Beruflich Dokumente
Kultur Dokumente
PRESENTS
SONY
C O R PO R AT I O N
Car Navigation Systems
By Manu Ram Thankaji Naga Avinash Rumsha Hussain Shashank Kumar Vyshnavi P Nair
COMPANYS BACKGROUND
Sony, is a Japanese multinational conglomerate corporation headquartered in Minato, Tokyo, Japan. Sony is one of the leading manufacturers of electronics products for the consumer and professional markets. Sony Corporation is the electronics business unit and the parent company of the Sony Group. Sony was named after the latin word sonus, which means sound.
Co-chair of various conferences, including the Japan-U.S Business Council, The Trilateral Commission, and the World Economic Forum in Davos.
How it started?
May 7 1946, after the end of World War II, Masaru Ibuka started a radio repair shop in a bomb-damaged department store Shirokiya building in Nihonbashi of Tokyo.
The next year, he was joined by his colleague, Akio Morita, and they founded a company called Tokyo Tsushin Kogyo K.K. Ibuka traveled in the United States and heard about Bell Labs' invention of the transistor.
Ibuka convinced Bell to license the transistor technology to his Japanese company.
Continued . .
Sony was the first company that made transistor video commercially successful for the first time. As a young company, Sony did not have a keiretsu of affiliated companies and lacked the strong domestic sales base and the distribution networks
Company History 1946 - Tokyo Telecom Engineering 1950 - First Japanese tape recorder 1955 - First transistor radios 1957 - First pocket-sized radio 1958 - Name change to Sony
(from "sonus," Latin for "sound," and "sonny," meaning little man)
Company History 1980s - Major Producer of computer disks/ floppies 1988 - Bought CBS Records for $2 billion. 1989 - Bought Columbia Pictures for $4.5 billion. 1994 - Sony Playstation released to great success.
Company History 2000 - Formed PlayStation.com games/software online 2000 - Restructured all entertainment units under Sony Broadband Entertainment 2001 - JV Sakura Bank and JP Morgan Chase for online bank.
Region
Japan
US Europe Other Regions Total
$ (Millions)
20,012
19,124 13.872 10,074 63,082
% of Total
32
30 22 16 100
Where it went wrong? Since the late 1980s, Sony led a group of 40 companies in establishing an industry standard (called NaviKen) which enabled consumers to benefit from mutually compatible digital map software Ironically, competitors not in the NaviKen group were able to introduce new and improved productsmore often and more rapidly by developing or acquiring proprietary digital map technologies. In contrast, NaviKen member companies, including Sony, lost time while trying to agree on standard software upgrades.
RESULT OF WHICH. .
Sonys unit sales increased, but at a slower growth rate than the market; Sonys market share fell from 60 percent in 1993 to 23 percent in 1994 and 17 percent in 1995, and was estimated to drop to 15 percent in 1996.
Multinational markets
Advanced Japanese market Worlds largest car navigation system in 1995 Penetration rate for all cars registered in Japan was 2% Due to increase in traffic and well developed train systems most Japanese preferred car for weekend driving. So, many welcomed car navigation systems as a means of finding their way around in unfamiliar cities and towns. Even Japanese Government invested in improving the efficiency of Japanese road system by introducing VICS (vehicle information and communication system). This avoided grid lock accidents or washed out roads
Untapped US market
To make the consumers aware of this navigation system, JD Power conducted 2 day test drive followed by 3 questionnaire.
Continued.. Sony entered in1993 with after market segment with NVX-F10. six months later it introduced NVX-15 Sony named its product as Digital map car navigation system. Sony set out to establish industry standard for digital map software. It was the most active member of navigation research association to set the Naviken format for CD-Rom based digital map. This standard setting effort lowered entry barriers
In April 1994 Matsushitha who didnt join Naviken was first to develop a hybrid system with both GPS and Dead Reckoning sensor.
In Oct 1994 alpine originally a member of Naviken, later became an independent developer, introduced first hybrid model that could provide turn-by-turn route guidance .
In 1995 Pioneer introduced new hybrid model with a flash memory chip in its CPU. Though Sony introduced new products almost every 6 months it was modified version of original GPS product. In 1994 Sony introduced NVX-B50 which employed a CDROM changer in which a driver could place 6 different CDROM .
European Competition
In late 1994 Navigation systems were first installed on OEM basis. Philips was the first one to introduce navigation system which had (hybrid system) GPS and Dead-Reckoning sensors. In Sept 1995 it started to sell the same product through After Market Channel in Germany and France. In Oct 1994 Bosch began supplying navigation systems. Sony started test marketing its GPS based model in France in 1995 but sold only 300 units. By 1997-98 Alpine, Matsushita and Pioneer were planning to enter European market.
US Competition
In US car navigation system was not widely known.
Industry observers believe price reductions would be critical before demand for car navigation system would takeoff to US. Zexel was first to bring car navigation to US with GPS and Dead-Reckoning system. Due to lack of marketing expertise it couldn't sell well. Sony began marketing in NVX-F160 in 1994
Product
choice