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It was founded on October 1, 2001 as a joint venture between Sony and the Swedish telecommunications company Ericsson.
Sony Mobile Communications has research and development facilities in Lund, Sweden; Tokyo, Japan; Beijing, China; and Silicon Valley, United States.
In 2009, it was the fourth-largest mobile phone manufacturer in the world (after Nokia, Samsung and LG). By 2010, its market share had fallen to sixth place.
History
Ericsson had decided to obtain chips for its phones from a single sourcea Philips facility in New Mexico. In March 2000, a fire at the Philips factory contaminated the sterile facility. Philips assured Ericsson and Nokia (their other major customer) that production would be delayed for no more than a week. When it became clear that production would actually be compromised for months, Ericsson was faced with a serious shortage.
Ericsson, which had been in the mobile phone market for decades, and was the world's third largest cellular telephone handset maker, was struggling with huge losses.
History
Sony was a marginal player in the worldwide mobile phone market with a share of less than 1 percent in 2000. By August 2001, the two companies had finalized the terms of the merger announced in April. The company was to have an initial workforce of 3,500 employees.
Headquarters
Area served Key people
Employees
Parent Website
Mobile phones
Products
Wireless systems
Positioning Strategy
It determines how the company will compete in the marketplace. Sony Ericsson also uses positioning strategy.
Core Competencies
Core competencies are what give a company one or more competitive advantages, in creating and delivering value to its customers in its chosen
field.
Human Resources
Core Competencies
Innovation in partnership
Competitive Advantages
The core competencies of Sonny Ericsson are also its competitive advantage that brings them at the leadership position against their rival market.
Competing on Quality
Competitive advantages
Competing on Speed
Competing on Quality
Sony Ericsson widely focuses on the quality of the product and services the
company provides to its customers. Since Sony Ericsson is a renowned brand, people completely trust it on the quality questions.
Competing on Speed
Sony Ericsson also focuses on the speed of delivering products and providing services. As soon as the innovative team of the company develops new technological products, they release them on the market without
wasting anytime.
Competitive priority
Marketing strategy
Competitive Analysis: Direct competitors (Nokia,LG,Samsung, Motorola and Other Chinese Brands Indirect Competitors: Walkie-Talkies, PDAs
Cost efficiency and performance improvement, Continuous process improvement, Maintaining competitive edge, Improving customer service quality
Sony Ericsson reports second quarter 2011 results ended (15 July 2011)
Income before taxes was Euro 31 million
The consolidated financial summary for Sony Ericsson Mobile Communications AB(Sony Ericsson) for the second quarter ended June 30, 2011 is as follows Q2 2010 Number of units shipped (million) Average selling price (Euro) Sales (Euro m.) Gross margin (% Operating income (Euro m.) Operating margin (%) Restructuring charges (Euro m. Operating income excl. restructuring charges (Euro m.) Operating margin excl. restructuring charges (%) Income before taxes (IBT) (Euro m.) IBT excl. restructuring charges (Euro m.) Net income (Euro m.) 11.0 160 1757 28% 36 2% -32 68 4% 31 63 12 Q1 2011 8.1 141 1145 33% 19 2% 19 2% 15 15 11 Q2 2011 7.6 156 1193 31% -37 -3% -37 -3% -42 -42 -50
Ericsson Mobile Communications High degree of automation, high technology level developed externally, rigid flow layout Condensed layout and complex flows
Location, size, focus Amount, acquisition time, type Amount, degree, relations
Low volume flexibility Low degree of vertical integration, both upstream and downstream, problems with sourcing
Quality management
Unstable processes, low quality yield, 100 % testing several times in the process Mix with a large degree of low skilled personnel, 2-3 days of training of short-term hired personnel, technology managed by external personnel Hierarchical, centralized Centralized planning, complex
Human resources
Suggestion
Process technology improvement Out sourcing problem solution Product accessories should be available User friendly OS Quality improvement Decrease Product price Develop Human resource
February 16, 2012, Tokyo, Japan - Sony Corporation (Sony) announced that the transaction to acquire (Ericsson) 50% stake in Sony Ericsson Mobile Communications AB (Sony Ericsson) has been completed as of February 15, 2012.
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