project on nokia

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Introduction to Project:- This Project deals with Various Marketing Strategies used in NOKIA. This Project mainly focuses on Various Strategies that are been used by Nokia Co Ltd in the Market in India.Nokia is also known as a powerfull company in the mobile segment , and have also remains at position first . Data and Methodology :- For the purpose of the present study, both primary data and secondary data were used. Primary data is collected by visiting “NOKIA PRIORITY DEALER SHOP” [NEW DELHI] Secondary data are collected from Books, Internet, Magazines Objective of the Study :- The objectives of the present study are:- 1) To get the better view of Various Marketing Strategies used in NOKIA 2) To know the facilities provided by Nokia Company to its Customers 3) To know the special schemes designed by the Nokia Company & especially for the benefit of the Customers.

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project on nokia marketing strategy

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Page 1: project on nokia

Introduction to Project:-

This Project deals with Various Marketing Strategies used in NOKIA. This Project mainly

focuses on Various Strategies that are been used by Nokia Co Ltd in the Market in

India.Nokia is also known as a powerfull company in the mobile segment , and have also

remains at position first .

● Data and Methodology :-

For the purpose of the present study, both primary data and secondary data were used.

Primary data is collected by visiting “NOKIA PRIORITY DEALER SHOP” [NEW

DELHI]

Secondary data are collected from Books, Internet, Magazines

Objective of the Study :-

The objectives of the present study are:-

1) To get the better view of Various Marketing Strategies used in NOKIA

2) To know the facilities provided by Nokia Company to its Customers

3) To know the special schemes designed by the Nokia Company &

especially for the benefit of the Customers.

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● Limitations of Study :-

1) The study is based on the information provided by Nokia ‘s Mobile

Strategy

2) The present study suffers from all the limitations of

case study method.

INTRODUCTION

The company I have chosen to analyse in my project is the Finnish mobile phone giant

NOKIA. This Chapter tells us briefly what Nokia actually is, its company structure and

overall view on the size and sales of the company & also the Various Marketing Strategies

followed by them. Since January 2004, Nokia Group has consisted of four different

business groups: Mobile Phones, Multimedia, Enterprise Solutions and Networks. “In

addition, there are two horizontal groups that support the mobile device business groups:

Customer and Market Operations and Technology Platforms.”2 In the year 2004 Nokia’s

net sales for mobile phones were 18 507 million euro, which went down 12% from 2003.

Nokia’s market areas were Europe/Africa/Middle East (55% of net sales), Asian Pacific

and China (25%) and Americas (20%). Nokia’s market share in Europe was 45,8% in

2003, in 2004 it was 34,8% and in the third quarter of 2005 it was 36%.3 The average

number of personnel for 2004 was 53 511. At the end of 2004, Nokia employed 55 505

people worldwide. In 2004, Nokia′s

personnel increased by a total of 4 146 employees. Nokia’s turnover for the third quarter of

2005 was 8403 million euro from which mobile phones brought in 62%, multimedia 17%,

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Enterprise solutions 2% and Networks 9%. “The year 2004 was demanding for Nokia. In

response, the company set five top priorities in the areas of customer relations, product

offering, R&D efficiency, demand-supply management and the company’s ability to offer

end-to-end solutions. Nokia is making good progress in these areas,

and is now better positioned to meet future challenges.

On 11 February 2011, Nokia's CEO Stephen Elop, a former head of Microsoft business

division, unveiled a new strategic alliance with Microsoft, and announced it would

replace Symbian and MeeGo with Microsoft's Windows Phone operating system except

for mid-to-low-end devices, which would continue to run under Symbian. Nokia was also

to invest into the Series 40 platform and release a single MeeGo product in 2011.

As part of the restructuring plan, Nokia planned to reduce spending on research and

development, instead customising and enhancing the software line for Windows Phone 7.

Nokia's "applications and content store" (Ovi) becomes integrated into the Windows

Phone Store, and Nokia Maps is at the heart of Microsoft's Bing and AdCenter. Microsoft

provides developer tools to Nokia to replace the Qt framework, which is not supported by

Windows Phone 7 devices.

Symbian became described by Elop as a "franchise platform" with Nokia planning to sell

150 million Symbian devices after the alliance was set up. MeeGo emphasis was on

longer-term exploration, with plans to ship "a MeeGo-related product" later in 2012.

Microsoft's search engine, Bing was to become the search engine for all Nokia phones.

Nokia also intended to get some level of customisation on WP7.

After this announcement, Nokia's share price fell about 14%, its biggest drop since July

2009.

As Nokia was the largest mobile phone and smartphone manufacturer worldwide at the

time, it was suggested the alliance would make Microsoft's Windows Phone 7 a stronger

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contender against Android and iOS. Because previously increasing sales of Symbian

smartphones began to fall rapidly in the beginning of 2011, Nokia was overtaken by

Apple as the world's biggest smartphone maker by volume in June 2011.In August 2011

Chris Weber, head of Nokia's subsidiary in the U.S., stated "The reality is if we are not

successful with Windows Phone, it doesn't matter what we do (elsewhere)." He further

added "North America is a priority for Nokia (...) because it is a key market for

Microsoft.".

Nokia reported "well above 1 million" sales for its Lumia line up to 26 January 2012, 2

million sales for the first quarter of 2012,and 4 million for the second quarter of 2012. In

this quarter, Nokia only sold 600000 smartphones (Symbian and Windows Phone 7) in

North America. For comparison, Nokia sold more than 30 million Symbian devices

world-wide still in Q4 2010 and the Nokia N8 alone sold almost 4 million in its first

quarter of sale. In Q2 2012, 26 million iPhones and 105 million Android phones have

been shipped, but only 6.8 million devices with Symbian and 5.4 million with Windows

Phone

While announcing an alliance with Groupon, Elop declared "The competition... is not

with other device manufacturers, it's with Google."

European carriers have stated that Nokia Windows phones are not good enough to

compete with Apple iPhone or Samsung Galaxy phones, that "they are overpriced for

what is not an innovative product" and that "No one comes into the store and asks for a

Windows phone".

In June 2012, Nokia chairman Risto Siilasmaa told journalists that Nokia had a back-up

plan in the eventuality that Windows Phone failed to be sufficiently successful in the

market.

On October 29, 2012, Nokia said its high-end Lumia 820 and 920 phones, which will run

on Microsoft's Windows Phone 8 software , will reach first operators and retail outlets in

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some European markets including France and Britain and later in Russia and Germany as

well as other select markets.

On December 5, 2012, Nokia introduced two new smartphones, the Lumia 620 and

Lumia 920T. The 620 was released in January 2013.

In January 2013, Nokia reported 6.6 million smartphone sales for Q4 2012 consisting of

2.2 million Symbian and 4.4 million sales of Lumia devices (Windows Phone 7 and 8). In

North America, only 700,000 mobile phones have been sold including smartphones.

COMPANY PROFILE

Nokia's history started in year 1865, when engineer Fredrik Idestam established a wood-

pulp mill in Southern Finland and started manufacturing paper. Due to the European

industrialization and the growing consumption of paper and cardboard Nokia soon became

successful. In 1895 Fredrik

Idestam handed over the reins of the company to his son-in-law. Nokia was Actually

founded in 1965 by Fredrik Idestam in Finland as a paper manufacturing company. In

1920, Finnish Rubber Works became a part of the company, and later on in 1922, Finnish

Cable Works joined them. All

the three companies were merged in 1967 to form the Nokia Group. Nokia created the

NMT mobile phone standard in 1981 and launched the first NMT phone, Mobira Cityman,

in 1987. The company delivered the first GSM network to Radkilinia, a Finnish company

in 1991, and in 1992, Nokia

1011 - a precursor for all Nokia’s current GSM phones - was introduced. In the 1990s,

Nokia provided GSM services to 90 operators across the world. Another significant move

of the company during this period was the divestment of its non-core operations like IT.

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The company focused on two core businesses - mobile phones and telecommunications

networks. In the

1990s, Nokia provided GSM services to 90 operators across the world. Another significant

move of the company during this period was the divestment of its non-core operations like

IT. The company focused on two core businesses - mobile phones and telecommunications

networks.

Nokia's history contains many achievements that were the first of their kind in the world.

Many milestones have been experienced in the mobile phone business since the 80’s. The

success with the NMT and GSM technologies and the products they spawned secured

Nokia's position as the world's

leading telecommunications company. The list of Nokia's milestones

provided a good insight in the history of wireless communications. Nokia has been

involved in making the world's first NMT network and the world's first pocket-sized

mobile phone. The world's first device to use the Symbian OS was also produced by

Nokia. Nokia was able to offer advanced

products from the beginning of the 90s. Early investments in R&D were thus handsomely

rewarded. Nokia ensured its continued growth by reforming its production in the

middle of the 90s. The new phone models and standardized technical solutions made it

possible to produce an increasingly extensive product range more effectively. The

extensive range of mobile phone models, covering all user groups, is one of the reasons

why Nokia became the

market leader. First mobile phone :

The Mobira Cityman 150, Nokia's NMT-900 mobile phone from 1989 (left), compared to

the Nokia 1100 from 2003. The Mobira Cityman line was launched in 1987.

