Strategic Analysis Final Paper

EASTMAN KODAK COMPANY 2
Table of Contents
Executive Summary ..............................................................................................................4
Company Snapshot................................................................................................................5
Introduction........................................................................................................................... 6
Corporate Mission.....................................................................................................................................................6
Corporate Vision........................................................................................................................................................6
Company History.......................................................................................................................................................7
Internal Analysis ...................................................................................................................9
Financial Analysis...................................................................................................................................................10
Balance Sheet:.........................................................................................................................................................10
Income Statement:................................................................................................................................................13
Cash Flow Statement:..........................................................................................................................................17
Ratios:.........................................................................................................................................................................19
Stock Performance:..............................................................................................................................................21
Shareholder Value: ...............................................................................................................................................22
Operational Analysis............................................................................................................................................23
Organizational Structure:..................................................................................................................................23
Production Methods:...........................................................................................................................................25
Material Costs:........................................................................................................................................................26
Location of facilities:............................................................................................................................................27
Human Resources...................................................................................................................................................28
Hiring practices: ....................................................................................................................................................28
Promotion policies:..............................................................................................................................................30
Creating Jobs:..........................................................................................................................................................32
Training:....................................................................................................................................................................33
Monitoring Performance:..................................................................................................................................34
Absenteeism/Turnover:.....................................................................................................................................36
Benefits:.....................................................................................................................................................................38
Capabilities: .............................................................................................................................................................40
Marketing/Performance Measurement....................................................................................................41
Pricing:.......................................................................................................................................................................41
Promotion/Advertising:.....................................................................................................................................42
Products:...................................................................................................................................................................44
Brand Loyalty:........................................................................................................................................................45
Reputation: ..............................................................................................................................................................46
Image/Quality:.......................................................................................................................................................50
Market Segments: .................................................................................................................................................51
Environmental Analysis.....................................................................................................52
Customer Analysis..................................................................................................................................................53
Target Market:........................................................................................................................................................53
Brand Loyalty:........................................................................................................................................................55
Customer Motivation:..........................................................................................................................................56
Unmet Needs:..........................................................................................................................................................57
Competitor Analysis..............................................................................................................................................58
Competitors Strengths:.......................................................................................................................................62
Market Analysis.......................................................................................................................................................64
Market Size:.............................................................................................................................................................64

Market Growth Rate:...........................................................................................................................................65
Market Profitability:.............................................................................................................................................66
Industry Cost Structure:.....................................................................................................................................68
Distribution Channels:........................................................................................................................................69
Market Trends:.......................................................................................................................................................70
Key Success Factors:............................................................................................................................................71
Legal:..............................................................................................................................................................................72
Political:.......................................................................................................................................................................73
Social:.............................................................................................................................................................................75
Economic:....................................................................................................................................................................77
Demographics:.........................................................................................................................................................79
Technological:...........................................................................................................................................................82
International:............................................................................................................................................................83
SWOT Analysis Chart ..........................................................................................................85
Goals and Strategies ...........................................................................................................86
Goal #1:.........................................................................................................................................................................87
Strategy #1:................................................................................................................................................................87
Goal #2:.........................................................................................................................................................................88
Strategy #2:................................................................................................................................................................88
Goal #3:.........................................................................................................................................................................89
Strategy #3:................................................................................................................................................................89
Summary/Recommendations...........................................................................................90
References ............................................................................................................................92

Executive Summary
The followingstrategic analysis will containvarious analyses to examine the
Eastman Kodak Company and how well the company is performing. It will provide a
brief insight of the company by examining the internal and external environments. The
internal analysis will include and examinationof the financials, operations, human
resources, and marketingsegments of the company. There will also be several other
analyses done on environmental factors that may affect the Eastman Kodak Company.
These environmental factors include analyses from the followingsegments: competitor,
customer, market, legal, political, social, economic, demographic, technological,
international, and a SWOT analysis.
After lookingat the analyses, we will be able to see what the company is like as a
whole and see where it stands in the industry. It shouldgive Eastman Kodak an idea of
the positive and negative aspects of the company, as well as what is to come inthe future
for them. In conclusionof this strategicanalysis, we will identifythree potential business
strategies that couldbe implementedinto the Eastman Kodak Company’s business
planning strategies. These business strategiesare aimedto fix or improve some of the
flaws in Eastman Kodak Company’s current business strategies.

Company Snapshot
Headquarters:
343 State St.
Rochester, NewYork 14650
Phone: 585-724-4000
Toll Free: 800-698-3324
Fax: 585-724-1089
Established:
1880 inRochester, NewYork
Personnel Employed:
17,100 (2/29/2012)
Locations:
Head Quarters: Rochester, NewYork
Over 100,000 Picturekiosks worldwide
NASDAQ Symbol:
EKDKQ
PrimarySICS:
3861- Photographic Equipment and Supplies
PrimaryNAICS:
325992- Photographic Film, Paper, Plate, and Chemical Manufacturing
Top Competitors:
FUJIFILM- Tokyo, Japan
Sony- Tokyo, Japan
Hewlett-Packard-
Target Market:
Womenwith young children
Young Adults
Demand:
The demand for Eastman Kodak products is decliningdue to lack of technological
innovation.

Introduction
Corporate Mission
We will build a world-class, results-oriented, diverse culture basedonour sixkey
values, through which we will grow more rapidly than our competitors byproviding our
customers andconsumers withsolutions to capture, store, process, output, recognize and
celebrate achievement and communicate their images to people and machines anywhere,
anyplace, and anytime. We will derive our competitive advantage by offeringour
customers andconsumers differentiated, cost-effective solutions theywant, when they
want, and with flawless quality in our consumables, hardware, systems, and services. In
this way, we will achieve our fundamental objective of Total Customer Satisfactionand
our consequent goals of IncreasedGlobal Market Share and Superior Financial
Performance.
Corporate Vision
To be the WorldLeader in Imaging

Company History
George Eastman startedthe Eastman Kodak Company when he was only 26 years
oldin April of 1880. He began his business on the thirdfloor of abuilding in Rochester
New York. In this building he began producing dry plates for sale by using his formula
for dry plates and his patented machine for producing large numbers of dry plates at one
time.
As the Eastman Kodak Company startedto earn a name for itself, George
Eastman began advertising to the public. The first of many advertisements put out by the
Eastman Kodak Company were printedin newspapers and periodicals from day to day
with the ads writtenby George Eastman himself. Later the Kodak Company came up
with the slogan, “you press the button, we do the rest.”when they introducedthe Kodak
camerato the public in 1888. Alongwith the slogan they also introducedthe “Kodak
Girl”to relate aface to the companies name. Each year the Kodak Girls clothes changed
and the camerashe was holding in the ad changed as well. Throughout the 132 years of
business the company has been through the brands logo has only changed 6 different
times. It began with just black letteringthat said “EKC” and evolved into what is now
redand yellowcoloringand the word Kodak. Kodak createda very strongbrand logo
that is easily recognizable to people all over the world.
The Eastman Kodak Company grew in not only in film and cameras, but they
enteredthe market in several different fields. They began to manufacture film to be used
in motionpictures, carousal projectors, printers, digital printers, digital cameras, and even

began producing x-ray film. Through the 132 years of business the Eastman Kodak
Company has expanded to countries all over the world and has managed to keep George
Eastman’s ideals;mass productionat a low cost with the customersalways in mind.

Internal Analysis
The next sectioninthis strategic analysis is an internal analysis of the Eastman
Kodak Company. The main goal and primary purpose of an internal analysis is to
understand the business in depth and to use the informationfoundfor strategic planning
to increase the company’s growth. This sectionwill go over several aspects of the
Eastman Kodak Company including a financial analysis, operational analysis, Human
resources, and marketingand performance measurement. Whenthe internal analysis is
complete it informs us of whether or not the company’s performance is thriving,
unsatisfactory, or deteriorating. And this will allow us to determine the appropriate
strategyfor the company to grow.

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Financial Analysis
Balance Sheet:
A balance sheet is a snapshot at a single point in time of the company’s accounts.
It covers the assets, liabilities, andstockholders equity. Bylookingat the Balance sheet
of Eastman Kodak we can determine the financial positionof their business, and display
what the company owns and owes.
From the balance sheet we can see that Eastman Kodak Company’s assets are
decliningwhile there debt to assets continues to rise. Bycomparingthe balance sheets
for the past few years we can see that Kodak is in a dangerous pattern. Each year their
debt increases andthis can lead to the company having to file for bankruptcy or be forced
to sell the remainders of the company.
In Millions of USD (except for
per share items)
As of
2011-12-
31
As of
2010-12-
31
As of
2009-12-
31
As of
2008-12-
31
Cash & Equivalents 861.00 1,624.00 2,024.00 2,145.00
Short Term Investments - - - -
Cash and Short Term
Investments
861.00 1,624.00 2,024.00 2,145.00
Accounts Receivable - Trade,
Net
996.00 1,074.00 1,395.00 1,716.00
Receivables - Other - - - -
Total Receivables, Net 1,103.00 1,196.00 1,395.00 1,716.00
Total Inventory 607.00 746.00 679.00 948.00
Prepaid Expenses - - - -
Other Current Assets, Total 132.00 220.00 205.00 195.00
Total Current Assets 2,703.00 3,786.00 4,303.00 5,004.00
Property/Plant/Equipment,
Total - Gross
5,485.00 6,022.00 6,432.00 6,805.00

