Sony's Business Model

World economics are continuously changed their dynamic and patterns of development, in which multinational enterprises (MNEs) are linked with a complex network globally. MNEs consider various risks in international markets when they are implement their subsidiaries, like expropriation, nationalization, political instability and embargo. Barriers and restrictions that MNEs are facing have the wide range of spectrum variance: environmental rules and regulations, competition laws and rules or region trade rules, differences in local languages, lobby groups of entrance market and the influence of current legislation, Government or local customers favoritism for a certain groups or firms and so on.

To overcome from these barriers, MNEs are always

It also helps to face the competition of other strategic alliances already constituted. A joint venture partnership of Puma AG with Swire pacific established in Hong Kong because Swire Pacific had valuable market know-how. U.S. giant Boeing was taken over by several European companies to form a joint venture with Airbus, in order to spread the huge failure risks of the company. A joint venture equally divided between the Japanese consumer electronics company Sony and the Swedish telecommunication company Ericsson and it was created to combine the technological expertise. (Cullen & Parboteeah, 2010)

Sony, Japanese multinational, build several strategic alliances with smaller companies to gain complementary competence to penetrating new markets (Management Strategic, 2010). Beside the international strategic alliances, international multiple partnerships are being chosen by the large MNEs. When distance among companies is small, the strategic networks are formed. In this scenario, one firm plays a center of the network and advantage is that all the firms are better informed and become more