Nokia: An incomplete revolution

Source: Internet
Author: User
Keywords Nokia
The business world is always full of enterprise's helplessness and bystander's "anxious", perhaps choose to carry on this not thorough revolution, not necessarily correct, but it is Nokia today only acceptable change way. "We're in a burning platform and there's been a lot of explosions on this platform--a number of hot fire spots surround us."  "This is not a rendering in a disaster novel, but rather a description of how the company is facing the current dilemma," said Nokia CEO Elop.  February 9, a Nokia internal memo circulated through the media, the new CEO, who has been in office for less than half a year, said that Nokia's market share is shrinking under the impact of Apple, Google and Shanzhai, especially in the mobile Internet, where the once-dominant mobile phone industry has come to the brink of death. On February 11, at the Nokia Investor conference in London, he unveiled Nokia's new strategy to redeem itself: announcing a alliance with Microsoft, which will use Windows Phone as its smartphone platform to replace the old Symbian system, and say it will slash jobs around the world, Use years time to complete the strategic transformation.  Like any big change, Nokia's strategic transformation has brought a storm-like impact on its original system. After the news, 12,000 of thousands of desperate Nokia engineers took to the streets to express their protest. Along with the engineers who are directly damaged by these interests, Nokia's small shareholder groups have also rallied strongly against Elop's radical strategy.  On February 16, a group of Nokia's small shareholders asked him to resign, and opponents were more than a record of his Microsoft-born resume, pointing out that Elop was the spy that Microsoft placed in Nokia. The natural dislike of turbulent capital markets is straightforward: Nokia's shares tumbled 14% on the day the new strategy was announced, and the Royal Bank of Finland immediately downgraded the Nokia stock from Buy to sell, and critics say it has given up on Symbian,  Switching to a brand new mobile operating platform for Nokia, the Big Mac, is bones, and years's strategic transition is likely to make Nokia's position in the global handset market more awkward. And in Nokia's history, the first non-Finnish CEO, Elop, the lack of dynamism in the strategic response to the mobile Internet in the previous few years has made Nokia less likely to keep up with the big trend, and now Nokia's brand has fallen not only in the North American market, but also in the UK at the doorstep of 20%,  To reshape Nokia's leadership in the market, it must be more accountable for reform.  The old industrial landscape if there is a time machine, Nokia shareholders naturally hope that the time will be back to 10, even 5 years, when Nokia really sunny days. Since the 90 's, has become the mobile phone industry leader, by 1999 to become Europe's most valuable company, and then to 2007 with 7.2 billion euros of net profit swept high schoolIn the low-end handset market, Nokia has been the industry leader for more than 10 years.  And with the European hard-working rigorous style, Nokia is not standing in the position of the boss to be complacent, for a long time, even if the smartphone is in the bud, Nokia relies on its constant investment in research and development to guide the development direction of the mobile phone industry. One example of the industry's relish is the fact that, in response to the reality of rural power shortages in many developing countries, Nokia has customized a flashlight-enabled, Low-cost, 20-dollar handset for developing markets. To further optimize the use of mobile phones, Nokia has hired a large number of anthropologists to examine their habits in Indian villages. Nokia, which is the leader of the mobile phone innovation trend, has been making all sorts of bizarre innovations around the world, which has created a unique advantage that Nokia handsets have so far struggled to overcome in hardware design.  Even in 2010, when Nokia was losing its mobile phone market, its research and development investment remained as high as $4 billion, twice times more than that of Apple. However, the research and development of huge investment is spread to every corner of mobile phone application, although Nokia has been working on the rules of the game over a long period of time, listening carefully to consumer opinion, studying market trends and actively investing in new technology, all innovation is the icing on the road of the established industry.  Accustomed to the leader's step-by-step, the organization of the increasingly large Nokia gradually infected with the big corporate disease-no longer accustomed to thinking from the strategic level, never-ending innovation always stay in the tactical and product level, but inadvertently left an opportunity for the subversive.  In the era of the non-intelligent machine, Nokia along the rules of its own game can easily put Motorola, Samsung, these competitors firmly suppressed, but once the rules of the game, once the industry advantage will instantly become Nokia's huge burden.  The subversive is Apple. When it comes to the mobile phone industry, Jobs said, "Our goal is to develop the best products in the world, not the biggest equipment makers." Nokia is the biggest equipment manufacturer and we don't want to be Nokia and we want to do it ourselves. Nokia has 50 of dollars in products, and we can't make out a 50 dollar smartphone. "Apple's redefinition of smartphones overturns the entire rules of the game-the smartphone is no longer an entertainment-enabled phone, but a communication-capable entertainment terminal, and calling and texting are just as common as many apps."  For Nokia, which has been doing all sorts of additions on a phone, it's no different.  What makes Nokia more frightening is that the redefinition of the phone is causing a butterfly effect in the mobile phone industry chain, where the handset is no longer a stage for the hardware manufacturer, and the software and applications become the new frontier of industry competition. For about two years, Android has created a platform that attracts application developers, service providers, and hardware manufacturers. Android, which starts at the high-end market, hasWon the midrange market and used its potential to hit a low-end handset market below 100 euros.  In the eyes of Nokia, Google, which is not the same as mobile phones, has built an ecosystem in the mobile market.  At this time Nokia is like a lost king--he spent more than 10 years struggling to finally reach the peak of power, but the revolution in the coming, once the throne was deposed, once he stepped at the foot of the subjects have kingmakers new June, the former to high power at this time instead became its comeback of the biggest heart.  