INCOMPANY TRAINING REPORT

IN

NOKIA PVT. LTD.

ON

CUSTOMER PREFERENCE
FOR NOKIA
SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT
OF BACHELOR OF BUSINESS ADMINISTRATION (BBA)
GURU JAMBHESHWAR UNIVERSITY, HISAR.

TRAINING SUPERVISOR:
_____________________
REGIONAL MANAGER

SUBMITTED BY:
BABITA GANDHI
ENROLLMENT NO. ___________

SESSION: 2006-2009
DIRECTORATE OF DISTANCE EDUCATION
GURU JAMBHESHWAR UNIVERSITY OF SCIENCE AND
TECHNOLOGY, HISAR

DECLARATION
I, Babita Gandhi student of Bachelor of Business Administration from Guru
Jambheshwar University, Hisar hereby declare that I have completed In Company
Training Report on CUSTOMER PREFERENCE TO NOKIA as part of the course
requirement.

I further declare that the information presented in this project is true and original to the
best of my knowledge.

BABITA GANDHI
BBA
TIT, PITAMPURA

CERTIFICATE

This is to certify that Ms. Babita Gandhi, Enrolment No. 6511202002 has
preceded under by supervision her Research Project Report on CUSTOMER
PREFERENCE TO NOKIA in the specialization area Marketing.
The work embodied in this report is original and is of the standard expected of a
BBA student and has not been submitted in part or full to this or any other
university for the award of any degree or diploma. She has completed all
requirements of guidelines for Research Project Report and the work is fit for
evaluation.

Signature of Supervisor/Guide (with SEAL)

NAME

DESIGNATION

ORGANISATION

Forwarded by Head/Director of Study Center

(With signature, Name & SEAL)

ACKNOWLEDGMENT
I am deeply grateful to my project guide Mr. Raman Rastogi & Dr. Mani Manjari
who has helped me in completion of this project. They have been a constant
guiding force and source of illumination for me. It entirely goes to their credit that
this project has attained its final shape. I would like to thank them for their
valuable advice and guidance.
I am also thankful to all the respondents who spared their valuable time for filling
up the questionnaire and helped me out with this project.
Finally, I would like to thank officers at Cadbury India for there cooperation, which
helped me in completing the project.

BABITA GANDHI
BBA
TIT, PITAMPURA

CONTENTS
Executive Summary

Chapter 1 : Introduction to the Industry

Chapter 2 : Introduction to the company

12

Chapter 3 : Research Objective and Methodology

34

Chapter 4 : Data Analysis

39

Chapter 5 : Recommendations and Conclusion

51

Bibliography

55

Annexure

57

EXECUTIVE SUMMARY
Research has demonstrated conclusively that it is far more costly to win a new customer
than it is to maintain an existing one. For this purpose it is essential to know the level of
customer satisfaction. The focus of my research was the measurement of customer
satisfaction level for the products provided by Nokia. The research was done for the
corporate clients of Nokia.. Finally the results of the research verify the fact that keeping
the customer satisfied is the best strategies to not only retain the existing customers but
also to expand the business to new horizons.

CHAPTER 1
INTRODUCTION TO THE
INDUSTRY

HISTORY OF MOBILES IN INDIA

Mobiles
The technology that gives a person the power to communicate anytime, anywhere - has
spawned an entire industry in mobile communication. Mobile phones have become an
internal part of the growth and efficiency of any business .The most prevalent wireless
standard in the world today, is GSM. The GSM Association (Global System for Mobile
Communications) was instituted in 1987 to promote and enlargen the adoption,
development and development and evolution of the GSM standard .
The GSM Association was formed as a result of a European Community agreement on
the need to adopt common standards suitable for cross border European mobile
communications. Starting off primarily as a European standard, the Group Special Mobile
as it was then called, soon came to represent the Global System for Mobile
Communications as it achieved the status of a world-wide standard. GSM is today, the
world's leading digital standard accounting for 68.5% of the global digital wireless
market.
The Indian Government when considering the introduction of cellular services into the
country, made a landmark decision to introduce the GSM standard, leapfrogging
obsolescent technologies .

Although cellular licenses were made technology neutral in September 2005, all the
private operators are presently offering only GSM based mobile services. The new
licensees for the 4th cellular licenses that were awarded in July 2001 too, have opted for
GSM technology to offer their mobile services.

