University Competitive Strategy Report: Sony and Nissan Analysis

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This report provides an analysis of the competitive strategies employed by Sony and Nissan, two successful multinational corporations. It examines how these companies utilize management theories and innovative practices to achieve their business objectives and maintain a competitive edge in their respective industries. The report focuses on the application of the CAGE framework and business innovation models, demonstrating how these theories contribute to market analysis, product development, and overall organizational success. Through case studies of Sony and Nissan, the report illustrates the importance of adapting to market environments, formulating effective strategies, and fostering innovation to meet customer needs and outperform rivals. The conclusion emphasizes the necessity of implementing these theories for sustained competitive advantage in the global market.
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Running head: COMPETITIVE STRATEGY
Competitive Strategy
Name of Student
Name of University
Author Note
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Executive Summary
The report is based on the successful implementation of strategies in an organisation. The
ways by which theories of management can be used to achieve the goals and objectives of an
organisation is provided in the report. Companies such as Sony and Nissan are analysed in
order to understand the level of success that the theories can help it to achieve. Sony and
Nissan are two successful companies in its respective industries. These companies hold a
global reputation due to its successful running of the companies for many years. The theories
discussed in this report are the CAGE framework and the business innovative model. These
theories help in analysing the ways by which different organisations conduct its business.
Apart from this, it also helps to understand the elements that contribute to the successful
marketing of a product. It has been concluded that the proper implementation of this theories
can lead to success for an organisation.
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Table of Contents
Introduction................................................................................................................................3
About Sony.................................................................................................................................3
Achievement through innovation by Sony.................................................................................3
About Nissan..............................................................................................................................4
Achievement through innovation by Nissan..............................................................................5
Conclusion..................................................................................................................................6
Bibliography...............................................................................................................................7
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Introduction
The report provides an insight into the success faced by top business organisations in
achieving its objectives. In order to understand the techniques, the examples of Sony and
Nissan has been taken into consideration. The theories used by the organisations are also
analysed in this report.
About Sony
Sony is a Japanese multinational company situated in Tokyo. Masaru Ibuka and Akio
Morita set up the company in 1946. Sony manufactures electronic products for the
satisfaction of customers. It is one of the leading manufacturers in the manufacturing industry
and is ranked 113th on the Fortune Global 500 list. It not only provides electronic products but
also provides gaming devices, equipment for entertainment and financial services. The
managerial techniques of the company have kept it among the top brands for 71 years in the
industry. Due to this Sony has been chosen in order to understand the ways to attain and
maintain success for such a long time (Sony.net 2017).
Achievement through innovation by Sony
In order to achieve success in business, it is necessary for most companies to adopt
theories and ethics that benefit the organisation (Burke 2017). Hence, changes are often
required in the organisational structure and its setup. The changes are required to be
implemented in order to accommodate space and time for innovation. The innovation can be
in the form of manufacturing and selling of a product, a price set for the product, place of
sells or promotion technique. This helps an organisation to understand the market
environment and formulate strategies based on this analysis (Armstrong et al. 2015). For a
company like Sony, the formulation of strategies is important to maintain a competitive edge
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over its rivals. Rival companies like Panasonic, Nintendo and Microsoft manufacture similar
items as done by Sony. Hence, in order to maintain a firm foothold in the market, it is
necessary that the company analyse the competitors and formulate innovative strategies. The
application of innovative techniques in the products has helped Sony to become a household
name. The fact that the company had taken initiative to change its products proved to be the
first key point for the organisation. The idea developed because of this initiative was
implemented in order to provide uniqueness to the product.
For example, Sony manufactures PlayStation in order to satisfy the customers
interested in games. However, other companies such as Nintendo and Microsoft also
manufactures this type of product. Hence, according to Hanssens et al. (2014), in order to
gain an edge over the rivals, Sony needs to develop the product in such a way that it makes
the products the best in the market. Hence, the tactics adopted by the company was to
manufacture joysticks required to play the game. This provided a recognisable change in the
selling of the product. Customers got the PlayStation, games as well as a joystick to control
the game. Hence, these innovation tactics of adding an extra product and the implementation
of this tactics helped Sony maintain its reputation and become a fierce competitor in the
manufacturing of this product. Thus, this is the reason behind the success of Sony in the
international market. Due to this reason, Sony has been able to remain on the market for 71
years without receiving much threat from its competitors.
