CONTENTS

PREFACE
ACKNOWLEDGEMENT
CERTIFICATE
DECLARATION
CHAPTER I INTRODUCTION
ABOUT PROJECT
AN INSIGHTOF COMPANY HISTORY
MISSION AND VISION
CHAPTER II OBJECTIVE OF THE STUDY
CHAPTER III RESEARCH METHODOLOGY
CHAPTER IV HR POLICIES OF NOKIA
CHAPTER V MARKETING STRATEGIES

MARKETING OBJECTIVES

FINANCIAL OBJECTIVES

SEGMENTATION

TARGET MARKETS

PRODUCTS

PRICE

PROMOTIONS

POSITIONING

PLACE

STRATEGIES

MARKET MIX

CHAPTER VI AREAS OF FOCUS

CHAPTER VII SWOT ANALYSIS
CHAPTER VIII PEST ANALYSIS
CHAPTER IX LOOPHOLES
CHAPTER X DATA ANALYSISAND INTERPRETATION
CHAPTER XI LIMITATION
CHAPTER XII CONCLUSION & SUGGESTION
BIBLIOGRAPHY
QUESTIONNAIRE

CHAPTER 1

INTRODUCTION
About Project
Nokia is a world leader in mobile communications, driving the growth and sustainability of the
broader mobility industry. Nokia connects people to each other and the information that matters
to them with easy-to-use and innovative products like mobile phones, devices and solutions for
imaging, games, media and businesses. Nokia provides equipment, solutions and services for
network operators and corporations.

Nokia Today
Today, Nokia is a world leader in digital technologies, including mobile phones,
telecommunications networks, wireless data solutions and multimedia terminals .Backed by its
experience, innovation, user friendliness and secure solutions, the company has become the
leading supplier of mobile phones, fixed broadband and IP networks. By adding mobility to the
internet, Nokia creates new opportunities for companies and further enriches the daily lives of
people. Nokia is operating in over 130 countries and 15 factories over 9 countries. Nokia spends
20% of net sales in research and development. Nokia registers on an average 5 patents every day.

Chairman:

Jorma Ollila

Vice Chairman:

Dame Marjorie Scardino

Head Office:

Finland

Revenue:

US $ 83.27 billion (year ended May, 2008)

Establishment in India:

1995

Branches in India:

Gurgaon, Mumbai, Kolkata, New Delhi, Bangalore, Hyderabad

and Ahmedabad.

Reported net sales of EUR 40,984 million (EUR 50,710 million in 2008)
Reported operating profit of EUR 1,197 million (EUR 4,966 million)
Nokia estimated mobile device market share 38%
Nokia had strong R&D presence in 16 countries
Nokia employed 1,23,553 people at year-end.

AN INSIGHT OF COMPANY HISTORY

HISTORICAL BACKGROUND OF NOKIA

NOKIA was established in 1865 as a wood-pulp mill by Knut Fredrik Idestam on the banks of
the Tammerkoski rapids in the town of Tampere, in south-western Finland. The company was
later relocated to the town of Nokia by the side of Nokianvirta river which had better resources
for hydropower production. That is where the company got the name that it still uses today. The
name Nokia originated from the river which flowed through the town. The river itself,
Nokianvirta, was named after the old Finnish word originally meaning a dark, furry animal that
was locally known as the nokia, or sable, or later pine marten.
Finnish Rubber Works established its factories in the beginning of 20th century nearby and
began using Nokia as its brand. Shortly after World War I, Finnish Rubber Works acquired Nokia
Wood Mills as well as Finnish Cable Works, a producer of telephone and telegraph cables. These
three companies were merged to form Nokia Corporation in 1967.
The new company was involved in many sectors, producing at one time or another paper
products, bicycle and car tires, footwear (including Wellington boots), personal computers,
communications cables, televisions, electricity generation machinery, capacitors, aluminium, etc.

The first Nokia century began with Fredrik Idestam's paper mill on the banks of the Nokianvirta river.
Between 1865 and 1967, the company would become a major industrial force; but it took a merger with a
cable company and a rubber firm to set the new Nokia Corporation on the path to electronics...Fredrik
Idestam establishes a paper mill at the Tammerkoski Rapids in south-western Finland, where the Nokia
story begins. Nokia Ab, Finnish Rubber Works and Finnish Cable works formally merge to create Nokia
Corporation.

The newly formed Nokia Corporation was ideally positioned for a pioneering role in the early
evolution of mobile communications. As European telecommunications markets were
deregulated and mobile networks became global, Nokia led the way with some iconic products...
1981: The mobile era begins
Nordic Mobile Telephone (NMT), the first international mobile phone network, is built.
1984: Mobira Talkman launched
Nokia launches the Mobira Talkman portable phone.
1987: Mobira Cityman birth of a classic
Nokia launches the Mobira Cityman, the first handheld NMT phone.
1991: GSM a new mobile standard opens up
Nokia equipment is used to make the worlds first GSM call.

In 1992, Nokia decided to focus on its telecommunications business. This was probably the most
important strategic decision in its history. As adoption of the GSM standard grew, new CEO
Jorma Ollila put Nokia at the head of the mobile telephone industrys global boom and made it
the world leader before the end of the decade...
1992: Nokias first GSM handset
Nokia launches its first GSM handset, the Nokia 1011.
1994: Nokia Tune is launched
Nokia launches the 2100, the first phone to feature the Nokia Tune.
1994: Worlds first satellite call
The worlds first satellite call is made, using a Nokia GSM handset.
1997: Snake a classic mobile game
The Nokia 6110 is the first phone to feature Nokias Snake game.
1998: Nokia leads the world
Nokia becomes the world leader in mobile phones.

1999: The Internet goes mobile

Nokia launches the world's first WAP handset, the Nokia 7110.

