The Finnish telecommunication company Nokia, is struggling because of the competition in the smart phone market. Company has announced a  €1.3bn loss in the first quarter of 2012. The biggest reason of their loss is the excessive competition in the market. After splendid enter of Samsung with Galaxy smart phone, competition between market leader-Apple iPhone and Samsung Galaxy extremely increased the competition in smart phone market. To satisfy the expectations in that kind of environment, Nokia published their last smart phone, Lumia. However, Lumia failed to satisfactions, and the number of sales stayed way behind the expectations. In many markets, Lumia, Nokia’s smart phone, called as a “failure”.

Stephen Elop, Nokia’s chief executive made a comment about the environment of the market. He said that, the business was working its way through a significant company transition in an industry environment that continued to evolve and shift quickly. In order to adapt to rapid change in smart phone industry, Nokia changed their software system in their smart phone products. For example, for Lumia, company quit using their old operating system, Symbian and chose unused Windows Phone software, owned by Microsoft. That sudden change in their software product made a huge fall on the Nokia’s revenues. Clearly, we can say that even after the merger both companies couldn’t succeed and closed the first quarter of 2012 with loss,

The Smartphone Shakeout: Time Is Running Out for a Viable No. 3

http://www.guardian.co.uk/technology/2012/apr/19/nokia-slumps-loss-competition-apple-samsung

http://www.aljazeera.com/business/2011/02/201129144053920207.html

One of the most well known oil company, BP (British Petrol) is suffering because of the crisis in the Gulf.  Nowadays, inside the company, managers are having hard times on coming with a good solution for the crisis. Day by day, the leak in the Gulf is spreading, and this means that damage on BP is also increasing. For this substantial topic, CEO of BP, Tony Hayward gave a panel, and he mentioned about the magnitude of the crisis. He also confessed that they underestimated the magnitude of the Gulf crisis, and later, he interpreted the situation in the Gulf as being “out of the loop”.

Gulf crisis is the most important issue for BP right now. It cannot be considered as an internal mistake in BP, it is now also regarded as an environmental disaster. Inside the coast places which are the most closest public areas in the gulf, are suffering from epidemic health diseases. People are complaining about health diseases and they are charging BP for those health issues.

According to results mentioned above, BP isn’t suffering just because of the leak of oil in the gulf, also company wounded very badly by creating an excessive amount of enviromental pollution around the gulf. Finally, these are all effecting BP’s brand image, and this will create a fatal wound on their sales. Briefly, this can be a great example for the importance of crisis management and contingency planning.

http://www.bp.com/sectiongenericarticle800.do?categoryId=9040158&contentId=7073358

http://articles.cnn.com/2010-06-21/opinion/kimberly.bp.management.crisis_1_bp-crisis-senior-management?_s=PM:OPINION

http://www.bbc.co.uk/news/10281079