Strategic Analysis For Nokia E71 Management Essay

Strategic Analysis

Nokia E71

Executive Report

The study is a strategic analysis of Nokia E 71. One can see the USP that the company maintains by virtuousness of the phone. It has been found that E 71 is the best concern phone with its QWERTY keyboard. The phone has made the company proud by emerging as the best e-mail supplier phone in the market. The extra characteristic of a 3.2 megapixel camera has besides differentiated the merchandise from others in the conference. The company allows replacing of battery and storage cards which allows a better public-service corporation of the phone. This besides gives it an ecological advantage to the phone. The monetary value has besides gone down by 700 AED really late which has given the merchandise a cost advantage every bit good. The chief mark of Nokia E 71 is the concern category and besides the young person to some extent. The USP of the company is such that it is a position symbol to keep the phone. It is recommended that the company maintains this monetary value and advance the merchandise better to prolong the increasing competition. It would besides profit by introducing farther so as to contend the direct and indirect competition with computing machine and nomadic companies.


If it is approximately trust in the field of nomadic telephone, Nokia happens to be the most accepted name. This Finnish company has the record of keeping records when it comes to doing inventions in the market of cellular phones. Similar is the concern, with the invention of this new phone better known as Nokia E 71. In the modern universe of today, where integrating is the key to success, E 71 trade name of Nokia has emerged to be a innovator. The phone gives the best combination of elegance, manner and position. One would ne’er happen it easier to do an electronic mail on a nomadic phone without sing the easiness with which this customer-interactive phone holding a QWERTY keyboard characteristic works. The phone has been designed to really blossom the concern category with the engineering of E 71 which has now become a position symbol. Equally far as the upper category of the society is concerned E 71 is the best-purpose phone. This is even for those who need to do a grade in a company that recognizes one by position. So, the Nokia E 71 which came into the market as apery of the freshly launched i-phone by Apple has now made a competitory advantage of its ain such that it has become highly hard for any company for that affair to copy the phone. All has been taken attention of, get downing from the purchasing procedure, to the really first acquaintance of the consumers, whatever is liked or even disliked in concern with the merchandise, and besides inquiries like all that needs to be customized and substituted, and the most of import of all whether the phone has been able to carry through the latent demand of the clients or non. Hence, in this billion dollar market of cellular phones, E 71 itself is a billion dollar phone for Nokia Corporations. ( Nokia E71, 2010 )

Situation Analysis ( STEEP )

Social Factors

Social credence has now become one of the major issues that need to be fulfilled in every merchandise that a company manufactures. Equally far as Nokia E 71 is concerned, the phone has a Call Quality that is faultless when compared to all other phones which belong to the same class. The ground for the same is that the highly comfy key-board of Nokia E 71 has been regarded as the best minor key-board socially. The phone has the record of the best response of signals and quality of calls that has enhanced its societal values.

Furthermore, this French telephone of Nokia has the capableness to last the full twenty-four hours even after being used of all its applications. This is socially required as it is this really characteristic of the phone that has made the concern category rely so much on it. As the phone consists of most of the characteristics that a man of affairs requires, he would non be able to afford low-battery public presentation.

Other than this, the cost factor has besides added to a big extent in doing the phone socially acceptable. When the phone was foremost introduced in the market, it had a monetary value ticket 2000 AED. This monetary value has gone drastically to 1300 AED. The ground for making the same was non that the demand of the phone had started to decrease. It was because as the phone started to be accepted socially, the company started looking for a market incursion. This resulted into the lowering of monetary value and the increase in the societal benefits.

Technological Factors

It is the technological advantage that Nokia E 71 carries with itself that has made it so widely proclaimed. The phone has the latest WCDMA 900/2100 engineering which besides supports HSPDA. The usage interface has a S60 platform. With a compatible dimension of 114*57*10 mm3, and a base by clip traveling up to 20 yearss in WCDMA, the phone is a technological leader. It besides has a talk clip of more than 11 hours which is much above other phones would of all time hold allowed in the same class. Even the coloring material show that allows 16 million colorss and a BP-4L battery holding a capacity of 1500 mAh is much in the speaking every bit far as the technological advantage of the phone is concerned. Merely the internal memory of the phone is 110 MB and the external memory extends up to 32 GB. This is more than most other phones would of all time hold allowed. So, one can see the technological compatibility of the phone that has made E 71 the best regarded incorporate phone of the concern environment. ( Technical specifications, 2010 )

Economic Factors

As we have already seen, the QWERTY keyboard installation of E 71 along with the easiness of Internet connexion makes it the best device to be used when nomadic. Now, the mean monetary value of a laptop is around 4000 AED and that of E 71 is 1300 AED. Sing this analysis, it is obvious that E 71 has the most economical value when compared to the similar engineering that is available. Even if it is non for the employees or the concern category, the other mark category is the young person. As the phone is a position symbol to hold, on would non mind disbursement 1300 AED for a phone that gives non merely the characteristics but besides the position. So, one can see that even though the monetary value of the phone seems to be somewhat high, it suits the mark market.

