ipl-logo

Sony International Strategy Case Study

1225 Words5 Pages

WHAT WERE THE MAIN CHARACTERISTICS OF SONY’S INTERNATIONAL STRATEGY IN THE 1990S? WHAT WERE THE REASONS FOR ANY DIFFERENCES OR CHANGES?

Sony was historically using a step-by-step approach to internationalization. It was first exporting its products to markets where it saw an opportunity. Then if this went well, it would gain some more experience and it could use some riskier entry modes to internationalize the company. Sony was mainly focusing on 3 regions: Europe, Asia and North America. In the early 1990s, Sony had the largest percentage of its foreign subsidiaries in Europe. However by 1995, Sony increased its presence in Asia. The number of Sony’s subsidiaries had grown from 47 in 1989 to 72 in 1999. Moreover, the company adapted its …show more content…

From the very beginning, internationalization and innovation were important aspects for Sony. Its strategy was to establish subsidiaries and manufacturing facilities in the target regions. As a result it would directly sell its products and have a close connection with customers. Furthermore, Morita was encouraging a culture of learning, experimentation and risk taking and wanted to improve the world’s opinion about the quality of Japanese products. An instance of this would be that after the Betamax failure, Morita learned that innovation should be a continuous process with the aim to bring the best product possible to the consumer. Besides, he also wanted to expand the company not only geographically but also among entertainment sectors. Idei wanted to continue on the same path as the Sony’s founder, with as goal to diversify Sony’s portfolio of products and also the geographical internationalization. Still, he did some small changes in the company’s strategy that were exposed in the previous question of this assignment. In the beginning, the company was using a standardized approach. But with the changing market Idei decided that the company should adapt its structure to be more flexible to market changes. However, the main goal was still the diversification and internationalization of the company. That is why the company lost its vision, because with too much …show more content…

They should specialize in the segment in which they have the most expertise and that would be in line with Sony’s core competencies. By wanting to be the best in everything, it slowed down innovation, which was a pillar for the company. For this reason, they should intensively invest in R&D in those specialized fields so that innovation would have some better results afterwards. I believe they also should abandon the segments that are not profitable anymore in their portfolio. As a result, Sony could once again become a leading and specialized company in one or two specific fields and it would gain some competitive advantage within these

Show More
Related

  • Goodwin Wealth Management Case Summary

    534 Words  | 3 Pages

    The diversification lowered the overall risk of the firm and created an information network among the divisions, which was critical for the company to gain competitive advantage. The loyal customer base was another strength. The $60 billion assets that under the company’s management provided the company a positive brand image and made it easier for the company to attract new customers. Weakness:

    Read More

  • Fraser Foods Case Study Assignment

    1475 Words  | 6 Pages

    The company could expand even more to increase their market share. They must keep communications open through their relationships to avoid miscommunication and confusion. References Karniel. A and Reich.

    Read More

  • Pricing Strategy Of Chipotle

    1450 Words  | 6 Pages

    And achieve as a result, the growth for its brand, market share, and sales

    Read More

  • Unit 407: International Business Strategy Of ANZ Banking Corporation

    3578 Words  | 15 Pages

    Name: Stephen Catterall Student ID: 864309 Unit 407 – International Business Strategy (Blended MBA, 2014) Assignment Report for senior management evaluating how well ANZ Banking Corporation, is currently performing, and recommending how it can improve its international business performance with a view to its further expansion into the China (PRC) market. Chair: Dr. Vanaja Karagiannidis Date: 25th August 2014 Word Count: 2,649   Table of Contents 1 Executive Summary 4 1.1 Project Summary 4 1.2 Procedures Used 4 1.3 Problems Identified 4 1.4 Results 4 1.5 Recommendations 4 2 Introduction 6

    Read More

  • Eastman Kodak Essay

    1915 Words  | 8 Pages

    To achieve this, Kodak had to adopt on more than one occasion disruptive technology as technology improved in making the film and film based cameras. The massive success and growth in this era of Kodak’s history brought many things to the table that are still relevant and can be applied by management moving forward. However small it becomes, there will always be a demand for traditional photography products and services where Kodak is the “go to guy” for. But this century of success brought about valuable international presence, made Kodak one of the most known industry names, gave Kodak priceless and efficient distribution channels, and massive financial resources which can all be applied moving

    Read More

  • Why Ikea Go International Case Study

    1438 Words  | 6 Pages

    In order to be succeed on international market, it’s very important point to define the international strategy. If to define the international strategy: an international strategy is when a company hires a strategy through which its goods and services are sold out of its local market. Enlarging into international markets allows potential opportunities to companies. Let’s see the IKEA’s international strategy in the following Figure 1. IKEA has expanded from a small, family-owned home furniture corporation into a global retailer within 385 stores in 48 countries, during its 72-year history.

