The Rise and Fall of Kodak:
Lessons in Adaptation and
Innovation
The Rise and Fall of Kodak: Lessons Learned
The Kodak Story
The history of Kodak is a fascinating one. Its founder, George Eastman,
moved to the city with his family after the death of his father, a
businessman. Facing financial hardship, the young Eastman, at just 14 years
old, had to leave school and work. Despite this humble beginning, Eastman
went on to form a company with global impact, even in an industry in which
he had no prior experience.
At the age of 24, Eastman bought a camera to record his vacation, but found
it difficult to use. This experience led him to enter the world of photography,
devoting time to experimenting and learning. Recognizing an opportunity in
the film market, Eastman decided to quit his job as a banker and focus on
making photography accessible to the masses. Kodak's motto, "You press the
button, we do the rest," reflected this mission.
The business model was primarily based on the sale of rolls and supplies for
printing photographs. Kodak sold its cameras at low prices, making money
when people took and printed the photos.
The Rise and Fall of Kodak
Kodak was a highly innovative and successful company, reaching its peak in
the early 1990s with over 140,000 employees worldwide and substantial
profits. However, the seeds of its downfall were sown in its own laboratories,
with the development of the first digital camera prototype in 1975.
While Kodak was aware of the growing importance of digital photography, it
had specialized more in film and photo printing than in camera
manufacturing. As the world no longer needed to print physical
photographs, Kodak struggled to adapt. Other manufacturers were able to
create higher-quality digital cameras, and the versatility of the internet for
sharing images made the "Kodak moment" less relevant.
Kodak did invest resources in digital technology and even launched an
online photo-sharing platform, but these efforts were not enough. A more
radical change was required to keep up with the shifting market.
