Kodak and the Digital Revolution
Kodak, one of the most successful imaging technology companies, was founded in 1880 by George Eastman. Kodak was a market leader of camera film’s production. The company enjoyed the position for decades in the era of traditional photography.
Company Strategy
Mr. Eastman had three policies that he believed were the key components of the success of the company. Following are the strategies that the company followed to remain a market leader in the industry;
• Mass Production at Low Cost
The company ensured that it produces in large quantity so as to gain benefit of economies of scale and reduce costs.
It allowed the company to save cost and reduce unit costs which was very useful in a competitive market as it allows the management the flexibility over price without affecting gross profit margin.
• Extensive Advertising
It was company policy to do extreme advertising as they regarded marketing as essential factor in success. The company was able to start innovative marketing campaign at the beginning of its creation where it targeted the customer needs.
With use of its marketing campaigns, the company was able to secure enough customer loyalty that the customers were not trying new products even though these were of better quality.
• Customer Focus
Customer was considered as most valuable for the organization and all production, marketing was done around it. The company made its motto to prepare products that were customer friendly. Also with