Ecological Factors

Tocopherol 71, being a phone of a reputed transnational company needs to keep an ecological advantage to remain in the market of nomadic phones. These are some of the issues that many companies do non look into and hence have to pay the monetary value. It is apparent in companies like Motorola and besides Spice. Even though these companies have been passing in 1000000s they still have non managed to follow the recycling policy of E 71 phones. The company besides has a replaceable storage card and battery allowances. This makes the worn out accoutrements to be reused by the company instead than leting it to come in the ambiance with disgusting sequel. So, non merely does this increase the public-service corporation of these devices, it besides prepares it for keeping an ecological balance. In the current corporate universe, where about every company is lending towards the depletion of ozone bed and similar activities, this kind of enterprises makes the phone competitively much stronger. ( Black and White E-Series Smartphones – Nokia E71 Black and Nokia E71 White, 2010 )

Political Factors

The Government of UAE in all the seven Emirates has made the entry of transnational merchandises much easier in comparing to what it used to be in initial times. The ground for the same is that, it understands the value that these transnational companies add to the economic systems of the state. So, many companies that work under the semi-Government strategy have besides been collaborated with nomadic companies so as to ensue into a better trade. For illustration, the Government companies like Etisalat are doing their extreme enterprises to supply political substance to Nokia. As E 71 is the latest theoretical account in demand, politically the company is unafraid. This was seeable in the coaction with Blackberry but after the failure, E 71 stands a good opportunity. This would heighten the gross revenues of the phone in the market.

Market Analysis

Target Markets

The mark market as we can see from the state of affairs analysis of the phone is largely the concern category. A recent study of the demographics of UAE has resulted in the fact that more than 70 % of the population is good employed. The demand to an integrated phone can be estimated from this really data itself. As most of the employees now have a well good wage, the demand for concern category phones is of all time increasing. As E 71 turns out to be the best incorporate phone in the class, in malice of the big size of the mark market, it does run in synchronism with the company.

The other mark is the young person. Now that cyberspace surfboarding has about become a necessity for anyone purchasing a phone, the company offers merely what the young person would hold appreciated in the phone E 71. With an mean GDP per individual being 19,995 AED, it becomes easier for parents to afford a phone when it provides so many characteristics. So, the features of E 71 which besides includes one of the easiest ways of linking to the cyberspace, has made it one of the most sought after phones in the young person sector.

Other than this, as we have already see, the manner which Nokia E 71 has makes it a position symbol to hold. The ground for the same is that the company has given the phone the expressions which make it the most alone phone. There were many phones which were of concern category but did non hold a good camera quality. Now, this phone is a position symbol because it does non merely supply a good concern incorporate characteristic but besides it has the features of a good camera. Hence, E 71 besides executable in the mark market that has a psychologically higher concern for cameras in phones. ( New UAE demographics, HSBC, 2010 )

Merchandise Features

Nokia E 71 after being awarded the best smart phone of the epoch has managed to supply the best merchandise features that can be expected from a concern phone. The merchandise comes up with an optimisation in nomadic e-mailing and a QWERTY keyboard that allows the best messaging experience. There is an easy switch over between concern and personal manners. There are one-touch keys. The nomadic provides alone characteristics like car rectification and an error-free typewriting. These are extremely good in the certification work of the concern category.

The phone besides allows Nokia maps that are important for the young person. The phone would besides Internet naming through the usage of wi-fi and besides of the web supports, 3G. It is besides suited for the concern category and besides for the young person to hold a 3.6 Mbps velocity that allows speedy downloading as per the current demands. As already mentioned, the phone has a 3.3 megapixel camera which is non available in most phones of the same category. Other than this, the sound music participant, on-line sharing, informations encoding installation which is executable in both phone and card memory and besides Internet entree utilizing the phone as Modem makes Nokia phone, the most sought after phones of the class.

Customer Benefits

This trade name Nokia E71 largely has a client section which consists of the superior category of the people, and that excessively largely the concern category of the people even though the young person and the psychologically camera influenced society besides has a significant fad for the phone. It is a extremely fashionable phone and it does necessitate to publicize its merchandise merely to them. It is non really an ordinary adult male ‘s merchandise as we have seen. The consumers are unchanging and as a affair of fact this society has this leaning of buying the best available phone in the market no affair what the monetary value might be even though E 71 has come down on its monetary value in the last few months. They do non really worry about the monetary value tickets every bit long as they stand out in a crowd and have maximal figure of people looking up on them. This phone fulfils this demand which was merely latent until E 71 was introduced in the market. When this nomadic phone was introduced, the thought was to hold a phone that could replace the increasing demands of i-phones in the market. But, the benefits that E 71 gave to the clients were much more than what i-phone was really giving. In fact, this was nowhere even in the locality of the many other restrictions that i-phone provided. Nokia E 71 is hence a new coevals phone.

