A project report on to access the opportunities for increasing the sales of sony vaio laptops


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A project report on to access the opportunities for increasing the sales of sony vaio laptops

  1. 1. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™1. Introduction Computing on the move has been a focus area for a lot of InformationTechnology Companies for years. The idea of being able to work while on the roadis extremely fascinating. A notebook, also known as a laptop, which may also beunderstood as a mobile computer has been the solution for these portable computerrelated tasks. Thousands of people face the dilemma every day, should I buy a laptop or adesktop? Information technology is not only advancing at a great pace but it ismaking lives better. We have been using desktops way back since 1940 when thefirst computer was invented. However, the increasing dependence on computers hasgiven an impetus to develop more advanced computers like laptops or notebooks. Babasabpatilfreepptmba.com 1
  2. 2. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™Though desktop is the king, laptops are gaining ground these days due to itsportability. In 2000, one in 10 home computers bought worldwide was a laptop, thesedays it is one in five. According to the research firm Current Analysis, laptops havefor the first time outsold desktops in the US in a calendar month. Laptops salesaccounted for 53 per cent of the total personal computer market, up from 46 per centduring the same period last year. Due to increased demand for laptops, companies have reduced prices and atthe same time improved quality. Laptop prices have come down 17 per cent duringthe last year while desktop price has dipped only 4 per cent. The reasons for this riseare: laptops longer-lasting batteries, CD burners and wireless capability. Moreover, the computing crowd is increasingly demanding mobility. "Thereused to be a time when people expected a reply to an email within a couple of days.Now they expect a response within 24 hours. People want to stay connectedwherever they are"Desktop computers are less expensive than laptop computers. The price difference isbecause a laptops components are much smaller, usually more expensive tomanufacture, and more time-consuming to build into the final product. Prices rangefrom Rs 45,000 for entry-level ones to over Ts 1.5 lakh for snazzier versions. Laptop brands: Sony, Acer (TravelMate and Aspire), Alienware, AppleComputer (iBook and Powerbook), ASUS, Averatec, Clevo, Compaq (EVO,Armada and Presario), Dell, ECS, Fujitsu, Gateway, Hewlett Packard, Hypersonic,IBM, NEC, Panasonic and Toshiba. Babasabpatilfreepptmba.com 2
  3. 3. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™1.1 Laptop History In the 1970s, Alan Kay of the Xerox Palo Alto Research Center had a visionfor a wireless portable computer roughly the size of a notebook. He called it theDynabook. Kays Dynabook never got past sketches and a cardboard model, but itset the wheels in motion for the development of a truly portable computer. In 1979, William Moggridge of Grid Systems Corporation created the firstfunctioning portable computer: The Grid Compass Computer 1109. It had 340kilobytes of bubble memory, a die-cast magnesium case and a foldingelectroluminescent graphics display screen. NASA bought a handful of them at $800apiece for use in the space program. Other companies, like Gavilan Computer and Apple, introduced otherportable computers in following years. The first commercially viable machine,however, was the IBM PC Convertible, introduced in 1986. The PC Convertiblefeatured:An 8088 microprocessor256 kilobytes of memoryTwo 3.5-inch (8.9-cm) floppy drivesAn LCD displayParallel and serial printer portsSpace for an internal modem A software suite including basic word processing, appointment calendar,telephone/address book, and calculator software Weighing in at a hefty 12 lbs (5.4kg), the PC Convertible sold for $3,500. It was the first portable computer with theclamshell design used in todays laptops. The success of the PC Convertible was thecatalyst for competitors like Compaq and Toshiba to switch to the clamshell designin their portable computers. And so began the era of the laptop computer. Babasabpatilfreepptmba.com 3
  4. 4. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™1.2 Introduction to How Laptops Work In a way, the skyrocketing popularity of laptop computers is ironic. They arecompletely portable, and they use less power and make less noise than desktopmodels. But, theyre often a little slower and have less graphics and sound processingpower, although these differences can be too small for most users to notice. How can all the equipment found in a desktop tower fit into such a smallpackage? And how can laptops be efficient enough to run on battery poweralone? A desktop computer includes a motherboard, video card, hard drive and othercomponents in a large case. The monitor, keyboard, and other peripherals connectwirelessly or with cables. Whether the case sits vertically or horizontally, it has lotsof space for add-in cards, cables and air circulation. Babasabpatilfreepptmba.com 4
  5. 5. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™ A laptop, however, is much smaller and lighter than even the most compactPC tower. Its screen is an integrated part of the unit, as is its keyboard. Instead of aspacious case with lots of room for air circulation, a laptop uses a small, flat designin which all the pieces fit together snugly. Because of this fundamental design difference and because of a laptopsinherent portability, components have to: • Fit into a compact space • Conserve power • Produce less heat than desktop componentsOften, these differences make the components more expensive, which can contributeto higher laptop prices. Babasabpatilfreepptmba.com 5
  6. 6. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™1.3 Processor The microprocessor, or CPU, works with the operating system to control thecomputer. It essentially acts as the computers brain. The CPU produces a lot of heat,so a desktop computer uses circulating air, a fan and a heat sink -- a system ofplates, channels and radiator fins used to draw heat off of the processor -- to cool off.Since a laptop has far less room for each of these cooling methods, its CPU usually: • Runs at a lower voltage and clock speed -- This reduces heat output and power consumption but slows the processor down. Most laptops also run at a higher voltage and clock speed when plugged in, and at lower settings when using the battery. • Mounts to the motherboard without using pins -- Pins and sockets take up a lot of room in desktop PCs. Some motherboard processors mount directly to the motherboard without the use of a socket. Others use a Micro-FCBGA (Flip Chip Ball Grid Array), which uses balls instead of pins. These designs save space, but in some cases mean that the processor cannot be removed from the motherboard for replacement or upgrading. • Has a sleep or slow-down mode -- The computer and the operating system work together to reduce the CPU speed when the computer is not in use or when the processor does not need to run as quickly. The Apple G4 processor also prioritizes data to minimize battery drain. Babasabpatilfreepptmba.com 6
  7. 7. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™ Some laptops use desktop CPUs that are set to run at lower clock speeds.Although this can improve performance, these laptops typically run much hotter andhave a significantly reduced battery life. Laptops usually have small fans, heat sinks, heat spreaders or heat pipes tohelp dissipate the heat from the CPU. Some higher end laptop models reduce heateven further with liquid coolant kept in channels alongside the heat pipe. Also, mostlaptop CPUs are near the edge of the unit. This allows the fan to move the heatdirectly to the outside instead of across other components. Babasabpatilfreepptmba.com 7
