Nokia has chosen to give up large-scale European and Chinese market share to protect their profit margins, while a move to Motorola, Nokia created a huge market opportunity.
Nokia choose to give up in order to protect their profit margins, making the Nokia’s earnings per share 0.06 euros higher than expected. This is referred to as short-sighted, Motorola, Nokia will give away to create a huge market opportunity. Obviously, the third quarter of 2011 Nokia’s smart phone sales will drop to 17 million units in the fourth quarter will be reduced to 10 million units, or even lower.
writer: Cityz. http://www.businesszz.com/