Business Strategy for Sony Corporation

This report provides a detailed analysis of business strategies for Sony Corporation, focusing on future expansion options. It evaluates various strategies such as substantive growth, retrenchment, market entry, and limited growth, recommending a market entry strategy through joint ventures. Th...Read More

BUSINESS STRATEGY

Table of Contents
Introduction..........................................................................................................................................3
Task 1....................................................................................................................................................3
Task 2....................................................................................................................................................3
3.1 Evaluating key options for consideration of future strategies...................................................3
3.2 Recommend the one strategy.....................................................................................................4
4.1 Assessing roles and responsibilities of Sony staff.....................................................................5
4.2 Estimating resource requirements to implement new strategy for Sony organisation...............6
4.3 Evaluating smart objectives which can help it Sony to achieve its overall strategic.................6
execution.........................................................................................................................................6
Conclusion............................................................................................................................................7
References............................................................................................................................................8

INTRODUCTION
Business strategy is a long term action plan which is used to achieve goals and objectives of
the organization. It is essential for the corporation to expand in the specific industry (Rothaermel,
2015). Sony is an electronics organization which provides optimistic products and services to
consumers in the different countries. The present report describes alternative strategies for
expanding organization in various nations. Further, it defines suitable future strategies for the Sony
organization. Further, it evaluate requirement of resources which is necessary for the firm to execute
new strategy in the market. In addition to this, it also compares roles and responsibilities of
organizational employees for executing business planning.
TASK 1
Power point presentation
TASK 2
3.1 Evaluating key options for consideration of future strategies
Sony Corporation has adopted several future strategies like substantive growth,
retrenchment, market entry as well as limited growth for further expansion.
Substantive growth: Management of Sony can adopt this process for planning strategy. Substantive
growth is categorised as vertical, horizontal, related and unrelated diversification strategies.
According to Higgin Omer and Phillips (2015), the firm can use horizontal process for designing
strategic plans. Further, organisation can use merger process to expand its operations in other
nations. In the merger process, two enterprises are merged together to increase its business activities
in the global market (Higgin Omer and Phillips, 2015). As per Alstete and Beutell (2016), Sony and
other organisation can make strategies to add effective values which can help in selling more
electronics products in the global markets. Merger process can contribute effective role for the firm
to increase its profit and revenues of its products by utilizing both organisational resources (Alstete
and Beutell, 2016). However, it creates delay to take any new product development decisions
because consent of directors of Sony and other organisation are necessary to initiate any type of
business activities in the global market.
Limited growth: There are many strategies which are used by Sony organisation. Firm can utilize
limited growth strategies by using market penetration and new product development strategies.
According to Morris et.al. (2015), the firm can select new product development and market
penetration strategies to increase its sales of the mobile phones and other products (Morris et.al.,
2015), these methods can contribute effective role for Sony to increase its manufacturing capacity
and market share in other nations. Henry (2012), Limited growth can provide better opportunities

to increase sales and revenues by adding new feature and values in electronic gadgets in the
industry. This process can help in increasing effective market share and image in other nations
(Henry, 2012). On the other side, it is mostly used by many organisations who work niche segments
in the nation.
Retrenchment: According to Niman (2014), this type of strategies can be used by Sony
organisation in recession period. This process can help the firm reduce its expenditure in the nation.
Generally, at this time, organisation reduces their staffs due to lower sales and revenues which
create complexities to manage salary of many staff members in the nation (Niman, 2014). So,
management of Sony terminate its employees to manage business operations in the recession
period. However, it create bad image in front of people and employees which affect the brand value
of firm in electronics market (Spender, 2014).
Market entry: As per Williams (2014), management of Sony can use many market entry strategies
like joint venture, partnership as well as licensing which can provide effective reliability to manage
its business operations in other nations (Williams, 2014). According to Alstete and Beutell (2016),
organisation can adopt joint venture strategy to expand its electronics business in the global
markets. In this process, two enterprises make another entity by following proper rules and
regulations of the nation. Joint venture can help the firm to increase its sales because partner firm
give its support in the market. Further, Sony can earn effective profit in other country ( Alstete and
Beutell, 2016). On the other side, it also creates complexities to consider any type of decisions like
new manufacturing of products in the nation. As per Higgins Omer and Phillips (2015), Sony can
use partnership process to expand its business operations in other nation (Higgins Omer and
Phillips, 2015). However, it gives rise to many problems between firms like profit sharing and over
dependency. According to Morris et.al (2015), management of enterprise can direct sale its
electronics material which can also increase its sales in the other global markets (Morris et.al.,
2015). On the other side, international trades, barriers, taxes and tariffs reduces organisational profit
of the organisation which creates complexities in managing sales of the electronics products.
3.2 Recommend the one strategy
As per my opinion, management of Sony should use market entry strategies to expand its
organisation. This process provides reliability to manage its operations by using joint venture
strategy in another nation. With the help of this process, organisation chances of its success in the
global electronics market can be increased. In addition to this, management of Sony can use
established network of partner firm which can provide huge reliability to increase its sales. Other
company can contribute effective role for Sony to manage its legal complexities which can help to
overcome many issues in the other country (Arnstorp, 2013). Further, enterprise can reduces it’s