CHAPTER 2
INTRODUCTION TO THE
COMPANY

COMPANY PROFILE
ABOUT NOKIA
Nokia is a world leader in mobile communications, driving the growth and sustainability
of the broader mobility industry. Nokia connects people to each other and the information
that matters to them with easy-to-use and innovative products like mobile phones,
devices and solutions for imaging, games, media and businesses. Nokia provides
equipment, solutions and services for network operators and corporations. Nokia is a
broadly held company with listings on four major exchanges.
HISTORICAL BACKGROUND
At the beginning, Nokia was a manufacturer of paper in 1865. After World war II, the
requirement of industrial products increased substantially. Nokia changed its function to
an industrial enterprise and produced products like chemicals and rubbers. Until 1960s
Nokia had set electronic department and focussed on developing transmission systems.
The Journey into Tele-communications
Nokias Cable Works Electronics Department started to conduct research into
semiconductor technology in the 1960s.Nokia began to develop the digital switch (Nokia
DX 200) which became a success. This was equipped with the high level computer
language and Intel micro processors gradually evolved into the multifaceted platform that
is still the basis for Nokias network infrastructure today.
Focussing on Telecommunications
During the deep recession in Finland at the beginning of the 1990s, the
telecommunications and mobile phones divisions were the only supporting pillars of the
Nokia. In May 1992,Nokia made the strategic decision to divest its non- core operations
10

and focus on telecommunications. The companys 2100 series phone was an incredible
success.
Nokia Today
Today, Nokia is a world leader in digital technologies, including mobile phones,
telecommunications networks, wireless data solutions and multimedia terminals .Backed
by its experience, innovation, user friendliness and secure solutions, the company has
become the leading supplier of mobile phones ,fixed broadbands and IP networks. By
adding mobility to the internet, Nokia creates new opportunities for companies and
further enriches the daily lives of people.

11

GROWTH

The gains came at the expense of third tier manufacturers and Siemens, which saw
real unit shipments fall from 10.8m to 8.89m, a dramatic dip from 6.9 per cent share
to 4.7 per cent share. On these figures, analysts must question the wisdom of BenQ's
acquisition of the German giant's handset division.

Emerging markets in Asia, Eastern Europe and Africa led the way. But interest in
replacing trusted handsets with 3G features wasn't particularly strong, notes Gartner.

Mission Statement, Strategy and Purposes of Nokia

Mission Statement

Customer To maintain customer confidence by continuing to

provide

quality service specifically designed to meet their needs.

Market To be recognised as a market innovator in the mobile phone

industry to continuing to improve our business practise.

Business To ensure the team has a complete understanding of all Mobile

Network Internal Systems and Procedures and that each team member is
responsible for compliance with the Business Management System.

Training To develop on going training strategies to empower personnel with

skill levels essential for future company success.

The Team To create the best possible working environment, promoting

career enhancement and job security, encouraging trust in the company and
loyalty to the customer.
12

Marketing Strategy
Nokias corporate responsibility strategy is to engage, improve and be accountable.
They constantly measure and review their performance in economic, environmental and
social issues. They engage in stakeholder dialogue and form partnerships that serve the
areas they want to improve upon. They pursue focused and practical improvement
programs in relevant organizational or geographical areas as part of business operations this involves business planning, internal communications, training. They increase
accountability to stakeholders through reporting, and informative internal and external
communications activities.
What makes them unique is the way they do it. Based on the same approach that guides
the rest of their activity The Nokia Way - their corporate responsibility is developed
through logical steps, with much of the work concentrated inside the company, much of
the work built on existing programs, and many stages taken forward in parallel.
According to them it is essential to drive corporate responsibility through the
company-wide strategy process, support issue owners in building business cases for
ethical improvement and implementation, and increase accountability to both internal and
external stakeholders.
For them, corporate responsibility is an integral and continuous part of decision-making
in all parts of their business; taking responsibility for the consequence of their actions.
Its a belief that by focusing on issues over which they have most influence and which
their stakeholders consider important, they will be able to mobilize more of company
resources, be more proactive, and ensure long-term programs.
The Nokia Strategy continues to focus on three activities to expand mobile
communications in terms of volume and value:

