables. Headquartered in Delhi, the company has represented, with distinction, prominent brands such as Nokia, Samsung, Siemens, Panasonic and Philips (LCD devices) as regional or national distribution partners. Currently the national distribution partners of HTC and Motorola (operator business), Jaina is also the preferred distribution partner of Microsoft.UTL and Jaina now present

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Page 1: KARBONN

Presenting Karbonn

A new generation of mobile phones that redefines life in every way. Loaded with features, looks, quality, technology, service and more, it is the perfect harmony of style and function.

Discover Karbonn. Live your life.

About Us

Welcome to the Karbonn World In the telecom arena, technology and innovation have created a multitude of opportunities. Today, as the world opens up to new avenues in communication, the consumer is becoming equally demanding - expecting the latest trends, faster. To ring in new changes designed to truly delight the consumer, two Indian telecom majors have joined forces to trigger the revolution - UTL and Jaina.

The UTL Group is a multi division telecom group with an annual turnover of Rs 1600 crore and over 2000 employees. Headquartered in Bangalore, it is a leading Indian telecom powerhouse with interests that span across manufacturing, services and distribution. The credentials are endless: leading suppliers of landline telephones and electronic exchanges in India; leading supplier of telecom equipment to cellular operators; build-and-operate state-wide area networks for several state governments; business relations with reputed international and national telecom brands as principal, vendor or business partner; closely linked with the mobile phone revolution in the country - promoted JTM, (erstwhile mobile operator for Karnataka, Andhra Pradesh and Punjab); successfully represented reputed mobile phone brands like Alcatel, Nokia, Samsung and Virgin in the country, either as regional or national distribution partners.

The Jaina Group is a reputed distribution house with interests in telecom and consumer durables. Headquartered in Delhi, the company has represented, with distinction, prominent brands such as Nokia, Samsung, Siemens, Panasonic and Philips (LCD devices) as regional or national distribution partners. Currently the national distribution partners of HTC and Motorola (operator business), Jaina is also the preferred distribution partner of Microsoft.UTL and Jaina now present Karbonn: phones that feature the absolute latest trends in mobile telephony, at incredible prices.

A perfect match, where the blend of strengths in technology, people, infrastructure and marketing deliver fantastic value to the discerning Indian consumer.Expect more from Karbonn - from high quality products tested in India and abroad to a solid post-sales service network (apart from the numerous firsts in the industry). Complement this with a continuously updated product range - and you have a true winner in your hands.

Get the best. Get Karbonn.

DISTRIBUTION

Page 2: KARBONN

Karbonn Mobiles in India

The latest buzz in town - Karbonn mobiles is the fruition of two Indian telecom majors - UTL and Jaina. These together present to you Karbonn mobiles - the ultimate mobile communications device available to the discerning user today. Karbon Mobiles has on its portfolio some of the leading designs and technologically advanced phones that match up to international standards.

To tell you more about the people behind Karbon mobiles, UTL is a multi-division telecom group, which has an annual turnover of Rs 1600 crore and over 2000 employees. Headquartered in Bangalore, it is a leading Indian telecom powerhouse. Besides Karbonn mobiles, the interests of this group span over many industries such as manufacturing, services and distribution. It has a varied list of credentials such as being leading suppliers of landline telephones and exchanges in the country, leading supplier of telecom equipment to cellular operators and business relations with reputed international as well as national telecom brands in the country.

The second group behind Karbon mobiles - Jaina is a reputed distribution house that has interests in telecom along with consumer durables. This company is headquartered in Delhi and has the distinction of operating along with prominent brands such as Nokia, Samsung, Siemens, Panasonic, and Philips. It is the national distribution partner of Microsoft along with HTC along with Motorola. Together, they have come out with the brilliant and snazzy Karbonn mobile phones. Karbonn mobile phones feature the latest trends in mobile telephony and that too at unbelievable prices. Karbon mobiles offer the best value for the money they charge as they are bundled with the latest technology and the great user friendly features

Karbonn Mobiles is a Telecommunication firm which was founded in March 2009. It is a joint venture Mobile manufacturing company between the Bangalore based United Telelinks Limited (A group of Telecom Major, United Telecoms Limited) and Noida based Jaina Marketing & Associates. The company's total investment in Indian consumer market is over $5 million and expects to gain Rs. 1000 Crore revenue in the current fiscal year.[1] The company has tied up with leading semiconductor companies worldwide for their handsets and targets mainly the budget conscious consumers. The company currently has around 500 Service centers all over India with around 150 dedicated exclusively for Karbonn.

Market Presence

The company has its wide presence all across Indian states. Apart from India, the company handsets are also exported to South Asia, Africa and Middle East countries.

Product Ranges

The company prominently launches the Dual SIM and Dual Processor based handsets to the consumer market. It currently produces wide ranges and form factors of CDMA, GSM and WCDMA products catering to all sections of Telecom users. Apart from Dual GSM based phones, the company has launched GSM + CDMA phones as well, thereby merging the two mobile technologies in a single handset.

Page 3: KARBONN

Official Sponsorship

The company has made its market presence huge by sponsoring and partnering with some of the prestigious Cricket game leagues such as Airtel Championship Leagues, Indian Premier League matches. The company was associated with the Cape Cobras during the Champions League Twenty20 matches held in 2010. Apart from cricket game, the company has also recently associated with Indian Entertainment industry by being the lead sponsorer and associate of 17th Annual Star Screen Awards and also Mirchi Music Awards ceremonies.

Karbonn Mobiles in India is the result of the merger between the two Indian telecom majors known as UTL and Jaina. Karbonn is known for introducing new generation handsets that redefines the life. The cell phones of Karbonn are loaded with looks, quality, features and technology and prove to be the perfect combination of function and style.

UTL is the first the first telecom major in Karbonn mobiles which is a multi division group with more than 2000 employees and Rs.1600 crores of annual turnover. The headquarters of UTL is located at Bangalore and along with Karbonn mobiles the interest of this company is spread in various other areas likes services, manufacturing ad distribution.

Another partner in Karbonn mobiles is Jaina which is a reputed and known distribution house that has interest in telecom and consumer durables. The Headquarters of Jaina is located at Delhi and the company has been operating with other prominent brands like Samsung, Siemens, Nokia and others. The mobiles of Karbonn are known for their excellent features and impressive designs which are available at unbelievable low prices.

Karbonn Mobiles

Logo

Parent Company Karbonn Mobiles

Category Mobile phone Handsets

Sector Telecommunication

Tagline/ Slogan Spread a smile

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USP Moderate functions at low price

STP

Segment Low-Medium range Basic Phones market

Target Group Low income consumers, Tier-2 cities, Villages

PositioningReplacing the Biggies like Nokia, Samsung from the low end phones market.

