Nokia Weakness

In: Business and Management

Submitted By Inkoma
Words 1109
Pages 5
Weakness—Nokia in UK
1 Burning cash
( Nokia: Three Big Problems, 2012)
Nokia’s Net Cash went down 24% in one year. From page 5 of the earnings Release: “Year-on-year, net cash and other liquid assets decreased.
‘The company’s prospects in both phone categories don’t look stellar. And bad things happen to cash when the market loses confidence in a company’s future: vendors want to be paid more quickly, customers become more hesitant, all precipitating a crisis’( Nokia: Three Big Problems, 2012)
2 System defects
Nokia isn’t fast enough on its software development.
‘Symbian’s architecture is complicated and weird, and its attempts at running a touchscreen horrendously lousy.’ (Nokia’s problem, 2010)
That is true that when all of the same industry chooses to give up the old-fashioned system of Symbian and start running Android, Nokia is still running the Symbian system.When he realized that the system problems have seriously affected its development, Nokia finally choose a replacement system---Windows phone 7, but there is strong objection of Windows Phone 7.

3 Poor design of smart phone (low performance)
Nokia realized that smart phone is becoming trend of mobile industry and started to produce smart phone. However is not very successful because of its low performance of smart phone.
‘If Microsoft is building its own smartphone, Nokia will race RIM to the deadpool’(Wilhelm, A, 2012)
‘It’s fact that Nokia has failed to build hardware that ignited the Windows Phone platform; the mobile project remains mired in single digits. Therefore, the partner that Microsoft backed, with dollars, love, and firmware flexibility that it gave to no one else, has not performed as it likely hoped.
And Nokia itself is hardly crushing it; a quick perusal of its financial statements tells a tough story.’ (Wilhelm, A, 2012)
4 Slow reaction to new market and new competitive…...

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