swot analysis sony

8/4/2019 SWOT Analysis Sony

1/4

SWOT Analysis Sony

Sony SWOT

This SWOT analysis is about the Sony Corporation.

Strengths

Substantial Brand Identity

Sony is a corporate brand whose identity is deeply rooted and very well established in theminds of potential customers. The brand remains healthy despite dropping from 25th to 29 inname recognition according to InterBrands 2009 ranking. Interbrand valued Sony brand at$11 million.

Global Diversification

Sony products and services are available throughout the world in approximately 200countries and territories. The United States market accounted for 17.9% of the revenues,Europe (13.9%), and others (25.8%), while Japan consisted of the largest segment at 42%.This diversification helps to minimize the impact of adverse conditions that may arise in anyone geographic region.

Weaknesses

Downward Trending Revenues

Four major Sony division experienced revenue losses in 2009, specifically Electronics down17%, Games down 18%, Pictures down 16.4% and Financial Services down 7.4%.In the U.SRevenues were down 15.4 %, while revenues in Japan fell 15.2%.

Poor Proximity of Production to Customers

Sony's production facilities are located far from its customer base. Approximately 60% of theannual production in Japan must be distributed to for other regions. In FY2009, the group

produced 50% of the electronics segments total annual production in Japan.

Substantial Retirement Benefit Commitments
http://www.marketing--research.com/marketing/sonyjpg


2/4

The unfunded status of the pension liabilities (approximately $3.6 billion) increased at a rateof 62% over 2008. Sizeable unfunded post retirement benefits would force the company tomake periodic cash contributions, diverting money away from production related uses.

Opportunities

Joint Ventures and Strategic Acquisitions

Sony benefits from the flexibility to enter into key join ventures and execute key corporateacquisitions. For example, established a joint venture project with Sharp to produce and selllarge-sized LCD panels and modules. Another example includes its alliance with Taiwan'sHon Hai Precision Industry for the production of LCD TVs. Among recent acquisitions arethe purchase of a TFT liquid crystal display (LCD) business from Epson Imaging Devicesand Convergent Media Systems, which makes video integration solutions for the enterprisemarket.

Projected Growth in the Consumer Electronics Market

The Consumer Electronics Market is expected to grow at a rate of 7.2% annually to reach avalue of $136,700 million in 2014. Sony is uniquely positioned to take advantage of thisincrease. As one of the largest global companies in the industry Sony has the capacity to tapinto changes in consumer demands as they emerge. Sonys recent reorganization has putdigitally savvy and globally experienced staff in positions to maximize the potential seen ingrowth projections.

Strong Positioning in Emerging Economies

Sony is firmly entrenched in the so-called BRIC economies (Brazil, Russia, India and China).These regions are emerging markets and represent over 40% of the worlds population. The

firm plans on following its model of success experienced in India where it emphasized itstelevision film, and music product content. The company has a goal of doubling its revenuesin the BRIC markets.

Threats

The Continued Economic Slump

The negative economic conditions in The United States, Japan and Europe have had adisastrous impact on Sony. The company receives approximately 74% of its revenues fromthese markets. As the economic slump lingers, consumer confidence remains low and Sonyhas felt the impact in decreased revenues. Sony leadership has acknowledged that thedownturn exposed weaknesses and vulnerabilities in the firm that have needed addressing forsome time.

Impact of Strong Japanese Yen

Sony is vulnerable to fluctuations in foreign currency exchange rates and exposed to

fluctuations in the value of the Japanese yen, the US dollar and the Euro. Recently, theJapanese Yen appreciated significantly against the US dollar and Euro. A stronger yen makes


3/4

Sony's products appear expensive in comparison and cuts into the value of overseas earnings.The firm acknowledges the need to implements effective hedging strategies to counterforeign exchange translation effects.

The Impact of the Black Market

Smuggled goods and counterfeit products have really plagued the electronics manufacturingindustry in recent times. Counterfeit goods are projected to double to 18% of total world tradeby 2010. In addition, China's growing share of electronics production represents an increasein the number of potential counterfeit products in the market. These knockoffs, althoughcheaper and of less quality still the potential to divert revenues from Sony.

The Impact of Compliance Regulations

Environmental, health and safety compliance laws which impact Sony operations andproduction may be burdensome and have a negative impact on profits. To maintain

compliance the firm must incur capital and other expenditures. Potential expenditures relatedto regulations are not limited to compliance, but may also be felt in fines and penalties in thewake of non-compliance.

