Beruflich Dokumente
Kultur Dokumente
Submitted to:
Sir Shahzaib Khan
Submitted by:
Syed Ahmed Arsalan (9227)
Muhammad fahad (9260)
Syed muzammil bin rashid ()
Syed ayaz (6763)
Umar Jaleel (7660)
Table of Contents
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Introduction:
Canon Inc. is the one of the biggest multinational Japanese based firm. Canon Inc. the
multinational corporation are providing the specialized of imaging and optical products in which
they are providing the vase range of digital
cameras, video recorder, printers, scanners,
photocopier, multifunction device and also the
medical equipment. The headquarter of Canon
Inc. is located at Tokyo (Japan). The Canon Inc.
is also listed in the biggest companies of the
world. According to Forbes list of Global 2000 of
May (2017) canon ranked at No.266 in the list of
the biggest companies of the world. In May 2017 canon has the Market Cap as of $41.6 Billion
and the net sales of canon has $31.3 Billion. The numbers of employees that are working in canon
worldwide are 197,673 and the numbers of companies that are subsidiaries and affiliated with
canon are 256. Canon has captured the 31% of the market of compact camera according to the
BCN award 2016. As canon doing their business in all over the world so they are generating more
than of their revenue outside of their country which is about to 73%. The some of the major
competitors of canon are Nikon, Konica Minolta, Leica, Pentax, Olympus, Sony, Epson, Kodak,
Hewlett-Packard and Xerox. The manufacturing or production of canon is still in Japan but they
are expanding their production unit business in United States, Malaysia, China, Vietnam,
Germany, Thailand, Taiwan and France.
Canon is using a different philosophy known as kyosei which means that they are living
and working together for the sake of the common purpose. Be that as it may, the Canon belief
system takes it to a certain extent further and changing its point of view into all individuals of all
backgrounds, ethnicities, societies, religions, races, living and working gently and agreeably
together into what's to come. Canon takes pride in its customs and activities of protecting and
preserving the world that they share with every other person. Moreover, it is very difficult to
implement the kyosei ideology because of the differences and problems of the trade,
environment and many other ways that directly or indirectly affecting the ideology. Canon believe
that if the companies want to operate on the worldwide they will not only make the good
relationship with their customers but also make the good relationship with the other nations to
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make the better integrated environment in the world. Canon considers it as one of their missions
and effectively seeks after it. Their ideology system compels them to hold up under any impacts
that their operations and exercises may have on the general public. Although the main objective is
to focus and take share on the community happiness, achievement and flourishing of the world
which will prompt constant development while conveying the world nearer to the gaining kyosei.
Canon key of success is research and innovation and the production of the advance
products and for the sake of that purpose they are more focused on the Research and Development
(R&D) network globally. In the way to achieve the vision of Kyosei canon uses the san-ji (Three
Selfs) strategy. The corporate philosophy of canon (Kyosei) is first formulated by the former
chairperson Ryuzaburo Kaku. These are the establishment of the organization's controlling
standards; (ji-hatsu) self-inspiration importance stepping up and being proactive in all exercises,
(ji-chi) self-administration significance overseeing capably and have responsibility for the
activities and (ji-kaku) self-mindfulness significance understanding the circumstance and part to
be played in that circumstance.
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technology and introduced the first ever In-house production of Serenar Lens commences and
developed the first indirect X-ray camera.
In World War II the role of Japan is to support the entire economy of the Japan and also
support the Japanese Military. Canon has faced the many problems and difficulties but they
survived in the World War II but they are unable to manufacturing the products. When the war
was over in 1945 there are some astounding efforts which were done by the Mitarai in the way to
re-start the production lines. The main goal of Mitarai is to improve the quality of products that
are being produced at that time and on the other hand Mitarai was took some steps and make the
efforts in which the cameras of the Canon has went to shores of the United States of America with
the United State servicemen. In that way they introduced their products on the land of America. In
1947, Canon Camera Company Inc. was come on the name of Precision Optical as a transliteration
of the first product of the organization, Kwanon.
The 1950s decade was the apparently the most critical decade for the company. The Korean
War was covered by the photographers news and in that session that they was found that the
Japanese lenses were similarly in the same class as the German ones. The export was started and
the canon began to succeed. In 1955, it opened an office in New York and formally entered the
United States showcase. Just two years after the fact, amid 1957, Canon Europa was framedin
Geneva too. In 1959 and 1963, the canon grew three times its size! Canon vary the range of the
product portfolio of the company by entering new products advertises like copy machines. They
additionally first created the plain paper copier (PPC) and bring the product in the industry,
replacing Xerox from their position of royalty. Along these lines, in 1969, Canon Camera
Co.changed to Canon Inc. In the up and coming years and decades the canon went into other
products range also like printers with the end goal of further enlarging the product offerings. It
additionally extended to different locations and now canon was do their operation in all the
continents with 197,673 workers over the world. It has turned into an outstanding brand all through
the world for good quality imaging products and solutions.
