Sony Corporation in 2004: Managing a Global Corporation

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Case Details:

Case Code : BSTA116
Case Length : 20 Pages
Period : 1946 - 2004
Organization : Sony Coporation
Pub Date : 2005
Teaching Note :Not Available
Countries : Japan
Industry : Consumer Electronics

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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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“We shall welcome technical difficulties and focus on highly sophisticated technical products that have great usefulness for society regardless of the quantity involved: we shall place our main emphasis on ability, performance and personal character so that each individual can show the best in ability and skill.” ¹

- Masaru Ibuka, Sony founder.

Introduction

In 2004, Sony, the world's number one consumer electronics firm, recorded revenue of $72 billion and a net profit of $851 million. The company made a host of other products, including PCs, digital cameras, Walkman stereos, and semiconductors. TVs, stereos, and other consumer electronics products. Sony's entertainment businesses included recorded music and video (Epic and Columbia), motion pictures, DVDs, and TV programming (Columbia TriStar). Sony's PlayStation 2 dominated the game console market with about 70% of global sales (Nintendo's GameCube and Microsoft's Xbox controlled about 15% each).

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Sony's ability to innovate had been remarkable. Founder Masaru Ibuka once remarked², "The key to success for Sony and to everything in business, science and technology for that matter is never to follow the others."

Akio Morita (Morita), former CEO on his part had stated³: "Our basic concept has always been this - to give new convenience or new methods or new benefits to the general public with our technology."...

Excerpts >>

1] www.sony.net
2] ibid.
3] ibid.

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