Swot Analysis Of Sony

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2.0 CORPORATION STRATEGIES OF SONY COMPANY In 18 February 2015, Sony has announced a brand new business strategy that aim for an operating profit of $4.3 billion in the year 2018 after facing a series of huge loss. The latest corporate strategy that used by Sony is to transform the company into a highly profitable enterprise. PlayStation and entertainment business are their huge hope to bring back alive of the company. Following are the few important points that Sony need to take note in order to achieve the strategy. 2.1 Growth Drivers First of all, there are four segments that are important to Sony because all of these are the fastest growing products. There are devices, pictures, music and game & network services (Sony Corporation, 2015).…show more content…
(Sony Corporation, 2015)Imaging products & solutions segments and video & sound business are the most profitable products for Sony. Sony is working hard prioritizing to ensure both of these segments have a positive cash flow and stable profit by applying the marketing strategies and the technologies know how by those expert which implement it into the product and services (Economist, 2015). While Sony did not anticipate most of the market growth in the businesses, the company is likely to target on certain areas which is unlikely to experience the commoditization (Sony Corporation, 2015). Sony is going and continuing producing the new, high end and value added products such as the mirror less single-lens reflex cameras and Hi-Resolution Audio. Both of these products have a high functionality and performing well in the market (Economist, 2015). In order to maximize the profit and return of investment, the company is going to focus on our existing products by putting more resources and technologies rather than invest in something new which will cost a lot of cost and investment. Besides than, by reducing the fixed cost and improve the efficiency of inventory control and give a big advantages to the company. Sony believe that the way to increase the growth of a business is by having a stable profit and positive cash…show more content…
This type of products are highly volatility and if anything wrong to your product, you may be easily kick out from the market. The company is having the highest priority on securing the profits and curtailing the risk in the operation of the businesses. Due to the heavy competition in the market, Sony is require to produce something different with the competitors. Differentiation strategy should be used in order to compete in the market. Sony must increase the value adding to the product, inserting more high-end product and component in order to show the uniqueness of your product (Sony Corporation, 2015). By selecting the market carefully, the company is able to limit to capital investment and introduce a brand new business structure in order to increase the sales and maximize the profit. The company will also seeking the potential alliances with other companies in order to make some changes in the business landscape (Sony Corporation, 2015). For example, the Sony smartphone had an intensive competition between Apple, Samsung and other low cost manufacturer such as Lenovo and Xiao Mi. The Sony smartphone is always one step behind of those competitors and it is struggling right now. According to Sony’s Chief Executive Officer Kaz Hirai (XB, Sony CEO: 2016 is make-or-break year for Xperia smartphones, 2015), he mentioned that if the smartphone division did

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