ACKNOWLEDGEMENT

First of fall I wish to express my profound gratitude and sincere thanks to our Marketing subject
teacher Mr.Govinda who always help us to give a guidance and the help to make this project
report on Market coverage of Nokia mobile phone company.No words can adequately express
our overriding debt of gratitude to my brother whose support helps me in all the way. Above all I
shall thank my friends who constantly encouraged and blessed me so as to enable me to do this
work successfully. Survey is an excellent tool for learning and exploration. No classroom routine can
substitute which is possible while working in real situations. Application of theoretical
knowledge to practical situations is the bonanzas of this survey. Without a proper Combination
of inspections and perspirations, its not easy to achieve anything. There is always a sense of
gratitude, which we express to others for help and the needy service they render during the,
Different phases of our lives. I would like to do it as we really wish to express my gratitude
toward all those who have been helpful us directly or indirectly during the development of this
project.

Table of Content
S.No

Chapter

1) Introduction
1.1 Background
1.2 Objective
1.3 Research method
1.3.1 Data sources
2) Market coverage analysis
2.1 PESTEL Analysis
2.2Competitor Analysis (Samsung)

2.3 Market description

2.4 Market share
2.5 Annual report
3) Summary and Conclusion
3.1Summary
3.2Conclusion

page no

Chapter-1 Introduction
1.1 Background:
The cellular phone means mobile phones or hand phone. Is a long range portable electronic device
used for mobile communication? In addition to the standard voice function of a telephone, current
mobile phones can support many additional services such as text messaging, email, internet and
MMS for sending and receiving photos and videos. A cellular phone is also known as a type of short
wave analog or digital telecommunication in which a subscriber has a wireless connection from a
mobile telephone to relatively nearby transmitter. At present there are two billion mobile subscribers
globally. It took us over ten years to get the first billion, and five years to get the next. Eighteen
months ago we believed the total would reach three billion by 2009. Now, however, we think that
will happen by the end of this year.
Countries like Nepal, Bangladesh, Bhutan, Sri Lanka, and
Maldives are what we call Emerging Asia. The next billion subscribers will come from these
emerging markets. In Nepal, the government is ready to deregulate the market and it is ready to take
off. That's why Nokia needs to be here.
Nepal is where countries like Australia used to be ten years
ago. The biggest advantage here is that these markets do not need to evolve. In countries like
Australia, the market evolved from voice-centric devices to SMS, then MMS, and now they have
web browsing and email. But Nepal can go straight through, because the technology is already there.
Markets like Nepal will go through a revolution and not have to wait 10 years to get to where
Australia or Singapore is today.
Of the handsets available in Nepal, 90 percent are brought in illegally, thus
depriving government of revenue. Consumers are also being cheated of value, because they may end
up buying a handset that is perhaps not genuine, is refurbished, or has counterfeit batteries. Illicit
trade is a big challenge, but you can control it. For example in Bangladesh, when we entered, illicit

trade was 80 percent, but in 12 months we'd halved that. It is about having the willpower, having
media advocate for authorized handsets, and a government that understands the long term gains that
come by supporting the industry.
A recent piece of research shows that the
GDP of a country increases by 0.6 percent per 10 percent increase in mobile penetration. The
government needs to be aware of how this industry can contribute to the economy. Deregulating the
market and making handsets available to the masses benefits the overall economy. After the
government realizes what the industry can contribute, it needs to put into place a system to assist in
the acceleration of the industry. The government could start by reducing the heavy duties and taxes
Nepali consumers have to pay on mobile services.
We are lobbying the government and are in the process of setting ourselves up. We've just appointed
two distributors-Neoteric and Paramount Electronics. We need to make handsets more affordable and
accessible to the consumers, and accessibility comes from distribution. One way to cut down on the
number of grey market handsets is to have authorized distributors here. We hope to then embark on
consumer education on mobility.
When you are looking at a country which has low affordability, you
want products for a critical mass. We want to encourage a variety of entry-level phones like the
Nokia 1110i that are easy to use, durable, and have a longer battery life. We will also offer featurefilled devices such as the Nokia N series, E series, and the Nokia 8800 Sirocco Edition, but our focus
will be on low-end devices.
We want to raise consumer awareness, so we will be involved in doing above the line
communication about Nokia's presence in the market. We'll be setting up customer care points, and
recruit retailers and train them in what mobility is all about. There will be Nokia branded outlets and
concept stores (where you can try out new tools and devices)