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Accumulated Depreciation,
Total
-4,590.00 -4,985.00 -5,178.00 -5,254.00
Goodwill, Net 277.00 294.00 907.00 896.00
Intangibles, Net 87.00 124.00 184.00 247.00
Long Term Investments - - - -
Other Long Term Assets, Total 716.00 985.00 976.00 1,422.00
Total Assets 4,678.00 6,226.00 7,691.00 9,179.00
Accounts Payable 706.00 959.00 919.00 1,288.00
Accrued Expenses 604.00 742.00 870.00 936.00
Notes Payable/Short Term
Debt
0.00 0.00 0.00 0.00
Current Port. of LT Debt/Capital
Leases
152.00 50.00 62.00 51.00
Other Current liabilities, Total 688.00 1,069.00 1,045.00 1,163.00
Total Current Liabilities 2,150.00 2,820.00 2,896.00 3,438.00
Long Term Debt 1,363.00 1,195.00 1,129.00 1,252.00
Capital Lease Obligations - - - -
Total Long Term Debt 1,363.00 1,195.00 1,129.00 1,252.00
Total Debt 1,515.00 1,245.00 1,191.00 1,303.00
Deferred Income Tax - - - -
Minority Interest 2.00 2.00 2.00 3.00
Other Liabilities, Total 3,515.00 3,286.00 3,699.00 3,501.00
Total Liabilities 7,030.00 7,303.00 7,726.00 8,194.00
Redeemable Preferred Stock,
Total
- - - -
Preferred Stock - Non
Redeemable, Net
- - - -
Common Stock, Total 978.00 978.00 978.00 978.00
Additional Paid-In Capital 1,108.00 1,105.00 1,093.00 901.00
Retained Earnings
(Accumulated Deficit)
4,071.00 4,969.00 5,676.00 5,903.00
Treasury Stock - Common -5,843.00 -5,994.00 -6,022.00 -6,048.00
Other Equity, Total -2,666.00 -2,135.00 -1,760.00 -749.00
Total Equity -2,352.00 -1,077.00 -35.00 985.00
Total Liabilities & Shareholders'
Equity
4,678.00 6,226.00 7,691.00 9,179.00
Shares Outs - Common Stock - - - -

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Primary Issue
Total
Common
Shares
Outstanding
271.38 268.90 268.63 268.17

3
Income Statement:
The income statement is afinancial statement that measures a company’s financial
performance over a specific accountingperiod. It is divided into two parts, the operating
activities and non-operatingactivities. The financial performance is calculatedby giving
a summary of how the business incurs its revenues and expenses through both the
operatingand non-operatingactivities. Withthe summary given through the income
statement investors and creditorsare able to determine the past financial performance of
the company, predict the future performance, and assess the capabilityof generating
future cash flows through income and expenses.
In Millions of USD (except
for per share items)
12 months
ending
2011-12-
31
12 months
ending
2010-12-
31
12 months
ending
2009-12-
31
12 months
ending
2008-12-31
Revenue 6,022.00 7,167.00 7,609.00 9,416.00
Other Revenue, Total - - - -
Total Revenue 6,022.00 7,167.00 7,609.00 9,416.00
Cost of Revenue, Total 5,135.00 5,221.00 5,850.00 7,247.00
Gross Profit 887.00 1,946.00 1,759.00 2,169.00
Selling/General/Admin.
Expenses, Total
1,159.00 1,275.00 1,298.00 1,606.00
Research & Development 274.00 318.00 351.00 478.00
Depreciation/Amortization - - - -
Interest Expense(Income) -
Net Operating
- - - -
Unusual Expense (Income) 53.00 790.00 115.00 904.00
Other Operating Expenses,
Total
-1.00 -9.00 3.00 2.00
Total Operating Expense 6,780.00 7,728.00 7,726.00 10,237.00
Operating Income -758.00 -561.00 -117.00 -821.00
Interest Income(Expense),
Net Non-Operating
- - - -

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Gain (Loss) on Sale of
Assets
- - - -
Other, Net - - - -19.00
Income Before Tax -758.00 -561.00 -117.00 -874.00
Income After Tax -767.00 -675.00 -232.00 -727.00
Minority Interest 0.00 0.00 -1.00 0.00
Equity In Affiliates - - - -
Net Income Before Extra.
Items
-767.00 -675.00 -233.00 -727.00
Accounting Change - - - -
Discontinued Operations - - - -
Extraordinary Item - - - -
Net Income -764.00 -687.00 -210.00 -442.00
Preferred Dividends - - - -
Income Available to
Common Excl. Extra Items
-767.00 -675.00 -233.00 -727.00
Income Available to
Common Incl. Extra Items
-764.00 -687.00 -210.00 -442.00
Basic Weighted Average
Shares
- - - -
Basic EPS Excluding
Extraordinary Items
- - - -
Basic EPS Including
Extraordinary Items
- - - -
Dilution Adjustment 0.00 0.00 0.00 0.00
Diluted Weighted Average
Shares
269.10 268.50 268.00 281.80
Diluted EPS Excluding
Extraordinary Items
-2.85 -2.51 -0.87 -2.58
Diluted EPS Including
Extraordinary Items
- - - -
Dividends per Share -
Common Stock Primary
Issue
0.00 0.00 0.00 0.50
Gross Dividends -
Common Stock
- - - -
Net Income after Stock
Based Comp. Expense
- - - -
Basic EPS after Stock - - - -

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Based Comp. Expense
Diluted EPS after Stock
Based Comp. Expense
- - - -
Depreciation,
Supplemental
- - - -
Total Special Items - - - -
Normalized Income Before
Taxes
- - - -
Effect of Special Items on
Income Taxes
- - - -
Income Taxes Ex. Impact
of Special Items
- - - -
Normalized Income After
Taxes
- - - -
Normalized Income Avail
to Common
- - - -
Basic Normalized EPS - - - -
Diluted Normalized
EPS
-2.69 -0.58 -0.51 -0.49

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When lookingat the income statement for the EastmanKodak Company we can
see immediatelythat they have experiencedanet loss for the past four years of their
business operations. This means that total revenue earnedis less that of the expenses
incurredthroughout the accountingperiod, and they have made no profit. We canalso
see from the charts provided above that profit margin and operatingmargin from the
operatingactivities and non-operatingactivities has steadilydecreasedsince 2007.
Company’s that incur a net loss at the end of an accountingperioddon’t
necessarilygo bankrupt because theymay decide to use their retainedearnings or even
take out a loan to keep their company going. However, a company that cannot make
profits and continuallygenerates a net loss will not be able to survive in the market.
Based off of Eastman Kodak’s past four income statements we can suspect that the

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company is headed for bankruptcy unless theycan increase their revenue and lower their
expenses.
Cash Flow Statement:
A cash flow statement is a financial statement that shows how cash is generated
and used during a specific accountingperiod. The cash flow statement is organizedin
three main categories, operatingactivities, investingactivities, financing activities. By
reading the cash flowstatement we will be able to determine the short-term lifeof the
company.
When lookingat the cash flowstatement for the Eastman Kodak Company we can
see that the cash from operatingactivities (-998.00)is less thanthe net income (-764.00).
This raises a redflag because the reportednet income is not convertinginto cashlike it
should be. Along with that the Eastman Kodak Company is generating less cashthan it is
using to keep all of its activities up and running. It can be determinedfrom lookingat the
cash flow statement that the Eastman Kodak Company does not generate enough cashto
fund all of its operatingactivities and its income is not converting into cash like it should
be.

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In Millions of USD (except for
per share items)
12
months
ending
2011-12-
31
12
months
ending
2010-12-
31
12
months
ending
2009-12-
31
12
months
ending
2008-12-
31
Net Income/Starting Line -764.00 -687.00 -209.00 -442.00
Depreciation/Depletion 294.00 378.00 427.00 500.00
Amortization - - - -
Deferred Taxes 12.00 -91.00 -99.00 16.00
Non-Cash Items -76.00 741.00 -95.00 798.00
Changes in Working Capital -464.00 -560.00 -160.00 -704.00
Cash from Operating Activities -998.00 -219.00 -136.00 168.00
Capital Expenditures -128.00 -149.00 -152.00 -254.00
Other Investing Cash Flow
Items, Total
103.00 37.00 130.00 66.00
Cash from Investing Activities -25.00 -112.00 -22.00 -188.00
Financing Cash Flow Items -6.00 -12.00 -30.00 0.00
Total Cash Dividends Paid - 0.00 0.00 -139.00
Issuance (Retirement) of
Stock, Net
- 0.00 0.00 -301.00
Issuance (Retirement) of Debt,
Net
252.00 -62.00 63.00 -306.00
Cash from Financing Activities 246.00 -74.00 33.00 -746.00
Foreign Exchange Effects 14.00 5.00 4.00 -36.00
Net Change in Cash -763.00 -400.00 -121.00 -802.00
Cash Interest Paid,
Supplemental
126.00 115.00 70.00 85.00
Cash Taxes
Paid,
Supplemental
78.00 197.00 225.00 145.00

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Ratios:
Profitabilityis an important indicator of a businesses performance andcan tell you
whether or not past business strategies were successes or failures. Whenlookingat
profitabilityratios the higher the percentage onreturnof equity and returnon assets the
more profitable the companyis. Return on equity measure a company’s profitabilityby
showing how much profit a company generates with the money the shareholders have
invested into the company. Returnon assets is an indicator of how profitable acompany
is comparedto its total assets, or how efficient management is at using the company’s
assets to generate earnings. From the table below we can see that the Eastman Kodak
Company’s returnon assets is a negative percentage at -3.87%. And the company’s
returnon equity is also at a negative percentage at -22.16%. This tells us that the
Eastman Kodak Company generates zero profit and has continuallybeen going into debt
throughout the last few years.

