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Growth Strategies Case Study

Case Title:

Bose: A sound of Success

Publication Year : 2006

Authors: Sagar Chakraverty

Industry: Engineering, Electrical and Electronics


Case Code: GRS0111B

Teaching Note: Not Available

Structured Assignment: Not Available

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Bose Corporation (BOSE) was the story of how a young MIT grad, Amar Bose’s quest for the perfect stereo system led to the creation of unparalleled Bose Corporation in 1964. The privately-held company went on to become a sound transnational, with an annual sales turnover in excess of $1.7 billion in 2005-06 (5.9% revenue growth over last F.Y.) and a reputation of building the world’s best audio systems and a paragon so difficult to emulate by others. According to industry experts, it was this zeal, passion and innovation that had made Bose Corporation a highly valued company with deep roots in principles, philosophy, quality and R&D, resulting in Bose being featured on the 2006 Forbes Billionaires list with $1.2 billion. The company anticipated continued growth for the foreseeable future and 100 % of profits were reinvested in the company's growth and development. Bose loudspeakers were the best selling in the United States and throughout the world. The closely held company recently reached another milestone. Bose was ranked in 2006 as the most trusted consumer brand by far among 22 well-known tech companies, ahead of heavyweights like Apple, Microsoft, Dell, Intel, and Sony, according to a survey of 4,732 U.S. households by Forrester Research. The company gained nine points of market share, to a total of more than 20%, and is now second in market share in home audio to heavyweight Sony in US market.

But Bose was not without its criticism. Critics said that the company's products were overpriced and gimmicky -- and that Bose overspent on marketing to the detriment of sound quality. Bose Corporation said the criticism was unfounded. The company had consistently claimed ‘Better Sound Through Research’. So was its reputation more than quality that had given Bose consistent success?

Pedagogical Objectives:

  • To understand about the growth of Bose Corporation.

Keywords : Bose; Amar Bose; direct/reflecting speakers; Growth Strategies Case Study; sound; Acoustimes; leadership; entreperenuership; MIT; research; marketing; approach; ethics

Dr. Amar Gopal Bose - The beginning
Bose Corporation
Usage of Bose Corporation products
Bose’s way of leadership
Bose Corporation Philosophy
Marketing approach
Three Things You May Not Know About Bose® Stores
Bose’s India – China expansion

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