Industry+Life+Cycle

+The timeline that I made for the Industry Life Cycle would not paste onto this page but it is in my word document.


 * __Industry Life Cycle__**

The above timeline shows the mobile phone production industry life cycle. There have been significant changes in the industry since the first mobile phone was invented and used in 1973. The most important changes in the industry have been the many different models of mobile phones. Each cell phone manufacturing company works to be the best in innovation for the industry which leads to many mobile phones being produced annually. Many consumers seek to buy the newest and best mobile phone in the industry, so it is extremely important for these companies to invent the best mobile phone for the current consumers. Some capabilities that have been added to this industry in order to keep competitive advantage and market share include text messaging, cameras, internet capabilities, hands-free accessories, music players, visual voicemail and the ability for mobile phones to run thousands of applications for different services.

The mobile phone manufacturing industry is currently in the Mature Life Cycle Stage. This stage occurs when the industry is almost completed saturated and there aren’t many more potential customers available. In most instances the only demand for new products is replacement demand, which in the mobile phone manufacturing industry means new and innovative products. During this time it would be difficult for any new entrants to come into the mobile phone industry; even if it were possible for them to enter, it would be next to impossible for the company to hold in market share.

Nokia has sustained a competitive advantage in this industry because the company has built brand recognition, much like Apple has done. Consumers look to Nokia for not only new and innovative mobile phones but also because they know the quality of the product they are buying are excellent. In the mature stage of the industry life cycle it is important for Nokia to not only improve and invent new mobile phones but it is necessary to put value-added services into the making of these phones. Technology is an important part of the mobile phone industry however without these certain value-added services, consumers will not be willing to replace their mobile phones or enter into the market.

It is extremely important for companies to always recognize the industry life cycle stage they are currently in. Nokia as a company has been able to realize the life cycle stage they are currently in and focus their marketing, research and development on a certain market group. These important steps have allowed Nokia to maintain significant market share in the mobile phone manufacturing industryc