The technologies that preceded modern cellular mobile telephony systems were the

various "0G" pre-cellular mobile radio telephony standards. Nokia had been producing

commercial and some military mobile radio communications technology since the 1960s,

although this part of the company was sold some time before the later company

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rationalization. Since 1964, Nokia had developed VHF radio simultaneously with Salora

Oy. In 1966, Nokia and Salora started developing the ARP standard (which stands for

Autoradiopuhelin, or car radio phone in English), a car-based mobile radio telephony

system and the first commercially operated public mobile phone network in Finland. It

went online in 1971 and offered 100% coverage in 1978.

In 1979, the merger of Nokia and Salora resulted in the establishment of Mobira Oy.

Mobira began developing mobile phones for the NMT (Nordic Mobile Telephony)

network standard, the first-generation , first fully automatic cellular phone system that

went online in 1981. In 1982, Mobira introduced its first car phone , the Mobira Senator

for NMT-450 networks.

Nokia bought Salora Oy in 1984 and now owning 100% of the company, changed the

company's telecommunications branch name to Nokia-Mobira Oy. The Mobira Talkman,

launched in 1984, was one of the world's first transportable phones. In 1987, Nokia

introduced one of the world's first handheld phones, the Mobira Cityman 900 for NMT-

900 networks (which, compared to NMT-450, offered a better signal, yet a shorter roam).

While the Mobira Senator of 1982 had weighed 9.8 kg (22 lb) and the Talkman just

under 5 kg (11 lb), the Mobira Cityman weighed only 800 g (28 oz) with the battery and

had a price tag of 24,000 Finnish marks (approximately €4,560). Despite the high price,

the first phones were almost snatched from the sales assistants' hands. Initially, the

mobile phone was a "yuppie" product and a status symbol

Nokia's mobile phones got a big publicity boost in 1987, when Soviet leader Mikhail

Gorbachev was pictured using a Mobira Cityman to make a call from Helsinki to his

communications minister in Moscow. This led to the phone's nickname of the "Gorba".

In 1988, Jorma Nieminen, resigning from the post of CEO of the mobile phone unit,

along with two other employees from the unit, started a notable mobile phone company

of their own, Benefon Oy (since renamed to GeoSentric).One year later, Nokia-Mobira

Oy became Nokia Mobile Phones.

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On 22 September 2003, Nokia acquired Sega.com, a branch of Sega which became the

major basis to develop the Nokia N-Gage device.

On 16 November 2005, Nokia and Intellisync Corporation , a provider of data and PIM

synchronization software, signed a definitive agreement for Nokia to acquire Intellisync.

Nokia completed the acquisition on 10 February 2006.

On 19 June 2006, Nokia and Siemens AG announced the companies would merge their

mobile and fixed-line phone network equipment businesses to create one of the world's

largest network firms, Nokia Siemens Networks. Each company has a 50% stake in the

infrastructure company, and it is headquartered in Espoo, Finland. The companies

predicted annual sales of €16 bn and cost savings of €1.5 bn a year by 2010. About

20,000 Nokia employees were transferred to this new company.

On 8 August 2006, Nokia and Loudeye Corp. announced that they had signed an

agreement for Nokia to acquire online music distributor Loudeye Corporation for

approximately US $60 million.The company has been developing this into an online

music service in the hope of using it to generate handset sales. The service, launched on

29 August 2007, is aimed to rival iTunes. Nokia completed the acquisition on 16 October

2006.

In July 2007, Nokia acquired all assets of Twango, the comprehensive media sharing

solution for organizing and sharing photos, videos and other personal media.

In September 2007, Nokia announced its intention to acquire Enpocket, a supplier of

mobile advertising technology and services.

In October 2007, pending shareholder and regulatory approval, Nokia bought Navteq , a

U.S.-based supplier of digital mapping data, for a price of $8.1 billion. Nokia finalized

the acquisition on 10 July 2008.

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In September 2008, Nokia acquired OZ Communications, a privately held company with

approximately 220 employees headquartered in Montreal, Canada.

On 24 July 2009, Nokia announced that it will acquire certain assets of cellity, a privately

owned mobile software company which employs 14 people in Hamburg, Germany. The

acquisition of cellity was completed on 5 August 2009.

On 11 September 2009, Nokia announced the acquisition of "certain assets of Plum

Ventures, Inc, a privately held company which employed approximately 10 people with

main offices in Boston, Massachusetts. Plum will complement Nokia's Social Location

services".

On 28 March 2010, Nokia announced the acquisition of Novarra, the mobile web

browser firm from Chicago. Terms of the deal were not disclosed. Novarra is a privately

held company based in Chicago, IL and provider of a mobile browser and service

platform and has more than 100 employees.

On 10 April 2010, Nokia announced its acquisition of MetaCarta , whose technology was

planned to be used in the area of local search, particularly involving location and other

services. Financial details of acquisition were not disclosed.

Nokia has acquired Smarterphone in 2012. Also Nokia acquired Scalado in 2012.

INTRODUCTION TO MARKETING

"Marketing is the process of planning and executing the conception, pricing, promotion,

and distribution of ideas, goods, services, organizations, and events to create and maintain

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relationships that will satisfy individual and organizational objectives." The new definition

of marketing, as released by the American Marketing Association is:-

Marketing is an organizational function and a set of processes for creating, communicating

and delivering value to customers and for managing customer relationships in ways that

benefit the organization and its stakeholders.

"Marketing is a social and managerial process by which individuals and groups obtain

what they need and want through creating and exchanging products and value with others."

(Kotler & Armstrong 1987) The Mission of marketing is satisfying customer needs . That

takes place

in a social context. In developed societies marketing is needed in order to

satisfy the needs of society's members. Industry is the tool of society to produce products

for the satisfaction of needs . Marketing is one of the most important functions in business.

It is the

discipline required to understand customers' needs and the benefits they seek. Academics

does not have one commonly agreed upon definition. Even after a better part of a century

the debate continues. In a nutshell it

consists of the social and managerial processes by which products (goods or services) and

value are exchanged in order to fulfill the needs and wants of individuals or groups.

Although many people seem to think that

"Marketing" and "Advertising" are synonymous, they are not. Advertising is

simply one of the many processes that together constitute Marketing. Marketing is the

process of communicating the value of a product or service to customers. Marketing

might sometimes be interpreted as the art of selling products, but sales is only one part of

marketing. As the term "Marketing" may replace "Advertising" it is the overall strategy

and function of promoting a product or service to the customer.

From a societal point of view, marketing is the link between a society’s material

requirements and its economic patterns of response. Marketing satisfies these needs and

wants through exchange processes and building long term relationships. The process of

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communicating the value of a product or service through positioning to customers.

Marketing can be looked at as an organizational function and a set of processes for

creating, delivering and communicating value to customers, and managing customer

relationships in ways that benefit the organization and its shareholders. Marketing is the

science of choosing target markets through market analysis and market segmentation, as

well as understanding consumer buying behavior and providing superior customer value.

There are five competing concepts under which organizations can choose to operate their

business; the production concept, the product concept, the selling concept, the marketing

concept, and the holistic marketing concept. The four components of holistic marketing

are relationship marketing, internal marketing, integrated marketing, and socially

responsive marketing. The set of engagements necessary for successful marketing

management includes, capturing marketing insights, connecting with customers, building

strong brands, shaping the market offerings, delivering and communicating value,

creating long-term growth, and developing marketing strategies and plans

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FUNCTIONS OF MARKETING:-

Distribution

Selling

Financing

Market Information Management

Pricing

Product/Service Managemnt

Promotion

In modern society production and consumption are apart from each other. Marketing

connects them. From the societal point of view, marketing is a philosophy which shows

how to create effective production systems and consequently prosperity.

Business is a subsystem of society, which has both a social and an economic role. Thus, a

company must operate in a way that will make possible the production of benefits for

society and, at the same time, produce profits for the company itself. (Davis, K. et al.

1980) The role of marketing in society means also responsibilities. In addition to economic

and social responsibility, ecological responsibility is nowadays emphasized. According to

some definitions, environmental responsibility is part of social responsibility.

Improvement of marketing is related to the changing emphases of economic, social and

environmental responsibility.

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Advantages

identifies needs and wants of consumers

determines demand for product

aids in design of products that fulfill consumers needs

outlines measures for generating the cash for daily operation, to

repay debts and to turn a profit

identifies competitors and analyzes your product's or firm's

competitive advantage

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identifies new product areas

identifies new and/or potential customers

allows for test to see if strategies are giving the desired results

Disadvantages

identifies weaknesses in your business skills

leads to faulty marketing decisions based on improperly analyzed

data

creates unrealistic financial projections if information is interpreted

incorrectly

identifies weaknesses in your overall business plan

Nature and role of marketing

All modern organisations engage in marketing so as to be able to please and win the loyal

support of their customers. Gillette engages in marketingto find out about the needs and

requirements of shavers,

banks engage in marketing research to find out about its customers financial services

requirements, and the Inland Revenue engages in market research to find out about the

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needs and requirements of taxpayers and other clients.The Chartered Institute of

Marketing uses the following definition of marketing:

'Marketing is the management process responsible for identifying, anticipating and

satisfying consumer requirements profitably.'

