Panasonic Corporation

Panasonic Corporation
パナソニック株式会社

Type	Public (NYSE: PC TYO: 6752)
Industry	Consumer electronics
Founded	Osaka, Japan (March 13, 1918 (1918-03-13))
Founder(s)	Konosuke Matsushita
Headquarters	Kadoma, Osaka, Japan
Area served	Worldwide
Key people	Kunio Nakamura (Chairman) Masayuki Matsushita (Vice Chairman) Fumio Ohtsubo (President)
Products	See List of Panasonic Corporation products AVC networks Home appliances Components and devices digital cameras others
Operating income	Yen-181,643 million / US$-1.92 billion (2009)[1]
Net income	Yen-419,992 million / US$-4.43 billion (2009)[1]
Total assets	$64.830 billion (2009)
Employees	292,250 (Consolidated, as of March 31, 2009)
Subsidiaries	Sanyo
Website	http://www.panasonic.net

Panasonic Corporation (パナソニック株式会社, Panasonikku Kabushiki-gaisha^?) (TYO: 6752 NYSE: PC), formerly known as Matsushita Electric Industrial Co., Ltd. (松下電器産業株式会社, Matsushita Denki Sangyō Kabushiki-gaisha^?), is a Japanese multinational corporation headquartered in Kadoma, Osaka, Japan. Its main business is in electronics manufacturing and it produces products under a variety of names including Panasonic and Technics.

Since its founding in 1918, it has grown to become the largest Japanese electronics producer. In addition to electronics, Panasonic offers non-electronic products and services such as home renovation services. Panasonic was ranked the 89th-largest company in the world in 2009 by the Forbes Global 2000 and is among the Worldwide Top 20 Semiconductor Sales Leaders.^[2]

Name

For 90 years since establishment, the name of the company was always topped with "松下" ("Matsushita"). The company's name before 1 October 2008 had been "Matsushita Electric Industrial Co., Ltd.", used since 1935.^[3][4]

In 1927, the company founder adopted a brand name "National" (ナショナル, National^?) for a new lamp product, knowing "national" meant "of or relating to a people, a nation."^[5] In 1955, the company labeled its export audio speakers and lamps "PanaSonic", which was the first time it used its "Panasonic" brand name^[6]. The company began to use a brand name "Technics" in 1965^[6]. The use of multiple brands lasted for some decades^[6].

In May 2003, the company put "Panasonic" as its global brand, and set its global brand slogan, "Panasonic ideas for life."^[7] The company began to unify its brands to "Panasonic" and, by March 2004 replaced "National" for products and outdoor signboards, except for those in Japan^[7].

On January 10, 2008, the company announced that it would change its name to "Panasonic Corporation" (effective on October 1, 2008) and phase out the brand "National" in Japan, replacing it with the global brand "Panasonic" (by March 2010)^[8]. The name change was approved at a shareholders' meeting on June 26, 2008^[9] after consultation with the Matsushita family.

History

Panasonic was founded in 1918 by Konosuke Matsushita first selling duplex lamp sockets. In 1927, it produced a bicycle lamp, the first product it marketed under the brand name National. It operated factories in Japan and other parts of Asia through the end of World War II, producing electrical components and appliances such as light fixtures, motors, and electric irons.

After World War II, Panasonic regrouped and began to supply the post war boom in Japan with radios and appliances, as well as bicycles. Matsushita's brother-in-law, Toshio Iue founded Sanyo as a subcontractor for components after WWII. Sanyo grew to become a competitor to Panasonic.

Panasonic used to own Universal Studios, then known as the Music Corporation of America, since acquiring the company in 1990 but sold it to Seagram in 1995. Universal Studios is now a unit of NBC Universal.

