Nokia is a world leader in mobile phone industry, but its market share has recently been diminished by tough competition in the smart phone market. It targeted rural markets with mobile phones that are affordable and, the mobile phones were not only for the communication but also for varied purposes like torch light, radio etc. Farmers use it during nights as a torch light. Nokia was able to fully penetrate and conquer the still untapped rural mobile phone market. Nokia plans to conquer the untapped rural market by providing additional services like information on agriculture, microfinance, weather reports. Background:
In 1865, an engineer named Fredrik Idestam established a wood-pulp mill and started manufacturing paper in southern Finland near the banks of a river. Those were the days when there was a strong demand for paper in the industry, the company's sales achieved its high-stakes and Nokia grew faster and faster. The Nokia exported paper to Russia first and then to the United Kingdom and France. The Nokia factory employed a fairly large workforce and a small community grew around it. In southern Finland a community called Nokia still exists on the riverbank of Emäkoski. Finnish Rubber Works, a manufacturer a Rubber goods, impressed with the hydro-electrcity produced by the Nokia wood-pulp (from river Emäkoski), merged up and started selling goods under the brand name on Nokia. After World War II, it acquired a major part of the Finnish Cable Worksshares. The Finnish Cable Works had grown quickly due to the increasing need for power transmission and telegraph and telephone networks in the World War II. Gradually the ownership of the Rubber Works and the Cable Works companies consolidated. In 1967, all the 3 companies merged-up to form the Nokia Group. The Electronics Department generated 3 % of the Group's net sales and provided work for 460 people in 1967, when the Nokia Group was formed. In the beginning of 1970, the telephone exchanges...
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