Business Case Studies, Leadership Case Study, Tata Group,Ratan Tata

Code : COM0062

Year : 2004

Industry : Engineering, Electrical and Electronics

Region : USA

Teaching Note:Not Available

Structured Assignment :Not Available

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Introduction:Bose Corporation had been, for four decades, a unique company in many aspects. Founded in 1964 by Amar Gopal Bose, it was the market leader in high-end audio equipment. Stressing engineering innovation and excellence in quality, the firm had retained its research-oriented focus. By not going in for a public issue, the founder owner had kept single handed control over the company and profits were ploughed back into research & development. These attributes, coupled with Dr. Bose's dedication to quality had firmly established Bose as a very powerful brand, worldwide.

The prices of Bose products had been significantly higher than those of most other audio companies since the firm had targeted audiophiles, meaning people who were so passionate about sound quality that they were ready to pay high prices. Company officials had defended their high price tag by pointing out that delivering and maintaining a high quality level added to costs and drove up prices. For long, Bose had enjoyed customer loyalty and trust in this niche segment that they were operating in...