Microeconomics Project on Sony

1. Sony
Durand Torrence
Microeconomics Presentation
November 11, 2019

2. “Fill the world with emotion,
through the power of creativity and
technology.” Sony has adapted this
as their purpose and stresses its
values as Dreams & Curiosity,
Diversity, Integrity & Sincerity and
Sustainability.
Overview
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3. History
• Established as Tokyo Tsushin Kogyo Corporation in
May 1946
• Stock made public August 1955
• Tokyo Stock Exchange in December 1958
• First Japanese company to be issued American
Depository Receipts (ADRs) 1961
• Listed on NYSE in Sept. 1970
• Sony market consists of electronic services

4. • APPLE: 260.2B in revenue
• SAMSUNG: 205.5B in revenue
Apple by far leads the market
and Samsung comes in second.
This can be attributed to these
two brands in what can be
seemed as a “mobile device war”,
but Sony has stayed true to its
niche.
TOP COMPETITORS

5. Streamsof
Revenue
Industry Sector:
Computer Hardware, Electronic Equipment
and Communications Equipment
Recent Acquisitions:
Crispin, Esatunus, Altair, SoftKinetic, Memnon
Recent Investments:
DIGILENS, AIRMAP, Cogitai, Qnovo

6. .
Competition Structure
Sony structures its company for the competitive market. Sony
continuous efforts in innovation and research and development keeps
them thriving in their market. Sony offers many products from gaming
systems to electronic audio devices as well as communication
equipment.

7. Factors on Demand
A change in potential customers’
income does may increase Sony’s
demand. Sony has survive over
the past 60 years with all the new
entries in the market because it
services their customers needs
with high quality and reliability.
With Sony being a more
affordable option than its
competitors, this could lead to
higher demands.

8. Substitutes Complements

9. MARKET
Sony is currently leading the gaming industry with its
current generation console PS4 with this announcement,
Microsoft will likely be releasing information for its XBOX
line.
Sony recently announced
the next-generation
PlayStation console called
PS5 expected to be released
end of 2020.

10. MARKET
EXPECTATIONS
• Increase in digital sales
• Generational gaming
• Increase in social media
• Sony sensor unit technology in
mobile phone cameras

11. BUYER AND ELASTICITY
Elasticity
• Sony’s brand is irreplaceable in multiple products
and raising of prices in these areas would not
affect business. But lowering the prices with the
products that have high competition would
greatly increase business.
Buyer
• Are do not wavier as it relates to certain Sony
brands.
• Sony makes their products available through
every distribution chain possible.

12. Technology
• PS5
• Digital download
• Sony camera sensor unit

13. Sony’s Future
Expectations are high for Sony. The constant demand for clarity in
gaming, communication and audio/visual market is forever increasing.
Which creates a drive in Sony to compete to stay ahead of rivals.
Expectations
Entry/Exit
The gaming industry is one of the hardest to entry and as long
as Sony continues to innovate they will be in business.

14. Wrap Up
I selected this business because it is not the top of the market but it has
found their niche and has been surviving and will continue to thrive.

15. REFERENCES
HOOD, V. I. C., LYNCH, G. E. R. A. L. D., ST LEGER, H. E.
N. R. Y., & BOYLE, E. M. M. A. (2019, November 5). PS5
release date, specs, news, and rumors for Sony’s
PlayStation 5. Retrieved November 12, 2019, from
https://www.techradar.com/news/gaming/consoles/
ps5-release-date-news-and-features-1213409.
Mochizuki, T. (2019, October 30). Sony Sensor Unit’s
Strong Performance Is a Double-Edged Sword.
Retrieved November 12, 2019, from https://
www.wsj.com/articles/sony-corp-2q-net-profit-up-9-
helped-by-camera-sensor-business-11572417527?
mod=searchresults&page=1&pos=8.
OWLER. (n.d.). OWELER. Retrieved November 12,
2019, from https://www.owler.com/company/sony
SONY. (n.d.). SONY. Retrieved November 12, 2019,
from https://www.sony.net.
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