As a second phone

SWOT

Strength

1.Provide simple functions at much lower costs e.g.- Loud speakers, wireless FM, ultra long lasting battery life

2.Regional languages support, Indian calendars, Torch 3.Most phones are dual SIM/Triple SIM phones

4.Due to Java support a lot of basic applications can be run

Weakness

1.Poor after-sales support

2.Many consumers in this group still trust Nokia

3.Build Quality is inferior, Tacky looks, Low resolution and small screens, Higher Radiation levels, Complex

4.User interface for not so tech-savvy consumers , Unreliable

Opportunity

1.Low-end phones market has become very competitive 2. Cut-throat competition has made Dual-SIM phones being available

3.Can be used as simple second phones

Threats1.Threat from low price well known brands

2.Other lower end phones brands

Competition

Competitors

1.Nokia Low-end Dual SIM phones 2.Lava phones

3.Samsung Guru Series4.Micromax

5.Lemon mobiles

India CallingIndian firms are muscling into the mobile phone market with a combination of fancy features and super-cheap prices, says Aarti Dua

Pradeep Jain (standing) and Sudhir

Page 5: KARBONN

Hasija are ringing in high-decibel growth at Karbonn MobilesPix: Jagan Negi

Would you like a mobile phone that acts as a universal remote for your television? Or perhaps you’d want one that can detect fake currency? Or one that also works on a battery?

On the other hand, now that you’ve tried a dual SIM mobile (where you can have one SIM or phone number for incoming calls and use the other for cheap outgoing calls), perhaps you’re ready to try a triple SIM one. Or how about a convergence mobile-cum-tablet device instead?

The Indian mobile handset market is abuzz with these and more innovative offerings. And ringing in these products are a host of Indian mobile handset makers from Micromax Informatics — it’s now the third largest player in the mobile phone market — Karbonn and Spice to Lava, Intex and Zen.

The players have caught the pulse of the Indian mobile user by catering to indigenous needs like long battery life. Moreover, they’ve won over the price-sensitive Indian customer on price too — these handsets can cost one-tenth the price of multinational brands.

Not surprisingly, they’re giving strong competition to the likes of Nokia, Samsung and LG. “To be honest, we didn’t expect to achieve this in such short time,” admits Vikas Jain, business director, Micromax.

If you live in a big metro, you probably weren’t aware of brands like Micromax and Karbonn a year ago. But consider this. In 2008-09, the Indian companies accounted for barely 4 per cent of the country’s total handset sales (by revenue), according to a Voice&Data survey. But by 2009-10, their share had jumped to 14 per cent.

Moreover, according to telecoms research firm IDC India, the number of Indian players has grown from five in March 2008 to 28 by December 2009. It helped that the government banned cheap grey market phones, providing an opportunity to local players.

The players made their first call in under-served rural and semi-urban markets. And now, they’re focusing on urban centres too. They’ve ratcheted up the volume too by signing celebrity brand ambassadors and sponsoring big-ticket events. There’s Twinkle Khanna endorsing the Swarovski-studded Micromax Bling and the India-Sri Lanka Micromax Series too. Virendra Sehwag and Gautam Gambhir are ambassadors for Karbonn Mobiles, the IPL’s ‘Official Partner Mobile Phone’. And Amitabh Bachchan is endorsing Zen Mobile.

But many of the Indian handset makers are still perceived to be only selling cheap Chinese handsets under their own brand. And quality is an issue too. Indeed market leader Nokia’s V. Ramnath, director, operator channel, says: “This is a rapid innovation, rapid failure industry. Devices need to be backed by several things like brand, support, reach and services.”

Out of the box

It all began with smart features at an affordable price. Take Micromax. Till 2008, its four partners — Jain, Rahul Sharma, Sumeet Arora and Rajesh Agarwal — were making fixed wireless equipment for PCOs in rural areas. They came together in 1999 when Jain, Arora and Sharma joined Agarwal, who was distributing computer hardware. They began by designing corporate websites. After the dotcom bust, they first distributed equipment for Nokia and later, made fixed wireless equipment.

“The company’s ethos has always been in technology. This helped us when we got into mobiles,” says Jain. That was in 2007. There’s the tale of how Sharma saw an Airtel PCO in West Bengal being powered by a truck battery.

“India is power-deficient and a phone with extended battery life was a simple requirement. But no one thought of it,” says Jain. Till Micromax launched the X1i with a standby battery time of 30 days for a super-cheap Rs 2,249. “It struck a chord from the beginning. Even today, we sell over 1 lakh units,” says Jain.

Then, Micromax pushed dual SIM phones. Or till last year, Qwerty phones were positioned as business phones. But Micromax realised SMS was the biggest value-added service, and launched the Q1 with chat. “We were the first to position Qwerty phones as chat phones,” says Jain. More recently, there’s the X235 universal remote phone, and the G4 Gamolution, which doubles as a gaming device (like the Wii). Says Jain: “We’ve always tried to bring something innovative so we don’t get into the price game.”

Lava International’s S. N. Rai is keen to meet local consumer needs with products like the new B5 Alpha business phonePix: Jagan Negi

Kunal Ahooja wants Spice Mobiles to capture the smartphone market

Page 6: KARBONN

So how about a mobile that’s also a mosquito repellent or one that’s a computer mouse? Yes, Micromax will launch these products soon — it will introduce 12 models within 18 months. And Jain wants to double its current sales of one million handsets a month — the total market is 12 million sets a month — by March 2011.

Roaming out

The Indian players have also succeeded by wooing distributors with higher margins and penetrating rural and semi-urban areas. Pradeep Jain and Sudhir Hasija, who co-founded Karbonn Mobiles in June 2009, know this too well. For they both own companies that have distributed brands like Nokia and Samsung over the last 15 years.

Says Pradeep Jain, managing director, Karbonn Mobiles: “Internationally, local brands have done well. That’s why we decided to launch our own brand.”

Karbonn also saw that multinationals were offering voice-oriented mobiles in small towns. “We decided to offer full multimedia. The mobile experience goes beyond voice today,” says Sashin Devsare, CEO, Karbonn Mobiles. So its phones had FM and AM radio and video players. “People want feature phones but in their price range,” says Pradeep Jain, who expects to double sales to one million handsets a month in 2010-11.

Karbonn’s 24 models are priced from Rs 1,500 to Rs 6,000. For instance, its recently launched K25, a dual SIM Qwerty multimedia phone with optical trackpad, sells for Rs 4,400.

