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Monday, November 12, 2012

Why Japanese electronics giant collective get the blues


Consumer Electronics is a highly competitive industry. But it is striking that, in the past few years, the Japanese electronics giant had a flourishing collective away the blues. If you see from the data, Panasonic, Sharp and Sony, the Japanese electronics "Three Musketeers" of the fiscal year, the total loss of about 37 trillion yen (U.S. $ 46 billion), equivalent to the sum of the profits for the past 18 years.

This may be only the beginning of the long night. Even though Sony is in massive layoffs reorganized, desire this year will not be a huge loss, but Matsushita loss of ten billion U.S. dollars, is a foregone conclusion, its stock price recently plummeted this end. Most people lamented Sharp, Looking back, this year is the birth centenary of Sharp face bleak prospects, this century-old enterprise have to admit, the ability to continue to "survive", is facing a "substantial doubt" .

Japanese electronics giant attributed the huge losses unlucky, especially the appreciation of the yen. Indeed, Japan's major earthquake, the international economy is poor, Thailand floods, the overseas market sales of the three companies significant atrophy; appreciation of the yen, but also give exports as an important source of profit for the giants of the head with a stick.

But if careful study, these although the reasons for Japan's electronics industry gloom and doom, but by no means is the fundamental reason. Even in the yen weak, because even in previously appreciation of the yen during the Big Three are still in the international market Kaijiangtuotu, and introduced the transistor radio, Walkman, CD and video recorders and other electronic new; Sony still losses.

In the end what? It can be said that the survival of the Japanese electronics giant crisis, the fundamental reason is that the strategic misjudgments.

Sharp LCD TV is its housekeeping products, but when the market is obviously saturated the occasion, the Sharp still stick to the original market, spending billions of dollars to expand production, so that when the After market wind shifted, caught up in the quagmire of century-old enterprise. Sharp, Sony also exists, Kazuo Hirai, president of Sony once said, TV is inherited Sony DNA commodity ", these words are nice, but the face of fierce market competition, especially the strong rise of the South Korean enterprises If you can not find the new competitive products, the inevitable defeat in the competition. As an opposite example, Hitachi decisively stop the production of television sets turned to equipment and information and communication systems and other infrastructure to be done here, and fiscal 2011 earnings of about $ 4.3 billion, an increase of 45% over the previous year.

Strategic mistakes at the same time, it is the weakness of the Japanese electronics giant innovation. Once upon a time, the Japanese are proud of the manufacture of mobile phones in Japan, but with the advent of a series of innovative products in Jobs, iPhone, iPad rapidly popular in Japan, which is equal to a slap in the face of the Japanese electronics giant. That the industry laments, in the era of audio and video to create a the numerous revolutionary electronic products in Japan fully sink in the digital age.

Sink behind a cause can not be ignored is the Japanese company's system. Daniel Kalman won the Nobel Prize in Economics to criticism that, in all countries, Japanese companies often gamblers lost money like gambling, win back lost money before, will not leave the gaming tables. Such a result, very few companies truly invincible position.

From this perspective, innovation mechanism for dwarfs. "Wall Street Journal" 8 "70" in the United States now top 21 electronics companies; 10 years ago, six of which size is too small, not yet among the Forbes 500. But U.S. companies innovative mechanisms to promote the market survival of the fittest the outstanding enterprises burst out innovative, eventually making it to the beach-goers in the market. Which include the market value of the world's first Apple, a major feature of the Apple innovation to meet consumer demand, but to create a new demand to meet the needs of consumers.

In Japan, however, more than 50 years, the top few have been several electronics companies. Enterprise may be evergreen, but more will as time goes on, innovative force in the shrinking.

That year, the Japanese electronics giant long drive into the U.S. market, and the final demise of the U.S. TV industry completely, but the market is not always the winner. Decades after the Apple comeback, Samsung [microblogging] have sprung up everywhere, and electronics enterprises in China is also a strong rise, which shows that the world's electronic pattern is undergoing great changes, stick to the same lack of innovation is bound to be eliminated by the market. Of course, this description from the other side, Apple even now flourishing, not necessarily will become a century enterprise. The tide of the market for the past 30 years ago, in China, in the world, the number of giant demise, and how many of the new leader was born. "Seeing him from the high-rise, seeing his dinner guests, seeing his building collapsed, metabolism is the eternal law, unless you can keep alive often new.

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