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Key Dates related to Canon:
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Causes of Expansion in United state
Japan was a country with the population of approximately 90,000 during the 1950s and the
United States market was potentially a large market with a population of 166 million even. It was
a great opportunity for the Canon to boost its revenues through big platform and a great increase
in sales. Canon had already seen a tough economic time due to Japan being involved in World War
II in the mid-1940s. Thus, Canon greatly needed a boost in the revenue stream.
The other another purpose of Canon move to expand to markets abroad, including United
States of America, had minimizing the competitive risk and also diversify the resources.
Competing in a market of 90,000 people has a very high competitive risk as the struggle for
keeping a high market share would have been very difficult, along with limiting the company in
every way as well. Moreover, it was effective decision for the company so that they acquire new
and diverse resources that allowed the company to have a greater innovation factor and the
company may achieve the competitive edge and Canon may also produce in low cost through
diversify resources.
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Importance of international business:
In the eye of the founder of the Canon, Takeshi Mitarai international business take an
important place for the innovation and rises sales. As mentioned above Canon wanted to expand
to the global markets from beginning but during the war that was difficult to shift to other country.
Furthermore, Mitarai moved its business operations to United States of America in the overall
expansion strategy. Moreover, it is also a part of the vision of the company, the corporate
philosophy of Canon, kyosei, to live and work together with people of all races, backgrounds,
religions, cultures peacefully in order to achieve common good. After the USA the company
moved on other countries like, Europe, Virginia, California, Vietnam etc.
As we know that USA is a state can provide a better intellectual property security as others
country. So one of the reason to expand in USA. The canon is technology based company and its
necessary to protect its formulas, innovation techniques and designed from the stolen and copied
by other technological company. Canon Inc. has invested a great deal into research and
development of new technologies and ideas over the decades. Thats why today Canon Inc. has
the most number of patents of all the Japanese companies and ranks 3rd in the same category in
the market of United States.
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Pattern of Expansion
Passive to active:
The company hardly survived World War II and the company was unable to manufacture
its backbone product 35-millimeter cameras duration the war. Mitarai drilled into his workforces
regarding to importance of producing high-quality products. Initially, Mitarai started to export
their product in USA market. U.S. servicemen bringing their cameras home with them gave the
company its first foothold in the U.S. market. The 1950s decade was possibly the most imperative
decade for the canon. The news photographers covered Korean War during that they found that
the Japanese lenses remained good as the German ones. The export market started to open up due
to GATT and the globalization then and Canon grew all over the decade.
In 1955, the company created a U.S. subsidiary, based in New York and they observed the
demands and trends of the markets and competitors of USA. Only after two years later, for the
duration of 1957, Canon Europa was formed in Geneva as well. The company grew 3 times its
size during the period of 1959 and 1963 through diversifies the product portfolio of the company
by entering new product markets. Canon added new product line is 8-millimeter movie camera,
after that in 1959 canon become the only company in the world to manufacture 8-millimeter
camera with the specification of zoom lens.
In the year 1965 canon USA Inc. were recognized. Gradually, canon shifted its operations
in to the USA soil as it saw a steep growth in the first two decades. The reason to shift their
operation in the USA to grab the big market because at that time USA was very developed from
japan and the population of USA in very much big than Japan. In 1956 Canon added an 8-
millimeter movie camera to its product lines, and in 1959 it became the first company in the world
to manufacture an 8-millimeter camera with a built-in zoom lens.
In the United States canon expanded its product line and market as well such as canon
entering in the market of machines. Canon Entered in the photocopier market in 1965 with the
Cano fax 1000, In 1968 Canon became an innovator in the field when it introduced its first plain-
paper copier. But at that time Xerox was its strong competitor then canon changed their identity
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"Camera Company" and in 1969 the company became simply Canon Inc.. Hence, in 1965,
Canon USA Inc. was established and did researched other products to add to the organizations
product portfolio and in 1974, Canon Business Machines was established in California. In 1985,
Canon Virginia Inc. was also established which was capable of not only manufacturing but also
recycling, engineering and technical support for the entire American region.
