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Description: The two largest European makers of telecommunications equipment, Nokia and Ericsson, announced plans Thursday to continue or accelerate cost-cutting efforts in the face of rising competition, internal reorganizations and weak demand in North America.

Source:  NYTimes.com

Date: 07/21/2011

Link:  http://www.nytimes.com/2011/07/22/technology/nokia-and-ericsson-announce-cost-cutting.html?ref=business

Questions for discussion:

  • How can management mitigate the stress on cash flow during this transition period?
  • Could the damage done to the share value have been avoided?
  • What would you advise investors to do now?

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