Ansoff and the Boston Matrix can’t help Kodak

I love this article in The Independent which analyses the strategic issues facing Kodak - once the dominant brand in the photography market. Lots of useful examples in the article illustrating how Kodak has been unsuccessful in making the transition from the old analogue world (photo film which needs processing) into the digital world.

The Kodak example is a great one to use to illustrate the strategic choices and analysis that can be discussed using Ansoff and Boston as a decision-making framework. Porters Five Forces can be used here too to assess the nature of competition now in the digital imagery market. As one of the analysts is quoted in the article:

“Very few companies make that transition. The strategy has been to milk the old business for cash and reinvest in new businesses, but it is the new businesses that I have a problem with. The market for consumer digital cameras and inkjet printers is just so competitive.

Kodak’s journey is from being a dominant market leader into an also-ran in the many digital markets in which it has tried to compete. Ideal essay material for A2 students!