The definition places consumers at the centre of the organisation's activities - whether

they be consumers of Kellogg's Special K, the pupils or parents of children at the local

school, or people queuing up to watch Nottingham Panthers play ice hockey.

Some organisations are very close to their consumers - for example, a post office in a

small town. For other organisations consumers may be thousands of miles away - for

example, Cadbury Schweppes selling confectionery and soft drinks around the world.

The principle that the 'Consumer is King and Queen' is just as relevant to the organisation

engaged in international marketing. As we’ve seen the key objective of an organization’s

marketing efforts is to develop satisfying relationships with customers that benefit both

the customer and the organization. These efforts lead marketing to serve an important

role within most organizations and within society.

At the organizational level, marketing is a vital business function that is necessary in

nearly all industries whether the organization operates as a for-profit or as a not-for-

profit. For the for-profit organization, marketing is responsible for most tasks that bring

revenue and, hopefully, profits to an organization. For the not-for-profit organization,

marketing is responsible for attracting customers needed to support the not-for-profit’s

mission, such as raising donations or supporting a cause. For both types of organizations,

it is unlikely they can survive without a strong marketing effort.

Marketing is also the organizational business area that interacts most frequently with the

public and, consequently, what the public knows about an organization is determined by

their interactions with marketers. For example, customers may believe a company is

dynamic and creative based on its advertising message.

At a broader level marketing offers significant benefits to society. These benefits include:

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Developing products that satisfy needs, including products that enhance society’s quality

of life

Creating a competitive environment that helps lower product prices

Developing product distribution systems that offer access to products to a large number

of customers and many geographic regions

Building demand for products that require organizations to expand their labor force

Offering techniques that have the ability to convey messages that change societal

behavior in a positive way (e.g., anti-smoking advertising)i

There are a number of key ingredients to the Chartered Institute of Marketing definition:

Identifying - This will involve answering questions such as 'How do we find out what

the consumer's requirements are?' and 'How do we keep in touch with their thoughts and

feelings and perceptions about our good or service. This is a key purpose of market

research.

Anticipating - Consumer requirements change all the time. For example, as people

become richer they may seek a greater variety of goods and services. Anticipation

involves looking at the future as well as at the present. What will be the Next Best Thing

(NBT) that people will require tomorrow.

Satisfying - Consumers want their requirements to be met. They seek particular benefits.

They want the right goods, at the right price, at the right time in the right place.

Profitability - Marketing also involves making a margin of profit. An organisation that

fails to make a profit will have nothing to plough back into the future. Without the

resources to put into ongoing marketing activities, it will not be able to identify,

anticipate or satisfy consumer requirements.

Levels of Marketing

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Strategic Marketing attempts to determine how an organization competes against its

competition in a market place. In particular, it aims at generating a competitive advantage

relative to its competition. Operational Marketing executes marketing functions to attract

and keep

customers and to maximize the value derived from them, as well as to satisfy the customer

with prompt services and meeting the customer expectations. Operational Marketing

includes the determination of the marketing mix.

The Social Function of Marketing

In modern society production and consumption are apart from each other.

Marketing connects them. From the societal point of view, marketing is a

philosophy which shows how to create effective production systems and

consequently prosperity.

Business is a subsystem of society, which has both a social and an economic role. Thus, a

company must operate in a way that will make possible the production of benefits for

society and, at the same time, produce profits for the company itself. (Davis, K. et al.

1980) The role of marketing in society means also responsibilities. In addition to economic

and social responsibility, ecological responsibility is nowadays emphasized. According to

some definitions, environmental responsibility is part of social

responsibility. Improvement of marketing is related to the changing emphases of

economic, social and environmental responsibility. Goodpaster and Matthews (1982)

analyse three patterns of

thought which can be distinguished for a company's social responsibility:

1. The invisible hand;

2. The hand of government; and

3. The hand of management.

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1. The invisible hand view (promoted by e.g. Milton Friedman) concludes that the only

social responsibilities of business organizations are to make profits and to obey laws. Free

and competitive market-place will ensure the moral behaviour of companies. The common

good is best served when individuals and organizations pursue competitive advantage.

2. The hand of government view (promoted by e.g. John Kenneth

Galbraith) concludes that companies are to pursue rational and purely economic

objectives. It is the regulatory hand of the law and political process which guides these

objectives towards common good.

3. The hand of management view (presented by Goodpaster & Matthews) would put the

responsibility of a company's actions into the hands of the company itself. It is concluded

that the moral responsibilities of an individual may be projected into an organization, and

that the concepts of an individual's responsibility and a company's responsibility are

largely

parallel. Therefore, organizations should be no less or no more responsible than ordinary

persons.

The Traditional and Integrated Functions of Marketing

Traditionally, marketing has been seen as a link between production and customer. The

situation could be captured better by using the term selling.

Selling is associated to the so- called "Production and Sales Eras of Marketing". Slogans:

"Make what you can make" and "Get rid of what you have made" describe the traditional

view of marketing/selling. The following figure shows the role of traditionally oriented

marketing in

(traditionally oriented) management.

Marketing was born out of a need to take better into consideration the demand factors in

production planning. The function of marketing is to channel information of consumer

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needs to the production and satisfaction of needs to consumers. The basic power of

marketing is the aspiration to

produce and sell only that kind of products which have demand. Marketing integrates the

whole company to serve this demand. Marketing aims at effective production systems,

where information is transmitted effectively between production and consumption.

Market Segmentation

Market segmentation is one of two general approaches to marketing; the other is mass-

marketing. In the mass-marketing approach, businesses look at the total market as though

all of its parts were the same and market accordingly. In the market-segmentation

approach, the total market is

viewed as being made up of several smaller segments, each different from the other. This

approach enables businesses to identify one or more appealing segments to which they can

profitably target their products and

marketing efforts. The Market-Segmentation process involves multiple steps. The first is to

define the market in terms of the product's end users and their needs. The second is to

divide the market into groups on the basis of their characteristics and buying behaviors.

Possible bases for dividing a total market are different for consumer markets than for

industrial markets. The most common elements used to separate consumer markets are

demographic factors,characteristics, geographic location, and perceived product benefits.

Demographic Segmentation involves dividing the market on the basis of statistical

differences in personal characteristics, such as age, gender, race, income, life stage,

occupation, and education level. Clothing manufacturers, for example, segment on the

basis of age groups such as

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teenagers, young adults, and mature adults. Jewelers use gender to divide markets.

Cosmetics and hair care companies may use race as a factor; home builders, life stage;

professional periodicals, occupation; and so on.

Psychographic Segmentation is based on traits, attitudes, interests, or lifestyles of potential

customer groups. Companies marketing new products, for instance, seek to identify

customer groups that are positively disposed to new ideas. Firms marketing

environmentally friendly products would single out segments with environmental

concerns. Some financial

institutions attempt to isolate and tap into groups with a strong interest in

supporting their college, favorite sports team, or professional organization through logoed

credit cards. Similarly, marketers of low-fat or low-calorie products try to identify and

match their products with portions of the market that are health-or weight-conscious.

Geographic Segmentation entails dividing the market on the basis of where people live.

Divisions may be in terms of neighborhoods, cities, counties, states, regions, or even

countries. Considerations related to geographic grouping may include the makeup of the

areas, that is, urban, suburban, or rural; size of the area; climate; or population. For

example, manufacturers

of snow-removal equipment focus on identifying potential user segments in areas of heavy

snow accumulation. Because many retail chains are dependent on high-volume traffic, they

search for, and will only locate in, areas with a certain number of people per square mile.

Product Benefit Segmentation is based on the perceived value or advantage consumers

receive from a good or service over alternatives. Thus, markets can be partitioned in terms

of the quality, performance, image, service, special features, or other benefits prospective

consumers

seek. A wide spectrum of businesses—from camera to Automobile Marketers—rely on

this type of segmentation to match up with customers Many companies even market

similar products of different grades or different accompanying services to different groups

on the basis of productbenefi preference.

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Factors used to segment industrial markets are grouped along different lines than those

used for consumer markets. Some are very different; some are similar. Industrial markets

are often divided on the basis of organizational variables, such as type of business,

company size,

geographic location, or technological base. In other instances, they are segmented along

operational lines such as products made or sold, related processes used, volume used, or

end-user applications. In still other instances, differences in purchase practices provide the

segmentation base. These differences include centralized versus decentralized

purchasing; policy regarding number of vendors; buyer-seller relationships; and similarity

of quality, service, or availability needs. Although demographic, geographic, and

organizational differences enable marketers to narrow their opportunities, they rarely

provide enough specific

information to make a decision on dividing the market. Psychographic data,

operational lines, and, in particular, perceived consumer benefits and preferred business

practices are better at pinpointing buyer groupings—but they must be considered against

the broader background. Thus, the key is to gather information on and consider all

segmentation bases before making a decision.

