It was in late 2007. The so-called cell phone ("keitai") novels have become an extremely popular form of entertainment on the move in Japan, especially among young women readers. Indeed, consisting mostly of love stories written by amateurs in short sentences and containing little plot or character development, cell phone novels, republished in book form, and even remade as films began to dominate major media content. In the media giant Sony, Ken Munekata, Director General of Sony Pictures Entertainment (SPE) and Atsushi Fukuda, president of Sony Digital Entertainment (SDE), trying to work out an appropriate response. After establishing the SDE as a 100% subsidiary of Sony Japan, they are now developing a wide range of digital content offers for mobile phone users, mostly original content "made in Japan", including keitai novels. But can a subscription model to compete in the CDS market, which is dominated by a proposal for free keitai novel? And, in general, the current initiatives Sony keitai company move in the right strategic direction? Allows for in-depth study of a viable business model for the available funds of companies competing in markets dominated by digital users, advertising-supported content. Well as to evaluate the economics of production and distribution of traditional films and books over digital (cellular) content. "Hide
by Anita Elberse Source: Harvard Business School 20 pages. Publication Date: Mar 04, 2008. Prod. #: 508071-PDF-ENG