Corporate Strategy Case Study

Canon in 2006: At crossroads?

OR

Abstract:
In 2006, Canon is the world’s largest selling digital camera company. Fujio Mitarai (Mitarai) Canon’s CEO since 1997 has single-handedly transformed the unwieldy debt-laden company into one of Japan’s most profitable companies. However, Mitarai's success has brought him new challenges. It needs to maintain its lead in existing product categories and look for new areas of growth. To address the latter, Mitarai has made heavy investment in a new technology called surface-conduction electron-emitter display, or SED, which he believes will enable Canon to carve a place for itself in the flat-screen-TV market. To maintain market leadership in existing product categories, Canon is focusing on enhancing each business’s product development capabilities and product price competitiveness.

Pedagogical Objectives:

• The case traces the growth of Canon, discusses its innovations and success strategy. It outlines why the deal is important to all the players, and what is at stake for them
• The case also discusses the Canon’s efforts to maintain market leadership in existing product categories, through enhancement of product development capabilities and product price competitiveness. It also discusses Canon’s efforts to carve a place for itself in the flat-screen-TV market

Keywords : Canon; Fujio Mitarai; digital camera; excellent global corporation; three regional headquarter system; SED technology; Corporate Strategies Case Study; photocopiers; TV; Japan; optics; strategy; call system of production; Joint Logistics System