13

Expand mobile voice

Drive consumer multimedia
Bring extended mobility to enterprises

Expand Mobile Voice

We believe that many opportunities for growth exist in the mobile voice market, and we
intend to continue to focus on this area. In doing so, we aim to capitalize on our
demonstrated efficiency and skill in execution and demand-supply chain management,
and our history of innovation. The markets on which we intend to focus include markets
with low mobile subscription rates relative to the size of the population, geographic areas
where it is more cost-effective to build wireless infrastructure than fixed-line networks,
and heavily populated areas, where factors such as poor housing infrastructure or theft of
materials tilt the scales in favor of wireless solutions. We also intend to focus on markets
where the need for network capacity is growing as a result of mobile network operators
promoting the replacement of fixed networks with wireless.

14

Bring Extended Mobility to Enterprise

We intend to capture profitable segments of the corporate market by offering products
and services that will benefit companies and individual business people alike, including a
diverse handset range as well as security and mobile connectivity solutions specifically
tailored for enterprise needs. As we do this, we intend to capitalize on companies' needs
for mobility and seamless mobile connectivity in their operations, and also expect to
collaborate with leading technology and systems integration partners.

Business Objective
Nokias business objective is to strengthen their position as a leading systems and
products provider. Their strategic intent, as the trusted brand, is to create personalized
communication technology that enables people to shape their own mobile world.
Nokia innovates technology to allow people to access Internet applications, devices and
services instantly, irrespective of time and place. Achieving interoperability of network
environments, terminals and mobile services is a key part of their objective.
They intend to capitalize on their leadership role by continuing to target and enter
segments of the communications market that they believe will experience rapid growth or
grow faster than the industry as a whole.
By expanding into these segments during the initial stages of their development, Nokia
has been established as one of the world's leading players in wireless communications
and significantly influenced the way in which voice and other services have been
transferred to a wireless, mobile environment.

15

As demand for wireless access to an increasing range of services accelerates, they plan to
lead the development and commercialisation of the higher capacity networks and systems
required to make wireless content more accessible and rewarding to the end user. In the
process, they plan to offer their customers unprecedented choice, speed and value.
In addition, they will continue to be active in IP convergence. Nokia has established
alliances with other service providers in order to make mobile access to services easier
for the end user.

AREAS OF FOCUS
To achieve their business objective, their strategy focuses on: being the preferred provider
of solutions for mobile communications; creating personalized communication
technology; driving open mobile architecture enabling a non-fragmented global mobile
services market; strengthening and leveraging Nokia, the trusted brand; and expanding
our business and market position on a global basis.

Mobile CommunicationsThe aim is to position Nokia as the preferred

provider of products and solutions for mobile communications by providing
leading communications networks that enable end-to-end service delivery for both
cellular and broadband networks. They develop leading high-capacity cellular
networks, platforms and user applications for the mobile Internet, end-to-end
broadband access solutions and Professional Mobile Radio systems.

Personalized TechnologyThey want to strengthen their leadership position in

converging personal digital terminal solutions. They build on their core
competencies in various key areas, including design and product innovations,
brand development, and effective demand/supply network management, to
new product concepts and associated services to market.

16

bring

Driving Open Mobile ArchitectureNokias key commitment is to create a

global and open mobile software and services market. They aim to achieve this
through strong partnering with customers, suppliers and industry participants, and
solid focus on end-to-end solutions in all their development activities.

Strengthening the Brand--According to a variety of consumer surveys, the

Nokia brand is associated with well-designed, high quality and technologically
advanced products and customer services that are also user-friendly. Having
invested considerable resources in establishing the Nokia name as the leading
brand in mobile communications, they intend to sustain and enhance the brand
through aggressive advertising, sponsorship and other marketing activities in all
of their principal markets. Its a belief that the leading market position provides
significant opportunities for Nokia to better understand and respond to the usage
patterns of end users, and thus enhance the Nokia brand.

