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Marketing Management | "Challenges in Creating Brand Equity for Products with Short PLC"

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Challenges in Creating Brand Equity for Products with Short PLC
(Product Life Cycle)

- by Saikat Dey & Madhulika Verma *

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Page - 4

The nine basic components of cell phones viz. - Circuit Board, LCD, Battery, Keypad, Antenna, Microphone, Speaker, Plastic and Accessories are then obtained in the manufacturing stage of the mobile PLC.
Once the product passes the manufacturing stage, it is then Packed and Transported via different distribution channels. The mobile then sees the light of the Useful Life stage of the mobile PLC, wherein consumer can keep the same number even after changing the service provider. To extend the useful life, it is suggested to use the same company for continuing the services. Finally, the cell meets the End of Life stage.

Nokia as a Company

Nokia, a Finland-based company, is the largest manufacturer of mobile and mobile devices. Nokia was established in 1865 as a wood pulp mill. By 1990s, the company dabbled into mobile phone industry, and today it has made its presence felt across the globe so much so that it is the sixth most valued brand of the world.

Though mobile phones have short PLC, owing to changing consumer demands and fast-paced technological developments, Nokia has been successful in capitalizing on the growth and maturity stages of PLC to the best and creating a niche for itself.

With 'Think Global and Act Local' being the punch-line for every company, even Nokia has not been far behind in incorporating it in its strategy.

In India where cell phones are viewed as mere handy device for easy communication and access, it was difficult for Nokia to establish its high technology mobiles in the mass market and change the mindset of the masses. To surmount these kinds of problems and influence the mindset of the people, Nokia came up with advertisement for its 6600 model, where it conveyed that mobiles are not just meant for talking over but it is meant for more than that. Also with competing brands like Motorola pricing its products at lower prices, it was expected that Motorola would dominate in the Indian market.

However, Nokia introduced and launched its mobiles for all segments of the market and catered well to the demands of consumer varying from a basic mobile phone model to voice-centric, colored-screen, camera-fitted, MP3, blue-tooth, infra-red and multi-media enabled cell phones.

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* Contributed by: -
Saikat Dey & Madhulika Verma,
ICFAI Business School, Gurgaon.


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