    Read More

  • Mattel Case Study Strategic Management

    1701 Words  | 7 Pages

    1. Introduction Launched out of a garage workshop in southern California, the first Mattel products were picture frames. Moving on from doll house furniture made from picture frame scraps, the company invested its interest in toys. Barbie and Hot Wheels are among the largest commercial successes Mattel has to its name. Mattel went public in 1960 and joined the Fortune 500 in 1965 with sales of more than $100 million. Mattel went on to acquire brands like Fischer-Price, Tyco toys and American Girl and emerged as a parent company with seven subsidiaries.

    Read More

  • Delhaize: The Four Drivers Of Internationalization

    2296 Words  | 10 Pages

    In 1974, Delhaize took its first step of internationalization by entering the US market. He progressively acquired market shares in US and continued its internationalization process by entering Southeastern Europe in the early 1990s, and the Indonesian market in 1997. In this section we will try to understand the pressures that pushed Delhaize to internationalize. George Yip provides a framework to analyze the “globalization drivers” that are most likely to influence a company’s decisions to expend its business internationally. The four drivers of internationalization that he identified are: market drivers, cost drivers, government drivers and competitive drivers.

    Read More

  • Case Analysis Of Wendy Peterson's Accountback Sales Organization

    919 Words  | 4 Pages

    They developed a back-office accounting software product. They believed that flat organisational structure, collegial culture would strengthen employee morale and also heighten company performance. With 25% of client renewal rate and most of the clients retained services for at least 4 years, the firm earned good revenues. It had about $100 million in revenues and 400+ employees in its regional offices. The founders retired and the new CEO looked for young sales directors.

    Read More

  • The Advantages And Disadvantages Of Ikea's International Strategy

    1026 Words  | 5 Pages

    Global strategy is an international strategy that implements by a company which they doing their business in different countries. Internationalization is a process for IKEA expand its business and it was quite important because through the internationalization process, IKEA was able to gain a broader area of marketplace to sales their products, which will lead to profit and revenue increased and new market places existed mean new opportunity for IKEA to improve their product in order to meet the customers’ needs. The first reason that IKEA should go to international level is because the Swedish market is small and no enough for IKEA to expand itself. This is important for IKEA because the small market mean low opportunity, lower profit and

    Read More

  • Loreal Pestel Analysis

    1016 Words  | 5 Pages

    It would aim at establishing a strong customer lifetime value. It would also search for new markets in other

    Read More

  • Pestle Analysis In Latin America

    2329 Words  | 10 Pages

    IKEA uses franchises in order to reach other markets in which it does not have stores yet to take advance of the local knowledge and expand their brand. The company must also decide based on the market what is the best strategy in order to reach the customer and not just the strategy that will help it enter the country. The author Cunningham (1986) identified five strategies in order to enter a new market: • Technical innovation strategy – for products which are perceived and demonstrable superior as seen by the customer. • Product adaptation

    Read More

  • Kaizen: The Human Resource Department In Sony Corporation

    849 Words  | 4 Pages

    1. Introduction 1.1. Introduction to Kaizen Sony Corporation is a Japan-based business unit that revolves around technology and electronic products, such as smartphones, PlayStation and television. The human resource management department in Sony Corporation functions in a way that is strongly interlinked with the implementation of various principles that are behind the philosophy of Kaizen. Kaizen is essentially a system that involves every employee within a company, regardless of their rank or their level in the company’s hierarchy, such as from chief executive officer, manager to the cleaning team.

    Read More

  • Samsung Case Study: Samsung Business Strategy

    899 Words  | 4 Pages

    1. General business strategy 1.1. General business philosophy Samsung work with the aim of developing innovative technologies and provide people with efficient processes so that regularly new markets are created and they continue to rule the digital work. They follow five core values including: • People: Samsung gives all the resources and opportunities their people need to give their best. • Excellence: Samsung makes sure to provide their customers with excellent products and services.

    Read More

  • Toyota Business Level Strategy Analysis

    836 Words  | 4 Pages

    The Business Level of Toyota Toyota Motor Corporation is a Japanese company that is involved in the design, assembly, manufacture and sale of a wide range of motor vehicles such as minivans, passenger cars, commercial vehicles, and assorted accessories and parts (Nkomo, 3). Examples of brands under the Toyota portfolio include, but are not limited to; Lexus, Toyota, Hino and Daihatsu. Toyota was founded in 1937 by Kiichiro Toyoda and has grown to not only be the world’s leading auto manufacturer in the automotive industry, but also the world’s eighth largest company with operations in virtually every corner of the world (Nkomo, 3). This growth has been fueled by two key aspects of Toyota’s business; its ability to lower costs and concise

    Read More

More about Sony International Strategy Case Study

Open Document