Introduction To Sony Corporation Commerce Essay

Introduction To Sony Corporation Commerce Essay Sony Corporation has a history of almost more than 60 years. It has a wide sales network and is registered in approximately 200 countries. However, the primary manufacturing facilities of Sony Corporation are located in Asia. Sony Corporation is involved in the developing, designing, manufacturing and selling electronic equipment and devices, game consoles and software. It is also producing and distributing motion picture, home entertainment, television products, and recorded music. In addition to this, it is also rendering its services in the financial services sector which involves insurance operations through the Japanese insurance subsidiaries and banking operations through a Japanese Internet-based banking subsidiary. Sonys products are largely marketed in Japan, the United States, and Europe. Major Problems and Challenges Faced by Sony Corporation Sony is a multinational organization and has to deal with the dynamic industry in which it is operating. It has developed itself by formulating a steady work environment where engineers had thoughtful appreciation of technology and have worked without restraint as they pleased to focus on development of dynamic technologies and creation of products that people have always desired (Mintzberg, 1989). Sony Corporation, which has been a leading corporation once, has reported losses for almost four consecutive years. It declared a record annual net loss of 520 billion yen ($6.4 billion) for the year ends in March 2012. The main strategic problem of Sony Corporation is embedded in its several product lines that provide too many parts of the entertainment value chain. The companys innovation and operations slowed down due to the introduction of the empire-building strategy. It has lead to the weakening of its competitiveness in all of the market segments of its business. In addition to the internal problems faced by the wide product lines by Sony, it is facing other external challenges as well. In late 2000s, global economic crisis caused a significant decline in consumer spending as of recession and resultantly caused a decrease in the profitability of Sony. The overall demand of the products of Sony has declined due to the appreciation of the Japanese Yen as it has lead to negativel y affect the purchasing power of non-Japanese consumers of Sony Products. Further, the Great East Japan Earthquake disaster and its consequences also effected Sonys operations badly and resulted in extensive re-establishment costs. In the presence of these external and uncontrollable challenges, Sony was unable to cope with the increasing competition and it became difficult for Sony to retain its market share within the electronics and game industry. In accordance with such problems the top management team of Sony was comparatively conservative. As a result, Sony lost its competitive edge in the industry due to decrease in its technological innovation. In a nutshell, the primary emphasis of Sony Corporation on restructuring strategies in such alarming and challenging situation leads to enormous and continual losses. Overview of Sony Corporation Strategies and its Implications Sony Corporation is a giant in its industry having well-built core competencies. It has economies of scale and wide scope both in production and research and development because of its huge network in Japan, the United States and other countries all around the world. Moreover, its unique quality, technology and differentiated products are other top strategic benefits that can help it to attain competitive advantage in market. Sonys business operations have been restructured many times in last two decades. Sonys first signs of loss began in early 1990s when it experienced a loss of  ¥ 293.36b in 1995. The reason behind this loss was primarily the unrelated diversification and the dearth of innovation. New products are imitated very soon by the competitors in the digital era because these products can be produced by assembling widely-available parts. So there always remain the dangers of being entangled in price wars (Kusunoki, 2003). This can only be avoided by readily adapting changes in a way that competitors cannot keep up. In reaction to this, Sony put all its efforts into restructuring the corporation considering it as a way towards success as there was general trend of diversification in leading companies (Itami, 2001). It faced heavy restructuring costs in this course but these efforts failed to attain the expected results and outcomes. In 1994, Sony formulated an eight company structure with an a im to create a market-responsive company but the losses prevailed. In 1996, it designed a ten-company structure with a same goal to get the company back to profits. Again, due to unrelated diversifications, heavy decentralization and minimal involvement of board room in major decisions, the losses cannot be reduced. After 1999, the company focused on Internet based products due to dot com burst. This major shift in business focus further worsened the situation. The major reasons for further losses were the lack of consolidation and hence substantial fall in sales. In addition to this, the economic slowdown in the US was also a key reason. Consequently, the focus on core competency was re-established which resulted in regaining profits slightly. Sony must focus on increasing sales immediately so as to meet their short-term goals and attain success in long run. In addition to restructurings among Sonys product lines, it should ensure stable profitable trend to avoid more severe decline. In the past few years, it has been able to reduce it cost. It should maintain this reduction so as to increase gross margin in the long run. Moreover, it should utilize the increased leverage and other assets in the ways that can lead to optimum and efficient boosting of sales. Most importantly, it should try to reduce or mitigate the macroeconomic risk which has been a major cause of unexpected losses in previous years. Critical Evaluation of the One Sony Strategy The most important challenges for Sony are the high competition in industry and the macroeconomic risks. In this regard Sony should re-develop its competitive