  8. 8. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™1.4 Memory and Storage A laptops memory can make up for some of the reduced performance thatcomes from a slower processor. Some laptops have cache memory on or very nearthe CPU, allowing it to access data more quickly. Some also have larger busses,allowing data to move between the processor, motherboard and memory morequickly.Laptops often use smaller memory modules to save space. Memory types used inlaptops include: • Small Outline Dual Inline Memory Module (SODIMM) • Dual Data Rate Synchronous RAM (DDR SDRAM) • Single data rate Synchronous RAM (SDRAM) • Proprietary memory modulesSome laptops have upgradeable memory and feature removable panels for easyaccess to the memory modules. Like a desktop, a laptop has an internal hard disk drive, which stores theoperating system, applications and data files. However, laptops generally have lessdisk space than desktops. A laptop hard drive is also physically smaller than that of adesktop. In addition, most laptop hard drives spin more slowly than desktop harddrives, reducing both heat and power consumption.Desktop computers have multiple bays for installing additional drives, such as CDand DVD ROM drives. However, space in a laptop is in much shorter supply. Manylaptops use a modular design, allowing a variety of drives to fit in the same bay.These drives come in three different designations: • Hot swappable - The computer can stay on while changing the drive. • Warm swappable - The computer can stay on while changing the drive, but the corresponding bus (the path the drive uses to send data to the CPU) must be inactive. • Cold swappable - The computer must be off during the swap. Babasabpatilfreepptmba.com 8
  9. 9. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™1.5 Display and Sound A graphics processing unit (GPU) is a microprocessor that handles thecalculations necessary for 3-D graphics rendering. Like a CPU, a GPU produces a lotof heat. Most laptops have graphics capability built into the motherboard or havesmaller graphics cards with a GPU designed specifically for laptop use. GPUmanufacturers ATI and nVidia both make GPUs specifically for laptops. Laptopsfrequently share memory between the CPU and the GPU, saving space and reducingpower consumption. A laptop displays its graphics on a liquid crystal display (LCD) screen. Mostscreens measure between 12 and 17 inches, and the size of the screen affects theoverall size of the laptop. In addition, laptop screens can be: • Black-and-white (16 grayscale) or color (65,536 colors) • Active or passive matrix • Reflective or backlitMost laptops also have sound cards or integrated sound processing on themotherboard as well as small, built-in speakers. However, there is generally not Babasabpatilfreepptmba.com 9
  10. 10. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™enough space inside a laptop for a top-of-the-line sound card or a high-qualityspeaker.1.6 Power Supplies Laptops and desktops both run on electricity. Both have small batteries tomaintain the real-time clock and, in some cases, CMOS RAM. However, unlike adesktop computer, a laptop is portable and can run on batteries alone. Nickel-Cadmium(NiCad) batteries werethe first type of batterycommonly used in laptopcomputers, and olderlaptops sometimes stilluse them. They have a life of roughly two hours between charges, but this lifedecreases with each charge based on the memory effect. Gas bubbles form in thecell plates, reducing the total amount of available cell space for recharge. The onlyway around this is to discharge the battery completely before recharging it. The otherdrawback of NiCad is that if the battery charges too long, it can explode. Nickel-Metal Hydride (Ni-MH) batteries are the bridge between NiCad andthe newer Lithium-Ion (Li-Ion) batteries. They last longer between charges thanNiCad but overall have a shorter total lifespan. They suffer from the memory effect,but to a lesser extent than NiCad batteries. Li-Ion batteries are the current standard for laptop computers. They are lightand have long life spans. They do not suffer from the memory effect, can be chargedrandomly, and wont overheat if overcharged. They are also thinner than any otherbattery available for laptops, making them ideal for the new ultra-thin notebooks. Li-Ion batteries can last for anything from about 950 up to 1200 charges. Many laptops with Li-Ion batteries claim to have a 5-hour battery life, but thismeasurement can vary greatly depending on how the computer is used. The hard Babasabpatilfreepptmba.com 1 0
  11. 11. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™drive, other disk drives and LCD display all use substantial battery power. Evenmaintaining wireless Internet connectivity requires some battery power. Babasabpatilfreepptmba.com 1 1
  12. 12. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™2. Industry Overview Electronics industry the business of creating, designing, producing, andselling devices such as radios, televisions, stereos, computers, semiconductors,transistors, and integrated circuits. As sales of electronic products from some $200million in 1927 to over $266 billion in 2007 worldwide, the electronics industrytransformed factories, offices, and homes, emerging as a key economic sector thatrivaled the chemical, steel, and auto industries in size. The industry traces its origins to the invention of the two-element electrontube (1904) by John Ambrose Flemming, and the three-element tube (1906) by LeeDe Forest . These inventions led to the development of commercial radio in the1920s, which boosted radio sales to $300 million by the end of the decade. In 1947,the electronics industry made another important advance when John Bardeen, WalterBrattain, and William Shockley invented the transistor. Smaller, lighter, and moredurable than the vacuum tubes that had been used in radios, transistors touched off aperiod of progressive miniaturization of electronic devices. Integrated circuits, whichwere developed in the 1950s, allowed the integration of several circuits into onecircuit, and the introduction of analog devices in the 1960s vastly increased theamount of information that could be stored on a single silicon chip. Other important sectors that have made great advances since the 1970sinclude laser and optical electronics, digital electronics, and microwave electronics.Advances in the field of electronics have also played a key role in the developmentof space technology and satellite communications; inaugurated a revolution in thecomputer industry that led to the introduction of the personal computer; resulted inthe introduction of computer-guided robots in factories; produced systems for storingand transmitting data electronically; greatly expanded the market for popular musicand culture; and, in the process, transformed life at home, the office, and the factory.Many of these innovations, such as the transistor, had their origins in military Babasabpatilfreepptmba.com 1 2
  13. 13. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™research, which needed increasingly complex electronic devices for modern high-tech warfare.3. Business (Company) Overview Sony Corporation is a Japanese multinational conglomerate corporation andone of the worlds largest media conglomerates with revenue of $70.303 billion (asof 2007) based in Minato, Tokyo. Sony is one of the leading manufacturers ofelectronics, video, communications, video game consoles and informationtechnology products for the consumer and professional markets. Sony Corporation is the electronics business unit and the parent company ofthe Sony Group, which is engaged in business through its five operating segments —electronics, games, entertainment (motion pictures and music), financialservices and other. These make Sony one of the most comprehensive entertainmentcompanies in the world. Sonys principal business operations include SonyCorporation (Sony Electronics in the U.S.), Sony Pictures Entertainment, SonyComputer Entertainment, Sony BMG Music Entertainment, Sony Ericsson and SonyFinancial Holdings. As a semiconductor maker, Sony is among the Worldwide Top20 Semiconductor Sales Leaders. Its slogan is Sony. Like no other.3.1 History In 1945, after World War II, Masaru Ibuka started a radio repair shop in abombed-out building in Tokyo. The next year he was joined by his colleague AkioMorita, and they founded a company called Tokyo Tsushin Kogyo K.K, whichtranslates in English to Tokyo Telecommunications Engineering Corporation.The company built Japans first tape recorder called the Type-G. In the early 1950s, Ibuka traveled in the United States and heard about BellLabs invention of the transistor. He convinced Bell to license the transistor Babasabpatilfreepptmba.com 1 3