Expanding The Business-- For more than a decade, they have actively expanded
their business globally. As a result, the network systems, equipment and wireless
terminals are produced and sold throughout the world. They, therefore benefit
from strong economies of scale throughout the organization. Nokias strategy is to
continue focused pursuit of global business opportunities by cultivating a strong
local presence in all growing markets and pursuing partnering and acquisition
opportunities in order to obtain complementary technologies and market
positions.
At Nokia, one of the top priorities is to continue to strengthen their leading market

position in a profitable way. They believe that further market share gains are key to
expanding the customer base and developing the future business potential. Their leading
position also enhances the positive effects of their economies of scale, which they believe

17

should strengthen their competitive position in the next generation of mobile

communications.

18

MAJOR BRANDS THAT ARE DEALT BY DEALERS

Most of the executives who were surveyed had almost all the Brands of Mobile Handsets
with them and the final analysis upon which I arrived at was that Nokia is the No.1
selling Handset in Delhi followed by Samsung, Motorola and Sony Ericsson.

Nokia no doubt has carved a niche for itself over the past 4-5 years with its superior
technology and its loyalty towards the Indian customer which certainly makes it the most
superior brand. The biggest advantage that has worked in Nokias favor is its marketing
strategy, which focuses more on their state of the art Handsets. They were the first
company to come with a mobile with an in-built camera in it and they surely knew how
to sell their product. Today almost all mobile companies have followed suit and come out
with their own in-built camera mobiles.
Nokia is certainly a value for money mobile as more than 90% of the dealers interviewed
agreed on this statement, not only is the after sale service excellent but also the quality
and pricing of products is excellent. In such a scenario not only the existing companies
but also the new entrants such as MOTOROLA, BenQ, Alcatel etc will have to justify
their launch in the long run.

19

NOKIA CORPORATE RESPONSIBILITY

TOWARDS ENVIRONMENT
What's in a phone?

The use of chemicals in Nokia products and processes shall be safe to humans and the
environment. Meeting health and environmental regulatory requirements is a priority and
a basic requirement.
Nokia's approach is based on the precautionary principle. Where we have reasonable
grounds for concern over the possibility of severe or irreversible damage to health or the
environment, we believe that lack of full scientific certainty should not be an obstacle to
triggering actions to gather and assess additional data. That may lead us to voluntarily
take steps, e.g. to substitute substances of concern with safer alternatives, where feasible
alternatives are available.

20

TOWARDS SOCIETY
Targeting life skills
As a global company, we recognize that young people everywhere can benefit from
developing essential "life skills" that help them to succeed within todays fast-changing
world. Such skills including confidence, teamwork, and conflict management are
often not taught in schools. To meet this challenge, we support life skills education
programs that address the specific needs of young people within individual countries
Examples include:
Conctate provides Colombian youth with training in information technology and at the
same time develops their self-esteem, creative and critical thinking, and communication
skills.
Kapcsolodj be supports the efforts of young community volunteers in Hungary, while
equipping them with project management and budget planning skills.
Leadership for health develops leadership and life skills among Nigerian youth, who
are trained to run HIV/AIDS-focused initiatives.
Mudando a Histora - trains Brazilian youth to serve as reading mentors to disadvantaged
children.

21

STRATEGIC MANAGEMENT
This report outlines the mission statement, strategy and purposes of Nokia .It analyses the
impact of the external and internal influences on the business strategies of Nokia. It also
emphasises the strengths, weaknesses, opportunities and threats in context of Nokias
operating and marketing activities.
Nokia has established its leadership in the mobile phone market owing to its successful
marketing strategies and internal management. Nokias philosophy is to learn
continuously, to satisfy customers and to respect individual and pursue professionalism.

SECRETS TO NOKIAS STRATEGIC SUCCESS

One can analyze the secrets behind how an enigmatic Finnish Company got an edge over
the US and Asian giants to triumph as the global leader in mobile communications.

Bold Strategic Intent While others debate and agonize over first mover strategies,
Nokia rushes for new opportunities and products. Growing up as a small Finnish
Company with few resources and no incumbent privileges, Nokia is accustomed to
moving swiftly and decisively to claim its share of worldwide markets- from
infrastructure to handsets and software applications.

Innovation through Value Chain Through technology, innovation and

segmentation, branding and design, Nokia makes innovation a top priority. Like
Proctor & Gamble, it has shrewdly filled the shelves with innovative new products to
dominate categories. Like Sony, it has used its umbrella brand to sell new products
and services and to create footholds in new markets. Unlike its direct rivals
(Motorola, Ericsson), Nokias innovation extends from technology innovation to
marketing activities.

