Sony Corporation

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I. Market Structure

Sony is a multinational conglomerate corporation and its main headquarters is located in Tokyo, Japan. The market structure that this corporation belongs to is an oligopoly type market. An oligopoly is a market form in which a market is dominated by a few number of producers and sellers e.g. Sony, Microsoft and Nintendo. With very few sellers, the company or companies have the ability to be aware and monitor each other. This means that these companies are interdependent with each other because Sony’s profit, truth be told, does depend on what the other corporations do; to a certain degree. Characteristics of an oligopoly are: few numbers of firms, high barriers of entry, product differentiation, interdependence and profits in the long-run.
In addition to an oligopoly, Sony is in a competition with Microsoft and Nintendo with their entertainment systems; the PS4, Xbox One and the Wii U respectively. A profit within Sony Corporation is the first aspect to comprehend. Its profits are measured with the total revenue (TR) collected from its products and services provided. These services include all of the following: consumer electronics, semiconductors, video games, media/entertainment and computer hardware and telecom equipment. Concerning competition, the level of competition that Sony Corporation partakes in is extremely high and deserving of our observance.
As mentioned in the latter paragraph, the level of competition for Sony and its rivals is high. Any level of impact is well known by the media which portrays its stock, revenue, prices, and profit in accordance with the average total cost (ATC) of a product. Although Sony is a corporation belonging to an oligopoly, the different sectors of the company ha...

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...nd Conclusion
To conclude this critique of Sony, the term essay project was divided into six distinct segments to organize and explain every aspect of the requirement thoroughly. As I have shown, Sony belongs to a market structure branded as an Oligopoly. There are a small number of competitors in each of its small sectors whether it is from its gaming department or its photography department among others. Sony’s history spawns at the wake of the Second World War. Throughout its history, Sony has both invented and cultivated products that have been brought to the consumers. The products were mentioned in the essay early on in accordance to the history section. Currently Sony is experiencing a positive streak, especially in its gaming department as the PlayStation 4 has been recently released. Concerning Sony as a whole, the corporation is doing exceptional as well.

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