0
Margins % of Sales 2008-12 2009-12 2010-12 2011-12 TTM
Revenue 100.00 100.00 100.00 100.00 100.00
COGS 76.96 76.76 72.85 85.27 4.66
Gross Margin
23.04 23.24 27.15 14.73
—
SG&A 16.81 17.12 17.77 19.25 4.68
R&D 5.32 4.68 4.47 4.55 —
Other 1.29 1.81 9.59 0.90 -1.74
Operating Margin
-0.38 -0.37 -4.68 -9.96 -2.94
Net Int Inc & Other -8.90 -1.17 -3.13 -2.62 -17.89
EBT Margin
-9.28 -1.54 -7.81 -12.59 -20.83
Profitability 2008-12 2009-12 2010-12 2011-12 TTM
Tax Rate % — — — — —
Net Margin % -4.69 -2.76 -9.56 -12.69 -20.49
Asset Turnover (Average) 0.82 0.90 1.03 1.10 1.12
Return on Assets % -3.87 -2.49 -9.86 -14.00 -23.02
Financial Leverage (Average) 9.55 — — — —
Return on Equity % -22.16 -45.36 — — —
Return on Invested Capital % -12.83 -12.28 — — —

1
StockPerformance:
Stockprices are at an all time low for the Eastman Kodak Company. As of
November of 2012 the stockprice has beenat $0.20. Shareholders are tryingto sell off
what shares of stocktheydo have invested in the company even though the returnis
extremelylow. Since rumors have been going around about the company filing for
bankruptcy experts have been tellingpeople, “ Stay away from this stockif you know
what’s goodfor your portfolio (Munarriz, 2012)”.
Today’sTrading
Previous close 0.21
Today’s open 0.20
Day’s range 0.20 - 0.21
Volume 856,640
Average volume (3 months) 2,514,777
Market cap $54.5M
Dividend yield --
Data as of 3:56pm ET, 11/09/2012

2
Shareholder Value:
Shareholders, also known as stockholders, are the backbone of a company and are
consideredanindividual that legally own a share of stockina corporation. They own
pieces of stockfrom the companybut not the actual corporationitself. Shareholders
value is the sum of all strategic decisions that affect the firm’s abilityto efficiently
increase the amount of free cashflowover time. In other words, it is the value
shareholders receive because of management’s ability to grow earnings.
Shareholders of Eastman Kodak have been in panic recentlydue to Kodak’s
inability to generate revenue that exceeds the cost of their operations. The shareholders
value is at an all time low as the Eastman Kodak Company debts whether to declare
bankruptcy or not. “As it stands, though, Kodak is burning cashas it limps toward the
corporate graveyard in a less-than-picture-perfect finish (Smith, 2011)”. This once iconic
company struggles to stay afloat and keep their shareholders happy.

3
Operational Analysis
Organizational Structure:
As of September 10, 2012 the EastmanKodak Company announced its new
organizational changes to its structure. The main focus of this new organizationstructure
is to reduce their cost structure. “Kodak is becominga more focusedand competitively
scaledcompany. We recognize that we must significantlyand expeditiouslyreduce our
current cost structure, whichis designed for a much larger, more diversifiedset of
businesses. We are reorganizingour senior management team, an actionthat will help
accelerate the creationof asustainable cost structure foroperatingour business for the
benefit of our customers andpositionour PersonalizedImaging and Document Imaging
businesses for successful sales(Perez, 2012)”. The company will now have three main
business segments: digital printingand enterprise;graphics, entertainment and
commercial films, and a new segment with personalizedimaging and document imaging.
“This business structure puts the right people inthe right positions to accomplishthe key
tasks that will help Kodak successfullyemerge (Perez, 2012)”. Alongwith them new
organizational structure, there is anew management structure that goes as follows:
 The Commercial, Packaging& Functional PrintingSolutions and Enterprise
Services business will primarily include the Digital Printingand Enterprise
(DP&E) and Graphics, Entertainment and Commercial Films (GECF) units.
DP&E President Douglas J. Edwards and GECF President BradW. Kruchtenwill
report directlyto Perez.

4
 PhilipJ. Faraci, President, is leaving the company. Pereznotedthat as Chief
Operating Officer, Faraci played an important role inhelping transform the
company. WithFaraci’s assistance, the company has developedexcellent
operational leadershipprocesses to take forwardits remaining businesses.
 Chief Financial Officer Antoinette P. McCorveyhas decidedto leave the
company. RebeccaA. Roof, a managing director of AlixPartners, the company’s
restructuringadvisoryfirm, will become Chief Financial Officer onan interim
basis, reportingto Perez. Roof has servedin similar capacities for other
companies that have successfullyemergedfrom Chapter 11 restructurings, and
she has deepexperience inscalingoverhead costs, implementingcost reduction
programs, managing liquidity and raising capital, and executingasset sales – all
critical areas of focus for Kodakas the company concludes its restructuring.
 Laura G. Quatela, Kodak President, will assume the additional role of President,
PersonalizedImaging, and leadthat business throughits sale process.
 Dolores Kruchtenwill become President, Document Imaging, to lead that business
through its sale process.
 Quatela and Dolores Kruchtenare expectedto remainwith Kodak until the sales
of their respective businesses are completedinthe first half of 2013.

5
ProductionMethods:
The Eastman Kodak Company has a very simple productionprocessand they
designedit this way on purpose. To be able to get out of debt as soonas possible they
neededto manufacture and distribute their products as quickly as possible. Instead of
making parts on their own like circuit boards, and paper base Kodak startedto order them
from a third-party supplier. Orderingfrom a third party supplier cut down onthe time it
tookto manufacture the products so theycould be put on the shelves quicker. The faster
Kodak can put products on the shelf, the faster theycan make a profit inhopes to relieve
some of the company’s debt.

6
Material Costs:
Eastman Kodak’s material costs vary throughout the year. They spend the most
on materials inthe last quarter of the month than they do in any other time of the year.
This is in direct correlationwith the sales that the company experiences duringthe year.
The best time of the year for the Eastman Kodak Company sales wise is the last few
moths of the year because that is when consumers are lookingto buy presents for the
holidays.
Eastman Kodak purchases many different raw materials. Some of the raw
materials that they purchase they use to manufacture some of their own supplies but
others theypurchase already made from a third party supplier and use it in their final
products. Eastman Kodak purchases lithographic aluminum to offset printingplates
while they are manufacturing lithographic aluminum coils for their products. Theyalso
purchase silver, which the company uses to manufacture paper, and film they sell to their
consumers to print on. The materials that Eastman Kodak purchase already made from a
third party is paper base used for the manufacturing of photographic papers, and
electronic components that have many uses and are used in the manufacturing of the
electronic goods the EastmanKodak Company produces. The company’s industrial
materials include aerial and industrial film products, film for the productionof printed
circuit boards, and specialtychemicals all usedin the manufacturing of products.

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Locationoffacilities:
The Eastman Kodak Company’s corporate headquarters is locatedinRochester,
New York when the company first began. The company’s corporate headquarters
include their largest U.S. manufacturing facility, researchanddevelopment and their
corporate services office. Kodak’s primarymanufacturing center for thermal media,
motionpicture film, and coloredpaper is locatedinWindsor, Colorado. Windsor is
locatedapproximately60 miles from Denver and employs almost 2,000 northern
Colorado residents. Atlanta, Georgiais home for Kodak’s largest business unit,
consumer imaging. This headquarters comes complete withonsite dining, fitness center,
dry cleaning, post office, and an auto detailing shop. The last headquarters locatedin the
U.S. is a division of the graphic communications group;Kodak’s inkjet printing solutions
headquarters is locatedinDayton, Ohio.
Kodak has two more major facilitiesthat are locatedoutside of the UnitedStates.
The first one is locatedinToronto, Ontario Canada. The secondis in Vancouver, British
Columbia where Kodak’s graphic communications segment is aleading developer,
manufacturer, and distributor of digital sounds for the graphic arts industry.

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Human Resources
Hiringpractices:
The hiring process for the EastmanKodak Company usedto include a long and
extensive interview process withlot of paper work. Since the downsizing of the
company they began to make several changes in the hiring process. The first bigchange
came when they decidedto cut out their own HR department. This decisionwas made
for two reasons. The first reasonwas because the company already neededto downsize
and the secondwas because the current HR department’s hiring process was too lengthy
and they were not hiring the candidates that they should have beenhiring. Elizabeth
Petro, the director of talent acquisitionand strategydevelopment at Eastman Kodak,
stated “Internal folks focusedso closelyoncost control duringseveral years of
downsizing that they "forgot how to hire."After conductinga detailedexaminationof its
hiring process flow, Kodak realizedit had too many service providers, with too many
hand-offs between them. And it was failing to meet its time-to-fill anddiversity metrics.
Kodak decidedto centralize hiringunder its sharedservices organizationand began
looking for a single supplier that could handle its needs (All, 2008)”.
When the HR department was cut, Eastman Kodak began to outsource for their
HR department. The company chosenfor the outsourcingof the HR department was a
Pinstripe. Because of Pinstripe, “Kodak's hiring process is now simpler and involves far
less paper than in the past. It is attractingmore candidates with the right kind of
experience (All, 2008)”. Although the company’s hiring process has improved

9
tremendouslyfrom beforeit began outsourcingits HR department they are still hoping to
create a more positive hiringbrand, and developing an employee orientationandreferral
program.

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Promotionpolicies:
Promotionpolicies are veryimportant to a company and its employees. The
employees feel appreciatedbecause of the promotions the companyoffers to them. In
returnthe employees will work harder for the company to receive more benefits. This
allows eachparty to be benefitedinsome way. Even though promotional policies are
intended to be for the goodof the company, sometimes theycanturn out to be a disaster.
The company can only affordto reward its employees if it’s generatingenough revenue
to do so.
One of the thought to be “win win” situations canbe found in Kodak’s
competitive compensationpackages promotionpolicies. These promotional policies
offer rewards to the employees basedoff of their performance. “Kodak offers employees
market competitive, performance-basedcompensation. Inaddition to competitive base
salaries, Kodak offers the opportunityto participate inprofit sharing, commissionor
variable pay plans which, based on bothCompany and individual performance, provide
the opportunityto share in the Company’s success (Benefits)”.
The company’s competitive compensationpromotional policies backfiredonthem
in early 2012. EastmanKodak had fileda motionwith the U.S. Bankruptcy Court asking
approval to pay out $17.6millionincompetitive compensationbonuses to 15 of their top
executives. This enraged many former Kodak employees because their competitive
compensationbenefits were takenaway from them when the company filedfor
bankruptcy. “Pignataro, who says he is a Kodak retiree, wrote that he was “outraged” to

1
learnthat Kodak Chief Executive Antonio Perezwould “even ask to be included” among
the bonus recipients “after he ledthe company into bankruptcy (Palank, 2012)”. If the
company is going to take away the employees competitive compensationpackages
because of bankruptcy and debt, then they should not be allowed to continue to reward
the executives. Insteadthey should be saving all the “bonus money” employees wouldbe
earning to pay off their increasingdebts.