Flat Organization Prior to its worldwide expansion, Nokia extended the use of IT
throughout the company. As it became a process organization, it has shunned

22

hierarchies and bureaucracy. Even the senior executives have been rotated from one
work task to another. The organization chart looks hierarchic but teams and
networking reigns.

Entrepreneurial Spirit Like the best Silicon startups, Nokia encourages

entrepreneurialism throughout the ranks and views failure as a learning experience.
Incentives, rewards and lifelong learning permeate the entire company. Humility is
taken seriously at Nokia as in the technology sector, the arrogant of today are
considered losers of tomorrow.

Collective leadership Nokia relies on its executive board, with each member
bringing something unique

Global R & D Networks Nokias R&D efforts reflect extensive collaboration with
vital research institutions worldwide. The company invests less in technology
development than its rivals, but often exploits new knowledge more efficiently.
Through technology coalitions it has managed to internalize new know-how while
neutralizing competitive threats.

Competition and Co-operation By managing its corporate and government

relations with diplomacy and consideration, Nokia has been able to avoid high profile
and costly anti-trust actions and competition policy struggles. Instead of trying to buy
or crush potential rivals, Nokia works to cooperate with suppliers, partners, clients,
even direct competitors.
Customer Focus The most enduring factor is Nokias ability and willingness to

listen to the customer a fact apparent in its strategy, structure and resource allocation
and also in its products and services. SWOT ANALYSIS OF NOKIAS STRATEGY
There are various tools which can be employed to understand the effectiveness of
a companys strategies. SWOT Analysis outlines the Strengths, Weaknesses,
Opportunities and Threats facing the operating strategy of a company.

23

Analysing the effectiveness of strategies, strength and weaknesses can be defined as

internal to an organisation. The businesses do not necessarily have to correct all its
weaknesses however, it should be able to retain its strengths. The key success factor for
operating in the targeted market depends on the external factor. ie. Opportunity. Nokia
has numerable opportunities to enlarge its market share, however, they could be faced
with a threat which could be challenge posed by an unfavourable trend or development
that may lead into absence of defensive marketing action and thus diminish sales and
profit.

24

S.W.O.T. ANALYSIS
Strengths
Global Products and Image Nokia is a global company. It not only sells its
products to 130 countries but also sets up research and development departments in
fifteen countries to produce its products in different culture and language needs,e.g
English, Dutch, German and Chinese.
.
Wide range of products Nokia has the highest number of product line(more than 10
models) compared to its competitors Samsung, Ericksson, Motorola etc.
Product Warrantee Worldwide No matter where Nokias customers are, if they
got a problem with their mobile phones, they can approach any of the Nokias centres.
Thus, ensuring a good customer service.

Weaknesses
High Price Nokia offers a good range of high quality products at high prices
Though the high prices may be justified in terms of the costs to the company but this
can act as a weakness in certain sections of the market e.g the middle-low income
group people. Demand is skyrocketing but the price pressure is high.
New product developing problems Although Nokia provided colour screen mobile
phones in September 2002,this was late as compared with its competitors such as
Sony Ericsson and Samsung. This acted as a weakness as the people had already
accepted the range introduced in the market and didnt want to switch.

Opportunities

25

 Joint venture in Technology Nokia has joined with Hewlett Packard(HP) Company
in technology which has a very good reputation for many years. Nokia thus, has a
considerable opportunity to enlarge their market size into PC users who prefer
mobile phones compatible with PC device.
Product launch continuously - Nokia uses Total Quality Management (TQM) which
mentions more about training worker program, and makes product of high quality.
All employees are well-trained and motivated and

consecutively production

processes are also developed as well. Nokia has established Research and
Development department (R&D) which develops its product line into modern
modification as well quality as the existing products.
New Software Market As known, the amount of data traffic in mobile networks is
growing at a tremendous rate.

People around the world are using new mobile

services, which are directly relevant to personal needs. Nokia has already added value
through MMS for Messaging and E-mail, Java for download any applications and
HTML especially for content search.

So it may attract those businessmen and

teenagers who are interested in the new software market.

