1. Sony
Introduction:
Sony is a global manufacturer of audio, video, communications and information technology
products for consumer and professional markets. With its music, pictures, game and online
businesses, the company is uniquely positioned to be one of the world‟s leading digital
entertainment brands, offering an outstanding portfolio of exciting multimedia content.
Sony India Pvt. Ltd. Is one of the business units of sony Corporation in India. There are also 23
branch offices available in 23 city of India. In India Sony outsource the manpower from super
well services.
Sony Company History:
Akio Morita, Masaru Ibuka, and Tamon Maeda (Ibuka's father-in-law) started Tokyo
telecommunications Engineering in 1946 with funding from Morita's father's sake business. The
company produced the first Japanese tape recorder in 1950. Three years later, Morita paid
Western Electric (US) $25,000 for transistor technology licenses, which sparked a consumer
electronics revolutionu in Japan. His firm launched one of the first transistor radios in 1955,
followed by the first Sony-trademarked product, a pocket- sized radio, in 1957. The next year the
company changed its name to Sony (from "sonus," Latin for "sound," and "sonny," meaning little
man). It beat the competition to newly emerging markets for transistor TVs (1959) and solidstate videotape recorders (1961).
Sony launched the first home video recorder (1964) and solid-state condenser microphone
(1965). Its 1968 introduction of the Trinitron color TV tube began another decade of explosive
growth. Sony bet wrong on its Betamax VCR (1976), which lost to rival Matsushita's VHS as the
industry standard. However, 1979 brought another success, the Walkman personal stereo.
Pressured by adverse currency rates and competition worldwide, Sony used its technology to
diversify beyond consumer electronics and began to move production to other countries. In the
1980s, it introduced Japan's first 32-bit workstation and became a major producer of computer
chips and floppy disk drives. The purchases of CBS Records in 1988 ($2 billion) and Columbia
Pictures in 1989 ($4.9 billion deal, which included TriStar Pictures) made Sony a major force in
the rapidly growing entertainment industry.
The firm manufactured Apple's PowerBook, but its portable CD player, Data Discman, was only
successful in Japan (1991). In the early 1990s, Sony joined Nintendo to create a new kind of
game console, combining Sony's CD-ROM drive with the graphic capabilities of a workstation.
Although Nintendo pulled out in 1992, Sony released PlayStation in Japan (1994) and in the US
2. (1995) to great success. Two years later, in a joint venture with Intel, it developed a line of PC
desktop systems.
Rather than support an industry-wide standard, in 1997 Sony teamed up with Philips Electronics
to make another recording media, called Super Audio CD, which could replace videotapes and
CDs. The move could set up a winner-take-all rivalry that recalls Sony's Betamax vs. VHS
gamble. (Sony and Philips created the CD and continue to receive royalties from it.)
In 1998 Sony shipped its first digital, high-definition TV to the US; folded TriStar into Columbia
Pictures; merged its Loews Theatres unit with Cineplex Odeon; and launched its Wega flatscreen TV.
Philips, Sun Microsystems, and Sony formed a joint venture in early 1999 to develop networked
entertainment products. Then the company announced two deals to deliver music to customers
digitally: It agreed to merge Columbia House with online music retailer CDnow (called off in
March 2000), and it agreed to allow Digital On-Demand to sell downloaded music from in-store
kiosks to consumers. Also in 1999 Nobuyuki Idei became CEO, and the company introduced a
Walkman with the capability to download music from the Internet.
In 2000 Sony formed PlayStation.com Japan to sell game consoles and software online; it also
introduced its 128-bit PlayStation2, which can play DVD movies and connects to the Internet.
The company later restructured, placing all of its US entertainment holdings under a new
umbrella company called Sony Broadband Entertainment.
Sony Logo
From its introduction, the eye-catching SONY logo was revered within the company. The first
version of the logo, which was enclosed in a square box, was registered as a trademark in 1955.
