Eastman Kodak has planned a new strategy to reduce business costs
Eastman Kodak Co., the company which invented the digital camera, has reported to move out of the manufacturing of digital and pocket video cameras, and digital picture frames, on Thursday, February 9. The company has planned this strategy as it wants to cut costs of business. As a result of this new strategy, the company is expecting more than $100 million of annual operating savings.
The company will implement the new strategy within six months this year. However, the company has also said that it will continue to give technical support and services in regards to cameras and digital picture frames.
“For some time, Kodak’s strategy has been to improve margins in the capture device business by narrowing our participation in terms of product portfolio, geographies and retail outlets. Today’s announcement is the logical extension of that process, given our analysis of the industry trends,” said Pradeep Jotwani, President, Consumer Businesses, and Kodak Chief Marketing Officer.
Kodak has planned to expand current brand licensing program and seek out licensees in these categories. Now the company has online and retail-based photo printing and desktop Inkjet printing. The company has Commercial Businesses consisting of “Digital and Functional Printing, Enterprise Services and Solutions, and Graphics, Entertainment and Commercial Films units.”