Once potential market segments are identified, the third step in the process

is to reduce the pool to those that are (1) large enough to be worth pursuing, (2) potentially

profitable, (3) reachable, and (4) likely to be responsive. The fourth step is to zero in on

one or more segments that are the best targets for the company's product(s) or capacity to

expand. After the selection is made, the business can then design a separate marketing

mix for each market segment to be targeted. Adopting a market-segmentation approach

can benefit a company in several specific areas. First, it can give customer-driven direction

to the

management of current products. Second, it can result in more efficient use of marketing

resources. Third, it can help identify new opportunities for growth and expansion. At the

same time, it can bring a company the broad benefit of a competitive advantage.

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MARKET SEGMENTATION FOR NOKIA:

The decibel levels in the cellular market are increasing with service providers stepping on

the gas. Not to be left behind, handset manufacturers

are using precise segmentation to carve up their share. Divide and rule seems to be

working!

According to a report published in May 2001, the all-India cellular subscriber figures stand

at 38,71,514. With aggressive marketing by service providers, this figure is expected to

increase at a very rapid rate. If current decibel levels in the market are anything to go by,

these

expectations are well on the way to being met. However, amidst this entire

melee one cannot ignore the efforts of the handset manufacturers. Both service providers

and handset manufacturers have been complementing each other well with each fuelling

the demand for the other.

Industry observers attribute the success of handset manufacturers to shrewd market

segmentation. The big three of the mobile handset market - Nokia, Ericsson and Motorola,

have studied the market and segmented it precisely.

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SEGMENTATION OF NOKIA AND SEGMENTATION MODEL

FOLLOWED BY COMPETITORS

Connecting people!

Nokia, arguably the biggest player in the world, has divided the market into

four segments:

* Hi-fliers: The biggest segment as far as Nokia is concerned consists of 'Hi-Fliers',

corporate executives who use a mobile phone to increase productivity at work. Aged

between 25-45, the segment looks for data transmission and other business-related

features. In most cases, the

company sponsors the handset, hence price is not a major consideration.

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* Trendsetters: In any technology adoption cycle, the first segment to adopt an emerging

technology is dubbed as 'the early adopters'. For Nokia, these early adopters are

'Trendsetters' who are most receptive to advanced models. This was the segment at which

WAP-enabled models were aimed.

* Social contact: The third segment for Nokia is the upwardly mobile, socially-conscious

segment that uses a mobile to stay in touch. Today's youth and affluent housewives

constitute two major chunks of the segment.

* Assured: The fourth and last segment as defined by Nokia comprises of CEOs, high-

profile celebrities, industrialists and other high "net worth" individuals. The fact that the

segment cannot do without a mobile phone makes it the 'assured' segment.

MARKETING STRATEGIES

Introduction to Marketing Strategies

“STRATEGY” is a very broad term which commonly describes any thinking that looks at

the bigger picture. Successful companies are those that focus their efforts strategically. To

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meet and exceed customer satisfaction, the business team needs to follow an overall

organizational

strategy. A successful strategy adds value for the targeted customers over the long run by

consistently meeting their needs better than the competition does.

Strategy is the way in which a company orients itself towards the market in which it

operates and towards the other companies in the marketplace against which it competes. It

is a plan an organization formulates to gain a Sustainable Advantage over the competition.

The Marketing Concept of building an organization around the profitable

satisfaction of customer needs has helped firms to achieve success in highgrowth,

moderately competitive markets. However, to be successful in markets in which economic

growth has leveled and in which there exist many competitors who follow the marketing

concept, a well-developed marketing strategy is required. Such a strategy considers a

portfolio of

products and takes into account the anticipated moves of competitors in the market.

Consumers seek certain attributes in products and these attributes lead to certain benefits

for them. When the benefits matter to them, over time they learn to choose products which

possess those attributes that lead to the relevant consequences.

Understanding these linkages between product attributes, their consequences and their

ultimate consumer ‘values’ are important if one has to arrive at a positioning that the

consumer can relate to. Benefit Laddering refers to a technique which focuses on product

attributes and

hence provides a link for the changing value proposition of a product. It

helps the company to communicate its final value proposition to the consumer and hence

help the company to arrive at the desired positioning of the product in the market.

Price / Selling Effort Strategies : A firm that follows a skimming strategy seeks to be

the first to introduce a product with very good performance, selling it to the innovator

market segment and charging a premium price for it. It makes as much profit as possible,

then

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moves on when the competition arrives. The price is likely to fall over time as competition

is encountered. Such a skimming strategy contrasts with a penetrating strategy, which

seeks to gain market share by sacrificing short-term profits, and increasing the price over

time as market share is gained.

Competitors have certain strengths and abilities. To succeed, a firm must leverage its

own unique abilities.

A firm should prepare defensive strategies before potential threats arrive. If the

competition surprises a firm with the introduction of a vastly superior product, the firm

should resist the temptation to proceed with its mediocre product. A firm never should

introduce a

product that is obsolete when it hits the market.

The competition's probable response to a firm's actions should be

considered carefully.

Nokia's new strategy in US market

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I, and other much wiser bloggers, have already written about how unsuccessful Nokia had

been in selling phones on the US market. It seems that American people are resistant to

smart phones, they're simply satisfied with text messaging and using their phones mainly

for voice calls.

Unfortunately, the carriers didn't make it easy for Nokia to be the #1 in

North-America, either. But that might change over time. As Nokia reported in their press

release, they are trying to find new ways to sell their phones, but this time without

involving the carriers. I hope that Ewan's prediction will come true and users are now

ready to buy and use such advanced mobile gadgets. Especially if they are from the

business segment: first, it's more likely that those users can afford cell phones for hundreds

of $s, second, they might even use more than 10% of the provided functionality.

NOKIA’S VARIOUS MARKETING STRATEGIES

Local services easily:

With the Nokia Local Marketing Solution, consumers will be able to easily discover and

easily initiate services. A phone call to the nearest taxi stand, opening a WAP or HTTP

connection to the local movie theatre portal can be made with just a few clicks. Rather than

having to browse through multiple menus, the special application in the phone makes it

possible for the consumer to discover locally relevant services from service advertisements

collected in the background by the special phone application while the consumer moves

around.

Nokia Local Marketing

Solution:

With the Nokia Local Marketing Solution mobile operators and service providers can

promote their own or partnered SMS and data services. Even local businesses could easily

advertise their own services in relevant places at relevant times. The solution creates

demand for building new,

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really local services thus offering a new revenue opportunity area. The

solution consists of:

• an application in the phone – Local Info,

• a mountable, approx. A5 sized device called the Nokia Service Point LMP

10 used for sending over Bluetooth service advertisements to the

consumers’ phones and

• The Nokia Service Manager LMM 10, which is a back-end server for content and service

point management. Services are advertised via Bluetooth to consumers’ phones when they

pass a are automatically saved to the Local Info service point. These service

advertisements phone

application. Since the area where service is advertised is well defined, the solution enables

the advertisement and provision of services to have a relation to Mobile operators have

made big investments to make it possible to provide mobile data services. It is difficult for

the mobile operator to inform its consumers when there is a new mobile data service

available.

The potential of using Bluetooth has not yet been utilized by mobile operators as a mean to

market services. Content owner needs

In this context, a content owner is hence there is no need for local LAN cabling a company

providing any type of content to consumers through mobile phones. Currently, the most

typical content owners are companies providing, for example news, sports, stock, and

weather reports. These companies typically provide WAP and/or SMS based-services, but

also provide WWW-pages customized for access from mobile phones. Virtually any

company providing their services for consumers could be a content owner, including

different kinds of stores, kiosks, restaurants, shopping centers, movie theatres, video

rentals, retailers etc. These companies could provide access to services through phones, for

example advertising their toll-free numbers and WWW addresses, special offers,

campaigns and competitions. Unfortunately, there are only a limited number of channels

for effectively advertising digital services. Although the mobile

phone services of content owners are accessible and can be advertised in

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newspapers, on television, on the radio in posters, the consumers have to enter SMS codes

and URLs manually in their phones to access these services. For or White Paper a certain

place. Service advertisements can be time-specific and be valid for a limited period. When

the validity of an advertisement expires, it disappears from the consumer’s phone. The

consumer can set preferences on several criteria, thus set preferences on several criteria, is

most interested in Exist activates the service, the UI informs the phone applications are

used for service access. Before the consumer consumer the service type and price. From

the user-interface, the consumer can set preferences, for example which category of

service

advertisements to receive and, most important, to select which service providers they wish

to receive the adverts from.The actual usage of cellular voice and data related services

happens over cellular network by just clicking the service icon from the phone application.

The solution supports the activation of voice, SMS, WAP/HTML browsing and streaming

services.

The solution also makes it possible to have embedded content behind the

service icon, for example to show a coupon, an HTML/WAP file or play an audio/video

clip. The service advertisement are created and managed with the Nokia Service Manager

LMM 10, which uploads these to the local service points. The connection between the

service points and the central, back-end service manager is over GPRS hence there is no

need for local

LAN cabling.

