Lets call a spade a spade. But lets also not assume that every Toyota car or Neelkamal chair is an exercise in the ordinary, the uninteresting and the downright mundane.
In a recent article in Time magazine, Nokia has been called upon for its lack of innovativeness.
“You know who are the winners when you have huge innovation,” says Pierre Ferragu, a London-based analyst at investment research firm Sanford C. Bernstein. “It’s anybody but Nokia is just unable to do it.”
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But the article digs deeper. Not every one has to compete in the race for innovativeness, it probes..
Much of Nokia’s emerging market dominance boils down to cost management — a crucial advantage when it comes to selling smart phones to price-sensitive consumers in India and elsewhere. Nokia will likely ship more devices worldwide this year than the next three biggest cell-phone makers — Korean rivals Samsung and LG, and London-based Sony Ericsson — combined. Manufacturing on that scale brings enormous purchasing power, making it possible to squeeze the cost of everything from memory chips to plastic casings.
Take that Sanford.
And now for that bit of customary trumpet blowing,
But Nokia’s real genius is simply in selling phones in more places than any of its competitors. From Indian mountain villages to towns on the dry plains of northern Nigeria, Nokia is everywhere. Supplying the end user with a smart phone in Western Europe and America is typically the job of cell-phone operators who will even subsidize the cost of a device in return for tying a buyer to a monthly plan. Not so in emerging markets, where users typically buy their phone independently. That means manufacturers need their own “very efficient distribution,” says Sanford C. Bernstein’s Ferragu. “And on distribution, nobody comes close to the strength of Nokia.”
Consider India. Years of building its business in the country — the first ever cell-phone call in India in 1995 was carried over a Nokia phone and Nokia-deployed network — has established the company as India’s biggest supplier by a huge margin. Nokia devices are sold in 162,000 retailers in India, more than three times the number for rivals Samsung or LG. Although Samsung is investing heavily to catch up, Nokia claims roughly 60% of the Indian market. So ubiquitous are the firm’s products that many locals refer to their mobile phone as a “Nokia” even when it isn’t. In China, Nokia supplies around 30,000 retailers, far more than its rivals. Across the Middle East and Africa, it has another 120,000 outlets and enjoys a 52% share. (Nokia’s slice of the North American market is approximately 10%; in Europe it’s more than 40%.)
Read the whole article here.

And for a lovely photoessay about the history of the mobile phone, skip here.