Originally Posted by nikonhswebmaster
You have posted that list twice, did you read the article? Even Altria Group still has a market cap of $140.44 Billion USD, and they are selling tobacco!
WMT - $213.87B
AT&T - $252.44B
GE - $268.49B
MSFT - $498.66B
XOM - $344.95B
AAPL - $710.96B
How do you see any of these S&P stocks failing currently? Someday maybe, but not right now.
Nikon is like the corner mom and pop drug store compared to these behemoths, at only a $5.68B market cap. Canon much larger at $40.4 Billion market cap, Sony about the same. Panasonic $22.9 Billion.
Missing the point. The point of the article is companies grow and contract based on quality of adaptation to changing market conditions. Nikon exists today facing a declining market in cameras. But to make matters worse, in interchangeable lens cameras Nikon is under performing the market. Nikon is not adapting well to changing market conditions. This points to poor management, which places Nikon in an even more precarious position than some of its rivals.
For example, if you told someone in 1997 when Microsoft invested in its primary competitor Apple (which was in a precarious position at the time), that Apple would someday be worth much more than Microsoft you would have been laughed out of the room. How did it happen? Apple adapted to a changing market more effectively than Microsoft.
As for the tobacco company reference, in 1992 the Philip Morris company was the LARGEST company in the world. Changing attitudes about smoking as well as litigation against the tobacco industry changed the dynamic. While the now renamed Altria Group is still a viable company, it's nowhere near the largest company in the world. Altria Group's market cap is but 20% the size of the largest company today, Apple.