Timex in India|Business Strategy|Case Study|Case Studies

Timex in India

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Case Details:

Case Code : BSTR053
Case Length : 13 Pages
Period : 1990 - 2003
Organization : TATA Timex Corp
Pub Date : 2003
Teaching Note :Not Available
Countries : India
Industry : Watches

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Background Note

Timex Corporation (Timex Corp.), headquartered in Middlebury, Connecticut (US), is the third largest and the lowest cost watch manufacturer in the world. The company reportedly sold over 13 million watches annually in over 90 countries across the world, through an extensive distribution network.

The Timex brand, the largest selling watch brand in the US and Canada, had been ranked above other leading brands such as Citizen, Rolex, Seiko and Swatch for many years. The brand's slogan, 'Timex - It Takes a Licking and Keeps on Ticking,' had been very popular with its customers through the years. Over the decades, the company came to be respected for its strong focus on innovative, stylish designs and technology. In 2001, Timex watches were ranked as the number one fashion brand in the US, for the second consecutive year in the WWD survey.3 In the early 1990's, when the Indian economy opened up to foreign players, many multinational corporations (MNCs) showed interest in entering the Indian markets, including the watch market.

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The Indian watch market was viewed by MNCs as one of the markets, which reportedly held a lot of potential. There were very few established brands in the country and the existing players were technologically way behind global standards.

Also, the lower-end of the market was dominated by players in the unorganized sector. Timex Corp. decided to enter the industry and tap the lower end of the market by offering technologically advanced watches at competitive prices. As Indian customers were moving from digital watches to quartz watches, Timex Corp. decided to focus on manufacturing and marketing quartz-based wristwatches in India. Timex Corp. initially entered the industry through a joint venture with Jayna Times Industries Ltd. (Jayna, India), a manufacturer of men's and women's mechanical wristwatches, to form Timex Jayna Ltd., in 1989. However, in mid-1990, during the course of the implementation of the JV, Jayna withdrew and Timex Corp. partnered with Titan...

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3] The WWD 100 survey (formerly known as Fairchild Survey) is a biennial survey of the most popular US fashion brands. Since the inception of the survey in 1993, Timex has always found a place in the top ten.


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