SWOT Analysis For Nokia Company And LM Ericsson Company

Various companies apply SWOT analysis as their strategic planning tool to execute a situational analysis for the entity. The technique is a significant tool to analyze the current strengths, weaknesses, opportunities, and threats that face business operations of any given organization. In this essay, the paper shall discuss the SWOT analysis of Nokia Company and that of LM Ericsson Company.

SWOT analysis for Nokia Company

Nokia Company is one of the leading vendors of mobile phones in the world. The entity is a Finish information and communication corporation that provides various telecommunications equipment and services to their consumers in the industry. The firm also has its motor of connection people due to the reliability and durability regarding their services and its mobile brand’s name is the biggest strength of the company, where the majority of their consumers often opt for Nokia as compared to any other brand. Such a preference is due to their reliability, and the creativity of their phones (Mehmood, 2014 p. 538). However, one of the weaknesses of the company involves poor sales made globally as compared to other firms such as Techno and Samsung, hence, generating low income and profits that could sustain their operations. Additionally, Nokia products are costly and not affordable for the lower class or even the middle-class consumers in the market. Such a weakness typically impacts their searches and purchases negatively.

On the other hand, the firm possesses opportunities for expanding to a range of products and also the prices of their commodities. Further, the company has recently brought in modern features to their phone products and applications to their OS windows. It is also important to note that Microsoft and Nokia deal is a win-win situation, where such a take by both companies provides excellent opportunities for the firms to utilize their resources (Mehmood, 2014). Some of the threats that the firm has faced in the industry encompass string competition from other mobile companies such as Techno and Samsung, both preferred by millions of global consumers in the market. As a result, the rival makes it hard for Nokia to expand their market share. 

SWOT analysis for LM Ericsson Company

LM Ericsson is one of the leading firms in the industry, having numerous strengths that enable it to survive in the market. Such forces allow the entity to protect their market share and also to penetrate into new markets. For instance, the corporation has over years invested in creating a strong brand portfolio enhancing the expansion of the institution into new product categories. Additionally, the free and robust cash flow of the firm provides resources to expand the operations of the company into new projects in the market. One of the weaknesses of the firm includes the gaps that exist in the product range that get sold by the entity (Søilen, 2017). Lack of choice in such products gives competitors a niche in the market to venture into the industry. The entity is incapable of tackling the challenges of new competitors, thereby losing small market share in the niche categories.

Søilen (2017) further suggests that a stable and free cash flows of the firm provide significant opportunities to invest in various segment products and technologies along with other product categories, thereby improving the operations of their activities. Other new environmental policies generate news opportunities, thus creating a better playing grounds for all product players in the industry, hence present a vital opportunity for the firm to drive home advantage in modern technology and also market share. The company, however, faces threats of lawsuits in a spectrum of markets with constant fluctuations concerning the standards of their products. Besides, the company operates in different global countries, thereby getting exposed to different currency fluctuations particularly in fragile political environments of multiple international markets.


Mehmood, F., Hassannezhad, M. and Abbas, T., 2014. Analytical investigation of mobile NFC adaption with SWOT-AHP approach: A case of Italian Telecom. Procedia Technology12, pp.535-541.

Søilen, K.S., 2017. Why care about competitive intelligence and market intelligence? The case of Ericsson and the Swedish Cellulose Company. Journal of Intelligence Studies in Business7(2).

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