By the year 2012 a quarter of all content will be user-generated and passed between friends, rather
than being created and distributed by todays media brands, according to interviews with "trendsetting Consumers. Future Laboratory spoke to 9000 consumers on behalf of Nokia, all of whom
are described as "active users of technology" and thus can be trusted to tell us what the world's going
to look like. As Nokia's Vice President, Multimedia, Mark Selby describes it thus:"We think it will
work something like this; someone shares video footage they shot on their mobile device from a
night out with a friend, that friend takes that footage and adds an MP3 file - the soundtrack of the
evening - then passes it to another friend.
That friend edits the footage by adding some photographs and
passes it onto another friend and so on."All of which will be done on their mobile phone, obviously.
Driving users to prefer content mashed up by friends, as opposed to professionally- produced, are
four trends which The Future Laboratory and Nokia have identified through their research.
Immersive Living reflects the way people are always on-line, while Geek Culture is a reflection of
how everyone wants high-tech toys these days - at least, all the people interviewed for this
Study
And Localism sees users taking pride in content produced by their locality. All-in all it's
remarkable how closely this research matches Nokia's ideal vision of the future. Consumers using
mobile phones to create and mash up content, taking power away from the media brands and placing
it in the hands of those running the portals and controlling the mobile user experience

The Nokia brand, valued at $25 billion, is listed as the 14th most valuable global brand in the
Business Week
Best Global Brands list of 2011. It is the 14th ranked brand corporation in Europe (as of 2011),
the 8th most admirable

Network and Other Communications Equipment

Company worldwide in Fortunes World's Most Admired Companies list of 2011, and the world's
143th largest company as measured by revenue in Fortune list of 2011. In July 2010, Nokia
reported a drop in profits by 40%, which turned into an operating loss of 487 million in Q2
2011.In the global. Smartphone rivalry, Nokia held the 3rd place in 2Q2011, trailing behind
Samsung and Apple. On 11 February 2011 Nokia announced a partnership with Microsoft; all
Nokia smart phones introduced since then were to run under Microsofts Windows (WP) system.
On 26 October 2011 Nokia unveiled its first Windows Phone handsets, the WP7.5 Lumia 710
and 800.The Nokia's head office located by the Gulfin Keilaniemi Espoo was constructed
between 1995 and 1997. It is the workplace of more than 1,000 Nokia employees.

Different technology provided by Nokia Mobile Company

Bluetooth Technology
GPRS Technology
EDGE Technology
JAVA Technology
MMS Technology
Mobile Browsing Technology
Nokia Maps Technology

1.2 Objective
To get knowledge about Nokia mobiles
To identify customer satisfaction about using their handset.

1.3 RESEARCH METHOD

Research is the systematic and objective search for the analysis of the information
relevant to the identification and solution of any problem in the Field of channel
development. The objective behind this project was to get a deep insight into the answers
To the questions How much market has Nokia covered?
The survey was the mobile users of various mobile companies.
The essence of research conducted by us is to analyze the present market position of
Nokia among its competitors and the problem which are being faced by customer,
wholesaler, and retailers. The eventual objectives are to suggest some recommendation to
the company so as to enable them to increase their market share. Only in analyzing my
sample follows no conventional method.

1.3.1 Data sources

There are two type of data source

1) Primary data
2) Secondary data
1) Primary data
Personal interviews are conducted which enable collection of oral verbal response.
This is fact to face contracted with structured or sometime even unstructured patterns. This helps
in obtaining indent information

2) Secondary data
Secondary data can be obtained from different magazines and annual reports,
financial documents referred.

