The swot analysis of nokia discusses the strengths, weaknesses, opportunities and the threats of the mobile handset manufacturer nokia. A pestel analysis is a framework used to analyse and monitor the external marketing environment factors that have an impact on an organisation. Pest analysis of nokia business teacher disclaimer. It was found in finland over 140 years ago and is currently operating in 120 countries worldwide. This company has introduced such products, which were able to high speed. Pest analysis of nokia pest analysis identifies the political, economic, social, technological, environmental, and legal factors that of which directly affect a company. Pest analysis on nokia december 2nd, 2010 nokia is engaged in the manufacturing of mobile devices and in converging internet and communications industries, with over 123,000 employees in 120 countries, sales in more than 150 countries and global annual revenue of eur 41 billion and operating profit of 1. In conclusion, all four approaches discussed collectively promote nokias success.
Tax changes, new laws, trade barriers, demographic change and government policy changes are all examples of macro change. In 2006, ollipekka kallasvuo became the new president and ceo of nokia. Pest analysis is a powerful and widely used tool for understanding strategic risk. Pestle analysis of nokia free download as word doc. Pestle analysis free ebook in pdf, kindle and epub format. Nokia failed to read the emotion of consumers on smartphone and was late to introduce this. Nokia is one of the leading mobile phone manufacturers in the world today. While this is the case, there are factors, beyond nokia s control, which affect its performance. This is not an example of the work produced by our essay writing service. Although, still one of the market leaders in the mobile phones and smartphones industry, recent competition has decreased the market share of nokia. For example an industry may be highly profitable with a strong growth trajectory but it wont be any good for microsoft corporation if it is situated in unstable political environment. Jul 05, 2019 nokia has been promoting the farm and its new products on social network such as facebook and twitter and provide customers with ongoing promotional activities that the company has produced. Pestel acronym stands for political, economic, social, technological, environmental and legal factors impacting companies. A swot analysis isnt a pestel analysis, although they often go hand in hand when trying to check an organizations current position.
This company has introduced such products, which were able to high speed internet and they provide online gaming and multimedia functions. Dec 08, 2012 nokia separated its entities which are mobile phone division and the division for smart phone. Political, economic, social, technological, environmental and legal. Pestel analysis briefly describe about external factor. Pestle analysis preface the pestle analysis is a useful method to use in order to identify the external factors that influence an organization. The results of a pestel analysis would then be very useful in filling opportunities and threats in a swot analysis, which brings us to this. Pestle analysis of nokia points out challenges in an altered mobile phone market. Business and management submitted by supershrek words 1028 pages 5. An investigation into nokia microsoft strategic alliance. The pestle analysis is composed of political, economic, social, technological, legal, and environmental forces.
In 2005, nokia introduced the famous nseries and immediately sold a large number of phones. The pestle analysis for nokia corporation is as follows. Oct 28, 2015 pestel or pestle analysis, also known as pest analysis, is a tool for business analysis of political, economic, social, and technological factors. Pestle analysis for nokia corporation 1918 words bartleby. Book description isbn 9781626209985 26 pages the pestle analysis is a useful method to use in order to identify the external factors that influence an organization. Most computers on the planet run on microsofts windows operating system. Different strategic model like swot, five forces, pestel and other model have been used to critically analyze the issue. Ankit sachdeva anant gupta prachi aggarwal land this model helps understand the competitive advantage of a nation in global competition. This analysis can be used to evaluate the position of their business. Pest analysis of nokia nokia corporation engages in the manufacture of mobile devices and mobile network equipment, as well as in the provision of related solutions and services worldwide. Pestle analysis pestle variations steeple pestlied etps pest steepled step stepe the most common variations are shown in the diagram above. This pestle analysis will examine the political, economic, sociocultural, technological, legal and environmental factors of mcdonald s external environment johnson et al 2014. Analysis of nokias decline from marketing perspective.
