Finally some air to breathe after a hectic week of studies and accomplishing status "finished" for three more subjects got me thinking about my blog. The concept of B.O.P (Bottom of pyramid) has got many multinational firms thinking who are looking out to expand their business. Mobile handset industry seems like a promising industry in such a sector with the need for mobile handset changing from a luxury to a necessity.
As the devices get equipped with more and more features, industries-once separate-find themselves competing against each other. The growing use of the 3G standard mobiles is a major step towards convergence leading to a change in focus towards emerging countries such as China and India. The emergence of wireless local networks (WLANs and WiMax) and development of VoIP (Voice over Internet Protocol) nurture convergence of mobile handset devices. Mobile handsets market once easily distinguished market is slowly falling to be a part of consumer electronics market with slower growth rate, intense price pressure and intense competition.
Convergence is the single most important trend to reshape the mobile handset industry. It is technology driven and is taking place in four main areas: devices; operating systems; wireless network standards; and wireless, wireline, Internet, and cable networks.
Once separate markets, personal digital assistants (PDAs) and mobile phones are no longer distinct devices. Both markets have appropriated the other market's functions and features to such an extent that the two industry segments have blurred. As an increasing number of handsets incorporate digital cameras as a standard feature, for example, such handsets are increasingly replacing cameras altogether.
Once separate markets, personal digital assistants (PDAs) and mobile phones are no longer distinct devices. Both markets have appropriated the other market's functions and features to such an extent that the two industry segments have blurred. As an increasing number of handsets incorporate digital cameras as a standard feature, for example, such handsets are increasingly replacing cameras altogether.
This situation in this industry like other saturated industries has lead to the emergence of three business models: global leaders, cost leaders and followers.
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