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Strategy report
TO: Proximity Mobile Team FROM: Asia Mouzone DATE: September 22, 2009 SUBJECT: Nokia / Symbian Strategy Analysis

Here’s my strategy report on Nokia / Symbian. Nokia currently uses Symbian, one of the dominating operating systems (OS) in the mobile market. Apple’s iPhone leads the mobile industry with their phone applications and it is because of this that many Gen-Y users choose to purchase the Apple iPhone. Whether Gen-Y will choose to purchase Nokia’s mobile devices depends on whether Nokia is able to improve or create applications that will appeal to Gen-Y users and other potential customers.

** Profile ** Fredrik Idestam, a southern Finland engineer, started a wood-pulp mill to manufacture paper in 1865. The Nokia Group, through the merging of rubber and cable companies, was created in 1967. This gave rise to the currently dominating cellular phone provider, The Nokia Corporation (Nokia). Telecommunications and mobile phone divisions were Nokia’s foundation during Finland’s recession in 1990.

Nokia generates revenue from three sources:

At the end of the last financial year (FY), Symbian “recorded revenues of $76,611.7 million, a decrease of 0.7% over 2007. The operating profit of the company was $7,306.7 million in FY 2008, a decrease of 37.8 % over 2007. Its net profit was $5,867.7 million in FY 2008, a decrease of 44.6 % over 2007” (King 2009).
 * //Royalty: //royalty revenue from each mobile device is given to Symbian when licensees transport Symbian OS
 * //Consulting //: Symbian support their licensees by consulting them on how they can execute strategies to install Symbian OS on their mobile products. Symbian generates revenue to fund all expenses. These consultations also guide the licensees in using the Symbian OS for their devices
 * //Partnering and other revenue //: through training, partnerships, and trade shows, Symbian is able to make monetary profits. These activities are used to promote Symbian OS.


 * Competitive Landscape **

The top dominating OS’s in the mobile market are Blackberry, Apple iPhone, and the trailing Google Android. The OS’s that follow these are: · Nokia Symbian · Windows Mobile · Linux Limo · Maemo

Eight percent of world wide smart phone profit is reserved for iPhone and it gains 32% of world wide industry revenue. Below are some further statistics of where these OS’s stand in market share (Fahmy 2009):

· Nokia Symbian owns 5% of share in the market · RIM owns 19% of share in the market · Twenty-five percent of mobile web access is attributed to Nokia Symbian · iPhone has 30% of mobile web access ·<span style="font-family: 'Times New Roman'; font-size-adjust: none; font-size: 7pt; font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal;"> RIM has 3% of mobile web access

Frost & Sullivan predicts that Nokia’s share will continue to drop from 44% to 36% by 2014 (Ewan 2009).

Nokia’s strategy can be divided into three parts:
 * Nokia / Symbian Strategy **

__ Symbian OS __ : <span style="color: black; font-family: 'Times New Roman','serif';">Nokia uses Symbian, an open source OS, as their primary operating system for their mobile devices. Symbian operating system (OS) is one of the domineering OS’s in today’s mobile market <span style="font-family: 'Times New Roman','serif';">. For many years, Symbian was a single standing company, but Nokia still owned most of Symbian’s interest. Nokia bought Symbian, put it into open source, and made Symbian OS available for non-license to their partners (Ewan 2009). Nokia license their Symbian OS to mobile providers and allow them to modify their own software for their mobile devices. Nokia’s Symbian OS is well critiqued for its technology, but their European style user interface is difficult for Americans to understand. Customers have complained about the discomfort of some of Nokia’s keypads on their phones. There is little textile traction on the keys. Also the display features on Nokia’s cell phones are uncomfortable for customers to view. <span style="color: black; font-family: 'Times New Roman','serif';"> __<span style="color: black; font-family: 'Times New Roman','serif';">Partnerships __<span style="color: black; font-family: 'Times New Roman','serif';">:

·<span style="font-family: 'Times New Roman'; font-size-adjust: none; font-size: 7pt; font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal;"> <span style="font-family: 'Times New Roman','serif';">To reduce competition in the global market share, Nokia has created alliances / partnerships with other countries. One alliance Nokia has made is with Microsoft. McDougall, a writer of Information Week, says Microsoft has designed fashionable phones that are marketing fashion week in New York with the new launch of designer wallpapers and palettes for mobile phones that are controlled by Windows. Microsoft will make downloadable add-ons of some of the top designers such as Diane, Vera Wang, Issac Mizrahi, Von Furstenberg, Ron Arad, and Rock & Republic, available for their mobile devices. The alliance Nokia and Microsoft made last month will allow both companies to collaborate together to enhance Microsoft applications, one of which Nokia will use on their mobile phones. This agreement allows for Microsoft Office to be powered by Symbian. The established alliance with Nokia’s Symbian OS and Microsoft will allow Microsoft to enhance the quality of their fashion add-on feature.

