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Saturday, March 10, 2007

Nokia’s Amazing India Success Story

The Economic Times reports that Nokia gets bigger than Unilever in India to become the largest multinational operating in the fast growing economy. This is significant – displacing Lever, the iconic name in India for several decades. Look at it: Nokia has about 75% plus share of the GSM handset market in India – this is amazing. Am sure the Koreans would launch a major offensive against Nokia in the Indian market in the days to come. Nokia is approaching 30% market share in China, well ahead of the 10% controlled by No. 2 Motorola Inc. China & India are critical to Nokia for its future success.

Lets look at what Nokia did differently in the Indian market :
- “Indianized” 100% of Its R&D (Bangalore) and manufacturing (chennai)
- Its products (e.g., flashlight-embedded cell phone, dust cover, and slip-free grip) as well topline products
- Its local management

Outcomes include:
- Mega deal with the largest operator – Bharti Airtel
- Perceived as a national asset (voted No. 1 of top 20 Indian brands)
- 75% plus share of Indian GSM handset market
(4 million new subscribers every month buy Nokia handsets)

Nokia’s stupendous success in India is indeed a case study that other multinationals operating/entering India may like to study closely and draw lessons.

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Sadagopan's Weblog on Emerging Technologies, Trends,Thoughts, Ideas & Cyberworld
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