Easy Availability - Many mobile phone retail stores, such as, the link, Phone4U and
Carphone warehouse, have spread across London in every street. And, of course,
every store have not missed the opportunity to choose Nokia as their product line.
Consequently, all the customers can be guaranteed that any damage or loss of Mobile
phone will be serviced through these retail shops. Likewise, in opportunity aspect,
Nokia has an opportunity to convince the prospects of buying Nokia in the plenty of
stores around the town. However the key to success of Nokia will be the flexible
changing capabilities.

Threats
Threats in PC Markets - Due to fierce competition in mobile phone market it has
caused new technology compatible with PC computer. Sony Ericksson specializes on
26

PC computer now. Sony applied their computer system into mobile phone as well as
PC computer on hand at the same time. Furthermore, nowadays people are interested
in advance of computer as similar as mobile phone market. In this sharp competition,
it is going to be harder for Nokia to grasp customers attention .

PEST ANALYSIS
Nokia, is an international organisation which requires to focus on macro environmental
factors. Macro Environmental factors comprise Political, Economical, Society and
Technology, viz., PEST Analysis. In view of the different culture and different external
factors between different countries, Nokia has to adjust its strategic plan in order to
develop international market.

Political Factors
It is important of a company to acquire certain kind of policies from its government, such
as the economic policy, and science and technology policy. Finnish policies assist Nokia
to advance its products.
The Finnish policies are the most important factors behind Nokias success. To operate
efficiently, a modern knowledge- and technology-based economy that is highly
specialized, internationalized and undergoing rapid structural change requires active
support from the public sector. In its widest sense industrial policy and science and
technology (S&T) policy comprise all those measures by which the public sector shapes
the operating environment for business and thus fosters public welfare. Both policies
pursued by Finnish government and the Parliament are crucial for the development of
both, the Finnish Economy and of national information society.
General macroeconomic stability, low interest rates, stable currency conditions and the
international competitiveness of the tax system form the foundation for the growth of
business and improvement in employment. As the result of this, not only Finnish

27

Government but also international companies, such as Nokia, have to play very important
roles to develop their information society and national technology strength.

Economic Factors
According to the fact that Russian Federation was collapsed in early 1990s and it clashed
with Finnish economics. Nokia also faced problems, and changed its functions from
single market and overall products to global market and focusing mobile phone market.
During the first half of the year 2001, Nokia continued to perform strongly in the global
mobile communications market and was able to strengthen its leading market position.
However, the general economic slowdown in the US has recently shown signs of
extending to other regions and to the wireless telecommunications industry as a whole.
The slowdown could be a result of a general market deterioration - driven by economic
uncertainty, the ongoing technology transition and less aggressive marketing by the
operators.'
In a press release on June 12, 2001 it was quoted that Nokia saw slower market growth
affecting second quarter results and was to take up actions to expand leadership
while maintaining strong profitability.
Nokia will continue to take determined actions in all areas of the business to align its
operations with the changing market conditions. Previously announced moves to increase
the companys efficiency and competitiveness include operational changes to further
enhance customer focus in Nokia Networks.
While market deterioration has had an inevitable impact on Nokia's sales growth, their
products have remained strong, their market position has strengthened and they have
been able to find further efficiencies through tight control of their own performance.
Nokia has countered changing market conditions by accelerating ongoing programs and
generating efficiencies and cost savings. This, in combination with the current financial
health and proven performance, should enable them to exit the current slowdown in a
stronger position than before.
28

Society
At Nokia, their whole business is based around communication and connecting people.
One of Nokia's aims is to make it as easy as possible for their people to be satisfied
working with them. Thus, it keeps various stakeholders interests in mind.
Nokia develops products and services that encourage communication and learning among
people and societies. They are using their strengths - connecting and communicating - to
help make a difference. It complements the core business and their vision to be involved
with the youth and education issues around the world, preparing young people for their
future.
The goal is to be a good corporate community member wherever they operate, as a
responsible and contributing member of society. Sharing in the belief that prevention is
better than cure, they take part in long-term projects aimed at helping young people to
create a firm foundation for themselves and to find their place in the world.
Technological Factors
In the 1980s, there was a trend towards microcomputers and Nokia tried to match this
tendency by producing its main products as computers, monitors and TV sets. Due to the
changes in 1990s, Nokia also changed its functions to mobile phone market. .
Sustainable development and environmental protection have various effects on the
operation of the innovation system.

