Cost nokia differa ntiatio niche n figure 3: generic strategies for competitive advantage  in conclusion it can be said that nokia possess excellent breakthrough resources and capabilities, providing a great potential for a competitive advantage, however the core strategy has to be focused on their cost advantage or differentiation advantage. Cost leadership and sustained competitive advantage: not easily imitable: intertwining of processes, holistic cost cutting culture : companies like samsung are trying so hard to achieve a lower cost to manufacture and imitate the ability of companies like nokia but haven’t been able to that successfully.
Nokia achieves a competitive advantage by combining their low cost advantage with their mid-tier offering to attract android and iphone users also, nokia has developed manufacturing bases across a wide range of countries, which enables nokia to have a local presence necessary for collaborating with local operators to reduce airtime rates for customers.
Nokia strategy - smartphone wars cost leadership will give nokia an invincible position against its competitors against apple, nokia has to become aggressive and fight head-on with it 8 source: financial times published on 15th february 2009 9 10 current mass position market future broad low cost mass position differentiation market. Nokia continued its leadership in gsm with a market share of 74% in march 2005 if this is done successfully the company's sales reached 7 by the end of 2004 globally a multimedia division was formed. Current mass position market future broad low cost mass position differentiation market strategy strategy niche market focus low cost niche differentiation market strategy strategy cost product advantage differentiation figure 3 - nokia competitive strategy functional strategy nokia has to reduce its product portfolio. To the keep its economic costs below its competitors has always been nokia’s core business strategy nokia`s achieves ‘economies of scale’ by: specialized manufacturing tools plant and equipment handling vast production capacities: in 2006, mobile-phone giant nokia handled more than 100 billion parts in its 10 factories scattered around the world.
International strategy generic strategy analysis in view of porter (1985)’s generic strategy, the four types of generic strategies are cost leadership, differentiation, cost reduction focus and niche. Assignment of marketing management on case study analysis on ‘pricing strategy of nokia’ able to regain their market share people were able to get mobile phones with reliance connection only for a initial cost of about rs after the number of proactive initiatives taken by regulator and licensor at this point in india with the.
Describe the nature of focused cost leadership and focused differentiation know the advantages and disadvantages of focus strategies companies that use a cost leadership strategy and those that use a differentiation strategy share one important characteristic: both groups try to be attractive to customers in general. 512 cost leadership strategy nokia claims a cost reducing on its capital markets day at the end of this year nokia cfo, rick simonson emphasized that nokia is practicing a cost reduction which is effective now and is continuing to keep the strategy for 2009 and 2010 ((nokia capital markets day, 2008. Cost differentiation nokia can set an mobile operating industry manufacturer profits benchmark for nokia 307 operating profits apple 364 pressure on samsung 133 competitors rim 154 cost leadership lg 42 an invincible htc 51 position against motorola -01 competitors sony ericsson -01 fight head-on with apple.
The nature of the focus cost leadership strategy focused cost leadership is the first of two focus strategies a focused cost leadership strategy requires competing based on price to target a narrow market (table 56 “focused cost leadership”)a firm that follows this strategy does not necessarily charge the lowest prices in the industry.