  14. 14. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™technology to his Japanese company. While most American companies wereresearching the transistor for its military applications, Ibuka looked to apply it tocommunications. While the American companies Regency and Texas Instrumentsbuilt transistor radios first, it was Ibukas company that made the first commerciallysuccessful transistor radios. In August 1956, Tokyo Telecommunications Engineering produced its firstcoat-pocket sized transistor radio they registered as the TR-55 model. In 1965, Sonyreportedly manufactured about 40,000 of its Model TR-72 box-like portabletransistor radios and exported the model to North America, the Netherlands andGermany. That same year they made the TR-6, a coat pocket radio which was used bythe company to create its "SONY boy" advertising character. The following year,1967, Tokyo Telecommunications Engineering came out with the TR-63 model, thenthe smallest (112 × 71 × 32 mm) transistor radio in commercial production. It was aworldwide commercial success. University of Arizona professor Michael Brian Schiffer, Ph.D., says, "Sonywas not first, but its transistor radio was the most successful. The TR-63 of 1957cracked open the U.S. market and launched the new industry of consumermicroelectronics." By the mid 1950s, American teens had begun buying portabletransistor radios in huge numbers, helping to propel the fledgling industry from anestimated 100,000 units in 1955 to 5,000,000 units by the end of 1968. However, thishuge growth in portable transistor radio sales that saw Sony rise to be the dominantplayer in the consumer electronics field was not because of the consumers who hadbought the earlier generation of tube radio consoles, but was driven by a distinctlynew American phenomenon at the time called rock and roll. Babasabpatilfreepptmba.com 1 4
  15. 15. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™3.2 Origin of name When Kogyo was looking for a romanized name to use to market themselves,they strongly considered using their initials, TTK. The primary reason they did not isthat the railway company Tokyo Kyuko was known as TKK. The companyoccasionally used the acronym "Totsuko" in Japan, but Morita discovered thatAmericans had trouble pronouncing that name, during his visit to the United States.Another early name that was tried out for a while was "Tokyo Teletech" until Moritadiscovered that there was an American company already using Teletech as a brandname. The name "Sony" was chosen for the brand as a mix of the Latin word sonyor son(us) and also a little boy sonny, which is the root of sonic and sound as well asfamiliar word of everybody called a boy in February 1955, and company namechanged to SONY in January 1958. Morita pushed for a word that does not exist inany language so that they could claim the word "Sony" as their own (which paid offwhen they sued a candy producer using the name, who claimed that "Sony" was anexisting word in some language). At the time of the change, it was extremely unusual for a Japanese companyto use Roman letters instead of kanji to spell its name. The move was not withoutopposition: TTKs principal bank at the time, Mitsui, had strong feelings about thename. They pushed for a name such as Sony Electronic Industries, or Sony Teletech.Akio Morita was firm, however, as he did not want the company name tied to anyparticular industry. Eventually, both Ibuka and Mitsui Banks chairman gave theirapproval. Babasabpatilfreepptmba.com 1 5
  16. 16. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™3.3 Sony in India One of the most recognized brand names in the world today, SonyCorporation, Japan, established its India operations in November 1994, focusing onthe sales and marketing of Sony products in the country. In a span of 14 years SonyIndia has exemplified the quest for excellence in the world of digital lifestylebecoming the country’s foremost consumer electronics brand. With relentlesscommitment to quality, consistent dedication to customer satisfaction andunparalleled standards of service, Sony India is recognized as a benchmark for newage technology, superior quality, digital concepts and personalized service that hasensured loyal customers and nationwide acclaim in the industry. With brands names such as BRAVIA, Xplod, Sony hi-fi, Handycam, Cyber-shot‚ WEGA, VAIO, Walkman, Memory stick‚ PlayStation an AIWA, Sony hasestablished it self as a value leader across its various product categories ofAudio/Visual Entertainment products, Information and Communications‚ RecordingMedia, Business and Professional products. In India, Sony has its footprint across all major towns and cities through adistribution network comprising of over 7000 channel partners, 215 Sony World andSony Exclusive outlets and 21 direct branch locations. Manned by customer friendlyand informed sales persons, Sony’s exclusive stores ‘Sony World’ are fast becomingthe most visible face of the company in India. Sony India also has a strong service presence across the country with 21company owned and 172 authorized service centers. A distinctive feature of Sony’sservice is its highly motivated and well-trained staff that provides the kind ofattentive and sensitive service that is rare today. Babasabpatilfreepptmba.com 1 6
  17. 17. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™Sony is committed to ensuring that both the products and the marketing activitiesemployed truly make a difference to people’s lifestyles and offer them newdimensions of enjoyment – experiences which are ‘like no other’ .3.4 Company Outline Company: Sony India Pvt. Ltd. Managing Mr. Masaru Tamagawa Director: Date of November 17, 1994Establishment: A-31, Mohan Cooperative Industrial Estate, Mathura Road, Location: New Delhi - 110044, India.Staff Strength: 636 (as at March 31, 2007)Share Capital: Rs. 550 million Share 100% subsidiary of Sony Corporation, Japan Holding: Delhi, Haryana, Ludhiana, Mumbai, Bangalore, Chennai, Branch Kolkata, Hyderabad, Vijayawada, Jaipur, Chandigarh, Offices: Lucknow, Pune, Ahmedabad, Indore, Cochin, Coimbatore, Ghaziabad, Guwahati, Hubli and Ranchi Babasabpatilfreepptmba.com 1 7
  18. 18. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™ Marketing, Sales and After-Sales Service of electronic products & software exports Products: Televisions, Hi-fi Audios, Home Theater systemsBusiness and DVD players, Personal Audio (CD/Cassette Radio PlayersActivities: and Walkman®), Audio Video Accessories, Car Audio and Visual Systems, Notebooks, Gaming Consoles, Camcorders and Digital Still Cameras, Digital Imaging Accessory Mobile Phones, Recording Media, Broadcast and Professional Babasabpatilfreepptmba.com 1 8
  19. 19. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™3.5 Notable Sony products, technologies and proprietary formats Sony has historically been notable for creating its own in-house standards fornew recording and storage technologies instead of adopting those of othermanufacturers and standards bodies. The most infamous of these was the videotapeformat war of the early 1980s, when Sony marketed its Betamax system for videocassette recorders against the VHS format developed by JVC. In the end, VHSgained critical mass in the marketplace and became the worldwide standard forconsumer VCRs and Sony adopted the format. While Betamax is for all practicalpurposes an obsolete format, a professional-oriented component video format calledBetacam that was derived from Betamax is still used today, especially in the film andtelevision industry.3.5.1 A Sony VCR In 1968 Sony introduced its Trinitronbrand name for its line of aperture grillecathode ray tube televisions and (later)computer monitors. Trinitron displays are stillproduced, but only for markets like India andChina. Sony discontinued its last Trinitron-based television set in the USA Spring of2007. Trinitron computer monitors were discontinued in 2005. Sony launched theBetamax videocassette recording format in 1975. The Walkman brand wasintroduced in 1979. 1982 saw the launch of Sonys professional Betacam videotape format and thecollaborative Compact Disc format. In 1983 Sony introduced 90mm micro diskettes(better known as 3.5-inch floppy disks), which it had developed at a time when therewere 4" floppy disks and a lot of variations from different companies to replace thethen on-going 5.25" floppy disks. Sony had great success and the format became Babasabpatilfreepptmba.com 1 9