·<span style="font-family: 'Times New Roman'; font-size-adjust: none; font-size: 7pt; font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal;"> <span style="font-family: 'Times New Roman','serif';">A second partnership Nokia has made is with MSC Malaysia and Cradle Fund on September 15th of this year. Under this partnership, developers can propose ideas for applications that use Web Runtime widgets (WRT). Mathers, head of developer relations and marketing in Asia – Pacific, believes WRT widgets and mobile content enhancement will revolutionize mobile internet. Mathers also says that opportunity and vigorous technology “with strategic players in the ecosystem such as MSC Malaysia,” he and his team strive to aid developers in bringing their ideas to market (Keong 2009). CEO of the Multimedia Development Corporation (MDeC), Ghazali feels this partnership will be of interest to their developers and as well as the youth (Keong 2009). <span style="font-family: 'Times New Roman','serif'; text-decoration: none;"> __<span style="font-family: 'Times New Roman','serif';">New Devices __<span style="font-family: 'Times New Roman','serif';">:

Nokia has created new devices with more features. Nokia has developed a new mobile device, the Nokia N97 Mini. This phone will be available for purchase this holiday season. The Symbian OS has been reconstructed for easier understanding. The first time feature, a GPS widget, will be on this phone. This widget will allow users to have a GPS location on their Facebook status update. Developers think the GPS widget will help find lost phones.


 * <span style="font-family: 'Times New Roman','serif';">Gen-Y implications **<span style="font-family: 'Times New Roman','serif';">

Nokia needs to solve two problems if they want to resist market share decreases:

__ Hardware Problem: __ ·<span style="font-family: 'Times New Roman'; font-size-adjust: none; font-size: 7pt; font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal;"> Reconstruct the Symbian OS so that their phones have better image quality on their handset screens ·<span style="font-family: 'Times New Roman'; font-size-adjust: none; font-size: 7pt; font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal;"> Digress from European display features ·<span style="font-family: 'Times New Roman'; font-size-adjust: none; font-size: 7pt; font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal;"> Eliminate European phone design

__ New Mobile Enterprises: __ ·<span style="font-family: 'Times New Roman'; font-size-adjust: none; font-size: 7pt; font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal;"> Should make their user interfaces North American friendly ·<span style="font-family: 'Times New Roman'; font-size-adjust: none; font-size: 7pt; font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal;"> Consider adding more applications or improve the ones they already have if they plan to bypass iPhone’s dominating applications ·<span style="font-family: 'Times New Roman'; font-size-adjust: none; font-size: 7pt; font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal;"> Make the Facebook GPS widget available for many of their handsets, not just the N97 mini

= References = Ewan. (2009, September 17). What Nokia Should Do - An Opinion. Retrieved September 17, 2009, from [] <span style="font-family: 'Times New Roman','serif';">Fahmy, H. (2009, August 24). Symbian, Android, Apple, Linux or Blackberry? A Tough Choice for Mobile Financial Services. Retrieved September 17, 2009, from [] Fletcher, O. (2009, September 9). China Mobile Powers Up App Store with Symbian Deal. Retrieved September 17, 2009, from [] Ilinca. (2009, September 9). Nokia to Refuse Carrier Customization for its Maemo Smart Phones? Retrieved September 17, 2009, from [] Keong, L. M. (2009, September 16). Funding Boost for Malaysia's Mobile Developers. Retrieved September 17, 2009, from [] McDougall, P. (2009, September 17). Microsoft Fashionable Phones: Wallpapers and Palettes by Wang, Von, Furstenberg, and Other Icons Available for Windows Mobile Devices. Retrieved September 17, 2009, from [] Kerr, R. (2009, September 9). Nokia N97 Mini. Retrieved September 17, 2009, from [] King, M. (2009, September 16). Nokia Corporation - Financial and Operations Analysis - New Market and Company Analysis. Retrieved September 17, 2009, from [] Litchfield, S. (2006, August 23). Symbian in Q2. Retrieved September 21, 2009, from All about Symbian: []

Blog proposal
TO: Proximity Mobile Team FROM: Asia Mouzone SUBJECT: Blog Post Proposal DATE: October 26, 2009

I suggest that we do our Proximity blog post on the competition between Google Android, iPhone, and Nokia Symbian operating systems to see which of the three has potential to dominate in the future. This post can aid users in deciding which phones to buy based on the advances of each operating system.