Geographic Diversity:
The geographical diversification is the vital strength of the canon. Firstly, they entered in
the market of USA in 1955 and only after two years later, for the duration of 1957, Canon Europa
was formed in Geneva as well. The purpose of canon to move in the location of Europe because
European countries is more likely to USA and near the USA so that they can grab the market more
quickly. Furthermore, the United States market is an energetic market requiring innovation to stay
ahead. It was also a gateway for Canon to enter the Canadian, Mexican, Latin American and the
South American markets after strong establishment in the United States. In Germany 1972 - Canon
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Giessen GmbH, Canons first European manufacturing site was established. Moreover, Canon
Bretagne S.A. is established in France in 1983. During the year 2001- Canon Europe Ltd. is
established in London as the strategic headquarters for Europe, and in the Netherlands working
alongside the operational headquarters in Canon Europa N.V.
Furthermore, in 11thApril, 2001 Canon Vietnam had been established. It started operation
from May2002 to now. Canon Vietnam has the investment under the form - EPE 100% FDI with
investment capital 306 million USD and legal capital 94 million USD. Canon Vietnam now has 3
factories and the headquarters is at Thang Long factory.
Leapfrogging of Expansion:
Basically canon is the company of japan but to increases its revenue and to grab the large
target population canon moving from japan to other countries like USA and its different state,
Europe and its countries. United States also proved to be a ground where Canon Camera Co.
entered new product lines and became Canon Inc. over the years through expanding into producing
calculators, printers, toners, toner cartridges and even facsimile machines at better cost. As
mentioned earlier, in just a few years of moving to United States, Canon saw a steep growth in the
company where it expanded three times its size in just four years.
Now Canon wants to focus on the market of Asia such as Vietnam had been established on
11April, 2001 and mostly, the developing countries. Generally, Asian countries have been
considered that they have the prominent development of technology, the hardship and creativeness
of employees who require low salaries as well as the stable politics, which makes a good condition
for Canon to improve and diversify its products, gain the achievements as well as expand its impact
on foreign markets.
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Canon business strategy:
Conclusion:
A multinational organization Canon Inc. its headquarter in Tokyo, Japan that specialized
in the manufacturing of imaging products and optical products as well as such as cameras, printers,
photocopiers along with medical equipment which is found in World War II during 1933. Canon
opened its first office in New York during 1955. As the products of the company had reached the
United States shores right after World War II through returning United States servicemen during
1945 and 1946, the Japanese cameras were not new in the American market. The products of the
canon rapidly made their place and it started to take over the market share from other companies
or competitors. Their products were mid-priced and the quality of the products were very good
also. In 1965, it was incorporated as Canon USA. Initially, Mitarai started to export their product
in USA market. U.S. servicemen bringing their cameras home with them gave the company its
first foothold in the U.S. market. The 1950s decade was possibly the most imperative decade for
the canon. Gradually, canon shifted its operations in to the USA soil as it saw a steep growth in
the first two decades. The reason to shift their operation in the USA to grab the big market because
at that time USA was very developed from japan and the population of USA in very much big than
Japan. In the United States canon expanded its product line and market as well such as canon
entering in the market of machines. In 1985, Canon Virginia Inc. was also established which was
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capable of not only manufacturing but also recycling, engineering and technical support for the
entire American region.
Furthermore, it was a part of the huge overall penetration of the U.S. market by Japanese
calculator makers. The company failed for the most part to distinguish itself from its competitors
in the context of photocopier and calculator as well. We can say that canon was unable to
understand the need of the USA people and also unable to find the strength of its competitors in
the period of 1970s. Furthermore, the United States market is an energetic market requiring
innovation to stay ahead. It was also a gateway for Canon to enter the Canadian, Mexican, Latin
American and the South American markets after strong establishment in the United States. Now
Canon wants to focus on the market of Asia such as Vietnam had been established on 11April,
2001 and mostly, the developing countries. Generally, Asian countries have been considered that
they have the prominent development of technology, the hardship and creativeness of employees
who require low salaries as well as the stable politics.
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References
http://www.referenceforbusiness.com/history2/81/Canon-Inc.html#ixzz4o3PNn3M7
http://www.referenceforbusiness.com/history2/81/Canon-Inc.html#ixzz4nxufzr11
https://www.scribd.com/document/170440770/FDI-analysis-of-Canon-Vietnam
http://www.referenceforbusiness.com/history2/81/Canon-Inc.html
http://global.canon/en/vision/philosophy.html
https://www.forbes.com/companies/canon/
https://books.google.com.pk/books?id=MTZAOa1u3XoC&pg=RA1-PA1997&lpg=RA1-
PA1997&dq=canon+inc+guiding+principles&source=bl&ots=mOEYgoHOdo&sig=IdXlRM9Dj
kG99m9A3of1AoICu1o&hl=en&sa=X&ved=0ahUKEwjgj7fu06jVAhUGEpQKHZvlDwgQ6AE
IRTAG#v=onepage&q=canon%20inc%20guiding%20principles&f=false
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