se products. These products serve professional photofinishers, professional photographers, customers in the healthcare industry, customers in motion pictures and television, commercial printing and publishing firms, office automation and government markets. Recent commercial imaging products developed by Kodak include commercial imaging applications for the newly introduced photo CD system.
The company is seeking to reposition itself as a technological innovator, an image that it lost in recent years as companies such as Polaroid dominated the instant processing market and as Fuji began making inroads into Kodak's traditional domination of the film industry. To this end, the company has entered the disposable camera market where it now dominates, and has taken on the issue of desktop computing and the demand for high-quality photographic images with its Photo CD products. It also has pursued an integrated marketing program where the "Kodak Moment" is emphasized, and continues to protect its markets both at home and abroad, as it has brought its considerable corporate resources to bear against what it considers unfair trade practices by Fuji Film in Japan.
The single use camera came on the market in 1987 when a basic model was introduced by Fuji Photo. Since that time, disposables have been added with flashes, telephoto and wide angle lenses, and even underwater versions; all of these sell for typically for under $13. During 1988 (the first full year that the camera was marketed), unit sales totaled 3 million; by 1992, unit sales topped 21 million, and increased to more than 32 million in 1993. Clearly this represents a strong and significant market for participants, and Kodak has assumed a dominant role, with 72 percent of market share in 1993 supported by $54 million in advertising during that year.
Kodak has not gained this leadership role without engaging in innovative marketing techniques. The ...