  20. 20. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™dominant; 3.5" floppy disks gradually became obsolete as they were replaced bycurrent media formats. In 1983 Sony launched the MSX, a home computer system,and introduced the world (with their counterpart Philips) to the Compact Disc or CD.In 1984 Sony launched the Discman series which extended their Walkman brand toportable CD products. In 1985 Sony launched their Handycam products and theVideo8 format. Video8 and the follow-on hi-band Hi-8 format became popular in theconsumer camcorder market. In 1987 Sony launched the 4mm DAT or Digital AudioTape as a new digital audio tape standard. In addition to developing consumer-based recording media, after the launchof the CD Sony began development of commercially based recording media. In 1986they launched Write-Once optical discs (WO) and in 1988 launched Magneto-opticaldiscs which were around 125MB size for the specific use of archival data storage. In the early 1990s two high-density optical storage standards were beingdeveloped: one was the MultiMedia Compact Disc (MMCD), backed by Philips andSony, and the other was the Super Density disc (SD), supported by Toshiba andmany others. Philips and Sony abandoned their MMCD format and agreed uponToshibas SD format with only one modification based on MMCD technology, vizEFMPlus. The unified disc format was called DVD which was marketed in 1997.3.5.2 Sony MiniDisc Sony introduced the MiniDisc format in 1993 as an alternative to Philips DCC or Digital Compact Cassette. Since the introduction of MiniDisc, Sony has attempted to promote its own audio compression technologies under the ATRAC brand, against the more widely used MP3. Until late 2004, Sonys Network Walkman line of digital portable music Babasabpatilfreepptmba.com 2 0
  21. 21. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™players did not support the MP3 de facto standard natively, although the providedsoftware SonicStage would convert MP3 files into the ATRAC or ATRAC3 formats. In 1993, Sony challenged the industry standard Dolby Digital 5.1 surroundsound format with its newer and more advanced proprietary motion picture digitalaudio format called SDDS (Sony Dynamic Digital Sound). This format employedeight channels (7.1) of audio opposed to just six used in Dolby Digital 5.1 at thetime. Unlike Dolby Digital, SDDS utilized a method of backup by having mirroredarrays of bits on both sides of the film which acted as a measure of reliability in casethe film was partially damaged. Ultimately, SDDS has been vastly overshadowed bythe preferred DTS (Digital Theatre System) and Dolby Digital standards in themotion picture industry. SDDS was solely developed for use in the theatre circuit;Sony never intended to develop a home theatre version of SDDS. In 1998, Sony launched their Memory Stick format; flash memory cards foruse in Sony lines of digital cameras and portable music players. It has seen littlesupport outside of Sonys own products with Secure Digital (SD) cards commandingconsiderably greater popularity. Sony has made updates to the Memory Stick formatwith Memory Stick Duo and Memory Stick Micro. Sony and Philips jointly developed the Sony-Philips digital interface format(S/PDIF) and the high-fidelity audio system SACD. The latter has since beenentrenched in a format war with DVD-Audio. At present, neither has gained a majorfoothold with the general public. CDs are preferred by consumers because of theirubiquitous presence in consumer devices. Babasabpatilfreepptmba.com 2 1
  22. 22. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™3.5.3 The PlayStation 2 In 1994 Sony launched its PlayStation. This successful console was succeeded by the PlayStation 2 in 2000, itself succeeded by the PlayStation 3 in 2006. The PlayStation brand was extended to the portable games market in 2005 by the PlayStation Portable. Sony developed the Universal Media Disc (UMD) optical disc medium for use on the PlayStation Portable. Although Sony tried to push the UMD format for movies, major studios stopped supporting the format in the Spring of 2006. In 2004, Sony built upon its MiniDisc format by releasing Hi-MD. Hi-MD allows the playback and recording of audio on newly- introduced 1GB Hi-MD discs in addition to playback and recording on regular MiniDiscs.Recordings on the Hi-MD Walkmans can be transferred to and from the computervirtually unrestricted, unlike earlier NetMD. In addition to saving audio on the discs,Hi-MD allows the storage of computer files such as documents, videos and photos.Hi-MD introduced the ability to record CD-quality audio with its linear PCMrecording feature. It was the first time since MiniDiscs introduction in 1992 that theATRAC codec could be bypassed and lossless CD-quality audio could be recordedon the small discs. Sony is currently touting its Blu-ray Disc optical disc format, which is likelyto compete with Toshibas HD DVD. As of quarter three of 2007, Blu-ray Disc hasthe backing of every major motion picture studio except Universal, Paramount and Babasabpatilfreepptmba.com 2 2
  23. 23. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™Dreamworks.. In December 2006 Sony debuted their first Blu-ray player, the SonyBDP-S1 Babasabpatilfreepptmba.com 2 3
  24. 24. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™3.6 Manufacturing base Slightly more than 50% of the electronics segments total annual productiontakes place in Japan, including the production of digital cameras, video cameras, flatpanel televisions, personal computers, semiconductors and components such asbatteries and Memory Stick.Approximately 65% of the annual production in Japanwas destined for other regions. China accounted for slightly more than 10% of totalannual production, approximately 70% of which was destined for other regions. Asia, excluding Japan and China, accounted for slightly more than 10% oftotal annual production with approximately 60% destined for Japan, the US and theEU.The Americas and Europe together accounted for the remaining slightly less than25% of total annual production, most of which was destined for local distributionand sale. Babasabpatilfreepptmba.com 2 4
  25. 25. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™3.7 Environmental Record Sony has received numerous awards and much recognition for theirenvironmental efforts throughout the world. Their achievements in the way of energyand environmental conservation have earned them respect for their green campaign3.7.1 Works and Policies Since 1976, Sony has had an Environmental Conference. Sonys policiesaddress their effects on global warming, the environment, and resources. They aretaking steps to reduce the amount of greenhouse gases that they put out as well asregulating the products they get from their suppliers in a process that they call "greenprocurement". Sony has said that they have signed on to have about 75 percent oftheir Sony Building running on geothermal power . The "Sony Take Back RecyclingProgram" allows consumers to recycle the electronics products that they buy fromSony by taking them to eCycle (Recycling) drop-off points around the U.S. Thecompany has also developed a biobattery that runs on sugars and carbohydrates thatworks similarly to the way living creatures work. This is the most powerful smallbiobattery to date. Babasabpatilfreepptmba.com 2 5
  26. 26. VAIO, an acronym for “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” “Video Audio Integrated like.no.other™ Operation”3.8 VAIOVAIO, an acronym for Video Audio Integrated Operation is a sub-brand for many of Sonys computer products. The branding wascreated to distinguish items that encompassed the use of consumer audio and video,as well as being conventional computing products. One example of this was the SonyVAIO W Series personal computer, which functioned as a regular computer and aminiature entertainment center. Although Sony made computers in the 1980s for theJapanese market only, Sony withdrew from the computer business around the turn ofthe decade. Sonys re-entry to the computer market, this time globally, under the newVAIO brand, started in 1996 with the PCV series of desktops. The VAIO logoalso represents the integration of analog and digital technology. The VArepresents an analog wave and the IO represents digital binary code. Babasabpatilfreepptmba.com 2 6
  27. 27. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™3.9 Products Sony is expanding the use of the VAIO label. It can now be found onnotebooks, subnotebooks, desktop, and a hard-disk-based audio player that comes inboth 20GB and 40GB variations (called VAIO POCKET player). Network mediasolutions by Sony will also carry the VAIO brand.High-end VAIO notebooks are usually shipped with Microsoft Windows VistaHome Premium or Business, while low end laptops such as N series come withMicrosoft Vista Home Basic. VAIO notebooks and desktop are available uponrequest without pre-installed software at a slightly lower price. Some models nolonger ship with a Recovery CD, but a special partition on the hard drive is used forthe recovery information, including operating system and all bundled software.VAIO users are prompted to create a set of recovery CDs or DVDs immediately afterpurchase.VAIO computers come with components from companies such as Intel processors,Seagate Technology or Fujitsu hard drives, Infineon RAM, Sony (usually made byHitachi) or Matsushita optical drives, Intel or NVIDIA graphics processors and Sonyspeakers.3.10 Technology Sony VAIO models come with Sonys proprietary XBRITE (also named asClearBright in Japan and Asia-Pacific region) displays. The first model thatintroduce this feature is the VAIO TR series. It is also the first consumer product toutilize such technology. It is a combination of smooth screen, anti-reflection (AR)coating and high-efficiency lens sheet. Sony claims that the smooth finish provides asharper screen display, the AR coating prevents external light from scattering whenit hits the screen, and the high-efficiency lens sheet provides 1.5 times the brightness Babasabpatilfreepptmba.com 2 7
