SONy product line of steeple analysis with all

Sony product line

1. Project Report 1
Beyond Borders
Understanding International Business – Theories to Practice
(With Special Reference to Sony Group Corporation)
Submitted To:
Dr. Prabu Christopher B
Submitted By:
August, 2025

2. Acknowledgement
We would like to express our sincere gratitude to Dr.
Prabu Christopher. B, for guidance and support
throughout this project. We are also thankful to our
institution for providing the resources and
environment to carry out this work. Lastly, we thank
each other as team members for our cooperation and
collective effort.

3. Declaration
We, the undersigned, hereby declare that this project
report titled “Understanding International Business –
Theories to Practice (With Special Reference to Sony
Corporation Group)” is an original work carried out
by our group. Each member has contributed
significantly as follows:
Member 1 (Name & Roll No)
Member 2 (Name & Roll No.) –
Member 3 (Name & Roll No.)
Member 4 (Name & Roll No.)
We further declare that this project has not been
submitted elsewhere for any academic purpose.
(Signatures of all Group Members)

4. INTRODUCTION
Sony Corporation stands as one of the world's most influential multinational
conglomerates, embodying a remarkable journey from a small electronics shop in post-war
Japan to a global entertainment and technology powerhouse with operations spanning over
100 countries. Founded in 1946 in Tokyo by Masaru Ibuka and Akio Morita as Tokyo Tsushin
Kogyo K.K., the company transformed itself into Sony Corporation in 1958 and embarked on
an ambitious international expansion that would fundamentally reshape multiple industries.
Today, Sony generates approximately $86.45 billion in annual revenue, making it one of the
100 largest companies worldwide, with its diverse portfolio encompassing consumer
electronics, gaming, entertainment content, imaging solutions, and financial services.
The company's international business model is uniquely characterized by its ability to
seamlessly integrate hardware innovation with content creation, leveraging synergies across
its Game & Network Services division (31.16 billion USD), Music division (12.29 billion USD),
Pictures division (10.05 billion USD), and advanced technology segments. Sony's global
workforce of approximately 113,000 employees operates across strategically positioned
regional markets, with the United States generating 3.75 trillion yen in sales, Europe
contributing 2.63 trillion yen, China accounting for 1 trillion yen, and the Asia-Pacific region
adding 1.66 trillion yen to the company's international revenue streams. This geographical
diversification reflects Sony's sophisticated localization strategy, where only 25.6% of sales
and operating revenue originate from Japan, demonstrating the company's successful
transformation into a truly global enterprise that adapts its products, services, and business
approaches to meet diverse cultural and economic environments across international
markets.
The corporation's international business strength is further evidenced by its market-
leading positions in gaming with PlayStation commanding 45% of the global console market
share, its dominance in image sensors with 35-40% market share, and its position as a leader
in music publishing with nearly 25% market share globally. Sony's commitment to global
innovation is reinforced by its substantial investment of $4.97 billion in research and
development, enabling the company to maintain technological leadership while fostering
approximately 960 expatriate employees working across international assignments to
facilitate knowledge transfer and business expansion. This comprehensive international
business framework positions Sony as a prime example of successful globalization, where
strategic diversification, technological innovation, and cultural adaptation converge to create
sustainable competitive advantages in the dynamic global marketplace.

5. SONY: HISTORY AND EVOLUTION
Founding and Early Beginnings
In May 1946, the former naval lieutenant Masaru Ibuka set up a radio-repair shop in a bomb-
damaged department store in Nihonbashi, Tokyo. He partnered with physicist Akio Morita (whose
family provided financing), and together they established Tokyo Tsūshin Kōgyō Kabushiki Gaisha—
commonly known as TTK—with just seven employees and ¥190,000 in capital (about US $500 at the
time) (Akio Morita, Britannica; Masaru Ibuka Wiki entry). The company’s first product, the Type-G
tape recorder, launched in 1950 as Japan’s first domestically made reel-to-reel recorder (Masaru
Ibuka wiki).
Transistor Era and Rebranding
After licensing transistor technology from Bell Labs, TTK launched Japan’s and its own first
transistor radio, the TR-55, in August 1955—ushering in a new era of portable audio electronics (TR-
55 wiki). In January 1958, the company officially renamed itself Sony Corporation. The name derived
from the Latin sonus (sound) and the colloquial American term “sonny,” chosen to ensure global
appeal and ease of pronunciation (Akio Morita wiki).
Global Expansion and Market Entry
In 1960, Morita founded Sony Corporation of America, marking Sony’s first overseas
subsidiary. A year later, Sony became the first Japanese company to be listed on the New York Stock
Exchange via American Depositary Receipts, reflecting its ambition to become a global consumer
brand (Akio Morita wiki).
Trinitron and Color Television Success
Sony’s major breakthrough in television came with the Trinitron color CRT, released in
October 1968 after years of development. It set a new standard in picture quality and rapidly
captured over 40% of the global color TV market within five years (Company-Histories, Trinitron
research entry). This success helped establish Sony as a world leader in consumer electronics (Sony
early history).

