Wednesday, November 6, 2013

Sony Struggles to Stay In the Game

              The reporting of the celebrating mood by Hidekazu Miyahara was not wise. This is because the profit that had just been realized by Sony was for the past three months prior to June. This was unwise since Sony still has debt issue that it is trying to come out from and is still in a bad state financially. This is in regard to its electronics sales that were waning with time. The restructuring of the Sony Company was perhaps wrongly calculated and ill planned. This is only because the laying off of its core employee is not a well executed restructuring formula. The change should have remained in the managerial top position like the appointment of Kazuo Hirai.
The making of the profit last year from asset sales was probably what any business economist will term as wavering. This is because the profit should have been realized from the sale of electronic or from operations conducted by the Sony Company. Mr. Kazuo Hirai plan is to turn the unprofitable TV business around. That is well planned; and taking the fact it has been unprofitable, over one decade it needs immense restructuring. This is only because Howard Stringer, who was Hirai’s predecessor, also promised much that never happened.
Shiro Kambe, who is Sony’s vice president, is right that Sony needs to make severe harsh decision on the category of its good. This is in changing its target market or in its electronic portfolio. The Sony Company has a revenue problem, but it is a good thing that its managers have realized that there is something amiss. Daniel Loeb is right on the issue of poor management that is happening in the different platform of the Sony Company.

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