Multinational Corporation Management: Sony Corporation Analysis

This report provides a comprehensive analysis of Sony Corporation as a multinational corporation, focusing on the challenges and opportunities it faces in the global market. The report begins with an introduction to Sony Corporation's business operations, including its diverse product portfolio and its position in the electronics, gaming, and entertainment industries. It then delves into the impact of competition in innovation and technology on Sony's stakeholders, using a SWOT analysis to assess the company's strengths, weaknesses, opportunities, and threats. The role of newcomer multinational corporations (MNCs) in identifying industry trends is also examined. The report further discusses the reactions of various stakeholders, including developed and developing countries, and emerging markets, to these issues and trends. Finally, the report concludes with recommendations for Sony Corporation to address the challenges and capitalize on the opportunities identified in the analysis. The report emphasizes the importance of adapting to emerging market demands, fostering innovation, and maintaining strong stakeholder relationships in a rapidly evolving global landscape.

Running head: MANAGING THE MULTINATIONAL CORPORATION
Managing The Multinational Corporation
(Sony Corporation)
Name of the Student
Name of the University
Author Note:

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Table of Contents
Introduction..........................................................................................................................2
Discussion............................................................................................................................2
Section 1: Research Question of the Project....................................................................2
One issue or Trend which affects the organization Stakeholder.................................3
Role of Newcomer MNCs in identifying issues and trends........................................4
Section 2: Reaction from Various Stakeholders..............................................................6
Impact of issues on stakeholders of Sony Corporation...............................................6
Developed Country......................................................................................................8
Developing Country.....................................................................................................8
Emerging Markets.......................................................................................................9
Possible reaction from various stakeholders in reaction to above impacts...............10
Section 3: Recommendation to the Organization..........................................................11
Conclusion.........................................................................................................................13
References..........................................................................................................................14

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Introduction
Sony Corporation is considered to be leading manufacturer of audio, video, games,
communication and lastly products related to information technology. It tends to provide a list of
detail products which are needed by both consumer and professional markets (Oliinyk et al.
2018). By the help of system entertainment and online business, Sony has positioned in the
leading electronics organization of the world. At present, Sony has come up with an annual sale
of 72 billion dollars for the fiscal year by the year 2016. Sony is focused to provide a wide range
of innovating products along with multimedia services which can be challenging to consumers. It
can be used for accessing and enjoying digital entertainment. Sony organization aims to create
strategy for both business and organization (Hong 2018). Sony is focused to create new world of
entertainment that can provide a variety of products. As a result of diversified portfolio, each of
the members in Sony comes up with mission statement which is totally based organization
culture. The main goal of Sony Corporation is to excite new digital entertainment experiences for
various consumers. It is all about bringing cutting edge products that come up with latest
generation of Content and Services.
In the coming pages of the report, an idea has been provided with respect to one issue or
trend which affects the present stakeholders of Sony Corporation. After that, role of Newcomer
MNC is analyzing the issues has been discussed in details. The report further discusses the
impact of Stakeholders on Sony Corporation. Possible reaction from various stakeholders has
been discussed in brief. The last section of the report mainly deals with list of recommendation
for Sony Corporation.

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Discussion
Section 1: Research Question of the Project
One issue or Trend which affects the organization Stakeholder
Competition on Innovation and Technology
Sony Corporation is known to be as one of the major organization in the domain of
electronics, gaming and entertainment. The organization tend to succeed at a rapid rate based on
the SWOT analysis. SWOT analysis is a model which is used by managers for analyzing the
strategic factors and external strategic factors. The economic globalization has hit the world in
the 20th century. It has helped in getting an idea has been provided with respect to multinational
Corporation which operates in various geographical areas (Blanchard 2018). The main notion is
all about organization of function and different kind of processes in various location.
Globalization of various innovative MNCs is known to be as one of the things which has evolved
to date. The rise of emerging markets comes up with significant impact on middle-class
consumers. They have forced these organizations not only on market boundaries but also to find
out the marketing strategies. There is large number of difference between emerging market and
historical developing market so that they will not like to lead a success (Voinov et al. 2016). All
the given constraints have resulted in huge amount of changes which as per the demand of
MNCs which can be used for responding to it. Emerging market customers have made changes
in the demanding products that can optimize on the local environment.

