Case Study: Nokia
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Chapter 1. Introduction
Theorists normally provide a general view of the research problem based on assumptions, on the other hand cohort, case study or experimental studies provide the exact data normally calculated or arrived at in a scientific manner. Either way, the two strategies will be used to prove the need for information systems management in determining Nokia corporate strategy of building networks. There will be back and forth comparisons between the case and the relevant information systems. The goal will be to prove that indeed Nokia can use this strategy to substitute on its declining market value, bounce back in the market and create a lasting brand value.
Arguments on information systems management have explored its impact on a company corporate management framework. The goal of most scholars is the use of information systems to benefit the organization internally with departments such as IT, Marketing, Human Resources, Accounting and Public relations. For sure, information systems have proved to be revolutionary in how they handle data inside the organization. However, very few companies have looked on the importance of Information systems in determining the outside environment of the market. A company which faces this problem is Nokia. Nokia dominated the mobile computing industry back in the 2010s. Its dominion greatly affected other companies until they teamed up to form Android Operating System. Nokia great products included several hardware products, for instance Nokia 1020, a device with undisputed best camera in the mobile industry, as well two operating systems Windows and Symbian.
1.1.1 The Company
Nokia is a Finnish Multinational Communication company that was founded in 1865. The company is headquartered in Espoo. At its pick, the company employed over 60,000 in over 120 countries. It did business in close to 150 countries bringing a totality of revenue 12.73. The company is dual listed in New York Stock Exchange and Helsinki Stock Exchange. It is still part of the Fortune Global 500. Nokia has been involved in several industries, for instance, it has been involved in pulp mill which focused on the large-scale communications, telecommunication development as well being a major contributor in mobile phone industry. Its labs have been involved in development of mobile computing hardware, software and systems which as well include LTE and GSM. In 2011, the company partnered with Microsoft and ventured in the market of Smartphone devices which was being led by Google Android, Apple Iphone and Blackberry. However, due to poor sales, the company sold its Mobile Phone unit at a totality of 7.17 billion dollars.
1.2 Problem Statement
However, one will see that Nokia has performed poorly considering poorly, leading to the falling of share learn from Nokia that failed to properly partner with local companies in countries that it was doing business. If it did so, the product would have used these companies to protect its interests. More so, the company prefer have considered partnering with banking companies because the financial sector affects all people marginally. Currently, Nokia is facing its period in mobile computing, in its 18 year reign. They so far have parted away with Microsoft, and Nokia is left to the mercies of small vendor, researchers and market strategists. The company is experiencing a decline in device sales since it has already entered the android market. The goal is not to question why it had to dump Symbian operating systems, but nullify how it prefer rejuvenate its shops abroad with a strategy of creating a new strategy.
1.3 Study Design
The study will use qualitative research design, primarily investigating the published articles, journals and reports from opinion of various policy makers, bankers, international business analysts, marketers and business engineers. A collection of various materials will be grouped, weighted, analyzed, schemed and filtered. The materials will be scrutinized using a coded research design whose three primary stages are
The Research Problem
The research focuses predominantly on the usefulness of information systems management in determining local banking partners. Nokia shares value once picked at 60 dollars back in 2000. The slump of 2004 was because of several entrants in the market, however by 2007, Nokia was back at a high 40 dollars. However, the company share value is now at 5 dollars and today it registered 0.04% decline (Marketwatch, 2017). As to be witnessed, Nokia slump was largely market driven and not product driven primarily because it focused heavily on the quality of products but failed to build networks with companies abroad.
1.4.1 The Research Question
Question 1. Has Nokia tried to maintain a desirable corporate culture in the last 8 years?
Question 2. Did Nokia have appropriate information systems architecture for international business?
Question 3. If so, has Nokia attempted to reuse this architecture to create a permanent presence in host countries?
Question 4: What went wrong? Did Nokia see this coming?
Question 5: Aftermath; has Nokia decided on this option
H01): Null Hypothesis: There is a direct and successful relationship between information systems management and partnering with local companies
(HA1): Alternative hypothesis: There is no direct and successful connection between information systems management and partnering with local companies
1.6 Aim and Research Objectives
1.6.1 Aim of the Study
The research, hence, investigates whether there is any relationship between information systems management and the success of Nokia in over 110 countries it has its operations in.
1.6.2 The Objectives of the Study
To explore the usefulness of information systems in doing international business
To determine impact of information systems in protecting business resources abroad
To use components of information systems such as Enterprise architecture to investigate the performance of the corporate activities abroad
To help in crafting a bridging policy that will encourage business strategists to create powerful business reengineering systems using business information systems.