Chapter-2 Market coverage analysis

While the European and U.S. mobile markets developed early and the demand on these Markets is
largely focused on high-end devices, applications etc. the fast economic Growth and development of
Asian countries has undeniably shifted the economic power to the East. As seen Figure 8, the AsiaPacific region already in 2009 constituted a staggering 52,2 percent of the global sales volume, while
Europe currently has around 27 %, the United States 11 % and the rest of the world a mere 7 %. (Data
monitor, 2010b:12) Taking into account the rapid growth rate of the Asia-Pacific economies it would
seem probable that their dominance will only grow stronger. According to Gartner, Inc report, in the
second quarter (2009), worldwide cell phone sales totaled 286.1 million units. 6.1% decrease
from the previous year second quarter. Sales surpassed 40 million units, a 27 per cent increase
from the same period last year, on Smart phones, representing the fastest-growing segment of the
mobile-devices market (Table 2). Touch screen mobile phones and qwerty devices remained a
major driver for replacement sales However, the decline in average selling price accelerated in

the first half of the year and particularly affected manufacturers that focus on mid-tier and lowend devices. The recession continued to suppress sales on replacement in both mature markets
and emerging markets. Financial pressure, using up by 14.2 million units of existing stock before
ordering more.N97 Smartphone met little enthusiasm at its launch in the second quarter of 2009
and has sold just 500,000 units in the channel since it started to ship in June, compared to Apple's
iPhone 3G S, which already sold one million units in its first weekend.
2.1 PESTEL Analysis
Political factors
Legal constraints must be taken into account. Many businesses organisations target is make
profit. For that, they try to mislead their customers about quality of product, its price, and the
availability. They also try to reduce expenditure by using materials like lesser quality, in their
products. Some companies dispose their waste in a very bad ways which may damage the
environment and create pollution. More on these companies are not ensuring the hygiene and
safety's high standards, in the workplace and outlet stores. All these things are not legally
allowed and can face companies in a big legal-trouble. UK government introduced some new
laws about business environment, which ensure that none of these activities take place. Company
must have to follow all of these Rules and regulation; if a company is to be successful.
Economic factors
According to the fact that Russian Federation was collapsed in early 1990s and it assaulted with
Finnish economics Organization for Economic Co-operation and Development (OECD, 1996).
Nokia also face with the problem, and changed its functions from single market and overall
products to global market and focusing mobile phone market.
Technological Factors
In the communications market, technology is the most important fact that companies like Nokia
have to take into deep consideration. They must have to keep up-to-date with all the newest
technology like camera and motion capture mobile phones if they want to capture the majority
share of market and to compete with Sony, Samsung and Siemens, etc.

Environmental, Social and Ethical factors

Some business organizations view profits are more valuable than a strong ethical code which can
govern business conduct and behavior. Some un-ethical activities are against the law. There are
also some practices which are not illegal by law but by consuming public, it is considered highly
un-ethical. Companies who involve in these practices might lose market share if they exposed.
Cosmetic test on animals is a example. This might be legal but some consumers might not be
happy about it and avoid certain products. Companies must have to be careful how they conduct
themselves. Nokia managed to be quite environmental-friendly and have not done any offensive
thing which may create suffer to consumers. Because of their carefulness, they are such a most
popular brand in mobile phone industry.
Legal factors
These are related to the legal environment. In UK, there have been many significant changes in
laws which already have affected firm's attitude and behavior. Introduction of age and disability
discrimination legislation, an increase in the minimum wage and requirements for firms to
recycle their product are examples of relatively recent laws. Legal changes also affect a firm's
costs, demand and product quality.
2.2Competitor Analysis (Samsung)
Samsung is the world second handset producer in the global and has recently benefited from its
super-thin touch screen attractive mobile handsets (www.wired.com). Samsung had a pretty
decent showing in second quarter as they owned 19.3% market share in mobile handset sales.
They will have continued growth throughout the remainder of 2009 and will end the year on a
positive note owning 20.3% of the market. This will happen if they can hold true to the forecast
of Strategy Analytics that they will ship 117.8 million phones in 2H of 2009, but with the likes of
the Omnia 2 launching this month in 14 countries and other touch screen goodies getting
released very soon, we don't see Samsung having any problems reaching this goal. If and when
they accomplish this, this will be a new record for the company as this will only be the first time
they've surpassed the 20% mark since they've entered the mobile phone biz. This probably won't
have any significant effect on industry-leading Nokia, but will certainly help Samsung distance