Innovation also creates new opportunities for

promoting sustainable development.

Nokia always improve their product line through Research and development process,
beside this Nokia also has multimedia compatible improvement with mobile at the
same time, such as, GPRS and WAP Service.Nokia has numerous technologies which
can satisfy those end-users need, such as, Bluetooth, Symbian, SYNCML, M2M,
Wireless LAN and Java.Nokia employed more than 17,000 people in R&D
department over fourteen countries worldwide. They also provided customers to
29

choose the features and service that they personally want and need. It means Nokia
does not develop only their product line, but they also improve their service process
to provide the most appropriate service to those customers efficiently.

MARKET SHARE
Dominated largely by Nokia with a total market share of 59%, followed by Sony
Ericksson (13%) and Motorola (7%) respectively.

Others
21%
Motorola
7%

Nokia
59%

Sony Ericksson
13%

30

CHAPTER 3
OBJECTIVES OF THE
STUDY AND
METHODOLOGY

31

RESEARCH OBJECTIVES
MAIN OBJECTIVE
To find inter firm comparison of the mobile industry, by analyzing Nokia, Sony Ericsson
and Motorola

SCOPE OF STUDY
The methodology adopted for this project is exploratory in nature since there is no
hypothesis that has to be tested. The conclusions have been drawn by exploratory
research work.

32

RESEARCH METHODOLOGY
There have been two sources of information collected:
a) Primary Sources
I have met retailers of the Airtel of the company and have been able to get first hand
information regarding the product, its features and the buying patterns of the product.
Their input has been valuable.
b) Secondary Sources
Secondary source has played a vital role to play in this report. A good amount of data has
been collected from various published articles and reports found in magazines and
journals. Another vital source has been the Internet and particularly the companies own
website.

Data Collection
In this project both primary data as well as secondary data are used.
Primary Data
Primary data used in this project is collected through two methods, namely,
QUESTIONNAIRE METHOD and DIRECT PERSONAL INTERVIEW METHOD.
Both these method proved to be great help in getting the required information.

33

Secondary Data
It is not possible to collect first hand information for each & every thing so, secondary
data from various sources like Internet, D.K Neilsons report on Jan,2007, Information
from television channels like CNBC, Z Business, NDTV Profit etc. and Indian Infoline
website were used.

Statistical & Presentation Tools Used

PRIMARY DATA is:
First classified i.e. grouped qualitatively and quantitatively according to the
situation or the type of the data which was collected.
After classifying is represented in the form of tables i.e. systematically arranged
in columns and rows.
.
SECONDARY DATA is represented:
In the form of tables.
By the way of BAR GRAPHS and PIE CHARTS
Sample size and Areas covered
A customer-based survey was conducted in which 100 people were asked to fill the
questionnaire in which 100 people belong to Delhi.
Because it was not possible to consider each and every person of both cities,
PROBABILITY SAMPLE or RANDOM SAMPLE was taken.
34

LIMITATIONS
1. The study is restricted only to Delhi.
2. The population size is very small as compare to population size so.
3. There can be errors in sampling
4. Time constraints were present.

35

CHAPTER 4
DATA ANALYSIS

36

Based on survey using questionnaire method and answers taken from a group of 100
individuals of different ages.
All data in percentage.
Q.1 Do you use a mobile phone ?
YES

NO

94

Figure : 1

37

Q.2 Which mobile phone do you use ?

Nokia

Sony Ericsson

Motorola

Others

59

13

21

Figure : 2

38

Q.3 Which mobile handset company is the best according to you ?

Nokia

Sony Ericsson

Motorola

Others

46

30

16

Figure : 3

39

Q.4 How much satisfied are you with the products of nokia ?
Dissatisfied

Satisfied

Very Satisfied

16

52

32

Figure : 4

40

Q.5 How would you rate the Promotional strategy of Nokia?

Good

Ordinary

Terrible

56

36

Figure : 5

41

Q.6 How would rate Nokia on the basis of being user friendly ?
Good

Ordinary

Terrible

60

34

Figure : 6

Q.7 How would you rate Nokia on the basis of Performance?

42

Good

Ordinary

Terrible

52

36

12

Figure : 7

43

Q-8 How would you rate Nokia on the basis of Durability?

