For years, Kodak was the most well-known camera company, especially due to their CVP to create and produce easy to use, high quality cameras. In addition, the company was continually innovating and creating new technologies (a Kodak employee created the first digital camera in 1975). But even as the popularity of digital cameras was on the rise, Kodak had trouble parting ways with its film roots and was opposed to really buying into the fact that digital cameras were the way of the future.
In 2011, Kodak had a market share of 11.6% and shipped 3.6 million units. These numbers were down from 2008 when the company commanded 16.6% of the market and shipped 6.7 million units. Recently, the only reason that Kodak continued to make cameras was to maintain shelf space so that retailers would also display the company's printers.
The question Kodak really has to ask itself is: how did it come to this? Based on the article, it seems as though Kodak was out of touch with what customers really wanted. And instead of trying to address the real problem, a lack of willingness to follow the trends in the market, Kodak executives decided to rely upon its patent portfolios to prop up profits. And even when the company was going more digital, their strongest product was digital-photo-frames rather than just regular cameras.
In my opinion, what got Kodak in trouble was that it moved away from its CVP. Instead of improving and creating new easy to use cameras, Kodak thought that its customers would appreciate the integrity of film photography. So really, Kodak didn't know what it really was selling. While Kodak thought that it was selling Kodachrome, people were really buying the new and easy to use cameras from the name brand leader in camera technology. And now that Kodak is forced to get rid of its camera business, that means mamma took the Kodachrome and its nice bright colors away.
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