risks for critical projects by sharing investment of monetary funds with partner firm in the market.
Sony can use resources of other corporation like technology and employees to manage its business
activities which can help to increase sales of electronics products in other nations. In addition to
this, joint venture process provides effective opportunities to reduce international taxes and tariffs
like import duty which helps to increase its profit and revenues in the other nation. Further,
management of Sony can enter into many other diversified areas with its partner firm in order to
increase its business. This way, organisation can enhance its growth and brand image in the other
nation (Spender, 2014). In addition to this, market entry strategies can contribute effective role in
Sony to make new contacts with another companies and government which can provide flexibility
to manage their business operations in the world.
4.1 Assessing roles and responsibilities of Sony staff
There are many employees who have different role and roles responsibilities in the Sony
firm. They are directly involved in execution of strategy in the market. It is defined in below the
paragraph.
Staff of Sony Roles and responsibilities
Marketing
managers
Marketing managers play important role for firm to complete roles and
responsibilities. For example, They contribute effective role for Sony
organisation to provide proper report regarding marketing aspects like
requirement of consumers, trends as well as lifestyles in the market. Further,
these factors help in execute the strategies in a appropriate manner in the
nation. In addition to this, Marketing managers of Sony also help in developing
promotional, competitive as well as customer service strategies in the market
(Grover and Kohli, 2013).
Finance managers They are directly associated with execution of strategies in the market. For
example, Financial managers aid in giving proper financial information like
insurance policies, taxes, tariffs, investment as well as adjustment of monetary
funds through loans and retained earnings. In addition to this, Financial
managers of Sony give various type of statements like debt-equity ratios as
well as cash reserve ratios to board directors of the organisation (Henry, 2012).
Proper financial knowledge helps in top level managers of Sony to implement
strategy in a appropriate manner within market.
Human resource Generally, HR managers and its executive are directly associated in strategy

mangers implementation to provide appropriate resources in the Sony organisation. For
example, They recruit, select, train employees in order to increase chances of
success for strategy execution in the market (Hoejmose, Brammer and
Millington, 2013). These efforts contribute role for Top directors of Sony to
execute strategies in a better way.
4.2 Estimating resource requirements to implement new strategy for Sony organisation
Management of Sony requires many human, technological as well as financial resources to
implement market entry strategy in the another nation.
Human resource level: Corporation needs many human resources like top level, middle and
departmental managers, international experts and IT employees to implement joint venture strategy
in the another nation (Mullins, 2007). For example, top level managers contribute effective role for
Sony to prepare rules and regulations for joint venture with the another firm. Further, General level
and lower managers help in executing proper business operations which are necessary for Sony and
its partner firm. In addition to this, international experts are play major role to create awareness
about international barriers, trades, tariffs and taxes which help in preparing proper business
strategies to top level managers in the market. employee of Sony also give their effective efforts to
manage IT operations which help in implementing joint venture strategy in appropriate manner
within another country.
Technological level: Management of Sony are also needed technological resources to execute joint
venture strategy in the market. For example, firm can use ERP (Enterprises resource planning) to
manage its technological operations. This tool contribute effective role for Sony organisation to take
appropriate decision very fast on the basis of stored information at workplace (Niman, 2014). This
way, it can also help to increase and efficiency of organisation which can provide effective
contribution to execute market entry strategy in another nation.
Financial level: Organisation needs financial resources to manage monetary funds for investment
plan in the market. For example, financial managers of Sony and other organisation can manage its
money through selling scrap, unused fixed assets as well as loan from bank which can contribute
effectively to implement joint venture strategy in the other state (Ohnson and et.al .,2013.).
4.3 Evaluating smart objectives which can help it Sony to achieve its overall strategic
execution
Organisation can use smart objectives to gain overall strategic execution. It is described in
below the paragraph.

