Nokia could have dominated if they'd jumped into Android when they had the chance
I think Nokia were in trouble before then. I remember reading an article where a Nokia insider confessed that they were just turning out phone model after phone model with no actual plan or segregation between them. What model got what feature was almost random.
The problem with Android seems to be that most people are in a race to the bottom ('cause it's so easy to produce a cheap Android phone). You have to sell a lot of phones at wafer thin margins to stay alive. That, or you have to have some unique feature that no-one else can copy (that consumers actually want) that you can charge way above cost for.