Philips versus Matsushita: The Competitive Battle Continues

Overview of Case Solution

Phillips and Matsushita are companies producing electronic products for a long time in the market. During this time, both companies have experienced
ups and downs in their financial performance. A comparison between both of them explains the fact that both have their own competitive advantage on
which they overcome other competitors in the market. Technological advancement and expansion have been found common in both the cases
predominantly. Over the period of time, administrative heritage has offered the new management team with pre-emptive rules and standards which can
be re used if successful or organization can be re structured in order to make it sustainable in the long run.

Excel Calculations
Questions Covered
1. How did Philips become leading Consumer Electronics Company in the world? Based on what distinctive competencies? What role the Philips
administrative heritage played in its success/failure?
2. How did Matsushtia succeed in displacing Phillips? Based on what distinctive competencies? What role has Mastsushtia administrative heritage played in
its success/failure?
3. What recommendations would you make to Gerald Kleisterlee, to Eumio Ohtsubo?

Keywords
Competition, Core competencies, Execution, International business, Organizational structure