Digital Marketing Strategies

Interactive Marketing

With the advent of the internet, mobile communications and digital

interactive Television (iTV), consumers have ensured that at almost every moment of their

waking lives they have the opportunity to interact, participate, decide, and provide

feedback. A marketer's dream, or so one would think. Unfortunately, marketing in many

companies still remains a nebulous soft function. The 'build it and they will come' attitude

to multimillion

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pound marketing campaigns appears to prevail in too many organisations.

Many companies that have used internet and mobile advertising claim that they have been

disappointed with the results. Executives still stuck within the traditional media paradigm

have yet to understand the full value of

interactive advertising and immediate customer response. In addition, they rarely have the

necessary information infrastructure in place to capture and extract value from interactive

campaigns and the customer feedback they provide. As a result, it is no surprise that

marketers by and large fail to take advantage of the opportunities that the internet or the

mobile platform

provide, either individually or in conjunction with other digital channels. If companies

contemplating the use of iTV follow a similar pattern there is a significant risk that this

platform too will be either underutilised or misused.

There are a number of companies however, that are emerging as veritable maestros of

interactive marketing. They see the opportunity and take advantage of the potential of each

channel to add value. They embrace the digital customer, and they know exactly what

roles the internet, the mobile, and digital TV play in their customers' lives, as well as how

and when these

technologies are used. These companies understand that traditional media, internet, mobile

telephony, and iTV provide complementary marketing channels that can be used to

influence customer behaviour at the different stages of the purchasing cycle.

The Dynamic Customer

By being constantly connected, consumers are allowing marketers access to parts of their

lives that not long ago would have been much more difficult to penetrate. Digital

technologies, and the content they deliver, have added dynamic segmentation and targeting

capabilities to more traditional methods. Customers needs, attitudes and propensity to

purchase evolve and change by the minute, as the influences that surround them alter their

desires, perspectives and physical state. With the introduction of so many communication

options (e.g. e-mail, fixed line, mobile phone, mail, face to face, iTV) the consumers

preferred method of

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response has also evolved. The comparatively blunt 'traditional media' instruments of TV,

press, radio and outdoor, that have looked to influence consumer trends over time, have

been supplemented by media that can instantly respond to desires and needs.

Savvy marketers are learning to use this knowledge to hone their customer segmentation

and targeting strategies, contemplating which platform to use in order to capture the

customer at the optimum time. Organisations are

increasingly looking to use interactive media to create strong associations between their products and

services and specific aspects of their customers' lives. A good example is Domino's Pizza who is

deliberately associating its brand with specific content (The Simpsons, family show), at a particular

time of day (dinnertime) with a highly distinctive signature ( jarring, loud sounding siren to denote

heat). The pizza delivery service must surely rank as a perfect real life example of

Pavlov's conditioned reflex experiment. Just the sound of the siren most likely suffices today to have masses

across Britain salivating for 'hmmm... Simpsons... dinner... Domino's'.

The campaign simultaneously creates awareness, an impulse and the opportunity to

purchase. The red interactive button on the television remote allows viewers to act on

their impulse immediately, minimising the opportunity to change their mind.

Moreover, Domino's administers the marketing coup de grace by making it easier over

time to use the service. Cookies keep track of previous orders and choices and literally

allow customers to have dinner delivered to their door at the touch of a button ('same as

last time?'). For Domino's, the interactive television remote control has proven to be a

magic wand. Not surprisingly, sales through online channels now reach a significant

£300,000 per month from 20,000 orders. The pizza delivery service could go further still,

though, by extending its

presence to additional digital platforms. Mobile phones come to mind immediately as a

channel that can prove as sticky as American cheese. Using SMS (Short Message Service),

the text messaging service to offer electronic coupons would, for example, allow Domino's

to further increase loyalty and pervasiveness in its customers' lives. Learning how to

capitalise on obvious synergies between the various channels is key to getting the

most out of digital marketing campaigns! Exploiting Platform Synergies

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The organisations that successfully use several digital channels in a complementary

fashion will unlock the full value of digital marketing. To do so, they will need to have a

thorough grasp of the strengths of each platform, the context in which they are best used,

the content/offers that are appropriate to both the platform and the customer segment as

well as the fulfillment expectation for each platform. Not a task to be taken lightly. So

what are these strengths?

Digital interactive Television

Traditional TV has for a long time been an awareness creation tool par excellence.

However, traditional TV forced viewers to file away that interest until the next purchase

opportunity, or make the effort of noting down a number and picking up a phone - quite a

lot of effort for your average viewer. Now iTV brings a new interactive dimension.

Viewers can enter a separate interactive area, whilst still watching their current

programme, and have access to more information and/or an opportunity to purchase. So

iTV has now evolved as a vehicle that can inform, persuade and provide the opportunity to

purchase in one fell swoop.

Internet on the PC

The PC is the information vehicle of choice; a recent Forrester report revealed that by 2005

US consumers will research $378 billion in cars, trips, and clothes online before buying.

The higher the cost of a product or service, the greater the importance of the internet as a

step in the purchasing cycle. Another Forrester survey amongst retail companies estimated

that 25% of purchases were sparked by their internet site against 2% of sales actually

purchased on the internet.

Mobile Telephony

Cell phones and other mobility devices (PDAs etc.) are ideal for location-based advertising

and as a tool to remind consumers of specific products and services. The pervasiveness of

these devices makes them an excellent vehicle for marketers looking to create

stickiness and improve customer loyalty. SMS-based marketing has proven very effective

for stimulating purchase of low cost location based offerings. Digital novelties like

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electronic coupons are helping to create an ever more constant presence for products and

services.

As an example, BTCellnet's SMS-based marketing campaign around the Channel 4

programme, Big Brother has proven very successful. SMS information teasers raised WAP

usage by a significant 20%. Lastminute.com is also adopting an increasingly sophisticated

digital marketing programme. Through its multi-platform strategy

the company has successfully achieved higher brand visibility by creating an impression of

omni-presence. In addition, Lastminute.com ensured a high level of service (anytime,

anywhere), and enhanced customer intimacy by targeting the right customers, at the right

time. The company's digital marketing strategy is designed around platform peak-times:

internet peaktimes around lunch-hour, digital TV peak-times around home/family/dinner

time, and WAP/GPRS peak-times during weekend leisure time. Being available on the

most suited platform at the most promising time allows Lastminute.com to deliver highly

targeted messages to tightly segmented audiences. This strategy has enabled

Lastminute.com to maximise its revenue by allowing the customer to use their response

mechanism of choice.

NOKIA STRATEGIC MARKETING IN INDIA

Nokia redefines fashion phones in India with the latest L'Amour collection Nokia has

introduced a collection of three trend-inspired mobile phones, the Nokia 7360, Nokia 7370

and Nokia 7380. Each model in Nokia's the L'Amour Collection offers a beautiful mix of

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contrasts infusing cultural and ethnic influences with luxurious touches of the unexpected.

Hints of vintage and craftsmanship, are fused with natural materials, colours and patterns,

all carefully crafted and layered with a passion for detail. In the design and development of

the L'Amour Collection, Nokia's Design team has looked to materials such as amber,

ceramic, turquoise, silk and enamel for inspiration. Craft techniques such as enamelling

and etching added a creative spark to the graphics, finishes and colours selected for

each model in the collection.

Nokia 7380: With etched mirrored surface and discreet keyless dial, the Nokia 7380 comes

with a leather cover and a mirrored display. The technology includes a 2-megapixel

camera and intuitive voice dialing.

Key features:

Keyless dial

2-megapixel camera, 4x zoom

Enhanced Voice Commands

MP3 player

Nokia 7370: The Nokia 7370 "swivels" open to reveal its elegantly hidden keypad.

Beautiful patterns into the elegant metal trims are contrasted by leather-inspired faceplates.

The Nokia 7370 is available in two colour schemes, coffee brown and warm amber, with

each model offering a distinct set of graphics, screensavers and even dedicated camera

keys.

Key features:

1.3 megapixel camera, 8x zoom

2-inch QVGA colour screen (320 x 240 pixels)

Stereo speakers with 3D sound effects

Video ring tones

FM Radio

Nokia 7360: Trend-conscious men and women will appreciate the Nokia 7360's mixture of

patterns and textures, which are perfectly complemented by elegant accessories, including

straps and carrying pouches. The Nokia 7360 is also available in two signature L'Amour

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Collection colour schemes, coffee brown and warm amber. Nokia has jumped into the

growing market of online distribution of tones, graphics and games downloads in India and

is offering a choice of 120 games which can be downloaded at Rs 50 per game. However,

users will have to shell out an additional Rs 10-25 for the airtime depending on the

size of the game.

Nokia claims to be the first handset manufacturer to enter this business in

India and the first company to launch games downloads in the Indian market. So far, only

online content and utility services companies such as MSN and Yahoo have been offering

ringtones and graphics downloads to mobile phone enthusiasts.

The business of offering ringtones and graphics is growing almost by 100 per cent,

according to industry experts. The download business for the calendar year 2003 was

estimated to be around Rs 10 crore and is expected to touch Rs 20 crore this year. These

estimates do not take airtime charges paid by the users for downloads.