There is no doubt of the ongoing battle of operating systems for first place. Google Android, iPhone, and Nokia Symbian advancements can be analyzed in these ways: 1) the benefits each phone maker provides through means of open source and 2) the applications each phone maker provide to enhance consumer’s phone usability. Future consumers will be informed of the disadvantages and advantages of each operating system in hopes of making their phone buying experience hassle free and convenient.
 * Rationale **

I propose that we explain what the battle is between these three major operating systems. We can embed a video pertaining that predicts which operating system (Google Android, iPhone, or Nokia Symbian) have potentiality to dominate in the future. We all can decide which video to use at a later time. []
 * Sources **
 * References **

Report proposal
TO: Proximity Mobile Team FROM: Asia Mouzone DATE: November 12, 2009 SUBJECT: Proposal for report on Nokia

Nokia currently uses Symbian, one of the most efficient operating systems (OS) in the mobile market. Some other operating systems that provide competition for Nokia are Google Android, Blackberry, and Apple iPhone. Nokia's wide array of unique phone designs also contribute to their dominance in the global mobile market. I propose to write a report on the top five Nokia mobile devices for U.S. consumers looking to purchase a Nokia cell phone.


 * Need**

Although the Symbian OS is widely praised, Nokia cell phone consumers have complained that,

· its European style user interface is difficult for Americans to understand. · lack of traction makes some of Nokia’s keypads dificult to use; · display features are not easy to see.

Nokia has been strategically working to provide better quality cellular devices. Some means by which Nokia have used to make this possible were through various partnerships with other cell phone providers and even a computer software company, Microsoft. Two months ago Nokia partnered with MSC Malaysia and Cradle Fund; this partnership will make it possible to improve applications that use Web Runtime widgets (WRT). This will help to revolutionize mobile internet. Through various partnerships and operating system enhancements, Nokia has designed better quality cellular devices.

Gen-Y readers of Proximity who want the advantages of the Symbian OS can use this report to help them decide which device to purchase. The report concludes that Nokia’s cellular devices are not ill-constructed and poorly designed.


 * Topics**

The proposed report, “Top Five Nokia Cell Phones” will cover the following topics:


 * Advantages of the Symbian OS
 * Phone design
 * Applications
 * Prices and features each model
 * Sources**

Ali, N. (2009, September 24). //Top 10 Nokia Mobile Phones Till Date.// Retrieved November 11, 2009, from http://laptops2010.blogspot.com/2009/09/top-10-nokia-mobile-phones-till-date_3545.html In this article, Ali gives an updated report on the top ten Nokia cell phones. Ali provides a picture of each of the most popular Nokia cell phones. Alongside of each cell phone picture, a brief description of the cell phone is given. Ali lists the different features of each phone, some of them including: the operating system the phone uses, keypad technology, talk time, stand by time, digital capabilities (video, camera, voice dialing, etc), phone dimensions, and as well as other features. Ali also includes the prices of each of the top ten Nokia cell phones, the most expensive phone being $800.

//Nokia: Connecting People//. (2009). Retrieved November 17, 2009, from Nokia: http://europe.nokia.com/home This is Nokia’s direct website. This website provides information about all of Nokia’s mobile devices, their company information, partnerships, investors, site indexes, careers, locations, private policy, press, blog, corporate responsibility, Nokia worldwide, environment, and Nokia for business. This website was used to further research the top five Nokia phones which include: their phone design, applications, phone prices, and benefits.

Team conference presentation proposal
//paste team conference presentation here//

Sales letter and report prospectus
December 4, 2009

Mr. Larry Barton, Director of Marketing The Nokia Corporation 701 E. Joppa Road Towson, MD 21286

Dear Larry: I enjoyed talking with you last week at Proximity’s Next Generation Media seminar regarding Nokia’s need to promote its newly remodeled cell phones to Gen Y consumers. Enclosed you will find a prospectus for the report I mentioned describing Nokia’s top five newly innovated cell phones that will appeal to Gen Y consumers.

