It takes a crisis (Sony)
Article Type: Abstracts From: Strategic Direction, Volume 25, Issue 1
Meredith R. Forbes11 August 2008, Vol. 182 No. 2, Start page: 97, No. of pages: 4
Purpose – spotlights the challenges facing Howard Stringer as he attempts to improve the Japanese electronics and entertainment giant, Sony. Design/methodology/approach – reports on how Howard Stringer, chief executive at Sony for the last six years, is transforming the company. Profiles Stringer; describes his management style; charts Sony’s evolution from 1946-2008. Draws attention to how the company was hit, in 2003, by falling stock and a deteriorating financial position. Puts forward why Stringer has been good for Sony; looks at how he has begun to turn the company around and to persuade consumers to pay a premium for its gadgets by inventing them first. Outlines the challenge facing Stringer of breaking down the silo mentality displayed by Sony management, a pre-requisite for connecting all of Sony’s devices to one another and developing a new Sony network. Looks at how he inherited two major messes – the television manufacturing and PlayStation businesses;highlights the challenges they face from major competitors and outlines how Sony was able to ensure that their Blu-ray disc prevailed in the high-definition format wars. Originality/value – provides revenue, operating income and operating margins for the major Sony divisions.ISSN: 0015-6914Reference: 37AT010
Keywords: Business performance, Corporate strategy,Electronics industry, Financial performance