Nokias story continues with 3G, mobile multiplayer gaming, multimedia devices and a look to
the future...
2002: First 3G phone
Nokia launches its first 3G phone, the Nokia 6650.
2003: Nokia launches the N-Gage
Mobile gaming goes multiplayer with the N-Gage.
2005: The Nokia Nseries is born
Nokia introduces the next generation of multimedia devices, the Nokia Nseries.
2005: The billionth Nokia phone is sold
Nokia sells its billionth phone a Nokia 1100 in Nigeria. Global mobile phone subscriptions pass 2
billion.
2006: A new President and CEO Nokia today
Olli-Pekka Kallasvuo becomes Nokias President and CEO; Jorma Ollila becomes Chairman of Nokias
board. Nokia and Siemens announce plans for Nokia Siemens Networks.
2007: Nokia recognized as 5th most valued brand in the world. Nokia Siemens Networks commences
operations. Nokia launches Ovi, its new internet services brand.
2008: Nokia's three mobile device business groups and the supporting horizontal groups are replaced by
an integrated business segment, Devices & Services.

PRODUCTION UNITS

Networks technology
China
Finland
Germany
India
Mobile devices and technology
Brazil
China
Finland
Great Britain
Hungary
India
Mexico
Romania
South Korea

MISSION AND VISION

Vision of the future
"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.

Mission Statement

Customer To maintain customer confidence by continuing to provide quality service

specifically designed to meet their needs.

Market To be recognized as a market innovator in the mobile phone industry to

continuing to improve our business practice.

Business To ensure the team has a complete understanding of all Mobile Network
Internal Systems and Procedures and that each team member is responsible for
compliance with the Business Management System.

Training To develop ongoing training strategies to empower personnel with skill levels
essential for future company success.

The Team To create the best possible working environment, promoting career
enhancement and job security, encouraging trust in the company and loyalty to the
customer.

CHAPTER 2

OBJECTIVE OF
THE STUDY
To Know about the H.R. Policies of Nokia.
To know why H.R. policies are required.
To know the effectiveness of H.R. Policies of Nokia.
To know how the H.R. Policies make the target
organization goal achievable.
To know SWOT analysis of Nokia.
To know marketing Mix of Nokia.
To study briefly the H.R. Policies of Nokia.

CHAPTER 3

RESEARCH
METHODOLOGY
1 RESEARCH
DESIGN
1.TYPES OF
RESEARCH
DESIGN
2.RESEARCH
METHODOLOGY
3.SAMPLING
TECHNIQUES
USED

4.SOURCES OF
DATA
COLLECTION
5.DATA
COLLECTION &
ANALYSIS

3. 1 - Research Design:

A research design is a framework or blueprint for conducting

the marketing research project. It specifies the details of the
procedures necessary for obtaining the information needed to
structure and/or solve marketing research problem.

3.2 - Types Of Research Design:

On the basis of fundamental objectives of the research we can classify research design into two
general types:

1) EXPLORATORY RESEARCH
2) CONCLUSIVE RESEARCH
Exploratory research is one type of research design, which has its primary objective
the provision of insights into, and comprehension of, the problem situation confronting the
researcher.
Conclusive research is designed to assist the decision maker in determining
evaluating and selecting the best course of action to take in a given situation.
Conclusive research can be further divided into two types:-

Descriptive

Experimental

The research design used in this project is a DESCRIPTIVE DESIGN.

Descriptive study as the name implies is designed to describe something-for example the
characteristics of users of a given product, the degree to which the product use the varies with
income, age, etc.

3.3 - Research Methodology:

Since the study undertaken by me is related to the study of mutual fund in India, the
means adopted for collection of various facts and data were in the form of personal observation,
officials documents, and directly interacting with the officers concerned and also directly
interacting with the existing customers as well as new customer formed. It was an exploratory
research. Work is mainly emphasized on the primary data. Primary data are gathered form
prescribed questionnaire and by personal interview and the secondary data are collected from
different books and magazines.

3.4 Sampling Technique Used:

This research has used convenience sampling technique.

1) Convenience sampling technique: Convenience sampling is used in exploratory research
where the researcher is interested in getting an inexpensive approximation of the truth. As the
name implies, the sample is selected because they are convenient.

SELECTION OF SAMPLE SIZE:

For the study, a sample size of 30 has been taken into
consideration.

3.5 Sources of Data Collection:

Research will be based on two sources:

1. Primary data
2. Secondary data

1. PRIMARY DATA:
Questionnaire: Primary data was collected by preparing questionnaire and the people were
randomly being requested to fill them.

2. SECONDARY DATA:
Secondary data will consist of different literatures like books which are published, articles,
internet and websites.
In order to reach relevant conclusion, research work needed to be designed in a proper way.

STATISTICAL TOOLS USED

The main statistical tools used for the collection and analyses of data in this project are:

Questionnaire

Pie Charts

CHAPTER 4

HR POLICIES OF
NOKIA

WHY HR POLICIES?
Supplier shall have a Human Resources (HR) policy(ies), defining how
Supplier manages its employees. The policy shall be applicable locally and
globally, as relevant, and ensure employees are treated with respect and
dignity and in compliance with local labor law and recognized international
labor standards (i.e. ILO and relevant UN conventions). The policy(ies) shall
cover, for example, recruitment and exit, occupational health and safety and
equal opportunity. Where applicable, it shall cover also temporary labor and
employees working outside Suppliers premises (e.g., at Nokias premises).
Management shall ensure that the associated HR processes are
communicated and understood by HR personnel.

HUMAN RESOURCE
Recruiting and exit procedures

Supplier shall ensure that competent and eligible individuals are recruited
and appointed to open positions, according to competence, with equal
opportunity and on a voluntary basis. Supplier shall check the eligibility of
candidates and that they exceed the minimum legal age of employment.
Upon employment, individuals shall be provided with a work contract
/agreement /offer letter, basic induction training and not be required to give
financial deposits or original identity documents.
Employees shall be free to leave the company after giving reasonable notice.

 Supplier shall ensure that exit procedures are compliant with local
legislation, international labor standards and applicable collective
agreements.

1. Non-disclosure and confidentiality agreements

Supplier shall ensure that employees working with Nokia products or projects or having
access to Nokia specific knowledge, information or data, or to Nokia facilities, have
signed a Non-Disclosure Agreement (NDA). Supplier shall ensure that the employees
fully understand its practical implications.
2. Nokia specific training and certification
Supplier shall ensure, on request, that personnel allocated to Nokia work have the
necessary training on Nokia policies, products, processes and guidelines and, if needed,
have necessary licenses and certificates. Supplier shall ensure such licenses and
certificates are valid in terms of time and scope. Supplier, providing services at Nokia
facilities, including (Nokia's) customer sites, shall ensure that its personnel act in
accordance with Nokia values and Code of Conduct.

