“Nokia will close its two flagship stores in the United States, a market where the world’s top cellphone maker is struggling to gain ground,” Tarmo Virki reports for Reuters. “Nokia said it would close the stores in New York and Chicago.”
“Improving the company’s position in the U.S. market has been a priority for Chief Executive Olli-Pekka Kallasvuo since he started to run Nokia in 2006,” Virki reports. “Since then, however, the company’s U.S. market share has eroded to well below 10 percent.”
Nokia is also closing one of its two stores in London and its Sao Paolo store… ‘This confirms a turn in Nokia’s retail strategy. It has failed to replicate Apple’s success with this format of store,’ said Ben Wood, director of research at British consultancy CCS.”
Full article here.
MacDailyNews Take: Olli-Pekka Kallasvuo is a perfect CEO for Nokia. They’re both failures.
“iPhone is a niche product.” – Olli-Pekka Kallasvuo, April 17, 2008
Want to watch Nokia’s decline? Don’t blink.
Verilöyly.
[Thanks to MacDailyNews Reader “JES42” for the heads up.]
I wonder if the leasing companies will be keeping Nokia’s deposits since they have to clean so much blood off the floors.
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I hope they wear rubber gloves.
@siverhawk…
They’ll hire the guy from Pulp Fiction to do clean-up.
That’s a heck of a spin MDN. I’m getting dizzy…
I don’t think Nokia is failing just because they closed three stores. (New York, Chicago, London) Does any other handset maker — that only makes handsets and communication devices — even have a store?
wow. who’d a thought a company that sold the exact same product for 10 years would face competition and declining margins!
Mr. Reeee,
that would be Mr. Wolf (Harvey Keitel) the fixer
Nokia isn’t failing because of three closed stores, but the three closed stores are a symptom of Nokia’s failure, just like the embarrassments of the “Comes-with-Music” debacle, the Ovi fiasco, the dizzying array of cell phone models (over 200) and mobile OSes (is it 3 or 4 different OSes they are using now?), utter lack of interest in Symbian as a Mobile OS by anyone but Nokia, complete lack of penetration in the US mobile market and inability to create a app store, music store or SDK that anyone wants to use or cares about.
Otherwise, yes, complete spin by MDN.
Nokia rules!! Long live Apple……. errr, I mean Nokia.
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“The development of mobile phones will be similar in PCs,” predicts Anssi Vanjoki, Nokia’s chief strategist. “Even with the Mac, Apple has attracted much attention at first, but they have still remained a niche manufacturer. That will be in mobile phones as well.”
http://macdailynews.com/index.php/weblog/comments/23194/
Strategize that byatch…
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Floundering Finns falling flat and facing failure? Flagging from fragmented features or fortuitous fluke?