Nokia is the Finland based mobile phone manufacturing company, which created new dimensions in the mobile phone technology. This company has introduced such products, which were able to high speed internet and they provide online gaming and multimedia functions. This mobile phone company exported its products in Europe, America and in Asia Pacific region. The company spread its business in about 150 countries and it introduced the best possible technology in the beginning with different features of SMS, internet, MMS, camera and video recorders. (UKessays, 2016)

Political Factors

As Nokia Mobile Phone Company is large company and it is exporting its products in about 150 countries, so every country has its own rules and regulations to deal with trade of the IT products and mobile phone services. The companies do not have any option to follow the rules and regulation, which are imposed on the business and trade activities. In some of the countries, Nokia has to face strict regulations and it has to stop its business there. As far as the business of the mobile phone company in India, the company has to follow minimum wage laws and the company has to pay the same pay to the workers. India has regulated the number of working hours for the employees and the companies have to adhere these regulations strictly (Academic sample papers, 2015). The companies have to follow the taxation policy, government stability and employment laws to follow them in the country, where they conduct their operation. In some parts of the company, the educated work force is necessary for better working and they can take care of the infrastructure of the economy (Ukessays, 2016).

Economical factors

The manufacturing and export of Nokia mobile phones left great impact on the economy of Finland, so government takes great interest in its working and export of its products to other countries of the world. When Nokia dropped out some employees, the government helped the company to secure the jobs of these workers. There is consistent up and down in the current exchange market and the changing rate of currency affected the business. The exchange rates operate across the world so this consistent change leaves economic effects on the business and the company has to face various problems in settling down their financial matters (Academic sample papers, 2015). There is possible threat of recession on the economy of the western countries and this bad economic situation affected the interest rates. Nokia borrowed money from the banks to carry out different business activities and the cost of the borrowing amount has increase (HubPages, Business and Employment, Business Management & Leadership, (2012).

Social Factors

The mobile phone should understand the new trends in the market and also know about their culture. Nokia is mainly supplied in the European markets and the technological developments are made in these markets quickly. They should understand the nature of the people, who buy these products. Some people like to have new technology and features in the smart phone, so they need to prepare such smart phone with innovative features to meet their demand. Some people like to have simple calling mobile phone and simple mobile phone will fewer number of apps are good for them. Some people do not waste their money over expensive smart phones and the trend shows that most of the people follow looking the small and inexpensive handset, so you need to prepare some models having simple calling and SMS facility (HubPages, Business and Employment, Business Management & Leadership, (2012).

Technological Factors

There are various other competitors in the market in IT industry and they are introducing new smart phones with latest technological developments. People like to have new changes and some technology, which can give them more convenience and novelty in the products can make them impress others. So Nokia should enhance the quality of internet, camera, email, call record and run social media and make video calls to others. Nokia has made a partnership with Microsoft for introduction of some innovative apps in its smart phones and this technological development has increased the trust of the clients over these handsets (Academic sample papers, 2015). The new technology leaves its impact on the smart phone and help in minimizing costs of handsets and improvement in the handsets. They need to introduce new technological developments in the handset like online gambling, MP3 players and high definition TVs. The clients can also do online shopping, manage computer aided designs and bar coding, which are big technology advancements in the business to yield better result with the use of latest technology (Ukessays, 2016).

Environmental Factors

Like all other mobile manufacturing companies, Nokia has to follow the rules and regulations, which are made to keep the environment clean. It is the moral obligation of the company to deal with the issue of global warming, which is becoming worse and they should address this issue while disposing of their phones and accessories without damaging the environment (Academic sample papers, 2015). In the smart phones, lithium batteries are used and they should take care while disposing the lithium batteries, as they can become dangerous for the environment, because they have chemical and it can damage the atmosphere. The company should take proper care at the time of disposing of its old handsets or the used products so that they can ensure safety and protection of the atmosphere. 

Legal Factors

Mobile phone manufacturing companies have great competition in the preparation of the smart phones so they have to make them innovative for their clients. They should protect their products and new technology and they should not choose the features of the smart phones of other companies. There are some precedence in which smart phone companies use ideals of other companies, which is the copy right issue and it can be handled legally (Academic sample papers, 2015). The mobile phone has various plants to manufacture new handsets and they should ensure that they are abiding by the rules and regulation and nothing is happening against the law. The company should avoid copying the copy right products or features, otherwise it can be great threat for this company and it can be legally sued. They should give proper attention on the manufacturing of new products and introduce features in software of the handsets, which is the best way to make their smart phone innovative and unique (HubPages, Business and Employment, Business Management & Leadership, (2012).


1.HubPages, Business and Employment, Business Management & Leadership, (2012), PESTEL Analysis of Nokia, available at

2.UKessays (2016) PESTEL Analysis of Mobile Phone manufacturer Nokia, available at

‎3. Academic sample papers, (2015), PESTEL Analysis of Nokia available at

Subscribe For Latest Updates

Signup for our newsletter and get notified when we publish new articles for free!

error: Content is protected !!

Pin It on Pinterest

Share This