The Origins of the SONY Brand

The Sony name was created by combining "SONUS," the original Latin for "SONIC,"meaning sound, with "SONNY," denoting small size, or a youthful boy. It was chosen for itssimple pronunciation that is the same in any language.

Add new comment.

Swot Analysis

SWOT analysis definition Free SWOT Analysis template SWOT analysis example Apple Swot Analysis Ben and Jerry's SWOT Analysis EA Games SWOT SWOT Analysis Amazon SWOT Analysis Nestl SWOT Analysis Toyota. Crayola SWOT analysis SWOT Analysis - Tata Motors Limited SWOT Analysis Bharti Airtel SWOT Analysis Burger King SWOT Analysis China Mobile SWOT Analysis Dell SWOT Analysis DreamWorks
http://www.marketing--research.com/comment/reply/84#comment-formhttp://www.marketing--research.com/comment/reply/84#comment-formhttp://www.marketing--research.com/marketing/swot-analysis-definitionhttp://www.marketing--research.com/marketing/swot-analysis-definitionhttp://www.marketing--research.com/marketing/free-swot-analysis-templatehttp://www.marketing--research.com/marketing/free-swot-analysis-templatehttp://www.marketing--research.com/marketing/swot-analysis-examplehttp://www.marketing--research.com/marketing/swot-analysis-examplehttp://www.marketing--research.com/marketing/apple-swot-analysishttp://www.marketing--research.com/marketing/apple-swot-analysishttp://www.marketing--research.com/marketing/ben-and-jerrys-swot-analysishttp://www.marketing--research.com/marketing/ben-and-jerrys-swot-analysishttp://www.marketing--research.com/marketing/ea-games-swothttp://www.marketing--research.com/marketing/ea-games-swothttp://www.marketing--research.com/marketing/swot-analysis-amazonhttp://www.marketing--research.com/marketing/swot-analysis-amazonhttp://www.marketing--research.com/marketing/swot-analysis-nestl%C3%A9http://www.marketing--research.com/marketing/swot-analysis-nestl%C3%A9http://www.marketing--research.com/marketing/swot-analysis-toyotahttp://www.marketing--research.com/marketing/swot-analysis-toyotahttp://www.marketing--research.com/marketing/crayola-swot-analysishttp://www.marketing--research.com/marketing/crayola-swot-analysishttp://www.marketing--research.com/marketing/swot-analysis-tata-motors-limitedhttp://www.marketing--research.com/marketing/swot-analysis-tata-motors-limitedhttp://www.marketing--research.com/marketing/swot-analysis-bharti-airtelhttp://www.marketing--research.com/marketing/swot-analysis-bharti-airtelhttp://www.marketing--research.com/marketing/swot-analysis-burger-kinghttp://www.marketing--research.com/marketing/swot-analysis-burger-kinghttp://www.marketing--research.com/marketing/swot-analysis-china-mobilehttp://www.marketing--research.com/marketing/swot-analysis-china-mobilehttp://www.marketing--research.com/marketing/swot-analysis-dellhttp://www.marketing--research.com/marketing/swot-analysis-dellhttp://www.marketing--research.com/marketing/swot-analysis-dreamworkshttp://www.marketing--research.com/marketing/swot-analysis-dreamworkshttp://www.marketing--research.com/marketing/swot-analysis-dreamworkshttp://www.marketing--research.com/marketing/swot-analysis-dellhttp://www.marketing--research.com/marketing/swot-analysis-china-mobilehttp://www.marketing--research.com/marketing/swot-analysis-burger-kinghttp://www.marketing--research.com/marketing/swot-analysis-bharti-airtelhttp://www.marketing--research.com/marketing/swot-analysis-tata-motors-limitedhttp://www.marketing--research.com/marketing/crayola-swot-analysishttp://www.marketing--research.com/marketing/swot-analysis-toyotahttp://www.marketing--research.com/marketing/swot-analysis-nestl%C3%A9http://www.marketing--research.com/marketing/swot-analysis-amazonhttp://www.marketing--research.com/marketing/ea-games-swothttp://www.marketing--research.com/marketing/ben-and-jerrys-swot-analysishttp://www.marketing--research.com/marketing/apple-swot-analysishttp://www.marketing--research.com/marketing/swot-analysis-examplehttp://www.marketing--research.com/marketing/free-swot-analysis-templatehttp://www.marketing--research.com/marketing/swot-analysis-definitionhttp://www.marketing--research.com/comment/reply/84#comment-form