Thereafter, the logo went through a succession of changes. In the 1960s, when Sony began to
seriously develop its brand image overseas, the logo was displayed in neon in New York and
Hong Kong, where it competed with famous and well-established foreign companies. In 1959,
the catchphrase “Sony-a worldwide brand born in Japan” was introduced to capitalize on the
logo. This was followed by the slogan, “Research Makes the Difference.” In 1982, a slogan “It‟s
Sony” came up to explain the “S mark” logo.
3. The word Sony is taken from Latin word. Sony logo is a combination of a wide Latin, Times
New Roman or Century font that is white in color. Sony before also it had the same Logo except
with a different tag line/slogan. Its slogan was Like.no.other which later became Current tag line
make.believe and a background which is Black which gives it a very stretched and easy to
identify look.Sony logo stands out because of its name which is unique and also it cannot be
copied by anyone else.
On Sep 2, 2009-Sony announced “make.believe” (make dot believe), as a new slogan of the
brand. “make.believe” is the Sony group brand message. “make.believe” symbolizes the spirit of
the brand. It stands for the power of the creativity, our ability to turn ideas into reality and the
belief that anything we can imagine, we can make real. The dot that links make and believe is the
place where imagination and reality. The dot is the role of Sony. “make.believe unites.
4. Vision:
To create exciting new digital entertainment experiences for consumers by bringing together
cutting-edge products with latest generation content and services.
Mission:
Sony India focused towards making a difference in the lifestyles in the Indian Market and open
up new vistas of entertainment.
To remains committed towards offering new age technology and digital concepts while working
hand with the Indian industry .
Their consistent commitment towards service has brought the company quite closer to the Indian
customer.
Objectives:
1)
2)
3)
4)
To know the consumer behavior about the product.
To know the kind of feature and service providing to get loyal customer.
To know the competitor strategy against the Sony and that effects Sony sales or not.
To kind of promotion that using to distributors and what is their behavior about Sony
brand in between so many brands.
Differentiation:
5. It is the ability of a brand to be able to distinguish itself from its competitors.A brand should be
as unique as possible.Brand health is built and maintained by offering a set of differentiating
promises to customers and delivering those promises to average value.Knowledge is the extent of
the consumer‟s awareness of the brand and understanding its identity.
Company Profile:
One of the most recognized brand names in the world today, Sony Corporation, Japan,
established its India operations in November 1994, focusing on the sales and marketing of Sony
products in the country. In a span of 15 years Sony India has exemplified the quest for excellence
in the world of digital lifestyle becoming the country‟s foremost consumer electronics brand.
With relentless commitment to quality, consistent dedication to customer satisfaction and
unparalleled standards of service, Sony India is recognized as a benchmark for new age
technology, superior quality, digital concepts and personalized service that has ensured loyal
customers and nationwide acclaim in the industry.
With brands, names such as BRAVIA, BRAVIA Theatre, Cyber-shot, Handycam, VAIO,
Waldman, Mplod, Memory Stick, Playstation. Sony has established it self as a value leader
across its various product categories of Audio/Visual Entertainment products, Information and
Communication, Recording Media, Business and Professional products.
In India, Sony has its foot print across all major towns and cities through a distribution network
comprising of over 5000 dealers and distributors, 240 exclusive sony outlets and 19 direct branch
location. Manned by customer friendly and informed sales persons. Sony‟s exclusive stores
„Sony Center‟ are fast becoming the most visible face of the company in India.
Sony India also has a strong service presence across the country with 20 company owned and
190 authorized service centers and 16 exclusive demonstration centers. A distinctive features of
Sony‟s service is its highly motivated and well-trained staff that provides the kind of attentive
and sensitive service that is rare today.
Sony is committed to ensuring that both the products and the marketing activities employed truly
make a difference to people‟s lifestyles and offer them new dimensions of enjoyment.
6. It was in 1964 that Masaru Ibuka and Akio Morita together with a small team of passionate and
committed group of employees started to build “Tokyo Tsushin Kenkyujo” (Totsuko), or
“Tokyo Telecommunications Research Institute” into the billion dollar global conglomerate that
it is today. The main objective of the company was to design and create innovative products
which would benefit the people.
