Digital photography revolution in China and India
Kodak stopped marketing film cameras in the developed countries since the advent of the digital cameras. The film-based cameras are now being developed and marketed for countries like China and India that still has great market potential for this segment. With many people in these countries unable to spend much on digital cameras, the traditional camera still holds value to the consumers. Digital cameras in these countries are labeled as luxury items and only a few high tech savvy people with high disposable income own one.
In light of these facts Kodak sees a potential market for its traditional film cameras in these countries. But with growing economic progress and increasing wealth among the people this may be short lived. It may take a few years before the film cameras are declared outdated and redundant in these countries too. The emergence and growth of IT companies and rising awareness to new trends the consumers will very soon shift to higher-end technological products. Shift to digital printing systems
Companies like Sony, Hewlett Packard have entered the photo industry and revolutionized the market dynamics with digital cameras and printers. Kodak had to undergo rapid transformation from providing consumer based photo products to digital printing and medical imaging systems that required a shift to business to business marketing strategy. This move was strategic for survival in a growing market sphere with changing needs and consumer expectations. The move to digital printing and medical imaging system redefined the marketing moves of the company.
Kodak can now face the challenges in terms of technology and market forces that the industry poses. The major risk associated with this strategic decision is the competitive edge that the other companies present to Kodak. Hewlett Packard is well equipped with latest technological upgrades as compared to Kodak. The company cannot afford to go slow or sluggish in its approach to new technology and innovation. It may be left far behind in this race for superior technology products.