Early caller

Unlike Karbonn and Micromax, B.K. Modi’s Spice Mobiles saw the opportunity back in 2005. Says Kunal Ahooja, CEO, Spice Mobiles: “When Mr Modi called me to set up Spice Mobiles, I felt he was being too adventurous in establishing an Indian brand,” recalls Ahooja.

But he persisted. Spice began with entry-level phones in small towns before entering the metros. From its first S500 handset, it customised for local conditions by enhancing the ringtone and speaker volume. “We also embedded Bollywood songs, so we used content as a differentiator then,” says Ahooja.

There have been a slew of mobiles ranging from Rs 1,500 to Rs 18,000 ever since. Spice was the first to launch a dual SIM phone in 2007. Or take its popular M-4580, which can detect fake currency.

“We’ve got a strong track record,” says Ahooja, who’s focusing on high-end mobiles. There’s the recent S-1200 with its 12.2MP camera. Coming up are high-to-entry-level Android phones. “Smartphone sales are increasing globally. We’ll see this happening here too. We want to leverage this,” he says.

Feature feast

Indeed, the Indian handset market is evolving rapidly. Says Naveen Mishra, lead telecoms analyst, IDC India: “The mobile has morphed to become no less than the Swiss knife of personal communication devices.” After all, it doubles as a wristwatch, radio and more.

Consumers are also adopting new features quickly. According to IDC India, dual and triple SIM phones accounted for 2.7 per cent of total handset sales in 2009. This jumped to 34.66 per cent by March 2010. Similarly, the share of Qwerty handsets has grown from 0.24 per cent to 3.66 per cent and touchscreen phones from 1.92 per cent to 5.03 per cent in this period. Rural customers aren’t lagging behind either. Jain says Micromax sells 60 per cent of its Qwerty phones in rural areas.

Or take Intex Technologies. When it launched its Rs 3,650 video chat phone IN-4470, it was targeting B and C towns. “A villager can now see his son in the city. Eighty per cent of its sales are from these towns,” says Ramesh Vaswani, executive vice-chairman, Intex Technologies.

The 14-year-old Intex is a leading IT player and makes PCs and peripherals like speakers. It got into mobile handsets in 2008. “The mobile is a convergence product today,” says Vaswani. So Intex has leveraged its IT

Zen Mobile’s Deepesh Gupta has roped in Amitabh Bachchan as brand ambassadorPix: Jagan Negi

Intex Technologies’ Ramesh Vaswani will continue to woo rural and semi- urban markets with “technology at reasonable prices”

The OlivePad is a “super-smartphone and more” says Olive Telecom’s Arun Khanna (centre)

Page 7: KARBONN

strengths by focusing on features like high-quality FM.

“Like in IT, we’ve offered technology at reasonable prices,” says Vaswani. So its IN2020 Qwerty costs just Rs 2,200. Coming up are Android phones. Vaswani’s largely focusing on small towns and tehsils for growth.

Refresh appeal

The players are always innovating. Take 14-month-old Lava International’s new B5 Alpha. It’s a business phone but instead of a Qwerty keypad, the keys are in alphabetical order. “Most people in small towns have never used a computer. So we re-designed the keypad. You have to think like an Indian to succeed,” says co-founder and director S.N. Rai.

Actually, when S. N. Rai quit LG Electronics to found Lava along with Vishal Sehgal, Sunil Bhalla and Hari Om Rai, they weren’t looking at mobile handsets. The four became friends at a Noida club. Bhalla had an inverter company. Sehgal was COO of Airtel, and Hari Om Rai’s Pacetel was into telecom equipment. “We wanted to create something of our own,” says Rai.

Selling mobiles in small-town India was an obvious opportunity. “Our vision is to work with technology that empowers people,” says Rai. Predictably, their first phone, the KKT11 offered long battery and loud sound. Since then, they’ve expanded to lifestyle phones like the A9. Coming up are six new models.

Riding the wave

Meanwhile, 26-year-old Deepesh Gupta, managing director, Zen Mobile, is riding the momentum too. His father has a mobile distribution firm, and he too ran a mobile accessories firm before founding Zen last September.

Gupta is launching two handsets a month today. From his first Zen M11 phone, he’s focused on multimedia because he feels users are “entertainment hungry”. Take the recent Z82, a Rs 4,600 Qwerty phone with analog TV. “I knew analog TV would hit the spot because it’s used by the masses,” he says.

The seven-month-old Olive Telecom’s chairman Arun Khanna has bigger ambitions. He’s just launched the OlivePad, a 3G tablet like the Apple iPad but which is also a smartphone.

“The OlivePad is a super-smart phone. It has video calling, it’s a TV, GPS, e-book reader and more,” says Khanna. The Rs 22,000-Rs 25,000 device should hit stores this month.

Khanna believes Olive is unlike other handset company. “Olive is creating a differentiated position by developing niche devices,” states Khanna, who moved from healthcare to telecoms when he formed a joint-venture with Haier five years ago.

Olive’s already launched 18 handsets though, including the FrvrOn, which has a AAA-battery slot. You can expect 20 more models this year. “The future belongs to smartphones and that’s where we’ll be,” says Khanna.

Tough calls ahead

All this activity means that the Indian handset market has got crowded, especially at the entry- and mid-level. But Indian players still have to fight doubts about their quality and staying power.

And now that dual SIM, Qwerty et al have become ubiquitous, what next? The players are confident there’s growth ahead. Micromax’s Jain believes there’s more scope for innovation. And Intex’s Vaswani says: “There’s room for many brands. But it will depend on quality, pricing and after-sales.”

Market leader Nokia’s moving quickly to defend its turf too. After launching competitive entry-level handsets, it’s bringing other innovations like a Bicycle Charger Kit so you can pedal and charge your phone.

The Indian players are also betting on 3G and convergence. Some like Micromax, Lava and Olive are also investing in software. Besides, they are all ramping up distribution and service centres too. Clearly, the market’s not going to stop ringing for a long time yet.

Micromax has always tried to bring something innovative to the table, says its co-founder Vikas Jain

Page 8: KARBONN

Mobile Sales in India – Nokia Market Share Falls, Local Manufacturer Strikes it hot

By sinha on 3, April, 2010 | Channel: mobile

IDC India has published a report on growth of mobile sales in India (for 2009) and here are

some of the relevant data points to track:

The growth has more or less flat [owing to low sales figure in Q1] – in total, 101.54

million units of sales were registered.

Local manufacturers* have grabbed 17.5% market share [from 0.9%, a year back]

Only 5 local manufacturers in 2008 and the number stands at 28 now!

Nokia market share in India fell from 56.2% share in 2008 to 54.1% in 2009.

Samsung Electronics Co. Ltd’s share rose marginally to 9.7% from 9.5%.

