2 COMPANY VISION AND BUSINESS PHILOSOPHY 4.
CHAPTER 2 IMPLICATION ON MEI"S BUSINESS POLICY 7.
ENVIRONMENTAL ANALYSIS OF SEM AND ELECTRONIC INDUSTRY 7.
2.1.1. PEST Analysis of Europe 7.
2.1.2 Yips Globalization Drivers 8.
2.2. IMPLICATION OF FORMING SEM ON MEI"S BUSINESS POLICY 9.
CHAPTER 3 RECOMMENDATIONS 11.
3.1 VISION 35 11.
3.2 ACTION SUGGESTED 11.
3.2.1 Organizational Structure 11.
3.2.2 Product Innovation 12.
3.2.3 Cost Reduction 13.
3.2.4 Price Uniform 14.
3.2.5 European Brand Image 14.
Matsushita Electrical Industrial Co. Ltd. (MEI) was one of the leading electronics firms in the world, well known for its Panasonic, National, Technics and Quasar brands. The company had grown rapidly in the 1980s; however, in the early 1990s, a combination of factors led to a dip in revenues and profits. Moreover, that period witnessed a significant change of the business environment of companies operating in Europe: the formation of Single European Market (SEM). Facing such problems, MEI launched Vision 35 in the framework of a three year Revitalization Plan to recommend better ways for MEI's approach to European sales and marketing.
The objectives of this assignment are to discuss the strategic implications of the formation of the SEM on the business policy of MEI and to suggest necessary actions that should have been implemented under Vision 35 to improve the performance of MEI.
In Chapter 1, an overview of Matsushita is provided, followed by its business policy before 1994. Chapter 2 is a critical analysis of SEM, the new business environment for MEI in Europe, and its implications to MEI business policy. With Chapter 3, readers will have brief information about the Vision 35 and actions are suggested for the team of Vision 35.
Chapter 1 Matsushita Electronic Ltd. .
1.1 Company overview.
Matsushita Electric was founded in 1918, when 23-years-old Konosuke Matsushita, the founder started a small workshop with only two employees to make and market an improved attachment plug, which he designed.