Kodak and Fujifilm Essay Example | Topics and Well Written Essays - 1500 words - 4

Kodak and Fuji painting - Essay ExampleSince 1976, Kodak captured large market of camera and film in US (85% and 90% respectively). Photofinishing processes of Kodak soon became industry standard in terms of quality. It always had rivalrous advantage over its competitors due to the operation and scope of its business. This assisted Kodak for having sustainable growth for around 90 years. However, from 1980s and 1990s, Kodak began to encounter problems in terms of revenues, marker appoint, technological explosion, and competitors (Schreiner, 2012). As Kodak strives for survival, its biggest competitor Fujifilm enjoys the renaissance of innovation. For regulation and Nikon, innovations with sensors, Fujifilm emerges as a genuine threat to Kodak. In 2010, Fujifilm maintained its place in Fortune world(prenominal) 500. Even though, the company is now striving to keep up with its current position by diversifying into untested similar businesses. Fujifilm was established in Japan in 1 934. It has make its place as a attraction in videotape, motion picture photography, floppy disk, and audio tape industries. It is also involved in manufacturing camcorders, dummy up cameras, chemicals and paper, photofinishing equipment, information and imaging products for medical and office use markets. The company introduced dry plates, motion picture film, and photographic paper. While Kodak goes bankrupt on 13 January 2012, its long time competitor Fujifilm is flourishing fairly well. ... It was so hierarchical that low-level employees needed to wait for top-management in both situation. To get over this inflexible hierarchy, he made himself accessible, and visible and encouraged employees to take more responsibility. Leadership of Kodak has also been inconsistent. The strategy of the company changes with every new chief executive. The biggest management flaw at Kodak was their monopolistic attitude. On the other hand, Fujifilm was efficient in anticipating change and takin g quick decisions. Fujifilm took advantage from the weaknesses of Kodak and snatched the market share in a short track of time (Kotter, 2012). Impact of Management Differences The execution strategy of Fujifilm is what gave it an edge over Kodak. In 1980s, when Fujifilm observed the omens of digital doom it established a three-step strategy. i. To earn as much revenues from the film business as feasible ii. To prepare for converting to digital iii. To establish new business lines (The Economist, 2012) Fujifilm looked for new venues for its specialization in film for instance, underdeveloped optical films for flat panel screens such as LCD. Since 2000, it invested approximately $4 billion in the business. It remunerative off very soon. In a short span of time, Fujifilm began to enjoy a market share of 100% in this area. CEO of Kodak, Fisher decided that its specialization lay in imaging. Therefore, he glowering out digital cameras and offered it customer with a feature of postin g and sharing pictures online. This production could have made Kodak more creative and nimble but he failed to outsource. Yet, Kodak managed to build a monumental business from digital camera but it persisted for only few years before the phones having camera wrecked it