LG’s share dropped from 7.2% to 6.4%,

Of the local manufacturers, Micromax leads the race and holds a market share stands of

4.8%.

Like any market research, take this with a pinch of salt [for instance, Nokia has expressed

reservations about the research, since IDC didn’t take into account its production facility in

Chennai, which ships 50% of the manufactured mobile to India].

Nevertheless, this is an interesting result and rise of local companies shows that there is a

value in local IP [eat this: Micromax Q5 phone is just like Blackberry/E71/72 with a far lesser

price which Blackberrys of the world cannot even match].

What’s your take on the rise of Indian local mobile manufacturers?

*Top 5 Local manufacturers – Micromax, Karbonn Mobiles, Spice Mobiles Ltd, Videocon

Industries Ltd and Lava International Ltd

Page 9: KARBONN

Rise of the upwardly mobile entrepreneur

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It was an appetite for high risk and high rewards that prompted Sudhir Hasija to forsake a thriving business distributing mobile handsets to launch his own brand of phones.

This year, as the three-year-old company notches up turnover of Rs 1,200 crore, the benefit of listening to the customer is paying off handsomely for a brand that popularised the dual SIM concept amongst Indian mobilephone users.

HumbleStart

For Hasija, this has been a meteoric rise. Son of a government clerk he left his home in Meerut, Uttarpradesh, after clearing Class 10 exams. Moving to Hyderabad, he spent three years in a machine tool company and saved around Rs 3,000.

He used that money to sell TV accessories such as antennas and trolleys in Chennai. "It was a difficult struggle. I remember climbing the building rooftops on bare feet to install antennas in scorching heat, washing my face at railway stations and staying in low-cost lodges," said Hasija, who built a thriving business that he expanded across other southern cities.

In 1996, when the pager and mobile phone revolution first started in Karnataka, Hasija bagged a lucrative contract to become the telecom hardware distributor for Alcatel-Lucent SA, France's largest telecommunications equipment maker.

Soon he ended up as a distributor for Nokia, the world's largest handset-maker. He remained their distributor till 2003.

As more global firms started to tap on India's booming telecom market, Hasija got another opportunity from Samsung Electronics Co, the world's biggest television maker to become their distributor for

Page 10: KARBONN

entire South India. The risk paid off for him, when Samsung made him distributor for the entire country within six months.

Karbonn may raise $50m from PEs

TNN Jan 6, 2011, 07.39am IST

MUMBAI/BANGALORE: Bangalore based-mobile handset brand Karbonn Mobiles is understood to have engaged in preliminary talks with private equity players to raise funds to the tune of $50 million (Rs 230 crore). Sources close to the development, who did not want to be named, said the mobile handset seller has held discussions with at least two private equity firms—Accel Partners and Mount Kellet Capital—valuing itself at around $500 million (Rs 2,300 crore).

When contacted by TOI, Sudhir Hasija, MD, United TeleLinks, who jointly owns Karbonn Mobiles along with the Delhi-based Jaina Group, said, "A lot of private equity firms are approaching us but we are not immediately interested in raising money. Maybe when we expand our mobile phone factory in Bangalore further and get good valuations , we will consider it."

Karbonn is expected to close this financial year with revenues of around Rs 1,800 crore, Hasija said. According to market research firm IDC, Karbonn Mobiles had a market share of 2.14% in the July-September quarter.

Currently, Karbonn Mobiles is in the process of setting up a handset manufacturing facility in Bangalore with a capacity of 400,000 units. It is expected to be operational by April this year. As of now, all of Karbonn's handsets, like for most domestic players, are imported largely from China and Taiwan while the designing is done in India. Last year, Micromax, the biggest domestic handset brand with a 7.1% share as per IDC data, had filed a draft prospectus with Sebi to raise funds of around $150 million (Rs 690 crore) via IPO by early 2011, valuing it over $1 billion

Karbonn Mobiles News

Indian handset makers eye new shoresAfter taking wallet share away from global mobile giants such as Nokia, Samsung, LG, Sony Ericsson and others, Indian handset manufacturers are now eyeing foreign markets. Karbonn Mobiles, Intex, Lava, Micromax and Maxx Mobile are among the brands that have entered markets in Bangladesh, Nepal, Sri Lanka, West Asia and Africa. Karbonn,

the joint venture between the Delhi-based Jaina Group and the Bangalore-based

Page 11: KARBONN

Percept Profile is on a winning spree this May. It has added two more prestigious accounts in its kitty namely Karbonn Mobiles (a JV between Jaina Group and UTL Technologies) along with the corporate mandate of Jaina Group and the real estate major Mahagun India.

After showcasing its excellence and commitment in providing outstanding services to other mobile brands in the past, making Karbonn mobiles the next big thing is the motto of Percept Profile. Percept Profile plans to help Karbonn mobiles establish a strong brand identity and promote the Jaina Group at every decibel level.

Mahagun India is an organization of zealous engineers and space planers, rich in experience and high on commitment, which has helped sustain professional excellence for more than four decades. Percept Profile is committed to sustain the image of Mahagun as the real estate major which is known to set examples in personal & professional conduct all while delivering products and services that exceed customer’s expectations.

On bagging the PR mandates for two more prestigious accounts, Rahat Beri, COO, Percept Profile, said, “It’s a pleasure to be associated with Karbonn Mobiles and Mahagun India . With our utmost dedication and research based services we plan to make these brands the talk of the town. We intend to provide strategic solutions to our new clients along with 360-degree communication across spectrum to help it reach the pinnacle.”

On being associated with Percept Profile, Pradeep Jain, MD, Karbonn Mobiles, said,” It’s a pleasure to be associated with Percept Profile considering the milestones they have achieved in the past. They have demonstrated deep understanding of consumer insights and their client requirements leading the path towards symbiotic growth.”

Dhiraj Jain, Director, Mahagun India, adds “We are extremely happy to be associated with Percept Profile. Percept Profile has played an excellent and dynamic role in understanding and building up of various real estate brands in the past.”

Indian mobile brands eye overseas market

Added On:7/8/2011 4:22:00 PM

After grabbing the considerable chunk of market share from global mobile makers like Nokia, Samsung and Sony Ericsson, Indian handset makers are now focusing on foreign shores to expand their reach.

Page 12: KARBONN

According to the latest piece of information, many Indian brands including Karbonn mobiles, Micromax, Intex etc are fast penetrating into the markets in Bangladesh, Sri Lanka, West Asia and Nepal.

Karbonn was the first Indian mobile brand that explored the overseas avenues. The company is a joint venture between the Delhi-based Jaina Group and the Bangalore-based UTL Group. It put decent investment in its branding strategy to tap these regions.