  28. 28. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™improvement over traditional LCD designs, while also extending battery life due toless usage of the LCD backlight. The SZ series features both an Intel GMA 950 graphics chip and an NVIDIAgraphics chip. These laptops can cold-switch between the GMA 950, to preservebattery life, or the NVIDIA chip, to enhance graphics performance. These will be theonly notebooks on the market with this feature, as Sony has patented the technology. The high-end AR Series VAIOs were the first to incorporate a Blu-ray Discburner. These laptops were designed to be the epitome of high-definition productsincluding a 1080p capable WUXGA (1920 × 1200 pixels) screen, HDMI output andthe aforementioned Blu-ray burner. Babasabpatilfreepptmba.com 2 8
  29. 29. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™3.11 Corporate Social Responsibility The Sony Group recognizes that its businesses have direct and indirect impacton the communities in which we operate.3.11.1 Environmentally Conscious Products & Services by Sony Sony cares forthe environment andtherefore developsproducts and servicesthat are environmentfriendly. Sony uses the"eco info" mark toaccurately indicate theenvironment conscious aspect of products Sony cares for the environment and develops the products and services thatare environment friendly. Sony has developed a silicon conductor that isenvironment friendly and small as postal stamp. Sony includes environmentalconscious packaging in their design goal. Babasabpatilfreepptmba.com 2 9
  30. 30. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™4. Quality Policy4.1Quality Management Sony is wholeheartedly committed to improving product and service qualityfrom the customers viewpoint with the aim of maintaining and enhancing customerstrust, confidence and satisfaction. This reflects Sonys belief that its most importantgoal is to remain a highly trusted partner for its customers.4.1.2 Philosophy and Policy Since the start of itsoperations, Sony has given top priorityto providing customer oriented, high-quality products and services as anoperating foundation. This philosophyis set forth in the Founding Prospectusdrafted in 1946 by Sonys co-founder,Masaru Ibuka. The Sony Group Code of Conduct, established in May 2003, compels Sonyto continuously seek ways to comply with or exceed legally mandated standards inall aspects of its business activities to ensure the safety and satisfaction of customerswho use its products and/or services. To instill this philosophy more firmly, in January 2007 Sony formulated theSony Pledge of Quality, which lays out Sonys basic policy on product and servicequality in the Electronics business. Babasabpatilfreepptmba.com 3 0
  31. 31. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™4.1.3 Reinforcing Sonys Quality Control System Sony is endeavoring to introduce new product quality improvement measuresinto all processes, from development, planning, design and manufacturing to salesand service activities. Such measures include: • Establishing the position of Corporate Executive in Charge of ProductQuality and Safety, who is responsible for managing and overseeing efforts toimprove product and service quality and safety and to respond to quality and safetyissues; • Appointing personnel within each product and business group who areultimately responsible for quality to spearhead initiatives in the areas for which theyare responsible; • Holding regular Quality Strategy Meetings, which consist of Sonyspresident and top management from each business group, including manufacturingand marketing executives from the Electronics business, to discuss and set policies,strategies and key measures relating to product quality; and • Formulating corporate quality standards applied to Sonys electronicsproducts, focusing on such criteria as product safety and performance, labeling andservices. These standards are updated continuously to reflect technological advances,changes in applicable legal and regulatory requirements and social changes4.1.4 Customer Feedback Sony makes active use of customer feedback to improve its products.Complaints, suggestions, ideas and reports of malfunctions received from customersat the Customer Information Center after purchase are promptly and accuratelyevaluated and disseminated to the planning and design groups so that improvementsin product quality can be made in a timely fashion. Babasabpatilfreepptmba.com 3 1
  32. 32. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™4.1.5Utilizing Customer Feedback Babasabpatilfreepptmba.com 3 2
  33. 33. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™4.1.6 Product Quality Information Channel It is vital to detect product quality-related problems early. Sony thereforeestablished the Product Quality Information Channel in 2003 to gather productquality-related information, including reports of problems, as well as opinions fromSony Group employees. Employees can send messages to the Product QualityInformation Channel website. This can be done when, during the course of theirwork, they discover a problem related to product quality that they cannot solve ordeal with or when a quality-related problem occurs while they are using a Sonyproduct. After the Product Quality Information Channel conducts fact-finding studiesregarding the information gathered, it proposes and introduces measures to avoidpotential problems and prevent previous problems from recurring. As of April 30, 2007, Sony had received a cumulative total of more than 1,000reports since the establishment of the Product Quality Information Channel. Thediverse range of information received has included proposals to make products andmanuals more user-friendly, and has led to more than 700 improvements.Breakdown of Product Quality Improvements Babasabpatilfreepptmba.com 3 3
  34. 34. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™4.2 Environment Policy Sony India is committed to comply with Sony Group Environment Vision(SGEV) and to continually improve Environment Performance in our office. Babasabpatilfreepptmba.com 3 4
  35. 35. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™5. Collaborations Mergers, acquisitions, and joint ventures1988 — CBS Records Group from CBS. It was renamed "Sony Music Entertainment".1989 — Columbia Pictures Entertainment from Coca Cola for US$3.4 billion. It was subsequently renamed "Sony Pictures Entertainment" in 1991.1993 — Acquired Psygnosis Limited a computer games company based in Liverpool, UK. Psygnosis director Ian Hetherington was made Managing Director of Sony Computer Entertainment Europe.1995 — Sony/ATV Music Publishing LLC, a 50:50 joint venture of Sony Corporation of America and Michael Jackson.1997 — ST Liquid Crystal Display Corporation (STLCD), a 50:50 joint venture of Sony Corporation and Toyota Industries Corporation.2001 — Sony Ericsson, a 50:50 joint venture of Sony Corporation and Ericsson AB, was established in October.2002 — Aiwa Corporation in October.2004 — S-LCD Corporation, a joint venture of Sony Corporation and Samsung Electronics Co. Ltd (Samsung Electronics: 50% plus 1 share, Sony: 50% minus 1 share) was established in April.2004 — On July 20, 2004, the EU approved a 50-50 merger between Sony Music Entertainment and BMG. The new company was named Sony BMG Music Entertainment and, as of 2005, holds a 21.5% share in the global music market, behind worldwide leader Universal Music Group, which has a 25.5% share. Babasabpatilfreepptmba.com 3 5
