Trivia

1
Trivia!!!

• What was the first product ever produced by Sony?
• Transistor radio
• Rice cooker
• Television
• In-line roller skates

2
Sony

• Main Focus is Sony VAIO Computers
• Overview of Company (Sarah)
• SWOT (Daniel)
• Industry Analysis (Yoonwa)
• Strategy Position (Yoonwa)
• Financial Overview (Sarah)
• Organization/Culture (Jason)
• Challenges/Recommendations (Daniel)
• Conclusion (Jason)

3
Mission and Purpose
CEO Sony Nobuyuki Ldei
CEO Sony America
Howard Stringer

• Mission/Purpose
• Sony is dedicated to devising new ideas for
  mobile electronics that can alter lifestyles
  through products that give customers new forms of
  excitement.
• The mission of the VAIO product line is the
  quest for a world in which quality pictures and
  sound can be enjoyed easily through networks.
  They want to create a network in which all of the
  products of this division are extremely
  compatible with one another.
• Vision
• The objectives for the future of Sony
  Corporation are to initiate reforms in order to
  remain a youthful, energetic company for the 21st
  century and to position Sony as a truly global
  company with an operating framework capable of
  withstanding dramatic shifts in business
  conditions. This will allow us to remain one of
  the worlds leading consumer brands.

4
Description of Sony

• Products Information Technology Products
  Division- VAIO personal computers, CLIE handheld
  devices, Sony-branded computer displays, and
  digital photo home printers
• Location Headquartered in Tokyo, with major
  subsidiaries worldwide. U.S. headquarters are in
  New York.
• Size 162,000 employees
• Scope Global

5
SWOT
6
Industry Analysis

• Level of Rivalry The level of rivalry is
  intense among competing firms among Hp, Dell,
  IBM, Gateway/E-machine, Toshiba.
• How each company prices their PCs drives the
  competition, it is who can make the most
  affordable PC.
• Threats of New Entrants Very little because top
  five companies control 45 of Computer Industry.
  These companies have already established a name
  for themselves, and it is very expensive to enter
  the market.

7
Industry Analysis Cont.

• Threats of New Substitute Very minimal. There
  is not going to be anything that is going to take
  the place of a computer.
• Supplier Power High. Manufactures like Dell,
  HP, Gateway all depend on third party suppliers
  of their computer components. For instance they
  all depend on Intel or AMD for their CPUs.
• Power of Buyers High. Consumers dictate who
  succeeds and who does not in the industry.
  Buyers want quality along with customer service
  that has the right price. Without customers,
  there is no business.

8
Strategy Position

• Focus Differentiated
• Geared towards performance in Audio/Video
• Innovative
• High End users

9
Financial Overview

• 2004 U.S. revenue 20,395 million
• Stock price is 35.97/share.
• Stock is consistently going up.
• Stock of other companies in the same market shows
  little change, and is priced lower than Sony.

10
Organization Culture

• Family
• Responsibility
• Trust
• Security
• Development
• Loyalty
• Reward
• Risk-taking innovative engine
• Measured risks
• Mistakes are okay
• Speak up
• High internal mobility

11
Organization Structure

• Geographically structured.
• Main headquarters based in Tokyo, Japan.
• U.S. regional headquarters based in New York
  City.
• Regional headquarter operates under conglomerate
  structure.
• U.S. businesses include
• Sony Electronics Inc.
• Sony Broadband Entertainment
• Sony Pictures Entertainment
• Sony BMG Music Entertainment
• Sony/ATV Music Publishing
• Sony Computer Entertainment America Inc.
• Sony Disc Manufacturing and Sony Entertainment
  Distribution
• Sony Connect Inc.
• Sony Plaza Public Arcade and Sony Wonder
  Technology Lab (New York)
• Metreon -- A Sony Entertainment Center (San
  Francisco)
• Currently undergoing reorganization.

12
Organization Structure
13
Sonys Key Challenges

• Competition in established computer market
• Support for audio/visual centered computing -
  Practical computer versus Toy
• Americas lack of broadband coverage - So-net in
  the US?
• Timing the release of networked products
• Creating a need for the home network -Gateway
  Products - External Compatibility

14
Recommendations
15
Conclusion

• Present
• Consumer electronics giant
• Success
• Walkman
• Trinitron Television
• PlayStation
• Future
• Broadband entertainment company
• Success?
• Digital home network