Vertu: Nokia's Luxury Phone
Unit: 3 Vertu: Nokia’s Luxury Mobile Phone Case Study Analysis
Kaplan University
School of Business
MT460 Management Policy and Strategy
Author: Joyce Kerns
Professor: Dr. Finlay
Date: September 11, 2012
Vertu: Nokia’s Luxury Mobile Phone
Introduction
Nokia which is headquarters is located in Finland is a global telecommunications equipment manufacturer (Kwong & Wong, 2011). Stephen Elop the new CEO of Nokia announced a new mobile strategy to adopt Microsoft’s new but unproven Windows phone as its primary smart phone operating system (Kwong & Wong, 2011). The day of his big proclamation the stock market to a 14 cent dive. Vertu was the luxury mobile phone that was founded by Frank Nuovo in the 1990’s. Stephen thought that maybe just maybe that the Vertu would be able to put Nokia back on top and raise the company stock.
Synopsis of the Situation Stephen Elop announced that the company was to adopt Microsoft’s new but unproven Windows phone as its primary smart phone operating system. The day he made this proclamation the company’s stock dived 14 cents. In order to save the company he made a bold move and entered into a strategic partnership with Microsoft to create new global mobile ecosystem. This strategic partnership led the way to the creation of the Vertu Luxury phone founded by Frank Nuovo.
Key Issues
A key issue with Nokia was that fact the company’s stock took a 14 cent dive. The major key issues that were presented in an internal memo were that there was a lack of accountability, leadership and internal collaboration that leads to Nokia’s inability to deliver innovative products in a timely manner (Kwong & Wong, 2011).
Define the Problem The problem that needs to be fixed is that Nokia is having a hard time to deliver innovative products in a timely manner.
Alternative Solutions Stephen Elop after realizing that Nokia’s home grown Symbian mobile operating system was outdated decided to search or an
Kaplan University
School of Business
MT460 Management Policy and Strategy
Author: Joyce Kerns
Professor: Dr. Finlay
Date: September 11, 2012
Vertu: Nokia’s Luxury Mobile Phone
Introduction
Nokia which is headquarters is located in Finland is a global telecommunications equipment manufacturer (Kwong & Wong, 2011). Stephen Elop the new CEO of Nokia announced a new mobile strategy to adopt Microsoft’s new but unproven Windows phone as its primary smart phone operating system (Kwong & Wong, 2011). The day of his big proclamation the stock market to a 14 cent dive. Vertu was the luxury mobile phone that was founded by Frank Nuovo in the 1990’s. Stephen thought that maybe just maybe that the Vertu would be able to put Nokia back on top and raise the company stock.
Synopsis of the Situation Stephen Elop announced that the company was to adopt Microsoft’s new but unproven Windows phone as its primary smart phone operating system. The day he made this proclamation the company’s stock dived 14 cents. In order to save the company he made a bold move and entered into a strategic partnership with Microsoft to create new global mobile ecosystem. This strategic partnership led the way to the creation of the Vertu Luxury phone founded by Frank Nuovo.
Key Issues
A key issue with Nokia was that fact the company’s stock took a 14 cent dive. The major key issues that were presented in an internal memo were that there was a lack of accountability, leadership and internal collaboration that leads to Nokia’s inability to deliver innovative products in a timely manner (Kwong & Wong, 2011).
Define the Problem The problem that needs to be fixed is that Nokia is having a hard time to deliver innovative products in a timely manner.
Alternative Solutions Stephen Elop after realizing that Nokia’s home grown Symbian mobile operating system was outdated decided to search or an
References: Kwong, K. & Wong, K. (2011, September 28). Vertu: Nokia’s luxury mobile phone for the Urban Rich. (Report No. W11208). Watertown, MA: Harvard Business Publishing.