6. Betamax and Consumer Video
In 1975, Sony released the Betamax home video cassette recorder (VCR), which, although
eventually losing out to VHS in the format war, positioned the company at the forefront of home
entertainment innovation (Akio Morita wiki).
Walkman Revolution
On July 1, 1979, Sony introduced the Walkman TPS-L2, the first affordable personal stereo
player, based on a simplified version of the Pressman—stripped of recording functionality and
marketed as a personal music device. Priced around US $150 (¥33,000), it exceeded expectations by
selling over 30,000 units within two months of release. By the early 1980s, Sony sold tens of millions
of units worldwide (Walkman wiki; Time Magazine retrospective).
Diversification: Music and Film
During the late 1980s, Sony dramatically expanded into media and entertainment. In
1988, it acquired CBS Records Group (later renamed Sony Music Entertainment), and in
1989, it acquired Columbia Pictures and TriStar to form Sony Pictures Entertainment. These
acquisitions helped Sony integrate hardware and “software” (content) under one corporate
umbrella (Akio Morita wiki).
PlayStation and Gaming Dominance
In December 1994, Sony released the original PlayStation gaming console in Japan
(followed by North America and Europe in 1995), after prior collaborations with Nintendo on
CD-based gaming were aborted. The PlayStation was a market success, thanks to its CD-ROM
capabilities, 3D graphics, and support from third-party developers, ultimately launching Sony
into the forefront of the global videogame industry (PlayStation wiki).

7. Restructuring and the Digital Era
Sony continued broadening its product line throughout the 2000s, including imaging
sensors, digital cameras (α and Cyber-Shot), and mobile devices (through Sony Ericsson until
2012). In 2016, Sony reorganized its gaming divisions to establish Sony Interactive
Entertainment (headquartered in California) as the operating arm for PlayStation content
and studios (SIE wiki). On April 1, 2021, Sony implemented a major corporate restructuring:
the group was renamed Sony Group Corporation, while the former Sony Electronics, Sony
Imaging Products, and Sony Mobile were merged into the redefined Sony Corporation, now
serving as one of several subsidiaries under the group umbrella (Sony Group wikipedia).
Sony in the Mobility Age: Sony Honda Mobility and Afeela
In 2022, Sony Group teamed up with Honda Motor to form Sony Honda Mobility Inc.,
a joint venture aimed at entering the automotive segment through a software-first,
entertainment-driven EV brand. The venture debuted a prototype electric vehicle known as
AFEELA at CES in January 2023; pre-orders for the production version (Afeela 1) began in
early 2025, with deliveries expected in North America by spring 2026. The car features over
40 sensors, Level 3 automated driving technology (through Qualcomm’s “digital chassis”),
integrative entertainment experiences powered by Unreal Engine graphics, as well as 360°
spatial sound and a generative-AI Personal Agent (Sony Honda Mobility wiki; Reuters on
Afeela launch).
Recent Leadership Transition
In April 2025, Sony announced that Hiroki Totoki (formerly CEO of Sony Mobile then
President) would take over as Chief Executive Officer, with Kenichiro Yoshida stepping into
the role of Executive Chairman—part of a broader leadership realignment focused on Sony’s
“creation shift” toward content and software ecosystems (Reuters, FT report on leadership
changes).

