Business Strategy for Sony Mobile Communications

This presentation discusses the business strategy of Sony Mobile Communications, including its mission, vision, objectives, goals, core competencies, strategic planning, factors to consider, effectiveness of techniques, strategic positioning, PESTEL analysis, Porter's five force analysis, internal audit, role of stakeholders, and recommended strategies.

TASK 1
BUSINESS STRATEGY

Sony Mobile Communications
Founded in 2001.
Leading
telecommunications brand
of 21st century.
Known for its great
products and efficient
manufacturing strategies.

Mission
Mission statements are used for guiding actions of an
organisation.
The mission of Sony Mobile Communications is to inspire
people and fill loads of curiosity amongst them through
company’s exclusive products.

Vision
The company’s vision is to
produce new and exciting
digital entertainment
experiences which will bring
cutting edge product with latest
technology.
This statement helps in guiding
company and its initiatives.

Objectives and goals
Objectives
Sony Mobile Communications has current objective of
exploring markets in developing countries.
Goals
Sustainable business development is the current goal of
SMC.

Core Competencies
SMC has invested largely on following competencies:
Research and development activities.
Human resources.
Customer satisfaction is the first priority of the company.
Valuable division and utilisation of resources is also a
major competency.

a) Strategic Planning
Mission, vision, objectives, goals and core competencies
are basic building blocks of strategic planning process.
SMC gets appropriate guidance for developing its business
strategies.
A directional flow is achieved when all these elements are
correctly included in the proposed plan.

b) Considerable factors while preparing strategies
Business strategies must be prepared with relevance to
following factors:
Needs of business
Practical implications
Specific details
Clear declaration of roles, responsibilities and assumptions.

Continued…
Innovation
Effective communication
Development of corporate social responsibility amongst
employees and other engaged people.
Commitment for business must be guaranteed.

c) Effectiveness of techniques
Effectiveness of chosen technique is based on the outcomes
that are generated after implementation of strategy.
SMC has used various techniques like PESTEL analysis,
porter’s five force model and SWOT analysis.
These have helped largely in analysing organisational
structure with reality check.

d) Strategic Positioning
Organisational audit is used for analysing strategic position
of SMC in global markets.
 It helps in gaining better insight of the internal and
external structure of the company.
Sony Mobile Communications has good strategic position
in global markets.

e) PESTEL Analysis
Political factor: Changes in governance structure of UK’s
markets can challenge working strategies of SMC.
Economical factors: Economic factors like inflation and
recession have adversely affected SMC’s functioning.
Socio-cultural factors: Consumer tastes and preferences
are the first priority for the organisation.

Continued…
Technological factors: Leading developments in technology
can be handled effectively with use of research and
development techniques.
Environmental factors: SMC has to consider sustainability
goals for keeping balance in environment.
Legal factors: Legislations and policies which are
constituted in the local governance must be followed so that
SMC doesn’t face any harsh consequences.

Porter’s five force analysis
SMC doesn’t hold a threat of substitution because it has high amount
of brand loyalty with good corporate image.
The company can face certain threats from suppliers as raw material
cost is increasing.
Bargaining power of consumers is minimum in case of SMC.
New entrants are contributing to competition which is posing a big
threat.
Increasing customer share has made large number of rivals for SMC.

Internal audit

f) Role of stakeholders
Stakeholders are people who are directly or indirectly
interested in organisation’s strategies and plans.
Internal stakeholders are involved in designing and
implementation of strategies.
External stakeholders play their role as consultants in
planning process.

g) Recommended strategy
The company Sony Mobile communications can develop
following strategies:
Clear communication of global preferences and local demands
must be initiated.
Effective marketing plan must be formulated by keeping
customer demands and expectations.
Monitoring and evaluation must be processed so that actions
can be tracked and recorded for making future improvements.

References
Books and Journals
Scholes, M. S., 2015. Taxes and business strategy. Prentice Hall.
Myers, M. D., 2013. Qualitative research in business and management. Sage.
Online
Rampton, J., 2015. 5 business strategies you need to know about in 2015.
[Online]. Available
Through:<http://www.forbes.com/sites/johnrampton/2015/01/19/5-business-
strategies-you-need-to-know-about-in-2015/#5322ec671c9b>. [Accessed on
24th January, 2015].