National/Panasonic bicycles

The production of high-quality road and touring bicycles and bicycle components composed a little-known but substantial portion of the appliance division of the National/Panasonic corporation from 1945 through the end of the 1980s. As a child, Konosuke Matsushita, founder of National/Panasonic, had been adopted into a family who owned a small bicycle shop, and was passionate about bicycles and cycling.^[10]

National and Panasonic bicycles were sold both in Japan and overseas to various retailers, who sometimes rebadged the bikes with private labels. Despite competition from other Japanese manufacturers, Matsushita enacted a corporate policy forbidding low quality in Panasonic bicycles no matter what the profit margins. When Schwinn was forced by economics to outsource bicycles built overseas, they chose the Panasonic World series, a successful model in production from 1972. As the only vendor to meet Schwinn's rigid manufacturing and production standards, Panasonic built several models for Schwinn, such as the World Traveller and the World Voyager. During the 1970s and 1980s, Panasonic produced a full range of lugged steel frame bicycles, produced in modern factories complete with robotic welding/brazing and advanced paint application equipment. Panasonic's bicycle tires had higher thread counts and thicker treads than their competition, and established a reputation for uniformity and high quality.^[11]

From 1985 on, steady increases in the value of the Japanese yen and lower cost competition from Taiwan made Panasonic bicycles less competitive in the U.S. and other markets. Panasonic began to sell rebadged bikes made in Taiwan under their name. By 1989, Panasonic division managers were reporting that bicycles brought less revenue (and less profit) per square foot of warehouse than any other product in the corporate division. Following the death of Konosuke Matsushita, Panasonic abandoned the US bicycle market at the end of September, 1989.^[11]

Electronics

In 1961, Konosuke Matsushita traveled to the United States and met with American dealers. Panasonic began producing television sets for the U.S. market under the Panasonic brand name, and expanded the use of the brand to Europe in 1979.^[12]

The company used the National trademark outside of North America during the 1950s through the 1970s. (The trademark could not be used probably due to discriminatory application of trademark laws where brands like General Motors were registrable.) It sold televisions, hi-fidelity stereo receivers, multi-band shortwave radios, and marine radio direction finders, often exported to North America under various U.S. brand names. The company also developed a line of home appliances such as rice cookers for the Japanese and Asian markets. Rapid growth resulted in the company opening manufacturing plants around the world. National/Panasonic quickly developed a reputation for well-made, reliable products.

The company debuted a hi-fidelity audio speaker in Japan in 1965 with the brand Technics. This line of high quality stereo components became worldwide favorites. The most famous product still made today is the SL-1200 record player, known for its high performance, precision, and durability. Throughout the 1970s and early 1980s, Panasonic continued to produce high-quality specialized electronics for niche markets such as shortwave radios, as well as developing a successful line of stereo receivers, CD players, and other components.

Panasonic in Kadoma, Osaka, Japan. Foreground left: Panasonic Konosuke Matsushita Museum; behind: Corporate R&D laboratories

In November 1999, the Japan Times reported that Panasonic planned to develop a "next generation first aid kit" called the Electronic Health Checker. At the time, the target market was said to be elderly people, especially those living in rural areas where medical help might not be immediately available, so it was planned that the kit would include support for telemedicine. The kits were then in the testing stage, with plans for eventual overseas distribution, to include the United States.

In recent years the company has been involved with the development of high-density optical disc standards intended to eventually replace the DVD and the SD memory card.

Since 2004, Toyota has used Panasonic batteries for its Toyota Prius, an environmentally friendly car made in Japan.^[13]

On January 19, 2006 Panasonic announced that, starting in February, it will stop producing analog televisions (then 30% of its total TV business) to concentrate on digital TVs.^[14]

On November 3, 2008 Panasonic and Sanyo were in talks, resulting in the eventual acquisition of Sanyo. The merger was completed in December 2009, and resulted in a mega-corporation with revenues over ¥11.2 trillion (around $110 billion). As part of what will be Japan's biggest electronics company, the Sanyo brand and most of the employees will be retained as a subsidiary.^[15][16]

On July 29, 2010 Panasonic reached an agreement to acquire the remaining shares of Panasonic Electric Works and Sanyo shares for $9.4 billion. ^[17][18][19]

Brands and divisions

Panasonic produces electronic products under a variety of names, including:

• Panasonic (home appliances, personal electronics, audio/video equipment, microchips, automotive components)
• Technics (music equipment like headphones and turntables, overlaps with Panasonic branded products in some audio categories)
• Sanyo became a subsidiary of Panasonic on December 21, 2009.
• Ramsa Professional Audio Systems is currently the division that manufactures high end audio equipment globally, they are most publicly used at the Olympic games since 2000

Environmental record

Panasonic reports that all of its new TV models meet the latest Energy Star requirements and exceed the standby mode requirement by 70 percent or more. All of its currently sold PCs also comply with the latest Energy Star standards.^[20] In Greenpeace's Guide to Greener Electronics Panasonic ranked 6th out of 18 leading electronics manufacturers in May 2010.^[21] Greenpeace criticises that Panasonic has not committed to eliminating toxic polyvinyl chloride (PVC) and brominated flame retardants (BFRs) across its product range. ^[22]. The company also scores poorly on its policies regarding e-waste and recycling.^[23].

Panasonic Corporation of North America

Panasonic Corporation of North America is the name of the company's USA division. Founded in New York City at the MetLife Building in September 1959, it was known as Matsushita Electric Corporation of America (MECA) prior to 2005. It is currently based in Secaucus, New Jersey.^[24]

Sponsorship

Panasonic sponsored the Toyota Racing Team at every race they raced at from their debut at Albert Park in 2002 to their final race at Yas Marina in 2009.
Also Formula 1 Turkish Grand Prix sponsored since 2010

Panasonic Corporation in Europe

Shop@Panasonic is a chain of stores in the United Kingdom and Ireland which sells only Panasonic electronics. The store is based on the same structure as Sony Centre. The stores are usually located in shopping centres such as Centrale, and brand itself the official Panasonic retailer.

Panasonic Mobile Communications

Panasonic Mobile Communications manufactures mobile handsets and related equipment for the Japanese market. It has the second largest marketshare for mobile phones in Japan after Sharp. It used to market its GSM phones worldwide, but in December 2005 the company announced its withdrawal from overseas markets. In summer 2008 rumours emerged that the company was considering to re-enter the Asian market with its VS84 handset.

Panasonic Avionics Corporation

Panasonic Avionics Corporation^[25] (PAC) is the world's leading supplier of in-flight entertainment (IFE) and communication systems. Headquartered in Lake Forest, California where engineering, development and testing is performed while system installation, field engineering, major quality functions, certification and program management are performed at the Bothell, Washington facility - Panasonic Avionics Corporation employs approximately 2,800 employees based in over 70 locations worldwide, with major facilities in London, Toulouse, Hamburg, Dallas, Dubai and Singapore. A majority of the component manufacturing is carried out in Osaka, Japan.

The company provides airline passengers with a wide array of interactive applications at their seats, combining entertainment (digital music and movies on demand, games, interactive moving maps, satellite TV, and online shopping) with business tools (E-mail, live flight schedules, and in-flight internet access). PAC is also one of the chief suppliers to both Boeing and Airbus and their IFE systems will be featured on both the Boeing 787 and the Airbus A380 aircraft. Among the many worldwide customers that use PAC systems are award-winning airlines such as Qantas, Emirates, Singapore Airlines and Virgin Atlantic.

Panasonic Avionics Corporation is a subsidiary of Panasonic Corporation of North America (PNA).

See also

• List of Panasonic Corporation products
• Panasonic CD interface
• List of Japanese companies
• Gamba Osaka
• Technics
• Hirofumi Hirano
• Hiro Matsushita
• Toughbook
• Yamaha
• Viera Cast
• Toyota Racing

Notes

Further reading

• Matsushita Leadership by John Paul Kotter, Simon and Schuster (1998)

External links

• panasonic.net Global Home.

Panasonic Corporation Subsidiaries: National (phased out)  · Technics  · Sanyo (acquired 2009)  · Quasar  · Rasonic  · JVC (spun off) related people: Konosuke Matsushita  · Hirofumi Hirano Annual Revenue: 8,713 billion Yen ( FY 2004) · Employees: 334,752 · Stock Symbol: (TYO: 6752, NYSE: MC) · Website: http://panasonic.net/