About Nissan
Nissan is a car manufacturing company headquartered in Japan. The company was
founded in 1933 and is now a globally reputed organisation that manufactures stylish and
innovative cars. Despite its many competitors, Nissan the production output and the revenue
of the company have increased since its inception. One of the main reasons for the success of
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Nissan is the fact that the company believes in the innovation of products. It benchmarks its
works and the works of its competitors in order to maintain the consistency of its success.
The reason behind the choice of Nissan is based on its ability to innovate and provide
satisfaction to the customers (Nissan-global.com 2017).
Achievement through innovation by Nissan
According to Kraus et al. (2016), in a car manufacturing company innovation is one
of the essential aspects. This needs to be done keeping in mind the level of competitors and
the customer satisfaction that exists in the market. Customers expect innovation based on the
way by which a vehicle is presented. Hence, the innovation needs to be unique and can
satisfy the customers. In order to achieve this, the implementation of changes in the
organisation and the mindset of the employees are required. In the case of Nissan, the
imitation to change or provide innovation to its product can help it to overcome its rivals
(Lewin 2013). Nissan faces stiff competition from Chevrolet, Maruti Suzuki, Volkswagen
and many others. Hence, it is necessary for the company to continuously make an innovation
to its product and ensure that it is not similar to the rival companies.
For example, Nissan can provide a benchmark for the employees. The benchmark
product may be its own creation or from other companies. This can help it to understand the
level needed to be achieved in order to improve reputation in the market. In the current
scenario, Nissan has a continuous growth in the car market. With the increase of revenue and
other taxes, the company have come up with many innovative ideas that can help in
increasing the reputation of the company. Hence, the new products such as X-Trail Hybrid
and Qashqai are innovative models that meet the requirements of the customers. With a
reasonable price, these cars can help it to gain a competitive advantage over the rivals. Hence,
the technique of benchmarking can help in the proper innovation of products based on
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customer satisfaction (Shirey 2013). The fact that the company operates under subsidiaries
also provide a competitive edge for Nissan.
Conclusion
Thus, it can be concluded that every business organisation needs to implement proper
managerial and innovative theories in order to gain a competitive advantage in the market.
Successful companies like Sony and Nissan implement these techniques in order to maintain
its reputation and satisfy customers with its innovative tactics.
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Bibliography
Armstrong, G., Kotler, P., Harker, M., and Brennan, R. 2015. Marketing: an introduction.
Pearson Education.
Burke, W. W. 2017. Organization change: Theory and practice. Sage Publications.
Hanssens, D. M., Pauwels, K. H., Srinivasan, S., Vanhuele, M., and Yildirim, G. 2014.
Consumer attitude metrics for guiding marketing mix decisions. Marketing Science, 33(4),
pp. 534-550.
Kraus, S., Meier, F., Eggers, F., Bouncken, R. B., and Schuessler, F. 2016. Standardisation
vs. adaption: a conjoint experiment on the influence of psychic, cultural and geographical
distance on international marketing mix decisions. European Journal of International
Management, 10(2), pp. 127-156.
Lewin, K. 2013. A dynamic theory of personality-selected papers. Read Books Ltd.
Nissan-global.com, (2017). Nissan Motor Corporation Global Website. [online] Nissan-
global.com. Available at: http://www.nissan-global.com/EN/index.html [Accessed 19 Aug.
2017].
Shirey, M. R. 2013. Lewin’s theory of planned change as a strategic resource. Journal of
Nursing Administration, 43(2), pp. 69-72.
Sony.net. (2017). Sony Global - Sony Global Headquarters. [online] Available at:
https://www.sony.net/ [Accessed 19 Aug. 2017].
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