Sharp Corporation, a Japanese Company
Sharp, for the first time since 1956 (as cited by Derek Lehmberg, 2011), has been faced with major financial losses. To date the company has continued to sustain its competitive advantage by making modifications to the business model and the products they offer. As technological advancements continue to occur and the competitive environment becomes more challenging, Sharp must develop a new approach to maintaining its competitive advantage in the international electronics market.
As a result of the recent financial losses that Sharp is currently faced with, the company must determine what strategy to take going forward in terms of the business’s long-standing operating model, and what approach will be most effective in the current competitive business environment; whether to continue with the current model or add production facilities overseas.
Sharp’s recent losses have created a sense of urgency among management, investors, and employees; which has raised some concern relating to determining what the best strategic approach is for the future. Mikio Katayama, President at Sharp, is the primary decision maker and had an unusual background in terms of his experience, which included a degree in engineering. As noted by Derek Lehmberg (2011), in addition to obtaining his engineering degree, he was also able to develop and implement a broad range of strategic visions. He joined Sharp after obtaining his degree and began working in the LCD business. He climbed the corporate latter at Sharp, promoting through various positions, ultimately becoming President of the company in April of 2007 (as cited by Derek Lehmberg, 2011). What Mikio Katayama appeared less good at was determining the best approach to expanding the Sharp business beyond production in Japan, and how ultimately to stay ahead of the competition.
Sharp has been a very successful company over the years and has been...