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Fig 1: Cluster of Sony Stakeholders
(Source: Voinov et al. 2016)
The overall corporate strategy of Sony Corporation is to be leading providers of
consumer networks and electronics. In the last few years, the overall profit of Sony has risen by
346% due to strong performance from the PlayStation unit. At present, emerging markets have
come up with local environment which comes up skilled forces of labor. All the given demand to
which the MNC (Sony Corporation) respond are required for appreciating changes. New MNCs
have come up with potential so that they are growing at a much faster so that it can save time to
potential partners and aggressive competitors. It is tending to affect both local and advanced
markets (Zavyalova et al. 2016). The given elements have coupled up with decreasing the overall

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wealth in some of the developing organization. The overall opportunity for the MNCs has come
up with new kind of solution which is can be plus point for emerging markets. It tends to put
effects on some of the advanced markets. In some of the given scenario, MNC tends to optimize
the local research and development in emerging markets (Korschun 2015). It tends to ensure the
fact that global integration of innovation tends to depend on the innovation for the global
context.
Sony corporation tends to operate as one of the strongest brand in the present market
where it operates. It is strong brand that helps the business to interact with consumers on regular
basis that is new products and offerings. Apart from this, Sony comes up with a diversified
business. The organization comes up with electronics and gaming products along with financial
services and products. There have been certain aspect of current business which has been
examined until now so that people can understand different implication for international
business. It comprises of some associated theory for innovative products. Along with addition of
research and development, there is new kind of emerging MNCs (Taiwo, Agwu and Lawal
2016). This particular phenomenon will ultimately tend to affect the innovation of MNCs.
Various organization around the globe along with decade of experience of research and
development are not meeting the MNCs. They have deviated from their path. The organization
needs to collaborate along with competing with which is in direct relation with home and host
markets. They can directly put joint venture to develop some technology standard for providing
partner solution to some of the local customers. Two things are needed that are knowledge
management and skills for integration so that valuable resources in different part of the
organization. The organization has come up with some structural and cultural boundaries
(Taiminen, Luoma-aho and Tolvanen 2015). The trend can be used for configuring a network,

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emergent process like a challenge that can be used for global innovation. The management of
some of the global innovation tends to become one of the important things for different MNCs.
In the last few years, it has resulted in competitive advantage for some of the organization.
Role of Newcomer MNCs in identifying issues and trends
Organization makes use of huge number of benefits that is products that are profitable
like its PlayStation version. It is the one of the biggest strength of Sony to ensure the overall
profit of the organization despite the rivalry. SWOT analysis aims to highlight the overall
strength of Sony that aims in continuing the business processes. Sony organization needs to
improve their strength to stay competitive against the present competitors. With the passage of
time, borderless economy tends to develop in some of the major regions. Sony Corporation have
expanded their business in various national borders so that they can maintain competitiveness
(Daft 2015). The overall number of various MNCs working some of the major markets are
working respect to some technological development that is increasing at a rapid rate. It is very
much due to operation point of products which needs to be manufactured as soon as possible like
the local markets. It aims to permit certain number of products that require to be manufactured
near the local markets (Schnackenberg and Tomlinson 2016). This should be done because it
permits the products for meeting the needs of the local users and reducing the energy required for
transportation. The overall role of MNCs (Sony Corporation) in the global community has
increased a lot.
Increase in international Organization Compliance: The world economy is totally
distorted by various political intervention. The tide in the corporate level competitive
interdependence tends to focus on the global alliance activity. It is becoming very much
significant in the present economy (Jolanta 2015). Science community has enjoyed a good

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climate for both international communication and collaboration. At present, the engineering
community has encountered various constraints as a result of economic and included security
reasons. In the near future, it is expected that these constraints are to be removed. Newcomer
MNCs are looking for certain number of ways so that they can ensure their own survival (Bowen
2015). They cannot survive on their own along with national interest but instead of that, they
require good citizen. In some of the industrial development countries, people are looking for
sophisticated information-based products. At present, the societies are becoming totally
depended on information-oriented societies. There is large number of application software which
is dependent on some of the local culture which is difficult to be developed.
Fig 2: Sony Corporation
(Source: Shahbaz et al 2018)
Emerging roles of Newcomer MNCs: Strategic Alliance in business is considered to be
as a useful way for improving international collaboration. For newcomer MNCs, cost of
development of technologies is improving at a rapid. At present, Global science and technology

