100%(2)100% fanden dieses Dokument nützlich (2 Abstimmungen)
254 Ansichten20 Seiten
The document discusses Sony's AIBO robotic pet product and its struggles in the American market. It analyzes reasons for the product's unprofitability in America, such as high price and American consumers seeing little value in a robotic pet. It then evaluates alternatives for the product, including stopping production, market penetration, market development, product development, and two diversification strategies. Based on criteria of short-term profits, alignment with Sony's core competencies, long-term growth potential, and ease of implementation, diversifying into a functional adult-oriented AIBO scored highest.
The document discusses Sony's AIBO robotic pet product and its struggles in the American market. It analyzes reasons for the product's unprofitability in America, such as high price and American consumers seeing little value in a robotic pet. It then evaluates alternatives for the product, including stopping production, market penetration, market development, product development, and two diversification strategies. Based on criteria of short-term profits, alignment with Sony's core competencies, long-term growth potential, and ease of implementation, diversifying into a functional adult-oriented AIBO scored highest.
The document discusses Sony's AIBO robotic pet product and its struggles in the American market. It analyzes reasons for the product's unprofitability in America, such as high price and American consumers seeing little value in a robotic pet. It then evaluates alternatives for the product, including stopping production, market penetration, market development, product development, and two diversification strategies. Based on criteria of short-term profits, alignment with Sony's core competencies, long-term growth potential, and ease of implementation, diversifying into a functional adult-oriented AIBO scored highest.
Japanese market Problems: The product remains unprofitable for Sony at current production levels Possible Causes: High price tag American consumer sees robots as dangerous or threatening and see little value in a robotic pet that performs no functional tasks The Problem Situational Analysis Methodology and Criteria The Alternatives Alternative Selection Implementation Strengths: Association of Sony brand name Sony is market leader AIBO is the first commercially available robot Weaknesses: Not part of Sonys core competencies electronic, games, and entertainment Price tag of US$1500-$2500 Sony often fails to meet demand Opportunities: Social: Baby boomers in the US market Technological: The research holds the potential of being extremely valuable to external high tech companies Political: Government agencies have a keen interest in how new technology can improve its operations Turn the robotic pet into a learning tool at schools or an automated caretaker at aging homes Threats: Competitors: Honda's Asimo uses a platform recognition and network integration technologies similar to the AIBO Technological: A high-tech company such as Sony and its competitors are always threatened by a high rate of technological obsolescence Economic: By the nature of the product categories in which they compete, Sony and its industry offers many high-end, luxury products
Four criteria were used to compare the alternatives 1) Short term to medium-term profitability (30%) 2) Alliance with Sonys core competencies (30%) 3) Long term growth potential (20%) 4) Ease of implementation (20%)
Stop Production Reasons: Sony AIBO is unprofitable Does not fit with core product strategy American market has a history of associating robots with enemies
Market Penetration The Innovator market has not be saturated Same product, same price Same Distribution channels The promotional strategy would eschew mass advertising and focus on building word of mouth buzz Technology trade fairs Market Development Attract the early adaptors and lead towards a mass market Functional AND emotional positioning Build primary demand Market is large and will offer long-term growth Short-term profitability because low R&D
Product Development Exploit the tech-savvy, innovator market that it currently targeted Develop the AIBO to the point of being less of a continuous innovation and more like a discontinuous one Purchase because of the novelty Diversification Two diversification strategies a) diversification towards a highly functional AIBO which performs duties and is targeted towards adults Development of a highly functional product that answers the question, But what does it do? American consumer is pragmatic Low short-term profits Most aligned with Sonys core competencies of producing high-tech electronics b) a primitive-version AIBO that is geared towards children Dropping both the price and the functionality Mass advertising campaign, Integrated components Element of luck when attempting to create mass infatuation
Short Term to Medium Term Profitability Alliance with Sonys core Competency Long Term Growth Potential Ease of Implementation Total Weighting Weighting Weighting Weighting 30% 30% 20% 20% 100% Stop Production 1 0.3 7 2.1 1 0.2 4 0.8 3.4 Penetration 2 0.6 3 0.9 2.5 0.5 7 1.4 3.4 Market Development 4.5 1.35 3 0.9 6 1.2 3.5 0.7 4.15 Product Development 2 0.6 6 1.8 4 0.8 3 0.6 3.8 Diversification Kids 2 0.6 4 1.2 6.5 1.3 1.5 0.3 3.4 Diversification Adults 1.5 0.45 6 1.8 7 1.4 2 0.4 4.05 Spend around $3M on national advertising campaign The advertising budget will be split into a 40-60, respectively. Fifteen percent of the 40% will be spent towards TV commercial 10% will be spent on movie ads in high-tech movies 15% will be put towards advertisements in different newspapers, magazines, and other publications The remaining 60% of the budget will be spent on direct selling through booths in high-traffic, public areas, such as shopping centers and in-store displays/personnel at Sony and The Sharper Image Stores across the country