Where is Nokia?

Chia- Finland

In Finland, the hometown of Nokia, the world's largest mobile phone manufacturer, the popularity of mobile phones can be compared with the famous sauna. Strolling through the streets of Helsinki, Finland, you can even see many children with mobile phones in their hands. According to the survey, more than half of Finns have a mobile phone penetration rate as high as 58%, ranking first in the world. However, this does not mean that the market is saturated. Mr Yoma Ollila, CEO of Nokia, predicted that the mobile phone ownership rate in Finland will reach 65,438+000% in the next five years.

Nokia 1865 was established in an industrial town 100 miles north of Helsinki. The company has produced almost all products from papermaking, property management, rubber, machinery, cables and other fields at different times, so that many Finns still associate Nokia's name with rubber cotton boots worn as children.

How did a forest industry enterprise in a small Nordic country with a population of 5 million become a multinational company that is one of the three largest communication equipment manufacturers in the world today? Nokia believes that the secret of success lies in keeping up with the changing trend of the market, adjusting the company's development strategy in time, seizing the opportunity, making decisive changes and always staying one step ahead.

In recent decades, Nokia has seized two important opportunities to adjust its industrial focus. 1960 Nokia, which has developed into a comprehensive manufacturer of paper, adhesive and cable, set up an electronic department in the cable factory for the first time, focusing on optical and electrical transmission. At that time, semiconductor technology was moving from laboratory to industrialization. For all enterprises, learning and learning these new technologies must start from scratch. Therefore, Nokia today is the cornerstone.

The most critical transformation took place in 1992, when Nokia transformed from traditional industries such as paper making, rubber and cable to high-tech group companies operating computer, consumer electronics and telecommunications products. But at the beginning of the company's transformation, there was a loss in the economy. The new president, Yuma Ollila, said loudly: "The future will belong to the communication era, and Nokia will become a worldwide telecommunications company." As soon as the CEO took office, he launched a new career development strategy centered on mobile phones. Paper, tires, cables, household electronics and other businesses will be compressed to a minimum, or sold, or go out independently, or even reluctantly cut off TV production business with one of the largest TV manufacturers in Europe, and concentrate 90% of funds and manpower to strengthen the research and development of mobile communication equipment and multimedia technology. Nokia's decision makers have keenly grasped the development trend of the mobile communication industry and seized this excellent opportunity. While other companies are still strengthening the research of analog technology, Nokia's easy-to-use digital mobile phone is ready to go. These mobile phones have been specially processed and can be applied to different frequencies and standards around the world. Just at this time, as Nokia expected, the global demand for mobile phones has entered a period of rapid growth, and Nokia, which has already made full preparations for this, has made a leap.

Before 1992, communication was only one of the diversified business projects of Nokia 13, accounting for about 15% of the total turnover. In the first half of this year, more than 90% of Nokia's sales of $8.647 billion came from communication business. At present, Nokia's share in the global mobile communication market is close to 30%, and it has become the largest mobile phone manufacturer in the world.

If Nokia seized the opportunity, took the road of specialization and achieved a leap, then its keen grasp of the market will make it always stand at the forefront of the industry, drive the development of the whole industry, and thus guide the market. Nokia believes that the market cannot wait. How to fill the market gap, or make a small market bigger, depends on how you find and master the breakthrough point of leading technology. Although Nokia has always had the advantage of leading technology, it pays more attention to the practical application of technology, and believes that if technology cannot be popularized to suitable applications and bring value to human beings, there will be no market demand. Therefore, the conception of new products originates from consumers' needs, expectations and dreams, and detailed market analysis and careful classification of users are the most critical prerequisites.

Nokia's market segmentation strategy makes it break the industry rule of releasing a new product every two years for the first time. On the contrary, a new product comes out every month on average. While optimizing the basic functions, its series of mobile phones pay attention to continuous innovation from small places, filling one market gap after another. For example, Nokia 5 1 10 was deeply loved by young people as soon as it entered the China market. They pay attention to practicality and quality, and pursue fashion and individuality, but they don't have much money in their pockets, so they don't have high requirements for business functions. In view of this consumer group, Nokia has launched an innovative "free exchange" color shell, and formulated the corresponding low-price strategy. In this way, Nokia took the lead in the market and set off a boom in mobile phone sales.

Nokia is not only good at discovering the combination of technology and the current market, but also can create a market when its technology is ahead of the market and guide the market to change to its technology, thus opening up a new growth space. For example, the revolutionary Nokia 7 1 10 media phone has transformed hundreds of millions of Internet users and mobile phone users into media phone users that did not exist before. Why does Nokia firmly believe that this transformation will succeed? This is because it has seen that this new technology will bring great use value and value-added services to users. Just as why mobile communication is important. Because it can bring freedom of communication to everyone, and this is its value.

"The future is wireless, and people need to get rid of the entanglement of various lines and realize real mobile communication, which will bring unprecedented freedom and convenience to people in the mobile environment." This sentence by Yoma Ollila reveals the fundamental reason why Nokia is committed to creating a mobile information society-"people-oriented technology".

Appendix: Development of Nokia (from paper mill to mobile communication giant)

1865 frederick fen paper mill

1922, the Finnish rubber factory, a close neighbor of Nokia, which produces high-grade leather shoes and tires, merged with the Finnish cable factory which produces power telephone cables.

1967, Nokia and the merged Finnish Rubber Cable Factory jointly established the Nokia Group. The group has invested heavily in the electronics industry.

Ollila took over Nokia. He focused the company's business on the telecommunications industry and promoted the production of GSM standard telephones.

1994 Nokia shares are listed on the new york Stock Exchange.

1996 Nokia auctioned cable TV and color TV production business, which made rapid development in the field of mobile communication.

1998 produced the 1 100 millionth mobile phone, becoming the largest mobile phone manufacturer in the world.