1.7 The Significance of the Study
The study is vital to the wide recipients of such information which include scholars, business practitioners and analysts and policy developers.
1.8.1 The Research Methodology
A qualitative research design utilizing a coded research design will be adopted to make it possible to develop the research. Creswell and Clark (2011, p. 2) explains the usefulness of coded research design because it helps in capitalizing on the strengths of the research design.
Limitations and Delimitations of the Research
Simon (2011) believes an authentic research has several limitations and delimitations primarily based on how it is conducted given that there are factors such as human error, epistemology and gaps in the research. They are the legal jurisdictions that a research cannot go beyond while investigating.
External information has to be cited, although one is not sure of the validity of those studies
Delimitations are the different assumptions that operate within a specific boundary that governs the study.
The study depends on opinions of policy developers who could be biased
The study does not conduct an in-depth quantitative research
1.9.3 Ethical Considerations
The research respects the sources of information by citing all external information. All assumptions, conclusions and recommendations are not biased but are legitimate based on the research procedure
Acknowledging the possibility of the poor performance of some research questions
Having a properly conjoined research, which help in information flow
Respecting industry standards of a coding process
Distinguish the opinion of other researchers from this research.
Providing the research document in a timely manner
Chapter II: Literature Review
The literature review provided deep dive assumptions on the theoretical framework that will be vital in answering the research questions. The goal is to explore the opinion of other researchers, although this might be repeated in Chapter IV the coded research design, it is absolutely different because at this level the goal will be on information systems management and possibly exploring what other researchers think concerning information systems management in a business environment. The fourth chapter will bring in Nokia case study, using published materials, opinions, analysis and reports from recent reporters to evaluate the validity of the research questions. The section will therefore be detailing on the theoretical perspective.
2.1 Benefits of Partnering
Petrescu (2012) has explored the usefulness of foreign networks in stabilizing the company operations abroad. Joined by Venkatesh and Bala (2012, p. 1138), it is clear that the company prefer create a network by partnering with local companies. The research reinstates the crucial benefits of partnering with local players as it allows the perfect adoption of technological, environmental and organizational which allows for the adoption of inter-organizational theories. The purpose is to specify the right interactions between the firm and the local partners. From the study of 248 firms listed in the research, it is clear partnering improves the development of a perfect organizational set-up which helps in crafting the perfect compatibility standards. This way, it is possible to regenerate the significant investment value given that most of these branches are still performing well even after the recession. Gashami et al., (2015) also notes that patterning facilitates the growth of a stable investment strategy. For sure, as part of investment strategy, the company compares branches based on industry performance and not necessary the concurrent company performance. Gudmundsson (2014) also reinforce on the need of the company to integrate products such as Big Data Analytics to help facilitate stakeholder analysis. In particular, software changes create a new framework where some individuals might oppose the system given that it impedes their business.
2.1.1 Using Big Data to Partner
Yu and Liu (2016) present how big data is currently being used by the mainstream media to generate information concerning politics or business. From the big data perspective as used in the media industry, it is clear that it is possible to net huge amount of information at a very short time hence use the information to regenerate an assumption, for instance as used during opinion polls or election. The tests were done on social media, helped in proving that big would help to generate the right information based on indexing theory. Indexing theory explains how news content, social media and press state relations are formulated and hypothesized. Hence, organizations consider big Data Analytics as a way to improve its business operations, primarily integrating an expansion strategy between the company and its host companies. Aggarwal and McCabe (2013) note there are varieties of factors that justify the company's choice of marketing strategy. Being a supermarket distribution chain , the company prefer implement the software since it is affordable, requires minimal infrastructure, easy to configure and install, no exorbitant upgrades and versions, it creates back and data recovery, can work anywhere, builds long-term stakeholder relationships, it is secure and can easily be adopted.
Lawrie, Hamerman and Rose (2010) collaboratively doing business in an international market requires adoption of the right degree of stakeholder support. Besides, the software ensures that it creates a subscription model that creates an environment of easy to operate. Besides, the software is easy to install since most backyard configurations are done via the internet. An administrator needs an internet connection and any version of web-browsers. Likewise, the software does not require upgrading hence an administrator requires carrying out of different marketing decisions altogether.
Determining partners in international markets requires the perfect information systems management which is related to the strategy of doing business. Meanwhile, given its online presence, the software can work almost anywhere since it is a web-based version. Richomme-Huet and Vial (2014, p. 18) believe that the organization can generate the appropriate stakeholder relationship if it determines the perfect partnering company. Joined by Nahm and Ishikawa (2004), argue that the business might reach significant level which requires the development of unique product that only the local player understand. For instance, a software vendor has to ensure that it develops products that are relevant to the local market. Moreover, the software constructs the correct datacenter vital in providing the workbook service.
