Sony's Strategic Positioning: Ansoff Matrix, VRIO, and SWOT Analysis

This essay provides a comprehensive evaluation of Sony's strategic position, examining its market strategies and competitive advantages. The analysis begins with an overview of the growth strategies adopted by Sony, determined with the help of Ansoff Matrix, focusing on market penetration, product development, market development, and diversification. The essay then delves into the company's strategic capabilities through VRIO analysis, assessing its valuable, rare, costly-to-imitate, and organized resources. Furthermore, a SWOT analysis is conducted to identify Sony's strengths, weaknesses, opportunities, and threats, providing a holistic view of its strategic positioning. The conclusion highlights the challenges Sony faces in gaining a sustainable competitive advantage, recommending cost-effective strategies and diversification to enhance its market share and strategic position. The essay emphasizes the importance of adapting to market complexities and leveraging brand loyalty to mitigate threats and capitalize on opportunities within the competitive landscape.

EVALUATION OF
STRATEGIC POSITION OF
SONY
Essay

Growth strategy adopted by Sony
From the evaluation of Case Study of Sony,
the strategic position of company has
determined.
Understand with the help of Ansoff Matrix.
Contain four strategies:
Market penetration
Product development
Market development
Diversification

Conti....
Sony has adopted market penetration
strategy.
It has given strategic position of company in
terms of
Internationalization of business
Promote products in Hollywood.

Conti...
In context of product development strategy,
Sony has attained strategic position in terms
of
Bring Playstation for children.
Develop wide range of product portfolio.
Take steps in the industry of entertainement.

Conti...
Market development was another strategy to
attain strategic position.
Expanding business in emerging markets
Change the way of television business

Conti...
Diversification has followed by Sony to
achieve strategic positioning in terms of
Digital imaging
Games
Mobile Phones
Medical business

Conti...
The reason of using Ansoff matrix to
determine the strategic positioning of Sony is
to explain the tactics that have been used by
the company to deal with the market
complexities.
Along with this, it has shown how the product
portfolio has widen up with the time.

Strategic Capability of Sony
VRIO analysis for Sony
Valuable
Company offers high range of product
differentiation to its consumers
Price of products are comparatively high due
to high production cost

Conti....
Rare
Offers considerable product variety to its
consumers
Company is facing high competition from
Japanese rivals
Products are competitive and quality
ascertained
Brand loyalty is high

Conti...
Costly to imitate
The cost of production for the business is
high
Major competitors such as Panasonic, LG and
Samsung creating low market growth aspects
Diversification is a significant strategy
adopted by the firm

Conti...
Organized to capture value
Brand loyalty provide high market advantage
Quality products ensures high brand
following

SWOT analysis of Sony to determine strategic
position
Strengths
Strong brand image
Good product diversification
Wide range of innovative products list with
excellent customer services
Unique product designs with high quality.
Globally recognized brand
Good after sales services