3. Performance management
Supplier should have a system to manage employee performance. Supplier should ensure
individual objectives are derived from company strategy and policies. Supplier should
ensure performance is evaluated fairly and objectively, against defined criteria and on a
periodic basis, to identify ways to improve performance.
4. Occupational health and safety protection
Supplier shall ensure that physical and mental working conditions allow employees to
perform their tasks safely and efficiently. Supplier shall have procedures for identifying,
minimizing and preventing hazards. Supplier shall nominate and train persons
responsible for the occupational health of employees. Supplier shall have specific
procedures in place for employees under the age of 18 (young workers).
5. Programs for improving environmental and ethical performance

Supplier shall set environmental and labor condition requirements (e.g., occupational
health and safety, ethical conduct) for its sub-suppliers, including waste
handling/recycling sub-suppliers. Evaluate their performance and set improvement
targets. The requirements shall be aligned with Nokia requirements. If a sub-supplier is
used for waste disposal, Supplier shall ensure it is appropriately authorized and licensed.
6. Employee amenities
Supplier shall ensure that employees are provided with access to potable water and clean
toilet facilities. Canteen facilities and food preparation areas shall be clean and safe, and
food shall be provided at reasonable cost. Employee dormitories shall be clean, safe
(equipped with, e.g., fire extinguishers and exits), adequately ventilated and/or heated,
shall provide reasonable personal space and shall be provided at reasonable cost.
7. Competence analysis
Supplier should periodically conduct competence analyses to identify the knowledge and
skills/competences required to perform the organizations business activities according to
short- and long-term strategic goals.
8. Competence development
Supplier shall ensure that employees, at all levels and with equal opportunity, have the
education, training and competence they need for their positions and tasks. Supplier shall
develop training plans based on competence analyses and implement them to enhance
and develop workforce capabilities. Supplier shall maintain a training register, detailing
the training employees have received.
9. Compensation and benefits
Supplier shall provide all employees (permanent, temporary, apprentices and contract
workers) with fair compensation (wages /salaries) meeting or exceeding local legal and
industry minimum standards, for regular as well as overtime work. Supplier shall also
provide employees with benefits to reward contributions, skills and behavior considered
vital to success. Compensation and benefits shall be aligned with relevant company
policies.
10.

Fair treatment

Supplier shall ensure that employees at its facilities are treated with respect and dignity,
equal opportunity and are safe from abuse, harassment or bullying of any kind (e.g.,
physical, verbal, mental, sexual, racial, cultural, age or disability related). Supplier shall
ensure company rules / guidelines are communicated to employees. Supplier shall ensure

that disciplinary procedures prohibit physical punishment and do not support financial
deductions, or the threat thereof.

HRM IN INTERNATIONAL CONTEXT

Wireless wizard Nokia is the world leader in mobile communications. Nokia is the world's
leading mobile phone supplier and a leading supplier of mobile and fixed telecom networks
including related customer services, ahead of Motorola, Siemens, and Samsung among many
others. Today, the Nokia Group comprises Nokia Telecommunications, Nokia Mobile Phones
and Nokia General Communications Products. Nokia's corporate world headquarters are located
in Helsinki, Finland, and Nokia is listed on the New York, Helsinki, Stockholm, London,
Frankfurt and Paris stock exchanges, has sales in over 130 countries and employs more than
47,000 people worldwide. In the last few years, the company has experienced explosive growth
in terms of both profit and headcount. In 1998, net sales totaled EUR 13.3 billion. Frankly, It is
hard to believe that less than a decade ago, one of the worlds leading innovators in the field of
mobile communications today, Nokia Mobile Phones, was hardly known. However now it is one
of leading mobile phone brands worldwide. Here, the essay concerns that how a clear and stable
human resource strategy to achieve such phenomenal growth and become the giant among the
communication rivals.
HRM in the new economy ought to be human centric with a strong technology focus. We need
to leverage on emerging technologies to better satisfy the wants and needs of the knowledge
workers, and in the process, build a competitive advantage that lasts.
Attraction and retention of talent have become the main external influence on Nokias human
resources strategies, as other companies also strive to be the employee r of choice.
At Nokia, the development of human resources is a business proposition, which endeavors to
delight its customers, motivate its employees and increase the agility and flexibility of the
management to address specific HR needs.. The HR manager is also challenged with the task of
providing the skills, cultures, atmosphere and processes necessary for e-knowledge and
capabilities
Firstly, according to customer satisfaction, many companies are aiming for high satisfaction to
get high customer loyalty. They Create customer satisfaction by manufacturing and delivering
products, solutions and services to meet customer needs. All of these are Nokias employees
basic action; they must respect and care their customer, and create them get the most value from
Nokia, both of products and service. In china, Nokia promise repair service within one hour, you
can get a present for regret if the repairing works were beyond one hour. And there are over 250
Nokia customer services. The hot lines for Nokia customers are available 365 days one year.

