The Business Strategy: Sony's International Strategy

There are many businesses that have expanded their business internationally in order to benefit in some sort of way rather it revenue or a better market for their product. In this thesis, I will research a multination company and its international strategy over the last 10 years. I will elaborate on it international orientation and rather it etho-, poly-, or geocentric. I than explain why the company decided on expanding to the chosen locations. Then I will clarify if they had core capability to succeed in those markets, along with its

Japan is the home to of the top companies in the world. One of the companies, which has helped Japan’s economy to be one of the top, is Sony. Modern day Sony is a high profit high output company, which is manly due to its marketing strategies and decision to its customers.

Sony Corporation is a Japanese owned company, created in 1946 based in Tokyo, Japan. The company competes in the technology market with diversity. This includes video games, computers and computer hardware, television, media players, etc. With that being said, Sony has had their ups and downs over the past few years, just like everyone else in this industry. Things such as the U.S. economy can really affect the future of this company. Now that the economy is on the downfall, things such as entertainment are not as important as paying for food, gas, and other bills. It is important to realize these things as you analyze the company due to the fact that the company

Sony is one of the largest consumer electronics manufacturers in the world. It has introduced various high quality products such as the Play Station series product line. However, Sony has not managed to have a positive net income and has faced six net loss in the last seven years. Aiming for a turning a round, Sony declares a goal of $4.8 million of operating profit in the fiscal year 2017 and targets a 10% return on equity (the Economist, 2015). Sony’s business strategy to is to restructure and divide the company into three sectors, which are Growth Drivers, Stable Profit Generators, and Volatility Management, to give the business sectors the independence to operate in the most efficient manner (Baker, 2015).

With all these elements concerning the gaming industry. PlayStation 4 continue to outsell its competition. Which is the Xbox One as well is the Xbox 360 and the Nintendo. In turn makes it the number one gaming console worldwide. Sony has committed to cultivating it's gaming system for the next generation to enjoy the product. Sony PlayStation 4 has no pressure with it status in the gaming industry with it significant prices, and design. With gives reasoning to buy the console.

However, when you are buying a PlayStation you will see on the box that it says Sony PlayStation. Sony is a company that is multinational corporation that has its headquarters in Tokyo, Japan. When you look at the name Sony you would not expect it to be the mixture

On January 15th, 2015, The Toronto Star published a news article detailing the recent decision of Sony to close all fourteen of their stores located in Canada. Sony decided that they close all outlets across Canada over the course of the next two months, which would directly affect 90 of their employees. In their company statement, it was stated that the company would instead be directing their sales through telesales and online stores and the Tokyo-based Sony Corporation forecasts a $2.3 billion (U.S) deficit for the business year to March. Sony has been cutting retail operations since 2014 such as by closing their outlet in Toronto Eaton Center and will continue to close their outlets located in areas such as Vancouver, Montreal, Calgary, and Ottawa.

Keith Stuart (2014) lists six possible causes that Sony’s PS4 became so successful: one, launch and distribution, two, the failure of Xbox One, three failure of Nintendo Wii, four, the pricing, five, the games PS4 has, and six, how it looked. According to Stuart, most of the other consoles, such as Microsoft Xbox One and Nintendo Wii, are usually available in one region and not available in other regions for years. However, Sony distributed PS4 in almost every place around the globe in first few months after its release. This was a big success for Sony because as Hearly (2015) states, early consumers buy more products at higher prices than the later consumers. Also, Hearley continues, the success of the console and the games for that console depend on each other. So, the early release of PS4 in different regions was a success for Sony because it sold many units in a short time and the increase in selling the product increased after more gamers had their friends using

Sony Corporation was founded in 1946 and was originally named Tokyo Telecommunications Engineering Corporation. That name was later changed to what we now know as Sony in 1958. Ever since Sony became a corporation they always envisioned themselves as a company who “creates new markets with communication technology” (McPhail, 2014, p. 159). Little did they know when Sony started out how popular the brand would become. In 1988, as Sony was expanding, they acquired the company Columbia Pictures for a whopping $4.9 billion. They wanted to grow their US media empire and they did just that with Columbia Pictures. This sort of deal was the first of its kind in the 1980’s with it being between a Japanese company and a Hollywood studio (Richter, 1989).

Sony has a broad offering in consumer electronics segment that it can leverage to provide a comprehensive

Sony’s innovative approach and successful brand name, being associated with numerous motion pictures, computer entertainment, music, television, and online businesses, makes Sony one of the most successful, extensive entertainment and technology companies in the world.

These make Sony one of the most comprehensive entertainment companies in the world. Sony's principal business operations include Sony Corporation (Sony Electronics in the U.S.), Sony Pictures Entertainment, Sony Computer Entertainment, Sony Music Entertainment, Sony Mobile Communications (formerly Sony Ericsson), and Sony Financial. Sony is among the Worldwide Top 20 Semiconductor Sales Leaders and third-largest television manufacturer in the world, after Samsung Electronics and LG Electronics.

Sony has many products and started to branch out. Sony has mostly started to manufacture appliances and electronics. Even thou many new different products may arise, Sony can manage and maintain their quality.

Sony Company is a Japanese multinational corporation. Masaru Ibuka and Akio Morita are the founders of the company, in late 1945. The corporation is headquartered in Tokyo, Japan. It is among the leading electronic products manufacturers for consumer products. The company manufactures varied consumer electronics, equipment for video communications, innovative cameras and information technology equipment. It is one of the leading digital entertainment brands globally. It offers customers a range of exciting multimedia content. In the next one and

Sony has a strong reputation on the domain of digital and audio technology. However, Sony was a marginal player in the handset industry with 2% of market share. Previous attempts to enter the US and European markets both failed due to poor knowledge on mobile technology. Sony was too slow to move away from its traditional businesses such as music stereos, televisions, VCR and DVD, hence a partner who could provide expertise knowledge was needed.