Nokia, the world’s largest mobile phone company, on Monday appointed Olli-Pekka Kallasvuo company executives as the next President, replacing incumbent Jorma Ollila, and succession issues draw a full stop.
Kallasvuo is 52 years old, is the company’s head of mobile phones, which is Nokia’s largest Department. The company said in a statement, Kallasvuo will in October this year as the company’s President and Chief Operating Officer in June 2006 as Chief Executive. Kallasvuo in Nokia, for 25 years, experienced, had held the post of Chief Financial Officer, since he took over the mobile phone service in January last year, the company’s market share has grown significantly.
On Monday, Kallasvuo committed under his leadership the company will be more positive. In Finland Espoo, at a news conference, he said Nokia “is supposed to be leaders of change, rather than a follower.”
Kallasvuo became one of the mobile phone industry’s most influential CEO. His predecessor, Mr Ollila, 54, served as Chief Executive of Nokia had for 13 years, with the introduction of low price cell phone, he will Nokia from a consumer electronics manufacturer into today’s mobile phone giant, to the company can be described as remarkable feats. However, in recent years, Mr Ollila has been under criticism from analysts and investors, because Nokia launched failed to take the lead in a new stylish design, with camera-enabled phones, results were forced to walk behind the competition, lost a lot of customers. He once said he would probably be next year before the departure.
Through the adoption of measures, Nokia’s market situation is improving. In 2004, nine months after the company’s market share continues to grow, when at the end of 33% of the total number of phones sold per cent of the world. 05 in the first quarter, the number dropped to 30.4%, and a rebound in the second quarter. July 21, Nokia claimed as fierce competition lower prices, second quarter profit than expected are low.
“Due to the backlog of problems are solved, money started working capital,” analyst Richard Windsor of Nomura international in London said. But Nokia still follow the next step in its strategic plan, with the introduction of new handsets to attract consumer buying. “They need to let the market see Nokia’s creativity,” Windsor said.
Pekka Ala-Pietila,48 age, current Chairman of Nokia, which is one of the top leaders of the candidate, said Monday he will retire in October. He told reporters he has no willingness to be the highest executive, after 17 years in the industry he had been “no longer has a share of enthusiasm”.
Mr Ollila “to step aside one of his loyal subordinates to take this seat”, Stanford c. Bernstein&Company Paul Sagawa, an analyst said, “you won’t see United States CEO to do, but in Finland it is quite normal. ”
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Translation and arrangement: passion1999
News source: the New York Times