Sony Corporation - Losing Competitive Advantage
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Please note:
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Case Details: |
Price: |
| Case Code |
: |
BSTR192 |
Electronic Format: Rs.
400;
Courier (within India):Rs. 25 Extra
Themes--- |
| Case Length |
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20 Pages |
| Period |
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1998-2005 |
| Organization |
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Sony Corporation |
| Pub Date |
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2005 |
| Teaching Note |
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Available |
| Countries
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Japan |
| Industry |
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Consumer Electronics |
Abstract:
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The case discusses the problems faced by Japanese electronics and
communications company - Sony Corporation in the early 2000s and two of the
restructuring exercises that Sony was subjected to in 2003 and in 2005. With
all its previous restructuring programs not yielding the desired results,
Sony adopted a new restructuring plan under the leadership of its first
non-Japanese CEO Howard Stringer.
There were mixed reactions for the new
restructuring plan from several quarters. The case outlines the strategies
which Stringer plans to adopt to achieve an operating profit margin of 5% by
Sony in 2008 and debates the efficacy of these strategies.
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Issues:
» Examine the implications of frequent
restructuring by Sony
» Evaluate the strategies adopted by Sony to regain its lost market
share
» Study the emerging trends in the consumer electronics industry
Contents:
Keywords:
Sony Corporation, Restructuring, Transformation 60, Howard Stringer,
Business Model, Convergence, Organizational structure, Decentralization,
Management structure, Commoditization, Financial Performance
Sony Corporation - Losing Competitive Advantage
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