Lessons to be learned from Nokia’s experience in the mobile communications sector

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Yves DOZ

Professor, Solvay technological innovation, INSEAD

Seminar Management of Innovation | Wednesday March 20, 2019 - 8h45-10h45

‘The higher we rise, the harder we fall!’ In just twelve years, Nokia soared to the heights, but also tragically plunged to the depths. Its directors had been able to seize the opportunity to develop in the mobile communications sector and to put in place a value chain which was capable of growing very rapidly. However, decisions taken between 2003 and 2008 based on organisational, relational and emotional factors sealed Nokia’s fate. As a result, the company was unable to compete with the arrival of competitors such as Apple and Google which implemented military-style ‘envelopment strategies’, and marketed excellent products at low cost such as those commercialised by Samsung, LG and new Chinese manufacturers.

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This session was published in issue n°141 of the Journal de l'École de Paris du management, entitled Se souvenir du Titanic.

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