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Operation Management

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CASE STUDY : NOKIA’S CHINESE OPERATIONS
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This case study gave me a chance to study one of the major mobile phone providers – NOKIA where it briefly tells us the history of Nokia, how it has entered the Asian Market particularly China and how the overall sales and revenue of the company. Various marketing and business strategies have been implemented to cater the needs and requirement of their Chinese consumer.
1. Nokia had to change its distribution system in China to reach the whole country. It used decentralised operations and more provincial distributors, employed third party sales representatives and opened Nokia branded outlets. How effective were EACH of this measures? Issues
The issues faced by Nokia existing distribution system were the products and services not reaching out the consumer where ever the demands for it exist and growing. This was particularly for rural area in china where the demand of the products and services being taken care off by the local Chinese companies with an effective distribution network. Chinese local brand was popular and reliable as they have been manufacturing durable goods for their consumer and it made it easy for them to market their mobile phones.
Upon realising the issue, Nokia had to change its distribution strategy in particular to the distribution system from centralised to decentralise operation, increase the number of provincial distributor, hiring third party sales representative and opening up Nokia branded outlet. Let us see how significant those changes made improve the demand of Nokia to Chinese market….