From ADage.com by Al Ries
Sony's Tiny profits
In the last 10 years, Sony Corp. had revenues of
$519.2 billion. But net profits after taxes were only
$4.0 billion. That's eight-tenths of 1% of sales. It's
hard paying off your bank loans, not to mention
paying dividends to investors, with that kind of return.
Of course, this is Japan, so who pays off its bank
loans, anyway? In 1999, the Bank of Japan cut
its benchmark short-term rate effectively to zero.
Like most Japanese companies, Sony is heavily
line extended. Sony puts its brand name on TV sets,
videocassette recorders, digital cameras, personal
computers, cellphones, semiconductors, camcorders,
DVD players, MP3 players, stereos, broadcast
video equipment, batteries and a host of other products.
http://www.adage.com/news.cms?newsId=37800
So is Sony making any profit from Keitai?
If not with the other partner (Ericsson) in deep
troubles is the Sony-Ericsson partnership
already doomed?
Looks like Sony will invest a lot on PSP...
What do you think?
________________________________________________________
giovanni bertani mobile vas consultant (giovanni.bertani@exsense.com)
exsense verona italy (phone:+39-045-8006624 fax: +39-045-801991)
Received on Sat May 17 20:04:22 2003