Secondly, Nokia is a global and multicultural company, in which individuals have a great deal of
responsibility and freedom to make independent decisions. Nokia believes in the importance of
the individual, whether he or she is an employee, business partner or customer. Nokia has nine
markets in the world, distributing the entire world. Therefore in different place, there is different
culture, language, value system, and business customs. So Nokia provides diversity opportunities
for different people who want to enjoy themselves. Making handsets profitably is one challenge.
Figuring out what increasingly confused customers want is another. Mobile phones used to be
about talking--anytime, anywhere. Now they're becoming devices for sending and receiving data
as well. More than half of new phones come with built-in browsers, and a growing number
include digital cameras or music players. Leaders in the PC business, including Microsoft and
Intel Corp. (INTC), have concluded that this is their moment to barge in. "The trends are playing
to our expertise," says Intel Vice-President Ron Smith, who is spearheading the chipmaker's bid
to sell processors and other technology to phone makers.
Nokia is committed to having a positive impact on society that extends beyond the advanced
technology, products and services the company creates. Through its cooperation with IYF and
other regional philanthropic and social responsibility programs, the company prepares young
people to embrace opportunities and possibilities created by the global economy and new
technological advancements. The company has been an active regional contributor to youth and
education causes for many years , with Nokia employees making their own contributions as
volunteers in a range pr programs throughout the world. or Nokias corporate citizenship
program Make a Connection was kicked off today in Seoul, Korea. The two-day conference on
20-21 November 2003 is designed to boost the degree of regional cooperation in the Make a
Connection Network and encourage the cross-utilization of best practices in corporate
community involvement. Nokias Korean Youth Program has reached more than 4000 Youth
Families and Friends after its first year.
Siemens eroded the position of the world's biggest handset maker, Nokia, whose global strength
is based on its position in Europe. Nokia's share fell to 34.2 percent from 35.9 percent a quarter
ago and 35.5 percent a year earlier. Nokia's weakness in Europe was partly offset by its
strengthening position in other regions, like Russia, India and China, but also by its new range of
cheap CDMA phones used in the Americas and parts of Asia.
Gartner's (which published third-quarter statistics for the industry) numbers confirmed a trend
also spotted by rival research firm Strategy Analytics on Friday, which noted that Nokia's
European market share had dwindled to 42.1 percent in the third quarter from 48.8 percent in the
second quarter. Strategy Analytics measures sales to distributors, while Gartner measures sales to
end-users.
The market for mobile phones could reach half a billion units this year, but its leaders, Nokia and

Motorola, are increasingly under pressure from rivals Siemens, Samsung and LG,
Nokia's strong performance with its CDMA products in the United States and China could help
offset the pressure from Siemens. Nokia's strong ties with component makers could also help it
overcome supply problems more easily than Siemens.

CHAPTER 5

MARKETING
STRATEGIES
Nokia maybe the world leader in the mobile phones arena, but it seems as if it has completely lost its way as
far as the marketing strategies are concerned NO DOUBT THAT the products from the Finnish company,
Nokia, are some of the very best in the world, but the company still hasnt found a profitable way to market
its goods. The very reason that other mobile phone companies are fast eating up Nokias market share is their
superior (yet simple) marketing practices.
Motorola and Samsung must now be in the FUW (frequently used words) list in Nokias board meetings.
These companies have made Nokia pay dearly for its rudimentary approach in marketing its phones. The

aggressive marketing practices followed by Motorola have hit Nokia very hard and it is losing very crucial
global market share every month to its American competitor.
Nokia, quite alarmed by the dropping sales of its phones, is now putting all its weight behind the N-Series
range. The N-Series is packed with multimedia features and Nokia believes that these phones might woo the
costumers back to the big daddy of the mobile phone world. But Espoo, we have a problem!! (Nokia is
headquartered at Espoo, Finland).
While Motorola (quite intelligently) gives a dashy-flashy name to every phone it brings into the market,
Nokia tends to do the exact opposite. Nokia from the very start has relied on numbers rather than names.
This strategy worked very well in the past, but only because there wasnt much competition back then. But
times have changed. Every month the market sees at least a dozen new handsets from an equal number of
manufacturers. Consumers now have more than they can choose.
Consumers are more attracted by names because they can thus easily relate to the features of the phone. This
is evident from the success of the MotoRazr, MotoSlvr, MotoRizr and MotoKrzr. These phones are not
packed with heavy multimedia features like the N-Series; still they are selling like hot cakes. Just by reading
the name of the handset, one gets a broad idea what the phone looks like or what its features are.
Nokia advertises more than Motorola. Still its market share is dropping. Motorola does not need to spend
much money for the promotion of its products and it doesnt have to worry about the marketing of these
phones; it just simplifies its job by naming its products right. Take the example of Apple. It did not have to
do much to promote its iPhone. Thanks to the leaked photos and technical specifications, it became the most
anticipated gadget of all times.
It is high time that Nokia starts applying some common sense to its marketing strategies. It doesnt have to
do anything great, other than just naming its phones. A few months ago, a highly placed Nokia official told
Reuters that his company would soon go the Motorola way and start using names for its new phones. It is in
Nokias best interest that it takes to this path as early as possible, otherwise the once market leader might see
its market share plummeting to even lower depths.

MARKETING OBJECTIVES
1.

Maintain positive, strong growth every quarter.

2.

Achieve a steady increase in market penetration.

3.

Achieve the expected growth rate of two years

4.

To maintain its position of Indias no. 1 cell phone producing company.

5.

Maintaining its reputation.

FINANCIAL OBJECTIVES

1.

Nokia is introducing a range of new handsets in Indian market for every income sector.

2.

Now Nokia is targeting the nerves of young generations and providing them with better facilities of
mp3, map, video, touch pad e.t.c.

SEGMENTATION
We know our country has very wide market and a marketer cant satisfy everyone in the market with every
product. Thus Nokia has identified and divided the cell phone (handset) market into different segments.
Nokia has divided, identified the different groups of buyers who require or prefer different features
(facilities) in their handsets by examining demographic, psychographic, and behavioral difference among
buyers.

TARGET MARKETS
Nokia had a total Revenue of 50.722 bn, Operating income 4.966 bn, Net income 3.988 bn , Total
assets 39.582 bn, Total equity 16.510 bn in 2008. With brands like Nokia cell phone, Nokia
accessories, headphone, ear phone, car kit, Nokia batteries. Nokia operates worldwide Nokia Siemens
Networks (previously Nokia Networks) provides wireless and wired network infrastructure, communications
and networks service platforms, as well as professional services to operators and service providers. Nokia
Siemens Networks focuses in GSM, EDGE, 3G/W-CDMA and WiMAX radio access networks; core
networks with increasing IP and multiaccess capabilities; and services.

On June 19, 2006 Nokia and Siemens AG announced the companies are to merge their mobile and fixed-line
phone network equipment businesses to create one of the world's largest network firms, called Nokia
Siemens Networks. The Nokia Siemens Networks brand identity was subsequently launched at the 3GSM
World Congress in Barcelona in February 2007
As of March 2009, Nokia Siemens Networks serves more than 600 operator customers in more than 150
countries, with over 1.5 billion people connected through its networks.

PRODUCTS
Product is the physical product or service offered to the consumer. Product includes certain aspects such as
packaging, guarantee, looks etc. This includes both the tangible and the non-tangible aspects of the product
and service. Nokia offers variety of handsets Nokia is famous for its long batteries and durable batteries.
Various models of Nokia cell phone.