8. INDUSTRIAL OVERVIEW
Overview of the Consumer Electronics & Entertainment Industry (2025)
In 2025, the consumer electronics and entertainment industry is rapidly evolving. It’s
no longer just about selling devices or content — it’s about creating smart ecosystems and
connected user experiences. Technology companies are blending AI, cloud services, and
multimedia to engage users across various platforms.
Key segments in this industry include:
Smart TVs, audio systems, and wearables
Game consoles and cloud gaming services
Video/music streaming platforms
VR/AR equipment and immersive entertainment
AI-powered user interfaces
Digital convergence is blurring the lines between electronics, gaming, and
entertainment — making everything part of one smart ecosystem.
Industry Trends
AI Integration
Devices now come with AI that personalizes content, adjusts sound/picture, and
tracks usage behavior. It helps users get smarter recommendations — whether it’s
Netflix suggestions or PlayStation game tips.
Cloud Gaming
Gaming is shifting from discs/downloads to streaming. Xbox Cloud, Sony’s
PlayStation Plus Cloud, and GeForce Now let users play high-end games online, just like
streaming a movie.
Streaming Wars
Netflix, Disney+, Prime Video, and others are competing with global and regional
content. New players are entering, making content a key battleground.
Sustainability
Consumers and governments demand eco-friendly tech. Brands now use recycled
materials, reduce plastic, and build energy-efficient devices.
Cross-Platform Use
Today’s entertainment works across all screens. You can start a movie on your
smart TV and finish it on your phone. Games, music, and media sync seamlessly.

9. How Major Players are Competing
Microsoft (Xbox)
Investing in cloud gaming and accessibility.
Owns studios like Activision Blizzard for content control.
Game Pass allows play across devices.
Samsung
Leads in smart TVs with AI-powered displays.
Expanding its own OS (Tizen) across devices.
Building smart home networks with SmartThings.
Nintendo
Focuses on exclusive games and hybrid consoles like the Switch.
Family-friendly and offline-first approach.
Less focus on cloud gaming.

Netflix
Moving beyond shows into interactive stories and games.
Expanding with local content in Asia and Latin America.
Competing with both TV and gaming platforms.
Sony’s Current Positioning, Innovations & Market Response
Gaming (PlayStation)
PS5 remains a leader with exclusive titles and cloud gaming support.
DualSense controller offers advanced haptic feedback.
Acquired studios like Bungie for game development control.
Electronics (Bravia, Xperia)
Smart TVs with AI processors for better audio and visuals.
Premium audio (360 Reality Audio) and noise cancellation.
Xperia smartphones focus on top-tier camera systems.

10. Music & Anime
Owns Sony Music, Aniplex, and Crunchyroll.
Strong presence in anime markets globally.
Investing in virtual performers and AI-generated content.
Sustainability Goals
“Road to Zero” by 2050: zero emissions, eco-friendly packaging.
Focus on recycling, reducing plastic, and using green energy.
Global Strategy
Customizes offerings by region (e.g., local pricing, anime focus in Asia).
Uses joint ventures and subsidiaries for international reach.
Partners with local telecoms and retailers for distribution.
SONY PRODUCT LINE
Sony's product line is one of the most diverse technology portfolios in the world.
It's built on the company's expertise in imaging, audio, display, and semiconductor
technologies. This Japanese company started as a small electronics firm in 1946 and has
grown into a global giant that influences nearly every aspect of digital entertainment and
technology. What sets Sony apart is how it connects hardware innovation with content
creation. This places the company right at the crossroads of technology and entertainment.
This approach allows Sony to make products that provide great technical performance while
also improving the user experience in both consumer and professional markets.
Sony's product strategy revolves around two main categories that cater to
different market segments. Consumer products focus on individual users and families. This
includes televisions from the BRAVIA series, audio gear like the Walkman, cameras from the
Alpha and Cyber-shot lines, gaming consoles such as PlayStation, smartphones like Xperia,
and home entertainment systems. These items are designed for everyday use, highlighting
user-friendly features, attractive pricing, and broad market appeal. On the other hand,
professional products target business customers in areas like broadcasting, healthcare,
education, and corporate settings. This range includes professional cameras, medical

