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Nokia targets low-income groups, launches cheapest colour phone
Mobile handset manufacturer, Nokia has launched its cheapest colored display phone in India. Nokia 105, which is priced at 1249/- is targeted at the first timers. With this launch, Nokia kept its earlier announced promise that it would not manufacture black and white phones anymore.

The Nokia 105 is believed to be an updated version of highly successful Nokia 1280. The company had sold almost 100 million units of 1280 model. Nokia 105 has some appealing features like FM radio, a speaking clock and flashlight. These features make it ideal for first-time buyers.

After the launch of the phone, Nokia India said 105 model will mark the end of black and white screen era in the domestic phone market. It said that the very human and fresh design of Nokia 105 makes it distinct in this price range, and utterly modern despite a traditional form factor.

The Finnish company was once the largest handset player in the Indian mobile market with almost 75%-80% share. However, in the cut-throat competition with the rivals like Samsung and Sony and with the arrival of indigenous brands like Lava, Zen and Micromax, Nokia lost the grip on its market share in India to the extent of almost 40%-50%.

One of the biggest mistakes that industry watchers think, Nokia had made was its late entry into the dual-sim phones. By the time Nokia realised the potential of dual-sim phones in the market, new comers and lesser known brands had already spread their wings into urban as well as rural areas.

With the launch of Nokia 105, the handset major may be thinking to re-capture the lost market. The potential customers for this phone could be first times, laborers and other low-income groups. The handset may also find some good number of takers in the rural belt.

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