Sony Corporation in the New Decade Essay

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Master of Science International Business 2010 Presented by: Fahad Ishaq Student-ID-Mainz: 905202 Student-ID-London: 3000235 Lecturer: Prof. Randolf Schrank Unit: International Strategy Words: 2041 CHAPTER 1 INTRODUCTION Sony has successfully created an incredible brand name. It is all about high-technology, innovative products and state of the art gadgets. Sony was founded after post-war of Japan 1946 by two innovative thinkers Masaru Ibuka and Akio Morita, who wanted to step in the business of electronics. They setup a small facility in the bombed area in…show more content…
2.2 Differentiation Strategy: Sony always opts for differentiation in order to stand out from rest of the competitors. Their unique product readily catches the eye of consumer and attracts them. The figure below is called Porter Generic Matrix. The competitive scope in the figure shows when a company follows has a broad or narrow target. If a company has low competitive advantage the focus will be on low cost & if a company has high competitive advantage, the focus will remain on differentiation strategy. The matrix tells the position of a company in that industry. Sony Corporation has a broad target and high competitive advantages which allows the company to follow differentiation strategies. The company could follow this strategy due to its high spending on scientific research and their highly skilled, creative product development teams. Premium pricing is also achieved by this way by the company. SONY Figure 1: Porter’s Generic Matrix CHAPTER 3 SONY INTERNATIONALIZATION Internationalization Journey from 1980’s to 2000: Sony Corporation in the period of 1985 up to 1995 had further invested through foreign direct investment in different countries in South and East Asia including Taiwan, Hong Kong, Vietnam and etc. By the early
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