360-degree education approach

Moving away to a more 360-degree education approach, the company also plans to place ‘Green Bins’ across the country (through its priority dealers) where customers can dispose-off their old phones for recycling. It also plans to organise various training and awareness programs to ensure that those working in Nokia ‘take-back’ programs can advise consumers on recycling issues.

So is Nokia’s prime concern its solution to increase control over global mobile market? Or is it just another CSR act? “Nokia’s decision to launch eco-friendly mobile in India is more of building a brand image than a strategy to increase or recover its lost market share,” opines Shushmul Maheshwari, CEO, RNCOS e-Services. But will an improvement in brand goodwill not boost its sales and topline? Pat comes Maheshwari’s response, “No! This move is not expected to benefit the company in increasing its sales or market penetration as Indian consumers have low awareness regarding green products (eco-friendly) as compared to his western counterpart...”

However, Nokia’s ‘green’ move has certain limitations. As Maheshwari also agrees, Nokia’s “dump you old phone” strategy will not work unless it also comes out with exchange policies that either offers a cash discount on replacement of an old set with a new one or with some other offer. Surely, there is one last question left to be answered – will Nokia’s decision help impress Greenpeace in giving it a better environmental quotient next year? Anshul Gupta, Principal Analyst, Gartner disagrees. He says, “Nokia’s decision to launch green phones this year is more than just to prove to Greenpeace to attain the no.1 slot besides showing their undisputed commitment towards environmental issues...” Whatever be the ‘strain and effect’ situation, Nokia’s out to prove a point on a land where it commands an overwhelming 70% market share? Call it “competitor’s envy, consumer’s pride,” shall we?

For Complete IIPM Article, Click on IIPM Article

Source : IIPM Editorial, 2008

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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