Sony Corporation (Sony) is one of the leading electronics manufacturing and distribution Companies in the world. The company deals with the design, development, manufacture, and sale of products such as communication products, televisions, video and audio products among other electronic components (Stadtler, 2011). Apart for this entity, it also offers insurance services through its subsidiaries in Japan. Other business operations include advertising agency and network services.
The company’s operations fall under six reportable segments. They include networked Products and Services; Music; Consumer Products and Devices; Pictures; Financial Services and others. It also operates its subsidiaries across 200 countries inEurope, North America as well as Asia. The Company’s headquarters is in Tokyo, Japan. Its major industry competitors include Dell, Creative technologies, LG, Samsung, Fujifilm Holdings, Philips, Pioneer Corporations, Hitachi, and Casio Computers (Stadtler, 2011).
How Internal and External factors may affect the firm
The internal factors are those whose origin and control are within the capacity of the firm. They include strengths and weaknesses. The strengths within Sony shall be material assets that will boost its performance if well administered. This firm may achieve strategic objectives through utilization of its strengths.
On the other hand, external factors entail those influences that emanate from outside the firm. They come as opportunities and threats. Threats are harmful hence; they will impair on Sony’s growth objectives. Such threats may come in form of strong brands, imitation, and changing customer needs.
On the other hand, opportunities are external factors that the business can utilize in achieving its objectives. Threats also fall under the external fundamentals that could damage performance of Sony Corporation (Jalan, 2004). Analysis of the company using this tool would be beneficial in diagnosing the external and internal environments in which Sony operates. As such, the information can steer growth and progress within the limits of its goals and aims.
It relates the firm’s performance ratings relative to a laid down aggregate score. The tool employs a factor approach is its analysis of the external opportunities as well as threats in which numerous factors relevant to the firm are established. Allocation of weights depends on the magnitude of their influence on the firm’s performance in order to develop their relative weights (Stadtler, 2011). The weights may take ratio or percentage form.
1Maintenance of leadership in prices0.1030.3
2Creativity and Innovation0.2530.75
3Strong IT base in the industry0.140.4
4Wide Network and global Presence0.140.4
5Strategic Outsourcing and marketing0.140.4
6The capacity to develop Quality products0.1530.45
3Strong and competitive brand in the industry0.0540.2
4Changing consumer needs0.0530.15