Analysis of competition in the mobile phone markets of the United States and Europe

dc.contributorAalto Universityen
dc.contributorAalto-yliopistofi
dc.contributor.authorHusso, Mika
dc.contributor.departmentDepartment of Management and International Businessen
dc.contributor.departmentJohtamisen ja kansainvälisen liiketoiminnan laitosfi
dc.contributor.schoolKauppakorkeakoulufi
dc.contributor.schoolSchool of Economicsen
dc.date.accessioned2011-11-14T11:24:11Z
dc.date.available2011-11-14T11:24:11Z
dc.date.dateaccepted2011-09-20
dc.date.issued2011
dc.description.abstractCompetition in an economic context is a widely studied phenomenon with a significant body of accumulated research and theory. However, competition in the mobile phone industry, despite its prevalence in public discussion, has received significantly less attention in academic research. Within the international business (IB) context there are very few academic studies that seek to analyze and compare the different geographical mobile phone markets from the viewpoint of competition. This thesis examines competition in the mobile phone markets of the United States and Europe in light of interviews and secondary data covering years 2002 - 2011. The framework used for the analysis is founded on concepts drawn primarily from industrial organization (IO) economics, IB theory and micro-economics. The first part of the thesis gives an overview of the U.S. and European mobile phone markets and the second part focuses specifically on Nokia, its actions and performance on the U.S. market. The findings reveal that the U.S. and European mobile phone markets are fundamentally different. Firstly, while in Europe several parallel sales channels exist, the U.S. market is dominated by mobile operators that control access to the end customer. Secondly, in the U.S. market phones are generally sold heavily subsidized and bundled, and either under the operator brand or co-branding agreements. In addition, the U.S. market has historically split in two technologies, GSM and CDMA, as opposed to Europe where GSM is the dominant technology. The analysis of Nokia in the United States shows that the company’s problems appear to be related to the very characteristics of the U.S. market and the way Nokia has reacted. First and foremost, Nokia has had a difficult relationship with the operators who have required tailoring, technology variations etc. In addition to its focus on GSM, Nokia seems to have refused to tailor for operators and insisted on sales under the Nokia brand. Finally, over the years, Nokia’s situation has been complicated by occasional disputes related e.g. to immaterial property rights and recently problems in developing and having operators represent especially Nokia’s high-end models.en
dc.ethesisid12638
dc.format.extent112
dc.format.mimetypeapplication/pdfen
dc.identifier.urihttps://aaltodoc.aalto.fi/handle/123456789/770
dc.identifier.urnURN:NBN:fi:aalto-201111181682
dc.language.isoenen
dc.locationP1 I
dc.programme.majorInternational Businessen
dc.programme.majorKansainvälinen liiketoimintafi
dc.subject.heleconkansainväliset yhtiöt
dc.subject.heleconinternational companies
dc.subject.heleconmatkapuhelimet
dc.subject.heleconcellular phones
dc.subject.heleconkilpailu
dc.subject.heleconcompetition
dc.subject.heleconmarkkinat
dc.subject.heleconmarkets
dc.subject.heleconYhdysvallat
dc.subject.heleconUnited States
dc.subject.heleconEurooppa
dc.subject.heleconEurope
dc.subject.keywordcompetition
dc.subject.keywordmobile phone industry
dc.subject.keywordUnited States
dc.subject.keywordEurope
dc.titleAnalysis of competition in the mobile phone markets of the United States and Europeen
dc.typeG2 Pro gradu, diplomityöfi
dc.type.dcmitypetexten
dc.type.ontasotMaster's thesisen
dc.type.ontasotPro gradu tutkielmafi
local.aalto.idthes12638
local.aalto.openaccessyes
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