4/4

SWOT Analysis Fox Entertainment Group SWOT Analysis General Motors SWOT Analysis Hewlett Packard SWOT Analysis Home Depot SWOT Analysis ITC SWOT Analysis Indian Premier League SWOT Analysis Johnson & Johnson SWOT Analysis Kroger SWOT Analysis McDonald's SWOT Analysis Molson-Coors SWOT Analysis Nike, Inc. SWOT Analysis PepsiCo SWOT Analysis Sandals SWOT Analysis Smith and Wesson SWOT Analysis Sony SWOT Analysis Starbucks SWOT Analysis Time Warner SWOT Analysis Trojan SWOT Analysis Wal-Mart SWOT Analysis Whole Foods SWOT Analysis Williams-Sonoma SWOT Analysis Yahoo! Swot Analysis Infosys Swot Analysis eBay

Marketing Tactics

Consumer Buyer Behaviour Marketing Mix Place, distribution, channel, or intermediary Pricing Strategies Promotion. The Adoption Process The Product Life Cycle (PLC) The Top 10 Marketing Tips of All Time

Marketing ads

Partener Links

Free Web Directory

Electric cars info

2010 - www.marketing--research.com All a
http://www.marketing--research.com/marketing/swot-analysis-dreamworkshttp://www.marketing--research.com/marketing/swot-analysis-dreamworkshttp://www.marketing--research.com/marketing/swot-analysis-fox-entertainment-grouphttp://www.marketing--research.com/marketing/swot-analysis-fox-entertainment-grouphttp://www.marketing--research.com/marketing/swot-analysis-general-motorshttp://www.marketing--research.com/marketing/swot-analysis-general-motorshttp://www.marketing--research.com/marketing/swot-analysis-hewlett-packardhttp://www.marketing--research.com/marketing/swot-analysis-hewlett-packardhttp://www.marketing--research.com/marketing/swot-analysis-home-depothttp://www.marketing--research.com/marketing/swot-analysis-home-depothttp://www.marketing--research.com/marketing/swot-analysis-itchttp://www.marketing--research.com/marketing/swot-analysis-itchttp://www.marketing--research.com/marketing/swot-analysis-indian-premier-leaguehttp://www.marketing--research.com/marketing/swot-analysis-indian-premier-leaguehttp://www.marketing--research.com/marketing/swot-analysis-johnson-johnsonhttp://www.marketing--research.com/marketing/swot-analysis-johnson-johnsonhttp://www.marketing--research.com/marketing/swot-analysis-krogerhttp://www.marketing--research.com/marketing/swot-analysis-krogerhttp://www.marketing--research.com/marketing/swot-analysis-mcdonaldshttp://www.marketing--research.com/marketing/swot-analysis-mcdonaldshttp://www.marketing--research.com/marketing/swot-analysis-molson-coorshttp://www.marketing--research.com/marketing/swot-analysis-molson-coorshttp://www.marketing--research.com/marketing/swot-analysis-nike-inchttp://www.marketing--research.com/marketing/swot-analysis-nike-inchttp://www.marketing--research.com/marketing/swot-analysis-pepsicohttp://www.marketing--research.com/marketing/swot-analysis-pepsicohttp://www.marketing--research.com/marketing/swot-analysis-sandalshttp://www.marketing--research.com/marketing/swot-analysis-sandalshttp://www.marketing--research.com/marketing/swot-analysis-smith-and-wessonhttp://www.marketing--research.com/marketing/swot-analysis-smith-and-wessonhttp://www.marketing--research.com/marketing/swot-analysis-sonyhttp://www.marketing--research.com/marketing/swot-analysis-sonyhttp://www.marketing--research.com/marketing/swot-analysis-starbuckshttp://www.marketing--research.com/marketing/swot-analysis-starbuckshttp://www.marketing--research.com/marketing/swot-analysis-time-warnerhttp://www.marketing--research.com/marketing/swot-analysis-time-warnerhttp://www.marketing--research.com/marketing/swot-analysis-trojanhttp://www.marketing--research.com/marketing/swot-analysis-trojanhttp://www.marketing--research.com/marketing/swot-analysis-wal-marthttp://www.marketing--research.com/marketing/swot-analysis-wal-marthttp://www.marketing--research.com/marketing/swot-analysis-whole-foodshttp://www.marketing--research.com/marketing/swot-analysis-whole-foodshttp://www.marketing--research.com/marketing/swot-analysis