Samsung is Now What Sony Once Was

The New York Times published Samsung is Now what Sony Once Was in the business Day Section On November 10, 2006. The authors, James Brooke and Saul Hansell, report that Samsung Electronics, A once struggling Korean consumer electronics brand, has now twice the market capitalization of Sony. Sony, since 1997, has been the leading household name brand for consumer electronics in all areas and has now fallen to third or even fourth place in many of the products it even helped to pioneer. Today, Sony is finding itself in fierce competition with not only Samsung but also with brands such as Apple with its new "iPod" as well as Canon and Kodak for digital cameras, another product which Sony helped to pioneer back in 1988. This quick and drastic change in market capitalization and stock prices demonstrates the highly competitive world of consumer electronics. Sony's stock price that used to be able to thrive off of consistent best selling products has dropped nearly 75 percent wince March of 2000. samsung's greatest advantage is its huge capacity to build raw components like memory chips and display apnels. this investment has allowed Samsung to dramatically decrease its production costs in turn allowing them to pass those savings onto their customers.