As you noted last week, Nokia feels that it must establish cell phones that meet the needs of Gen Y in order to sell its products to that group when they decide to purchase new cell phones. I believe Proximity can partner with you to create a detailed campaign that uses internet and commercial broadcasting advertisements to meet this goal.

We can provide you with personalized survey and focus group results to portray Nokia’s image as a progressive, mobile company. Our faculty consultants can advise your sales group on how to design new products, and our production teams can make multi-platform ads that appeal to Gen Y. In addition, we have trained student marketers who can promote Nokia’s cell phones on YouTube, a broadcasting network and as well as through internet advertisements on Social networking sites such as Facebook. Our research proves that using student representatives to friend social networkers is an effective strategy for reaching Gen Y.

I invite you and your staff to join us at Proximity’s Towson office for a special focus group session on Nokia’s Gen Y cell phone image. After that session, you can meet with members of our group to discuss how Proximity can help you meet your marketing goals.

Sincerely, Asia Mouzone Associate Media Analyst

enclosure

**About Proximity**

Proximity is a Gen Y on-demand media strategy group. Its analysts know how to connect with their generation using campaigns designed for the new media landscape. Because it is associated with Towson University, Proximity has immediate access to a large student population and the expertise of faculty who specialize in marketing and media research.

Proximity offers its clients a full range of services for developing and executing customized campaigns that can reach any segment of Gen Y. It regularly conducts on-line surveys and focus group sessions to keep marketers up to date on the social trends and emerging technologies that determine how this group communicates and what it purchases. Visit Proximity at www.proximity.edu to sample its research and see examples of successful campaigns.

<span style="font-family: 'Times New Roman','serif'; font-size: 12pt; line-height: 115%;"> **//<span style="color: white; font-family: "Arial","sans-serif"; font-size: 18pt; line-height: 115%;">PROXIMITY reports //** || || <span style="font-family: "Arial","sans-serif";"> //<span style="font-family: "Arial","sans-serif";">connecting with Gen Y using on-demand media // ||^  || **<span style="color: maroon; font-family: "Arial","sans-serif"; font-size: 18pt; line-height: 115%;">Top Five Nokia Cell Phones ** <span style="font-family: "Arial","sans-serif";">Asia Mouzone <span style="font-family: "Arial","sans-serif"; font-size: 18pt; line-height: 115%;"> //<span style="font-family: "Arial","sans-serif";">The Nokia Corporation has strategically designed higher quality cell phones that will appeal to Gen Y consumers // ||



<span style="color: #333300; font-family: "Arial","sans-serif"; font-size: 13.5pt; line-height: 115%;"> //<span style="font-family: "Arial","sans-serif";">Although the Symbian OS is widely praised, Nokia cell phone consumers have complained that Nokia cell phones European style user interface is difficult for Americans to understand; the cell phones lack of traction makes some of Nokia’s keypads difficult to use, and display features are not easy to see.
 * //__<span style="color: #333300; font-family: "Arial","sans-serif"; font-size: 18pt; line-height: 115%;">The problem __//**
 * //__<span style="color: #333300; font-family: "Arial","sans-serif"; font-size: 18pt; line-height: 115%;">The problem __//**

//<span style="color: #333300; font-family: "Arial","sans-serif";"> <span style="font-family: "Arial","sans-serif";"> || <span style="color: #333300; font-family: "Arial","sans-serif"; font-size: 18pt; line-height: 115%;"> //<span style="font-family: "Arial","sans-serif";">This report will do its best to shine light on areas of Nokia’s efforts of re-designing their cell phones to meet the demands of Gen Y consumers. This report will focus on the following topics to achieve this goal: ////<span style="font-family: "Arial","sans-serif";"> advantages of the Symbian OS, phone design, applications, and prices & features of each phone model // ||
 * //__<span style="color: #333300; font-family: "Arial","sans-serif"; font-size: 18pt; line-height: 115%;">Proximity’s mobile solution __//**
 * //__<span style="color: #333300; font-family: "Arial","sans-serif"; font-size: 18pt; line-height: 115%;">Proximity’s mobile solution __//**


 * <span style="color: #333300; font-family: 'Arial','sans-serif'; font-size: 18pt; line-height: 115%;"> ||