2
Creating Jobs:
Back before the digital age came about, the Eastman Kodak Company was
continuallygrowing. They were constantlycreatingjobs inmany areas of their
company. As the company grew, job openings in managerial positions to factoryworkers
were always open and ready to hire someone. However, when other cameracompanies
flew into the digital age Kodak was left behind. Because of their slowentrance into the
digital market many jobs were put into jeopardy.
Eastman Kodak had to begin cuttingjobs to try and makeup for all the revenue
and customers it lost whenthey did not advance into the digital market as fast as their
competitors had. As a result of this lost revenue the company has been forcedto claim
bankruptcy. “Bankrupt Eastman Kodak Co said it will cut 1,000 additional jobs by the
end of this year and may cut more as it focuses onits commercial packaging and printing
business (Ramakrishnan, 2012)”. Kodak’s employee base has gone down dramatically
from 1980 whenthey had approximately145,000employees to its now17,000
employees.

3
Training:
The Eastman Kodak Company provides adequate training for all of its employees.
They offer trainingfor all positions inthe company from drivers, optical training, sales
training, and managerial training. Kodak’s main focus ontraining its employees right
now is on its sales team and the managerial employees. They are mainly focusingon
these two groups for the purpose of trying to save the company. Management needs to be
able to create a new business plan and needs to be able to successfullyaccomplishthe
goals of the business plan. The sales team needs training to be able to sell the new
business plan and products that the Eastman Kodak Company is continuingto sell. The
sales team also needs to be able to outsell the company’s competitors.
The Eastman Kodak Company believes that with the proper trainingand
enthusiasm of its employees that the company can come back from this slump that it has
found itself in.

4
Monitoring Performance:
The Eastman Kodak Company has three main procedures theyfollowto ensure
the company is performingat its best. The first of the three is the enterprise risk
management assessment. The Chief Compliance Officer, andthe General Council
conduct this assessment. “Risks are assessedand monitoredacross business, functions
and regions. These assessments also serve to evaluate compliance risks suchas anti-
corruption(includinganti-bribery), labor and human rights (Kodak Monitoring)”. After
the results are finalizedtheyare presentedto the RiskManagement and Compliance
Committee, and the Audit Finance Committee of the Boardof Directors. Lastly, Kodak
provides a report of all its riskfactors inthe 10K Annual Report, 10Q Quarterlyreports
and SEC filings.
The secondof the performance monitoringproceduresis calledprocess assurance.
“Kodak maintains an internal control system to ensure reasonable assurance that the
Company conducts operations ina manner that is efficient andeffective, safeguards
Kodak assets, assures reliabilityof informationfor external reportingand assures
compliance with company policies andprocedures, laws and regulations and contractual
obligations (KodakMonitoring)”. The findings from this procedure are reportedto
senior executives and the Board of Directorsbythe Corporate Auditing Department.
The final procedure is the health, safetyand environmental performance
monitoringprocedure. The Director of Health, Safety, and Environment is responsible
for making sure the company is keeping up with the HSE performance standards.

5
“Operations, including subsidiaries, are routinelyauditedto verify compliance with the
Standards, policies, procedures, and the laws and regulations of applicable governing
entities. Kodakalso has a Performance Standardfor its suppliers and utilizes supplier
self-assessments, on-siteaudits and material declarations to verifya supplier's
conformance withthe Standard and applicable product specifications (Kodak
Monitoring)’. Withall three of these monitoringprocedures inplace, Eastman Kodak
can be sure they hold themselves to the company’s high standards.

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Absenteeism/Turnover:
Turnover rate used to be somethingthat the Eastman Kodak Company couldpride
themselves on. Withsuch strongcompany name that was continuallygrowing who
would want to leave. As stated ontheir web page, “On the surface, Kodak is a
remarkable company with much to offer potential employees. Lookalittle closer, and
you’ll discover for yourself why so many new hires happily spend their entire careers
with us, why turnover is nearly non-existent, and why we couldbe the perfect partner to
help you achieve your personal visionof professional success (Kodak, Life at Kodak)”.
Kodak also offeredits employeesmany benefits that allowed them to get their work life
and home life in sync to prevent absenteeism. These benefits includeddaycares, gyms,
elderlycare, and work/life policyprograms.
This low rate of absenteeism and turnover did not last for long. When the
company startedto go bankrupt in the early 2000’s, Kodakhad to begin laying
employees off. Theylayoffs began when Kodak startedphasing out and shutting down
whole sections of the companythat were not making a profit. “Since 2003 the company
has laid off somewhere between25,000and27,000 employees, andtoday announced that
3,000 more wouldbe laid off after last month's sale of their health-imaging unit which
brought in $2.35 billion (Fowlkes, 2007)”.
Eastman Kodak does not plan to keep the employee count that low for long. They
have enteredinto a four-year plan of transitioninto a new market. After they make a

7
successful transitioninto the new market the Eastman Kodak Company plans to be back
at the topof their game once again.

8
Benefits:
The Eastman Kodak Company offers their employees manyhelpful benefits to
help them today, in the future, and to help them better balance their work and home lives.
Kodak offers employees market competitive, performance-basedcompensation. They
also offer the opportunityto participate inprofit sharing, commissionor variable pay
plans which, based onboth Company and individual performance, provide the
opportunityto share in the Company’s success. Kodakset up a benefits program called
the “Flex Program”. This program covers you and your family members with the
followingbenefit options:
 Medical
 Dental
 Flexible Spending Accounts (HealthCare & Dependent Care)
 Health Savings Account (HSA)
 Life Insurance - Employee & Dependent
 Accidental Death and Dismemberment Insurance (AD&D) - Employee  &
Dependent
 Long-Term Disability(LTD)
 Vacation Buy
 Long-Term Care
To help their employees planahead for their future Eastman Kodak offers their
employees witha competitive retirement benefitsprogram.

9
Cash Balance Plus is the retirement program for newKodak employees. CashBalance
Plus has three components: CashBalance pensionaccount, 401(k) planand access to
retiree medical coverage. Kodakalso offers anEmployee StockPurchase Program that
allows employees to purchase Kodakstock. And to helpbalance work life and home life
better, theyoffer anumber of programs and resources for employees to meet personal
needs wile still contributingto Kodak’s success. These programs include:
 Adoption Assistance Plan
 Adoption Resource Service
 Child Care Resource andReferral
 Education Resource Service
 Elder Care Resource andReferral
 Emergency/Backup Dependent Care (Available in Rochester & Colorado)
 Employee Assistance Program
 Personal Absence, Family Leave, and Short-Term Disability
 RelocationAssistance
 Vacation and Holidays
 Work/Life Policies andPrograms

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Capabilities:
When lookingat Eastman Kodak’s capabilities, we are lookingat the aspects of
business that they have not totallysucceededin. Human Resourcesthentakes those
aspects and tries to connect thenfrom the Human Resource frameworkto its business
framework. After connectingthe two frameworks together the companyshould see a
positive train reactioninthe business, employees, and consumers. “The Kodak
frameworklays out three unique ways in which HR can contribute to business success:
building organizational capabilities, enhancing employee satisfaction, and shaping
customer satisfaction (Berman, 1997)”. WithEastmanKodak’s Human Resource
frameworkand business frameworkin sync the company is experiencingincreasing
employee satisfactionalongwith increasingmarket value.

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Marketing/Performance Measurement
Pricing:
Eastman Kodak’s pricing ontheir products has always beenrelativelyfair to their
consumers. The company got their consumers hookedonprintingtheir photos and they
had been the leading mass supplier of film and printing until FUJIFILM one if the
company’s largest competitors outdid them. FUJIFILM also began to mass-produce film
and printing supplies but at a lower cost than the Eastman Kodak Company was. “ Fuji’s
willingness to cut prices was quite popular with the rapidly growing mass merchandisers
like Wal-Mart that preferredto deal with suppliers who were willing to sell high volumes
at ever-lower prices (Cohan, 2011)”.

2
Because of FUJIFILM the Eastman Kodak Company lost all their sales of film
and began to focus onwhat their company was actually excellingat, their printers and
ink. “ Kodak printers sell for 15percent to 35 percent morethancompetitors suchas
those from Hewlett-Packardand while the ink costs about half as much, accordingto the
company. That enables customers to save an average of $110 oninka year, Kodak says
on its website (Tirrell, 2009)”. Kodakis hoping that even though their printers are priced
slightlyhigher than that of their competitors the catchof the lower ink prices will
persuade consumers to purchase their printers.
Promotion/Advertising:
For many years the Eastman Kodak Company has relied solely one their brand
name and reputationto advertise for them. The most effective form of advertisingthat
the company ever had was the phrase “Kodak moment”. “The phrase “Kodak moment”
began appearing in Kodak pitches in1961, companyresearchindicates, inprint-ad
headlines like “This Kodak moment can’t wait for Dad to get home.”It was reintroduced,
as a tag line, in the early 1990s, andtrademarked again in 1992 (Elliott, 2010)”. The
commercialswere aseries of advertisingcampaigns that “establishedthe needto preserve
‘significant’ occasions suchas familyevents and holidays (Cambridge, 2012)”. These
significant occasions were labeled“Kodak moments”and this was an idea that became

3
apart of peoples everyday life. Since the Eastman Kodak Company’s target market is
women, the leading role of every “Kodak moment”commercial was cast to a woman.
These women were seencapturing memories withtheir families inholidays, birthday
parties, and sportingevents. This ad campaign was the most successful form of
advertising that the Eastman Kodak Company has ever had.
The company’s “Kodak moment” ad campaign disappeared when digital camera
joinedthe market. People beganto see digital cameras as electronicgadgets rather than a
camera. As a result, “The identificationof cameras as gadgets brought about another
significant change: women were no longer the main customers, menwere (Cambridge,
2012)”. Withmenbeing the new target market being men the eraof the “Kodak
moment”quickly died.
Now the company had to get busy working on another ad or promotionfor their
customers. They decidedto begin to promote acompletelydifferent product andthey
chose their printers andink. The company began to produce high quality printers and ink
to print the photos you take on your digital camera right in your own home. The Eastman
Kodak Company noticedthat their printers are priceda little higher than the printers of
their competitors. So inorder to offset this difference inprice, theyadvertisedto their
customers that their inkis half the cost of their competitors;resultinginan average
savings of $110 per year on ink.