Why must be SMART objective
SMART objectives contribute effective role Sony organisation to achieve proper execution
at workplace. These objectives contains following characteristics like specific, measurable,
attainable, realistic as well as time-scale (Spender, 2014). They also help in reducing constraints in
strategic implementation which contribute effective for Sony to achieve proper success in the
market.
How would this help organisation
SMART objectives will play important role for Sony organisation to develop proper
strategies as per marker condition of nation. They will help the company to implement these plans
as per specific time scale. In addition to this, they will also help the corporation to reduce risk by
using optimistic strategies in the market (Williams, 2014). This way, organisation will implement
its strategies in a appropriate manner with support of SMART objectives.
What are the results of having objectives without any form of measurement
If firm will not use SMART objectives then consequence will not be appropriate for Sony
organisation in the nation. Strategies of organisation will not work as desired in the market.
Corporation will face huge loss of monetary funds in the nation. In addition to this, firm will reduce
sales of electronics products in the international market (Hoejmose, Brammer and Millington,
2013). Sony will also decrease its image which will affect its brand value in the international
market.
CONCLUSION
From the report, it is found that substantive, limited growth, retrenchment as well as market
entry strategies help in selecting future strategies for Sony organisation. Joint venture contribute
effective role for organisation to gain appropriate profit and revenues in global markets. Further,
Role and responsibilities of employee help in implementing strategy in the market. In addition to
this, human, financial as well as technological resource aid in executing joint venture strategies in
the another nations. It can be concluded that SMART objectives also help in achieving strategic
implementation which provides huge reliability to increase sales of electronics products in the
market.

REFERENCES
Books and journals
Alstete, J.W. and Beutell, N., 2016. Balancing instructional techniques and delivery formats in
capstone business strategy courses. Quality Assurance in Education. 24(2).
Grover, V. and Kohli, R., 2013. Revealing your hand: caveats in implementing digital business
strategy. Mis Quarterly. 37(2). pp.655-662.
Henry, S., 2012. Advances in microfluidics for environmental analysis. Analyst. 137(1). pp.24-34.
Higgins, D., Omer, T.C. and Phillips, J.D., 2015. The influence of a firm's business strategy on its
tax aggressiveness. Contemporary Accounting Research.32(2). pp.674-702.
Hoejmose, S., Brammer, S. and Millington, A., 2013. An empirical examination of the relationship
between business strategy. International Journal of Operations & Production Management.
33(5). pp.589-621.
Malerba, F. and et.al., 2015. Dynamics of Knowledge Intensive Entrepreneurship: Business Strategy
and Public Policy. Routledge.
Morris, M. et.al., 2015. Is the business model a useful strategic concept? Conceptual, theoretical
and empirical insights. Journal of Small Business Strategy. 17(1). pp.27-50.
Mullins, L. J., 2007. Management and Organisational Behaviour. London: Financial Times-
Prentice Hall.
Niman, B., 2014. The Gamification of Higher Education: Developing a Game-based Business
Strategy in a Disrupted Marketplace. Palgrave Macmillan.
Ohnson, G. and et.al .,2013. Exploring strategy: text and cases. Pearson.
Rothaermel, F.T., 2015. Strategic management. McGraw-Hill.
Spender, J. C., 2014. Business strategy: Managing uncertainty, opportunity, and enterprise. Oxford
University Press.
Williams, S., 2014. Connected CRM: Customer-Centric Business Strategy. John Wiley and Sons.
Online
Arnstorp, H., 2013. Foreign market entry strategies in developed and emerging economies. [Pdf].
Available Through:<http://www.diva-portal.org/smash/get/diva2:735294/FULLTEXT01.pdf>.
[Accessed on 22th February 2016].