CONTENT
1.0 INTRODUCTION
2.0 PROCEDURE
3.0 FINDINGS 3.1 Sony’s resources, competencies and capabilities. 3.2 Why Sony is growth successful in the competitive consumer electronics industry. 3.3 As a non-typical Japanese enterprise, comment on the role played by Sony’s corporate cultural. 3.4 Sony’s background from 1987 to 2003. 3.5 Outline Sony’s strategies in including internationalisation and diversification. 3.6 Use Ansoff Matrix to evaluate Sony’s strategies. 3.7 Why was internationalization so important? 3.8 Sony’s strategy changes involved to be evolutionary.
4.0 CONCLUSION
5.0 REFENERCES
1.0 INTRUDUTION
Sony was founded in 1946. One of Sony’s founders Akio Morita deems that “made in Japan” from contemptuous sentence become a compliment one, Sony contributed a lot. The purpose of my report is to analyse Sony’s resources, competencies and capabilities to explain its success, and evaluate Sony’s strategies including internationalization and diversification from 1987 to 2003.

2.0 PROCEDURE
Material was collected from of Sony case study, media websites, economy magazines and books.

3.0 FINDINGS
3.1 Sony’s resources, competencies and capabilities.
Sony’s resources have different sections. The first of all, Sony’s leader is excellence who founded this corporation. Masura Ibuka and Akil Morita are outstanding founders of Sony. They make a great contribution to Sony including solve the problems of Sony’s growth in the future and development. In addition, Sony was also hired non-Japanese manager such as Michael Schulhof who from CBS records in 1974. In 2000, Sony was a company employing 170,000 workers who come around the world. They have many factories, and these factories distributed all around the world. From 1985 to 1995 Sony opened about 15 factories in some Asian countries, for example, Malaysia, India and Thailand. And in the early of 1990’s Sony has more than 600 subsidiaries, with about 70 industry factories in all major European and some Asia countries, such as China, the USA as well. Meanwhile, Sony has some recently and high efficiency machinery. About the financial resource, there is some data performance that Sony’s financial resources are strong. And the last resource is intellectual resource, it mainly performance its patents, brands and goodwill. Moreover Sony's competencies and capabilities mainly performance: its innovation, with a strong R & D team, high quality products, and it willing to try new things which other enterprises do not want to try, it can draw lessons after the mistake, willing to international and develop new product areas, global business process management.
3.2 Why Sony is growth successful in the competitive consumer electronics industry.
Firstly, Sony's founder and other workers have to fulfill their duties which is an important reason behind the Sony has achievements. Secondly, Sony is a dare to explore atypical Japanese business enterprise. Meanwhile, they produce high-tech high-quality product, they have a lot of resources, and they know how to make full use of these resources. They rational allocation of corporate resources, Sony's internationalization is very open, which makes it have a good international market. International cooperation for Sony's some infrastructure ahead of other companies in the same industry, Sony itself has a market will be more secure. Diversification allows more extensive areas covered by Sony. All these reasons make Sony growth successful in the competitive consumer electronics industry.
3.3 As a non-typical Japanese enterprise, comment on the role played by Sony’s corporate cultural.
Typical of Japanese companies do not attach importance to internationalization, there is no good international market environment so their geographical scope of the market is very limited, and English ability of these traditional Japanese enterprise’s manager and staffs are really limited, so they do not like to use the non-Japanese managers and staff. Sony atypical of a business, there are data show that 73% of sales was outside Japan. Sony Corporation is willing to international and willing to face new challenges. So Sony has more opportunities and newer products and more international market. Sony is the courage to break up traditional, it can do something that others company afraid to do, and Sony make “made in Japan” into a compliment from contemptuous words, a representative of Japan's sentence. So that people have a new understanding and perception of Japanese products, which should be attributed to Sony Corporation.
3.4 Sony’s background from 1987 to 2003.
The economic background is so significant to an enterprise just like Sony. There are two sections about Japan’s successful economic. Firstly, from 1980 to 1990 it is lower at 2% per year, but still comparatively high growth of 4% to 5% per year occurred. In addition, the Japanese yen appreciated from 260 yen to the dollar in 1985 to 145:1 dollar by 1987, and it rose to105:1 in 1995. The successful economic is very helpful to Japanese enterprises just like Sony to purchase other corporations and develop itself.