advantage, regain focus, ensure quality and reduce external factors effect on companys performance and profitability. The chief executive of Sony Corporation has emphasized on the fact that its the time for Sony to change now. He has given a revival plan that elucidates a major shift from the companys unprofitable television business. It also planned to cut 10,000 jobs as well. In the new strategy, it is emphasized that the Sony would concentrate on three businesses namely the mobile devices, including smartphones and tablets; cameras and camcorders; and games. Sony has fruitfully expanded into various business segments (Electronics, Game, Pictures, Music, and Financial Services) since the beginning of the company as a telecommunication company in 1946. It has diversified its product lines and has attained remarkable reorganization in a wide range of sectors. It has enhanced many other resources like research and development, marketing, customer services and even unrelated areas. All this has lead to both positive and negative effects simultaneously. As diversification has lead to the expansion of the company, it has also resulted in decreasing its specialized capabilities. Hence, Sony was unable to keep hold of its competitive advantage in any sector or segment of its business and lost the competitive edge against the highly specialized competitors within each segment. So its the need of the hour that Sony locates a specific segment or sector to focus and specialize in it and then it should restructure the company around that focused segment. This type of restructuring can help the company to utilize maximum of its resources in the most productive and optimal way. The current move of Sonys strategy is exactly in this line. Sony is about to terminate or integrate its least profitable segments. Such restructuring will lead to the development of a proprietary product collection and special set of Sony hardware and software products that can be used against the highly specialized competitors like the products of Apple. In this way, Sony can have an edge over the competitors in long run as no other company is operating in such wide range of sectors currently as Sony is. Sony, no doubt, will have an incomparable experience in this regard. This type of restructuring can reverse the recent unprofitable trend of the company as it will be a strong positive s ignal to the market and its competitors enhancing the confidence of consumers and investors. The segments or sectors of business that should be focused should have the specific features. Sony should focus on such sectors which are already its main segments, namely the consumer, professional devices segment or the networked products services segment. Moreover, such segments should also have the prospect or potential to get integrated with various remaining segments. In this way, Sony will be able to leverage most of its current resources. Most importantly, this market segment should be moderate in competition as well. Sony would be able to implement the strategies in such segments where it has bigger market share recently. Keeping these benefits in view, the mobile devices of Sony are extremely desirable sector to be focused by it. The series of Sony Ericsson smartphones launched with the Xperia brand in 2011 which operated on Android gained an extensive market share and have much more potential. Similarly, the Xperia smartphones can also be integrated with Sony tablets, personal computers and game consoles in this concern. In this way, Sony can be able to lower the cost and increase the demand for such Sony products in the long run keeping the main focus on the abundant competition in the smartphones and tablets markets. Another sector to be focused by Sony can be of the games. The main reason behind it is that its the major segments for Sony in which it has competitive market share. The sector of games can induce synergies among Sonys product lines. Moreover, the competition in the segment of games business is not as extreme as it is in the other market segments. Sony intends to replace the operations of disjointed lineup of content delivery platforms to expand its PlayStation game network which will offer music and video as well. This is no doubt a good strategic step. However, one Sony strategy is intending to focus on Sonys digital imaging business that involves digital cameras and camcorders. This policy is again not very appropriate as Sony will have to face intense competition from Canon, Nikon, and Olympus. Moreover, Sony will also face threats from substitutes such as tablet computers which are highly equipped with advanced digital imaging functions. Keeping all these factors in view, it can be deduced that Sony will encounter great problems in the integration of digital imaging sectors with its other businesses. Another appropriate feature of the new strategy is the decision of shrinking the TV business as the severe competition from Samsung and LG, the deficiency of synergy potentials and the comparatively low share of market is making it impossible for Sony to attain or retain its competitive advantage. The focus on certain sectors will provide various benefits to Sony. Sony can start acquisitions within related segments once it has established strong focus. The acquisition strategy will lead to increase market share, to get the economies of scale, decrease manufacturing costs, and provide access to new technologies and patents. An increase in the market share will provide Sony with higher pricing power. The economies of scale will raise its productivity. The reduction in the manufacturing cost will lead to give benefit in a price competition. The technologies and patents will allow Sony to speed up their innovation progress which is slow right now. Sony must start by acquiring smaller companies in its focused market segment and should overpay premiums for the expected synergies as well. Another main focus of this new strategy is to improve the quality of its products by managing such features at the top level of management in integrated way. The major strength of Sony is its brand name because consumers deem Sonys products as trustworthy and having high quality generally. Whereas the quality of products of Sony has decreased