“Nokia is not entering this business to make money. In fact, a large part of the revenue will

be shared by the service operators and content providers. Our interest is to help mobile

service operators to increase their average revenue per user (ARPU) and to influence

mobile phone users to upgrade to the latest models being launched by the company,”

Nokia India marketing head Gautam Advani said.

Mr Advani claimed that the company launched a game named ’Makhan Chor’ during

’Janmasthmi Utsav’ last month and the response was very encouraging.

Nokia India has already tied up with with Bollywood production houses such as Harry

Baweja, Rajshri Pictures and RS Entertainment for graphics and movies.

It has also entered into an agreement with Indian Performing Rights Society for ringtones.

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PROMOTIONAL STRATEGIES:

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"Push or Pull"

Marketing theory distinguishes between two main kinds of promotional

strategy - "push" and "pull".

Push

A “push” promotional strategy makes use of a company's sales force and trade promotion

activities to create consumer demand for a product. The producer promotes the product

to wholesalers, the wholesalers promote it to retailers, and the retailers promote it to

consumers.

A good example of "push" selling is mobile phones, where the major handset

manufacturers such as Nokia promote their products via retailers such as Carphone

Warehouse. Personal selling and trade promotions are often the most effective promotional

tools for companies such as Nokia – for example offering subsidies on the handsets to

encourage retailers to sell higher volumes.

A "push" strategy tries to sell directly to the consumer, bypassing other distribution

channels (e.g. selling insurance or holidays directly). With this type of strategy, consumer

promotions and advertising are the most likely promotional tools.

Pull

A “pull” selling strategy is one that requires high spending on advertising and consumer

promotion to build up consumer demand for a product. If the strategy is successful,

consumers will ask their retailers for the product, the retailers will ask the wholesalers, and

the wholesalers will ask the producers.

A good example of a pull is the heavy advertising and promotion of children's’ toys –

mainly on television. Consider the recent BBC promotional campaign for its new pre-

school programme – the Fimbles.

Aimed at two to four-year-olds, 130 episodes of Fimbles have been made and are featured

everyday on digital children's channel CBeebies and

BBC2.

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As part of the promotional campaign, the BBC has agreed a deal with toy maker Fisher-

Price to market products based on the show, which it hopes will emulate the popularity of

the Tweenies. Under the terms of the deal, Fisher-Price will develop, manufacture and

distribute a range of Fimbles products including soft, plastic and electronic learning toys

for the UK and

Ireland.

PRICING STRATEGIES

Ultra low cost phones--less than Rs 2,000--are fuelling demand in costsensitive India,

where more than 4 million new users are entering the 85.4 million strong wireless sector

each month. The number of mobile services users surged 47 percent in 2005, and now

exceeds the population of Germany. India is expected to be the world's third largest mobile

market by the end of this year, behind China and the

United States.

"We anticipate that there will be a long-term sustainable demand for mobile telephony in

the fast-growing Indian market," Chief Executive Jorma Ollila said at the launch of the

plant in Sriperumbudur, on the outskirts of

Chennai. Bundles: Another category where penetration is next to negligible is the fast-

growing mobile telephony market — penetration stands at roughly 5%. Here, even as price

continues to be a significant factor for determining the choice of handset or service

provider, the value equation, according to Sanjay Behl, marketing head of Nokia India, is

even more imperative. Nokia found success with its ‘Made in India’ Nokia 1100, which

incorporated unique features such as a torchlight, a dust-resistant keypad and an anti-slip

grip to appeal to the semi-urban markets. Importantly, Behl says that even applications and

software — such as T9 or language

interface and text input — have to be customised to meet consumer needs. The 1100,

which currently retails at Rs 2,700, is the largest selling handset in India with a market

share of about 25% in terms of volumes, and 16% in terms of value. On the other hand,

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another Nokia phone, the 2600, priced at Rs 4,200, is the highest selling colour model in

India, with a 7% market share. In the colour segment alone, the 2600 has a 17% share.

“Clear evidence of how features (colour screen) and price have been cleverly

bundled to drive penetration,” says Behl.

Four P’s

In popular usage, "Marketing" is the promotion of products, especially Advertising and

Branding. However, in professional usage the term has a wider meaning which recognizes

that marketing is customer centered. Products are often developed to meet the desires of

groups of customers or even, in some cases, for specific customers. E. Jerome McCarthy

divided marketing into four general sets of activities. His typology has become so

universally recognized that his four activity sets, the Four P’s, have passed into the

language.

The Four P’s are:

Produc t : The product aspects of marketing deal with the specifications of the actual

good or service, and how it relates to the end-user's needs and wants. The scope of a

product generally includes supporting elements such as warranties, guarantees, and

support.

Pricing : This refers to the process of setting a price for a product, including

discounts. The price need not be monetary - it can simply be what is exchanged for the

product or service, e.g. time, or attention.

Promotio n : This includes advertising, Sales promotion, Publicity, and personal

selling, and refers to the various methods of promoting the product, brand, or company.

Placemen t: refers to how the product gets to the customer; for example, point of sale

placement or Retailing. This fourth P has also

sometimes been called Place, referring to the channel by which a product or service is sold

(e.g. online vs. retail), which geographic region or industry, to which segment (young

adults, families, business people), etc.

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PRODUCTS OFFERED BY NOKIA

There are Various Ranges of Products that Nokia Offers. Especially in Mobile phones

Nokia is the Leading Manufacturer in it. Nokia Offers various Mobile Phones with varie

Quality, Shape, Size, Colour, etc. Nokia Offers a Varied Range of Mobile Phones & Other

accessories with it. All Mobile phones are having Different Specifications in it. Nokia is

Launching a New Products Every Year.It First Does Analysis of Market & according to

Taste of Consumers It Launches its Products in Market. Till now Nokia has Launched a

No. of Products in Market & It had been very Successful for Nokia after launching so

many products. Nokia has Strengthened it Strategy of Working in Market. It has

Revolutionised all sectors in Market. No one is So Powerful as Nokia in Field of Mobile

Phones in India. There are so many Mobile Phones been in Market by Nokia. Several New

Techniques & Upgradation is being done to enhance & launch a new product every time in

Market. Nokia’s R& D Department is very much in Progress for working over bringing a

special change in every mobile phone its launching in market. After Launching Various

Mobile phones in market till now, Nokia is now Launching various new Models of Mobile

Phones i.e it is bringing new changes in the series of Mobile Phones. Firstly All Mobile

Phones used to have only Black& White/ Colour Display, Messaging. But now Nokia has

launched Various New Models of Mobile Phones in Mobile Series that it Has Rocked the

Market. The New Models are having various Greater, Advanced Facilities from that of

other phones till now. These New Models Which Nokia is going to Launch in market is

having all Types of

Features/Facilities like:-

1) WINDOW 8

2) FULL AMOLED DISPLAY

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3) CAMERA UPTO 40 MP ,720 FPS

4) WIFI

5) ENHANCED GPS SYSTEM

6) 4.3” INCH DISPLAY

7) ULTRA SLIM

Product Portfolio

First generation

The Nokia Lumia series was first introduced to the market in November 2011 with the

release of two phones. While the Nokia Lumia 800 targets the high-end of the

smartphone marketplace, the Nokia Lumia 710 was intended to target the midrange

(feature phone) by offering an entry-level device at a lower price point.[1] The series

consists of Nokia's Windows Phone devices. Each phone comes in a variety of different

colours and specifications.

The Nokia Lumia 800 (codenamed Sea Ray) is a Windows Phone 7-OS powered

smartphone, first unveiled on 26 October 2011 at the Nokia World 2011 event with an

original pay as you go price of £400 SIM-free.[2] It was Nokia's first mobile phone to run

the Windows Phone OS and marked the company's shift of focus in favor of Windows

Phone for its premium-priced phones. The Lumia 800 shares its hardware design with the

previously released Meego-based Nokia N9 although there are some differences. The

most obvious difference is that Nokia has added a dedicated button for the camera on the

right hand side of the phone and has moved a dual LED flash directly above the Carl

Zeiss camera lens.[3] Despite a similar exterior, the Lumia 800 has a different interior than

N9. Lumia 800's chipset comes from Qualcomm, whereas the N9 is based on a Texas

Instruments OMAP chipset and CPU.[4][5]

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The screen diagonal is 3.7 inches (800 x 480 pixels) which is smaller than Nokia's

previous phone with 3.9 inches (854 x 480 pixels) for N9, to conform with the Windows

Phone specifications list, which includes three capacitive softkeys placed under the glass.

