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Case Study - Essay Example

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Sony has been maintaining a true culture of innovation since the early stages of its commencement. Sony calls its modern corporate culture as Sony’s DNA which indicates its inherited…
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Case Study

Download file to see previous pages... The term Sony’s DNA also indicates the company’s unusual skill for product design and outstanding marketing tactics. This extraordinary flair for design and marketing is the key factor of its dominance in international markets.
The major challenge that Sony confronted with achieving synergy was the issue related to its internal convergence. The corporation was unsure how it could achieve seamless cooperation between its subsidiary companies by selling the network vision. In addition, ‘there was little corporation between the content people in the United States and the technical wizards in Japan’. The production units like the Play Station had been enjoying exceed independence by working outside the company’s mainstream and by initiating alliance with other parties. It is uncertain if sonny can endure with this sort of ‘luxury’ in future namely in its innovative processes. Another major problem was the threat from low-cost imitators who already had pirated its content business. As compared to other competitors, Sony had to be highly concerned about factors associated with its copyright. As one of the notable challenges, Sony had been limited access to TV broadcast in USA. They also lacked synergy between hardware and content side of business. Finally, Sony did not have substantial share in mobile industry.
Reorganization might be the possible solution to meet these challenges in future. Sony has already identified this factor; and the organization has entered the world of digital convergence. Instead of traditional mode of management, it depends on outsourcing feasibility which allows broad and collaborative knowledge sharing and problem solving. Sony’s cooperation with Intel and Microsoft is an example for this conceptual change. Although this trend of convergence was unfamiliar to Sony, recently it has altered its tactics especially in case of product ...Download file to see next pagesRead More
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