NEC2011

Abstract

In 1899, the Nippon Electric Company, Ltd. (NEC), began life as the first Japanese joint venture with foreign capital, starting with import sales of American-made telephones. Since then, it has grown and expanded in tandem with the Japanese economy over the past century, with communications, computers and semiconductors as the three pillars of its business. In 1977 it led the world in pioneering the concept of “Computers and Communications” (C&C). In the 1990s it grew to become one of Japan’s leading companies. However, having reached its zenith in the year 2000, with 100 years of history behind it, the company has experienced a continuous slump in its performance over the past 10 years. The company actively applies various strategies in order to recover from its slump and set itself on a trajectory of regrowth. This case examines the complex businesses that NEC manages, and reviews a series of events that have transpired since 2000. This case also discusses NEC’s products and the relationship between them and related players such as the company’s vendors, its extensive clientele, and the latest users. As the leading figure in this case study, NEC looks back on its past history, considering the potential of various markets, management strategies, and marketing strategies in light of the modern electronics and ICT industrial environments.

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