SM374
Strategic Management and Leadership
Group Assignment

Sarah Moss
05007223
BA (Hons) Business Studies

Jerusha.Karunananthy.Selvadurai
08024110
Accounting and Finance

Matthie Gilli:
08020373
International Business Management

Artemiy Osipiyan
08023593
Finance and Investment management

Ashleigh Logan
06007636
Business with Human Resource Management
Overview
Nokia is an international company that operates in the communication industry. However for this strategic analysis we will concentrate on the largest area of this industry that Nokia produces for the Telecommunications industry. Nokia’s main role is the manufacturing and sale of mobile phones. It is estimated that ‘1.6 billion mobile phones will be sold in 2008’ (Nokia.com 2008) In 2007 Nokia held 38% market share making them the market leader, offering products for a variety of consumers. The product range of Nokia varies from standard handsets to high tech, high quality mobile phones targeted at teenagers, women, men and business people.

External Analysis

PESTEL Analysis
Political / Legal: • downloading music illegally can make individuals liable for prosecution (at least in developed countries), • Possibility to register a patent, Nokia can secure a new technology to reduce the risk to be copied • A contract with a network operator could be difficult to break the relationship. When buying a mobile, individuals are getting the phone at a reduced price or free on the basis on their contract, compared to if you buy “only” the mobile. So the issue with this situation is that the longer you may be under contract, the longer you may not buy a new mobile

Economics: • In the current economic climate most major countries, are now in a recession. This meaning people are less willing to spend. • There is quite a saturated market; accounting for possible sales decrease • Possibility to do Foreign Direct Investment especially in Asia to drive