As markets are deregulates both operators and manufacturers are free to act independently of government intervention. Pestel indicate macro environment or external factors. Nokias transition from diversification to specialization 18651998 before 1992, nokia adopted the business tactic that was highly crossindustry and diversified, and had 34 subsidiaries in 10 different industries and 108 areas. The political context of mcdonald s environment is important as this can provide it with both opportunities and threats to its success. Jan 31, 2019 the swot analysis of nokia discusses the strengths, weaknesses, opportunities and the threats of the mobile handset manufacturer nokia. October 8, 2018 october 12, 2017 by abhijeet pratap lg pestel analysis. Introduction after conducting a porters 5 forces model on nokia, i felt a pestle analysis would analyse the macro environment of nokia. Political factors politicallegal environment are usually considered as one because they are enforced by the nations government.
An introduction the pest analysis is the most common approach for considering the external business environment. The result of which is used to identify threats and weaknesses which is used in a swot analysis. Mar 30, 2020 swot and pestel analysis of nokia in my earlier post i gave a detailed discussion of nokia s management, marketing, production, company profile and corporates social responsibility. These are all the external forces that are out of nokias control but have a significant effect on how the. The rise and fall of nokia 10 steps case study analysis. The end result of a pestle analysis help in finding out the weakness and threats which are used in swot. It will provide an overview that will elaborate discussion around the companys strategy and situation. Opportunities to expand the range of products and their prices. The first political decision which have chances to affect nokia in the uk is the rate of tax. The traditional economic model mentions the following factors for comparative advantage of the nations. Pestel analysis provides great detail about operating challenges nokia corporation will face in prevalent macro environment other than competitive forces. Nokias strategies in terms of emergent and planned approaches as well. Nokia has established a website to help consumers read about the features articles, and help them to acquire knowledge about nokia products.
It is a leading global brand in consumer electronics, home appliances and mobile communications. This pestel analysis was produced by one of our expert business writers, as a learning aid to help you with your studies. The term pestel refers to the domains it considers. That is why, nokia can sell as much as they want, without restrictions. Nokia has disrupted into various industries before becoming a telecommunications giant from making rubber boots, car tyres, generated electricity, even manufactured tvs. Strategic analysis of nokia corporation the writepass journal.
Apr 24, 2016 nokia is the finland based mobile phone manufacturing company, which created new dimensions in the mobile phone technology. Doc strategic management nokia strategy report taner bulut. Over the past 150 years, nokia has evolved from a small paper mill in southwestern finland to a global telecommunications leader connecting over 1. The political environment of a country affects all the individuals and business entities. These are all the external forces that are out of nokias control but have a significant effect on how the company operates and the strategic decision they make. Pdf international management pestel analysis of mcdonald. The microsoftnokia deal is a winwin situation for both companies. In my earlier post i gave a detailed discussion of nokia s management, marketing, production, company profile and corporates social responsibility.
Pestel analysis of mobile phone manufacturer nokia. Nokia corporation pestel analysis is a strategic tool to analyze the macro environment of the organization. When nokia was in the situation of full loss in 1992, the com. The phases included in change management process are preparing for change.
This work was produced by one of our expert writers, as a learning aid to help you with your studies. Nokia is the finland based mobile phone manufacturing company, which created new dimensions in the mobile phone technology. Pestle analysis of nokia nokia android operating system free. This model, known as porters five forces model is a strategic management tool that helps determine the competitive landscape of an industry. Porters five forces analysis of nokiaporter analysis. A pest analysis in some cases called step, pestle, steep studies important factors of these four aspects. Pestel, a complementary tool to swot, expands on the analysis of external context by looking in detail at specific types of issues that frequently have an impact on implementation of project initiatives. Nokia case study assignment help home nokia case study.
Swot analysis of nokia pestle analysis business and. Any opinions, findings, conclusions or recommendations expressed in this material are those of the author and do not necessarily reflect the views of businessteacher. Pest is a political, economic, social, technological analysis used to assess the market for a business or organizational unit. Nokia s transition from diversification to specialization 18651998 before 1992, nokia adopted the business tactic that was highly crossindustry and diversified, and had 34 subsidiaries in 10 different industries and 108 areas. Click the pdf icon below to download the ebook from the online library. Pestel or pestle analysis, also known as pest analysis, is a tool for business analysis of political, economic, social, and technological factors. The company has four main business functions or segments. However, apart from its windows os and office software, its cloud services have also grown highly popular and the brands performance in 2017 has been appreciable. In this section the swot and pstel analysis will done to show nokia s competitive position against apple. This has the ability to affect both the primary line of.