Good

Ordinary

Terrible

50

38

12

Figure : 8

44

Technology
Good

Ordinary

Terrible

56

40

Figure : 9

45

Looks
Good

Ordinary

Terrible

60

38

Figure : 10

46

Q.9 How would you rate nokia on the basis of its pricing policy ?
Good

Ordinary

Terrible

50

40

10

Figure : 11

47

CHAPTER 5
RECOMMENDATIONS
AND CONCLUSION

48

RECOMMENDATIONS
Nokia can do an excellent job to make the mobile phone easy to use. In order to maintain
the leader position of mobile phone market, the company should closely focus on the
tendency of marketing development.
Some advantages attached to this approach are:
1.

The group market is a long run market. The enterprise wouldnt change these
products easily and they may require updating after a period of time.

2.

This group market may get further marginal profits than the individual market and
the rate of return over cost will be improved as well This is because the
competitors will be less in the group market than the individual market.

Analyzing the current business situation, Nokia needs to :

Differentiate its products capability between the old and new category.
Enhance its products with computer IT compatible, focusing on new technology
users.
Maintain its price reasonable.
While remaining flexible and alert to change, a company should build on standards. In a
world where services will be delivered across a variety of components, one needs their
component to fit in.

OTHER RECOMMENDATIONS
1. Nokia has to control market skimming as it negatively attacks the brand
2. Nokia is the market leader and it should try to increase the growth rate as it had
become flatter in 2005.
49

3. Nokia should be innovative on style and looks frint of the cell phones as it has
recently sprung up in the present in order to attract youth.
4. High end mobile phones from Nokia have a hanging problem they must be tweaked
to perform as desired.
5. The price of Nokia cellphones is high as compared to the grown up twins available
so the buyer is unable to buy the latest available.
6. Nokia should work on a phone for the masses as it has a lot of scope, just like bird
and motorola did.
7. The infrared present on the low end phones of nokia lack compatibility with the non0
nokia phones.
8. Nokia should work upon their combination of price and features in an instrument.
9. The user interface present in both brands of phones are each of a type and are
acceptable by the users.

CONCLUSION
The findings of the research I found that nokia is the market leader in the mobile phone
industry in india Nokia has storng brand image to influence and create large customer
base. Nokia should Launch new mobile phones that are an optimum balance between
price and features Strengths and opportunities of Nokia suggest that high quality,
advanced technology, worldwide service and continuous new products are the essential
factors for Nokias product development.

50

51

BIBLIOGRAPHY

52

BIBLIOGRAPHY
Websites
http://www.news.bbc.co.uk/1/hi/sci/tech/1723738.stm
http://www.amanet.org/books/catalog/081440636x_history.htm
http://www.nokia.com
http://reinholm.com/strategic%20management.htm

Magazines
Network Magazine
SDA Asia Magazine

53

ANNEXURE

54

SAMPLE QUESTIONNAIRE
Q.1

Do you use a mobile phone?

Yes

Q.2

No

Which mobile phone do you use?

a)

Nokia

b)

Sony Ericsson

c)

Motorola

d)

Other

Q.3

Which mobile handset company is the best according to you?

a) Nokia
b) Sony Ericsson
c) Motorola
d) Other

Q.4

How much satisfied are you with the products of Nokia?

a)

Dissatisfied

b)

Satisfied

c)

Very Satisfied

Q.5

How would you rate the marketing policy of Nokia?

a)

Good

b)

Ordinary

c)

Terrible

55

Q.6

How would rate Nokia on the basis of being user friendly?

a)

Good

b)

Ordinary

c)

Terrible

Q.7

Rate Nokia on the basis of following:

1)

Performance
a)

Good

b)

Ordinary

c)

Terrible

2)

3)

4)

Durability
a)

Good

b)

Ordinary

c)

Terrible

Technology
a)

Good

b)

Ordinary

c)

Terrible

Looks
a)

Good

b)

Ordinary

c)

Terrible

Q.8

Who do you think is Nokia's biggest competitor?

a)

Sony Ericsson

b)

Motorola

c)

Other

56

Q.9 How would you rate Nokia on the basis of its pricing policy?
a)

Good

b)

Ordinary

c)

Terrible

Q.10 What are your recommendations for Nokia?

57