The Core Business of Kodak and Fujifilm - Case Study Example

Kodak and Fujifilm The history and the core business of the Company Eastman Kodak Company is prominently known as Kodak. It is an American technologybased company which basically concentrates on imaging administrations and answers for organizations. The company was established in the year 1988 by George Eastman. The center business of the company is giving imaging related results and administrations. The company has converted itself into a technology based company. Presently Kodak provides • High quality innovative work which is focused around the extraordinary quality of the company in imaging, testimony and materials sciences. • It gives brilliant products which empower the clients to perform upgrades in benefit, maintainability and quality. • It gives a world class result on item products bundling, practical printing and realistic interchanges. • The company likewise gives services identified with programming which is utilized to reclassify the stream and security of Information (Kodak.com). According to the historical backdrop of the company, George Eastman was one of the first individuals who could design dry plates for picture takers and afterward he presented the basic Polaroid in 1988 for the overall purchasers. It is the first company to present basic Polaroid for normal man around the globe. Throughout the twentieth century the company had an overwhelming position in the photographic film market. In 1976, the company had 90% piece of the pie in USA. Anyway throughout the late 1990s the company began to battle monetarily as the offers of photographic film declined. After that the company could win in 2007 by offering advanced Polaroids. In January 2012, Kodak recorded for security against in the District Court of United States. Kodak had sold a significant number of its business and licenses to different organizations. Fujifilm Holdings Corporation which is by and large known as Fujifilm and it is a Japanese company spent significant time in imaging and photography. The center organizations of Fujifilm are generation, deal and overhauling of color film, advancement, digital cameras, shade paper, supplies for photograph completing, gears for realistic expressions, supplies for medicinal imaging, printers, optical gadgets and level board shows. Fujifilm was established in 1934 as a producer of photographic film. It has extended to be a pioneer in different fields of business. Throughout the 1940s Fuji photograph entered into the business fragment of lenses, optical glasses and gears. In 1962, the company has propelled Fuji Xerox Co. Ltd alongside an alternate UK based company Rank Xerox. In the 21st century, with the quick pace of computerized technology in the photography fragment the company had changed its business structures into advanced technology. In spite of the fact that the company was established numerous years after the fact than Eastman Kodak Company however Fujifilm could change its business rapidly from film to advanced technology. The enhancement system of Fujifilm was additionally fruitful while Kodak fizzled on that. In the year 2006, Fujifilm has proclaimed to create a holding company named as Fujifilm Holding Corp. furthermore Fuji Xerox, Fujifilm will be the subsidiaries of the holding Company (Fujifilm.com) Compare and contrast the approach to management between Kodak and Fujifilm As far as the innovation and the development of products are concerned, Kodak predominantly centered around the fragment of computerized imaging by introducing the advanced print stands on the planet which is otherwise called Kodak Picture Kiosk. It likewise presented online Kodak Gallery for photograph administrations and led the pack by the heading the advanced Polaroid fabricating framework it additionally enhanced the business by presenting ink plane printer which is known as Kodacolor and moved to different organizations like social insurance to reserve the move of the company. The management methodologies and techniques have made it a profitable brand for the clients with a solid base of development technology. Dissimilar to Kodak, Fujifilm had taken an alternate management technique to attempt and oversee innovations. The company began to offer advanced Polaroid and printing administrations sooner than Kodak. It additionally centered around using for its extension. The company began to wander into numerous other associated markets. This technique has helped the company to rename it with "Fujifilm" in 2006 by leaving the expression "photograph" out of the name of the company. It could be seen that as opposed to satisfying the needs of the buyer advertises, the company mostly intended to uncover and improve new conceivable outcomes in the business sector of imaging and photography. The vital understandings and joint wanders embraced by both the organizations additionally helped them to expand their fiscal exhibitions and productivity of the organizations. Their different approach to management and the way Fujifilm had adapted innovation as the key to their growth, resulted in the fall of Kodak. Kodak was firmly sticking to its old process of photo films and failed to recognize the advantage of digitalization. On the other hand, Fujifilm concentrated on preparing digital camera which gives the customers an ability to shoot images without running out of films. This was the success for Fujifilm and simultaneously the downfall of Kodak. Determine what management differences have impacted the relative success of Kodak and Fujifilm Regardless of the distinction in key strategies of Kodak and Fujifilm management could be compressed in