11. imaging tools, broadcast systems, commercial displays, audio production equipment, and
enterprise solutions that need higher durability, extended warranties, and special features
for commercial use.
Sony’s Product Lines: Overview and Breakdown
Sony organizes its vast array of offerings into six primary product lines, each
representing a distinct market segment. Below is a concise breakdown of each line and its
key subcategories:
1.Consumer Electronics
BRAVIA Televisions (LCD, OLED, 4K/8K)
Audio Equipment (headphones, wireless speakers, home theater systems)
Digital Imaging (Alpha mirrorless cameras, Cyber-shot compacts, Handycam
camcorders)
Mobile Devices (Xperia smartphones, accessories)
Wearables & Portable Audio (Walkman players, fitness bands)
2.Gaming & Network Services
PlayStation Consoles (PS4, PS5)
DualSense Controllers & Accessories
PlayStation VR & Peripheral Hardware
PlayStation Network Services (PS Plus, PS Now, digital storefront)
First-party Game Studios & Titles
3.Pictures & Entertainment
Sony Pictures Motion Pictures (Columbia Pictures, TriStar Pictures)
Television Production & Distribution (Sony Pictures Television, Sony Pictures
Networks)
Animation (Sony Pictures Animation, Crunchyroll Studios)
Sony Music Group (labels, publishing, recorded music)

12. 4.Professional Solutions
Broadcast & Production Equipment (studio cameras, switchers, monitors)
Cinema & Digital Production (cinema cameras, projectors)
Medical & Healthcare Imaging (surgical cameras, diagnostic monitors)
Pro Audio Systems (mixing consoles, microphones)
Enterprise Displays & Digital Signage
5.Semiconductors & Components
Image Sensors (Exmor CMOS sensors for cameras, smartphones)
Custom ASICs & SoCs (for gaming consoles, cameras)
Optical Disc Drives & Media
Electronic Components (capacitors, batteries)
6.Financial Services
Life & Health Insurance (Sony Life, Sony Assurance)
Banking & Credit Services (Sony Bank, credit cards)
Asset Management & Investment Products
Fintech Solutions (digital payments, online brokerage)
Each product line encompasses a range of hardware, software, and service
offerings tailored to its target customers—from individual consumers and gamers to
professional broadcasters and financial clients—underscoring Sony’s strategy of
combining cutting-edge technology with diversified business operations.
Flagship Products by Sony’s Product Line
1.Consumer Electronics: BRAVIA A90J OLED TV

13. A90J delivers stunning contrast with self-illuminating pixels and Acoustic Surface
Audio + sound that literally comes from the screen—turning your living room into a
home theater.
2.Gaming & Network Services: PlayStation 5
PS5 redefines console gaming with ultra-high-speed SSD load times, 3D Tempest
Audio, and the DualSense controller’s haptic feedback for immersive play.
3.Pictures & Entertainment: Spider-Man: No Way Home (Sony Pictures)
One of Sony Pictures’ highest-grossing releases, showcasing the studio’s strength
in blockbuster film production and global distribution.
4.Professional Solutions: VENICE Digital Cinema Camera
Sony’s VENICE offers full-frame 6K capture, versatile lens adapters, and robust
color science—trusted by top filmmakers for major motion pictures.
5.Semiconductors & Components: Exmor R Image Sensor
The back-illuminated CMOS sensor used in Alpha 1 and select Xperia devices,
delivering exceptional low-light performance and high-speed readout.
6.Financial Services: Sony Life Insurance
Japan’s leading private life insurer, providing customizable protection plans and
leveraging digital tools for customer engagement and policy management.
Each flagship exemplifies Sony’s commitment to cutting-edge technology, quality,
and user-focused design across its diverse global portfolio.
SONY Product differentiation
Sony differentiates its products through relentless technological innovation and
proprietary development. In imaging, Sony leads the global sensor market with its Exmor R

