Nokia: Are they on top to stay?

Just this week, Nokia released music phones into the market.  With the ability to store approximately 100 albums, the consumer has access to all the music they could ever want to hear.  Is this what the consumer wants from their cell phone?

The fact is Nokia, with headquarters in Finland,  is on top for a reason.  They not only listen to what the consumer wants-they do something about it.  They are the world’s leading cell phone manufacturer and if things continue the way they have been, they will continue on their roll.  With a global market share of approximately 34% in the second quarter of 2006, they’re aiming higher by releasing new and improved models.Nokia’s new release, the Nokia 5300 XpressMusic holds about 1500 music tracks on their 2 GB microSD card and users can listen to their music while they use other features, like texting or the camera.  If you want to listen to music in a public place, just plug in your headphones and if you prefer to listen to the music you’ve saved on a stereo, you can simply utilize their Nokia Wireless Audio Gateway AD-42W and you can play your music on any stereo.  The Nokia 5300 also has other top quality functions such as a 1.3 mega pixel camera and high-resolution video ring tones.    When it becomes available, the consumer should be able to purchase for just over $300.

The Nokia 5300 XpressMusic, however, is not the only music phone they’ve come out with.  The Nokia 5200 also gives the consumer top quality music functions and will cost the consumer approximately $250.  The Nokia 3250 XpressMusic is of a different design, giving it a more unique look and consumers will still be able to hold about 1500 music tracks.  More expensive, it will retail for approximately $500.

Nokia has come a long way from when it came out with the first mobile phone in the 1970’s in the form of field radios for the Finnish Defense Forces.  However, it wasn’t until the late 1980’s that the mobile phone technology allowed for international calls and the cell phone craze began.  From then on, Nokia has remained on top, even with some difficulty it faced in 2004 when they failed to adapt to the market trends.  While they have been behind others in new design innovation, Nokia is working to reestablish themselves among their competitors as has plans to retain their number one position in cell phone technology.

While cell phone technology may one of Nokia’s top income producing departments, Nokia has their hands in many different things.  Nokia Enterprise Solutions provides a wide variety of businesses with a vast array of business solutions.  They also have divisions in multimedia and networking, putting them at the forefront in the technology of today.

Nokia has the right outlook-they want to keep the consumer happy and the consumer continues to be the top priority for Nokia.  Their continuous goals are to: create top of the line devices to be used by the consumer, include top quality Internet services as part of their offerings, provide enterprise solutions, build scale in networks, and expand their line of professional services.  Their strategies for providing all of this-by prioritizing and investing in brand and design and commitment to the customer.

The fact is Nokia top priorities are to be the number one provider of customer service and products.  They don’t just want to sell the most cell phones or provide the most service, they want to make certain the consumers are happy with what they are receiving and they want return customers.  They understand that in order to design the best-of-the-best, they need to understand what the consumer wants from a product or service.  While they did have a small downfall in 2004 in following the direction they had set for themselves, they are back in line to provide the consumer the best possible experiences in today’s technology.

In order to become the number one provider to the consumer, approximately 36 percent of Nokia’s workforce is in Research and Development, where they have centers located in 11 different countries and employ over 20,000 people.  Their Research Centers are responsible for the increasing technological advances in the industry but also for adapting to changes in market trends and responding with knowledge and innovation.

Second in line to Nokia is Motorola.  Working Mother magazine has just announced this month that the company made the 2006 Working Mother 100 Best Company list.  This means a lot to those all over the world and you’ll find that Motorola employees are happily trying to beat out Nokia’s number one position.  They, too, have prioritized and are working diligently to beat out all their competitors in offering top quality products and services.  Whether its Bluetooth products, home networking, dispatching products, or virtual private networks, Motorola will have it, as they are known for their vast array of services in the United States and many other countries.

Motorola has just come out with several new products, including the Motorola SLVR.  This sleek designed cell phone has many features that consumers demand and they are top quality.  The Motorola SLVR is able to store music tracks and has Bluetooth technology.  Again, however, Nokia has outdone Motorola with the Nokia 5300 XpressMusic.  Not only does the Nokia 5300 XpressMusic allow for more music to be downloaded, it has several more advanced features and capabilities than the Motorola SLVR.  Consumers know this but all it will take is one slip up for Nokia to lose its place.

So what will it take for someone, such as Motorola to take over the number one position in cell phone technology?  The most important thing that Nokia can do is stay on top of the market trends and listen to what features the consumer wants.  Without their top-quality Research and Development, they will not be able to stay where they are and they must continue to excel in this area.  Motorola, in fact, could easily overtake their position if Nokia makes another mistake like they did in 2004.