Archived posting to the Leica Users Group, 2004/10/27
[Author Prev] [Author Next] [Thread Prev] [Thread Next] [Author Index] [Topic Index] [Home] [Search]Oh, one last thing - The Swiss watch story is one of the greatest examples of all times of an unbelievably stupid marketing decision: for those who may be unaware of it - a Swiss company invented the quartz watch - and the Swiss, distaining the idea of non-traditional watches, sold/gave/licensed? it to the Japanese, resulting in the precipitous decline and near extinction of the Swiss watch industry. And in the story of that disaster are far better parallels to Leica's marketing practices and views of itself and the rest of the photo world, than are in the Lego story. ;-) -----Original Message----- From: lug-bounces+bdcolen=earthlink.net@leica-users.org [mailto:lug-bounces+bdcolen=earthlink.net@leica-users.org] On Behalf Of Emanuel Lowi Sent: Wednesday, October 27, 2004 10:12 AM To: lug@leica-users.org Subject: [Leica] Re: Interview on Zeiss Ikon Didier Ludwig wrote: > > Comparing Leica vs. digital (today) to swiss watch manufacturers vs. > quartz > (70ies) makes quite sense. Only the top swiss brands > with the upperclass > mechanical watches have survived this battle. > > Meanwhile, many things have changed. Most of these > brands (not IWC) and > especially the heart of this industry, the clockwork > manufactury ETA, are > today owned by the Swatch group - a swiss company, > too, but making it's > money with - quartz watches! > > So the analogy could be Swatch = Cosina?... > Here's another analogy from the local paper's business section the other day. "Danish toymaker Lego Co. said yesterday it has yet to recover from a financial crisis and expects to record a loss this year despite an elaborate recovery plan that included increased focus on its classic products. The company, whose coloured plastic building blocks have been a favourite children's toy for decades, also said that 18-year chief executive Kjeld Kirk Kristiansen resigned and was replaced by Joergen Vig Kundstorp, a former senior vice-president for corporate affairs. CUT Lego said it had laid off 1000 workers worldwide this year, leaving it with 7400 employees. The company said early this year it hoped to break even in 2004, and said two months ago it was on track to do so. However, sales in North America and Japan were poor, and increased competition from companies like Montreal-based Mega Bloks and price pressure in the toy business has taken its toll, Lego said. Overall, sales in Europe have also been disappointing, although sales grew in southern and eastern Europe as markets opened up. As part of its cost-cutting moves, Lego said it would spin off its four amusement parks into a separate company with an eye towards selling the division completely. CUT The company isn't publicly traded, but has published earning reports since 1997. Founded in 1932, Lego's name was invented by combining the first two letters of the Danish word Leg godt (play well) without knowing that the word in latin means "I assemble." Lego = Leica Mega Bloks = Cosina Emanuel Lowi Montreal ______________________________________________________________________ Post your free ad now! http://personals.yahoo.ca _______________________________________________ Leica Users Group. See http://leica-users.org/mailman/listinfo/lug for more information