-williams-sonomahttp://www.marketing--research.com/marketing/swot-analysis-williams-sonomahttp://www.marketing--research.com/marketing/swot-analysis-yahoohttp://www.marketing--research.com/marketing/swot-analysis-yahoohttp://www.marketing--research.com/marketing/swot-analysis-infosyshttp://www.marketing--research.com/marketing/swot-analysis-infosyshttp://www.marketing--research.com/marketing/swot-analysis-ebayhttp://www.marketing--research.com/marketing/swot-analysis-ebayhttp://www.marketing--research.com/marketing/consumer-buyer-behaviourhttp://www.marketing--research.com/marketing/consumer-buyer-behaviourhttp://www.marketing--research.com/marketing/marketing-mixhttp://www.marketing--research.com/marketing/marketing-mixhttp://www.marketing--research.com/marketing/place-distribution-channel-or-intermediaryhttp://www.marketing--research.com/marketing/place-distribution-channel-or-intermediaryhttp://www.marketing--research.com/marketing/pricing-strategieshttp://www.marketing--research.com/marketing/pricing-strategieshttp://www.marketing--research.com/marketing/promotionhttp://www.marketing--research.com/marketing/promotionhttp://www.marketing--research.com/marketing/adoption-processhttp://www.marketing--research.com/marketing/adoption-processhttp://www.marketing--research.com/marketing/product-life-cycle-plchttp://www.marketing--research.com/marketing/product-life-cycle-plchttp://www.marketing--research.com/marketing/top-10-marketing-tips-all-timehttp://www.marketing--research.com/marketing/top-10-marketing-tips-all-timehttp://www.bizseo.com/http://www.bizseo.com/http://www.electriccars-info.com/http://www.electriccars-info.com/http://www.electriccars-info.com/http://www.bizseo.com/http://www.marketing--research.com/marketing/top-10-marketing-tips-all-timehttp://www.marketing--research.com/marketing/product-life-cycle-plchttp://www.marketing--research.com/marketing/adoption-processhttp://www.marketing--research.com/marketing/promotionhttp://www.marketing--research.com/marketing/pricing-strategieshttp://www.marketing--research.com/marketing/place-distribution-channel-or-intermediaryhttp://www.marketing--research.com/marketing/marketing-mixhttp://www.marketing--research.com/marketing/consumer-buyer-behaviourhttp://www.marketing--research.com/marketing/swot-analysis-ebayhttp://www.marketing--research.com/marketing/swot-analysis-infosyshttp://www.marketing--research.com/marketing/swot-analysis-yahoohttp://www.marketing--research.com/marketing/swot-analysis-williams-sonomahttp://www.marketing--research.com/marketing/swot-analysis-whole-foodshttp://www.marketing--research.com/marketing/swot-analysis-wal-marthttp://www.marketing--research.com/marketing/swot-analysis-trojanhttp://www.marketing--research.com/marketing/swot-analysis-time-warnerhttp://www.marketing--research.com/marketing/swot-analysis-starbuckshttp://www.marketing--research.com/marketing/swot-analysis-sonyhttp://www.marketing--research.com/marketing/swot-analysis-smith-and-wessonhttp://www.marketing--research.com/marketing/swot-analysis-sandalshttp://www.marketing--research.com/marketing/swot-analysis-pepsicohttp://www.marketing--research.com/marketing/swot-analysis-nike-inchttp://www.marketing--research.com/marketing/swot-analysis-molson-coorshttp://www.marketing--research.com/marketing/swot-analysis-mcdonaldshttp://www.marketing--research.com/marketing/swot-analysis-krogerhttp://www.marketing--research.com/marketing/swot-analysis-johnson-johnsonhttp://www.marketing--research.com/marketing/swot-analysis-indian-premier-leaguehttp://www.marketing--research.com/marketing/swot-analysis-itchttp://www.marketing--research.com/marketing/swot-analysis-home-depothttp://www.marketing--research.com/marketing/swot-analysis-hewlett-packardhttp://www.marketing--research.com/marketing/swot-analysis-general-motorshttp://www.marketing--research.com/marketing/swot-analysis-fox-entertainment-group

swot analysis sony

Documents