4
Products:
When the Eastman Kodak Company was at its prime they offeredahuge selection
of different products to their consumers. They offeredanything from cameras, film, x-
ray film, video cameras, ink, printers, and even print kiosks. However, since the digital
age they have slowlyphased out many of those products.
Currentlythe Eastman Kodak Company still offers afew products to individual
consumers as well as businesses. Some of the products that it offers to single consumers
are printers and printing supplies suchas ink cartridges, ink paper, 3D glasses, and

5
replacement parts. They also offer mobile apps to single consumers that allowthem to
print straight from Facebook, and Kodak kiosks where they can print their pictures at
drug stores. Some of the products that Kodak offers to businesses are professional photo
products, motionpicture film, applicationsolutions, document imaging, and service and
support call centers where businesses cancall for helpwith a product at anytime.
Although the company has had to phase out the majorityof the products that they
once carried, theytry their best to provide the best customer service. Theyhope that their
high quality of customer service andprinting products will one day earn back their strong
customer loyaltyand brand name.
Brand Loyalty:
The Eastman Kodak Company’s brand loyalty was at an all time high through the
early1900’s as it, “played a pivotal role inpopularizing photography throughout the
entire world (Bakir, 2012)”. Consumers inthe photography market were extremelyloyal
to the Eastman Kodak Company and bought of their products from the company. In the
early1960’s Kodak was able to do the impossible and increase the brand loyalty they had
with their customersevenmore. This was all due to the extremelysuccessful ad

6
campaign the “Kodak moment”. Withthe highest customer loyaltyof any other
company, the Eastman Kodak Company began to feel invincible.
By the late 1990’s when digital photography made it into the market, Kodak
started to see a decline intheir customer loyalty;theyfailedto enter this new emerging
market on time. Because Kodak had not produceddigital cameras fast enough they either
had none on the market or the technologywas not up to par with that of their competitors.
“The company failedto recognize that brand loyalty was not an everlasting feelingfor its
consumers. The company has been calledout as the “twentieth centurycorporate
dinosaur” by a number of commentators. It has beengreat at innovation but laggard at
translating suchideas into enduring business ventures (Bakir, 2012)”. The company
quickly lost their customers loyaltyto competitorsfor lackof technological innovation.
The consumers wanted the latest sleekdigital “gadget”, not the oldchunky camera.
Reputation:
The reputationof the Eastman Kodak Company was once among the highest of all
of the topcompanies. They were known for their strengthininnovative cameras and
film, as well as their many patents that always seemedto be in the works. However, in
the 1990’s what was thought to have beentheir strengthseemedto disappear and the
reputation of the company tooka hit. When Eastman Kodak failedto enter the emerging

7
market of digital cameras they watched their company’s reputationplummet as their
competitors reputationsoared. “RIM and Kodak were once masters of all theysurveyed;
but not any more. As their fortunes have declined, so their reputations have plummeted
(Kossovsky, 2012)”.
The sudden decline intheir once amazing reputationleft the Kodak Company in a
hard place financially. Their consumers startedto buy from competitors andKodak’s
operatingactivities were costingmore than the revenue the company was making. Not
too longafter this the Eastman Kodak Company slowly slippedinto debt. Executive vice
president and CFO of Eastman Kodak, Robert H. Burst, addressedthe company’s new
reputationof debt and not making its numbers. "My key finance managers meet every
other week. We focus onthe numbers for the quarter. In the past, the company never had
daily sales numbers. Now we do (Parker, 2000)”. Unfortunately, because of this
continual loss inrevenue many of the company’s shareholders beganto sell their stocks.
Shareholders were sellingstocks at low prices just to get out before the company incurred
any more debt that it already had. As if fallingbehind in the emerging digital markets
was not bad enough, the company’s reputationdecreasedmore whenstocks were selling
at an all time low.
Eastman Kodak tookone more bad reputation hit in the early 2000’s. “The
Rochester, NewYork-based photography products maker was accusedof paying black
employees less thanwhite co-workers, passingthem over for promotions and maintaining

8
a raciallyhostile workenvironment (Grio, 2012)”. The claims were all made between
the years of 1999 and 2005. Afederal judge approved a payment of $21.4 milliondollars
to the African-Americanemployees. The 3,008 African-Americanemployees all
receivedpayments that ranged from $1,000 to $50,000.

0
Image/Quality:
When the Eastman Kodak Company first began, the image quality of the brand
was spectacular. Since theywere the pioneers inthe photo industry consumers thought
extremelyhigh of them. As the years went on, Kodak continuedto produce high quality
products for an affordable price. New products theyreleasedinto the market always
adapted to the consumers needs and got high reviews.
Later when digital cameras were introducedinto the market the unthinkable
happened. The Eastman Kodak Company’s brand image was tanking. Kodak’s
competitors were manufacturingmore technologicallyadvance digital cameras won over
a large part of the market share. “Although Kodak had embracedmany me-too digital
features inits products by the mid-80’s, it’s executives couldnot fathom a future where
film would have no role whatsoever in image capture. Nor could they manage their
bloatedbusiness, pensionobligations and executive compensationonthe low profit
margins and competitive pace of a marketplace overflowing with short product cycle
technologies (Daye, 2011)”. Currently, Eastman Kodak is trying to rebuildtheir
company image again by emphasizing their printers, and printing services.

1
Market Segments:
A market segment is a term used to describe prospective buyers into groups that
have commonneeds and that respondsimilarlyto a marketing action. Market
segmentationallows companies to target different categories of consumerswho perceive
products and services different from eachother. There are many different ways to
classifymarket segments includingusage, age, needs, distributionchannels, etc.
Kodak came out with an ad campaign calledthe “Kodak moment”. This as
campaign was responsible for attractingthe company’s largest market segment. “As a
result of Kodak’s efforts, womenwent onto become the most lucrative market segment
for photography. It was that loyal contingent of “soccer moms”that funded Kodak’s
inexorable rise: theytookmore picturesthaneveryone else, printedthem, shared them at
coffee mornings, savedthem in albums and displayed them in the living room (Munir,
2012)”. However, women are not the onlymarket segment that Eastman Kodak
advertises to. The Eastman Kodak Company also targets the followingmarket segment
groups:
 Adult, 30+ years of age
 Active/involved
 Caring about relationships
 Sub-standard skills in photography
 High interest of capturingimages and sharing them

2
Environmental Analysis
This sectionof the strategicanalysis is the environmental analysis. The purpose
of the environmental analysis is to discuss trends and events that have potential to affect
company strategy. There are several areas of an environmental analysis that help us to
determine these trends. Theyinclude, technology, government, economics,
demographics, culture, international, etc.

3
Customer Analysis
Target Market:
Kodak’s main target market accordingto chief executive officer of Eastman
Kodak Company, Antonio Perez, is soccer moms. “Soccer moms, or womenwith young
childrenwho participate insports and other activities, are a target audience because they
take and print a lot of photographs (Tirrell, 2009)”. However, many analysts are
disagreeingwith what Perezis saying. Analysts believe that Kodak needs to be targeting
younger people so theycan establishbrand loyalty for the digital era. Spokesman Dave
Lane from Kodak respondedback to this by saying, “The Company’s focus is people
who take and print a lot of photos, not really an age thing. It’s really people who print a
lot, who see value in saving money on their printing (Tirrell, 2009)”.
A survey was createdinorder to test the different markets andto be able to
determine the best target market for Kodak. There were 24 questions intotal that asked
things like age, gender, how oftenyou see family, what you take pictures of, how you
store your pictures, and how oftenyouprint photos. They study showed that the best
target market for Kodak was mothers from 36-55years old. “Researchreveals that these
consumers do not currentlyhave an allegiance to any particular online photo service.
Their use of photos to create products, inadditionto their underserved desire to use
digital pictures to reconnect withfamily, make mothers avery attractive target (American
Marketing Association, 2009)”.

4
The study then showed that grandparents would be the secondbest target market
for Kodak. Grandparents tend to have disposable income and are more inclinedto spend
it on their family or familyrelatedproducts and services. Teens and college students
were not selectedat all as a target market for Kodak. This is because teens are into the
trends of photo-sharingand social mediasites online. Because theyare always sharing
their photos online to their friends and familythey have no need to print their photos. So
accordingto the study CEO, Antonio, Perez, is correct onhis view of Kodak’s best target
market and the analysis were wrong.

5
Brand Loyalty:
Brand loyaltyis when a customer becomescommittedto a specific brandand will
make repeat purchases of products or services from that same brand. This is a result of
consumer behavior and is affecteddirectlyby a person’s preferences. Loyal customers
will continuallypurchase products or services from their preferredbrands no matter the
price or convenience of the products. Many companies use marketing strategies to attract
loyal customersbyusing incentives and rewards programs.
When the Eastman Kodak Company first began back in 1880 its brandloyalty was
among the strongest of any business at that time. “Eastman Kodak has built its brand
loyaltysince 1888 when George Eastman producedthe first camerathat simplifiedthe
complexprocess of photographyand made it available to everyone. Since then, Kodak
has pioneeredmany new products to numerous markets for a multitude of reasons:
pleasure, business, medical, scientific, and entertainment. (Anna, 2006)”. Kodak
continuedto be the leader in brand loyaltyuntil the digital trend came into action.
When digital cameras came to light in the early 2000’s Kodak’s brand loyalty
starteddecreasing. Their main driver of revenue was being shut down and consumers
wanted to have the latest technologyintheir cameras. Now, Eastman Kodak’s brand
loyaltyis slim to none. They waited too long to get into the digital age and consumers
had already become loyal to other brands who enteredthe digital market at the right time.