From earl attempts at creating products like the rice-cooker to the later success of creating
Japan‟s first magnetic recorder, the innovative company went on to create other hit products
which won the company widespread recognition and international acclaim as a truly global
company known for its quality and innovative products. Significant product milestones included
Japan‟s first transistor radio (1955). Trinitron colour television (1968) Walkman personal
stereo(1979), Handycamvideocamera (1989), Playstation (1994), Blu-ray disc recorder (2003)
and Playstation 3 (2006).
The company name of Sony was created by combining two words of “sonus” and “sonny”. The
world “sonus” in Latin represents words like sound and sonic. The other word “sonny” means
little son. Used in people who have the energy and passion towards unlimited creations and
innovative ideas. With the far-sight of expanding worldwide, it was in 1958 that the company
formally adopted “Sony Corporation” as its corporate name. easy to pronounce and read in any
language, the name Sony, which has lively ring to it, fits comfortably with the spirit of freedom
and open-mindedness.
Company Mission
Sony India focused towards making a difference in the lifestyles in the Indian market and open
up new vistas of entertainment in the country. Sony India remains committed towards offering
new age technology and digital concepts while working hand in hand with the Indian industry to
produce and sell excellence. Their consistent commitment towards service has brought the
company quite closer to the Indian customers.
Company Outline
Company:
Sony India Pvt. Ltd.
Managing
Director:
Mr. Kenichiro Hibi
Date
of
November 17, 1994
7. Establishment:
Location:
A-31, Mohan Cooperative Industrial Estate, Mathura Road, New Delhi 110044, India.
Staff Strength:
900
Share Capital:
INR 554 Million
Share
Holding:
100% subsidiary of Sony Corporation, Japan
Branch
Offices:
Delhi, Mumbai, Bangalore, Chennai, Kolkata, Hyderabad, Jaipur, Chandigarh,
Lucknow, Pune, Ahmedabad, Indore, Cochin, Coimbatore, Ghaziabad,
Ranchi, Mangalore, Guwahati, Gurgaon, Bhubansehwar, Vijaywada, Nagpur
and Ludhiana (23 Direct Branch Locations)
Business
Activities:
Marketing, Sales and After-Sales Service of electronic products & software
exports Products: LCD Televisions, Video and Digital Still Cameras,
Notebooks and Business Projectors, Personal Audio, Audio Video
Accessories, Hi-fi Audios and Home Theater systems, Car Audio and Visual
Systems, Game Consoles, Mobile Phones, Recording Media and Energy
Devices, Broadcast and Professional products.
Product Profile
BRAVIA
BRAVIA LCD/LED TV
8. Capture the true colors‟ of movies with vast collection of Bra via LCD/LED TVs that
pushes the boundaries of TV technology to bring maximum picture quality in full high
definition.
Digital Photography
Breaking technological grounds, our Digital Imaging devices and accessories are
created with you in mind. We have cameras with compact designs if you wish to carry it in your
purse, and cameras with additional features if you‟re looking for that sometimes extra.
Home Theatre System:
Combining the latest in video and audio technologies, Sony has developed a series of Home
Theatre Systems that provides you with an enhanced home theatre experience.
VAIO CS
9. VAIO CS is an extraordinary blend of elegance, fun and high performance with its
irresistible colors range and mystic features.
Play Station:
Gaming would not be the same without the invention of the Sony Play Station
series. In addition to the highly popular PlayStation, there‟s the handy PlayStation Portable and
next-generation console PlayStation.
10. Sony xperia Z ultra:
Sony has launched a new waterproof android smartphone.Thexperia Z ultra be used
underwater upto a depth of1.5m.Even allowing people to take picture and film vedios in full
HD below The surfce The company said launching it today sony claimed the handset, which
has a 6.4-inch screen , has the biggest display and thinnest large-screen smartphone on the
market.
