Nokia merges in microsoft


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Nokia merges in microsoft

  1. 1. Nokia getting disconnected while connecting people…!!!!
  2. 2. BRIEF HISTORY OF NOKIA 1865 Wood Pulp Mill 1871 Share company 1898 Rubber Business 1902 Electricity 1967 Nokia Corporation 2013
  3. 3. STRENGTHS OF NOKIA Experience Largest network of selling & distribution Strong customer relation Wide range of products for all class Effective advertisement and market communication
  4. 4. MARKET SHARE 76.1 5.9 38.5 25.6 23 41.8 Nokia Samsung Nokia Samsung Nokia Samsung 2010 2011 2012Mar Market share (%) GfK-Nielsen for March2012
  5. 5. MICROSOFT NOKIA DEAL • Microsoft buys Nokia phones, patents for $7.2B • Proposed price consists of $5 billion for the Nokia unit that makes mobile phones. • Another $2.2 billion will be paid for a 10-year license to use Nokia's patents, with the option to extend it indefinitely. •Microsoft hopes to complete the deal early next year. •About 32,000 Nokia employees will transfer to Microsoft, which currently has about 99,000 workers.
  6. 6. REASON FOR SELLING • Net operating loss • Loosing Market Share • Complacency • Lack of innovation • Symbian to windows
  7. 7. COMPETITOR (SAMSUNG) GOT IT RIGHT  Placed its bet on Android OS for Smartphone  First to launch what many called an iPhone look alike  Variety of Smartphone's for different segment  They understand customers changing behavior
  8. 8. WHY MICROSOFT BUYS IT • Mobile is an area of tremendous potential •Nokia's Lumia smartphones have run on Microsoft's Windows software •Microsoft knows that he has that potential to surpass big giants like Samsung and Apple • Hardware and software for their phones they weren’t working together therefore those transaction costs getting in the way there ,by being owned by the same company those costs will be reduced and thus better phones will be made
  9. 9. Steve “It's a bold step into the future — a win-win for employees, shareholders and consumers of both companies”
  10. 10. CONCLUSION Nokia has taken the right decision because when the company is not doing well in the market it is very bad strategy to be in the market only for the name. Microsoft has also taken the right step by purchasing Nokia mobile unit as first it was only supplying OS to Nokia’s smart phones but now it can manufacture and use own OS and can concentrate on the innovation of the cellular phones.
  11. 11. Presented By, Garima singh Anshool Agrawal Ankur Pandey Harpreet Singh