Philips is a large electronics company that has divisions for sound and vision products, household products, and personal care products. It underwent a rebranding strategy called "sense and simplicity" that emphasized how Philips' technological solutions can improve people's lives. This new branding position proved successful for Philips. However, it also faces risks if it does not deliver on its claims of providing cost-effective, easy to use, and reliable products. To ward off competition from Japanese electronics manufacturers, Philips can develop large automated plants, use more influential advertising including emotional branding, and offer product discounts.