1. Stop making proprietary peripherals. It costs a lot of money to developer your own "personal" hardware. It also upsets consumers because they have to buy "special Sony" stuff.
2. Lower the price of Blu-ray discs. Make them ALL $9.99 ALL the time. New releases could be $11.99. NOTHING priced higher than that. Sell volume.
3. Lower prices to be competitive. Sony is NOT a "premium" brand anymore (not since around 2000). Get over it.
4. Put a phone in the PS Vita. Why did they not do this? Vita would be cool, but carrying around a phone and a Vita is a joke. The $300 Vita price tag could be subsidized by a 2 year phone contract, maybe selling it for $49-99.
Yep, the MORE Employees they cut, the more they scale back, the less affordable becomes their army of "salary-men" in Japan all expecting their government-employee-sized-Pensions. It may not be as fast as Kodak's decline, as sales of Sony products are not going "off a cliff" as were sales of Film, but its similar.
The more SONY shrinks its work-force, the more unaffordable the retirees become to the company, so more losses...etc. Spiral down.