Rationale for lucifer between merchandise and Customer Benefits

The phone has an highly posh visual aspect and therefore it has many purchasers for this really choice itself. The greatest benefit that this phone carries with itself is that it has the best expressions than all other phones that fall in the same genre. In fact the 3.2 megapixel camera merely adds to the nobility that the phone self-praises of. Even though it might sound really simple to hold a video-recording phone, most others in the conference really do non back up the same. Nokia E 71 has a direct benefit even in this respect. So, if we talk about the ocular quality, it is non merely the images taken by the 3.2 megapixels camera, but besides the faultless picture quality that does the occupation. This is non merely based from the company ‘s point of position.

Much of the secondary research discusses the direct benefits that Nokia E 71 brings with itself. It can be apparent in on-line depositories like ameinfo. Talking about the proficient public-service corporation of the phone, one can merely play limited types of files like ACC in instance of i-phone which support the format of i-tune. But the instance of E 71 is surely better relatively. ( Verite, 2010 )

Rival Analysis

Porter ‘s Five Force Analysis

The Threat of Substitute Products: We have seen that the integrating of installations that Nokia E 71 provides makes it a replacement to laptops. But the state of affairs is likely to alter any clip sing the dynamic environment of the universe. If the phone does non introduce over the current characteristics that it provides, it is likely to confront stiff competition from laptops and other devices like i-phones.

Menace of Competitive Competition: Nokia has introduced E 71 as a replacing over Apple ‘s i-phone. This calls for stiff competition from Apple. Other than this, the phone has besides excelled because of the ecological benefits that Motorola and Siemens have non been able to supply as of now. Once these companies can do this a possibility, E 71 would hold to farther progress to do a grade in the market.

The Threat of New Entrants: There are many companies like Onida, Spice and Karbonn Mobiles which are looking frontward to capture the market. In fact Spice has already come up with a 12 megapixel camera phone. So, much of the characteristics that have been alone from the position of Nokia E 71 are confronting challenges. So, in order to stay on top, the company would hold to farther innovate.

The Bargaining Power of Suppliers: The menace in this respect can be seen from the fact that Government coaction can take to an increase in the bargaining power. As Nokia wishes to do a lasting topographic point in the market with E 71 it would hold to settle even for lower benefits given to the company by the Government. This needs to be planned by the company and even if they have to settle for lesser benefits, they should non mind making so as to procure a lasting topographic point in the market.

The Bargaining Power of Customers: Once once more, the menace of better productiveness and lesser costs can imitate bargaining from clients. The company would hold to lodge to its costs which could be of much aid in the long-run. ( Competitive Forces theoretical account, 2010 )

Direct and Indirect Competition

Direct Competition

The company can see direct competition from the following companies:

  • Apple
  • Motorola
  • Spice
  • Mhos
  • Sony

The competition from these companies can be seen in the signifier of an even advanced thought that is launched in the nomadic phones launched. This is of greatest menace to the company.

Indirect Competition

The company can see indirect competition from the following companies:

  • Sony
  • Dell
  • Horsepower
  • Compaq
  • HCL
  • Apple

The indirect competition can be seen in the signifier of desktops and laptops as they do have most of the incorporate characteristics that Nokia E 71 provides. It is merely based on the easiness of managing that can safeguard the company from indirect competition. So, Nokia needs to introduce further in this respect as good.

Positioning Map of Competition and Key Market Dimensions










Camera Quality


Internet Facility






Business Purpose


Call Quality



Sustainable Competitive Advantage

Competitive advantage comes from the fact that a company is able to develop certain characteristics in its merchandises that ca n’t be imitated in the hereafter. Equally far as Nokia E 71 is concerned, it can be seen in the undermentioned ways:

  • E-mail Solutions
  • Camera Quality with a concern Integration
  • Battery Life
  • Storage Capacity
  • Internet Access
  • Video Recording
  • Keyboard Typing
  • Wireless Connectivity

SWOT Analysis


The strengths that Nokia E 71 carries with itself are in the fashionable expression that it maintains along with the concern features that it has. It is a phone over which Nokia has made an enterprise to instill all the installations that are required in a phone and a communicating device of the modern universe. As the company has been a innovator in introducing as per the demands of the clients, it gives a great competitory advantage to the company.


