Franz Collection, Inc.: The Road From Subcontracting to Brand
The case describes the three-stage transformation of a Taiwanese company - from an original equipment manufacturer (OEM) of small gifts for Western European customers, to an original design manufacturer (ODM) providing design and production of home decor and gifts to customers in Europe and the United States, to an own brand manufacturing (OBM) company launching its brand of porcelain tableware targeted at the global market. The story of Franz Collection is a story of product outsourcing and international cooperation, where OEM subcontractors in Asia have tried to set up their own marketing channels and brand names to bypass their Western clients and appeal directly to consumers. This case describes the managerial dilemmas in establishing a global brand faced by manufacturers in Taiwan and the neighbouring countries.
Taiwan, Medium, 2009
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