STRATEGIC MANGEMENT

SONY

STRATEGIC MANAGEMENT
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Table of Contents
Introduction.................................................................................................................................................2
Bibliography................................................................................................................................................5
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Introduction
Be Moved of Sony leads to present the attractive combination of engineering as well as
artistry through utilizing its hero products, telling stories about what goes into creating
underwater headphones, digital cameras, and 4K TVs (Sony, 2013). Selling point of the
organization is innovation. Organizational nature of Sony is to work as the Conglomerate that
particularly leading as the manufacturer of different electronic products and services. There are
many brands under Sony Company. These are Sony Music, Sony Picture Studios, and Play
Station. Sony started the business in 1946. Nation of origin was Japan. The company expanded
the operations of business in many nations. These are U.S., U.K., Germany, China, and many
more.

There are many kinds of problems face through Sony. One of the main problem
organization faces is overdiversification. Reasons behind overdiversification are related linked
diversification, lack of main competencies, and lack of win over the all rivals within the markets
(Vailshery , 2021). The company do not benefits the good base of loyal customers, low level of
branding system, and lack of linkages in case of products sales. The company is not capable to
benefit every products segment while upgrade one products segment when Apple ecosystem is
completed. This is lacking the ecosystem in relation to innovate the products.
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(Vailshery , 2021)

There are many important solutions available for the Sony Company to resolve the all
changes. The company follows the practices of successful cases as the reference. The company
minimizes the level of production cost and improve price of selling. The company changed the
approach as minimize the cost of production and improve price of selling. It removes the burden
to group of Sony while selling the mobile phones with high mark-up price. It transferred the
resources within the other product. Existing plants of manufacturing for the production of mobile
utilized for other products. Employee that performed for Sony mobile assigned to the new
production lines or other lines of production. This started to focus on many other profit
generating services and products. It began to outsource to third party contractor.

The company built the brand ecosystem by focus on new product. It linked majority of
product with the unique level of impression. This utilized the benefit of being the Japanese
multinational organization and move more lines of production to Japan. This improved value and
rarity. Organizational culture of the organization has been transformed easily synonymous to
satisfaction for every customer. This creates the loyal base of fan with full practices on what a
consumer require. Open innovation lead to improve the brand value. It applied the patent in
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relation to open innovation program and creates the VIP website in relation to gain the ideas
from loyal customers.

Risks and limitation in case of Sony Company are losing share and position in the
international market. It will waste their fund and time as the unclaimable lost. Requirement of
big investment pools. Change in business model refers that 15% fewer that organization at
international level successfully develops the ecosystem.
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Bibliography
Sony, 2013. Be Moved. [Online]
Available at: https://www.cnet.com/pictures/sony-sets-it-out-at-ces-2013-pictures/
[Accessed 26 11 2021].

Vailshery , L. S., 2021. Sony's consumer electronics segment unit sales from FY2012 to FY2020,
by category. [Online]
Available at: https://www.statista.com/statistics/222370/unit-sales-of-sonys-consumer-
electronics-by-category/
[Accessed 26 11 2021].