in last few years. For instance, Sony declared that almost around 535,000 of their VAIO laptops might be in danger of overheating because of the temperature gauge error in 2010. Similarly, Sony had also recalled eight models of Sony digital cameras because of the problems with the image pick-up shortly after its multiple delays in launching PlayStation3. Such quality problems have lead to cost lawsuit expenses and have damaged the corporate image as well. Now, Sony is seriously emphasizing on attaining specialization in its products to avoid any such circumstances in future which is a positive action of this strategy. Moreover, Sony is expecting to enhance its business in emerging markets with greater focus on the innovation. It is a vital strategy for any business so as to keep itself in the market successfully. This will provide it with more markets availability in the long run increasing the sales and hence profits. However, this strategy is lacking in one very important aspect which is handling the macroeconomic factors. The presence of Sony in the international market has lead to its sensitivity to exchange rates and local economies. No doubt, Sony cannot get direct control over such factors but it can utilize its Financial Services segment to mitigate the risk exposure. Sony can apply this strategy by making derivatives contracts (currency swaps and interest rate swaps) or by taking short positions in particular securities as long as these practices comply with laws and regulation. The most problematic task is goal congruence. It means alignment of the managers incentives with the overall firm because such hedging measures can impact the profitability of the financial services segment. If these factors are ignored, they will again lead to unexpected losses to Sony in the long run making all other measures unrewarding. Sony took the direct action in introducing the company system in the first place (Kunii, 2000). It then performed an organizational improvement synchronized with the changes in the surrounding environment. Its strategy shifted in accordance with Chandlers proposition that organization follows strategy. Sonys organizational reforms and responding to environmental changes after the bubble collapse were significant (Nishiwaki,1990). The one Sony and one management system will lead to solve many problems and have the capability of improving the performance of the company as all the major decisions are now to be taken and implemented by the top management. The new approach emphasizes on the strengths of the entire Sony Group as One Sony by implementing a rapid decision-making process. With the help of this, Sonys primary goal is to revive and cultivate the electronics business to create new value in addition to further escalation of the stable business foundations of the Entertainment and Financial Service businesses. This management structure has reduced the previous complexity of the system and efficiency is expected to be increased. The more top-down leadership is expected to start to attain Sonys goals for the next years as it is said its the key to spot the requirement to create visions, motivate, establish direction and align people (Kotter, 1999). The focus is on development of six components for successful strategic leadership that involves determining a firms vision, retaining core competencies and mounting human capital. All these aspects are introduced to develop new technology and benefit from a centralized decision making system in the long run (Hannan and Freeman 1977, 1984). Conclusion Sony has faced many difficulties for several years and has now been able to properly identify many of its real problems. The latest strategy will lead to address them to some extent. Although some improvements have been shown in the recent times but still many areas are to be focused on in this strategic change. The basic reason behind it is that Sony is not a market leader now. Resultantly it does not have that old power to influence the direction of the market and follow its own plan. Moreover, the policy of defending its own interests has proved to be exigent. The strategies need not be deliberate always, they can emerge as well (Mintzberg, 1980). This strategy is good in many aspects and can lead to revive Sony Corporation but still Sony needs to work hard if it wants to survive and regain its market-leading position again. Recommendations A wide range of unrelated businesses operations are usually justified on the basis of scale and scope economies but this unrelated diversification can be more harmful than helpful in long run. So, Sony must perform a due diligence to assess the financials and brand worth of its different business units as its competitor Samsung has done. Sony should regain focus and invest in development and make improvements in its core competence. It will be helpful in regaining brand leadership. Sony should restore its RD, design, and marketing departments as well. Innovation should be induced in both products and services that will improve the relationship between the brand and the consumer. The innovation should make valid brand sense. It can be done by reflecting consumer preferences. Sony should promote the marketing function to the board room again and allow marketing to take a lead of the business and the strategy as marketing and branding cannot be transferred to a tactical level handled by marketing managers who dont have an appreciation of the broader vision in the long run. The market has become tremendously competitive. In this situation Sony should follow the old branding techniques only in case they are steered by a brand oriented leadership. The top management including the CEO of Sony should assess the meaning and identity of the brand to its customers in these dynamic and challenging times in a way that they innovate and lead the industries in which Sony is operating. It is extensively important for Sony to regain the cool factor. It should enhance its designs and features all over again as this is the main strategy which can help Sony to survive in competition of the industry having strong competitors like Apple, Nokia, Samsung and others. The supremacy in designs and customer oriented features are very essential to be attained.

