You are on page 1of 17

SONY PVT.

LTD

Sony Corporation: Global Headquarter


Tokyo, Japan.
COMPANY HISTORY
 It was in 1946 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 early 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
color television (1968), Walkman personal stereo (1979), Handy cam video camera
(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 word “sonus” in Latin represents words like sound and sonic. The other
word “sonny” means little son. Used in combination, Sony is supposed to represent a
very small group of young 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.
CORPORATE PROFILE
 Sony is one of the leading manufacturers of electronics, video,
communications, video game consoles, and information technology
products for the consumer and professional markets.

 Sony Corporation is the electronics business unit and the parent


company of the Sony Group, which is engaged in business through
its five operating segments—electronics, games, entertainment
(motion pictures and music), financial services and other. These
make Sony one of the most comprehensive entertainment
companies in the world. Sony's principal business operations
include Sony Corporation, Sony Pictures Entertainment, Sony
Computer Entertainment, Sony Music Entertainment, Sony
Ericsson, and Sony Financial Holdings

 The company's slogan is Sony. Like no other.


COMPANY OUTLINE
 Company Name – Sony Corporation
 Founded – May 7, 1946
 Headquarter – Tokyo, Japan
 Representative Corporate Executive Officers:
 Chairman and CEO – Sir Howard Stringer
 President and Electronics CEO – Ryoji Chubachi
 Executive Deputy President – Katsumi Ihara
SONY INDIA
 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 12 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.
In India, Sony has its footprint across all major towns and cities
through a distribution network comprising of over 7000 channel partners,
215 Sony Centre and Sony Exclusive outlets and 21 direct branch locations.
Manned by customer friendly and informed sales persons, Sony’s exclusive
stores ‘Sony Centre’ are fast becoming the most visible face of the
company in India.
CONSUMER PRODUCTS

 Television & Projector


 Home Video
 Home Audio
 Home Theatre System
 Digital Photography
 Handy cam Video Camera
 Computer & Peripherals
 Portable Audio
 Games
 Mobile Phone
 In-Car Entertainment
 Storage & Recording Media
PRODUCTS
PRODUCTS
BUSINESS STRATEGY OF SONY

 Under the leadership of its new executive management team established in April of
this year, Sony has reformed its organizational structure in order to bolster
profitability and transform its operations, with the aim of accelerating innovation
and growth and optimizing business processes, particularly within its electronics
and networked service businesses. As a result, approximately 80% of Sony’s
targeted 330 billion yen (3.7 billion USD) of group-wide cost reductions for the
current fiscal year ending March 31, 2010 compared to the previous fiscal year have
been achieved in the first half of the current fiscal year. Furthermore, Sony is now
positioned to launch a succession of competitive products from the end of this
calendar year and into 2010.
 This also means that Sony is becoming a quicker, leaner organization which is more
responsive to the market. They have promised that they will no longer develop
products based on underlying technologies, but rather focus on the user experience.
Please keep an eye out for some exciting developments we’ve spotted in this
presentation in future posts. In this blog post, I will simply outline their goals.
In order to permit further growth and continue to enhance profitability, Sony is
implementing additional transformation measures centering on the following four
initiatives:
 - Target consistent profitability in core hardware businesses (TV, game and digital
imaging)
- Provide new user experiences integrating innovative hardware, software and services
- Reach out to new customers and develop new geographic markets
- Increase Sony’s focus on environmentally conscious products and processes
 Through these measures, Sony targets an annual 5% operating income margin and
a 10% return on equity by the end of the fiscal year ending March 31, 2013.
 Details of these initiatives are as follows:
 Target consistent profitability in core hardware businesses (TV, game and digital
imaging)
 Regain the leading market position in LCD TV business
• Target returning the LCD TV business to profitability in the fiscal year ending
March 31, 2011 and achieving a 20% worldwide market share on a unit basis in the
fiscal year ending March 31, 2013.
• Create a new revenue model beyond conventional TV business models.
- Introduce “Evolving” TV that delivers new applications over the network.
- Develop new generation displays using proprietary Sony devices
• Target returning to profitability in the fiscal year ending March 31, 2011.
• Increase revenues by expanding hardware/software sales and enrichment
of PlayStation®Network services.
• Improve profitability in the game business by cost reduction and other
measures.
Maintain leading position as the number one digital imaging brand in the
world
• Strengthen business through outstanding product differentiation and cost
competitiveness based on key devices such as image sensors and imaging
engines.
Provide new user experiences integrating innovative hardware, software and
services
Network-connected products and services
• Further expand Sony’s networked service business by utilizing the rapidly
growing PlayStation®Network services (over 33 million registered account
users as of November 16, 2009) and by integrating attractive hardware,
including new mobile products and other consumer electronics, with
networked services. Target annual revenues of 300 billion yen from
networked service business by the end of the fiscal year ending March 31,
2013.
FUTURE PROSPECTS OF SONY
 Tokyo, Japan - Sony today presented a series of new initiatives designed to build on its
previous three-year revitalization plan and to position the company as the leading global
provider of networked consumer electronics and entertainment. In particular, the
company will focus on strengthening core businesses, enhancing network initiatives and
leveraging international growth opportunities to build for the future and drive further
growth and profits. In addition, Sony announced the following key mid-term goals:

