Apple

The research proposal

1. The management problem

As we know, Nokia was a big player in high-end market. It was keep maintaining over 40% of the mobile market share in the whole world, especially in the smart phone area. However, Monopoly and loss the dynamics of innovation is the biggest obstacle for Nokia. Nokia started losing its market and the brand value is keep decreasing since 2008 compare with its competitors. That will be the main problem that I believe Nokia is facing at the moment.

2. The current situation

“Nokia was one of the dominant global players in the world of mobile communication. But today, Nokia is being left behind by Apple and Blackberry. The company's stock price has fallen from a high of about $40 per share to less than $10 per share, reflecting the decline in the business.” By Tim Calkins. Nokia have announced their financial report, the sales drop year after year. The net sales were down 19% on 2008, drop nearly 20% on 2009 and drop 16% on 2010. Furthermore, Nokia is continuing loss their market share in most regions. When new iphone started to boom the market, Apple has set the standard for a new generation of smart phone. While many mobile phone companies like Samsung and HTC started to adopt the Android operating system. The product development of Nokia cannot catch up, screen is too small, weak performance of mobile internet, outlook is not attract enough, and the aging operating system. Consumer starts to realize Nokia is old, and decide to give up their smart phone. And inside of Nokia, the manufactures facing the mature market, it has been struggling in the research and developing, gradually losing the initiative to more innovation firm like Apply Inc or Samsung. Finally, we have reached Nokia’s true problem: it isn’t fast enough in its software development. That is a big problem that has to be address and solve.

3. Changes needed

Nokia desperately need a high-end smart phone operating system, because the...