Citation

Distributed Attention and Shared Emotions in the Innovation Process: How Nokia Lost the Smartphone Battle

Timo O. Vuori, Quy N. Huy

Administrative Science Quarterly (2016)

TL;DR

Nokia leadership understood iPhone significance immediately in 2007

Academic analysis of Nokia's decline from 50% smartphone market share in 2007 to below 3% by 2013. Documents how distributed decision-making authority among 15-20 senior executives with veto power created strategic paralysis.

Provides empirical evidence that large census size doesn't protect against drift when effective decision-making authority is concentrated. Random events (which executive had attention, which demo worked) determined direction more than systematic analysis.

Key Findings from Vuori & Huy (2016)

  • Nokia leadership understood iPhone significance immediately in 2007
  • 15-20 executives with veto power created strategic paralysis
  • Random events (attention, demos) dominated systematic analysis

Related Mechanisms for Distributed Attention and Shared Emotions in the Innovation Process: How Nokia Lost the Smartphone Battle

Related Companies for Distributed Attention and Shared Emotions in the Innovation Process: How Nokia Lost the Smartphone Battle

Tags