14. back-illuminated CMOS sensors and three-layer stacked architecture, delivering superior
low-light performance, high-speed shooting, and silent electronic shutters that competitors
struggle to match. In displays, Sony’s Cognitive XR–powered Mini-LED backlights and
TRIMASTER EL OLED microcavity designs achieve higher brightness, deeper blacks, and
enhanced color purity beyond conventional OLED offerings.
Beyond raw technology, Sony enforces a premium quality and design ethos across
its product lines. Rigorous quality management processes ensure reliability and longevity,
supporting a premium pricing strategy that reinforces the brand’s elite positioning without
compromising competitiveness. Sony’s products—from Bravia TVs and Alpha cameras to
Xperia smartphones and high-end audio—share a coherent design language and user
experience philosophy, fostering brand recognition and customer loyalty.
In gaming, the PlayStation ecosystem exemplifies differentiation through exclusive
content and integrated services. First-party titles such as God of War and Horizon Zero Dawn
are engineered to fully exploit console hardware, showcasing graphical fidelity and
immersive gameplay unavailable elsewhere. Sony’s deliberate exclusivity window, delaying
multi-platform releases, preserves the unique value proposition of PlayStation consoles
while eventually broadening reach.
Sony also leverages its diversified portfolio to create synergistic experiences and
enter specialized markets. Automotive and industrial sensors, like the Pregius global-shutter
and Event-Based Vision lines, cater to advanced AI and machine-vision applications with dual
raw and processed outputs. Meanwhile, Sony integrates its entertainment divisions—
PlayStation Network, Sony Music, and Sony Pictures—with hardware offerings, delivering
seamless access to gaming, music, and video content.
In conclusion, Sony’s product line thrives on a foundation of cutting-edge
proprietary technology, uncompromising quality and design, exclusive content ecosystems,
and strategic diversification. This multifaceted differentiation ensures Sony maintains a
sustainable competitive edge across consumer electronics, gaming, entertainment, and
specialized industrial markets.

15. PUSH AND PULL FACTORS
Sony faces both "push" and "pull" factors in its global operations. "Push" factors are
internal issues that drive Sony to change or expand, while "pull" factors are external
opportunities that attract or motivate them to enter new markets or innovate.
Push Factors (Internal Drivers):
Diversification Pressure:
Sony's diversification into various product lines (electronics, gaming,
entertainment, etc.) can lead to inefficiencies and challenges in focusing on specific
areas. This can push them to streamline operations, focus on core strengths, or
restructure to improve performance.
Competition:
Intense competition in the electronics and gaming industries pushes Sony to
innovate, improve product quality, and reduce costs to stay competitive.
Market Saturation:
In mature markets, Sony may face saturation, prompting them to seek growth
in emerging markets.
Changing Consumer Preferences:
Shifting consumer preferences and technological advancements push Sony to
adapt and innovate to stay relevant.
Economic Downturns:
Economic recessions can significantly impact Sony's sales and profitability,
pushing them to restructure or find new revenue streams.
Geopolitical Risks:
Increased geopolitical tensions and trade barriers can disrupt supply chains
and impact Sony's global operations, pushing them to diversify manufacturing
locations or adjust their market strategies.
Pull Factors (External Opportunities):
Emerging Market Growth:

16. Fast-growing economies in developing nations offer significant potential for Sony
to expand its market share and increase revenue.
Increasing Disposable Income:
Rising incomes in many countries create opportunities for Sony to sell more high-
end products and services.
Digitalization Trends:
The increasing dependence on digital technologies presents opportunities for
Sony to innovate in areas like smart homes, mobile devices, and online entertainment.
Technological Advancements:
Sony can leverage technological advancements in areas like artificial
intelligence, virtual reality, and cloud computing to develop new products and
services.
Joint Ventures and Partnerships:
Collaborations with other companies can provide Sony with access to new
technologies, markets, or resources.
Brand Recognition:
Sony's strong brand reputation and global presence attract consumers to its
products and services, making it easier to enter new markets and launch new
products.
Diversified Business:
Being a conglomerate with diversified business operations allows Sony to
leverage its strengths across different sectors, potentially limiting market-based risks
and improving overall stability,
PUSH AND PULL FACTORS STRATEGIES OF SONY COMPANY
A detailed explanation of Push and Pull strategies as applied to Sony, including
specific examples from their product, marketing, and distribution strategies:
Push and Pull Strategies of Sony
Push Strategy (Manufacturer to Retailer Focus)

