Sony Competitive Analysis

Competitive Analysis

Sony

Financial Status and History

Revenue growth same as industry average

Likelihood of Entry or Retaliation

The first digital cameras for consumer use were the Apple QuickTake 100 (February 17th, 1994) and the Kodak DC40 (March 28th, 1995). Sony entered the imaging market with their first digital camera, the CyberShot Digital Still Camera in 1996.

In April of 2001, Kodak announced its first digital photo printer.

In August of 2001, Sony announced its first digital photo printer (was smaller and more lightweight than Kodak's).

Sony is in a different industry than Kodak. Sony belongs to the Audio/Video Equipment Industry where Eastman Kodak is in the Photography Industry. Sony, however does manufacture photographical tools. Based on the two companies' history, Kodak will likely continue to have a larger selection of electronic photography products, but Sony will continue to develop similar products, often "improved" versions of Kodak's original products.

http://inventors.about.com/library/inventors/bldigitalcamera.htm by Mary Bellis

http://www.dpreview.com/news/0108/01082107sonydppmp1.asp

http://www.dpreview.com/news/0104/01042301kodakcamerasys.asp

Management Profile

Nobuyuki Idei - Chairman and Group Chief Executive Officer

Strong background in international marketing

Degree in Politics and Economics

Leading Sony into the digital age and developing Sony's brand image

Kunitake Ando - Presient

Engineered Sony's re-entry into the personal computer market (VAIO)

University of Tokyo School of Economics

Worked for Sony's A/V Products and Established Sony Prudential Live Insurance

Howard Stringer - Chariman and CEO of Sony Corporation of America

Oversees Sony Pictures Entertainment (parent of Columbia Picutres), Sony Pictures TV, Sony Pictures Digital and Sony Electronics, Inc.

Worked for 30 years as a journalist, producer and executive at CBS

President of CBS

Works in entertainment

http://www.sony.com/SCA/senior_mgmnt.shtml

Strategic Capabilities Assesment

Scenario Analysis

Components of Competitive Intelligence

Future Objectives and Current Strategy

"Transformation 60 Program"

Undergoing Structural Reform

Cutting fixed costs by reducing 9000 jobs

Reducing production/distribution/service points by 10%

Reducing the number of suppliers and building strategic partnerships

Reducing the number of parts

Rationalizing non-production costs

Continue to strengthen Electronics Convergence Strategy

Converge technology and resources in home and mobile electronics---customers can use them interchangeably

Invest in semiconductors and key devices to differentiation and added value

CMOS Image Sensor and CCDs to achieve higher resolution/image quality

**really focus on converging technology and resources and focus on adding value and differentiation

Strengthen Demand and Supply Chain management

http://www.sony.net/SonyInfo/IR/info/presen/mr_keiho/20040519/qfhh7c000000c5t2-att/sony2004strategy.pdf

Sony