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Kodak failed to realize that its strategy which was effective at one point was now depriving it of success. Rapidly changing technology and market needs negated the strategy. Kodak invested its funds in acquiring many small companies, depleting the money it could have used to promote the sales of digital cameras.
What put Kodak out of business? Kodak filed for bankruptcy in January 2012 and announced soon after that it would no longer manufacture digital cameras and some other digital imaging products . Today, personalized imaging and document imaging are now part of Kodak Alaris, a separate company owned by the UK-based Kodak Pension Plan.
On the 19th of January in 2012, Kodak filed for Chapter 11 bankruptcy protection which resulted in the reorganization of the company. Kodak was provided with $950 million on an 18-month credit facility by the CITI group. The credit enabled Kodak to continue functioning. To generate more revenue, some sections of Kodak were sold to other companies.
Kodak was the most dominant company in its field for almost the entire 20th century, but a series of wrong decisions killed its success. The company declared itself bankrupt in 2012. Why did Kodak, the king of photography and videography, go bankrupt? What was the reason behind Kodak's failure?
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