A through-colored unibody shell is made from polycarbonate plastic. Nokia outsourced

the production of its Qualcomm-based Lumia 800 to Compal Electronics. According to

Nokia, this was due to time constraints and Compal's experience with the chipset. [4][6]

According to the same source future models, beginning with the 710 model, would be

built within a Nokia factory.[4] Devices for the European and Northern American markets

are configured, tested and packed by Nokia's factory in Salo, Finland.[7]

The Nokia Lumia 710 was released in the UK on the 1st of February 2012 with an initial

release price of £300 SIM-free. The main difference externally is the weight of the phone

weighing in at 125.5 grams a whole 15.5 grams lighter than its predecessor. Although the

Lumia 710 is the lighter of the two phones, it also is larger. The Lumia 710 dimensions

are (119 x 62.4 x 12.48mm) whereas the Lumia 800 has slightly smaller dimensions of

(116.5 x 61.2 x 12.1mm). The size and resolution of the screen does not differ though

with a size of 3.7 inches and a resolution of (800 x 480 pixels). Although the Nokia

Lumia 710 is limited to a ClearBlack TFT compared to the ClearBlack AMOLED on the

Nokia Lumia 800. The Nokia Lumia 710 has a removable rear cover which enables the

battery to be replaced, a feature the Nokia Lumia 800 does not provide. [8] The battery life

also differs substantially. The Lumia 710 offers a 1300 mAh Li-Ion battery compared to

the 1450 mAh Li-ion battery on offer with the Lumia 800. This results in a talk time of

6.9 hours for the Lumia 710 whereas the Lumia 800 offers 13 hours of talk which is

nearly double. The stand-by time of the Lumia 710 is 400 hours which oddly is greater

than the 265 hours on offer with the Lumia 800. The trend is similar when you take into

account 3G. The talk-time(3G) on offer with the Lumia 710 is 7.6 hours which is

significantly lower than the 9.5 hours on offer with the Lumia 800. The stand-by

time(3G) for the Lumia 710 is 400 hours which is higher than the 335 hours on offer with

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the Lumia 800. Whilst playing music the Lumia 710 will last around 38 hours which is a

lot lower than the 55 hours which the Lumia 800 will last.[9]

Second release

The first Nokia Lumia series continued in April 2012 with the release of a further two

mobile phones. The Lumia 900 (a high end phone) was released on April 8, 2012

whereas the Lumia 610 (an entry level phone) was released in the first week of June. The

latter of the two is aimed at the budget market meaning the specifications of the phone

will be a lot less impressive than the Lumia 900 which is aimed at the higher end of the

market.

On release the Lumia 900 was priced at £399 SIM-free which is similar to the price of

the Lumia 800.[10] The lumia 900 is physically larger than the 800 with a screen size of

4.3 inches compared to the 3.7 inches of the Lumia 800. The resolution of the screens is

the same (480 x 800 pixels) although pixel densities are different with the Lumia 900

providing 217ppi and the Lumia 800 providing 252ppi. This means that the Lumia 900

weighs 160 grams compared to the slightly lighter 142 grams of the Lumia 900. Once

again the battery life is a major difference between the two phones. The lumia 900 offers

a 1830 mAh Li-Ion compared to the 1450 mAh Li-Ion battery provided by the Lumia

800. Surprisingly the Lumia 800 offers a larger talk time by providing 13 hours of talk

before running out of battery. This is substantially longer than the 7 hours of the Lumia

90o. But the Lumia 900 offers a longer stand-by time of 14.6 days compared to the 11

days of with the Lumia 800. It also provides a longer music playback time of 60 hours

compared to the 55 hours of the Lumia 800. The system chip found in the Lumia 900 is

the Qualcomm Snapdragon S2 APQ8055 which differs from the Qualcomm Snapdragon

S2 MSM8255 of the Lumia 800 (although the processor, graphics processor, system

memory and built in storage doeos not differ). The main difference when it comes to

taking images is that the Lumia 900 offers a 1.3 megapixel front-facing camera which is

a feature not provided with the Lumia 800. The music player in the Lumia 900 supports

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several formats that the Lumia 800 does not. These include M4A (Apple lossless), M4B

and AMR. The Lumia 800 provides Facebook as a built-in online service which the

Lumia 900 does not provide.[11]

On release the Lumia 610 was priced at £150 (U.K price) SIM-free, which is half the

price of the Lumia 710.[12] This will mean that the Lumia 610 will most likely offer fewer

features than the Lumia 710. At first glance the phones look similar. The main difference

is the set of controls beneath the screen. The Lumia 710 has hardware buttons on a single

rocker-styled piece, while the 610 goes for three separate capacitive keys. There are also

some differences in the location of controls and connectivity ports. The Lumia 710 has

the power/lock key at the top while in the Lumia 610 it's on a side. [13] The physical size of

the phones is similar. The Lumia 610 weighs 132 grams which is only 6 grams heavier

than the 126 grams of the Lumia 710. The size and resolution of the screens are the same,

with each phone having a screen size of 3.7 inches and a resolution of 480 x 800 pixels.

The screens offer a pixel density of 252ppi. The colors on offer with the Lumia 610 is 65

536 which is a lot less than the 16 777 216 colors that the Lumia 710 can display. The

battery life of the phones does not differ much. Each offers a 1300 mAh Li-Ion battery.

The talk time life of the Lumia 610 is 6.5 hours, a little less than the 6.9 hours of the

Lumia 710. The stand-by time of the Lumia 610 is 24.2 days, significantly higher than

the 16.7 days of the Lumia 710. The music playback time of the Lumia 610 is 35 hours,

slightly less than the 38 hours of the Lumia 710. The system chip in the Lumia 610 is the

Qualcomm Snapdragon S1 MSM7227A. This differs from the Qualcomm Snapdragon S2

MSM8255. The processor in the Lumia 610 is the single core, 800 MHz, ARM Cortex-

A5. The Lumia 710 single core, 1400 MHz, Scorpion. The sytem memory contained

within the Lumia 610 is 256 MB RAM which is half the memory contained with the

Lumia 710. Both phones offer 8GB of built-in storage. The resolution of the camcorder

within the Lumia 610 has a resolution of 640x480 (VGA) (30 fps). This is less than the

1280x720 (720p HD) (30 fps) in the Lumia 710. The built-in online services provided

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with the Lumia 610 are Facebook and Twitter. The Lumia 710 provides these services as

well as YouTube(upload), Flickr and Picasa.[14]

Third release

The Nokia Lumia first generation series continues with the release of the Nokia Lumia

510, which is expected in November 2012. The phone was specifically designed for

developing markets, such as China, India, Asia-Pacific and Latin America[15] and is

expected to cost around $199.[16] The Lumia 510 weighs 129 grams which is slightly less

than the 132 grams which the Lumia 610 weighs. The physical display size of the Lumia

510 is 4 inches which is larger than the 3.7 inches on offer with the Lumia 610 despite

weighing less. The screen resolution of each phone is the same (480 x 800 pixels) but the

Lumia 510 has a pixel density of 233ppi compared to the 252ppi on offer with the Lumia

610. The technology used with the Lumia 510 screen is LCD which differs from the TFT

used within the screen of the Lumia 610. Both mobiles can display 65 536 colors. Both

phones offer a 1300 mAh Li-Ion battery. The Lumia 510 offers 6.2 hours of talk time

before needing recharged which is slightly less than the 6.5 hours on offer with the

Lumia 610. The Lumia 510 offers a larger stand-by time of 30.8 days which is

significantly higher than the 24.2days on offer with the Lumia 610. The Lumia 510

provides 38 hours of music playback and 7.4 hours of video playback which is slightly

higher than 35 hours and 7 hours on offer with the Lumia 610. The only difference with

the hardware of the phones is that the Lumia 510 offers 4GB of built in storage which is

half of the 8GB on offer with the Lumia 610.[17] The main issues of the Lumia 510 are it

offers too little RAM memory, the camera lacks a flash, offers low resolution video

capture, no front facing camera and the phone lacks a microSD slot for storage

expansion.[18]

Second generation

In September 2012, Nokia announced its first Windows Phone 8 devices, the Nokia

Lumia 920 and 820. Both devices feature a dual-core processor, wireless charging, and

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are 4G enabled, among other new features. Changes in the design of each model of Nokia

Lumia phone allowed each phone in the series to target a specific market area.

The Nokia Lumia 820 was released on November 9[19] with an initial prce of £380 SIM-

free.[20] The Lumia 820 weighs 160 grams and has a display size of 4.3 inches. The screen

resolution of the phone is (480 x 800 pixels) and the pixel density is 217ppi. The screen

is able to display 16 777 216 colors. The Li-Ion battery that is provided with the Lumia

820 has a capacity of 1650 mAh. This results in a fairly large talk time of 14 hours before

the battery needs charged. The battery also provides 13.8 days of stand-by time. The

sytem chip found within the Lumia 820 is the Qualcomm Snapdragon S4 Plus

MSM8960. The processor is the dual core, 1500 MHz, Krait and there is 1024 MB RAM

conatined within the system memory. The Lumia 820 provides 8 GB of built-in storage

which can be expanded to 64 GB with the use of microSD, microSDHC and

microSDXC. The camera provided offers 8 megapixels with a dual LED flash. The

camcorder offers 1920x1080 (1080p HD) (30 fps) and offers continuous autofocus in a

video or video call. The phone also has a front-end camera which provides 0.3

megapixels VGA. The phone uses Internet Explorer 10 compared to the previous version

of Internet Explorer 9 which was used in the first generation of phones. The Lumia 820

offers the same built-in online services as the Lumia 710.