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Customer Motivation:
The Eastman Kodak Company triedto motivate their customersinmany different
ways such as customer service andsupport, pricing, convenience, ease of use, and
technology. Eastman Kodak offers awide variety of different ways their customers can
get the help they need. On their website they offer their number to customersupport to
talk to a live representative, FAQ’s and answers, an email address to ask specific
questions about one of their products, and even a live chat option.
Kodak products are generallypricedlower than that of its competitors, withthe
exceptionof printers, so that makes it more appealing to consumers lookingto purchase.
“ Kodak printers sell for 15 percent to 35 percent more thancompetitors suchas those
from Hewlett-Packardand while the ink costs about half as much, accordingto the
company. That enables customers to save an average of $110 oninka year, Kodak says
on its website (Tirrell, 2009)”. The convenience of these products is also great since you
can find the Kodak product that you are looking for at any local Wal-Mart, Target, Best
Buy, etc. And Kodak’s easy to use technologymakes it possible for virtuallyanyone to
use the products theyoffer.
The only sectionincustomer motivationthat I see Eastman Kodak lacking in is
the technology. Since theyarrived late into the digital age the technologyusedin their
products is not as advanced as the technologyin the products of their competitors. This
is where we can see a slump in customer loyaltyand motivation.

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Unmet Needs:
The main unmet need for the Eastman Kodak Company was when it moved into
the digital camera market. They were already late in the game so they had to work fast to
get a product out into the market. When Kodak’s digital cameras startedto enter the
market customers noticedthat the technologyin the products was lacking in comparison
to their competitors. In response to this Kodakbegan doing researchto determine what
the best market to advertise to would be. They found that this market would be women
who love taking pictures of their familiesbut get frustratedwhen theytry moving the
pictures into their computers. They usedthis unmet consumer needto their advantage
and createdEasyShare. “One of their key innovations was a printer dock, where
consumers couldinsert their cameras into this compact device, press abutton, and watch
their photos roll out (EastmanKodak)”.

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Competitor Analysis
The competitoranalysis is a fundamental part of a company’s corporate strategy.
It assesses several areas of the competitorscompanysuchas what drives them, what they
can do and are doing, what they believe about the industry, and what their capabilities are
as a company. When examining the competitors of EastmanKodak Company all of these
factors will be taken into considerationalongwith the cost differenceand performance of
their competitors as well. This competitor analysis will provide informationthat will
help to identifyany threats that competingcompanies have on Eastman Kodak as well as
what Eastman Kodak is doing that is above and beyond its competitors.
Eastman Kodak’s top three competitors are FUJIFILM, Sony Corporation, and
Hewlett-PackardCompany. These three companies vary in products that they compete
with the Eastman Kodak Company, but they are all major competitors. FUJIFILM is
Eastman Kodak Company’s main competitor. Theywere establishedin1934 inJapan
with the aim of producingphotographic films. Over the decades theyhave diversified
into new markets and have built a strongpresence aroundthe globe.
FUJIFILM now specializes inthe followingbusiness fields:
Imaging Solutions:
 Color Films
 Electronic Imaging
 Color Paper and Chemicals
 PhotofinishingEquipment

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 Labs and FDi Services
FUJIFILMS imaging solutions began when Japan was on a missionto make their
first motionpicture film. Since thenthey have developed into producing single-use
cameras, instant photo cameras, and digital cameras. They later evolved their cameras to
have sophisticatedtechnology, making the pictures takenwith their camerato be clear
and focusedonfaces using face detection. FUJIFILM has also made it easy for
consumers to get professional prints fast and easy with their digital minilab photo kiosks
at retail locations all over.
InformationSolutions:

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 Medical Systems
 Life Science Systems
 Highly Functional Materials
 Optical Devices
 Graphic Systems
 RecordingMedia
 Industrial Products
The imaging solutions business fieldhelpedthem to excel intheir business mainly
through their pioneeringof diagnostic imaging technologies. FUJIFILM expanded into
areas of preventative healthcare and treatment. They became the leader in digital x-ray
diagnostics, by using instantlyaccessible medical imagingand endoscopes.
Document Solutions:

1
 This segment is operatedby Fuji XeroxCo., Ltd.
This segment by FUJIFILM encompasses office copymachines, multifunction
devices, printers, productionsystems andservices, paper, consumables and office
services.
Hewlett-Packard Company is another major competitor of EastmanKodak. They
provide consumers with laptops, desktops, printers, servers, and more. The company was
founded in 1939 byBill Hewlett and David Packard. Hewlett-PackardCompany strives
to earn customer respect andloyaltyby consistentlyprovidingthe highest quality and
value possible. They achieve sufficient profit to finance growthor the company, and
crate value for the shareholders to continuallyachieve their corporate objectives.
Hewlett-Packardalso aims to be a market leader by seizingopportunities for growthand
delivering useful and innovative products to their consumers.
Sony Corporationwas founded in Tokyo, Japan in May of 1946. They currently
have approximately162,700employees workingfor them worldwide. Sony’s main
products consist of televisions, digital imaging, audio/video, PCs and other networked
products, semiconductors, electronic components, professional solutions, and medical-
relatedequipment. Sony Corporations missionstatement states, “Sony is committedto
developing a wide range of innovative products and multimediaservices that challenge
the way consumers access andenjoydigital entertainment. Byensuring synergy between
businesses withinthe organization, Sony is constantlystriving to create excitingnew

2
worlds of entertainment that can be experiencedona variety of different products (Sony
Company Profile)”.
Competitors Strengths:
Next we will identifythe three major competitorsstrengths of EastmanKodak to
better understandtheir potential and to become aware of any threats these strengths may
have onEastman Kodak.
FUJIFILM’s main strengthis in their imaging sectionof their company. In the
1980’s theystartedto sell rollsof film at a dramatically lower price than Eastman Kodak
was. Because of this FUJIFILM tookover Eastman Kodak’s biggest market “ Fuji’s
willingness to cut prices was quite popular with the rapidly growing mass merchandisers
like Wal-Mart (WMT) that preferredto deal with suppliers who were willing to sell high
volumes at ever-lower prices (Cohan, 2011)”. EastmanKodak tooka big hit in 1999
form mass merchandisers purchasingfrom FUJIFILM insteadof them resultinginthe
layoff of nearly 20,000 employeesand a $1.2 billioncharge. This same thing happened
again in 2009 with a $350 millioncharge and a layoff of 3,500 employees.
Hewlett-Packards strengths comefrom high-performance computing.
They are the only vendor that excels inthree principal types of computing: work-group
computers for offices;enterprisecomputers for home andpersonal use; and
supercomputing, used in high-techindustrial and government systems. “Due to these
many decades of evolution, as technologygrewin our culture, countryand world, HP has
experiencedinall aspects of electronic designand construction, having made and sold

3
just about every type of high-performance technological product onthe market. This
type of legacy and trust makes HP a mainstay in the technological game for consumers
and investors alike (Westlake)”. Although Hewlett-Packards mainfocus is on computers,
they directlycompete withEastman Kodak in the printing business with their high
quality photo printers. Their customers are so loyal because of their high-performance
computers that the halo effect applies to their printers.
Sony Corporations keystrengthis in its electronics businessandin continually
striving to gain market leadershipintheir areas of televisions, digital imaging, home
video equipment, and portable audio. To attain these strengths theyuse three main
initiatives:
1. The customer viewpoint initiative emphasizes the importance to staff of
viewing Sony, its products and services from acustomer perspective.
2. The technologyNr. 1 initiative focuses onreinforcingSony’s cutting-edge
technologiesinthe areas targetedfor maximum investment of resources
including televisions, home video equipment, digital imaging equipment
and Walkman.
3. The ‘Genba’ initiative aims at having strongfrontline operations suchas
design locations, manufacturingfacilitiesand sales offices.

4
Market Analysis
Market Size:
The current size of the Eastman Kodak Company’s market is significantlysmaller
than what it used to be when it was at its prime. The size of their market was enormous
for many reasons. They had beenthe pioneers of the cameraand film industry, which put
them ahead of their competitors. They also manufacturedmany different products in
several markets such as products that cateredto the average person, families, businesses,
and even manufactured medical supplies suchas x-ray machines and film.
When digital cameras came into the market the size of their market decreased.
Kodak had not begun producing digital cameras until their competitors alreadyhad
digital cameras onthe market. Because of this many of Kodak’s loyal customers started
buying from competitors of Kodak. By the time Kodak had put digital cameras onthe
shelf their competitorsalreadyhad innovated their cameras and the consumers stuckwith
the competitors.
Currentlythe market size of the Eastman Kodak Company is very small. Since
the phasing out of the majorityof their products suchas digital camera, etc. the only
market Eastman Kodak can keep their customers inis their printers and ink cartridges.

5
Market GrowthRate:
Eastman Kodak’s market growth rate has beenconstantlydecreasingalong with
its market share. Kodak went from having 76% market share down to now 70%. Along
with this loss inmarket share the Eastman Kodak Company is only having a 3% annual
growth rate, while its competitors suchas FUJIFILM are growing at a rate of 15%
annually. “Consumer inkjet printers, is where Kodak has outpaced overall market growth
for several years. Kodak consumer inkjet printers provide consumerswithhigh-quality
output and the lowest total ink replacement cost. Consumers cansenddocuments and
photos to Kodak printers from anywhere, using any web-connecteddevice (Eastman
Kodak)”. As a result of Kodak phasing out of the majorityof their products, we can
assume that the market growth rate will continuallydecrease year after year.

