Eastman Kodak Company: Funtime Film - SPARCS
Eastman Kodak Company: Funtime Film - SPARCS
Eastman Kodak Company: Funtime Film - SPARCS
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TO: George Fisher, chief executive officer, <strong>Eastman</strong> <strong>Kodak</strong> <strong>Company</strong><br />
FROM: Dong-ock Kim, Min-geuk Kim, Keehyung Kim, Yohan Jo, Huang Qiuling,<br />
Dorjsuren Bayarmaa<br />
RE: <strong>Eastman</strong> <strong>Kodak</strong> <strong>Company</strong>: <strong>Funtime</strong> <strong>Film</strong><br />
DATE: April 10, 2007<br />
First of all, we’ve analyzed about <strong>Kodak</strong>’s circumstances and problems. Next,<br />
we will recommend a strategy for <strong>Kodak</strong>. From surveys, people started to think films as<br />
commodities, but buyers often select films depend on price only. Even though pretty<br />
high percent of films are sold by private label, <strong>Kodak</strong> can’t sell film on a private label<br />
basis because of 1921 consent decree still in force.<br />
According to SWOT analysis [Exhibit 1], BCG matrix [Exhibit 2] and Porter’s<br />
5 forces [Exhibit 3], we tried to understand the circumstances of <strong>Kodak</strong>. From these<br />
analyses, we’ve found that <strong>Kodak</strong> is in trouble now because of shrinking of market<br />
share and low sales growth rate. Therefore, we thought that <strong>Kodak</strong> should use the<br />
strength of their overwhelming market share and high gross margin compared to other<br />
companies to break through this hardship.<br />
After that, we analyzed the reason of decreasing market share. First of all,<br />
'Price' is relatively higher than other products and their quality is not very outstanding.<br />
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