A Bomb in Your Pocket? Crisis Leadership at Nokia India (B)

This case addresses the theme of crisis leadership in a multinational enterprise in a powerful way, to help students internalize the critical challenges of a multinational company in an emerging market. In August 2007, a routine product feedback and defect analysis process identified a defective batch of batteries supplied by a Japanese vendor, Matsushita. India happened to be the recipient of the largest proportion of the defective batch. Nokia's corporate communications team, based in Finland, in cooperation with the Indian team, responded with a customary global product advisory. Instructions were made available on the Internet for customers to diagnose a defective battery and get a free replacement. Nokia was shocked to see the antagonistic response from the Indian press to the product advisory and the ensuing mayhem that spread quickly through the country. The head of Nokia India, and his team, had to act swiftly to preserve the company's hard-earned reputation and market share.<br><br>Case A is set as a midnight strategy session at Nokia's Indian headquarters to chart out the way forward. Case B is a short version of what actually happened: how Nokia and the team successfully steered the organization through the crisis and not only survived but used the situation it to create new organizational capabilities.

• Leadership
• Globalization
• Crisis management
• Business communication
• Multinational corporations