Dow Corning's Xiameter Brand: Product Commoditization and Business Model Innovation
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Case Code: BSTR446 Case Length: 13 Pages Period: 2000-2013 Pub Date: 2014 Teaching Note: Not Available |
Price: Rs.400 Organization: Dow Corning Corp Industry: Silicone, Specialty Chemicals Countries: US,Global Themes: Business Strategy, Brand Management, B2B Marketing |
Abstract Case Intro 1 Case Intro 2 Excerpts
Background Note
In 1945, Dow's silicon plant in Midland, Michigan (USA) began operations. In the same year, Dr. Earl Warrick, a scientist at the company, developed silicone rubber. Over a period of time, Dow became a pioneer in developing silicone for applications in aeronautics, textiles, personal care, and biomedicine. In 1946, Dow's first commercial product, an eyeglass cleaner called ‘Sight Savers' was launched. In 1948, a waterproofing treatment for leather called ‘Shoe Saver' was introduced. The company also expanded its operations into Canada and Europe.
In 1954, a finishing plant to make silicone emulsions was set up in Greensboro, North Carolina (USA). In 1958, a major cosmetics company entrusted Dow with the task of creating a hand lotion that incorporated silicones. This was the first time silicones were used in personal care products. In 1959, Dow began production of hyperpure polycrystalline silicon that was utilized in producing materials for computer chips. It also established the first fully integrated polycrystalline silicon plant in Hemlock, Michigan (USA).
Dow continued with its global expansion during the 1960s with its entry into the South American and Japanese markets. In 1961, it became one of the first companies of American origin to enter into an equal partnership agreement with a Japanese company. Research was always one of the cornerstones of Dow's market success and in 1963 the company filed its 1,000th patent application in the US...
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