Subject category:
Strategy and General Management
Published by:
Harvard Business Publishing
Version: 17 June 2003
Length: 14 pages
Data source: Published sources
Abstract
Corning, Inc. has a 150-year history of building a strategy around innovation. Founded as a glass manufacturer in 1851, the company quickly established itself as a maker of specialty glass products and over the next 100 years diversified into light bulbs, television, cookware, silicones, medical products and, finally, optical fiber. As the telecommunications industry boomed in the late 1990s, the optical fiber business boomed with it, and Corning''s stock hit record highs. The firm made more than $9 billion worth of acquisitions in fiber and photonics (acquiring more than $6 billion worth of goodwill in the process) before the crash hit. Corning''s stock collapsed, and in 2002 the company faced serious operating challenges.; Asks students to formulate a technology strategy for Corning under these circumstances. Designed to be used as an opening case in a course on technology strategy. Outlines the history of innovation at Corning, stressing the company''s history of "patient money" and long-term commitment to technology. Briefly summarizes the firm''s recent history and then lays out the challenge that faces the firm''s chief technology officer in seeking to justify spending on research and development.
About
Abstract
Corning, Inc. has a 150-year history of building a strategy around innovation. Founded as a glass manufacturer in 1851, the company quickly established itself as a maker of specialty glass products and over the next 100 years diversified into light bulbs, television, cookware, silicones, medical products and, finally, optical fiber. As the telecommunications industry boomed in the late 1990s, the optical fiber business boomed with it, and Corning''s stock hit record highs. The firm made more than $9 billion worth of acquisitions in fiber and photonics (acquiring more than $6 billion worth of goodwill in the process) before the crash hit. Corning''s stock collapsed, and in 2002 the company faced serious operating challenges.; Asks students to formulate a technology strategy for Corning under these circumstances. Designed to be used as an opening case in a course on technology strategy. Outlines the history of innovation at Corning, stressing the company''s history of "patient money" and long-term commitment to technology. Briefly summarizes the firm''s recent history and then lays out the challenge that faces the firm''s chief technology officer in seeking to justify spending on research and development.