TBS 920 International Business Strategy :Nokia India Country Strategy

Topics: Nokia, Mobile phone, India Pages: 12 (1514 words) Published: May 15, 2014
Prepared by: Manoj Gulati - 4130157

TBS 920 – International
Business Strategy


Curriculum and Business Profile

Company profile
Guest country profile
Economic, Cultural and Political Analysis
Technological Analysis
Entering and functional strategies
Marketing Strategy of Nokia in India
SWOT & PESTEL analysis

Company profile
• Formed in 1865 by mining engineer Fredrik Idestam in a
village named Nokia in Southwestern Finland
• First business was in wood pulp mill
• In 1920, Finnish Rubber Works was acquired by Nokia
• 1922, Finnish cable works merged in Nokia and Nokia was
know as footwear (galoshes) and tyres, went on to
manufacture rubber bands, industrial parts and raincoats.
• Nokia Ab, Finnish Cable Works and Finnish Rubber Works
officially merge in 1967. The new Nokia Corporation has five businesses: rubber, cable, forestry, electronics and power
• 1970s that Nokia started taking an active interest in the power and electronic business

Company profile
• 80s approached, Nokia strived to radically cut down the number of different businesses it had, especially like the non-core IT and focus on two core business – mobile phones and
• 1981, Nokia made Nordic Mobile Telephony (NMT) mobile phone standard
• 1987, it launched Mobira Cityman, the first NMT phone.
• A Finnish company, Radkilinia, was the first company receive GSM network from Nokia in 1991 which was supplied by Nokia
• 1997 Nokia had supplied GSM systems to 59 operators in 31 countries
• 1992, Nokia 1011 the first GSM phone was introduced
• 1994 was set to sell 500,000 units, and Nokia managed to sell 20 million.
• January 2004, Nokia reorganized itself into four business groups – mobile phones, multimedia, enterprise solution and networks

Company profile



India country profile
Capital New Delhi
Size 3,214 km (north to south), 2,933 km (east to west)
Area 3,287,263 sq km
Divisions 28 states and 7 Union Territories
Neighbors Pakistan, Afghanistan, Bangladesh, Burma, Nepal,
China, Tibet, Bhutan & Sri Lanka
Population 1.3 billion and above
Official languages Hindi, English, 15 regional languages, 1500 languages & dialects
• Government Parliamentary Democracy
• Currency Indian Rupee & paisa


Economy of India
• Gross Domestic Product

• Inflation Rate


Key Economic & Telecom indicators

GDP at market price (1996-1997)
GDP - Real Growth Rate (1996-1997)
Wholesale price index (WPI) (Mar. 1996)
Inflation (Feb. 1996) based on WPI
Foreign exchange reserve (Mar. 1996)
Exports (1996-1997)
Imports (1996-1997)
Foreign exchange rate (Apr. 1997)
Telephone lines (Jun. 1997)
World's largest telephone network (May 1996)
Tele density (Jun. 1997)
Growth in tele density (Mar. 1997)
FDI in Telecom Sector (Sep. 1997)

USD 530.30 billion
8.1 %
4.1 %
4.1 %
USD 145.1 billion
USD 60.98 billion
USD 94.80 billion
1USD=INR 42.89
80.4 million
20th position
USD 3.20 billion

Economy of India
• GDP composition by sector
Significant influence on industry and services sectors in India Household consumption is the major player for the GDP composition 17.20%




Cultural ,Political and Legal Analysis
• India is a multilingual, democratic system
• It’s a secular country with many religion and Independence • National language of India is English but there are 26 other major languages.
• There is a split of State and central government
• President of India is the Head of the State, while the Prime Minister is the Head of the Government in the central Government
• The head of each state is called the Governor who is nominated by the President of India, Each State as a Chief Minster and his state government ministers who are elected by the people...

References: CIA, 2013. Central Intelligence Agency. [Online]
Available at: https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html
CIA, 2013. Inflation ranks. [Online]
Available at: https://www.cia.gov/library/publications/the-world-factbook/rankorder/2092rank.html?countryname=United
india, i. o. i., 2013. investment opportunities in india. [Online]
Available at: http://investmentopportunitiesinindia.wordpress.com/
Overgaard, L., 2010. An analysis of Indian Culture in, Aarhus University: Department of Language and Business
Communication,Aarhus School of Business .
StudyMode, 2007. studymode.com. [Online]
Available at: http://www.studymode.com/essays/Uae-Cultural-Analysis-106488.html
Indu, P. (2005), “Nokia’s Strategy in India (BSTR174)”, IMCR Case Collectin, ICFAI Center of Management Reseach,
Web 1 : “Nokia 's Big Plans for India”,
http://www.businessweek.com/globalbiz/content/aug2007/gb20070831_914354.htm?chan=search, August 31, 2007
http://r2.nokia.com/nokiahistory/index.html, © Nokia 2003, last accessed on 25/08
Web 5 : “Nokia leads India 's GSM market with 79 pc mkt share”, http://www.economictimes.indiatimes.com, 26 Dec, 2006
Web 6 : “Nokia to invest $75 mn more in Indian operations “, economictimes.indiatimes.com, 5Dec, 2007
Web 7 : “Pakistan Cricket Team Visits Nokia Concept Store”, www.nokia.com, December 06, 2007
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