6
Market Profitability:
This sectionwill discuss the market profitabilityof the Eastman Kodak Company.
Market profitabilityis the potential to make moneyin a market based on the
attractiveness of the market. To determine the markets profitabilitywe will use Porter’s
five forces;buyer power, supplier power, barriers to entry, threat of substitute products,
and rivalry among firms in the industry.
The buyer power over the Eastman Kodak Company is high. “Eastman Kodak is
enteringthe consumer printer market which is full of competitors who produce products
that allow the consumer to have significant buying power (Denver, 2012)”. Companies
in the consumer printer market are manufacturing quality printers at affordable prices and
providing rebates with them. This is what gives the buyers so much power.
The supplier power to Eastman Kodak is just as high as that of the buyer power.
Unlike its competitors, Kodakdoes not make its own printer parts from scratch. They
buy off the shelf parts from suppliers and put those pieces together to produce aKodak
printer. Having to relyon the suppliers for the parts for the printer gives the suppliers
great buying power. Although buying parts from a supplier is risky, it could benefit
Kodak in the long run because of the rate at which they can produce their printers. It is
much faster than that of their competitors.

7
The entry of a new company would be very difficult to accomplishin the market
that Eastman Kodak is in. “The entry of competitors is always an issue when dealing
with new technology. Often, new technologyis developedby an individual lookingfor a
better way to do something. The problem for these individuals is being able to become a
viable player due to limitedcapital and positioningto enter the market (Denver, 2012)”.
The Eastman Kodak Company needs to keepresearchingonthe latest technologiesof
their market. If they do not, it would make it easier for anew company to enter into the
market.
The threat of substitute products is very high in the consumer printer market.
Eastman Kodak is competingwith companies suchas Hewlett-Packardand Lexmark,
who make the same quality of printers as they do. Where Eastman Kodak jumps ahead in
their market is where their competitors cannot copytheir product. This is in the ink
cartridges. Kodakoffers more affordable inkcartridges than Hewlett-Packardand
Lennox. The only concernthat Kodak shouldbe worriedabout in the future when it
comes to substitute products is replacement inkcartridges from their competitors.
“Of the five forces, rivalryamong competitors couldbe the most significant. As
with most technology, change is fast and furious. The play for more shelf space, bundling
of printers with the computers, discounts, and rebates makes this market extremely
competitive (Denver, 2012)”. Kodak’s CEO, Antonio Perez, says that Kodak and
Hewlett-Packardhave no special rivalry going on but the market shows something

8
different. WithEastman Kodak and Hewlett-Packardbeing the largest companies in
consumer printers it is onlyevident that there is a rivalry among the two.
Industry Cost Structure:
In the early2000’s the Eastman Kodak Company began to experience anet loss in
their financial statements. As a few years passed and the company saw no difference in
the constant decline, Kodakdecidedto rethinktheir business strategy. In February of
2009, astatement was releasedby CEO Antonio Perezthat stated“We see no immediate
signs of economic recovery, so we are taking steps to address this by focusinginvestment
in our core digital technologies, optimizingour portfolioof cash-generatingbusiness, and
restructuringthe companyto further reduce our cost structure (Corporation)”.
Eastman Kodak plans to reduce the cost structurebycutting on operating
expenses. They will slowlybegin to phase out products that make no revenue for the
company. Kodak will only continue to manufacture the products that make a profit,
which are inkjet printers. Bynot having to manufacture so many products the cost for
materials and transport to distributioncenters will decreasedramatically.
Currentlythe Eastman Kodak Company is in debt and they are still tryingto break
even. The company has hopes to one-day escape from all the debt they have incurred,
and become one of the top companies inthe industry once again.

9
DistributionChannels:
The Eastman Kodak Company’s distributionchannels are similar to that of their
competitors. The main distributionchannel Kodak uses in in department stores. It is in
these department stores where youcan find Kodak’s most frequentlysellingproducts,
printers and ink cartridges. The other two larger distributionchannels are drug stores,
and camera shops. Here youcan find film for non-digital cameras, disposable cameras,
and printing kiosks to print your photos instore.
The least popular distributionchannels for the Eastman Kodak Company are
supermarkets/convenience stores, wholesale clubs, mail orders, or other small
venues/vendors. As Kodak begins to phase out the cameras and film they will have to
solelyrelyondepartment stores as their maindistributionchannel because printers and
ink cartridges will be the only products the company will be producing.

0
Market Trends:
Market trends are an extremelyuseful part of the external analysis. They tell a
company what is important to its consumers and focuses onchange. The biggest trend
that is on the market is technologyand smart phones. Consumers fell inlove with the
technologyof the smart phone because of how easy it makes things for the consumers do
it. Practicallyeverythingcan be done from a smart phone; emails, music, pictures, social
media, etc.
Eastman Kodak tookthis technologytrendinto considerationandcame up with a
way they couldincorporate it into the products and services theyoffer. What would
make it easy for people to share informationquicklywith each other? Kodak answered
this with their multiple channel communications system. “The most successful
communicationstrategies are those that deliver targeted, coordinatedmessages across
multiple channels, including e-mail, the web, and personalizedprint. These campaigns
require strategic market intelligenceto identifywho to communicate with, which tightly
definedmarket segments matter most, and what message is most effective for each
segment (Services K. M.)”. By using “Kodak MarketMover” companies canhire Kodak
as a thirdparty to market to the hiring company’s consumers throughmultiple

1
communicationchannels. The Eastman Kodak Company hopes the speedand ease at
which advertising can go through multiple channels will become just as large of a trend
as the speedand ease of smartphone technologyis.
Key Success Factors:
A key success factor is anycompetitive asset or competence that is neededto win
in the marketplace. The largest key success factorthe companyhas is their brand name.
Since the company first openedback in the late 1800’s, theywere busy building up one
of the strongest brandnames a company couldonly dream of. Kodak pioneeredthe first
cameras and film that was available for single consumers to purchase. Beingthe only
cameramanufacture on the market they controlled100% of the market share and also
earned 100% brand loyaltyfrom their consumers. Control over the market share, and
brand loyalty combinedcreatedthe strongbrand name Eastman Kodak is known for
today.
The secondlargest keyfactor Kodak has is in its printing services. Kodakhas
thousands of printing kiosks worldwide where consumers go to print their digital photos.
Kodak is the leader is photo prints over any other company in the market. This is
because of two reasons. One is because of brand loyaltyand repeat customers, andthe
other is because of the high-quality prints that are produced.

2
Being able to adapt to consumers needs is another success factor of the Eastman
Kodak Company. Being able to adapt products to consumer needs is extremely
important especiallyina technological market. Kodak’s abilityto innovate products to
satisfythe consumer needs is what keeps brand loyaltyso strongand allows the company
to stay afloat.
Legal:
Legally as a company Eastman Kodak has a duty to uphold certainstandards and
regulations for the environment. If any of these standards or regulations are ignored, then
the company couldbe held in court and finedfor the damage done to the environment.
Eastman Kodak’s environmental goals were to reduce emissions, conserve natural
resources, and reduce energyusage. In an effort to make progress onreducingits impact
on natural resources, Kodakstartedto focus onthe Genesee River, which runs past the
end of a company factory. “Our focus is onpreventing waste from being generatedin the
first place rather than simply putting better controlsonthe wastes as they pass through
our wastewater treatment plant. (Due to the nature and size of our operations, we are the
only company along the Genesee River to operate our own wastewater treatment plant.)
Nitrates, a relativelynon-toxic material, comprisemost of Kodak’s water discharges. The
amount of nitrates in Kodak’s wastewater discharges are within the drinking water
standard (Kodak, Enviornmental Responsibility)”.

3
However, in 1990 the EastmanKodak Company admittedto two violations of
anti-pollutionlaws and was fined$1.15 millon. “Kodak paid an additional $1 million
civil penalty to the State Department of Environmental Conservation for violating air-
emissionand water-quality standards. The company agreed to an extensive
environmental review and cleanup at Kodak Park, its seven-mile-longfilm manufacturing
site here, under a civil consent order (Hanley, 1990)”.
Political:
The Eastman Kodak Company fells very stronglyabout being a responsible
corporationinrespect to political means. “It is the policyof Kodak to advance the
Company’s business and public policyintereststhroughlegallypermissible participation
in the political process where appropriate. The Company maintains a nonpartisan
political position, meaningthat it takes positions onissues andmay, therefore, support
candidates, regardless of partyaffiliation, whose philosophies or positions onissues are
consistent withthe Company’s business goals and objectives. Any and all political
expenditures reflect the interestsof the Company as a whole, not those of its individual
officers, directors or employees (Kodak, Corporate Political Contributions and
Expenditures Policy)”.
Also as part of the Eastman Kodak Company all employees are requiredto follow
the terms of the company’s business conduct guide. This conduct guide holds the
employees upto the highest ethical standards. Withthe Company itself holdinghigh

4
standards in political aspects and the employees holdinghigh standards in ethical
situations, the Eastman Kodak Company can maintain its strongbrand name.

5
Social:
The Eastman Kodak Company likes to pride themselves ontheir social
movements in the community. They assist hundreds of schools, non-profitorganizations,
and service agencies all over the world, but they mainly focus on areas where a large
number of their employees live and work. Some of the support the Kodak offers to their
communities are:
 Providing corporate support to the UnitedWay of Greater
Rochester, inadditionto ongoing contributions bythousands of
Kodak employees
 Philanthropic contributions to areamuseums, cultural facilities, and
major performingarts organizations
 Furnishing value-in-kind contributions of products, services, and
surplus equipment to educational institutions, from areacolleges to
primary- and secondary- educationschools
 Volunteer participationin community events at which Kodak
employees canshowcase our digital imaging technologies.
One way Kodak recentlygave back to the communitywas back in June of 2012.
Volunteers from Kodak went to lend a helping hand in the 10th annual Race for the Cure
in Buffalo, New York. “Cancer survivors and their family members gatheredfor race-
day snapshots, which volunteers then printedusing a Kodak Picture Kiosk. The event is
an annual fundraiser organizationby the WesternNew York Affiliate of Susan G. Komen

6
for the Cure. With the Help of Eastman Kodak the fundraiser was able to raise more than
$400,000 to fight and prevent breast cancer.
Eastman Kodak would love to help out in many more communityoutreach
programs but they know that it is impossible to do so. However, they do encourage
requests for charitable helpby all as statedin their website. “While no company can
support every worthwhile opportunitypresented, we are mindful of the need to contribute
to the renewal and cultural fabric of our communities. We review eachrequest we receive
by post mail, and evaluate our involvement based on Kodak’s resources, priorities,
corporate citizenship, and marketing segments (Kodak, Community Affairs Initiatives)”.

