Sony Presentation

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• Sony Presentation
• Michael Baker
• Jaron Bird
• Andrew Peterson
• Taylor Shumway
• Matthew Tuttle
• Josh Vanrij

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HISTORY
Masaru Ibuka, left, with Akio Morita started
Tokyo Telecommunications Engineering Company in
1946
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HISTORY

• 1955 Changed name to Sony sound

1993 Sony Computer Entertainment
1960 Entered U.S. Market
1986 Sony Europe G.m.b.H
2002 Sony merged with AIWA
1950
2005
1970-74 Opened multiple manufacturing facilities
in U.S. and Canada
2001 Sony Ericsson Communication
1956 Produced Japans first transistor radio, the
TR-55
1988-89 Acquires CBS Records Columbia Pictures
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HISTORY
Worlds first Mini Disk player
1955 Japans first transistor radio. TR55
1985 First 8mm video recorder.
1960 Worlds first Transistor TV. TV8-301
1982 Worlds first CD player. CP101
1950 Japans first magnetic tape recorder.
G-Type
1965 World's first home-use open-reel VTR.
VC-2000
1994 Playstation Launched.
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Financial Conditions

• Highest annual revenues in industry with 66
  billion.
• Highest number of employees 162,000
• Increasing revenue growth, but troubles with
  increasing profits and returns.
• Low accounting ratios for industry
• Low profit margin

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Industry Type

• Industry type Consumer Electronics
• Top Competitors
• Phillips
• Matsushita
• Sanyo
• Growing industry as technology advances

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Organizational Structure

• Related-linked diversification strategy
• Centralized hub
• Reward employees for creativity
• Value-Band system
• MVP award
• Innovative teams
• Cross-divisional and cross-functional teams

8
Macroenvironment

• Sony charges a premium on their products
• Very successful in the wealthy nations
• Sell older products to developing countries
• Marketing toward women to get a greater market
  share
• i.e. video games and scary movies
• Price policy is being questioned

9
Industry Environment

• Threats
• Competition Mutual forbearance with Samsung
• New entrants Undifferentiated products
• Substitutes Technology is always changing
• Buyers Low switching costs
• Suppliers Intel and AMD
• Sony has a first mover advantage

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Strategic Condition

• Mission statement
• To experience the joy of advancing and applying
  technology for the benefit of the public
• Visible competitive strengths" and Hidden
  competitive strengths."
• Hidden factors and internal strength
• Hard to imitate

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Strategic Condition

• Conglomerate diversified into many markets
• Insurance, real estate, music, engineering
• Alliances that add value
• Sony and Konica Minolta
• Numerous mergers and acquisitions
• Global strategy
• Directors over geographical and departmental
  areas worldwide

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Recommendation

• Regain cost leadership strategy
• Through
• Alliances
• Shared activities
• Benefits and disadvantages