On September 22, 2003, Nokia acquired Sega.com, a branch of Sega which has been the major basis to
develop the Nokia N-Gage device
In November 2007, Nokia announced and released the Nokia N82, its first (and currently, only) Nseries
phone with Xenon flash.
In 2008, Nokia released the Nokia E71 in the United Kingdom which was marketed to directly compete with
the other Blackberry devices offering a full keyboard and cheaper prices.

Other products are Nokia 6300, Nokia 6000 series, Nokia 1100 handset, Nokia 1110, Nokia 1600, Models
9000, 9110, 9210 and 9500Nokia-E66 Nokia-7210-Supernova Nokia-5800-XpressMusic Nokia-5130XpressMusic .Nokia n70, 73,95, 76,91,72 etc

PRICE
Pricing includes the list price, the discount functions available, the financing options available etc. It should
also take into the consideration the probable reaction from the competitor to the pricing strategy. This is the
most important part of the marketing mix as this is the only part which generates revenue. All the other three
are expenses incurred. The price must take into consideration the appropriate demand-supply equation.

The price of each handset increase or decrease with increase or decrease in demand of the hand sets

The current going prices of some of the products are

NOKIA 1200
Nokia n70
NOKIA N95
NOKIA N72
NOKIA 6300

Rs. 1300
Rs. 8000
Rs. 24000
RS. 6000
RS. 6500

Nokia-E66
Nokia-7210-Supernova
Nokia-5800-XpressMusic
Nokia-5130-XpressMusic

Rs.21000
Rs.5500
Rs.19000
RS 6000

PROMOTIONS
Nokia undertaken NO. Of promotional activities to permote its products like website (which provide full
information of the products), advertisements (the marketing method of advertisement is an effective way to
permote the products) the common methods of the advertisement is newspaper, TV. industry magazines.
Players and film stars are hired for the promotions of different products for e.g. Sharuk khan is hired by
Nokia to permote its products. Nokia has sponsored many cultural activities, sports events, sport teams, to
permote its brand.

POSITIONING
Nokia have positioned itself as the NO.1 hand set Provider Company in INDIA. And is the 2nd largest
company in the world. Founded by Fredrik Idestam, Leo Mechelin in 1871.in Espoo, Finland now it has
total 24,292 employees as of March 31, 2009 and more than trillions of customers all over the world. This
positioning has been achieved by vast experience of producing and meeting the customers needs.

PLACE
Place mainly consists of the distribution channels. It is important so that the product is available to the
customer at the right place, at the right time and in the right quantity. For placing its products Nokia uses
retails outlets, exclusive showrooms, mobile showrooms, websites, super marts, etc.

STRATEGIES
The single objective is to maintain the NO. 1 position in Indian market in cell phone products and
accessories. Serving the worldwide. The marketing strategies will seek to first create customers awareness
about the offered products and services and then develop the customer base, The message which is
communicating by The Nokia is that connecting people means a product which have same preference in all
and helps people to connect with each other or the features of the concern product This message can be
communicating by website, advertisement, T.V. adds, film stars which provide a rich resource of products
information.

MARKET MIX

THE 4PS OF THE MARKETING MIX:

Product:The product is the centre of the marketing mix and the other three P's are based around it.
Consumers purchase goods and services for a variety of individual reasons and a company must
be aware of all of these when selling a product (that is why they conduct market research). Nokia
does exactly the same and comes up with innovative phones almost every six months. The new
phones that Nokia launches have some new feature or price difference, thus appealing to the
consumer. Sometimes, Nokia launches special and limited editions of its mobile phones, on
special occasions such as the Olympics. In short they offer phones of great variety with various
designs and high quality.

Price:Price is a key factor in the selling of a product, and is usually the one that is open to the
most change based on different pricing strategies, for example, competitor based, penetration or
skimming. The three main factors affecting the amount charged for a product or service, are; the
cost of production, customer demand and competition. Since its entry into Indian mobile market
in 1995, it focused on manufacturing of mobile handsets based on GSM technology. Nokia built
a strong brand image with focused marketing and distribution network. It started focusing on the
low-cost mobile phone segment for rural markets in India, but, faced stiff competition from Sony
Ericsson, Samsung, and Motorola who also started offering low-cost handsets. Nokia has come
up with the perfect prices for each and every consumer segment in the market. A lower middle-

class person can go for a Nokia 1200 costing around Rs. 1200 while an executive can opt for N96 costing around Rs. 33,000.

Place:This refers to the chosen outlets for a product or service, for a product to be very
successful it must be easy to access, Nokia mobile phones are very easy to access nowadays,
they are sold in supermarkets, Nokia Priority, Nokia Care and specialized outlets (eg.: The
Mobile Store).

Promotion:This involves providing information to the customer over a variety of media platforms,
using radio, television and print advertising as well as using other promotional tools such as
"money off deals" and "free giveaways". The advertisements that Nokia comes up with are very
successful in targeting the customers in a consumer market. The advertisements are made in such
a way that it appeals to the psychology of the consumer.

CHAPTER 6

AREAS OF
FOCUS
To achieve their business objective, their strategy focuses on: being the preferred provider of
solutions for mobile communications; creating personalized communication technology; driving
open mobile architecture enabling a non-fragmented global mobile services market;

strengthening and leveraging Nokia, the trusted brand; and expanding our business and market
position on a global basis.
Mobile Communications The aim is to position Nokia as the preferred provider of
products and solutions for mobile communications by providing leading communications
networks that enable end-to-end service delivery for both cellular and broadband
networks. They develop leading high-capacity cellular networks, platforms and user
applications for the mobile Internet, end-to-end broadband access solutions and
Professional Mobile Radio systems.
Personalized Technology They want to strengthen their leadership position in converging
personal digital terminal solutions. They build on their core competencies in various key
areas, including design and product innovations, brand development, and effective
demand/supply network management, to
bring new product concepts and associated
services to market.
Driving Open Mobile Architecture Nokias key commitment is to create a global and
open mobile software and services market. They aim to achieve this through strong
partnering with customers, suppliers and industry participants, and solid focus on end-toend solutions in all their development activities.
Strengthening the Brand-- According to a variety of consumer surveys, the Nokia brand is
associated with well-designed, high quality and technologically advanced products and
customer services that are also user-friendly. Having invested considerable resources in
establishing the Nokia name as the leading brand in mobile communications, they intend
to sustain and enhance the brand through aggressive advertising, sponsorship and other
marketing activities in all of their principal markets. Its a belief that the leading market
position provides significant opportunities for Nokia to better understand and respond to
the usage patterns of end users, and thus enhance the Nokia brand.
Expanding The Business-- For more than a decade, they have actively expanded their
business globally. They, therefore benefit from strong economies of scale throughout the
organization. Nokias strategy is to continue focused pursuit of global business
opportunities by cultivating a strong local presence in all growing markets and pursuing
partnering and acquisition opportunities in order to obtain complementary technologies
and market positions.

