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Strategy, Context, and the Decline of Sony

The strategy address recently delivered by the corporation’s new CEO, Kazuo Hirai, earned press coverage that verged on mocking, with The Wall Street Journal noting that the brand’s “once-sterling cachet has deteriorated,” and The New York Times going further, placing Sony in “a fight for its life,” and accusing it of “an astonishing lack of ideas.” Both observations are correct, but they only hint at the underlying question: why is the strategy that once served Sony so well now failing so badly?

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