kodak brief review :: essays research papers

NoteThe examination will be in two parts. Part 1 will turn back a set of multiple-choice questionsdesigned to check your understanding of all of the lectures material. Part 2 will concern this casestudy, with the examination paper including a set of questions about it.The case study describes a situation, which you need to research further and resolve. In preparationfor the examination, you should analyse this case study and relate it to the lectures so that you arriveat the examination with an understanding of how you might proceed.CASE STUDYKodak, based in Rochester, New York, where it pioneered the use of photographic film 100 eld ago, has been facing weak profits and job cuts as it struggles to turn round itsbusiness.Wednesday, 21 June, 2000, 1126 GMT 1226 UKKodak looks to digital redemption by BBC parole Onlines Steve SchifferesThe worlds most famous film company is hoping that the digital film revolution will come to its rescue.Dan shaft, Kodaks chief executive, told BBC Ne ws Online that he was " truly frustrated" by the low share price forhis company which is trading at around 10 times earnings despite five accommodate of record profits."There is no question that digital imaging is going to expand the use of photography and make it more userfriendly," he explained to News Online during a whirlwind tour of Europe."Whats holding us back is some scepticism that the digital revolution is yet to be finalised," he said.Fresh investmentMr Carp told the BBC that the company would invest two-thirds of its $900m research and development budget indigital technologies. It was also spending over $1bn in buying back its own shares in order to boost their price.Analysts say the share buybacks are needed to boost the companys earnings per share which have been dilutedby employees cashing in some 20m investment company options last year.Mr Carp said he was not worried by the threat of a takeover. However, he admitted that the marketplace for digitalimaging technology was belike to be more crowded than traditional photography, with companies like Sony vyingwith Kodak, Fuji, and Olympus.Kodak had been slow to introduce full digital technology, fearing that it would hurt sales of existing photographicproducts. But it at present aims for 45% of its sales, and 27% of profits, to come from digital sales by 2005.Mr Carp said that the introduction of broadband and other high-speed internet connections would speed the relieveof digital technology. There were more than 4m digital cameras sold in the USA, and 1m in Europe, last year, and