Product’s Logo:
11. Marketing Mix (4P’S)
Product
Price
Place
Promotion
Product:
Consumer electronics, semiconductors, Video games, Media/Entertainment, computer hardware,
Telecom equipment, Accessories, Financial service insurance, Banking , credit finance and
advertising agency.
Price:
The price of the Sony product is more than compare to other company‟s product.It gives more
benefit with compare the price it takes. The price of Sony products is less flexible with campare
to other brand.
Place:
In all over the India there more than 25,000 distributors selling the sony Product.
Promotion:
Sony promote their product by giving festive offer on their product, price, discouny,lucky draw
coupon.
12. Example: This Diwali the Company was giving a pen drive+Lucky draw coupon price discount.
•
Events:
Sony India‟s Grand Saawariya Star Nite.
SWOT Anaysis:
Strengths and Opportunities
The greatest asset of Sony is of its human capital, especially its engineers which make up the
R&D department. Their constant innovation is crucial for a consumer electronic firm which
specializes in audio-visual equipment and the higher profit margin, which comes from being the
leader of the pact. Subsidiaries are also well established, such as in the United States and Europe
which give Sony a distinct local hands-on knowledge of the local market. It also makes Sony an
international corporation, bringing together the talents and best of strategies of both world to the
organization. Besides the employees, the two founders, Ibuka and Morita also legends in their
fields which they create vision and sense of direction for the organization. The also acts as
bridges between the employees and the management.
The self promoting system and job rotating systems creates satisfaction for employees and give
them greater exposure to all aspects of the business. Ideally, this would produce better products
as engineers gain knowledge on consumer needs while marketing people engaged in the
production and can give their point of view.
The innovative style also stems from the "never copy others" culture, the generous funding of the
R&D and huge amounts in capital investments. As described by Ibuka,"It also stems from
consumer driven in which technology is targeted at consumers or business while American
electronic industry are spoiled be military and space applications."
Sony has been ahead in the race of Video Tape Recorders and digital imaging techniques in
Mavica which both offer tremendous potential of household penetration and sales. It also has the
opportunity to set up standards and dominate the field. Sony has also acquired enough
technology to increase width by going into the high technology business fields. With the rise of
the Asian countries, Sony also has the opportunity to make use of them for markets and for cheap
labour.
Weaknesses and Threats
Referring to Exhibit 1, sales has slowed down considerably since the beginning of the 80s. In the
domestic market, sales actually decreased by 7.22%. The overseas market expanded both in real
13. terms and relative to total sales, but slowed down to around 10% a year. This can be seen as the
vacuum period between one hit product, the Walkman, and its succession. As mentioned by
Ibuka, business is conducted in a ten year cycle. However, in the eighties, the product might still
take a few years to develop, but the time reaping the results and profits might be much less. As
seen in the VTR example, both the VHS and Beta were developed by Sony. However, in a short
time, Matsushita could come up with a competitive product based on Sony's technology.
Therefore, it is fair to say that other electronic firms would be able to copy Sony's technology in
a much shorter time while offering more competitive prices. The margin for technology
advancement is therefore diminishing.
Associated with innovation is the capital expenditure cost and return on investment ratio. As
seen from Exhibit 1, capital expenditure has risen dramatically, especially in 1981, due to the
automation of plants. However, the return on investment has decreased. Spending around 10% of
sales on capital investment is by all company standards an extremely high figure. The question is
that does this high rate of investment represent corresponding growth in profitability? As
mentioned above, the diminishing returns from product innovation is apparent. However, the
internal dimension also poses as much of a problem.
With its great freedom, research and development are divided into small teams which are free to
pursue their interest with little reference to "how it will fit into a market, what the product can
do, how well it will function or how it could be used by customers." Secret projects without
management knowing about them until "secret reports" are submitted are of common practice.
With this kind of practice, there is lack of communication between management and R&D and
threat of duplication of resources among the small groups. There is also a lack of general
direction. This would be especially prominent when Ibuka and Morita, the symbolic leaders and
founders retire. This is because the two in many ways act as the main guidance and bridge
between management and the engineers. Therefore, there is also a succession problem.