Insiders have revealed that Karbonn is the most sought after brand in Nepal next to Samsung. Now, it’s eying the African continent. In India, it claims to sell 600,000-750,000 handsets a year.

Intex too has plans to capture significant market share in African market after a successful attempt in Sri Lanka, Bangladesh and Nepal. In fact, to boost its market share, the company is focusing on the joint marketing strategies.

Maxx Mobile is gradually gaining its grip in Dubai and Bangladesh.

According to a recent survey, Indian mobile handset market has climbed 15 per cent to reach Rs 33,171 crore in 2010-11.

Sudhir Hasija-The Upwardly Mobile Entrepreneur

June 26, 2011 by keerthikasingaravel 1 Comment

Sudhir Hasija is the chairman of the Rs 1200 crore homegrown handset maker Karbonn Mobiles.Here is a link to the company’s website:http://www.karbonnmobiles.com/.

His story will tell you how a person with few means can get into wholesaling and then into manufacturing.So for all would- be industrialists here is his story:

Page 13: KARBONN

55 year old Sudhir Hasija, is the son of a government clerk. He left his home in Meerut, Uttar Pradesh, after clearing his Class 10 exams. He then moved to Hyderabad where he spent three years in a machine tools company and saved around Rs 3,000. He used this money to set up a business selling TV accessories such as antennas and trolleys in Chennai.

It was a difficult struggle. He would climb to the rooftops of buildings bare footed in the scorching heat to install antennas. He used to wash at railway stations and stay in low-cost lodges. However he persisted and managed to built a thriving business that he expanded across other southern cities.

In 1996, when the pager and mobile phone revolution first started in Karnataka, Hasija bagged a lucrative contract to become the telecom hardware distributor for Alcatel-Lucent SA , France’s largest telecommunications equipment maker. Soon he ended up as a distributor for Nokia, the world’s largest handset-maker. He remained their distributor till 2003. As more global firms started to tap India’s booming telecom market, Hasija got another opportunity from Samsung Electronics Co , the world’s biggest television maker to become their distributor for entire South India.Within 6 months Samsung made him distributor for the entire country.

Then 3 years back when many Indian companies started to make their own handsets to tap the country’s booming mobile handset market, Hasija too jumped in. He gave up Samsung in 2009 to start his own mobile phone brand Karbonn. As he puts it,”I thought of building my own home, rather than living in a rented house. I had enough experience to take the risk and my children had also grown up.”Hasija founded Karbonn as a joint venture between his Bangalore-based distributing firm United Telelinks and Delhi-based Jaina group run by his long-time friend Pradeep Jain, who was also a distributor of mobile phones.

From its 2009 beginnings in an old office block in Bangalore with Hasija’s savings and a 100 crore capital from IDBI bank, Karbonn now has a market share of 4.5% in India. The mobile handset industry in the country was valued at Rs 3,200 crore in November 2010.Excluding the grey market,120 million handsets were sold in India in 2010. Hasija now sells over six lakh phones in a month.This is how Hasija explains his success:”I understood the psyche of Indian population such as value for money and attraction towards innovation.” Karbonn made its debut with phones, which could hold two SIM cards that allowed the use of two services without the need to carry two phones at the same time.They were also designed to have a longer battery life, a real draw in areas with irregular power supply. This innovation and low pricing clicked for Karbonn. After sales service and visibility even in rural areas helped Karbonn crack not only the the urban market but also penetrate the rural markets, which were untapped.

India’s mobile phone market expected to grow by nearly a fifth over the next five years. Karbonn hopes to ride this wave of consumer demand.However there are challenges to be faced.Karbonn is not the only home-grown mobile phone maker.There are others like Micromax giving it competition.In fact the very success story of Karbonn attracts new entrepreneurs to the market.

Also as Karbonn expands any flaw in the quality of service, distribution channel and post-sales service will mean a drop in growth.These days it doesn’t matter if the brand is foreign or Indian, customers are now agnostic to brands .Consider the fate of Nokia, which once held a 72% share of the Indian mobile handset market!

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Moreover technology evolves fast.It is now a challenge to stay afloat in a market where newer communication devices pop up with metronomic regularity. To deal with the challenge Hasija is in final-stage talks to buy a South Korean cellphone design house in an all-cash deal of about $40 million. The deal will be financed with a portion of the $250 million that Karbonn expects to garner from private equity firms . The 150-member the Korean design-house will closely work with Karbonn’s team of software developers in Bangalore. Handsets designed by the Korean firm will be tested at Karbonn’s Bangalore software development facility before being shipped overseas. Karbonn plans on targeting not just the Indian markets with these phones but also other emerging markets in Africa and Latin America.Also later in the year the company plans on releasing a line of low-cost tablets to compete with Apple’s iconic iPad and Samsung’s Galaxy Tab but priced at half to one-fourth of what the global majors sell at.With the launch of the new line of tablets the company will be competing on full terms with the multinational majors. A start-up challenging major manufacturers was not possible 10-15 years ago but now entrepreneurs with access to technology need to only understand customer need, manage the supply chain, identify good vendors and maintain quality to successfully do so.And entrepreneurs like Sudhir Hasija show us how.

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Nokia_01TABLE OF CONTENTS

EXECUTIVE SUMMARY

1 INTRODUCTION

1.1 COMPANY HISTORY

1.2 NOKIA’S CHANGE IN FOCUS BETWEEN 1988 AND 2000

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1.3 PEST ANALYSIS

2 RESEARCH ANALYSIS

2.1 SWOT ANALYSIS

2.2 ENVIRONMENT POLICY AND TECHNOLOGY DEVELOPMENT IN THE

FUTURE

3 CONCLUSION

4 RECOMMENDATION

5 REFERENCES

5.1 BOOK

5.2 PERIODICAL

5.3 WEBSITE

6 APPENDICES

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Executive Summary

This report analyses the impact of external an internal influences on the business

strategies of Nokia Corporation, evaluats the factors, modifers of Nokia’s

advancement, and also considers the environment policies, and technology

development in the future.

Analyzing current business situation shows that Nokia needs to:

n Differentiate its products capability between old and new category.

n Enhance its products with computer IT compatible, focusing on new technology

users.

n Maintain its price reasonably.

n Follow, practice and promote its environment policies.

The purpose of this report is to evaluate how successfully does Nokia advance its

products. Due to the modern trends of social development, whether Nokia’s

environment policy is accurately operated or not will be related to improve its

reputation. In addition, the grow of mobile terminals leads Nokia to modify its

changes, therefore, Nokia has to develop new technology to approach to a new

market, which combine with PC market not only to occupy the position in mobile

phone market. Moreover, to connect PC and mobile phone is a tendency in mobile

phone market, even though to combine these two products together. Because of this

trend, Nokia creates new products to match with the market.

