February 13, 2013
Sony is a global manufacturer of electronics both for consumers and professional markets. Sony’s most popular products include digital cameras, televisions, personal gaming systems, and personal computers. Sony competes with many other companies in the consumer electronics market including Samsung, LG, and Apple. Current Market Situation
In the consumer electronics market, competition is at an all time high. With new technologies emerging constantly (3D TVs), it has become increasingly important to be the first and most innovative company. According to Yahoo Finance and MarketResearch.com, in 2014 the consumer electronics market is forecasted to have a value of $289.5 billion, an increase of 14.1% since 2009. SWOT Analysis
* Founded in 1946, Sony has become one of the well-known brands in the consumer electronics market. * History of innovation. From the Walkman to the Blu-Ray disc. * The Playstation, a home gaming system, is one of the company’s most popular products on the market. The Playstation been successful since inception and still has tremendous consumer demand. According to TechCrunch.com, sales of the Playstation 3 reached over $70 million in cumulative sales since its inception in 2006. * Not only is Sony in the consumer electronics market, but it has its own recording label and Sony Pictures Entertainment, which produces television and films. Weaknesses:
* The high cost of media production has affected Sony’s pricing strategy. As a result, the company is losing an increasing amount of money and market share. * Too much diversification. Many consumers are confused as to what Sony produces. With music labels and entertainment/film studios, Sony has shifted from its core competency as a consumer electronics brand to a brand with too many forks in the fire. Opportunities:
* To integrate its product...