What can be Learnt from the downfall of Kodak?
The 5 Lessons to Learn from Kodak’s Demise
- drink too much of your own Koolaid.
- don’t anticipate what the customer needs.
- have blinders on when it comes to the competition.
- stop paying attention to how technology and your market are changing.
- forget that you can become a commodity (see #1 & #3)
Do you think Nokia and Kodak are lack of strategies that is why they are almost lost in the market?
Nokia’s reluctance to switch from a focus on hardware to one on software left it eating the dust of other companies. Similarly, Kodak made the monumental blunder of clinging to analog cameras instead of moving quickly to digital — A side note: Kodak invented the first digital camera.
Why did Nokia and Kodak fail?
It is very evident in the case studies of Nokia and Kodak. Both these companies sold products which are highly durable, quality, etc. regardless of these attributes, these giants failed miserably only because of the ignorance of customer needs.
How did Nokia become successful?
Nokia established successful its competitive advantage through its highly valued products, services and innovations. According to Grant (1996) is the competitive advantage based on strategic capabilities is more sustainable for a company than merely positioning (Porter, 1992).
What is the major lesson you can take away from the last Kodak moment?
The trials and tribulations of Kodak are hardly anything new. W. Edwards Deming, said more than half a century ago “It is not enough to do your best; you must know what to do, and then do your best.” Or to paraphrase you may be good at doing things right, but if you are not doing the right thing, you will fail.
Why Kodak failed and what entrepreneurs can learn?
Kodak created a digital camera, invested in the technology, and even understood that photos would be shared online. Where they failed was in realizing that online photo sharing was the new business, not just a way to expand the printing business.
What happened to Kodak Can you relate the downfall of Kodak to myopia?
Unfortunately, consumers don’t seem excited to pay more for their printers and Kodak is headed for its sixth annual loss in seven years. Kodak fell prey to Marketing Myopia by not understanding what their customers were really buying and not knowing what business the company was actually in.
Did Nokia fail to innovate?
Initially, Nokia overlooked technical advancements to avoid the risks associated with bringing innovation in phones. Another reason for Nokia’s failure was the ill-timed deal with Microsoft. The company sold itself to Microsoft at a time when the software behemoth was fraught with losses.
What lessons can we learn from Nokia and Kodak?
Both Nokia and Kodak (the latter, to a far greater degree) demonstrate the importance of pivoting and adapting to market needs. During the speech where it was revealed that its handset business had been acquired by Microsoft, the then CEO of Nokia, Stephen Elop, ended with a line that moved a lot of folks.
Why did Kodak go out of business?
In 2001 Kodak held the No. 2 spot in U.S. digital camera sales behind number one Sony, but Kodak lost $60 USD on every camera sold. The film business, where Kodak had enjoyed high profit margins, fell 18\% in 2005. The combination of these two factors resulted in disappointing profits overall. [17]
Did Nokia do anything wrong?
During the speech where it was revealed that its handset business had been acquired by Microsoft, the then CEO of Nokia, Stephen Elop, ended with a line that moved a lot of folks. “We didn’t do anything wrong, but somehow, we lost.”, he quipped and many people agreed.
Why did Kodak fail in digital imaging?
With due respect to Dr Shih’s perspective having joined in ’97, it was the years leading up to that, when Kodak squandered what could have been a dominant position in digital imaging and possibly online social media, due to lack of vision of what was clear to the engineers.