Mgt 465
Cis319 - The world’s largest mobile phone manufacturer Nokia is not recession proof, after all. Earlier Nokia has been able withstand large economic slumps almost without a sratch, but Friday it issued a warning of diminishing shipments, sales and profitability.
Cis 319 - However, Nokia believes that it will come out of the recession in better shape that its competitors and it will strengthen its market share.
Nokia’s rather scant press release is below:
Mgt465 - Espoo, Finland - Nokia today commented on market conditions impacting its business as well as updated its fourth quarter 2008 outlook and gave a preliminary outlook for the full year 2009. In the last few weeks, the global economic slowdown, combined with unprecedented currency volatility,has resulted in a sharp pull back in global consumer spending. The weaker consumer spending has impacted many industries, including the global mobile device market. The mobile device market has also been negatively impacted by the more limited availability of credit, which has limited the purchasing ability of some of our trade customers.
Mgt 465 - Updated Outlook for the Fourth Quarter 2008:
• As a result of the rapid change in global consumer spending, which has impacted the mobile device market, Nokia now expects that the industry mobile device volumes will be lower in the fourth quarter 2008 than previously expected. We now estimate fourth quarter 2008 industry mobile device volumes will be approximately 330 million. This is sequentially up from the estimated 310 million in the third quarter of 2008. This would result in a current estimate of industry mobile volume of 1.24 billion in 2008, instead of the earlier estimated 1.26 billion units, up from 1.14 billion units Nokia estimated for 2007.
Mgt 465
Cis 319 - However, Nokia believes that it will come out of the recession in better shape that its competitors and it will strengthen its market share.
Nokia’s rather scant press release is below:
Mgt465 - Espoo, Finland - Nokia today commented on market conditions impacting its business as well as updated its fourth quarter 2008 outlook and gave a preliminary outlook for the full year 2009. In the last few weeks, the global economic slowdown, combined with unprecedented currency volatility,has resulted in a sharp pull back in global consumer spending. The weaker consumer spending has impacted many industries, including the global mobile device market. The mobile device market has also been negatively impacted by the more limited availability of credit, which has limited the purchasing ability of some of our trade customers.
Mgt 465 - Updated Outlook for the Fourth Quarter 2008:
• As a result of the rapid change in global consumer spending, which has impacted the mobile device market, Nokia now expects that the industry mobile device volumes will be lower in the fourth quarter 2008 than previously expected. We now estimate fourth quarter 2008 industry mobile device volumes will be approximately 330 million. This is sequentially up from the estimated 310 million in the third quarter of 2008. This would result in a current estimate of industry mobile volume of 1.24 billion in 2008, instead of the earlier estimated 1.26 billion units, up from 1.14 billion units Nokia estimated for 2007.
Mgt 465