  36. 36. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™2005 — On April 8, 2005, The MGM Company (Metro-Goldwyn-Mayer and United Artists) was acquired by a Sony-led consortium (Providence Equity Partners 29%, Texas Pacific Group 21%, Sony 20%, Comcast 20%, DLJ Merchant Banking Partners 7% and Quadrangle Group 3%) finalised the deal to purchase the film studio for about $4.8 billion, including $2bn in debts from Armenian-American Kirk Kerkorian.2006 — Sony NEC Optiarc Inc, a 55:45 (Sony 55%, NEC 45%) joint venture of Sony Corporation and NEC Corporation, was established in April.2006 — Acquired digital Single Lens Reflex (Digital SLR) cameras section from Konica Minolta including digital camera support and servicing.2006 — Acquired Grouper Networks (now Crackle, Inc.), a Sausalito-based startup company that created a user generated video sharing platform and P2P technology for $65M.2007 — Qreatic Design Inc, a 50:50 joint venture of Sony Corporation and Qimonda AG.2007 — Moversa GmbH, a 50:50 joint venture of Sony Corporation and NXPSemiconductors Babasabpatilfreepptmba.com 3 6
  37. 37. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™6. Product Line & Length Sony India Sony India Home IT &Television & Projector HomeTelevision & Projector IT & Portable Audio Portable Audio Video/Audio Video/Audio Computing Computing LCD TV LCD TV Blu-ray Disc Blu-ray Disc Laptop & Laptop & MP3 MP3 Player Player Computer Computer Walkman Walkman CRT TV CRT TV DVD Player DVD Player Memory Stick Memory Stick CD Walkman CD Walkman Home Theatre Home Theatre Projector Projector DVD/HDD Flash // Data •• 3LCD DVD/HDD Flash Data Voice 3LCD Recorder Media Voice Projection TV Projection TV Recorder Media Recorder Recorder Business Business Projector Projector DVD Portable DVD Portable Storage Media Storage Media Public Public Hi-Fi System Hi-Fi System Enterprise Enterprise Display Panel Display Panel Storage Storage Solutions Solutions Home Audio Home Audio Accessories Accessories Babasabpatilfreepptmba.com 3 7
  38. 38. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™ Sony India Sony India Storage & Storage & Digital Digital Game Game Video Camera Video Camera Recording Recording Photography Photography High High Play Play Memory Stick Memory Stick Digital SLR Digital SLR Definition Definition station® 3 station® 3 Video Video Camera Camera Play Play USB Storage USB Storage Digital Digital Station® 2 Media Camera Standard Standard Station® 2 Media Camera Definition Definition Video VideoPlayStation®PlayStation® Data Storage Digital Photo Camera Camera Portable Data Storage Digital Photo Portable Media Media Printer PrinterProjection TVProjection TV Standard Standard Definition Definition Storage Media Storage Media Video Video Camera Camera Professional Professional Media Media Video/Audio Video/Audio Media Media Babasabpatilfreepptmba.com 3 8
  39. 39. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™7. Management Level MD MD National Sales Head National Sales Head Regional Sales Manager Regional Sales Manager Area Sales Manager Area Sales Manager Babasabpatilfreepptmba.com 3 9
  40. 40. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™8. Major Competitors The major competitors for Sony Vaio in this region are HP/Compaq, Acer,Lenovo and the major share is taken by HP/Compaq laptops as they are having thebrand name as well as competing products which match the international standardsand are of good quality. In Sony the starting prices are from forty thousand and pluswhere as HP/Compaq has thirty plus thousand price tags. If a person buying laptop with price in his mind then there is no chance of himgoing for Sony as it is not affordable, in case he is ready to bear the price for theprice of forty thousand plus when he is able to get better configuration than what hegets in Sony then also he will think twice while buying. Sony products are known forthe quality there is no doubt about it but the price tags make them unhappy. Peoplewho are affordable and they are brand conscious only go for Sony. In some cases theuser was given a Sony laptop by his organization. The looks are most preferred ofthe Sony products. Acer and Lenovo are also having the higher end models where in they tap thesegment which is price conscious and wants higher configuration. Here thesecompanies produce at a low cost and do not charge premium prices on there productsas they want to compete in the market and increase their market share and with smallmargin they want to increase their profit. Babasabpatilfreepptmba.com 4 0
  41. 41. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™9. Various Branch Offices and Service centers The Head office of Sony India Pvt Ltd is located in New Delhi.Sony Branch offices • Haryana, • Ludhiana, • Mumbai, • Bangalore, • Chennai, • Kolkata, • Hyderabad, • Vijayawada, • Jaipur, • Chandigarh, • Lucknow, • Pune, • Ahmedabad, • Indore, • Cochin, • Coimbatore, • Ghaziabad, • Guwahati, • Hubli and • Ranchi Babasabpatilfreepptmba.com 4 1
  42. 42. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™ Babasabpatilfreepptmba.com 4 2
  43. 43. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™10. Employee base Sony India currently has employee base of 636 people working in India invarious branch offices.10.1 Business Activities Marketing, Sales and After-Sales Service of electronic products & softwareexportsProducts: Televisions, Hi-fi Audios, Home Theater systems and DVD players,Personal Audio (CD/Cassette Radio Players and Walkman®), Audio VideoAccessories, Car Audio and Visual Systems, Notebooks, Gaming Consoles,Camcorders and Digital Still Cameras, Digital Imaging Accessory (Batteries,Chargers, Microphone, Photo Printers), Mobile Phones, Recording Media andEnergy Devices, Broadcast and Professional products10.2 CareersJoin a Team that makes it happen We are committed tocontinually seek talented andcreative minds working inharmony with each other tobring new emotions andwonders to the world. As a leading Consumer Electronics organization we lookforward to your initiative, enthusiasm with imagination and invite you to exploreunparalleled career opportunities while creating an exciting future together. We provide our employees a vibrant, diverse and stimulating environmentwith enormous opportunities to explore new dimensions of creativity and Hi-Technology thus enhancing their potential to the optimum. Babasabpatilfreepptmba.com 4 3
  44. 44. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™ We invite you to join our organization whose forte are its ethics and values,which are reflected in our actions and people practices.11. Financial Performance Sony Corporation and Consolidated Subsidiaries Babasabpatilfreepptmba.com 4 4
  45. 45. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™ Babasabpatilfreepptmba.com 4 5
  46. 46. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™11.1 Business Overview Babasabpatilfreepptmba.com 4 6
  47. 47. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™Electronics The Electronics business is comprised of televisions, video, audio,information and communications equipment, Laptops, components, semiconductorsand other products. To achieve future growth and to reinforce competitiveness andprofitability, Sony is concentrating investment of its Electronics business resourcesin development and commercialization in the areas of high definition (HD) products,mobile electronics and semiconductors and other devices, all of which are crucial tothe differentiation of Sony’s products.Review of Operations In the fiscal year ended March 31, 2007, the global market for liquid crystal display (LCD) televisions totaled approximately 51.5 million units, 2.5 times its size in the previous year. Although competition in the operating environment for the flat panel television industry was harsh overall, efforts to heighten the appeal of our BRAVIA line of LCD televisions by focusing on key strategic product features—namely larger screen sizes and Full HD(1920 x 1080-pixel) resolution—supported brisk sales worldwide, pushing shipmentsof BRAVIA televisions up 2.3 times, to approximately 6.3 million units, and earningus the top global market share.* Source: DisplaySearch, revenue basis for calendar year 2006 Babasabpatilfreepptmba.com 4 7
  48. 48. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™11.1.1 Digital Camera The digital camera market continued to grow in the fiscal year ended March31, 2007, climbing 22%, to around 79 millionunits, reflecting robust replacement demand inEurope and North America. In this environment,Sony recorded brisk sales worldwide thanks toproducts that responded to market needs,including the affordably priced Cyber-shot Wseries and S series in Europe and North Americaand the slim-design Cyber-shot T series in Asia.As a consequence, shipments of Sony digital cameras increased 26%, toapproximately 17 million units.11.1.2 For the fiscal year ended March 31, 2007, the global market for video cameras remained level at about 18 million units, of which Sony accounted for approximately 7.45 million units, a slight decline from the previous fiscal year. From 8mm video, the industry format for consumer- use video cameras, to digital video (DV) and high definition video (HDV), which enables users to record andreplay HD video, we have led the industry by striving constantly to commercializeHandycam® camcorders that deliver improved image quality and convenience. Inthe period under review, we launched the first consumer-use video camera based onthe AVCHD HD video recorder format, which enables recording and storing of HDVideo on random-access media. We will continue to enhance our lineup of HDcamcorders and promote the conversion of personal video content to HD. Babasabpatilfreepptmba.com 4 8