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are encountering issues for promoting the overall industrial economy. At present, semiconductor
technology is looking for forces which can drive high kind of information society. Some of the
global environmental issues like shortage of both food and energy that results in explosion of
crucial issues (Ståhlbröst, Bergvall-Kåreborn and Ihlström-Eriksson 2015). There are some
serious kind of issue in development of new technologies which is required for solving the
issues. There is some kind of technologies which is required for saving energy and along with
resources along with reducing waste and pollution. Currently, the organization are coming up
with some evolution technologies which is required for saving resources along with reducing
waste. For overcoming the issues, newcomer MNCs are focusing on to create new industry
where waste can be recycled into useful resources. It is stated that recycling industry is
considered to be economical backward and is considered to be low- technology industry. The
new upcoming MNCs will improve and tends to provide employment opportunities for various
people around the globe (Kennedy, Welch and Monshipouri 2017). Newcomer MNCs are
coming up with new industries which will improve the world economy and global environment
for sustainable development. Upcoming MNCs will play a key role in global collaboration. With
the passage of time there is strategic alliance which is formed by MNC (Sony Corporation)
which is very encouraging.
Section 2: Reaction from Various Stakeholders
Impact of issues on stakeholders of Sony Corporation
Stakeholders are nothing but people and groups that come up with huge amount of
interest in the business. Both shareholder and owners are considered as primary stakeholders of
Sony Corporation (Kostova, Nell and Hoenen 2018). At the beginning of 21st century, there are

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some groups which is holding the organization for much higher and environmental standard.
Sony Corporation is totally related to overall complexity of the developing CSR which suits the
need of the business and worldwide market. The overall complexity is based the plan where the
organization operates There are large number of stakeholders that are arranged as per the priority
of CSR strategy like
 Highest priority is given to shareholders
 Employees
 Customers
 Business partners.
 Giving minimum priority to local communities.
Stakeholder Group: For having an idea about the impact of the stakeholders their
relation with business of Sony Corporation. Along with owners, customers, business partners,
and suppliers are considered to be key group. At present, customers can operate in the business
in more honestly way along with providing much fairly services (Ramondo, Rappoport and Ruhl
2016). There is large number of communities which can expect Sony Corporation to get
involved. Employees at Sony Corporation can easily expect a fair working environment. Both
business partners and associated suppliers can expect a good working environment for their
employees. The main focus on stakeholders at Sony Corporation is all about managing their
relationship with proper integrity along with responsibility.
Financial Impact: Sony Corporation are in business for making money which affects the
financial interest of the owners and shareholders. They have been given greater financial interest
in creating balance with the present social responsibilities (Faulkender and Smith 2016). It is the

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part of organization leaders to come up with wise decision that will minimize cost and produce a
productive bottom line. There has been much greater involvement of the stakeholders which
tends to affect the bottom line of Sony Corporation. It can be bit costly for this organization to
manage waste and come up with recycle program which is good for the environment. Sony
Corporation do take account of the interest of the stakeholders which will help in understanding
the negative publicity.
Fig 3: Stakeholders of Sony Corporation
(Source: Filatotchev and Stahl 2015)

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Social Impact: Both internet and mobile technology aim to provide much greater amount
of power to consumer and watch groups. There is large number of communities which come up
with separate entity from the given customers (Den Hond and de Bakker 2016). Organization
like Sony can expect their employees to take part in all of the community-based activities. It is
required for sharing of a part of wealth which the people will provide the required income. One
of the advantage that a local business will have over the local chains which are required for
establishing connection within the given community.
Operation impact: Employees of Sony Corporation becomes very much involved with
the stakeholder's group. In some of the general cases, employees are required to value a key asset
that is expected to work in a non-discriminatory environment of work (Wang et al. 2016). Any
kind of failure will tend to provide an equal amount of opportunity that can lead to low employee
morale (Jackson and Rathert 2016). Suppliers are expected to be paid right on time which will
keep them in loop for the current business activity. This ultimately helps in relating their
relationship with the organization. By making use of suppliers and resale product a bad working
environment or social responsibilities will impact their suppliers.
SWOT Analysis of Sony Corporation
Strength Weakness
1. Strong Brand Name
2. Diversification of Business
1. Lack of mobile devices
2. Vulnerability of databases.
Opportunity Threats