Nokia's new CEO five challenges: High-end products weak service strategy failure

Source: Internet
Author: User
Keywords CEO high-end products
Beijing time September 10 Evening News, Elop (Stephen Elop), who has been the president of the business sector in Microsoft, will replace Kallasvuo (Olli-pekka Kallasvuo) as president and chief executive of Nokia. To lead Nokia back to its former glory in the smartphone world, Elop faces serious challenges.  Foreign media today published articles, sorting out the main challenges it will face. The weak high-end mobile phone product line Nokia's smartphone has long relied on its Symbian operating system.  In terms of shipments, Nokia could still make a profit, but when Apple released the iphone in 2007, Nokia's flaws were revealed. Thanks to good performance in markets such as China, India and Indonesia, Nokia still clearly occupies the first place in mobile phone shipments.  But its weakness in the smartphone sector has made Apple the most profitable handset maker. Nokia has been slow to respond to Apple's touch screen technology. Apple and Android's publisher, Google, already has a group of developers, and Nokia still needs to nurture it.  That gives consumers little reason to choose Nokia.  Kallasvuo said in April that the new Symbian system would be postponed until later in 2010 as a key weapon against Apple, and that a further upgrade would have to be pushed back to 2011, a disappointment to investors.  After the launch of N95 in 2006, Nokia has been short of iconic high-end handsets, ceding territory to Apple, which is the leading company in technology design and marketing.  The collapse of America's market position in the late 1990s, Nokia took over Motorola's position as the world's number-one handset maker, and the key to its success was that Nokia both made money and created consumer influence. But that influence is long gone. Now Nokia's share of the US market has fallen below 10%. Behind Apple, Samsung and LG.  Nokia is frequently absent in the United States, the world's most advertising-effect market, and at a time when it is most in need of such a market. When he took over Nokia in 2006, Kallasvuo a heavy promise-he would concentrate on solving Nokia's problems in the U.S. market, at least one weeks a month.  But it turned out that he had not cashed in. In the US market, the biggest obstacle for Nokia comes from large telecoms operators such as At&t and Verizon.  Nokia insists on designing and selling mobile phones, which, in some people's view, is arrogant. The old Nokia executive's appointment to Stephen Ello has removed a lot of complaints about Nokia.  The company has long been slow to inject fresh blood into the company's personnel. Nokia Board Chairman Jorma (Jorma Ollila) and Kallasvuo have been working together since the 1980sFor。  At that time, Nokia began to invest in the inexperienced mobile phone business and gradually stripped away some non-core businesses, such as monitors, televisions, car tires and cables. Stephen Ello's appointment has driven the internationalization of its management. The Vice-Chairman of the board was from the Chory Scadino (Marjorie Scardino) of the board of directors from Pearson, and in the Executive committee there were Alberto Torres from Venezuela (Alberto Torres) and the American Mary Mcdaul (Mary  McDowell). The unsuccessful Internet service strategy as one of the important jobs in Kallasvuo, Nokia seeks to promote higher profit margins of internet services to face the ever-tightening hardware profit margins.  But the strategy has stalled or failed altogether.  The company's service-Cornerstone Ovi Store is still being developed compared to the number of users attracted to Apple's App store. Nokia launched a media-sharing website called "Sharing the Share on Ovi" in February 2008, but in 2009 the site was left out of the cold.  The game service Gage, like the sales-tired mobile phone it launched in 2003, came to an end this year.  Nokia said the remote file Access service, the Ovi files, will be closed from October 1. Nokia has yet to disclose the operating data of its bundled music service, "comes with music", which allows users unlimited downloading of music during a one-year service period.  But Nokia has said its performance in Europe is not up to expectations. Nokia also remains to be seen whether a dizzy investment in its services business will be profitable. 2007, Nokia took 8.1 billion dollars to acquire digital map dealer Navteq.  In January, to boost sales and prices, Nokia said it would provide free navigation services on its handsets. Can withstand the battle of the telecom market cut-throat Nokia has long said that through the previous Nokia Network (NX) and the subsequent joint venture company Nokia Siemens Network NX Competition in the market,  It has the advantage of making mobile products better suited to telecom networks. This may be the right one. Nokia's mobile phones typically perform well on the quality of their phone calls.  The company also has a large number of mobile phone patents, although it also makes it a huge cost.  The decline in operator investment and competition from Chinese manufacturers Huawei and ZTE have kept the telecoms equipment market in a difficult time. The Nokia Siemens Network said in July that it would buy Motorola's network equipment business at a price of 1.2 billion dollars to try to increase its customers from North America and Japan, narrowing its gap with leader Ericsson. (Kevin)
Related Article

Contact Us

The content source of this page is from Internet, which doesn't represent Alibaba Cloud's opinion; products and services mentioned on that page don't have any relationship with Alibaba Cloud. If the content of the page makes you feel confusing, please write us an email, we will handle the problem within 5 days after receiving your email.

If you find any instances of plagiarism from the community, please send an email to: info-contact@alibabacloud.com and provide relevant evidence. A staff member will contact you within 5 working days.

A Free Trial That Lets You Build Big!

Start building with 50+ products and up to 12 months usage for Elastic Compute Service

  • Sales Support

    1 on 1 presale consultation

  • After-Sales Support

    24/7 Technical Support 6 Free Tickets per Quarter Faster Response

  • Alibaba Cloud offers highly flexible support services tailored to meet your exact needs.