CHAPTER 7

SWOT
ANALYSIS
SWOT ANALYSIS OF NOKIAS STRATEGY
There are various tools which can be employed to understand the effectiveness of a companys
strategies. SWOT Analysis outlines the Strengths, Weaknesses, Opportunities and Threats
facing the operating strategy of a company.
Analyzing the effectiveness of strategies, strength and weaknesses can be defined as internal to
an organization. The businesses do not necessarily have to correct all its weaknesses however; it
should be able to retain its strengths. The key success factor for operating in the targeted market
depends on the external factor, i.e. Opportunity. Nokia has numerable opportunities to enlarge its
market share, however, they could be faced with a threat which could be challenge posed by an
unfavorable trend or development that may lead into absence of defensive marketing action and
thus diminish sales and profit.

SWOT ANALYSIS

STRENGTHS
Global Products and Image Nokia is a global company. It not only sells its products to
130 countries but also sets up research and development departments in fifteen countries
to produce its products in different culture and language needs. For example- English,
Dutch, German and Chinese.
High Quality Products 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. Meanwhile, it also continuously improves upon the
existent markets.
Serving new designs and trends Nokia launched a wireless game which by use of sms,
TV, print media, radio and internet provides clues to help players to solve a mystery. This
helps Nokia to attract customers to use its products.
Wide range of products Nokia has the highest number of product line (more than 10
models) compared to its competitors Samsung, Ericsson, Motorola etc.
Product Warrantee Worldwide No matter where Nokias customers are, if they got a
problem with their mobile phones, they can approach any of the Nokias centres.Thus,
ensuring a good customer service.

WEAKNESSES

High Price Nokia offers a good range of high quality products at high prices Though
the high prices may be justified in terms of the costs to the company but this can act as a
weakness in certain sections of the market e.g the middle-low income group people.
Demand is skyrocketing but the price pressure is high.

New product developing problems Although Nokia provided colour screen mobile
phones in September 2002, this was late as compared with its competitors such as Sony
Ericsson and Samsung. This acted as a weakness as the people had already accepted the
range introduced in the market and didnt want to switch.

OPPORTUNITIES

Joint venture in Technology Nokia has joined with Hewlett Packard (HP) Company in
technology which has a very good reputation for many years. Nokia thus, has a
considerable opportunity to enlarge their market size into PC users who prefer mobile
phones compatible with PC device.

Product launch continuously - Nokia uses Total Quality Management (TQM) which
mentions more about training worker program, and makes product of high quality. All
employees are well-trained and motivated and consecutively production processes are
also developed as well. Nokia has established Research and Development department
(R&D) which develops its product line into modern modification as well quality as the
existing products.

New Software Market As known, the amount of data traffic in mobile networks is
growing at a tremendous rate. People around the world are using new mobile services,
which are directly relevant to personal needs. Nokia has already added value through
MMS for Messaging and E-mail, Java for download any applications and HTML
especially for content search. So it may attract those businessmen and teenagers who are
interested in the new software market.

Easy Availability - Many mobile phone retail stores, such as, the link, Phone4U and
Carphone warehouse, have spread across London in every street. And, of course, every
store has not missed the opportunity to choose Nokia as their product line. Consequently,
all the customers can be guaranteed that any damage or loss of Mobile phone will be
serviced through these retail shops.

THREATS

Threats in PC Markets - Due to fierce competition in mobile phone market it has

caused new technology compatible with PC computer. Sony Ericsson specializes 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. In this sharp competition, it is
going to be harder for Nokia to grasp customers attention and they will have to focus on
outstanding imagination and creativity in their marketing plans.

Fluctuations in Euro exchange rates Most of the European countries have

joined the European Union and thus because of the varied economic conditions, the
currency will fluctuate a lot finally effecting the profits of the company.

Blurring of product boundaries This implies new entrants in the same industry like
Sony, Motorola etc. who are producing almost the same product range as Nokia and thus,
there is a need to change their models.
Keeping in mind the weaknesses and threats, Dan Steinbock in an article called the
Nokia revolution outlines the secrets behind the success of Nokia.
Apart from the SWOT analysis, the effectiveness of Nokias strategies can also be
analysed looking at the environment in which it operates.

CHAPTER 8

PEST
ANALYSIS
PEST
Nokia, is an international organization which requires to focus on macro environmental factors.
Macro Environmental factors comprise Political, Economical, Society and Technology, viz.,
PEST Analysis. In view of the different culture and different external factors between different
countries, Nokia has to adjust its strategic plan in order to develop international market.
Political Factors
It is important of a company to acquire certain kind of policies from its government, such as the
economic policy, and science and technology policy. Finnish policies assist Nokia to advance its
products.
The Finnish policies are the most important factors behind Nokias success. 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 pursued by Finnish government and the Parliament are
crucial for the development of both, the Finnish Economy and of national information society.
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
and improvement in employment. As the result of this, not only Finnish Government but also
international companies, such as Nokia, have to play very important roles to develop their
information society and national technology strength.
Economic Factors
According to the fact that Russian Federation was collapsed in early 1990s and it clashed with
Finnish economics. Nokia also faced problems, and changed its functions from single market and
overall products to global market and focusing mobile phone market.
During the first half of the year 2001, Nokia continued to perform strongly in the global mobile
communications market and was able to strengthen its leading market position. However, the
general economic slowdown in the US has recently shown signs of extending to other regions
and to the wireless telecommunications industry as a whole. The slowdown could be a result of
general market deterioration - driven by economic uncertainty, the ongoing technology transition
and less aggressive marketing by the operators.'
In a press release on June 12,2001 it was quoted that Nokia saw slower market growth
affecting second quarter results and was to take up actions to expand leadership while
maintaining strong profitability.
Nokia will continue to take determined actions in all areas of the business to align its operations
with the changing market conditions. Previously announced moves to increase the companys
efficiency and competitiveness include operational changes to further enhance customer focus in
Nokia Networks.
While market deterioration has had an inevitable impact on Nokia's sales growth, their products
have remained strong, their market position has strengthened and they have been able to find
further
efficiencies
through
tight
control
of
their
own
performance.
Nokia has countered changing market conditions by accelerating ongoing programs and
generating efficiencies and cost savings. This, in combination with the current financial health
and proven performance, should enable them to exit the current slowdown in a stronger position
than before.
Social
At Nokia, their whole business is based around communication and connecting people. One of
Nokia's aims is to make it as easy as possible for their people to be satisfied working with them.
Thus, it keeps various stakeholders interests in mind.

