Moser Baer: Growth through Diversification
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Case Details:
Case Code : BSTR283 Case Length : 14 Pages Period : 1986-2008 Pub Date : 2008 Teaching Note :Not Available Organization : Moser Baer Industry : Consumer Electronics
Themes: Diversification
Countries : India
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Introduction Contd...
In 1986, Puri retained the Moser Baer name when he ventured
into manufacturing floppy disks4. Right
from its initial days, the company concentrated on maintaining high quality
standards at the lowest cost.
However, its long-term success was due to its ability to keep up with changes in
storage media technology.
Although the company was a little late in entering the CD-R5
market, it managed to quickly expand its CD-R production capacity by the late
1990s. As for DVDs6, the company had
installed capacity to manufacture millions of these disks even before the demand
for them started to increase.
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By 2007, Moser Baer had become the world's second largest
manufacturer of optical storage media (CDs and DVDs), after CMC Magnetics
Corporation7.8
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The company exported its products to over 82
countries, servicing these markets through six marketing offices in
India, the United States, and Europe. It exported 85 percent of its
output and had a 60 percent share of the Indian market.
Meanwhile, the company also entered new businesses. In 2005, Moser Baer
entered the solar energy business and created a subsidiary Moser Baer
PhotoVoltaic Ltd. (MBPV). In 2006, MBPV made a strategic minority
investment9 in Stion Corporation (Stion).
Stion, formerly known as NStructures, was a nanostructures10
technology company based in California... |
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