Kodak’s Products

Famous from ?• Film ‘ You press the button, we do the rest ‘• Invented the world’s first digital camera in 1975.

What happened ?• Lost film business on foreign competitors.• Mishandled the transition to digital cameras.• Burning its cash - remaking itself into the company that sells

printers and ink.

Turning to printers

• Kodak CEO Antonio Perez• Worked at HP ( Hewlett Packard ) for 25 as a Corporate Vice

president.

• Named president of Kodak on 2003

• Named CEO of Kodak on 2006• Given 3 goals : Shrink the film business, create a new digital company

and manage its pension and health-care costs for retirees.

• Capability to make pigment-based ink that wouldn’t clog the nozzles of printing heads.

Their strategy• Kodak began selling its printer from 2007• ‘ More expensive printer , Cheap ink ‘• Nanotechnology : produce an ink that wouldn’t clog printer

heads. • Subsidize the cost of the printers

Shares

• H-P , Canon and Seiko Epson• In 2010 : 3% of the all-in-one inkjet printer market world-wide.

What are the problems ?• Print head failures – Kodak needs to cover the cost of replacements,

by the time the company sorted out the complications, the recession had set in.

• Can not penetrate into printer’s market.• Kodak’s leadership has been inconsistent.

What could they have done ?• While leading the market be ‘Provident’• Film – Digital• Take time and expense to develop technologies in-house• Market share in ‘Printers’

• Consistency of leaders• CEO visions