The document outlines key milestones in Sony's history from 1946 to present day. It established Tokyo Telecommunications Engineering Corporation in 1946 and innovated Japan's first electronic rice cooker. Sony became a global leader in consumer electronics through pioneering products like the transistor radio, Walkman, CD player, and PlayStation. The document also analyzes Sony's business strategies, strengths, weaknesses, opportunities, threats, and competitors in various product categories like audio-visual equipment, game consoles, and MP3 players. It recommends Sony continue innovation, pay closer attention to rivals, and accept preferred technologies and formats.

2. Content Milestones of Sony Nowadays Sony Strategic Analyses Problems Recommandations

3. Milestones of Sony 1946 – Establishment of Tokyo Telecommunications Engineering Corporation by Masaru Ibuka 1946 – Electronic Rice Cooker was innovated. 1949 – First Japanese Tape Recorder

4. Milestones of Sony 1955 – Japan’s first transistor radio launched 1958 – Company name changed to Sony Corporation 1959 – The first transistor TV was launched

5. Milestones of Sony 1960 – Sony Corporation of America was established. 1967 – The first factory in abroad was opened in Taiwan. 1968 – Sony Ltd. Established in the United Kingdom. 1968 – Trinitron Color TV’s were in the shops.

6. Milestones of Sony 1975 – Home-use “Betamax” 1979 – Walkman 1982 – CD player

7. Milestones of Sony 1989 – The first miniaturized camcorder 1989 – Sony purchased Columbia Pictures. 1993 – Sony computer entertainment was established. 1994 – Sony Playstation one was started to be sold .

8. Milestones of Sony 1996 – Sony Home PCs (VAIO) were launched. 2001 – Sony Ericcson Mobile Communications established. 2004 – Sony BMG Music Entertainment established.

9. Nowadays Sony With its ; 158.500 employees 64 billion dollars annual sales wide product range strong brand image Sony is one of the most important companies in world business.

10. Product Range TV Computer Game Consoles Audio Equipment Video Equipment Mobile Phones Movies Music Financial Services (only in Japan)

11. General Characteristics of Sony Working Practices Not a typical Japanese company Integration with differant cultures Continuous innovation High R&D expenditures

12. Strategic Analyses Generic Business Level Strategies SWOT Porter’s Five Forces BCG Competitors Analyses

13. Generic Business Level Strategies Alliances - Philips (to develop and launch CD players & CDs - 1980) Acqusitions - Colombia Pictures was acquired.

14. Generic Business Level Strategies Differentiation - Prestige - Superior Quality - Competitively High Prices - Rapid Innovation - High Customer Service

15. SWOT - Strenghts Strong Brand Image Worldwide Reputation High Market Share High Quality Products High Technology Pioneer in the Industry as Being Creative and Innovative Supports R&D Activites

16. SWOT - Strenghts Diversification in Manufacturing Locations Around the World Ability to Provide High Motivation to Its Employees Loyal Customers

17. SWOT - Weaknesses Over self-confidence which’s level sometimes reaches not paying attention to their rivals. Diversifications in unsuitable businesses for itself. They insist on their own formats. Competitively high prices.

18. SWOT - Opportunities Continuous growth in their sectors. Increasing demand in technological products around the world.

19. SWOT - Threats Strong competiton in the market. Short product lifecycle. Imitation of brand name and technology.

20. Industry Analysis (Porter’s Five Forces) Threat of new entrants - Low Barganing power of buyers – High Barganing power of suppliers – Low Rivalry among existing firms – High Threat of subsitute products - Low

21. Competitors Analyses Audio Visual Equipments -VHS vs Betamax -HD-DVD vs BluRay Game Consoles -Nintendo,Microsoft Mp3 Players -Apple

22. Betamax versus VHS VHS format was develop by JVC. JVC held patent agreements with both Sony and the others about the format.So this format became popular. Sony developed Betamax format,which became less advantageous than VHS, because Sony did not share its patent with anyone. This cause a failure.

23. Blu-ray versus HD-DVD Blu-ray by Sony and HD-DVD by Toshiba are both high density optical discs. Both formats are supported by strong companies. Both has competitively superior features. (Blu-ray has more capaticy but HD-DVD is cheaper)

24. Game Consol Competition Nintendo - Established in 1889 as a game card producer. - They achieved to produce many game consoles e.g NES,SNES,Gameboy - They could not reach the expected success in Nintendo64 and Gamecube console sales.

25. Game Consol Competition Nintendo - They aim to turn back to their leader position by their new product Wii,which was launched in 2006. - They achieved to apply both cost leadership strategy and differentiation by Wii.

26. Game Consol Competition Microsoft - They are the biggest software producer. - In 2001 they decided to produce game console which is a very different sector. - At the end of 2002 Xbox was launched,then they became the most important competitor of Playstation 2.

27. Game Consol Competition Microsoft - It could not reach the company’s expected succes, because Xbox started to be sold after PS2. - At the end of 2005 Xbox-360 was launched.

28. Game Consol Competition Xbox-360 November 2005 399$ HD games,HD-DVD driver,online gaming.. Wii November 2006 249$ Extraordinary controller,online gaming... PS3 November 2006 (Japan and America) March 2007 in Europe 499$ and 599$ HD games,bluray driver,online gaming... Launch Date: Price: Features:

29. Game Consol Competition

30. Mp3 Player Competition Apple Ipod - iPod is a brand of portable media player designed and marketed by Apple and launched in October 2001 . - It became a very important product in mp3 player market by its extraordinary design and easy usage.

31. Mp3 Player Competition - In its first years, iPod could not gain an important success. However; due to the fact that there was no rival in the market, the product’s fame spreaded day by day. - In 2003, iPod became the market leader. - By being innovative, iPod protects its leader position today.

32. Mp3 Player Competition

33. What are the Problems? By not giving the patent of Betamax it could not be as popular as VHS. They could not produce a superior strategy as compare to its rivals. Their entrance time to mp3 player sector was not suitable (late). They continued to insist on their own format.

34. BCG MATRIX High Low High Low Market Share Market Growth Rate Video Cassettes Walkman Mp3 Player Mobile Phone Playstation

35. Recommendation Should continue to be creative. Should pay more attention to their rivals. Sub brand which can be cost leader. They should accept the technologies preffered by customers.

36. Thank you for your listening... Koray Yeşildağ Yelda Durmaz Alp Yıldırım