Introduction of SONY Corp. SONY is established in 1946 by Kazuo Hirai. Main products are liquid crystal display TV, video camera, 3D Blu-ray disc player, computer and so on. This company is one of the top of company in Japan.
SONY’S Strategy On the subject of mobile, Sonys reorganization brings its cellphone, tablet, and Vaio computer lines all under the same umbrella with respect to R&D and design, to be headed up by the recently-announced. And Returning the TV business to profitability is a major objective for the company, and in order to achieve it Hirai plans to reduce fixed costs by 60 percent and flexible costs by 30 percent through further restructuring
Strategy of 2010 Expand our PC, Blu-ray Disc™-related products and component/semiconductor businesses into "trillion yen businesses**," joining LCD TVs, digital imaging (digital cameras and camcorders), game and mobile phones and raising the total number of "trillion yen businesses" to seven. Roll out video services across key Sony products by FY2010, starting with the summer 2008 launch on the PLAYSTATION®Network.
Problem Theres a problem, though. This reorganization may be structured to solve yesterdays problems, not tomorrows. Look at Sonys results: The company lost $2 billion on $23 billion in revenue in the holiday quarter. Half of that came because TV sales fell off a cliff. Most of the rest of the losses came from the phone business. Other units, including batteries, chips and storage, are limping along.
How must change? Sony Corp had a press conference on its new management structure Feb 2, 2012. Kazuo Hirai, who will be the president and CEO of Sony April 1, 2012, took the podium and announced his future plans. First, Hirai pointed out that the current electronics industry is suffering from commoditization and price drops and Sony is no exception. He said that, to survive this severe competition, he will have a strong heart and a sense of responsibility to lead the company and establish a "one- management" system that allows him to quickly make judgments on various issues. As important measures that Hirai will take as a CEO, he mentioned (1) reinforcement of Sonys core business, (2) rebuilding of its TV business, (3) reformation of its business portfolio and (4) acceleration of innovation.
How should do adopt for? Sony remains one of the most important brands in the world, synonymous with quality rich media and the devices that present it. The problem is that, despite a tagline that states “make.believe,” the company is, in a sense, simply playing make-believe with its business. However, the companys recent agreement to pay Ericsson $1.47 billion to buy out Ericsson’s position in their joint smartphone venture could vault Sony into becoming one of the major players in mobile and wireless.
How can beyond the 2010? In order to generate funds to continue to grow and innovate, Sony has identified a 5 percent operating margin as a baseline of profitability. Sony is also establishing return on investment capital as a fundamental framework for evaluating capital investments and potential acquisitions across the Sony Group to ensure the optimum use of resources. Our targeted investment (an aggregate of 1.8 trillion yen by the end of FY2010) will put Sony in a position to drive further growth and innovation over the next three years and beyond. Sony will also target an annual return on equity of 10% by FY2010. Going forward, we will work to deliver a stable, high level of profitability while enhancing shareholder value.
Conclusion SONY is the good company!~MAKE believe their strategy, outcome will be perfect!!~ I decide to cheer them!! Fighting!
Reference SONY HP :http://www.sony.co.jp http://www.sonyinsider.com/2009/11/19/sony-gets- real-defines-business-strategy-for-2010-and-beyond/ PB of SONYCorp. :http://www.cnbc.com/id/47033064/The_Problem_With_Sony039s_Planhttp://www.theverge.com/2012/4/12/2943015/sony-strategy-meeting