17. Sony uses the push strategy to move its products through the distribution channel by
"pushing" them to wholesalers, retailers, or distributors.
Key Elements of Sony's Push Strategy:
1. Channel Partnerships:
oSony builds strong ties with major retailers (e.g., Best Buy, Croma, Reliance Digital).
oOffers incentives like bulk discounts and shelf display promotions.
2. Trade Promotions:
oOffers in-store marketing campaigns, demo setups, and bundled offers (TV +
Soundbar).
oSeasonal stock clearance discounts for dealers to sell quickly.
3. Retail Training Programs:
oSony trains in-store staff to promote features of high-end products like Bravia TVs or
Alpha cameras.
4. Supply Chain Efficiency:
oSony pushes a steady stream of stock to physical stores and e-commerce warehouses
using a demand forecast model.
Pull Strategy (Consumer to Retailer Focus):
Sony also invests heavily in pull strategy, aimed at creating consumer demand,
encouraging customers to "pull" the product through the channel.
Key Elements of Sony's Pull Strategy:
1. High-Impact Advertising:
oTV commercials, YouTube ads, celebrity endorsements (e.g., Sony Alpha with top
photographers).
oFocus on emotional and aspirational value (cinematic experience, pro-gaming).

18. 2. Brand Loyalty Programs:
oSony rewards systems for PlayStation Network users and MySony members.
3. Digital Engagement:
oActive on social media, running teaser campaigns, influencer collaborations
(especially during product launches).
SONY’S INTERNATIONAL APPROACHES
Sony, a global leader in technology and entertainment, has evolved its international
management approaches over time.
Initially Ethnocentric
In its early years, Sony focused mainly on the Japanese market, with decisions
centralized in Tokyo and products designed for home- country standards.
Shift to Geocentric
With globalization, intense competition, and a diverse worldwide customer base,
Sony moved towards a Geocentric approach standardizing products like Playstation and
Images sensors for Global audiences while using international talent and R&D.
Polycentric In Consumer Electronics
The only major exception is consumer electronics, where sony adapts products
and marketing strategies to match local tastes and cultural preferences, such as larger
TVs in India or compact designs in Japan.
Sony’s Product Lines Analysis based on approaches:
Gaming and Network Services
Geocentric approach, because Gaming is a truly global market. Playstation consoles,
PSN and Playstation plus have standardized features and branding worldwide (e.g., PS5 looks
the same in Japan, US, or Europe). Sony uses a worldwide talent pool for game
development, studios from Japan, US (Naughty Dog) , UK ( London studio) and others
contribute.
Example: PlayStation Plus Subscription model is the same globally, with only minor content
differences due to reginoal licencing.

19. Consumer Electronics
Polycentric approach, because consumer prefernces differ heavily by region.
oTV sizes and models vary (US prefers larger screens, Japan favors compact models).
oSmartphones (Xperia) are customized in features depending on Asian vs European
markets.
Sony adapts its marketing and product specifications to each country.
Example: BRAVIA TVs sold in India often highlight cricket-viewing features, while in Japan
they emphasize compact designs for small apartments.
Entertainment (Sony Pictures & Sony Music)
Geocentric with Polycentric Elements,because content is global but local tastes matter a lot.
oHollywood movies (Spider-Man, Jumanji) are marketed globally with a unified
identity → Geocentric.
oAnime via Crunchyroll is tailored to Japanese culture but dubbed/subtitled in 20+
languages → Polycentric within Geocentric framework.
Example: Sony Pictures produces global blockbusters, but also invests in Bollywood & local
productions in India or K-dramas in Korea for regional audiences.
Imaging & Sensing Solutions
oGeocentric approach because of the Image sensors (CMOS) are sold to global
smartphone brands like Apple, Samsung, Xiaomi. These clients expect uniform
technology & quality standards worldwide. R&D teams are international, and
product designs are standardized across markets.
oExample: The same Sony image sensor model can be found in iPhones in the US and
Xiaomi phones in China.
Automotive Solutions
oGeocentric approach, the automotive technology must meet international safety and
performance standards, so Sony develops with a global mindset.
oExample: The AFEELA EV by Sony-Honda is designed as a global car, not just for
Japan.
Financial Services

