Pros and Cons for Sony's Playstation Network

Increased security

Pros:

• Provides the opportunity to analyze and evaluate Sony’s entire company’s portfolio, surrounding the security of its capabilities in each business department

• Allows to utilize encryption security tactics to protect confidential information (customers)

• Adequately restores trust among current PlayStation network (PSN) users through security protocol standards (Sony emphasizes to the public that they have increased security). Which ultimately shows the public that Sony is a proactive company in terms of customer issues being #1 priority

Cons:

• It will pose a steep cost in evaluating and changing the company’s entire security measures, which affects the entire business units’ profit generating capacity

• Due to the complexity of the new and proposed security measures, it would be difficult to train and inform all necessary employees of how it works in a timely manner

The above mentioned pros and cons provide extensive knowledge and background of the case.

Key Success Factors:

• Word of mouth marketing

• The flagshirts

• Distribution strategies

• Control of their niche market through market exclusivity

• 40% of product lines come from Hong Kong

Key Risks:

• Potential loss of 40% pertaining to their production line

• Potential revenue losses

• Risk of repayment as the Local distributors