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Adam Seyburn
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Sony Case Study
3-18. Microeconomic factors that affected Sony include Sony not changing their mission and company strategies to better fit the way the technology world was evolving, major suppliers being destroyed by natural disasters and fires, losing out in the smartphone race and video game console race to other competitors due to being blinded by their own arrogance, a CEO stepping down, and a giant hacking that breached the privacy of many Sony users that led to a complete shutdown of the PSN and riots from unhappy members of the public.
3-19. Macroeconomic factors that affected Sony include changing the demographic they marketed their video games to, going from kids to a more encompassing family entertainment unit. They failed to price it well, leading to 300 dollars lost per unit sold and on their projected comeback year estimating a 2.2 billion dollar profit, they ended up turning about 3.5 million in the red. Natural disasters in Japan wiped out a lot of their inventory. Developments in technology also limited Sony’s ability to retain market share in various technological field because they were consistently too late to the game.
3-20. Sony will be challenged in finding a new way to reach customers without repeating models that are already in use. For example, the CD market they were prominent in is now virtually nonexistent, so to compete in the music market, they will have to come up with what will most likely be another streaming model. Seeing as there is little product differentiation let alone profitable models in this industry already, it would be difficult for Sony to compete. This holds true for the other products the make as well, as at this point, the publics brand loyalty to Apple is extremely strong and many people will not need another tech company making the things they are already getting from Apple and

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