20. oEthnocentric approach, Sony Financial Services mainly operates in Japan only,
designed around Japanese laws, tax policies, and customer expectations. No major
attempt to expand globally, so it follows the home-country approach.
oExample: Sony Life Insurance products are customized to Japanese demographic and
cultural needs, not marketed internationally.
AI & Robotics
oGeocentric approach (Innovation) + Polycentric approach (Usage)
oGeocentric in innovation: Products like the Aibo robot dog are designed using global
AI expertise.
oPolycentric in application: The use cases and acceptance vary by region (Japan
embraces home robots; Western markets see them more as luxury gadgets).
oExample: Aibo has strong sales in Japan (pet companionship for elderly) but limited
acceptance in the US/Europe due to cultural differences.
Product Line Approach Reason
Gaming & Network
Services
Geocentric Global standardization of consoles & PSN
Consumer
Electronics
Polycentric
Local consumer needs (TV size, phone
specs)
Entertainment Geocentric + Polycentric
Global blockbusters + regional/localized
content
Imaging & Sensing
Solutions
Geocentric
Same sensors supplied to Apple,
Samsung, Xiaomi
Automotive
Solutions
Geocentric
Global safety standards + region-based EV
rollouts
Financial ServicesEthnocentric Japan-focused, not globalized

21. AI & Robotics Geocentric + PolycentricGlobal R&D, local acceptance & use cases
Sony’s Shift in International Approaches
In the Beginning --- Ethnocentric Approach
Reason: Sony started as a Japanese company in the 1940s–50s.
oAll major decisions were made in Tokyo HQ.
oProducts like early radios, Walkman, and TVs were designed for Japanese
standards first, then exported with little adaptation.
Example: The Walkman (1979) was a Japanese innovation exported globally with minimal
local input.
Now --- Shifting to Geocentric Approach
Reason 1: Global Customer Base
oProducts like PlayStation, image sensors, and movies serve millions of consumers
worldwide.
oNeeds are more similar now (e.g., gamers in the US and India both expect the
same PS5 experience).
Reason 2: Competition
Rivals like Samsung, Apple, and Microsoft forced Sony to adopt a global mindset to stay
competitive.
Reason 3: Diverse Talent Pool
Sony hires from global R&D hubs (e.g., US game studios, European music labels) instead of
relying only on Japan.
Reason 4: Technology Standardization
Products like sensors and consoles must meet universal tech standards, making global
uniformity efficient.

22. Example: The PS5 is designed with input from Japanese, American, and European teams and
launched worldwide at the same time.
Only Consumer Electronics --- Polycentric
Reason 1: Local Consumer Preferences
Unlike gaming or sensors, electronics are lifestyle products — tastes differ by country.
E.g., Indians prefer larger TVs for family viewing; Japanese prefer compact models due to
small homes.
Reason 2: Market-Specific Competition
Competes with local players (like Mi and OnePlus in India, LG and Samsung in Korea), so
adaptation is needed.
Reason 3: Buying Habits
Marketing messages must fit culture: Indian ads show cricket on BRAVIA; US ads highlight
Netflix streaming.
Example: Xperia phones sold in Europe may emphasize camera quality, while in Japan they
highlight compact size and waterproofing (important in Japanese lifestyle).
STEEPLE ANALYSIS OF SONY
Sony Corporation is a global leader in electronics, gaming, and entertainment. Its
diversified portfolio allows the company to reach consumers, businesses, and professionals
worldwide. This STEEPLE analysis evaluates the external factors affecting the first four
product lines of Sony.
Product Line 1: Gaming & Network Services
(PlayStation consoles, PSN, PlayStation Plus, game development)

23. Social
oGrowing global gaming population and demand for immersive experiences.
oPopularity of esports, streaming platforms, and multiplayer gaming communities.
oIncreasing social acceptance of gaming as mainstream entertainment.
Technological
oCutting-edge PlayStation consoles and cloud gaming innovations.
oVR technology integration (PS VR) and AI-driven game development.
oOnline network services for gaming subscriptions and digital downloads.
Economic
oGaming industry growth driving revenue from consoles, games, and subscriptions.
oPremium pricing strategy influences consumer purchasing behavior.
oRevenue impacted by global economic conditions and disposable income trends.
Environmental
oEnergy-efficient consoles and environmentally conscious packaging.
oPrograms for recycling old consoles and e-waste management.
Political
oTrade regulations and import/export tariffs affecting console distribution.
oRegional content regulations impacting game releases.
Legal
oIntellectual property rights for games and software.
oLicensing agreements with game developers and content providers.
Ethical
oAddressing concerns over violent game content and gaming addiction.
oFair labor practices in game development and console manufacturing.

