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Racidal Change Kodak

Radical change in Kodak

This essay is supposed to examine the change context and the strategic changes implemented by Mr. Antonio Perez, the present CEO of the Kodak company. There is also the examination of the strategic changes pursued by him: leadership and especially the importance of the new CEO, communication process, reorganization of the company, launching new products and partnerships. The appropriateness of actions taken by Mr Perez is based on the literature covering the strategic change management. The second last part of the essay covers suggestions for future actions, which should be taken by the new CEO. Kodak has faced a deeply transformation, which is called radical change. According to Balogun (2001) changes are never the same as the environment is changing all the time.
Kodak is one of the oldest companies on the photography market. It was established more than 100 years ago. This was the iconic, American organization, always on the position of the leader. Its cameras and films have become know all over the world, what is more, it has been known for its innovations. Kodak’s strength was it brand – one of the most recognisable and resources, that enabled creating new technologies. However over the time, the situation started to change for Kodak, as it has underestimated the changes on the market, what caused late commercialising digital technologies, although it was investing in it. The core business of Kodak- the film business, started to decline and some areas of the business started to be less profitable and filled with many competitors, especially cheap ones from Asia. The prices of the digital cameras were falling. This situation is similar to Sony, because after being for the long time a leader suddenly the company has found itself in totally different landscape. All of these resulted in very sharp fall of its share price to the level of those from the 1980’s. When Kodak was staying in one point, the other companies were all...