them even further from no. 3 LG. The main success factor is, recently they got huge appreciation
from Ultra Edition devices from customers. Strategy analytics also give it a high chances of
managing 40 percent market share when it reports is 3rd quarter sales in August, 2009. Wide
collection of mobile phones and supporting a variety of mobile platforms including Windows
Mobile, Symbian, and even the Android operating system, It's future looks very bright, and
there's no doubt that they'll be the top of the market one day.Currently, Nokia stands leading
mobile device manufacture and maintain a well reputed distance from other rivals. But, table-1
data clearly shows that Nokia's market share down by 2.7% at 2Q, 2009 compare to previous 2Q,
2008. Whereas Samsung's share, increase by 4.1% compare to previous session.

2.3 Market Description

Figure 1.Global mobile phones market value by region in 2009 (Data monitor 2010b:12)
In this chapter, a more detailed general description of the European (Section 3.3) and U.S. (Section 3.4)
mobile phone markets are given. The discussion on the individual markets is preceded by a general

description of the qualities of a generalized mobile handset market in Section 3.1 and a five forces
analysis in Section 3.2. Finally, the chapter concludes with a brief comparison of the European and U.S.
markets

2.4Market shares
The development of market shares of individual companies in the European market has been presented in
Figure. Despite the heated debate over and discussion on the performance of individual companies
(especially Nokia and Apple) over the last few years, the changes in their relative positions have not been
very dramatic. Perhaps the clearest individual trend has been the rise of Samsung to clearly occupy the
2nd position on the market still about 8 percentage units behind Nokia. The following four biggest
handset manufacturers all account for individual market shares of 5-10 %, i.e. already trailing around 20
percentage units behind Samsung and 25-30 percentage units behind Nokia.

Nokia

2005

2006

Samsung

2007

Apple

2008

Sony

2009

There is, however, a reason why the debate especially over the so called flagship models and
their relative competitiveness could be justified. A well accepted argument has been presented
that many of the customers on the market base their purchasing decisions on how advanced they
consider the manufacturer to be even if their intention is not to acquire the flagship model (or
even a smart phone). Some might argue, that the relative decline of Nokia from 2007 to 2010
could be explained by the absence of a comparable flagship model to that of Apple (i.e. iPhone)
even though the flagship model itself contributes a fairly small portion of the total sales

2.5 Annual reports

Annual report to know that why not successful in the US / actions taken by Nokia
2002- (No discussion on the U.S. market and/or actions taken)
2003- (CDMA technology one focus area)

2010

2004 - (Launched a high performance CDMA phone 6255 and an EDGE phone 6620 for the
North American market)
2005- (Launched first operator-tailored phones 6102 and 6234)
2006 - (New CDMA phones, opened two research centers in the US)
2007 - (Launched 6555 together with AT&T, launched several new CDMA phones)
2008- (No discussion on the U.S. market and/or actions taken)
2009 - (No discussion on the U.S. market and/or actions taken)
2010 - (No discussion on the U.S. market and/or actions taken)
2011 - (No discussion on the U.S. market and/or actions taken)

Chapter-3 Summaries and Conclusion

3.1Summary

In this project we can get the information about the Nokia Mobile Company. This project will
also helpful to get market coverage analysis accordingly Market description, Market share,
Annual report it also provide the history of Nokia mobile and about the services provided by
Nokia company to the customer.

3.2Conclusion
Working on market coverage of Nokia mobile project gave me an opportunity to apply my skills
and knowledge, which I had gained previously. It gave me a opportunity to see working an
organization. It was an amazing experience with learning all the way, which help me to brush up
our knowledge