Political
-Government auctioned 2G & 3G licenses in US and Europe.
-Government policies sometimes create monopolies in the industry like when government issued first license to mobile operators or sometimes it favors new entrants to integer competition in the market resulting in quality services.
-Korean government policies supported Samsung Electronics and LG to expand their businesses worldwide.

Economic

-The Mobile Handset industry has shown great dynamism worldwide.

-Subscriber base grew with 52% on average during 1990-2000.
-In 2008, smartphone share in the industry was only 3% but its operating profit contribution in the industry was 35%.

-Nokia has shown increase in market share worldwide.

Nokia Porter’s Five Forces Model.

Social

-Social acceptability and quality of mobile phones has increased vividly during last few years.

-Combination of devices and services also give boost to the demand of mobile phones in the emerging markets.
-While in developed countries, customers look for devices that can fulfill their specific needs.
-Extensive spending by mobile producers on R&D and consumer behavior study.

Nokia SWOT Analysis.

Technological

-Meeting the huge and changing expectations of customers, and anticipating the demand of tomorrow are the main challenges faced by the mobile phone producers.

-Introduction of digital mobile communication standards like GSM and CDMA brought revolution in the mobile industry and enabled mobile producers and operators to expand their businesses worldwide.

-Convergence of data, audio, internet has given new boost to the industry.

Market AnalysisPESTLE analysisPolitical-Government auctioned 2G & 3G licenses in US and Europe.-Government policies sometimes create monopolies in the industry like when government issued first license to mobile operators or sometimes it favors new entrants to integer competition in the market resulting in quality services.-Korean government policies supported Samsung Electronics and LG...Capital Budgeting Techniques and Investment analysis