Kodak is a technology company focused on Imaging. Most of us already know Kodak as the company which was famous for its polaroid camera. However, since the market adoption of digital cameras by the likes of Sony and others, Kodak has taken a back seat in the imaging market. Still, its high end cameras are pretty popular for imaging.
Here is the SWOT analysis of Kodak
- Renowned brand: Kodak is one of the most trusted & renowned brand in the camera industry since its inception. Eastman Kodak is a technology company focused on imaging.
- Broad product portfolio: It has offerings ranging from personal use to commercial use to industrial use spread across the different industries & that’s what makes Kodak so strong for different industries.
- Technological advancement: It’s been always known for its technological breakthrough from image sensing technology to digital imaging and they are continuously working on the future technology. They have been busy perfecting their digital product offering to maintain their competitiveness in the market.
- Socially responsible company: Kodak is environmentally and socially conscious. Kodak also contributes to the reduction of greenhouse gases and emissions. Over the years, their efforts have been recognized and awarded by many environmental organizations and agencies. In March of 2004, they were recently named “Energy Star Partner of the Year” by the Environmental Protection Agency. In addition, Kodak contributes to numerous communities and social organizations.
Weaknesses in the SWOT analysis of Kodak
- Virtual Store: Although there are lots of e-commerce sites which deals in the products of this industry but Kodak had not implemented & has not integrated their site to make their products available online in their own virtual platform.
- Lack in focus: Due to its slow transmission from analog to digital, Optical & imaging technology has suffered huge loss in terms of decreasing market share. Also Kodak was suffering from Marketing myopia in their Consumer inkjet market which they realized lately in 2012 but till then it was too late which resulted into huge loss.
Opportunities in the SWOT analysis of Kodak
- Technology adaptation: Shift in the technology & easy transmission to the platforms which will turnaround the company is essential which they realized and are now coming up with their own smartphones with fantastic imaging technology.
- Changing lifestyle: With the advent of mobile telephony globally it’s now becoming needy for the majority of population to have a smartphone. While the main stream advanced optical imaging technology is becoming commercial, for personal use people are shifting to mobile phones which are handy & light.
- Expanding their product lines: Although it has broad product category but they need to be present in mobile telephony extensively because that’s the industry that will be the biggest competitor of the digital imaging industry.
- Focusing on developing markets: Focusing in emerging markets will revamp the company’s current financial position.
- Strategic Alliances: Although Kodak have already had several alliances across different industries since its inception but they need to integrate their operations & outsource their system & processes in order to control cost & improve their profitability. Speedis also required in cutting cycle times in manufacturing and product development.
Threats in the SWOT analysis of Kodak
- Competition: Intense competition from global & national players is the major threat to the existence of Kodak. Their market share has declined gradually over the years due to industry rivalry, Price wars, Negative branding due to Apple’s patent case & unstable management.
- Substitute products: With the advent of technology & acceptance of mobile technology people are becoming more comfortable with mobiles with good camera quality phones & they find it handy to have a smartphone with good camera quality then having some extra device to capture the moments.
- Buyers power: Due to little or no significant switching cost companies are finding it hard to retain their customers while in case of Kodak this switching is high due to low acceptability of their products, aggressive branding by its competitors.
Also read – SWOT analysis of All brands