Sinnett (2010) believes it is acceptable that the software can be developed through a range of networks. Wong et al. (2015) explains that business implements the software in a much convenient method since it offers smaller units for complexity, global presence, and size. Bajgoric (2015) explores the usefulness of operating systems course as a prerequisite of business information systems. What is easily noted, operating systems help in grounding the business improving the indexing mechanism as well as processing the right information. The business information systems infrastructure helps in developing the client server relationship. Such relationships are important in crafting the right framework for designing and developing the right systems engineering. The outcomes of the system are the creation of personal cloud computing that is enhanced through on-demand over a network. Westerlund, Rajala and Leminen (2008) notes that the firm will be reusing its network infrastructures instead of the latter creating the hosting infrastructure, then the cost of administration is transferred to the company abroad. An organization partnering abroad that is typically in per-minute or creation of specific hourly increments. Similarly, the dynamic provisioning let users pursue diverse components, as they are required. Richomme-Huet and Vial (2014) notes that it is possible to manage a range of services that is typically on a computer through an Internet connection and the creation of access to them.
As being evidenced, using information systems, Big Data primarily guarantees a firm instant gratification of understanding each market distinctively rather than generalizing. Gashami et al., (2015) further note that the system can be accessed through the internet; hence, it is profitable for the business to maintain the system. Cash savings are vital for expanding the company, in particular, the company can use the excess amounts to buy out other companies or invest in infrastructure. However, in Big Data, the cost, as well the complexity of the potential disruption of moving to a different site or software version naturally prevents employees from rejecting the systems. Given that Big Data Analytics concepts comes in form of a web-based version, where employees in the marketing department examine marketing trends and stakeholder relations, as such Cui, Yu, & Yan (2016) notes that organization can bombard users in a local market based on the information they have learnt.
2.3 ROI tangible and intangible
Gavaghan, Garfield, & Armstrong (2014) note that the new systems encourage the betterment of the company through improved stakeholder analysis locally. The goal is to help understand stakeholder preferences before purchasing new stocks. The reason is to help minimize dead stock. Lyons (2008, p. 420) indicates that efficient management provides value-modeling experiences and enhance user of the software. The Return on Investment (ROI) is estimated based on the costs that are avoided from automation toward the information office practices and the dynamic factors that surround an investment. Zhang et al. (2011) explore the climate surrounding automobile engineers when they are making various components. From the research it is clear that the ability of investment returns depends naturally on the quality of information systems. Since information systems, projects expenditure on software installation, hardware provision, maintenance, networking, training and organization orders, it is notable that there is a coherent return on investment given that the team has been making profits through improved communication.
Baghdadi (2006) emphasizes that there are direct merits of using information systems to determine the right partner network in an abroad market. The direct benefits associated with information systems include the ability to handle a large volume of information and to get the increased accuracy of information through the enhancement of better quality information. Carrilio (2008, p. 141) shows that intangible or indirectly, prevailing information systems influence features of activities they serve through the inclusion levels of work and productivity increased work satisfaction. Thus, cost benefits analysis will help to assess whether the system was a viable investment. The Return on Investment (ROI) associated with the project can be calculated by applying the equation ROI= Average (annual net income/ annual investment amount). Gavaghan et al., (2014) calculating the return on investments based on the ability to partner is quoted as
ROI = 134-83/ 83= 0.61
2.4 Business Capability
Radcliff and Smith (2008) emphasizes on the adoption of a data analytic tool as a way to scrutinize which firm to partner with. The data can be corporate or market oriented hence it will be possible to determine how to integrate itself in a market using the infrastructure that the host company has established. Such initiatives enable to forecast and calculate the possibility of running the business. Hence, though an upgrade, the system is touching a new area of the company. The assets of the organization have been developed with time, which has led to the formulation of new markets where the new products are considered a high-risk strategy for the organization.
2.7 Literature Gap
Although the research above has not exhausted all the researchers in the industry, based on prudent and versatile online search, it is clear that most firms, scholars, analysts and business schemers evaluate the strategy based on the performance of the product on the market, very few have looked on the essence of partnering with bankers as a way to safe guard their corporate interests. There is a huge research gap given there is a little focus on the useful position that banks play in building a solid business environment. Basing the research on this side will help determine the options that Nokia has in relation to international expansion.
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