7
Economic:
The recent and upcoming threats of the economic trends are onlyadding onto the
downfall of the Eastman Kodak Company. A few key economic trends that are hurting
Kodak is the rising unemployment rate, inflation, and exchange rates in foreigncountries.
The Unemployment rate in developed countries averaged at 8.6% in2011, with the
United States at a steady average of around 9% since 2009. “Unemployment tends to
have significant long-lastingdetrimental impacts onboththe individuals who have lost
their jobs and on the economyas a whole (Nations, 2012)”. Withconsumersnot having
jobs they cannot go out and buy material items suchas the products Eastman Kodak is
selling.
Inflation is another economic trendthat is currentlyhurting the Eastman Kodak
Company. Inflationis an increase inthe average price of goods and services, not
including wages that goes uncompensatedby increases inincome. The inflationrate in
the UnitedStates has steadily beenrisingsince August of 2012. Withthe combinationof
the current state of unemployment and inflationwe can only see threats comingtowards
Eastman Kodak in the future.

9
Demographics:
Demographic trends have a strong and sometimes predictable influenceinthe
market. Things such as age, income, education, ethnicity, and geographic locationare
just some of the demographic variables that can weigh on a market. Traditionally the
Eastman Kodak Company demographic is known to be women with families. Since the
company startedproducing their first cameras theyalways advertisedusing the “Kodak
Moment”. This saying was usedto attract mothers into wanting to save special moments
with their families but using a Kodak camera to capture it. This “Kodak moment”
marketing campaign made mothers with families EastmanKodak’s largest demographic
for many years.
In 2010 Kodakcreateda new cameracalledthe EASYSHARE. This camerawas
unlike anything Kodak had ever introducedto the market before. The EASYSHARE was
think, sleek, and allowed consumers to instantlyupload and share their pictures to social
networking sites. Withall these new innovations made to the camera, Eastman Kodak
decidedto being marketing to a different demographic than it typical markets too. “From
a marketingstandpoint, Kodak is typically known as the camerathat young mothers use
to capture warm and fuzzy moments of their childrenand share them online to other
family members. But now the company is taking a whole new directionwiththese stylish
and edgy ads to target younger and trendier consumers, whichhappen to be the most
active demographic when it comes to sharingimages digitally through social networking
(Hutson, 2011)”.

0
To market to their new demographic Kodak launched a series of commercialsthat
featuredcelebritiesthat younger and trendier consumerswouldbe attractedto. The
commercialsfeaturedPitbull, Drake, Rihanna, and Trey Songz. The celebritieswere
filmedliving the glamorous life of a young hip celebrityat fashionshows, on a tour bus,
in the studio, or their high-rise apartment. “While we’re used to seeingthese artists and
their jet-settinglifestyles onacontinual basis, we’re not used to seeingthem featuredto
promote acenturyold brand. These artists are part of Kodak’s new M5 90 EASYSHARE
digital cameracampaign. The whole point of these commercials is to highlight the
exclusive Share Button feature of these new cameras (Hutson, 2011)”. Although Kodak
triedhard to successfullysell anew product and tap into a new demographic, both plans
eventually failed.
Now that Kodak has phased out most of their products includingall cameras and
film, the demographics of the company has changed again. According to Lexicalist, a
demographic dictionary, Eastman Kodak’s main demographic are males within the ages
of 45-65 years old. This couldbe because the only products Eastman Kodak now
manufactures are printers and ink cartridges, which traditionallythe male would
purchase. Males make up 65.7% of the demographic while women only make up 34.3%.
Consumers inthe age range of 45-54 years oldmake up the majorityof the demographic
at 17.7%, 55-64year olds followcloselybehindat 16.8%, and consumer’s ages 65 or
older are the third largest with 15.7%.

2
Technological:
The Eastman Kodak Company isn’t exactlyknown for their technological
advances ever since digital cameras hit the market. However, now they are trying to
reverse that image now. Kodak has begun pushing their printers and ink jet cartridges in
advertisement rather than their cameras. This is because they are now focusingon the
latest technologyinprinters and ink rather than the technologyindigital cameras.
CurrentlyEastman Kodak has five different types of printer technology;dye-
sublimation, inkjet, laser, solid-ink, thermal-wax. Out of these five printers the one that
Kodak focuses its technologyresearchonis the inkjet printer. “Inkjet printing is a much
more sophisticatedand versatile imaging technologythan most people might imagine.
This technologycanbe applied to almost any size surface - from postage stamps to
building wraps. New applications are identifiedevery day (Kodak)”. They chose the
inkjet printer because it directlyrelates to Kodak’s main target market of mothers These
high quality printers are easy for the whole familyto use, and the price for ink is a very
low cost per page. With Kodak’s technological researchandinnovation on inkjet printers
it makes it ideal for mothers to purchase and use.

3
International:
The Eastman Kodak Company offers many helpful services internationallyto their
customers all over the world. “KODAK Service & Support is one of the largest, most
experiencedservice organizations inthe industry. Whether you are a Manufacturer in
need of a service organizationor a reseller or business lookingfor aservice organization
to support your mix of scanners, storage, or servers from different manufacturers, Kodak
can be your single point of contact for service, with your budget in mind (Services)”.
Kodak offers productssuchas printers, scanners, kiosks, and processors, maintenance
services, support services, conversionservices, and imaging services.
Kodak first went international in 1891 when theyopened their first manufacturing
site in Harrow, London. At this time London was in a booming photography market, so
Kodak rushedthere to take advantage of the opportunity. After, its first move to an
international market Eastman Kodak quickly began expanding their company into several
other countries. Now, the Eastman Kodak Company can be spottedin thousands of
service locations all over the world. The locations are listedhere below:
Americas Region
Canada
Vancouver, Victoria, Edmonton,
Calgary, Saskatoon, Regina,
Winnipeg, Quebec, Montreal,
Ottawa, Toronto, Halifax
USA
European Region (all major
cities)
• Finland
• Norway
• Sweden
• Denmark
• Holland

4
All Major Cities
Latin America Region
• Argentina
◦ Buenos Aires, La Plate, Mar del
Plata, Cordoba, Mendoza,
Nuequen
• Brazil
◦ São Paulo, Rio de janeiro, Recife,
Brasília, Belo horizonte,
Curitiba, Porto alegre. Outras
cidades sob consulta.
• Columbia
◦ Bogota, Cali, Medellin, Barranquilla,
Pereira
• Venezuela
• Chile
• Uruguay
• Montevideo
• Peru
• Lima
• PuertoRico
◦ San Juan Metro, Bayamon, Caguas,
Carolina, Guaynabo, Ponce,
Trujillo Alto, Mayaguez,
Arecibo, Aguadilla, Guayama,
Huamacao, Fajardo, US Virgin
Islands
• Panama
◦ Ciudad de Panama
• Mexico
◦ Mexico City (D.F.), Monterrey,
Guadalajara, Ciudad Juarez
Japan
• Sapparo
• Tokyo
• Nagoya
• Osaka
• Fukuoka
• UK, including Ireland
• Belgium, including Luxembourg
• France
• Switzerland
• Austria
• Germany
• Italy
• Portugal
• Greece
• Spain
Greater Asia Region
• Australia
◦ All major cities, including
Sydney, Melbourne,
Perth, Brisbane,
Canberra, Adelaide,
Tasmania (Hobart &
Devonport)
• New Zealand
◦ Auckland, Wellington,
Christchurch
• Singapore
• Malaysia
• Thailand
◦ Bangkok
• Korea
◦ Seoul, Pusan, Taejon
• Philippines
◦ Manila, Cebu, Davao
• India
◦ Madras, Mumbai, Delhi,
Calcutta
• Taiwan
◦ Taipei
• Hong Kong
• Indonesia
• Jakarta
• PRC (China)
Eastern Europe, Middle East,
Africa
• Service provided by a KODAK
Authorized Document
Imaging Service Provider

5
SWOT Analysis Chart
Strengths Weaknesses
Brand name
Intellectual propertyportfolio
Assets
PrintingBusiness
Management
Business restructuring
Digital film business
Innovation
Diversity
Opportunities Threats
New technology
Emerging markets
New products
New markets
Competition
Economy
Product substitution
Exchange rate fluctuation
Cheaper technology

6
Goals and Strategies
Goals and strategies are extremelyimportant when it comes to acompany’s
future. A company’s goals and strategies shouldbe based on issues or riskthat couldbe
affectingthe company. After going over the sections inthis strategic analysis we can
identifythe areas that the Eastman Kodak Company will need to set new goals and come
up with new strategies for.
Based on all of the informationgatheredI have come up with three goals along
with strategies that I feel would be beneficial to the revival of the Eastman Kodak
Company. The first strategythat I would implement would be to cut down on the
company’s operatingactivities costs;this would have to include the phasing out of some
of Kodak’s not so successful products. The secondwould be to upgrade the technology
of its digital devices and advertise to their target market and loyal customers of the new
advances. Then my last and final recommendationwouldbe to try and sell the company
to a similar companythat is thriving to try and escape as much debt as possible later on
down the road.

Strategic Analysis Final Paper

Strategic Analysis Final Paper

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