Nokia faces stiff local competition from domestic phone makers in China, and key for its success is the integration of services like social networks and ecommerce, tells strategy consultant Benjamin Joffe in “InFlexWeTrust.”
“Nokia faces very stiff high-quality competition including local phone makers who offer a mobile experience plugged into all sorts of services,” said Benjamin Joffe, who runs strategy consulting firm Plus Eight Star in Beijing. “So it depends how good an integration they can do with services like social networks and e-commerce.”
China’s biggest social media platforms already support Windows Phone. Renren Inc., a social networking service, is listed on the Windows Phone Marketplace, as is Sina Corp.’s Sina Weibo, a microblogging service, and the QQ instant messaging system from Tencent Holdings Ltd.
Renren and Sina have worked with phone maker HTC Corp. (2498) to offer handsets with preloaded apps and in some cases special buttons to access the services, while companies such as Xiaomi Corp., which sells high-end handsets running a customized version of Google Inc. (GOOG)’s Android for less than half the price of an iPhone 4S, aim to make money later on software and services.