The result of the report finds that Nokia does not only want to occupy the position in

mobile phone market, but also to base on its technology development to approach to

the PC market. In addition, Nokia should not only develop new technology, but also

has other responsibilities for human, such as to reduce pollution and waste, which

are produced by the process of production.

1 Introduction

In present years, the mobile Internet has attracted numerous media attention. We

know need to consider why it is important to creative new products of mobile market,

what does consumers need, and what kinds of social activities change affected

Nokia change its main starching.

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In this report, it is important to find some information from Nokia’s background and to

analysis Nokia’s further decisions in the future. Focus on Nokia’s strength,

weakness, opportunity, threat, environmental policies and technologies

development, to know more about Nokia’s vision and action in the future.

1.1 Company History

At beginning, Nokia was a manufacturer of paper in 1865. It had a dramatic changes

in last centary. (Nokia, 2002) After World War II, the require of industrial products

were increased substantially.(Liu, 2001) Nokia had change its function to an

industrial enterprise and produce industrial products, such as chemicals and rubbers.

Untile 1960s, Nokia had set electronic department, and focused on develop

transmission systems, this was the factor that Nokia became a famous company in

the world.

1.2 Nokia’s change in focus between 1988 and 2000

Business (1988) % Of

sales

Survived Business (2000)

Floorings 1% No Transmission systems

Chemicals 2% No Fixed networks

Machinery 4% No Access networks

Electrical wholesale 4% No Wireless/mobile data

Mobile telephones 5% Yes Tetra networks and

terminals

Telecommunication

s

5% Yes GSM networks

Rubber 6% No Smart traffic products

Information systems 23% No Multimedia

Cables 9% No Internet

Paper 10% No Digital exchanges

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Business (1988) % Of

sales

Survived Business (2000)

Consumer

electronics

31% No Mobile phones Base

stations

Source: Merriden, T. (2001), Business the Nokia Way, overview, pp Xiii

1.3 Background (PEST Analysis)

In the case of Nokia, it can be classified as international organization. It basic for

global brand, which is required to focus on macro environmental factors, such as

Nokia. Macro environmental factors comprise Political, Economics, Society, and

Technology, viz, PEST Analysis. It is necessary force that Nokia has to concern and

know what is happening in the other countries at the moment. Because there are

different culture and different external factors between different countries, Nokia has

to adjust its strategic plan in order to develop international market.

1.3.1 Political

It is important of a company to acquire resources from government, such as

economic policy, and science and technology policy. The success of Nokia has

obtaine the resources from Finnish policies which assist Nokia to advance its

products. As Zheng (2001) has observed:

The Finnish policies are the most important factors of Nokia. To operate

efficiently, a modern knowledge- and technology-based economy that is highly

specialized, internationalized and undergoing rapid structural change requires

active support from the public sector. In its widest sense industrial policy and

science and technology (S&T) policy comprise all those measures by which

the public sector shapes the operating environment for business and thus

fosters public welfare. Both policies ursued by Finnish government and

Parliament are crucial for the development bothe of the Finnish Economy and

of national information society.

Finnish government best facilitate the efficient functioning of the economy by

directing its resources to the reduction of market failures. The state must also

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pursure an industrial and economic policy that provides a stable

macroeconomic environment for enterprises. General macroeconomic

stability, low interest rates, stable currency conditions and the international

competitiveness of the tax system form the foundation for the growth of

business an improvement in employment.

As the result of this, not only Finnish Government but also international companies,

such as Nokia, have play very important roles to develop their information society

and national technology strength.

1.3.2 Economic

According to the fact that Russian Federation was collapsed in early 1990s and it

assaulted with Finnish economics (OECD, 1996). Nokia also face with the problem,

and changed its functions from single market and overall products to global market

and focusing mobile phone market.

1.3.3 Society and Technology

In the 1980s, people trend to microcomputers and Nokia try to match the tendency to

produce its main products, such as computers, monitors and TV sets.(Merriden,

2001) According to the changes in 1990s, Nokia also changs its functions to mobile

phone market. Nowadays, the global market trends to connect PC and mobile

phone, even though to combine these two products together.

On the other hand, one important future challenge of Nokia is to estblished its policy

to follow up the environmental policy and science and technology policy of the

Finnish Government. As Zheng (2001) has report:

Substainable development and environmental protection have various effects

on the operation of the innovation system. Innovation also creates new

opportunities for promoting sustaainable development. The markets for

environmental products are expected to grow rapidly in the near future. The

Finnish government offers goods facilities for taking this opportunity. National

and European reforms arising from environmental objectives influence the

perequisites from innovation. [Nokia] must be used to find solution which help

to implement environmental objectives as well as the objectives of innovation

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policy in a balanced way.(Science and Technology policy council of Finland,

1996)

To sum up, the main reason of Nokia has success to advance its products are the

policies and technology development of Finnish Government. It can not be separate

between Nokia’s successful of advance its product and Finnish Government’s

policies, both of Nokia and Finnish Government are the winner in the international

market. Nokia has obtain the success of mobile phone market, and Finnish

Government has establish its position of technology development.

2 Research analysis

2.1 SWOT Analysis

Strength and weakness analysis can be defined as internal factor in order to show

how well they are performing inside the company at a moment. In case of Nokia,

there is much strength where it was success in its company, whereas weakness

point has only one where it was inevitable for high price- high quality. Clearly, the

business does not have to correct all its weaknesses, however it should retain its

strength as long as they can. In the same way, they do have to research and

develop their company continuously in order to achieve the goal.

In contrast, the opportunity can be classified because of their attractiveness. The key

success requirement for operating in the target market is basically depended on the

external factor (opportunity). In case of Nokia, it has numerous opportunities to be

able to enlarge their market share. Conversely, Nokia still have threat, which mean a

challenge posed by an unfavorable trend or development that may lead into the

absence of defensive marketing action, to diminish in sales and gross profit.

Consequently, Nokia have to create more strength and opportunity, then it needs to

correct its weakness and threat as well.

2.1.1 Strength

n Global marketing (product)

Nokia is the global product so it is undoubted true that its products should be at least

passed worldwide qualification, viz, ISO. This is the reason of why Nokia can be

entrust around the whole world.

n High product quality

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Nokia concerns about product quality, which is the most important factor to satisfy

customers’ needs. Nokia adds more values by superior quality or differentiated

features to the market. In the meantime, Nokia still produces the products with high

quality and continuously improve to the particular market.

n Fashionable product (serve new trend )

“The rise in number of users by 700 million in a little over three years will be driven

by a huge rise in the number of young style –conscious users” (Nokia, 2002). That is

the reason why they have to serve for young people who use their mobile for text

messaging rather than phone call.

n Wide range of product

Based on the contemporary data (see appendices),, it can be determined that Nokia

has the highest number of product line compared to its competitors (more than 10

models) accordingly; it covered every class of people from (low to high class).