- Expand our PC, Blu-ray Disc™-related products and component/semiconductor


businesses into "trillion yen businesses**," joining LCD TVs, digital imaging (digital
cameras and camcorders), game and mobile phones and raising the total number of
"trillion yen businesses" to seven. - Ensure that 90% of our electronics product categories
are network-enabled and wireless-capable by the fiscal year ending March 31, 2011
("FY2010"). - Roll out video services across key Sony products by FY2010, starting with
the summer 2008 launch on the PLAYSTATION®Network. - Double annual revenue
from BRIC (Brazil, Russia, India, China) countries to 2 trillion yen*** by FY2010.

•Three-year period ending March 31
•, 2011 ** Businesses each generating 1 trillion yen or more
of annual sales to outside customers, except for Blu-ray Disc
related business which includes
• intersegment sales *** Includes Sony Ericsson Mobile
Communications and SONY BMG MUSIC
ENTERTAINMENT as allocated
Sony has identified a 5% operating margin as a baseline of
profitability to generate cash to continue to lead and
innovate. Furthermore we will target an annual return on
equity of 10% by FY2010. Sony is also planning to allocate a
total of 1.8 trillion yen to invest in and build key businesses
and technologies over the next three years
Sony intends to maintain a leading position in its "trillion yen
businesses" (LCD TVs, digital imaging, game and mobile
phones) and will focus on expanding its PC, Blu-ray Disc-
related products, and component/semiconductor businesses
into "trillion yen businesses" by the end of FY2010. At the same
time, we expect to improve the operations of our TV business
significantly and implement a variety of cost reduction
measures to restore that business to profitability in the fiscal year
ending March 31, 2009*, and strive for the global No. 1 position
in LCD TVs by FY2010. Of the planned 1.8 trillion yen
investment over the next three years, approximately 900 billion
yen will be allocated towards strengthening core focus areas
within components and semiconductors, such as image
sensors, batteries, display devices and Blu-ray Disc-related
components
Sony is also promoting the concept of "open innovation",
whereby we are looking not only inside the company, but
outside for technologies that foster innovation. By combining
Sony's inherent technological strengths with external
expertise, we aim to accelerate R&D efficiency and enable
the company to effectively respond to rapidly changing
customer needs and preferences in the network era. Through
the creation of new user experiences, strengthening core
businesses, driving innovation, and minimizing the
environmental impact of its operations, Sony will strive to
achieve not only sales volume, but also sustainable and
profitable growth
Environmental Initiatives - Green Management
2010
"Green Management 2010" is a series of mid-term
environmental targets that are guiding the Sony
Group in its efforts to help prevent global warming,
recycle resources, ensure appropriate management
of chemical substances and address a broad range
of other environmental issues. Through these
initiatives, Sony is striving to achieve an absolute
reduction in greenhouse gas emissions, specifically a
7% or greater reduction in CO2 emissions by FY2010
compared to the level of FY2000
Financial Strategies for the Mid-Term
In order to generate funds to continue to grow and
innovate, Sony has identified a 5 percent operating
margin as a baseline of profitability. Sony is also
establishing return on investment capital as a
fundamental framework for evaluating capital
investments and potential acquisitions across the
Sony Group to ensure the optimum use of resources.
Our targeted investment (an aggregate of 1.8 trillion
yen by the end of FY2010) will put Sony in a position
to drive further growth and innovation over the next
three years and beyond. Sony will also target an
annual return on equity of 10% by FY2010. Going
forward, we will work to deliver a stable, high level of
profitability while enhancing shareholder value

You might also like