BUSINESS ENVIRONMENT

Business Environment

Business Environment

Introduction

Nokia is a company headquarters which uses simple energy saving devices to enhance a strong plan and section that generate dramatic and welcoming spaces. Nokia must be Finland's most well-known company. Yet only a decade ago, it was still one of those big rather faceless conglomerates of the kind which emerged from farmland and forest during the very late Nordic industrial revolution to produce everything from timber and paper, tyres and contraceptives, to aluminum and cables. Nokia's decision to focus on data communications greatly increased its turnover and staff numbers, and in 1994, a competition was held to find a design for a new headquarters building. It was won by Helin & Siitonen, who had already been chosen in a 1983 competition - a design abandoned as slump and company reorganization had their effect.

Nokia, the well-known Telecom Company, has an impressive development record. In a few years time, this Finnish company has made its way to the top, seizing with success every possible opportunity, becoming the Number One on its market. This became true because Nokia has always kept in mind the vital importance of developing people. Sales in Nokia's twin engines--the mobile phones and base stations that make up the bulk of its revenues--more than quadrupled, from $2.1 billion in 1993 to $8.7 billion last year. And the good news keeps pouring in, with operating earnings for the recent June quarter surging to $616 million, up 76% from the same quarter in 1997. These days, the $9.8 billion Nokia has one of the hottest cell phones on the market--the 6100 series--whose battery and unique circuitry support a whole week of standby time. It's the first super small phone with that kind of battery life. And Nokia is the first company to develop a mobile phone that surfs the Web. Competition And Cooperation

By managing its corporate and government relations with diplomacy and consideration, Nokia (unlike Microsoft) has been able to avoid high profile and costly anti-trust actions and competition policy struggles. Instead of trying to buy or crush potential rivals, Nokia works to cooperate with suppliers, partners, clients, and even direct competitors. It knows when to compete and when to cooperate. The most important secret to Nokia's success—and the most enduring one as well—may well be its ability and willingness to listen to the customer—a fact apparent in its strategy, structure, and resource allocation, as well as its products and services. And due to its industry foresight, Nokia not only has its finger on the pulse of the market—it often knows what the customer wants, even when the customer is not yet aware of this. (Burgelman 1983)

Nokia's Strategy Plan

To achieve their business objective, Nokia's strategy focuses on: being the preferred provider of solutions for mobile communications; creating personalized communication technology; driving open mobile architecture enabling a non-fragmented global mobile services market; strengthening and leveraging Nokia, the trusted brand; and expanding the business and market position on a global ...