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Business & Strategy

 
Created by : Namrata Pathak, Accounts Manager, American Express  | 05 05 2010 05:46:28 +0000
Industry : Telecom/ISPFunctional Area : Gadgets(Personal Interests)
Activity:  723 views;  last activity : 07 06 2010 20:18:09 +0000

Nokia India, an undisputed leader in the mobile handset market a few years ago, faces rising competition from home-grown players who have entered the market with several me-too devices, at much lower price points. In its latest earnings release on April 22, Nokia revealed its global operating profit dropped to 11 per cent, compared to 20 per cent last year.

And Nokia India's Vice president has said that its just the bubble of smartphones and low cost phones that have hit the market which people are really into, And also went on the say that handsets alone can't sell in a crowded market like India. But then went on to say that handsets alone cant sell in a crowded market like India...

So, is it true people that handsets alone cant sell in a crowded market like India? I mean with out any additional services like Music store, mobile money option and all the apps......Do share your views people....

 
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I don't think it is right in saying that handsets alone can't sell in a crowded market like India, we have seen the emergence of so many players in this  space with just handsets, and companies like Micromax and Karbonn and spice phones are selling like anything just because of handsets and no other services offered, Just because Nokia didn have any mobile phone in the range of 5000 - 15000 and smartphones in this price range and now they are saying that if one needs to survive they need to provide various services like theirs like music store, mobile money concept which they are working....and after all this now they are introducing N8 smartphone which will run on the symbian software and will be available in the last quarter of the year.


By Namrata Pathak, Accounts Manager, American Express  05 05 2010 05:46:28 +0000
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Can not say about the strengths of add-ons. But certainly strengths of efficiency, performance, after sales services, replacement options etc. would hugely impact. 


By Ravindra Sharma, Managing Consultant, CHEF-India  | 05 06 2010 06:35:36 +0000
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After the auction of 3G, there is going to be a plethora of service providers and the handset manufacturers expected to flood Indian market. There will be a paradigm shift!
By S. Muralidharan, Executive Director, Knowledge Foundation & Campus Around the Corner  | 05 05 2010 16:07:35 +0000
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Handsets won't sell only as a 'talking device' any more. The low end phones are actually capitalizing on that...offering number of features at an abnormally low price. May be a time will come, when you can do everything on handset except talk.


By PRODOSH SEN, Heading Design and Quality Assurance in Project Management Vertical, ITC Limited  | 05 05 2010 07:59:12 +0000
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This is competition among them. Fittest can only survive in delivering what the consumer wants. However, Nokia has to give a tough fighting to succeed.

Thanks for the referral Ms.Namrata Pathak.

 


By NATTERAJA R. ARIKRISHNAN, GM-Projects, Bentec Electricals & Electronics Pvt. Ltd  | 05 05 2010 19:34:10 +0000
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THANK YOU NAMRAT.INDIA`S POPULATION IS SO HIGH IT HAS AVERY GOOD MIX OF PEOPLE WITH VAST DIFFERENCES IN THEIR INCOME LEVELS.ANY HIGH PRICED LATEST MODEL WITH MANY FEATURES IS NORMALLY PATRONISED BY UPPER INCOME GROUP ONLY AND IN OUR COUNTRY IT IS THE MIDDLE INCOME AND LOWER MIDDLE INCOME GROUP WHICH FORMS THE MAJORITY ALWAYS BUYING ANY PRODUCT IN HIGHER NUMBERS.WITH THE INTRODUCTION OF EVERY DAY PLAN WHEREIN A COMMON MAN CAN E RECHARGE FOR Rs.5,THERE ARE AMPLE OPPORTUNITIES FOR LOW PRICED HANDSETS TO BE SOLD FOR THE NEXT COUPLE OF YEARS AND BY THEN THERE WILL BE ENOUGH  ROOM FOR REPLACEMENT OF HANDSETS BOUGHT NOW.


By s.baalu , Consultant, XYZ LTD  | 05 05 2010 12:37:49 +0000
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Yes, VAS plus cheap talk-time.


By M. Prabhakar Rao, Green Consultant: Green Buildings, LEED Certifications, GreenGuard, Energy Star, GreenCo Certifications, Energy Audits  | 05 05 2010 11:14:32 +0000
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Nice debate to have Namrata. Between manufacturers and service providers, VAS (value added services) are best offered and handled by service providers and its high time that leaders in the handset segment realise this. Nokia, by far the leader in the segment, has to realise the core strengths of the growing market and just by introducing models that has additional apps would not surely give them the expected numbers and value. NO wonder that their GOP and net sales volume in India dropped considerably. Samsung, supposedly no 2, is surely catching up the leader and new players further their cause.

To leverage on their basic strengths, to me, is the main reason in emergence of new players. Take Intex, Videocon for an example. Large retail presence made their foray into mobile handsets look simpler, and to import and sell under their existing brand name makes it much more easier.

To use a handset for 3-4 years and throw / dispose for a cheaper version is the phenomenon catching up fast and with most servioce providers upping their VAS', India surely seems to be a market where Handsets alone can be sold, and to me surely at that.


By Navjeet Sood, Business Head, ADI Media Pvt Ltd  | 05 05 2010 06:16:00 +0000
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