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 solid-state 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

(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 flat-screen 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.

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.

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) To know the consumer behavior about the product.2) To know the kind of feature and service providing to get loyal customer.3) To know the competitor strategy against the Sony and that effects Sony sales or not.4) To kind of promotion that using to distributors and what is their behavior about Sony

brand in between so many brands.

Differentiation:

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.

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

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

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

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.

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:

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.

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

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 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.

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:

1. http://www.sony.co.in/article/211980/section/sonycompanyoutline 2. http://www.sony.co.in/section/aboutsony 3. http://www.sony.co.in/microsite/makedotbelieve/ 4. www.slideshare.com