The Nokia Lumia 920 was released on November 2[21] with a release price of somewhere

around £475 SIM-free.[22] The Lumia 920 weighs 185 grams a whole 25 grams heavier

than the Lumia 820. The Lumia 920 also has a slightly larger screen than the Lumia 820

with a display size of 4.5 inches. The resoultion of the Lumia 920 screen is also of higher

quality with a resolution of 768 x 1280 pixels. The pixel density of the screen is also

significantly greater than the Lumia 820 with a pixel density of 332ppi compared to

217ppi. Both mobiles are able to display 16 777 216 colors. The Lumia 920 offers a 2000

mAh Li-Ion battery which means a talk time of 17 hours is possible before the battery

needs to be charged. This is substantially greater than the 14 hours provided by the

Lumia 820. The Lumia 920 battery also offers a larger stand-by time of 16.7 days. The

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only difference of the hardware between the two phones is that the Lumia 920 offers 32

GB of built-in storage which is four times the amount provided with the Lumia 820. The

camera provided with the Lumia 920 offers 8.7 megapixels with a dual LED flash. The

camcorder is the same as the one provided with the Lumia 820 but the front facing

camera that the Lumia 920 provides offers 1.3 megapixels which is a whole megapixel

above the front facing camera provided by the Lumia 820. The Lumia 920 also provides

Internet Explorer 10 as well as the same built-in services as the Lumia 820.[23]

In December 2012, Nokia announced its first mid range Windows Phone 8 devices, the

Nokia Lumia 620. It is expected to sell in January 2013 in Asia, followed by Europe and

the Middle East at an estimated street price of USD 249.

These were all above were Some of Features of New Upcoming Models of

Nokia. Now let us Study Some of the Nokia New Models& its Features in

Detail. They are as Follows:-

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DATA ANALYSIS

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SWOT ANALYSIS OF COMPANY NOKIA

I) MODERN SWOT ANALSYIS

A SWOT analysis conducts an external and internal scan of Nokia's business environment,

it is an important part of the strategic planning process. Environmental factors internal to

the firm usually can be classified as strengths (S), or weaknesses (W), and those external to

the firm can be classified as opportunities (O) or threats (T). Such an analysis of the

strategic environment is referred to as a SWOT analysis.

The SWOT analysis provides information that is helpful in matching the firm's resources

and capabilities to the competitive environment in which it operates. As such, it is

instrumental in strategy formulation and selection.

STRENGTHS

-Is a dominant player in the smartphone market via its majority ownership of Symbian and

its propritary Series 60 user interface which are projected to represent majority of the

100M smartphones in 2004,5,6…….

- 35% market share still the largest cell phone vendor by far, with double the market share

of nearest competitor .

- Size should enable Nokia to amortize R&D costs and to get cost advantages

- Brand position: probably one of the top 20 brands in the world

WEAKNESSES

-Some lumia and e-series phone come to flop .

- Being the market leader and its increase role in Symbian is giving Nokia a

bad image, much like Microsoft in the PC industry.

- Slow to adopt new ways of thinking: like Samsung adopted android and becoming no.1 .

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OPPORTUNTIIES

- Increase their presence in the CDMA market, which they are just entering, as well as 3G

and Edge

- New growth markets where cell phone adoption still has room to go,

including India and other countries.

- windows phones are not selling more in india but still according to records nokia lumia is

going to be successfull.

THREATS

- Late in the game in 3G creates a risk to be displaced by leaders like

Samsung ,htc , lg etc

- Samsung, htc , lg who have already entered the market very aggressively with their

android as an OS leads to fails of nokia phones.

- ODMs (HTC , Samsung and others) enabling carriers to leverage their customer, power

bypassing the handset vendor. Operators want to lessen their dependency on handset

vendors and the dominance of Nokia.

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CONCLUSION

From the Above Project I Had Come to this Conclusion That Nokia has Implemented

Various Strategies in Developing It Products on a Large Scale & and try to becoming No.1

Leader in The World of Mobile Phones. Nokia has used various Techniques to implement

its products into the market. As per my Opinion Nokia had introduced various schemes to

attract people & gain more goodwill into market. I would like to conclude that Nokia had

been launching various new products & Strategies throughout the year like lumia

. Many people around the globe are purchasing Nokia phones as they are very cheap, good

& efficient to operate. Nokia had used various marketing strategies to enhance its

products into market & also they have used better & efficient market segmentation

strategies to market its products according to various segments of customers in the market.

Nokia as such has used all Modern

& Good techiques to tackle problems of customers in market. Customer Care & Feedback

is also given more importance to increase the sales of product. Better, Efficient &

Advanced Techniques are used to increase the sales of product. Also Nokia is largest

manufacturer of mobile phones in India. Various Promotional Strategies are being enrolled

into the market to promote the products. New Models & their Strategies are being well

utilized to enhance the product.

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RECOMMENDATIONS:-

I would like to Provide Certain Recommendations towards this Project Report. There are

various Recommendation required to be done in this Report. They are as Follows:-

1) I would like to suggest that the Marketing areas for Sales should be

increased. They should try to adopt new strategies like to change the operating system

to android or to develop new OS ,so that it will work faster than android.

2) As far as Launching of New Models is concerned, The Company

should try to offer sales of lumia products at a affordable Price.

3) The Company should try to bring attractive offers & discounts to the

customers to make them more Brand Loyal towards them.

4) Research should be carried out on a large scale & in selected areas.

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CUSTOMER QUESTIONAIRE

AGE: __________

GENDER: MALE / FEMALE

MARITIAL STATUS: SINGLE / MARRIED

FAMILY SIZE

( ) JUST MYSELF

( ) TWO

( ) THREE

( ) FOUR

( ) FIVE and more

INCOME RANGE (Rs per annum)

( ) BELOW 1,00, 000

( ) 1,00,000 - 2,00,000

( ) 2,00,000 - 5,00,000

( ) ABOVE 5,00,000

WHO ARE THE MAJOR INFLUENCERS IN YOUR BUYING DECISION?

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( ) FAMILY ( ) FRIENDS ( ) NEIGHBOURS

( ) COLLEGUES ( ) CHILDREN ( ) OTHERS

DO YOU OWN A Smartphone? YES / NO

WHICH IS YOUR FAVOURITE SMARTPHONE BRAND? ___________

HOW DO YOU LOOK AT YOUR SMARTPHONE

( ) A CONVEYENCE INSTRUMENT

( ) A NEED FOR A LIFE IN DELHI

( ) IT IS ALWAYS GOOD TO HAVE MY OWN SMARTPHONE

( ) A SYMBOL OF AFFLUENCE

( ) AN IMPORTANT ADDITION TO MY LIFESTYLE

IN CASE OF YOUR BUYING A SMARTPHONE, WHO ALL DO YOU THINK

WILL BE INVOLVED IN THE DECISION

( ) SPOUSE

( ) CHILDREN

( ) FRIENDS

( ) COLLEGUES

( ) OTHERS

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HOW IMPORTANT DO YOU FEEL IS BRAND AS BUYING CRITERIA?

( ) IT IS THE MOST IMPORTANT CRITERION

( ) IT IS IMPORTANT

( ) IT IS ONE OF THE CRITERIONS I WOULD LOOK AT

( ) NOT VERY IMPORTANT, BUT HIGHER THE BETTER

( ) IT DOES NOT BOTHER ME

HOW MUCH SIGNIFICANCE DO YOU ATTACH TO THE BRAND OF THE

SMARTPHONE?

( ) NOT THE LEAST

( ) I AM AWARE OF THE BRANDS BUT THAT DOESN’T SOLE AFFECT MY

CHOICE

( ) BRAND MAKES A GLOBE OF DIFFERENCE

PLEASE RATE THE FOLLOWING PARAMETERS IN THE ORDER OF

IMPORTANCE (1 IS THE HIGHEST ORDER, 10 IS THE LOWEST)

( ) PHYSICAL DESIGN ( ) SIZE

( ) OPERATIONS

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( ) FEATURES ( ) PRICE

( ) AFTER- SALES SATISFACTION( ) BRAND IMAGE

( ) HAND SET DURABILITY

GIVEN A PRICE RANGE OF RS 10000 to RS 15000 WHICH BRAND WILL YOU

PREFER?

( ) Nokia

( ) Sony Ericson

( ) Samsung

( ) Motorola

( ) LG

( ) Blackberry

PLEASE MARK THE FOLLOWING PARAMETERS ACCORDING TO

WHETHER YOU AGREE OR DISAGREE AS TO WHETHER SAMSUNG

SMARTPHONE DELIVERS THAT PARTICULAR VALUE

2: STRONGLY DISAGREE

3: DISAGREE

4: NEUTRAL

5: AGREE

6: STRONGLY AGREE

7: VERY STRONGLY AGREE

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BIBLIOGRAPHY:-

1. MARKETING MANAGEMENT

BY N.G KALE

REVISED SECOND EDITION

2. INTRODUCTION TO MARKETING MANAGEMENT

BY PHILIP KOTLER

REVISED THIRD EDITION

3. WORLD OF MARKETING

DIGITAL ARTS

WEBLIOGRAPHY:-

1. www.google.com

2. www.wikipedia.org

3. www.metacrawler.com

4. www.icfai.org

4. www.nokia

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