The Rise and fall of Nokia Harvard Case Solution & Analysis

The Rise and fall of Nokia Case Solution  


Competitive edge:

The CEO, Kari Kairamo,developed and adopted various creative marketing and advertisement techniques. The most popular marketing and advertisement stunt that the business ever pulled out was the introduction of the first cell phone MbiraCityman in which the Soviet Union president Mikhail Gorbachev was photographed while making a call for the first time ever with a mobile phone to Moscow from Helsinki. However; the most critical strength that enabled competitive advantage for the business was the extensive research and development strategy of the management of the company that accounted for up to 7.5% of the sales revenue of the company.


The decline in the performance in terms of revenues and operating margins of the company was due to the decline in revenues of the consumer electronics segment of the business that accounted for roughly 70% revenues of the company. This was due to differences and internal power struggle between the CEO and the president of Nokia Vuorilehto, who wanted to become the new leader of the company.


Competitive edge:

The restructuring of the operations of the company by the CEO Vuorilehto into various departments and divisions as per their divergences in operations and services assisted the business well. The company was divided in to six separate working divisions and they were Networking, Mobile Phones, Nokia Data, Cables and Machinery, Basic Industries and Consumer Electronics. This facilitated each division of the business to attain its own efficiencies and vision. The effectiveness and clarity of the vision in the operations of the company is itself a competitive advantage however; the critical edge of the company over the competitors was the head start and prior affiliation with the wireless networks of the GSM networks and this assisted the business when the secularization of the European markets began and the demand for the GSM networks and services rose.........................

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