Coca Cola in Belgium

1) How could the Belgium problem have damaged Coca Cola? Coca-Cola had been creating a really strong and successful image, and people had great sympathy for the brand. But because of the Belgian scandal, the credibility of the umbrella brand was being doubted. First of all, customers (mainly from Belgium and France at the beginning) were scared of drinking Coca-Cola products. For example, parents did not want their kids to get contaminated. More so, the brand was not giving a specific reason for these incidents, and by not reacting soon enough the quality of their products was at stake.Because of that, the Belgian government imposed strict hygienic conditions to recover the right to sell their products again. Therefore, the rest of European countries had an â€Å"excuse† to distrust the brand, even if the Belgian authorities reacted a bit extremely due to the former chicken crisis. Suppliers and distributors around Europe were also impacted. Coca-Cola, as a global brand, had h ad to trust its bottlers to follow the quality values the company held, but this scandal challenged the current control of Coca-Cola over its supplier's plants.But these suppliers also were scared of the consequences of their relationship with Coca-Cola in this crisis. Coca-Cola also suffered a financial impact because of this crisis. The withdrawal of their products had a negative impact on the second quarter net income of the year 1999, with a decrease of 21%. Not only that, but the cost of the entire operation escalated to $103 million. All around the world investors were afraid of the money invested in the company, and this affected a decrease of the share value on Wall Street.The competitors saw this crisis as an opportunity, and increased their promotion in order to steal part of Coca-Cola's market share. They took advantage of Coca-Cola's weak image during those days to claim their own high quality. Despite all of this damage during June and July (partly due to the slow react ion of Coca-Cola), by the beginning of August the core users of Coca-Cola brands had regained the same purchasing intent than before the crisis. Hence, we can conclude that even if there was a big impact in the short term, this crisis did not affect the image of the company in the long term. ) Is the problem solely limited to Belgium? Solely to Europe? Or is it a global problem? It is worth mentioning that this was the first crisis of these characteristics that Coca-Cola suffered. Until then, it had been the most famous and successful global company, but a located problem in a relatively small country as Belgium had repercussions in Wall Street. It is true that the center of Europe was the most affected area for this problem: the cases of sickness were reported in Belgium and in France only, but it also affected the rest of the European market (Luxemburg and Dutch, for example.It even made the European Commission involved, which recriminated the company for not giving enough explana tions. However, it was not only the Eurpean market who was affected: they reported a worldwide loss of 1% of sales, and during 10 days they lost a 13% in share value. Therefore, the Atlanta Headquarter had to react, and Douglas Ivester (CEO) had to make a public international apologies. Nevertheless, Coca-Cola is produced locally rather than globally, so they could have reduced this global impact by informing about the production and distribution process.In conclusion, the brand image and reputation of Coca-Cola was affected globally, but especially in Europe, as it is where it had direct impact. Although thanks to Coca-Cola's strength, its global profitability only received a short term impact. 3) Is it feasible for the company to regain its image? In this particular case, we already know that Coca-Cola was able to regain its image. But it is interesting to see what were the reasons of the recovery, and whether they can be used by other companies.First of all, this crisis started a s a phenomenon of mass hysteria, which happen periodically. They tend to have huge impact in the short term, but the long term is barely affected. Most recent example would be the avian flu, which had few casualties but caused a great disturbance. Second, the company had more than enough resources, the know-how and the influence to regain the confidence of its stakeholders through communication. After all, they were highly regarded by most consumers and markets, and recognized as a global, â€Å"caring† brand.Third, we have now (not that much in Coca-Cola's particular case) the example of other global brands that had comparable problems and were able to recover, through both communication and other acts. One very well known problem was that of Nike, and the whole scandal of child labor during the 90's and early 00's. They reacted fast, and instead of trying to cover it up, admitted it and acted in order to end the problem, and convince their