The purpose of this paper is to explain the history, business approaches, management, and marketing of Eastman Kodak and Fujifilm. In addition to, compares and contrasts both corporations approach to management and assesses other management differences that affected the success of Kodak and Fuji film. In addition to, identifies both company’s approach to ethics and social responsibility and the influences of the approach utilized.
Also to, recapitulates the extent of management both companies innovate to change market conditions, and provide recommendations regarding a company’s decision-making process to increase arket conditions. Finally, recommend three ways any company should build in flexibility to back up its decision-making process in order to adapt to changing market conditions. Kodak was introduced to the world by George Eastman. With the slogan “you press the button, we do the rest,” George Eastman put the first simple camera into the hands of the consumers in 1888 (Kodak, 2013).
Kodak is an American multinational imaging and photographic equipment, materials and services company headquartered in Rochester, New York. Kodak controlled the market with new products and processes to make taking pictures easier. Kodak continued to reinvent themselves through images. In fact, today’s Kodak is known not only for photography, but also for images used in a variety of leisure, commercial, entertainment and scientific applications (Kodak, 2013). Although, Kodak appeared to be successful, but like other companies they also struggled due to an increasingly digital world.
Kodak camera changed the digital market and became a target market for individuals to seize unforgettable moments (Kodak, 2011). In an effort to compete with a competitive economy the company tried many strategies and cost-cutting efforts in ecent years; however the company ran short of cash. Kodak’s core business model changed throughout decades from success to bankruptcy. Fujifilm was established in 1934 with the aim of producing photographic films. Over the decades they have diversified into new markets and built a strong presence around the globe.
Fujifilm was established based on a government plan to establish a domestic photographic film manufacturing industry (Fujifilm, 2013). The new company inherited the split-off photographic film operations of Dainippon Celluloid Company Limited (Fujifilm, 2013). Fujifilm core business is domestic and international rades, for example, Fujifilm produces and sales products such as cameras, toner cartridge, shield protectors, microfilm, and motion picture film, to name a few (Fujifilm, 2013).
The first photography company to compete against Kodak was Fujifilm. Fujifilm undercut their prices to compete with Kodak One comparison between the two corporations approach towards management is that both Kodak and Fujifilm included program management teams which provided multi-functional support and the teams consist of representatives from Quality Assurance, Quality Control, R&D, Engineering and Process Science teams to ensure hat the process in manufacturing is not delayed and customers receive his or her product on time (Fujifilm, 2013).
For instance, Kodak and Fujifilm operational departments monitor production activities, costs, and assets associated with equipment maintenance, facilities, operations, quality assurance, and environmental protection (WSJ 2010). According to Kodak, in order to embrace innovation by increasing the use of technology to combine images and information while producing the potential to change how consumers and businesses communicate. Kodak’s CEO, Antonio Perez (previously from Hewlett Packard) was elected in 2005 (Kodak 2013).
He is known more for his charisma and lavish spending than his financial decision- making. Under Perez, Kodak has lost money in all but two years. In addition, his lack of leadership and managerial skills caused an internal struggle between employees who favored traditional imaging and those who pressed for going digital. Rather than continuing in the direction of either of these products, Perez pushed for the development of printers and took aggressive actions toward Kodak’s patent litigations to generate revenue (WSJ 2010).