The failing that lies in the launch of Nokia E 71 is that the phone incorporates a immense sum of cost. If the company somehow is non able to prolong its competitory advantage, it would hold to endure immense losingss. The losingss would travel to even higher extents if the company synchronizes its phone as per the UAE norms.


UAE is retrieving over the economical losingss made in the recent recession. Merely last twelvemonth at that place was a contraction of 9 % in the GDP, it has decreased to 0.4 % and really shortly the conditions would better than normal. This gives an chance to the company to sell its costly phone E 71. ( UAE rising prices at 1.9 % in first 10 months of 2009, 2010 )


The menaces as we have already seen are in the signifier of rivals. The ground for even greater menaces is that the company has both direct and indirect competition of equal magnitude. So, the suggestion one time once more is better selling and invention for farther betterment.

Key Issues

Cardinal Factors for Success

The phone supports versatility of files like wma, .mp3, AAC+ , eAAC+ , .aac. Other than this one installation that we have merely seen to be executable in desktops and laptops called as multitasking, is easy possible in instance of E 71. This is once more non possible in many other phones of similar class which makes it a cardinal factor for success. And most significantly, the best characteristic that is accountable for best purchasing is that of “Simple to Use” characteristic of Nokia E71. This makes even the issue scheme of the phone really simple. So, even if client feel that they should alter the phone, the easy interaction of the phone makes it really simple for them to make so. Even though this scheme is against the wellness of the phone, it is extremely indispensable from the selling position. The company should take maximal advantage of the same to stay a market leader.

Key Issues for Business

Depending on the section that has been targeted by a company, one can gauge whether the phone it manufactures is acceptable or non. Equally far as Nokia E 71 is concerned, we have already seen that the phone comes under the concern category. Almost every concern employee in the current epoch has the handiness of a computing machine desktop in office and many of them besides have one available at their abodes if the company permits. Now, when Mobile, these employees need the most compatible signifier of communicating.

Under the conditions, the best handiness would be a laptop or a phone that has all the characteristics which are by and large required in laptop and besides has an easiness of managing. The company would hold to convert the clients as this remains the cardinal issue in concern. It is the reply the inquiry as to why would a individual usage E 71 when laptops are so easy available along with phones with really high pel quality.

Points of Difference and Universal Selling Proposition

Points of Difference

  • QWERTY keyboard
  • Business Work Ease

Universal Selling Proposition

Best e-mail installation with an synergistic QWERTY keyboard specifying position

Internal Analysis

Introducing a merchandise in the market and disputing the universe for the inventions that it boasts of is itself a cogent evidence of the fact that the company is good prepared to be competitory in the market. Nokia has a market research squad particularly for E 71 so as to recognize the false beliefs in the merchandise if any and besides the suitableness that it has in the market. The company has besides done merchandise development by presenting a new characteristic of 3.2 megapixel capacity cameras which would farther develop the bing market every bit good. This shows that the company is good prepared to even confront the challenges in footings of image quality.

The company merely needs to get the better of the barrier of being recognized as a costly phone. As we have seen that E 71 is economical every bit far as the mark market is concerned, the fact needs to be disseminated in the market to stay competitory.


  • Even though Nokia is extremely recognized in the market, it needs to advance E 71 better for better market adaptability. The ground for the same is the utmost competition in this respect.
  • Further inventions need to be done so as to better quality of characteristics like image quality to accommodate other innovators in the conference.
  • Monetary value should be retained or even lowered to a little extent of possible. This would besides give the company a cost advantage.


Nokia E71 ( 2010 ) . Retrieved on 13th May 2010 from hypertext transfer protocol: // catalogId=P-E-M-Nokia-E71

Technical specifications ( 2010 ) . Retrieved on 13th May 2010 from hypertext transfer protocol: //

Black and White E-Series Smartphones – Nokia E71 Black and Nokia E71 White ( 2010 ) . Retrieved on 13th May 2010 from hypertext transfer protocol: // ? Black-and-White-E-Series-Smartphones — -Nokia-E71-Black-and-Nokia-E71-White & A ; id=2021102

New UAE demographics, HSBC ( 2010 ) . Retrieved on 13th May 2010 from hypertext transfer protocol: //

Nokia E71 White Steel On Contract – Exclusive Telephone With Benefits ( 2010 ) . Retrieved on 13th May 2010 from hypertext transfer protocol: // — -Exclusive-Phone-With-Benefits/746926

Competitive Forces theoretical account Porter ( 2010 ) . Retrieved on 13th May 2010 from hypertext transfer protocol: //

UAE rising prices at 1.9 % in first 10 months of 2009 ( 2010 ) . Retrieved on 13th May 2010 from hypertext transfer protocol: //