stakeholders that they had 4) If y ou had to design an advertising campaign, what objective would you propose? And what actions other than advertising would you undertake?The scandal suffered in Belgium was also a reason for European authorities (and each country's authorities) to expose their doubts about Coca-Cola. Thus it would be advised to have an all-around campaign to prove the company's integrity and its commitment on social responsibility in front of all of the stakeholders, not only the consumers. Some ideas we discussed that could be included in this campaign during the hysteria are the following: * The crisis was directly linked to Coca-Cola cans. Because of that, Coca-Cola should promote bottles rather than cans.Unconsciously the human brain would not link the bottles with the crisis. * The main focus of the campaign should be on emotional arguments, as functional arguments are compromised. * Similar to the first idea, prevent damage over other brands (Fanta, Nestea) by advertising them individually, so the consumers do not link them directly to Coca-Cola. These communications could be supported with PR. If we can convince the media of the commitment on quality, positive comments will help calm down the consumers and minimize the impact of the hysteria.John Emsley's article in The Independent is the perfect example of of how this comments can benefit Coca-Cola. Some ideas we discussed that could be changed in the company after the hysteria are the following: * Redefine the company's mission, to better show commitment with its stakeholders and with social corporate responsibility. * More collaboration with local governments on social projects. * Stronger conditions for suppliers, or stronger control over them, in order to make it harder for these crisis to appear.

Putting Elderly Parents in Anursing Home Essay

There will almost absolutely come a day when your parents will need you. When this time comes, they will probably not admit that they need you or anyone else for that matter, but in reality, they will definitely need someone. If you look back to your childhood it’s quite similar to those days they had to care for you. They took care of your every need from bathing, feeding and dressing you appropriately. Those days you may not remember as well as they do but they happened. The days that they were responsible for you, unfortunately now they need the same care that they provided for you so long ago. So what are your options you say? Put them in a nursing home where you’ll take the chance they may be cared for properly? Chances are every time they have to use the bathroom or need assistance their going to have to press a help button and wait. Wow, they just became a number in someone’s eye and honestly how degrading can that be. The clear option for so many reasons would be to keep them at home and care for them as they did you. So with a firm standing putting your elderly parent in a nursing home is by far the worst option compared to keeping them at home. The average cost of putting an elderly parent in a nursing home verses keeping them at home is by far reason in itself. Deciding to keep you elderly parent at home verses a nursing home is an easy choice once you weigh the factors in of their independence, the cost and by far their love for u and your love for them. Are you ready to choose? This day it’s almost an inevitable choice that you’re going to have to make rather you want to or not. Do you have a clue what this involves? The bottom line is if you choose not to be there you’re given up that last chance you’ll ever have to be there for them. The normal stay in a nursing home is an average of just 2. 4 years. The average daily cost of a private room in a nursing home in the United States is $70,080 a year, or $192 a day. The average cost of a semi private room is $169 a day, or $61,685 a year. [ (Elder law answers website, 2008) ] Wow, now can you just see their life saving dwindling. I can say after being a nursing assistant employed in the nursing home setting for seventeen years now. That I can tell you I’ve heard it endless times form my elderly residents in the nursing home, how they worked hard all their life and for what? To live out their golden years watching everything they worked for go to their care. Needless to say it’s heartbreaking for those who have to watch it and those experiencing it. It’s hard enough for them to except the care they now need. But really to watch their whole life savings disappear for the need to survive every day. On so many levels it’s completely wrong and not fair. It’s hard to accept and realize that they’re hurting a lot more than you are and a lot more than their probably ever going to tell you they are. But they made great sacrifices and tremendous efforts to make your life relatively easy when you were growing up; the least they deserve now is to have a life that is comparably comfortable as they live out