Nokia develops products and services that encourage communication and learning among people
and societies. They are using their strengths - connecting and communicating - to help make a
difference. It complements the core business and their vision to be involved with the youth and
education issues around the world, preparing young people for their future.
The goal is to be a good corporate community member wherever they operate, as a responsible
and contributing member of society. Sharing in the belief that prevention is better than cure, they
take part in long-term projects aimed at helping young people to create a firm foundation for
themselves and to find their place in the world.
Technological Factors
In the 1980s, there was a trend towards microcomputers and Nokia tried to match this tendency
by producing its main products as computers, monitors and TV sets. Due to the changes in
1990s, Nokia also changed its functions to mobile phone market. .
Sustainable development and environmental protection have various effects on the operation of
the innovation system. Innovation also creates new opportunities for promoting sustainable
development.
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 satisfy those end-users
need, such as, Bluetooth, Symbian, SYNCML, M2M, Wireless LAN and Java. Nokia employed
more than 17,000 people in R&D department over fourteen countries worldwide. They 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 also improve their service
process to provide the most appropriate service to those customers efficiently.

STP ANALYSIS
SEGMENTATION AND TARGETING: Entry level: (Rs 1,200-3,000):- Nokia targeted low income people and first time mobile
buyers in this series. Sets include are 1200, 1208, 1100, 1110, 1112 etc
Classic Series: (Rs 7,000-17,000):- Nokia targeted decent people in this series. Sets
include in this series are 6300,6233,6120,3120 etc
N gage Series: (Rs 8,000-16,000):- Nokia targeted game lovers in this series .These sets
include game like play station, PSP and Xbox.

 N- Series: (Rs 7000-35,000):- Nokia targeted the young generation who wanted to
possess mobiles with the latest technologies such as a 5 MP camera, a decent music
player, GPRS, etc. This series is also called multimedia computer. Named as one step
ahead multimedia. Sets include N72, N81, N95, N96, N97, etc
E-Series: (Rs 10,000-60,000):- These mobiles were launched for people who needed
mobile computing on the go especially business people. These phones are enabled with
word, spreadsheet and presentation software. They also are equipped with GPRS/ EDGE
technologies thus functioning as a palmtop. Sets include E90, E75, E61, E62, etc
Xpress music Series: (Rs 6,000-20,000):- Nokia launched this series basically for the
people who loved music. Good Dolby digital earphones and long battery life are the
features of these mobile phones. Sets include 5800, 5610, 5320, 5310, 5220, etc
Premium Series:(Rs 80,000-1,500,000):-In this series Nokia targeted people who show
visual status. Sets include in this series are Sephiraarte, 8800Gold, 8800arts etc

POSITIONING:Positioning of a product refers to creating an image about a particular product. Nokia has
been very successful in this strategy.
Nokia has created a distinct position in customer mind by: Nokia logo:

Slogan:

Standard Ringtone
Standard message tone.
Long battery backup.
User friendly mobiles.

 The specific message that is conveyed to the customers in every advertisement is:
Nokia enable you to get more out of life.
These specific aspects have been embedded into the mindset of the consumer in such a way that
every time they saw the logo or heard the ringtone they associate it with a Nokia product. Hence
Nokia has been very successful in positioning it products in the market.

SOME ACHIEVEMENTS FOR NOKIA

Ranked No 1 Most Trusted Brand Survey by Brand Equity, 2008

Ranked as the Most Respected Company in Indian Consumer Durables Sector in 2007
as per an annual survey conducted by BussinessWorld, Indias leading business weekly

Ranked the No 1. MNC in India by BusinessWorld, Indias leading business weekly,

2006

Ranked as the No. 1 telecommunications equipment vendor in the country by Voice &
Data for five consecutive years 2008, 2007, 2006,2005 and 2004

Ranked as the 9th Most Powerful Brand by Millward Browns BrandZ 2008

Ranked worlds 4th Most Valuable Brand by Interbrand, 2007

Ranked Asias Most Trusted Brand by the Media-Synovate, 2006

CHAPTER 9

LOOPHOLES
No doubt that the products from the Finnish company, Nokia, are some of the very best in
the world, but the company still hasnt found a profitable way to market its goods. The very
reason that other mobile phone companies are fast eating up Nokias market share is their
superior (yet simple) marketing practices.
Motorola and Samsung must now be in the FUW (frequently used words) list in Nokias
board meetings. These companies have made Nokia pay dearly for its rudimentary approach in
marketing its phones. The aggressive marketing practices followed by Motorola have hit Nokia
very hard and it is losing very crucial global market share every month to its American
competitor.
Nokia, quite alarmed by the dropping sales of its phones, is now putting all its weight
behind the N-Series range. The N-Series is packed with multimedia features and Nokia believes
that these phones might woo the costumers back to the big daddy of the mobile phone world. But
Espoo, we have a problem!! (Nokia is headquartered at Espoo, Finland).
While Motorola (quite intelligently) gives a dashy-flashy name to every phone it brings
into the market, Nokia tends to do the exact opposite. Nokia from the very start has relied on
numbers rather than names. This strategy worked very well in the past, but only because there
wasnt much competition back then. But times have changed. Every month the market sees at
least a dozen new handsets from an equal number of manufacturers. Consumers now have more
than they can choose.