Sony has always been a leader in technology, creating markets by looking for new markets
where bigger, well-established companies are not a threat. However, new products such as VTR,
the Walk-in and the Mavica involve both hardware and software. Sony can no longer just
produce superb quality machines and expect them to sell. The software would also have to be
available. For the Walkman, cassette tapes were well established but for the Beta system and
Mavica, a standard has yet to be set. For example, the images of Mavica would be held on a high
density magnetic disk but Kodak, 3M and Sony all have different systems and are not
compatible. The Mavica system also stands alone with little compatibility with conventional
systems and little transitional interfaces.
This leads to the problem of cooperation where Sony is often the maverick, alone creating
markets. With Sony entering markets such as the VTR with no standards, it might be beneficial
14. to both Sony and other vendors if they cooperated instead of competing on conflicting software
that supports the systems. This could also be seen in Exhibit 2, the Porter competitive forces
mode: new entrants from other Asian countries, other Japanese industry competitors, substitutes
and buyers are all strong and much stronger than 20 years ago which reinforce the weakness of
Sony acting alone.
Last but not least, Sony lacks strategy. Product development, manufacturing and marketing are
all well established but the firm lacks any formal long term direction. The original mission
statement is also outdated with its references to W.W.II. Short term strategy is also lacking and
there is little emphasis on profit and accountability of research and development of products. The
result: a company with strong components but unable to coordinate in a coherent way in order to
achieve maximum potential.
Brand Ambassador:
Deepika Padukone is the brand ambassador for Sony‟s Camera.
Kareena Kapoor is the brand ambassador for Sony VIO(laptop).
Competitor’s Profile
The Korean company Samsung has grown to become one the world‟s leading electronic
companies, specializing in digital appliances and media, semiconductors, memory and system
integration. Today Samsung‟s & top quality products & processes are world recognized.
The digital age has brought revolutionary change-and opportunity-to global business, and
Samsung has responded with advanced technology, competitive products, and constant
innovation.
Samsung, see every challenge as an opportunity and believe that it is perfectly positioned
as one of the world‟s recognized leaders in the digital technology industry.
Its commitment to being the world‟s best has won the No.1 global market share for 13
products, including semiconductors, TFT-LCDs, monitors and CDMA mobile phones. Looking
forward, and making historic advances in research and development of its overall semiconductor
line, including flash memory and non-memory, custom semiconductors, DRAM and SRAM, as
well as producing best-in-class LCDs, mobile phones, digital appliances, and more.
15. The history of LG Electronics has always been surrounded by the company‟s desire to create a
happier, better life.
LG Electronics was established in 1958 and has since led the way into the advanced digital era
thanks to the technological expertise acquired by manufacturing many home appliances such as
radios and TVs.
LG Electronics has unveiled many new products, applied new technologies in the form of mobile
devices and digital TVs in the 21st century and continues to reinforce its status as a global.
•
There is two most competitor in panel Samsung and LG.
•
In case of Camera Nikon and Canon is strong competitor.
•
For capturing the panel market LG giving the IPS (In-plane switching) panel at a low
price and Samsung giving the full ID on maximum model at low price.
•
But in case of home theater or music system there is no any competitor of Sony brand.
•
It covers the 95% market of India.
Conclusion:
I conclude that Sony India Pvt. Ltd. Is the one of the leading company in Indian market but
because of Samsung entering in every electronic sector Sony sales reduced in case of LED and
LCD and also in Mobile sector.Next the customers are rightfully aware of the products and
services of the brand before they are willing to buy the products.Internet has been a good way of
displaying the models and customers get an opportunity to select the models from there within
and than they opted to buy it from the retailers.
References:
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http://www.sony.co.in/article/211980/section/sonycompanyoutline
http://www.sony.co.in/section/aboutsony
http://www.sony.co.in/microsite/makedotbelieve/
www.slideshare.com