Motorola - is climax coming?
Sunday, February 03, 2008
When a company announces that it is going to do away with one of its key business units it is definite to impact the stock price in exchange. And if the stock rises by something like over 10% then it surely rings a bell (and in case you haven't noticed, even the trade volume is high). It doesn’t take much of analysis to understand that Motorola had been doing badly in handset business. Its only ticket to cash registers was Razr, except for that one model, rest all just came and were lost in clutter. After grabbing world market share of 23% in 2006 on momentum led by its Razr phone, the company has lost nearly half that as rivals outpaced it with successful new products. So it was not surprising to see Motorola slip to number three spot behind market leader Nokia and now runner up Samsung.
I personally feel that Motorola has been too laidback, they are trying to catch the market based on some engineering innovations and aren’t really able to connect to the normal consumer who can give them volumes. Nokia relies on design innovations rather than engineering innovations in the electronic part. The ease of operation and sturdiness has been two main selling points of Nokia. If you have used Nokia once, you can use almost all Nokia phones as they are similar on usage, unlike other phones which are difficult to learn and the interface change with the handset.
Motorola has come up with another model W230. Looks like the handset was launched after a careful gap analysis of features and market need. With features like expandable memory upto 2GB,MP3 player,FM with recording, large phonebook memory and USB1.1 data connectivity, its loaded with features; I felt the handset was priced quite aggressively at Rs.3,400. The ad for the set is again a very typical of Moto phones with TG of middle class. It’s targeted at youth and boils down to the same word - Attitude. But it is actually a nice ad than the earlier one where father loses his head!
Labels: Brands, Business, Launch, TVC
posted by Jas @ 2:21 PM,
2 Comments:
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At February 05, 2008 7:32 PM,
Pilot-Pooja said...
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This comment has been removed by the author.
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At February 05, 2008 7:35 PM,
Pilot-Pooja said...
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Very true..
All Nokia phones start displaying a monotonous behavior after a certain time..!
Nokia has a big market in Europe..and has something for all sorts of people..plus its advertising strategy is good..
On a personal note, i have never preferred any nokia phone over its competitors.!
Good luck for Moto's W230!
