Funkero Ffity

nes are pervasively and ubiquitously integrating into our on-the-move digital work environments by replacing laptops and conventional mobile phones. The main reason of their popularity is all-functions-in-one-device philosophy. Smartphone market is one of the fastest growing markets in the world today but there is hardly any detailed research that studies its dynamics. This paper is based on two analysis, first the demand analysis and second the forecast analysis of smartphone industry. In demand analysis, two models have been proposed to underline the factors that are playing a crucial role in today's smartphone market. First one is the "Aggregate Demand Model" which explains the factors affecting total demand/sales of smartphones in a region. This model has been applied on US and China markets. "Company Demand Model" explains the factors affecting worldwide demand/sales of a particular company within the industry. Demand analysis of four biggest smartphone manufacturers namely Nokia, Research in Motion (RIM-Blackberry), Apple and HTC has been done using this model.

In forecast analysis, Holt-Winters and deterministic trend regression technique has been found to fit the data best. On the basis of these two techniques future sales of smartphones have been predicted for the period of 2010-2014. The analysis concludes that the smartphone industry will grow with a CAGR of almost 27% in the next five years with US and China as promising markets. Nokia's growth will be slowest while Apple and HTC will grow quickly over the years to come.