Strategic Management: Sony - Change of CEO

FORTUNE APRIL 4, 2005 "Inside the Shakeup at Sony,": Sony replaces Nobuyuki Idei, its departing CEO with Sir Howard Stringer in 22 June 2005. The public previously had the impression that either Kunitake Ando (Idei's previous nomination) or Ken Kutaragi (Mr. Norio Ohga's favourite) would take over this position. Though Norio Ohga has given his title in 1999 to Nobuyuki Idei, he stills hold the title of Chairman and interferes with daily operation and influenced directors' board decision. Ohga was first jealous of Idei's success when Idei gloating launched the PlayStation severely wounding Nintendo and all but exterminating Sega. However, things took an unexpected turn when Sony business plunged facing fierce competitors such as Apple, Samsung. Idei announced his successor as Sir Howard Stringer. The board has consensus that six other insiders, including Ando (President and COO), Idei (CEO) and Kutaragi (PlayStation mastermind) resigned after Howard takes over the helm and Howard would be given authority to nominate his own people. In March 2005, Nobuyuki Idei named non-Japanese and non-engineer Sir Howard Stringer as the next chairman and CEO of the media giant. Previously responsible for U.S. …