Once in the non-smartphone era Nokia's defeated Motorola, Samsung and HTC have also defected, into the ecosystem of Google to build, relying on the Android platform to the old Nokia killed engagement.  The trend is so, in the original road of small repair for Nokia, has no significance, in the face of the alliance has been a rival, Nokia can do is to abandon its original rules of the game, according to Elop said is "to establish or join an ecosystem."  And who has chosen to build or join an ecosystem, the most pressing question for Nokia is who to work with.  Looking at the entire mobile phone industry, the only Apple-like iOS platform and Google's Android platform that really make up the ecosystem, Apple's iOS platform is too closed, and if it is really going to join an ecosystem, it seems Nokia will have to choose Android. In fact, Motorola and Samsung, which had been suppressed by Nokia in the market share, had already defected to the Android camp, relying on its own hardware and Android software to nibble on the midrange smartphone market, and Motorola, which had been on the verge of collapse two years ago, was in the Indian-born CEO Sanjay ·  Under the leadership of the Android platform, Samsung's Galaxy series of smartphones has also swept the midrange smartphone market with a good experience. But in the face of Google's "Rebel", the former king, Nokia, was unable to put down his posture – the defection to the Android camp meant that Nokia had become a complete OEM for the Android platform, and the former defeated Motorola to make the Android platform.  Although Nokia still has a decent ability to make hardware, it is not something that the proud Nordic people can accept, completely becoming a plumber. Moreover, Nokia's new CEO, although aggressive but also strategically follows the direction of the former CEO Kallasvuo era: In the smartphone landscape, using its own operating system to occupy a place, rather than become another MediaTek.  And Google, as a complete revolutionary in the bones of the lack of compromise genes, if to join the Android platform, Nokia will not be enough to say the right. Unable to join an ecosystem, Nokia can only choose to re-establish an ecosystem, fortunately, he met the same in the mobile Internet in the world of the very lonely Microsoft. and NokiaMicrosoft has become more mobile than ever.  In this partnership, Microsoft not only provides Nokia with "billions of dollars" of financial support, its newly launched Windows Phone 7 mobile phone operating platform is Microsoft's own mobile phone operating system a complete revolution. Compared to previous mobile operating systems, Windows phone 7 builds the most convenient platform for mobile phone developers. Silverlight development software enables designers and technical personnel to perform their duties, greatly shortening development time and reducing development costs.  For example, a need for speed applications on the Windows Phone 7 platform development time is equivalent to the iOS platform on the development time of 1/6, which greatly accelerated the time to market mobile phone applications.  In terms of user experience, Windows Phone 7 is a more intuitive way to improve the traditional mobile phone interface, with Microsoft's success in the Xbox platform and the ability to design its own capabilities, and Windows Phone 7 has become a powerful tool for Microsoft to regain the smart-machine market.  For Nokia, the cooperation with Microsoft will enable Nokia to maintain a certain degree of ownership in the process of cooperation, but more importantly, the two companies in the hardware and software advantages of their respective advantage once good integration, enough to build a iOS and Android platform outside the ecosystem.  An incomplete revolution, like any big family marriage, the perfect background may not bring the ideal outcome, Nokia and Microsoft's marriage is still a lot of uncertainties. Looking at Windows Phone 7 alone is enough for any developer to covet: a very short development cycle, a refreshing experience, but these highlights are overshadowed by the relative closeness of Microsoft's operating platform.  Windows Phone 7 does have a qualitative leap compared to the previous Windows Mobile, but the product experience has done a good job, and if it is closed to intensive cultivation, how to adapt to the fast-changing mobile internet market? On the other hand, when making products everywhere thinking to do addition to perfect thinking, so that Microsoft's products and competitors are too unwieldy, for the high demand for processors so that Windows 7 more or higher end of the route, Nokia in the low-end and even the midrange market,  There is no suitable alternative to Symbian in a short period of time. For some time, Symbian mobile phones are still the mainstream of global shipments of Nokia, in the Android phone from the end to the low-end force and the dual squeeze of handset manufacturers, Nokia's market share can only continue to shrink.  What is more uncertain is that cooperation with Microsoft will require at least two years to complete the strategic transformation of Nokia, the fast changing speed of mobile Internet development can give Nokia a solid market position time? Many of the proponents of this partnership hold a view: "Can you beat the pattern of pillars why not try? Really not, you can also work with the Android system.  "But look at Nokia's 3-year time from what position, to see the mobile Internet industry-wide changes in the landscape, this curve where there is a" really do not then what "opportunity? Perhaps, as the once-dominant Nokia now needs to lay down its posture and start a more radical revolution, rather than simply pillars the mobile phone in terms of closeness and Microsoft's creation of a new ecosystem, letting its unwieldy body follow the new rules of the game, it is better to go on an open platform,  Use the advantages of their hardware and sales platforms to make yourself an open platform for a mobile operating system, redefining the rules of the game, rather than struggling to catch up with the competitors behind them.  In any case, there is not enough market to lose the opportunity to brand and revival, and to win the market sometimes need to lower the former leader that Noble head, from the nobility into a tenant, this is an outsider seems easy but very difficult to be accepted by the enterprise option. The business world is always full of enterprise's helplessness and bystander's "anxious", perhaps choose to carry out this not thorough revolution, not necessarily correct, it is only Nokia today the only acceptable way of change.
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