  49. 49. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™11.1.3 BLU RAY In the period under review, we rolled out Blu-ray Disc players in theU.S. market while in Japan we launched two Blu-ray Disc recorder models. Capableof recording full-resolution content from HD broadcasting and HD video cameras,Blu-ray Disc recorders can also play motion pictures and other content released inBlu-ray Disc format, as well as support digital slide shows and playbackapplications, thereby increasing the enjoyment to be gained from HD technology.In the portable audio category, we continued to enhance our lineup of Walkman®digital music players. These players exhibit superb sound clarity, thereby fulfillingthe quintessential objective of any piece of audio equipment—to produce superiorsound that enhances the music listening experience. We also launched a top-of-the-line Walkman® series that delivers outstanding sound quality and high-resolutionvideo playback in a small, lightweight package featuring simple operability thattakes advantage of the large screen. Babasabpatilfreepptmba.com 4 9
  50. 50. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™GamePLAYSTATION®3 Launched in Japan on November 11, 2006, then successively in NorthAmerica and some Asian countries on November 17, 2006, and in Europe on March23, 2007, the PS3 platform is expanding. Despite the impact of a production delayfor a key PS3 component, SCE succeeded in shipping a total of 5.5 million unitsworldwide during the fiscal year. For the European launch, SCE took advantage ofthe four months following the Japanese/North American launches to assemble aninitial hardware shipment of 1 million units and approximately 30 software titles,thereby transforming PS3 into its most successful platform launch yet in Europe. Babasabpatilfreepptmba.com 5 0
  51. 51. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™Entertainment In the Entertainment business, Sony is primarily engaged in motion pictureand television production and distribution, music recording and music publishing.Enjoying leading industry positions in many of its businesses, Sony PicturesEntertainment Inc. (SPE) is comprised of its motion pictures, televisionprogramming, home entertainment and digital entertainment businesses. Sony MusicEntertainment (Japan) Inc. (SMEJ) and SONY BMG MUSIC ENTERTAINMENT,a joint venture with Bertelsmann AG, are engaged in the music recording anddistribution businesses, producing many hit songs and award-winning artists.Sony/ATV Music Publishing is engaged in the acquisition and exploitation ofmusical copyrights. Babasabpatilfreepptmba.com 5 1
  52. 52. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™11.2 Research and Development R&D expenses for the period increased ¥12.1 billion, or 2.3%, to ¥543.9billion from the prior fiscal year. This is equivalent to 7.1% of net sales andoperating revenue, excluding the Financial Services segment, which was down from7.8% a year earlier. R&D expenses in the Electronics segment increased ¥22.3 billion, or 5.3%, to¥440.4 billion, while expenses in the Game segment decreased ¥10.8 billion, or9.9%, to ¥97.9 billion.R&D Highlights for the Fiscal Year Ended March 31, 2007New AgreementsSony joined an alliance of industry-leading consumer electronics andtelecommunications companies from Japan, Korea, Europe and North America inMarch 2007 to establish the Open IPTV2 Forum. The organization will set a singleglobal standard for Internet protocol television (IPTV) technologies to deliver videocontent via networks. In this forum, the alliance members will develop technology tooffer consumers easy access to the content and services offered by various providersvia mobile and home electronics. Babasabpatilfreepptmba.com 5 2
  53. 53. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™11.3 Corporate Governance Sony is committed to strong corporate governance. As a part of this effort,Sony has adopted “Company with Committees” corporate governance system.11.4 Governance Structure Sony Corporation’s statutory entities are comprised of the Board of Directors,which is appointed by resolution at the shareholders’ meeting; three committees (theNominating Committee, Audit Committee and Compensation Committee),consisting of directors named by the Board of Directors; and the CorporateExecutive Officers, who are appointed by resolution of the Board of Directors. Inaddition to these statutory entities, Sony has Corporate Executives who carry outbusiness operations within designated areas.11.5 Corporate Governance Structure Babasabpatilfreepptmba.com 5 3
  54. 54. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™12. Theoretical Background for the project work12.1 Channel Management The channel decision is very important. In theory at least, there is a form oftradeoff: the cost of using intermediaries to achieve wider distribution is supposedlylower. Indeed, most consumer goods manufacturers could never justify the cost ofselling direct to their consumers, except by mail order. In practice, if the producer islarge enough, the use of intermediaries (particularly at the agent and wholesalerlevel) can sometimes cost more than going direct. Many of the theoretical arguments about channels therefore revolve aroundcost. On the other hand, most of the practical decisions are concerned with control ofthe consumer. The small company has no alternative but to use intermediaries, oftenseveral layers of them, but large companies do have the choice. However, many suppliers seem to assume that once their product has beensold into the channel, into the beginning of the distribution chain, their job isfinished. Yet that distribution chain is merely assuming a part of the suppliersresponsibility; and, if he has any aspirations to be market-oriented, his job shouldreally be extended to managing, albeit very indirectly, all the processes involved inthat chain, until the product or service arrives with the end-user. This may involve anumber of decisions on the part of the supplier: • Channel membership • Channel motivation • Monitoring and managing channels Babasabpatilfreepptmba.com 5 4
  55. 55. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™12.1 Channel conflicts Channel conflict refers to a situation in which business partners clash in someof their operations, such as distribution networks, in such a manner that it causesstress to the relationship, effectively turning them into both competitors and partnerssimultaneously. In the Internet-driven business world, channel conflict is a well-known phenomenon. As the online medium has forced separate players closertogether, it has resulted in many of them stepping on each others toes. Also called disintermediation, channel conflict is a problem that many in thee-commerce world aggressively took on as a consequence of devising an onlinestrategy. In the process, the chain of business relationships became scrambled andconfusing. Drastically lower transaction costs and higher margins for merchantsmake Internet-based direct customer sales irresistible. While companies fret overalienating their resellers, they risk losing valuable time and market share toaggressive competitors that move to become online distribution fixtures. Thesesimple economics lay at the heart of channel conflict. Forrester Research, aCambridge, Massachusetts-based market research firm, found that 66 percent of theconsumer goods manufacturers it surveyed listed channel conflict as the chief barrierto online sales. However, the fact of channel conflict appears to be inevitable asmore companies set up shop online. Companies have thus begun turning to strategies that will enable them tomanage channel conflict and eventually turn it into an advantage.Along with theadvent of e-commerce, many merchants moved their distribution outlets online toreach customers directly and save on transaction costs. This caused powerfuldistributor networks, which often enjoyed extremely valuable relationship with themerchants, to take offense at the abandonment of their businesses. For example,manufacturers who have established brand name recognition and loyalty may want Babasabpatilfreepptmba.com 5 5
