Polaroid-Kodak Case Preparation Questions: Why has Kodak entered the instant camera business? How serious is the threat to Polaroid? What should Polaroid do?
Competitor Analysis For each of Polaroid and Kodak: Goals Assumptions Strategic resources Stakes in the instant market Position and motives vis a vis a battle
Market Signals What market signals were used by Kodak surrounding its entry into the instant market?
Game Theory Formulation Kodak’s choices . Go aggressively for a large share (fight) . Accept a modest share (dètente) Polaroid’s choices . Aggressively protect its dominance (fight) . Yield Kodak a substantial piece of the market (dètente)
Strategic Outcome Matrix
Game Theory Analysis Interpret Kodak’s move in terms of fight or dètente--which is it? Analyze the options available to Kodak. What will happen if it fights? dètentes? What choice options and potential costs/benefits are available to Polaroid now that Kodak has mode it’s move?