Capstone Paper

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SWOT Analysis

The word SWOT means Strengths, Weaknesses, Opportunities, and Threats. Therefore SWOT Analysis refers to a strategic planning framework used in the evaluation of an organization, a plan, a project, or a business activity (Gruel, 2017). SWOT Analysis is described as a significant tool for any situation analysis that would help the managers to identify organizational factors and environmental factors (Gruel, 2017). SWOT Analysis, therefore, has two dimensions which include: Internal and external dimensions (Gruel, 2017). The internal dimension involves organizational factors, also strengths and weaknesses whereas the external dimension involves environmental factors, also threats, and opportunities (Gershon, 2020).

The SWOT analysis is the process involves four sections which include the following: Strengths, Weaknesses, Opportunities, and Threats and it is the actual meaning of it. Strength and weakness are the internal factors whereas opportunities and threats are the external factors and measure which are more crucial characteristics in an organization (Gruel, 2017). The finding conducted from SWOT analysis it's of more important as they enable the organization to understand the crucial and ideal parts for a successful organization. The finding is more important as it helps to resolve the challenges that arise from the organization due to the failure of not knowing the SWOT analysis (Gruel, 2017). In the SWOT Analysis process, the strong and the weak aspects of company are identified by the examining of the research elements in its surrounding while the surrounding opportunities and threats are determined by researching the elements outside its surrounding.

Challenges facing Nokia according to SWOT Analysis

The first and the greatest challenge facing the Nokia organization is the existence of weakness in their strategic planning. The Nokia Company had a very strong performance during the early years of the twenty-first century (Gershon, 2020). It was one of the greatest market leaders in many market sectors. This challenge led to a lapse in the strategy of the organization. The company failed to notice or to take action when the consumer needs started changing. This finally led to the loss of momentum and market leadership in all market sectors (Gershon, 2020). If the company would have kept a close eye on their strategic planning processes, there would have managed to fight off competition from other company like Apple and Samsung. The failure to kept eye on a note that consumers were now looking for Smartphone devices led to a loss of initiative in the company (Gershon, 2020). Strategic planners in the company should find a way to overcome the challenge that has been foreseen and these changes in the marketplace.

Nokia Company also faced weak innovation management. The company goes on and failed in the area of innovation management. Where all indications at the time were that the Nokia Company was the global leader in mobile phone technology. This made the company consideration regards to the development of new technologies to satisfy consumer needs (Gershon, 2020). Nokia Company had outstanding innovations but lacked an overall strategy for harnessing this capacity. This made the company lose as companies such as Apple and Samsung, which are known for their innovative prowess and this makes them continue to grow in their market segments (Gershon, 2020). The operational inefficiency of the company also led to a loss of market share in the period under review of their market segments and this makes other companies overcome them.

The Strength of the company that is suitable in resolving the challenge the company face

The biggest strength of the Nokia Company is that of its brand name. Where many consumers often opt for Nokia more than any other brand because of the reliability, durability, and creativity of their phones they provide (Gershon, 2020). Nokia company have many skilled and qualified team that collaborate with other company like Microsoft as it enable them to became solve the challenges they are facing due to the acquisition deal with expert (Gershon, 2020). Also, the products that are offered by the Nokia Company and are available in all price ranges.

In conclusion, SWOT is an important tool to understand the health of an organization to success. It also allows for decision-makers to identify not only where an organization stands, but also where they need to improve within the company (Gruel, 2017). This gives them the ability to be proactive people in the market while helping them remain competitive and increasing their market segments.

References

Gruel, E., & Tat, M. (2017). SWOT analysis: a theoretical review. Journal of International Social Research, 10(51).

Gershon, R. A. (2020). Media Management and Strategic Planning. In Media, Telecommunications and Business Strategy (pp. 251-275). Routledge.