  56. 56. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™to reap greater returns on their sales by bypassing retailers, with whom they mayhave built lasting relationships that contributed greatly to both parties success.Meanwhile, distributors—perhaps the most endangered victims of disintermediation—are increasingly challenged to prove they add immediate value and justify theirmargins. According to InformationWeek, one method was for distributors to foregothe assumption of ownership over inventory and instead charge manufacturers atransaction fee, while assuming order-management and other value-added duties.Meanwhile, a whole new crop of distributors rose up to encroach on the e-commercedistribution channels, marketing themselves as e-commerce services that handlelogistics and other tasks specifically for dot-coms. More important than what the firm values in these cases is what the customervalues in each segment of business. If customers have come to appreciate, expect,and depend upon a certain type of service and presentation they received through anexperienced retailer, a manufacturer may be shooting itself in the foot by trying tosell direct to customers over the Web. No matter how important the drive to establishan online presence and an Internet-based distribution scheme, the ultimate goal is toturn channel conflict into channel harmony. Babasabpatilfreepptmba.com 5 6
  57. 57. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™12.2 Sales Related Marketing Policies Sales related marketing policies impact upon the functions and operations ofthe sales department. These marketing policies delineate the guidelines within whicheffort to reach personal-selling objectives are made. The three major types are • Product policies (What to sell) • Distribution policies (to whom to sell) • Pricing policiesSales related marketing policies directly influence the jobs of sales executives.Clearly, these policies constitute the company-imposed marketing frame work withinwhich sales executives and the departments they lead must operate.Product PoliciesRelation to Product objectives Product policies serve as guidelines for making product decisions. They derive from product objectives .product policies define the nature of superiority from the standpoint of the product users. Babasabpatilfreepptmba.com 5 7
  58. 58. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™ Babasabpatilfreepptmba.com 5 8
  59. 59. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™Product line policy Policies on the width of a product line are classified as either short line. Thecompany following a short-line policy handles only part of a line, while the companywith the full-line policy handles all or most of the items making up a line.Distribution Policies Distribution Policies are important determinants of the functions of the salesdepartment. The choice of particular marketing channel or channels set the patternfor sales force operation, both geographically and as to the customers from whomsales force operations, both geographically and as to the customers from whom salespersonnel solicit orders.Pricing policies Every company has a policy regarding the level at which its products arepriced relative to the competition. If competition is price based, a company sells itsproducts at same price as its competitors. If there is non-price competition, thechoice is one of the alternative of three polices.  Meeting the competition.  Pricing above the competition.  Pricing under the competition. Babasabpatilfreepptmba.com 5 9
  60. 60. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™13. Rationale behind choice of the project“The important thing is not to stop questioning. Curiosity has its own reason forexisting. One cannot help but be in awe when he contemplates the mysteries ofeternity, of life, of the marvelous structure of reality. It is enough if one tries merelyto comprehend a little of this mystery every day. Never lose a holy curiosity” Albert Einstein US (German-born) physicist (1879 - 1955). A project always starts with a definition of problem. Once a problem is defined itcompletes the part of the project work. The questioning gives the exact answer forthe problem defined. The first portable computer was Osborne 1, which was developed in 1981.Manny Fernandez was the first who developed the personal portable computer forthe business executives in 1981 and named it “Laptop”. The two commonly usedterms are being used for the laptops, one is laptop and other is notebook. Sony Vaio is a well know brand in the Bangalore region and is performingwell in southern part of Karnataka, the Hubli-Dharwad region is up coming areawhere in there is lot of potential for the companies to increase their market share. There are players like HP/Compaq, Lenovo and Acer which are having theconsiderable amount of market share. Sony laptops have made their presence felt inthe market but it is now intending to increase the market share and the need for thisproject is to determine the opportunities available for its growth and to determine thegaps in the competitors within their distribution channel till the end users. This willhelp SONY to fill those gaps in its distribution channels through which it can makecustomers delight. Babasabpatilfreepptmba.com 6 0
  61. 61. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™ Through this project SONY will not only be able to get to know about theGaps of its competitors it will also be able to trace the of its channel and fill thoseGaps for providing the effective service to its channel members and end users. In this project a survey will be conducted on the retailers as well asdistributors of the laptops and data will be collected. Along with this informationfrom end user of the laptops will also be collected in order to know the customerpreference and their buying behavior. The company will get the latest informationabout the retailers i.e. data base of the retailers along with filled questionnaireswhich they have filled will be submitted to the organization. As for the end users a proportionate number of users as will as potentialcustomer’s opinion will be considered so that company can design their marketingstrategies to suit the needs of its customers. The study for laptop is essential as more people are buying laptops and thecompetition among the players is increasing. When the company is having sufficientdata about the market then it becomes easy to have an edge over its competitors. Considering all these aspects it is essential to study the potential of themarket, competitor’s strategy, finding the Gaps in the competitors and filling thoseGaps so that there can be an edge over the competitors. Babasabpatilfreepptmba.com 6 1
  62. 62. “To access the opportunities for increasing the sales of Sony Vaio laptops in Hubli-Dharwad region” like.no.other™14. Utility of the project14.1 Benefits to the organization  Sony will be benefited with the information collected by me on the Sony Vaio Laptops from the retail partners and further use it as per their requirement.  Sony will be able to estimate the market share of their products.  Through this project they will come to know about the performance of their competitors like HP/Compaq, Acer, Lenovo, and other in the laptop market.  The retailers mention about the satisfaction on the aspects like cost of the laptop, its performance and distribution channel and various other details which will be of prime importance to the company.  The report contains the data collected from end user also and potential customers. The end users are again segregated into segments like Sony laptop users and non-Sony laptop users, where in the information given by them is valuable and company will come to know the reason why people buy Sony and why people don’t buy Sony.  The information is also collected from the potential customers who are willing to buy the laptop and their preference is mentioned which is a vital information to the company  The data is collected from major cities of North Karnataka which include Hubli-Dharwad which tells the problem faced by the retail partner in the city like advertising problem, service problem.  The suggestions and opinions are collected in this report which is a valuable.14.2 Benefits to me as a student  As a student I came to know the market condition in the IT field.  I came to know about laptops, cost, usage, types and various other things. Babasabpatilfreepptmba.com 6 2