Subject category:
Strategy and General Management
Published by:
INSEAD
Version: 11.2006
Length: 39 pages
Data source: Field research
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Abstract
The case chronicles the history of the tyre industry until 2004, focusing on globalisation, economics and segmentation. The moment in the case is four years after Edouard Michelin took over from his father who had led the company for almost 40 years. The case takes stock of the changes Edouard Michelin made to the company and the industry restructuring dynamics (ailing Goodyear, exploding Asia, new product development, expansion into retail etc). The case is quite comprehensive, allowing a discussion of industry globalisation and restructuring, competitors'' responses, and how to compete in a global, mature industry. The case also allows a discussion of the changes in the mission, vision and organisation of Francois and Edouard Michelin, and how this influenced the strategy of the company. Finally, as Edouard Michelin expanded tyre retail operations, the case allows a discussion of the strategy of vertical integration.
About
Abstract
The case chronicles the history of the tyre industry until 2004, focusing on globalisation, economics and segmentation. The moment in the case is four years after Edouard Michelin took over from his father who had led the company for almost 40 years. The case takes stock of the changes Edouard Michelin made to the company and the industry restructuring dynamics (ailing Goodyear, exploding Asia, new product development, expansion into retail etc). The case is quite comprehensive, allowing a discussion of industry globalisation and restructuring, competitors'' responses, and how to compete in a global, mature industry. The case also allows a discussion of the changes in the mission, vision and organisation of Francois and Edouard Michelin, and how this influenced the strategy of the company. Finally, as Edouard Michelin expanded tyre retail operations, the case allows a discussion of the strategy of vertical integration.