Consumers are more attracted by names because they can thus easily relate to the features
of the phone. This is evident from the success of the MotoRazr, MotoSlvr, MotoRizr and
MotoKrzr. These phones are not packed with heavy multimedia features like the N-Series; still
they are selling like hot cakes. Just by reading the name of the handset, one gets a broad idea
what the phone looks like or what its features are.
Nokia advertises more than Motorola. Still its market share is dropping. Motorola does
not need to spend much money for the promotion of its products and it doesnt have to worry
about the marketing of these phones; it just simplifies its job by naming its products right. Take
the example of Apple. It did not have to do much to promote its iPhone.

CHAPTER 10
DATA ANALYSIS &
INTERPRETATION
1 Do you have H.R. Policies in your organization?
.
(a) Yes

(b) No

It is interpreted that 83% employers are have H.R. Policies in their organizations.

2 Are H.R. Policies are helpful for the growth of

.

organization?
(a) Yes

(b) No

It is interpreted that 16 employers have H.R. Policies in their organization.

3 Does your organization have policies related to pay rolls?

.
(a) Yes

(b) No

It is interpreted that 16 employers of organization have policies related to pay rolls.

4 Does your organization have policies related to

.

absentism?
(a) Yes

(b) No

It is interpreted that 15 employers of organization have policies related to absentism.

5 Do you prefer Nokia on other organization?

.
(a) Yes

(b) No

It is interpreted that 20 employers of prefer NOKIA.

6 Do you believe H.R. Policies of Nokia of are strong

. enough?
(a) Yes

(b) No

It is interpreted that 22 employers believe HR policies of NOKIA.

7 Are you satisfied with the H.R. Policies of your

.

organization?
(a) Yes

(b) No

It is interpreted that 22 employers Satisfied with HR policies of NOKIA.

8 Do you think H.R. Policies are helpful when it comes to

overall growth of the organization?

(a) Yes

(b) No

It is interpreted that 20 employers believe H.R. Policies are helpful when it comes to overall
growth of the organization.

CHAPTER 11

LIMITATION
1. Non Cooperations of Respondents :2. The respondent was not cooperative at the time of
survey.
3. They were hesitating to talk with the strangers.
4. Language Problem:5. The problem of English was occurring.
6. Shortage of time.

7. The time period was not fulfilled.

CHAPTER 12

CONCLUSION
& SUGGESTIONS
SUGGESTIONS
A company has to choose among those market segments and build products suitable for the
chosen segments. Customers have to be aware that the products recognize their needs, so
positioning is important for the success of such strategic decision. However when analyzing
Nokias segmentation strategy, it does not become clear what the segmentation actually is. The
products are not positioned well in the market, and customers may have hard time choosing
among Lumia series. This problem could be making customers to turn to one of Nokias rivals
such as Samsung, which have positioned well their products and are letting their customers know
that their company provides what they need. We believe this is really harmful forth company as
the Lumia phones are important strategic point for Nokia in its journey of regaining its lost
ground in the Indian Smartphone market. If Nokia introduce other products in the Lumia series,
it would be useful for the company to follow a simple framework for segmentation strategy.
formulation.

Also it should use the promotion part of the marketing mix to position itsproducts, and inform
the customer of what Nokia offers and for whom.

CONCLUSION
Nokias mission is to regain its leadership position in the Smartphone market. The
Company sees greatest potential for achieving its objective in the partnership with
Microsoft. According to the environment analysis the most serious problem for the
Company is the threat from existing rivals.
Nokia has built some interesting products in the Lumia series, with very impressive
Technologies and beautiful designs. However the market success of these products
has not been so great and Nokia did not achieve its goal of becoming a market
leader in India. Nokia has introduced its flagship device at a high price with very
innovative technology and has position it in the high-end costly Smartphone
market. The product is introduced by implementing differentiation strategy.
According to the analysis the reason for this is wrong implementation of marketing
strategy and specifically problems with the positioning of the products. This
strategy implementation is correct according to the analysis, as the product is
introduced with aggressive marketing mix, targeting the mass market. Lumia 925
has seen great interest in the Smartphone market in India.

BIBLIOGRAPHY
Kotler Philip, Keller K.L., Koshy A., Jha M. (13 th Edition, 2009), Marketing Management- A
South Asian Perspective, Prentice Hall of India.
http://www.nokia.com/about-nokia/company/vision-and-strategy
Nokia says 40%-plus handset market share possible, Paul de Bendern, infoworld.com, May
4, 2001.
http://www.nokia.co.in/about-nokia
Nokia expects to meet estimates CNET Tech Sites: By Reuters, September 12, 2001.
Merriden Trevor, (2005),Business: The Nokia Way.
Johnson Gerry and Scholes Kevan, Exploring Corporate Strategy, 6th edition, Prentice Hall
London, New York.
Porter Michael E, Competitive Strategy Techniques for analyzing industries and
competitors (1980), MacMillan publishing Co. New York.
http://www.news.bbc.co.uk/1/hi/sci/tech/1723738.stm
http://www.amanet.org/books/catalog/081440636x_history.htm
http://reinholm.com/strategic%20management.htm

QUESTIONNAIRE
Name

..............................................................................

..............................................................................

................
Occupation
................
Gender

Male/ Female

Mobile No. .......................................

Address

.......................................................................................

.........

Q.1

Do you have H.R. Policies in your organization?

(a) Yes

Q.2

(b) No

H.R. Policies are helpful for the growth of

organization?
(a) Yes

Q.3

(b) No

Does your organization have policies related to

pay rolls?
(a) Yes

Q.4

(b) No

Does your organization have policies related to

absenteeism?
(a) Yes

Q.5

(b) No

Do you prefer Nokia on other organization?

(a) Yes

Q.6

Do you believe H.R. Policies of Nokia of Nokia are

strong enough?
(a) Yes

Q.7

(b) No

(b) No

Are you satisfied with the H.R. Policies of your

organization?
(a) Yes

Q.8

(b) No

Do you think H.R. Policies are helpful when it

comes to overall growth of the organization?
(a) Yes

(b) No

Place
Date

Signature