Lg electronics is a south korean multinational company with its headquarters in seoul and a part of the lg group. Swot analysis of nokia nokia swot analysis and relaunch. Step 2 reading the the rise and fall of nokia hbr case study. Pestel means political, economical, societal, technological, ecological and legal. While this is the case, there are factors, beyond nokias control, which affect its performance.
Jun 12, 2017 nokia is one of the largest manufacturers of cell phones in the world. The important thing to note is that these are all just variations of the one analysis tool. Nokia has been promoting the farm and its new products on social network such as facebook and twitter and provide customers with ongoing promotional activities that the company has produced. Nokia will need to radically alter its business model simply to survive. We also have a number of samples, each written to a specific grade, to illustrate the work delivered by our academic services. Pestel stand for political, economic, social, technology. The study finds that nokia basically faced severe competition after 2007 when apple along with samsung came with touch screen smartphone. Pestel has recently evolved from pest analysis once intensifying forces of globalization and continue reading. How the pestle analysis can be used in conjunction with other strategy tools.
Pestel analysis provides great detail about operating challenges microsoft corporation will face in prevalent macro environment other than competitive forces. Begin slowly underline the details and sketch out the business case study description map. Nokia a multinational telecommunication company is headquartered in keilaniemi, espoo and it was founded in 1865. In this division the chief financial officer cfo of motorola rick simonson was appointed. Microsoft is a familiar name for most computer users. Before making any change the company should discuss the matter under consideration with stakeholders, collect information, analyze factors for change and then make decision after taking careful consideration of these factors. India is one of the most powerful countries in the world. Pestel is a strategic analytical tool used to assess external factors affecting businesses. Pest analysis of nokia and motorola there is no doubt, that with the invention of the telephone, telecommunication has become one of the essential innovations of human being since the 19th century, and at the present time, companies which support worldwide dialogue as premier leaders are the celluler phone manufacturers. Nov 26, 2011 pest analysis of nokia nokia corporation engages in the manufacture of mobile devices and mobile network equipment, as well as in the provision of related solutions and services worldwide. Sep 22, 2014 after discussing the internal factors of swot analysis of nokia, lets shift our focus towards external factors.
Pest analysis in strategic human resources planning hamid. Pestel analysis of the macroenvironment there are many factors in the macroenvironment that will effect the decisions of the managers of any organisation. The company is well known for the manufacture of telecommunication products along with converging the communication industry and internet industries. In countries like india and china where partial regulations exist, government intervention does take place. India is the second largest country in the world by population. Till date nokia is remembered with fondness because it was the first mobile phone for many people and it was very user friendly. Nokias success continues with nokia 6650, the companys first 3g mobile telephone and the start of new era in mobile gaming with the first ngage device in the 2003.
It plays a very important role in global trade and politics. Pestel analysis of argentina by ankit sachdeva on prezi. A pestel analysis is a framework or tool used by marketers to analyse and monitor the macroenvironmental external marketing environment factors that have an impact on an organisation. To study political factors, it should be attend every political change that impact on the organization such as legislation, global changes forthcoming, lows relating to the industry, maternity rights, data protection, health. Nokia pestle analysis, swot analysis, five forces, marketing mix. The deal possesses great opportunity if both utilize resources in a proper way. How the pestle analysis can be used in conjunction with other strategy tools how the six factors of a pestle analysis are classified how to carry out a pestle analysis.
To understand these factors, this essay gives an indepth analysis of the companys pestel. This detailed pestel analysis of india aims to address some of the political, economic, social, technological, environmental, and legal issues that shape india today. In this section the swot and pstel analysis will done to show nokias competitive position against apple. In this paper i will discuss about the swot and pestel analysis of nokia. Mobile phones, multimedia, enterprise solutions, and networks. Samsung is a south korean chaebol a large conglomerate that is run, controlled, and owned by a family. Pest analysis stands for political, economic, social, and technological analysis and describes a framework of macroenvironmental factors used in the environmental scanning component. For example an industry may be highly profitable with a strong growth trajectory but it wont be any good for nokia corporation if it is situated in unstable political environment. Nokia case study nokia assignment help strategic analysis.
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