3.5 Outline Sony’s strategies in including internationalisation and diversification.
The most important thing is explain what is internationalisation and diversification. In economics, internationalisation is the process of increasing involvement of enterprise in international markets. And diversification is a corporate strategy to increase market penetration. There are four points about Sony’s strategies for internationalisation. In the early 1990’s Sony had more than 600 subsidiaries, with 70 industry plants in all major European and East Asian countries, as well as the USA, meanwhile between 1985 to 1995 Sony opened 15 factories across South and East Asia. And Sony has 73% of sales were outside Japan for 1992, and in 1993, Samuel Humes in his study of multinational management wrote that Sony is the most westernised Japanese companies, for example, lots of managers come from western countries and the most famous one is Michael Schulhof. There are four sections about Sony’s strategies for diversification. In 1987 Sony purchase CBS, and in 1989 purchase of Columbia Pictures. In 1995 it made an accounting charge of 265 billion yen ($US 2.9 billion) to write-off goodwill in Columbia. In addition, the first PlayStation computer games console was launched in December 1994. In the mid 1990’s Sony was redefining itself as an electronic to entertainment group. In November 1995, Sony announced a new strategic partnership with America Company to design and develop new products. In 1997 the first VAIO products: a laptop and a desktop mini-tower were launched. From1987 to 2003, Sony has been exploring in the diversification and internationalisation.
3.6 Use Ansoff Matrix to evaluate Sony’s strategies.
Ansoff Matrix is a strategic planning tool that provides a framework to help executives, senior managers, and marketers devise strategies for future growth. There are four sections in this method, existing market and products is market penetration, new market and existing products is market development, new products and existing market is product development, and new products and market is diversification. Sony’s traditional electronic business, color TV system and walkman are belong to market penetration, its new product, playstation and VAIO products are belong to product development, some overseas market and its 70% of sales were outside Japan, and open 15 factories in Asia, it has more than 600 subsidiaries and 70 industry factories in European, China and America as well are belong to market development. Sony’s diversification is mainly performance its non-electronics business and its entertainment business. Diversification of products has a certain risk, because it has to meet two conditions: new products and new markets. Sony's diversification has fully proved the existence of this risk. Sony in the development of the entertainment industry's successful case, there are also cases of failure. But the risk is inevitable.

3.7 Why was internationalisation so important?
Firstly, Sony aimed to operate in all markets around the world, to make as many potential consumers as possible. Secondly, the company wants to reorganize processes of production in such a way so that they would not be limited to the constraints of the nation state. In such a case, especially concern was how the effectiveness and international competitiveness of Japanese enterprises were constrained by the value of the Japanese Yen. This means that goods produced in Japan were more costly that exported and in competition with those in other countries. To give chase these aims, Sony adopted a strategy of internationalization that involved moving their manufacturing and marketing operations to different locations around the world and setting up 'local' operations in different area around the world. Sony was vigorous in its international expansion in 1980s-1990s, the company chose to expand into similar markets, such as US and Europe. Internationalization makes Sony Continue seeking diverse JVs with industry leading companies e.g., Sony Ericsson. Meanwhile, internationalisation make Sony have more market, more opportunities, and more strength of management system.

3.8 Sony’s strategy changes involved to be evolutionary.
Sony's strategy change is a slow process of development in 1987-2003, during this period, it acquired other companies to develop the entertainment business, it has acquired CBS in 1987, and purchase Columbia Pictures in 1989, and in 1999 it made an accounting charge to write-off goodwill in Columbia .These businesses include film business music business and gaming business. Of course, these businesses have successful case and failure case. But regardless of success or failure, they were to some extent expanding a new product. In 1997, the first VAIO products were launched, it means Sony move back. In April 1999, Sony announced a major restructuring in which the 10 sections composing the electronics business were reorganized into three sections. I think that in 1987 and 2003, Sony bold attempt by diversification and internationalization Sony gradually discover, this is the only way a business development process.

