Sony needs to change its business strategies to focus on the following initiatives: 1) Regain market leadership in LCD TVs and strengthen profitability in the gaming business. 2) Provide new experiences by integrating hardware, software, and services. 3) Expand into new markets and focus on environmentally friendly products. 4) Grow revenues from network-connected products and expand its 3D product offerings.

1. How must SONY
change its business
strategies for 2010
and beyond?
s1150027 Wataru Imaizumi

2. Contents
Change strategy of Sony
Four initiatives
Target consistent profitability in core hardware
businesses
Target consistent profitability in core hardware
businesses
Regain the leading market position in LCD TV
business
Strengthen profitability of game business
Network-connected products and services
Expand 3D-related product businesses in the fiscal
year ending March 31, 2011

3. Change strategy of Sony
Sony have promised that they will no longer develop
products based on underlying technologies, but
rather focus on the user experience.

4. Four initiatives
Target consistent profitability in core hardware
businesses (TV, game and digital imaging)
Provide new user experiences integrating
innovative hardware, software and services
Reach out to new customers and develop new
geographic markets
Increase Sony’s focus on environmentally
conscious products and processes

5. Target consistent profitability in
core hardware businesses
Regain the leading market position in LCD TV
business
Strengthen profitability of game business
Network-connected products and services
Expand 3D-related product businesses in the
fiscal year ending March 31, 2011

6. Regain the leading market
position in LCD TV business
Target returning the LCD TV business to profitability in the
fiscal year ending March 31, 2011 and achieving a 20%
worldwide market share on a unit basis in the fiscal year
ending March 31, 2013.
Create a new revenue model beyond conventional TV
business models.
Create a new revenue model beyond conventional TV
business models.
Develop new generation displays using proprietary Sony
devices.

7. Strengthen profitability of game
business
Target returning to profitability in the fiscal year
ending March 31, 2011.
Increase revenues by expanding
hardware/software sales and enrichment of
PlayStation®Network services.
Improve profitability in the game business by cost
reduction and other measures.

8. Network-connected products
and services
Further expand Sony’s networked service
business by utilizing the rapidly growing
PlayStation®Network services and by integrating
attractive hardware, including new mobile
products and other consumer electronics, with
networked services.
Expand Sony’s lineup of network-connected
products. Target installed user base of 350 million
units by the end of the fiscal year ending March
31, 2013.

9. Expand 3D-related product
businesses in the fiscal year
ending March 31, 2011
Engage Sony’s group-wide assets from content
production to display devices and game to make
available a wide variety of attractive content and
hardware, and drive the creation of new 3D
markets.
Target revenue from 3D-related products of more
than 1 trillion yen (excluding content) in the fiscal
year ending March 31, 2013.

10. Reference
http://www.sonyinsider.com/2009/11/19/sony-gets-real-
defines-business-strategy-for-2010-and-beyond/
http://japan.internet.com/column/wmnews/20070307/8.html
http://av.watch.impress.co.jp/docs/news/20091119_330082.
html
http://www.toyokeizai.
net/business/strategy/detail/AC/b0ce12cc9e4eef6593e3a4b
ba7c457f0/