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  • 2. SONY CORPOR ATIONEstablished as Tokyo Tsushin Kogyo Corporation in May 1946
  • 3. AGENDA• Company History• Founder : Akio Morita• Corporate Policy• Strategy & Organization• Current Initiatives
  • 4. Company History• 1946 - Tokyo Telecom Engineering• 1950 - First Japanese tape recorder• 1955 - First transistor radios• 1957 - First pocket-sized radio• 1958 - Name change to Sony (from "sonus," Latin for "sound," and "sonny," meaning “little man”)• 1968 - Intro of Trinitron color TV – explosive growth• 1979 - Walkman personal stereo
  • 5. Company History• 1980’s - Major Producer of computer disks/ floppies• 1988 - Bought CBS Records for $2 billion.• 1989 - Bought Columbia Pictures for $4.5 billion.• 1994 - Sony Playstation released to great success.• 1997 - JV with Philips (inventors of the CD) to make Super Audio CD• 1998 - Launched Wega flat-screen TV• 1999 - JV with Philips, Sun Microsystems to develop networked entertainment products• 1999 - Walkman with MP3 capabilities
  • 6. Company History• 2000 - Formed – games/software online• 2000 - Restructured all entertainment units under Sony Broadband Entertainment• 2001 - JV Sakura Bank and JP Morgan Chase for online bank.
  • 7. Founder: Akio Morita• Groomed to take over 14-generation family Sake business• Strong entrepreneurial spirit: Tokyo Telecom Engineering• Revolutionary thinking: Brand is lifeblood of company success• Listed Sony on NYSE in 1970.• 1966 “Never Mind School” emphasize the capabilities ofindividuals, rather than their prior academic background andhistory – a revolutionary concept for Japan.• Strong belief R&D leads to new ways to meet customer needs.• Co-chair of various conferences, including the Japan-U.SBusiness Council, The Trilateral Commission, and the WorldEconomic Forum in Davos.
  • 8. Founder: Akio Morita• Instrumental in easing trade friction with the U.S by playingleading roles in the Keidanren (Japan Federation of EconomicOrganizations), the Japan-U.S. Economic Relations Group.• 1998 - Morita chosen as one of Time magazine’s 20 mostinfluential business people of the 20th century - the only Asianmember on its list. Akio Morita: The Sony man who put Japan on the corporate map passed away in October 1999.
  • 9. From left:Hiroshi Yoshioka: CEO, Executive Deputy PresidentAnd Officer in charge of CPDG.Howard Stringer: Chairman, CEO, and PresidentKazuo Hirai: Corporate Executive officer, Executive vicePresident and officer in charge of NPSG
  • 10. Procurement Policies Reflect Corporate Policy• Open Doors and Fairness• Quality and Competitive / Reasonable Price• Delivery Assurance and Services• Optimum Procurement• Technology Development• Suppliers Management
  • 11. Strategy and Organization• Continue to focus on communications and home electric appliances, but also content and services• Vertically integrated business• Vision is to become a broadband entertainment company• CEO Idei Nobuyuki wants Sony to be wherever peoplegather (Internet)• Product-Market Strategy: Apply IT to product design,production, distribution, and sales
  • 12. Sony Business Units• Electronics: •Audio,Video, Televisions Information and Communications.• Sony Computer Entertainment: •Hardware and related software• Sony Music Entertainment: •Sony Music Entertainment Inc.: Columbia Records, Sony Classical, Sony Discos,Sony Disc Manufacturing, and Sony Music Nashville •Sony Music Entertainment Japan: Sony Records and Epic Records
  • 13. Sony Business Units• Sony Pictures Entertainment – • motion picture - production, acquisition and distribution • television – programming, production, acquisition and distribution • home video - acquisition and distribution • television broadcasting • operation of studio facilities• Sony Life Insurance Blue Streak Wheel of Fortune Big Daddy• Other: • Sony Finance International, Inc. • Sony Trading International Corporation • Sony Broadcast Media Co. Ltd. •
  • 14. Sony Business Units Region $ % of Total (Millions) Japan 20,012 32 US 19,124 30 Europe 13.872 22Other Regions 10,074 16 Total 63,082 100
  • 15. Interesting Current Initiatives• E-Commerce • in Feb 2000 • Strategy reflects its desire to reduce the role of the big discounters as middlemen and gain greater control over prices• Car Navigation Systems • 7% of worldwide market • These systems incorporate sophisticated technology, including web- access and advanced voice recognition.• Video-Game Machines and Console Software • Sony’s Playstation 2 (PS2) is claimed to be the first next-generation game console. This system can play DVDs, CVDs, and CD-Roms. • In February, Sony Corp. unveiled an alliance with game software makers Sega Corp. and Namco Ltd. in online game distribution.
  • 16. Interesting Current Initiatives• AIBO- Artificial Intelligence ROBOT • As close to human as possible – has emotions and instincts