4.0 CONCLUSION
Two of Sony’s founders are very excellence, Sony under their leadership grew up quickly, at the beginning of the company there are just 20 employees, and it grow to more than170,000 employees in 2000, and later Sony also hired non-Japanese managers and employees, the company's management is very strong. Sony has a lot of factories, and these factories are distributed all around the world, they have some modern technology and some high efficient machine, the products capacity is high as well. In 1980s-1990s, Sony opened more factories in some Asian countries, and it had more subsidiaries and plants in European, Asia counties and USA. All these data support that Sony has strong recourse including human resources, physical resources, financial resources, and intellectual resources. These resources help Sony’s development. Sony has a strong resource of management, there are different marketing methods which easy to make buyer accept, Sony love innovation, and there are some differences between its production of goods and other companies’, they like to try new things which others afraid to try, they willing internationalization, they have higher customer satisfaction, and they are good at change its mistakes, they have high-quality products. Sony’s employees and managers are very dedicated. Therefore, Sony’s resources, capabilities and competencies help itself successfully in the competitive consumer electronics industry. As an atypical Japanese company, Sony unlike other Japanese companies, Sony cosmopolitan attitude positive attitude, willing to do business in different regions, employment of non-Japanese employees and managers, focusing on the international market connect, and the most important thing is they are not afraid English. So Sony is not entirely following Japanese culture and Sony’s managers willing to internationalization. In summary, Sony's international cooperation for some infrastructure ahead of other companies in the same industry this is why Sony has grown successfully in the competitive consumer electronics industry. Unlike other typical Japanese companies Sony makes it have more opportunities and more market. Sony Corporation is a model of innovation; it is the courage to break with traditional, do something that others company afraid to do, make “made in Japan” into a compliment from contemptuous words, a representative of Japan's sentence. Sony get people to change the impression of Japanese products, from this side, Sony's contribution cannot be discounted, in which it has played a very big role, plays a very important role at the time. So at that time, Sony was having a great business representative.
Because of Japan’s economic success, from 1987 to 2003, Sony's strategies, including internationalisation and diversification of development is very fast. First of all, the definition of internationalisation and diversification, in economics, internationalisation is the process of increasing involvement of enterprise in international markets, and diversification is a corporate strategy to increase market penetration. Sony's international performance two aspects, one of Sony in the early 1990s established a number of subsidiaries in major Europe, Asia and the United States, meanwhile it still in the whole of Asia to open about 15 factories, there is a data show that in 1992, when most of Japan sales in Japan are not local. On the other hand, Sony was the most Western-style Japanese companies, which is mainly reflected in its management has a lot of people are non-Japanese. Because Sony's most Western-style, which is atypical of Japanese business, so it has more opportunities and more market than other typical enterprises, Sony moving their manufacturing and marketing operations to different locations around the world and setting up 'local' operations in different area around the world. Thus Sony to manage these subsidiaries and factories more convenient, it can better achieve its business process-oriented management, which makes it more powerful management system. In Ansoff Matrix which is a strategic planning tool that provides a framework to help executives, senior managers, and marketers devise strategies for future growth. New products and new market called diversification. 1987 Sony bought CBS and Columbia Pictures. Sony began to develop some new business, including movies, music games and other entertainment services. In fact, movies and game business achieved good results. However, like the PlayStation game business reason we can achieve such results are based on superior technology, processor power, and very successful marketing, data suggest that it probably has more than half of the global market, was contributing 10% of Sony’s total revenues, and nearly a half of its profits. In the mid-nineties Sony was redefine itself as an electronics to entertainment group. Sony's diversification has some challenges, if done well, it will take benefit a lot, such as PlayStation, but might encountered some troubles like the music business. And the strategy changes involved to be evolutionary, whether internationalisation or diversification, Sony's development is a gradual process. It is to consolidate its local market while vigorously developing overseas markets, products have been fixed after their original market to acquire other companies to develop new products, although the development of these new products has made some good achievements and some products unsatisfactory. Later Sony cooperation with US companies back R & D VAIO products. In the end of 1990s, Sony announced reorganized its business from 10 groups into 3 groups. All of above are explained Sony's development is a gradually process, it has been exploring in the diversification and internationalisation of this road from 1987-2003. Sony discover in the course of the whole development of error, correct mistakes, to learn valuable lessons from mistakes, and after reflection, and it can adjust development of the direction and strategic in the first time. This is a very worthwhile place to learn. Sony's internationalization and diversification it brings a certain amount of profits, expand its market, enhance its competitiveness in the same industry.

5.0 REFERENCES
Why firms pursue internationalisation strategies. (n.d.).
Retrieved November 30, 2015, from http://www.ukessays.com/essays/economics/why-firms-pursue-internationalisation-strategies-economics-essay.php Managing the multinational: Samuel Humes, Prentice Hall (International) (1993), (n.d.). Retrieved December 1, 2015, from http://www.researchgate.net/publication/256280445_Managing_the_multinational_Samuel_Humes_Prentice_Hall_(International)_(1993)_406_pp._19.95

Definition of Internationalisation (n.d.). Retrieved December 1, 2015, from https://en.wikipedia.org/wiki/Internationalization

Definition of diversification
(n.d.). Retrieved December 1, 2015, from https://en.wikipedia.org/wiki/Diversification_(finance)

Ibrahim, S. (1987, June 22). Akio Morita (with Edwin M. Reingold and Mitsuko Shimonura). Made in Japan.(Book Notes)(Brief article)(Book review). Pakistan Development Review.