SWOT analysis of Nokia

SWOT analysis of Nokia

(Connecting People )

Strengths                                                  

• Nokia world’s largest producer and Manufacturer of  Cell Phone as well as has the largest Distribution network around the world.
• It is also known for the Creativity, Inattentiveness  durability & reliability.  
• It has very good Financial possition , higher return on equity (ROE), return on assets (ROA) and net profit margins (NPM)
• Nokia leads the global Cell phone industry
• Nokia dominates the world cellular industry because it has the Strong R & D facilities.
• Nokia also possessing the all fashion strategies and four style new generation characteristic from manufacturers
• It has diverse work force and advanced technology.

Weaknesses

• It has declared its profits had dropped by 40 % in 2010.
• Nokia MobilePhone prices are higher as compare to the prices of china mobiles handsets.
• Nokia presence in the US cellular industry is very low and in Japan it has very weakposition.
• In India Nokia has few Service Center  and very appalling after sale service 
• In Japan Nokia closed the mobile handset distribution and also canceled the distribution of E71 handset due to low market preference.

Opportunities 

• In 2011, the global cell phone industry expected to grow by double digits
• Today, Asia-Pacific mobile phone industry is one of the fastest-growing industry in the world.
• Developing countries like China, Bangladesh, India and Pakistan has enormous demand potential.
• Nokia had a 50-50 joint venture with Simens of Germany
• Youth wants the stylish aesthetics, fashionable handsets, it drive the new market for players.

Threats

• Consumers are becoming more complicated in the choice of handset due to new styles by china mobiles.
• Difficult for sellers to differentiate their products and retain  loyalty.
• Nokia is facing very strong price pressure from china and other mobile producers  
• Nokia is losing global market share after the arrival of several Chinese producers
• In the Asia/Pacific emerged competitive forces.
• Apple, RIM and the other different sellers have created strong pressure for Nokia.