Comparing data with Ericsson, Motorola, Sony, Samsung, siemens and other

companies. (see appendices), it illustrates that other brands have narrow shape of

product lines (not more than 5 models per brands).

n Product warrantee worldwide

No matter where Nokia’s customers are, if they got a problem from Nokia’s mobile

phone. Of course, they can use Nokia service worldwide wherever Nokia centers

are. These can ensure customers who worried about service system.

2.1.2 Weakness

n High price

After compared the price between Nokia and others, it can be established that Nokia

has highest price in every type of its products. In this report it can be conclude that

Nokia still have a weak point as higher price than the competitors. (See appendices)

2.1.3 Opportunity

n Product launch continuously

In this report it has determined that Nokia uses Total Quality Management (TQM)

which mentions more about training worker program, and makes the higher product

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quality. All employees are well-trained and motivated consecutively afterward

production processes also developed as well. In addition, as Merriden (2001) claims

that Nokia established Research and Development department (R&D) where

develops its product line into modern modification as well quality as the existing

products.

n Users Availability

Nowadays, the business has steadily recovered during this period so that there are

so many retail stores where it grew up continuously in London. Especially mobile

phone retail stores, such as, the link, Phone4U and Carphonewarehouse, which is

spread around London in every street. And, of course, every stores have not missed

the opportunity to choose Nokia as their product line. Consequently, all the

customers can be guaranteed that any damaged or loss of Mobile phone will be

service through those retail shops. Likewise, in opportunity aspect, Nokia has an

opportunity to convince the prospects to buy Nokia in those plenty of stores around

the town. However the key to success of Nokia will be services that are relevant with

flexible changing capabilities.(Nokia, 2002)

n Necessary Product For People Now

In recent years, businesses are involving among the downturn session, then every

people are more concerned about business. Especially, time is specific in rush

hours. As a result of this, mobile phone has become a popular device for everybody

in the world now, especially for businessmen who really need everything in advance

during specific time because time is money for them. Certainly, mobile phone has

already become a necessary device for every ultimate user nowadays. And both

Nokia and Ericsson have forecasted that number of global mobile phone subscribers

would increase from the current 300 million to a billion by 2003.(Merriden, 2001)

n New Software Market

Referring to the amount of data traffic in mobile networks is growing at a tremendous

rate. People around the world are using new mobile services, which is directly

relevant to personal needs. Definitely, it can access anytime, anywhere and, of

course, the innovative are fully provided to customer’s Nokia. And nowadays Nokia

has already added value through MMS for Messaging and E-mail, Java for download

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any applications and HTML especially for content search. So it may attract those

businessmen and teenagers who are interested in the new software market.(Nokia,

2002)

n Joint Venture In Technology

It is be known that, Nokia has already joint with Hewlett Packard (HP) Company; it

has a well reputation about computer programs for many years. As a result of this,

Nokia has a considerable opportunity for enlarge their market size into PC user who

prefers mobile phone compatible with PC device as well.(Merriden, 2001)

2.1.4 Threats

n Obsolete about PC tools if compare with new comers who have more

specialize on PC tools

Due to fierce competition in mobile phone amarket nowadays caused new

technology compatible with PC computer such as, SonyEricsson which specialize on

PC computer now. Sony applied their computer system into mobile phone as well as

PC computer on hand at the same time. Furthermore, nowadays people are

interested in advance of computer as similar as mobile phone market.

It is importat that most companines has move on the PC connected and try to bread

into the PC market. People want to use mobile anywhere and want to connect

Internet, therefore to own or to corporate with a Internet Network Service company is

the chance to join into the new PC market.

2.2 Environment Policy and Technology Development in The Future

2.2.1 Environment policy

Nokia’s slogan is “Technology is connecting with people”, which is explained that

Nokia respecte humen’s needs. Because of this reason, Nokia is dedicating to follow

environment policy, including environmental design, supply for network

management, systems of environmental management, and recycle practices. This

has became an important part of Nokia’s corporate culture. Indeed, Nokia had

guarantee to improve in environmental issues and had been published in 1994.

Therefore, Nokia has four dimensions of environment policy.(Nokia, 2002)

n Environmental Design

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Design for Environment means to consider the environmental system into the

development of all products, processes and services. It involves design processes

that minimize material and consume with energy while maximizing the prospective

for reuse and recycling.

n Supply for Network Management

Nokia set of environmental requirements for its suppliers strictly. The process for a

Nokia supplier included environmental assessment.

n Systems of Environmental Management

With ISO 14001 and certified environmental management system (EMS), which is to

reduce energy consumption and improve waste management, Nokia has not only

improved its production processes but also enhanced employee trainings. In

addition, the suppliers of Nokia have been also required to follow the same rules.

Indeed, Nokia has practice the environmental issues and reduced costs.

n Recycled Practices

Nokia claimed that it has operated recycled practices, such as energy returns and

materials back to circulation. According to these environmental policies, it is

debatable whether the environment policies of Nokia work. Actually, Nokia has

promote its products but does not promote its environment policies. Nokia has

produce new products to the mobile market, but sometime, these products have

different functions and different components, such as batteries. Although, Nokia

develops recycled batteries, but while customers change different type of mobile

phones, the batteries can be used. Nokia wants to promote new products and the

same systems of componets but the promotion activities do not work to reduce the

wast of natural resources. Indeed, there is a conflict between the environment

policies and promotion activies of Nokia.

2.2.2 Technologies Development In The Future

Generally, Nokia always improve their product line through Research and

development process, beside this Nokia also has multimedia compatible

improvement with mobile at the same time, such as, GPRS and WAP Service. Nokia

has numerous technologies which can satisfied those end-users need, such as,

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Bluetooth, Symbian, SYNCML, M2M, Wireless LAN and Java. Research (see

appendices) and development can ensure that it stays ahead of the existing

products, which seen to be shortening life cycles of product.(Marriden, 2001) And

Nokia employed more than 17,000 people in R&D department over fourteen

countries worldwide. Moreover, Nokia do not only mention on product. Nokia also

provided customers to choose the features and service that they personally want and

need. It means Nokia does not develop only their product line, but they improve their

service process to provide the most appropriate service to those customers

efficiently. (Research and Development also included in technology

development)

3 Conclusion

It may be argued that brand extention following the stretching path may be too

absurd. Crainer (1995) said, building business through elasticity may cause risks to

disperse the power of a brand, and to influence consumers’ loyalties. However,

Nokia has been successful at brand stretching from a paper manufacturer to supply

mobile phones and network service.

