Sony Vietnam: Building Quality, Building Confidence.

Sony Vietnam:

Building Quality, Building Confidence

Integrative Management Case Studies 1

I.INTRODUCTION

I.1.TERMS OF REFERENCE

As a member of an consultative group (team members are Boros Annamaria, Csecserits Bea, Dinnyes istvan, Ferenczne Bozoki Marta, Kacser Viola, Major Laszlo (Dr.), Mittweg Gabor, Nagy Csaba, Szabone Durucz Judit (Dr.), Varga Endre, Varga Janos, Zrubka Zsombor) (hereafter: ?Group?) I was asked to organize an analysis ? in cooperation with other members of the Group ? on mingled aspects of Sony Vietnam (hereafter: ?Sovinam? or ?Company?). I am detailing my analysis, concerns and recommendations on various aspects of the Company.

The objective of this report is to provide assistance to the focal point on operational level aspects of its business operation by calling its attention to various fields on which imminent look needed to be taken, and also, by suggesting rough strategic alternatives to follow in the future in order to append profitability and stabilize the company?s market position.

I.2.SOURCE OF INFORMATION

Secondary data, provided by NIHON University, was used for the purpose of the study. The Group also used some studies found on the Internet.

I.3.



INTRODUCTION TO SOVINAM

Sony has entered the Vietnamese market by establishing a production plant on 1st November 1994, after the spotlight socialist country began to open its markets to some extents according to the communistic government?s Doi Moi policy. The purpose of establishing Sony production zeal in Vietnam was to compete in the domestic market. As century% foreign ownership was not allowed, Sony formed a crossroads venture (Sovinam) with VTB, a state owned company, where Sony owns 70% of the self-colored while VTB has 30% of it. Sovinam expected a market proceeds of 20%.

Placing Mr. Yokota to lead the company in 1998, the management has cognize that there are several problems affecting the company?s effectiveness, such as lack...

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