24. Product Line 2: Consumer Electronics
(TVs – BRAVIA, audio systems, headphones, cameras – Alpha, smartphones – Xperia,
accessories)
Social
oDemand for high-quality home entertainment and smart devices.
oGrowth in content creation drives camera and audio equipment sales.
oLifestyle trends towards connected devices and smart homes.
Technological
oOLED, 4K/8K TVs, noise-canceling headphones, AI-powered cameras.
oIntegration of smart technology and connectivity across devices.
oR&D in smartphone innovation (Xperia series) and portable devices.
Economic
oCompetitive pricing versus rivals (Samsung, LG, Apple).
oSupply chain fluctuations affecting production costs.
oEconomic trends influencing consumer spending on electronics.
Environmental
oEnergy-efficient TVs, cameras, and audio systems.
oE-waste management and recycling initiatives.
oReduction of plastic and hazardous materials in packaging.
Political
oCompliance with international safety and electronic standards.
oTariffs and import-export policies impacting device availability.
Legal
oPatents protecting innovative technology.
oAdherence to consumer rights and warranty regulations.

25. Ethical
oSourcing conflict-free materials for electronics.
oCommitment to sustainable manufacturing practices.
Product Line 3: Entertainment (Sony Pictures & Sony Music)
(Movies, TV shows, anime – Crunchyroll, music labels, artist management)
Social
oGlobal demand for diverse entertainment content including movies, anime, and
music.
oStreaming platforms changing consumption patterns and audience engagement.
oCultural influence of popular artists and media content.
Technological
oAdvanced content production technologies (visual effects, animation tools).
oDigital streaming platforms for global reach.
oAI and analytics to understand audience preferences and trends.
Economic
oRevenue from box office, streaming subscriptions, and music sales.
oImpact of global economic conditions on entertainment spending.
oInvestment in original content production for competitive advantage.
Environmental
oEnergy-efficient studio operations.
oReduction of carbon footprint in film production and music tours.
Political
oContent regulations and censorship in different countries.
oLicensing laws for international distribution of movies and music.

26. Legal
oCopyrights, royalties, and intellectual property management.
oContractual agreements with artists and production teams.
Ethical
oResponsible portrayal of sensitive content in media.
oFair treatment and compensation for artists and creators.
Product Line 4: Imaging & Sensing Solutions
(Image sensors – CMOS, camera modules for smartphones, 3D sensing technology)
Social
oRising demand for high-quality smartphone cameras and imaging devices.
oIncreasing adoption of AI-driven imaging in healthcare, automotive, and consumer
electronics.
oSocial trend toward content creation (photography, vlogging, AR/VR experiences).
Technological
oAdvanced CMOS sensors for mobile devices and professional cameras.
o3D sensing and LiDAR technologies for AR/VR and automotive applications.
oResearch and development in AI-assisted image processing and sensor
miniaturization.
Economic
oHigh demand for imaging solutions drives revenue in smartphones and professional
cameras.
oCompetition with companies like Canon, Nikon, Samsung, and Apple affecting pricing
and market share.
oEconomic factors influencing consumer spending on high-end cameras and devices.
Environmental

27. oEco-friendly manufacturing practices for sensors and modules.
oReduction of hazardous materials in imaging devices.
oEfficient energy consumption in production facilities.
Political
oTrade policies impacting import/export of sensor components.
oCompliance with regional safety and technological standards.
Legal
oPatents and intellectual property protection for imaging technologies.
oLicensing agreements with OEMs and device manufacturers.
Ethical
oEnsuring privacy and data security in imaging and sensing applications.
oEthical sourcing of materials and responsible manufacturing.
CONCLUSION
Sony’s global success comes from blending a wide range of businesses—gaming,
music and movies, consumer electronics, and cutting-edge technologies—into a cohesive
whole. With annual revenues topping $86 billion, it leads the world in consoles and camera
sensors while bringing together PlayStation games, Sony Music, and Bravia TVs to create
richer experiences for users. Its “Creative Entertainment Vision” drives growth by combining
digital content and interactive entertainment, bolstered by smart moves like acquiring
Crunchyroll and teaming up with major sports leagues. Even as rivals like Apple and Samsung
push hard, Sony pours nearly $5 billion a year into R&D, developing breakthrough displays,
sensors, and AI features. By staying innovative, fostering synergy across its brands, and
adapting to local tastes around the world, Sony keeps delighting customers and staying
ahead in an ever-changing global marketplace.