This report has argued about the kind of technology consumer need. “How to

promote the future of phones?”(BBC, 2001) Nokia has already joint with Hewlett

Packard (HP) Corporation Company. As a result of this, Nokia has a considerable

opportunity for enlarging its market size into PC users who prefers mobile phone

compatible with PC devic. In fact, Nokia has established some types of mobile

phones that are similar with handhold PC, like Nokia 9210, or Nokia 9110. These

kinds of mobile phone have diversified functions, such as colour screen, connecting

with Internet, and interacting with PC software. For instance, Nokia 9210 and Nokia

9110 consist of Microsoft Word, Microsoft Excel, and Microsoft Power Point and

other PC softwares. (Nokia, 2002)

However, Nokia does not promote these kinds of product deeply and widely. It

seems that Nokia can not successfully join into the new market. For example,

comparing with other brands’ mobile phones, Nokia is more expensive than its

competitors. Moreover, based on the limited technological resources, Nokia can not

improve its technology to attach with new PC age. For example, a comparation

between Nokia and Sony in terms of technological development is that Nokia has

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less abilities to develop high technologcial mobile phones which combine with PDA

or computer than Sony. In addition, Sony also has combine with Erisson to produce

mobile phones, and to improve its technological development.

Finally, the environment policy is also one of the most important business strategies

for Nokia, but it seems does not be operated well. For example, Nokia develops

recycled batteries, but while customers change different type of mobile phones,

sometimes the batteries cannot be used. Although, Nokia is successful in saling new

products, and building consumers’ loyties. There is a conflict between the

environment policies and promotion activies. Nokia, of course, has responsibilities to

change its promotion and development plans.

4 Recommendation

Nokia Company can be classified as market leader hereunder mobile phone market,

and it can be easily observe their wide range of product which may be too often to

change its model within one series e.g., Nokia 3210 until now Nokia 3350. Despite

the rapid change in one series, it still looks quite similar as the old model which has

just launched in the short period before. Because of this problem, in this report it

recommens Nokia to launch the product timely, and Nokia should have product life-

plan (specific time table) in order to inform and ensure the end-users who need to

buy a really new model. Nobody in the real world is willing to buy the product, which

is going to change and obsolete in the next few days. These can be helping Nokia in

the aspect of customer’s satisfaction and give the chance to the users to select.

On the other hand, Nokia has already become a partner of Hewlett Packard i.e. HP

where they specialize at computer tools, so it was a good chance for Nokia to

compete with the new competitors who specialize at computer, such as Sony,

Samsung and other companies. However, Nokia mobile company is too strong for

Sony and other new comers to Compete with it. In this report it recommens Nokia to

take this emerge opportunity to come over those competitors, because Nokia & HP

are strong enough to be the market leader as well as it was doing now. Due to this

factor, Nokia has highest price range compares with all brands; we can just

recommend Nokia that if price is floated unreasonably to the end-users, it is not the

good way for Nokia to achieve a long term goals. Reasonable price is the best way

for Nokia to gain both profitable and customer’s satisfaction.

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5 References

5.1 Books

n Crainer, Stuart (1995), “The Real Power of Brands”, published by Great Britain, pp

122-137

n Merriden, Trevor (2001), “Business the Nokia Way”, October, published by

Capstone Publishing Limited

n Zheng, Wen Bi (2001), “A Strategic Approach of Building National Techonology

Strength – Finland as Case Study”, 30 June

5.2 Periodical

n OECD (Organization for Economic Co-operation and Development) (1996), “OECD

Economic Survey of Finland, 1996”, Paris

n Science and Technology policy council of Finland (1996), “Finland: A Knowledge-

based Society”, Science and Technology policy council of Finland, Helsinki

5.3 Website

n BBC Online News (2001), “Promoting the future of phones”, 23 December,

(http://news.bbc.co.uk/1/hi/sci/tech/1723738.stm)

n Corporation Nokia (2002), “Nokia Connecting People,” 06 Auguest,

http://www.Nokia.com and http://www.Nokiainfo.com

n Liu, Wei Yi (2001), “The Global Enterprise of Finnish: Nokia” 26 June

(http://home.kimo.com.tw/liutaho/A54.htm)

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6 Appendices

n WAP: Wireless Application Protocol, which estimated to grow to over 200 million

users worldwide.

n GPRS: General Packet Radio Service can connect directly to data network just

turn on, tune in, and download whenever users like.

n MMS: Multimedia messaging service is very similar to Short Message Service

(SMS), or text messaging. It provides automatic, immediate delivery of personal

multimedia messages from phone to phone or from phone to e-mail.

n Blue Tooth: Bluetooth is a global factor standard for wireless connectivity. Based

on a low-cost, short-range radio link, Bluetooth cuts the cords that used to tie up

digital devices.

n Symbian: The Symbian OS platform provides a secure, reliable operating system

for mobile information devices. Being specifically designed for mobile devices - with

low power consumption and small memory footprint, Symbian will provide a stable

platform for the telecommunications industry.

n Mobile Commencer: Mobile commerce is creating entirely new opportunities both

for mobile phones and services such as banking, payment, and ticketing. Mobile

commerce means transactions using a wireless device and data connection, which

result in the transfer of value in exchange for information, services, or goods.

n SYNCML: Synchronization is intended to be a common synchronization protocol

that will allow devices to reach more types of networked information, create new

types of synchronizable services for consumers, and expand the choice of

interoperable data synchronization products. Ultimately, by defining a common

protocol, SyncML leads to an increased choice for consumers and a larger market

potential for vendors.

n M2M: Stands for: machine-to-machine, mobile-to-machine and machine-to-mobile.

Wireless technology is already managing data transmission and connection to the

Internet. So it makes sense to put it to work in machines. The M2M business is in a

phase of fast growth and M2M solutions are fast becoming a part of many

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companies' everyday life. Applications can be found in almost any segment or

environment.

n Wireless Lan: The Nokia Wireless LAN solution provides an excellent way to

extend the reach of local area networks (LANs). Instead of plugging into a wired LAN

wall outlet, users can quickly connect to the corporate network through users’ PC

and wireless LAN card for easy access to broadband data rates without wires.

Wireless LAN access zones at airports, hotels and other public places also allow

users to connect to their corporate network via the Internet, while the full range of

security features offer users reliable access to network resources.

n JAVA: Java™ technology consists of both a programming language and a

software platform. The Java™ platform can run on top of several operating

systems.Nokia is using Java technology to provide an open platform for developers.

Applications created with standard Java™ Application Programming Interfaces

should run in all compliant devices.

PRODUCTS

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