The Rise and Fall of Nokia

Team 11 2012955312 2012955647 2012955738 2008118762 2011950080

Li Ming Sun Wei Wu Hao Ko Hing Tobey Chen Duo

Porter Diamond Model

1. Demand Condition 2. Factors Conditions 3. Structures of Company and Rivalry 4. Related and Supporting Industries 5. Government 6. Chance

Demand Condition
1. Geographical Condition 1. Demand Changes Sparsely populated and Functionality inhospitably cold countries User Experience 2. Cost Condition 2. Market Saturation Wire-line $800 Cost Leadership Wireless $500 3. Severe Competition ?

Factors Conditions
1. Human Resource 1. Expertize Lost Professional in 2. Patents Out of Date Productivity 3. Operation System 2. National Competitive Obsolete Strategy 3. Patents 4. One of the Members of EU

Structures of Company and Rivalry

1. The Structure of Company : Functional Organization M Form 2. Sharp Horizontal Competition 3. Focus on Driving Down Cost 4. Human Technology 1. Lack of Innovation 2. Only Focus on Symbian 3. The Appearance of Competitive Operation System

Related and supporting industries

1. Nokia R&D Centre 2. Wireless Technology Development 3. Advanced Supply Chain System 1. Reduction Funds in R&D Investment

Government
1. No Entry Barriers 1. No More Government Support 2. No Tariff in EU 2. No Export Subsidy 3. Government Development Fund -- Finish Funding Agency for Technology and Innovation -- National fund for R&D 4. Minimized Government Interference

Chance
1. New Trend in Mobile Phones 1. Reposition 2. State of the Art Technology and Patent (Pure View & Pure Motion) 3. Focus on Cooperation

retained or outsource?
1. Retained: Technology R&D Market Software Services 2. Outsourced: Symbian R&D Manufacture

Threat
Innovation IOS & Android -- Lose of Market Share (Samsung) Ignore USA Market Laws and Regulations