Business Case Studies, Innovation and New Product Development Case Study, Sharp Corporation: Sustaining Leadership through the Aquos LCD TV

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Case Title:

Sharp Corporation: Sustaining Leadership through the Aquos LCD TV

Publication Year : 2005

Authors: Shahida Kathawala

Industry: Engineering, Electrical and Electronics

Region:Global

Case Code: IPD0046B

Teaching Note: Not Available

Structured Assignment: Not Available

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Abstract:
Since the launch of its Aquos brand in 2001, Sharp had maintained its leadership position in the Liquid Crystal Display (LCD) TV market. The company’s leadership was a result of early investment in the LCD technology and manufacturing processes, development of the Aquos brand and concerted efforts in the sales and marketing and constant introduction of new models. However, with the demand for the LCD TVs estimated to reach 50 million units worth $47 billion in 2007, competition was getting intense. Companies like Sony and Samsung were setting up new manufacturing facilities along with launching new brands while second tier manufacturers were under cutting prices. As a result, Sharp’s market share had declined from 50% in 2003 to 35% in 2005. The challenge for Sharp was to sustain its leadership position and maintain its operating margins with increasing competition in the LCD TV market.

Pedagogical Objectives:

  • The strategy of the company to make LCD its core technology; its pros and cons
  • The steps taken for the development of the Aquos brand
  • The future plan of action adopted by the company
  • Steps taken by Sharp to address its competitors.

Keywords : Sharp Corporation; Tokuji Hayakawa; Aquos; LCD TV; CRT TV; PDP TV; Japan China; Sony; Samsung; LG; Philips; Fujitsu; Matsushita; Innovation Management Case Study; Hitachi

Contents:

  • Introduction
  • From Ever Sharp Pencils to LCD Panels
  • Creating the one-of-a-kind AQUOS
  • Challenges Ahead

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