Essays on Strategic Alliance between Microsoft and Nokia Case Study

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The paper "Strategic Alliance between Microsoft and Nokia" is a wonderful example of a case study on business. Almost two years ago, during mid-September 2011, Microsoft, the US-based operating system giant went into a strategic alliance with Finland-based mobile giant Nokia to promote and sell their windows based mobile phones in the market that can compete with other smartphones like Apple iPhone and Google’ s Android-based phones. Nokia, often termed as the pioneer of introducing mobile phones in the market was facing an imminent threat of survival due to their dipping market share.

It all started when the Symbian operating system-based Nokia phones were perceived as a little innovative while comparing with other phones such as Apple’ s iPhone. The strategic alliance first launches a toolkit that can convert Nokia’ s Symbian operating system applications to Windows applications. The core objective of the alliance was to combine the traditional strengths of the two companies to create synergies that can be competitive enough to face the market competition. Windows phone, which was often considered as the second-best innovative phone in the market after Apple’ s iPhone, was focused to deliver its offerings with Nokia’ s product line.

As a result, Nokia Lumia was launched which was the first Nokia’ s windows based Smartphone. Two years after its formation, the alliance was facing significant challenges. The reason behind this was the unexpected slow market growth rate of Nokia’ s Windows phones. Recently, Microsoft went to acquisition with Nokia’ s handset-based business to develop more innovative products up to the modern standards. The Windows-based Phone ecosystem, like the platform itself, needs to be more mature, and they need to improve their user interface on a regular basis (Thurrott, 2011).

Company Background Company background provides an idea of the basis on which strategic options being formed. Company information contains the company’ s annual review report and their change in market share, market growth with respect to different strategic options used by them at different points of time.

References

Arthur, C., 2011. Business Technology sector Nokia's new Smartphone strategy fails to impress market watchers. [Online]. Available at: http://www.theguardian.com/business/2011/jun/12/nokia-windows-mobile-phones. [Accessed On April 9, 2014].

Barney, J., 1991. “Firm Resources and Sustained Competitive Advantage”. Journal of Management. Vol.17, No.1.

Goyal, M. and Jaiswal, K. 2010. How Nokia fell from dominance and got pinned down by competitors. [online] Available at: http://articles.economictimes.indiatimes.com/2011-03-27/news/29194836_1_nokia-india-ceo-stephen-elop-nokia-c7 [Accessed: 9 Apr 2014].

Klingebiel, R., 2013. The right deal for Nokia, but the wrong deal for Microsoft? What the $7.1bn deal really means. [Online]. Available at: http://www.thedrum.com/opinion/2013/09/03/right-deal-nokia-wrong-deal-microsoft-what-71bn-deal-really-means. [Accessed On April 9, 2014].

Marian, L., 2013. Is Nokia’s performance in the Smartphone market affected negatively by marketing strategy decisions? Department of Business Administration. Aarhus School of Business and Social Sciences.

Mobile Technology Report. No Date. The history of Nokia. [Online]. Available at: http://www.mobiletechnologyreport.com/the-knowledge/the-history-of-nokia/. [Accessed on April 9, 2014].

Porter, M. E., 1979. How Competitive Forces Shape Strategy. Harvard Business Review.

Thurrott, P., 2011. Nokia + Microsoft: An Analysis of the Strategic Alliance. [Online]. Available at: http://winsupersite.com/article/windows-phone-7/nokia-microsoft-an-analysis-of-the-strategic-alliance. [Accessed on April 9, 2014].

Tjemkes, B., Vos, P. and Burgers, K. 2012. Strategic alliance management. Abingdon, Oxon: Routledge.

Valuebasedmanagement.net. n.d. Summary of Product/Market Grid by Ansoff. Abstract. [online] Available at: http://www.valuebasedmanagement.net/methods_productmarketgrid.html [Accessed: 9 Apr 2014].

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