their golden years without having to watch their life’s work go down the drain. The average daily cost of keeping your elderly parent at home is far less than you would expect. There are so many options out there to help them stay home. If your elderly parent remains home they still have so many options available to help keep as much as their independence as possible. Home health care services are available in almost any area and provide supervised personnel care to help them with either health needs or their daily activities of living. Meals and transportation are also available to help retain independence. Home delivered meal programs can help ensure a proper diet for them. Adult day care and hospice are also options to help retain your elderly parent at home. Respite care is also available to you. They will send a trained person to care for your loved one so that you can run errands or take a vacation and have the break you may need [ (new york Life , October) ]. So with many options to help retain your loved one at home it’s easy to see the benefits of keeping them at home as long as possible once you have assessed the cost to do so. The daily average cost of keeping a loved one at home with a paid caregiver is an average of $96. 0 dollars a day and an average of $34,560 dollars a year [ (Kobrin, 2009) ]. Compared to a nursing home this is by far the cheaper option. But still with adding in the other options listed above this can be even cheaper if you do your research for your local area. By being head smart you can keep your elderly parent at home without watching everything they’ve worked for go down the drain. In ending choosing to keep your elderly parent at home is more than the right choice. In the long run it’s going to save them money and prolong their independence as long as possible. This is also your chance to give back to them all that you can for everything they did to support and raise you. It’s your turn now to make that right choice. By keeping them at home they’ll be much happier and so will you. This is their golden years! So let them shine as there suppose to. Do this by keeping them at home and showing them the respect they completely deserve. In doing this you will be letting them keep their independence and the life that they’re use to for as long as possible.

The Art of Akhenaten - Paper - 1698 Words

The Art of Akhenaten A Formal Analysis of House Shrine and Akhenaten Making Offerings The Art of Akhenaten A Formal Analysis of House Shrine and Akhenaten Making Offerings One of the most enigmatic pharaohs of Egyptian history, Amenhotep IV, had grown up in the most powerful family in ancient Egypt. Once he became pharaoh and ruler of Egypt’s empire in 1378 BCE, he changed his name to Akhenaten, â€Å"effective spirit of Aten†, and was known to the people as â€Å"the heretic king. Early in his reign, Akhenaten encouraged ideas by using art as a way of emphasizing his political and religious intentions of doing things differently; therefore,†¦show more content†¦This first act as king brought with him a shocking speculation and hostility between his throne and the priesthood of Amun. Inside the temple was an entirely new style of art, which was often described, as â€Å"naturalistic† in Akhenaten’s portrayal of the human body. No longer was the Pharaoh portrayed as half animal with the perfect body fitted for the afterlife. Akhen aten and the royal family were shown with long toes, massive hips, extremely long fingers, skinny torso, ample breasts, big buttocks, and an elongated face. This exaggeration of the royal family’s bodies altered classic Egyptian art and became better known as Amarna Art. Another astonishing act to this religious revolution was the Akhenaten’s order of the construction of a new capital, far to the north of Thebes known as Amarna, horizon of the sun, claiming the sun god lead him there. A few years after, Akhenaten made the decision to abandon Thebes and ordered his people to pack up and leave behind the city built by his father to receive the blessings of Aten in the city of Amarna. Shortly thereafter, he abolished traditional gods and goddesses, declaring one monotheistic deity, Aten, and introduced in art as a more intimate worship in public and personal settings of the royal family, receiving blessings from Aten, and showing day to day life and activities. A classic example of the radical transformation of Egyptian state religion is found on theShow MoreRelatedArt Analysis : Egyptian Art917 Words   |  4 PagesProfessor Hayburn Western Civ. Art Analysis 2 March 2016 Art Analysis Paper Egyptian art has always been extremely interesting and Egyptian art has influenced a lot of other societies in the past. They have created the three pyramids, the sphinx, Pharaoh sculptures, and so much more. The one piece that is very intriguing was the Akhenaten, Nefertiti, and Daughters stone. 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