apa writing business strat

SWOT ANALYSIS

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SWOT analysis is the critical technique used in understanding the concept of strength and weaknesses and identification of both opportunities available and the risks associated with specific prospects. Ideally, SWOT analysis is crucial in business as it enables carving of the sustainable niche in the market as well as the development of a career in a way that takes the best advantage of opportunities, talents and abilities. Albert S. Humphrey invented SWOT analysis in the 1960s since then its deployment across the sectors of business has seemed efficient in strategy formulation. It is integral to understand that SWOT analysis formulation has proved beneficial both in project management and marketing as well.

Nokia and Smartphone Industry

Nokia Company operates in a very competitive industry which is hugely fierce competition within the markets and high investments as well amidst other principal organisation of the world. Fundamentally some of the rival companies of Nokia include Apple with a market share of 40%, Samsung Android with a market share of 24.3%, HTC with a market share of 7.4% and Motorola with a market share of 6.9%. Imperatively it is paramount to understand that Nokia was known t be leading cell phone manufacturer in the world before it suffered the rapid decline in market share and massive losses in its sales (Antony, 2012). By all accounts with the great feature of iPhone and Samsung phones, these companies are on the upper hand on Nokia in the high-end market following their latest products. It is paramount to understand that regarding durability Nokia's Lumia 1020 continues to hold their title. Competitive rivalry is a significant threat to Nokia since with regards to smartphone market they are behind with lower market share and rejuvenating the market share will require a lot of work in the market where biggest companies like Apple and Google have taken centre stage.

Elements of SWOT Analysis that are Essential in Strategic Planning in Nokia.

i. Strengths- Ideally the power of the company is one of the crucial components since this is where the foundation of the organization is built (Antony, 2012). By all accounts it is the strengths of the company that will provide a competitive advantage over other competitors they may include; a large number of assets, best low-cost distributor, strong brand name etc.

ii. Threats – This is one of the significant elements since it determines success or loss of an organization therefore for every opportunity implemented risks must be examined and comprehensive counteracting approach executed.

iii. Weaknesses- Like strength this element focuses on factors that are internally within the organization. Identification of gaps will contribute profoundly to leveraging the company's performance. Hence Nokia should focus on implementing such criterion.

iv. Opportunities- With opportunities, one can determine the organization objectives. For Nokia, company opportunities can come from the potential partnership, favorable market conditions, consumer demand that is currently not being met etc.

SWOT data is a requisite in strategic planning, decision making and brainstorming purposes hence identification of strengths is elementary in making sure the organization do not lose its competitive advantage (Mehmood, 2014) Hence SWOT data is beneficial in addressing complex strategic situations by mitigating the quantity of information thus improving decision making.

Primarily, Creativity and innovation are critical factors of organization prosperity. SWOT analysis is, therefore, an effective tool in determining potential success in such innovative ideas within the organization since it covers opportunities, threats, risks and weaknesses of the organization.

Reference.

Antony, J. (2012). A SWOT analysis on Six Sigma: some perspectives from leading academics and practitioners. International Journal of Productivity and Performance Management, 61(6), 691-698.

Mehmood, F., Hassannezhad, M., & Abbas, T. (2014). Analytical investigation of mobile NFC adaption with the SWOT-AHP approach: A case of Italian Telecom. Procedia Technology, 12, 535-541.