one line: a definitive mantra of achievement lies in long haul visualization, capability to develop with time and innovations that fulfill contemporary needs. Fujifilms prosperity stress the requirement for taking the harder course of creating new items and new business than trying for the easy route through promoting. On the other hand, Kodak was too lost in the belief of its own brand and ignored the opportunities of changing the company as per the needs. This resulted in the fall of this big company. The two organizations started their voyage with larger part stake in film printing and creating with Kodak having a head on its adversary. However, throughout the onset of twenty first century, the rate of benefits from film printing began to decay. As a cure, Fujifilm broadened its specialized ranges, brought on new wanders, for example, Fuji Xerox and focused on improvement of in house skill. Unexpectedly Kodak proceeded with confidence on its picture and spread its effect ranges as far as outsourcing: which has a real impairment of needing to depend on others for specialized rights. as indicated by IBIS World, thus in the long run, today Fujifilm not just controls almost 40% of the photofinishing market in America, though Kodaks offer is just 15%, however it has developing impact on fields, for example, medicinal imaging equipments (K.N.C. | TOKYO). Evaluate each company’s approach to ethics and social responsibility and the impact on profitability Corporate social responsibility is an essential component for every association. Each company ought to do something which is valuable for the general public in which it is working. Here, Kodak and Fujifilm both have kept up rich history of morals and social obligations. Kodak has included itself in different social obligations among which bosom malignancy mindfulness project is a standout amongst the most essential. It has upheld the crusade since 2000 and in 2005 it has raised a measure of 500000 pounds. The great inclusion of Kodak incorporates sponsorships of exceedingly fruitful challenge of Fashion Targets Breast Cancer in 2005. It collaborated with Womans week after week magazine to dispatch an across the nation look for more develop face to motivate and speak to the age bunch who are required to be mindful of breast disease. This challenge has tossed a light on Kodaks work in wellbeing imaging range and has demonstrated the essentialness of breast screening (Trivedi and Kaur). Fujifilm bunchs methodology to corporate social obligation is for satisfying the obligations of the general public which is a key theory of the company. It has attempted numerous CSR strategies like Fujifilm Group Green Policy in 2008, Fujifilm Group Social Contribution approach in April 2008, Fujifilm Group Quality Policy in January 2010, Fujifilm Group acquisition arrangements in October 2009, Guidelines for Biodiversity of Fujifilm gathering in June 2009, Fujifilm bunch Occupational wellbeing and security Policy in January 2010 (Fujifilm.com). The aforementioned morals and social obligations have helped both the organizations to enhance the brand picture and gainfulness among the clients. Discuss the extent to which management of both companies adapted to changing market conditions Kodaks incomes topped at almost $16 billion in 1996 and its benefits at $2.5 billion in 1999. The agreement estimate by experts is that its incomes in 2011 were $6.2 billion. It as of late reported a second from last quarter misfortune of $222m, the ninth quarterly misfortune in three years. In 1988, Kodak utilized in excess of 145,000 specialists around the world; at the last number, scarcely one-tenth as a lot of people. Its offer cost has fallen by almost 90% in the previous year (see the figure underneath). From the above diagram we can see that the offer cost of the company has declined by 90% in the previous year and in January 2012, it petitioned for insurance of Bankruptcy in region court of USA. Kodak has endured the immense misfortune because of absence of reception of new technology with the changing pace of the worldwide business. On the other side, the opponent company Fujifilm has done well than Kodak in light of the fact that the management of Fujifilm could embrace the changing technology in the business sector. While both the organizations have experienced misfortune eventually of time, Fujifilm could change the business into a beneficial unified with enhancement and innovation however on the other side Kodak has neglected to embrace the change in time. Recommend three ways any company should build in flexibility in order to adapt to changing market conditions Each and every company ought to be flexible enough to reinforce its decision making strategies so as to adjust with the changing economic situation. There are three courses in which the company can flexible- • The company ought to concentrate on excellent R&D to develop new items as per the changing business requests. • The company ought to have proficient supervisors who will be flexible enough to keep pace with the quick evolving business. • The company ought to use on broadening and extension and it ought to have the capacity to exploit the changing business to draw in the consumers. References Fujifilm.com,. Corporate History | Fujifilm Global. Web. 4 Jul. 2014. Fujifilm.com,. Our Approach To CSR And Related Policies | Fujifilm Global. Web. 4 Jul. 2014. K.N.C. | TOKYO,. How Fujifilm Survived Sharper Focus. The Economist 2012. Web. 4 Jul. 2014. Kodak.com,. Our Company | Eastman Kodak Company. N. p., 2014. Web. 4 Jul. 2014. Trivedi, Tapan, and Ravneet Kaur. Cause Related Marketing. 1st ed. 2007. Web. 4 Jul. 2014. Read More