Ascom Hasler Mailing System
CASE STUDIES
No. 25 October 1999
Ascom Hasler Mailing Systems, Inc.: Competing in the Shadow of a Giant
by
Michael A. Allocca President and CEO, Ascom Hasler, Inc. Doctoral Candidate in the DPS Program Lubin School of Business Pace University
ASCOM HASLER MAILING SYSTEMS INC.: COMPETING IN THE SHADOW OF A GIANT by Michael A. Allocca
Michael A. Allocca is President and CEO of Ascom Hasler, Inc. and doctoral candidate in the DPS Program, Lubin School of Business, Pace University, New York. This case was written by Michael A. Allocca under the supervision of Dr. Warren J. Keegan, Professor of Marketing and International Business and Director of the Institute for Global Business Strategy, Lubin School of Business, Pace University, New York. This case should be used as the basis for classroom discussion rather than to illustrate either effective or ineffective handling of the issues described in the case. Copyright © Institute for Global Business Strategy, Pace University
History and Evolution of the Industry
INTRODUCTION
On a beautiful fall day in New England at the end of the millennium, Michael Allocca, president of Ascom Hasler Mailing Systems, Inc. was struggling with the question of how to move his company beyond its position as one of the three dwarfs of the postage meter industry. Although his company had achieved the greatest share gain of any competitor in the U.S. between 1985 and 1997, he was not complacent. He was number three in the U.S. market, and number one still had more that 85 percent of the total market. Moreover, there were technological, market, and regulatory changes occurring that opened up entry possibilities for new entrants who had in effect been blocked from entry to the industry for the past half-century and longer. Globalization had come to the sleepy postage meter industry with a vengeance, and Mr. Allocca was worried. He knew that he needed a strategy to improve his position, and questioned in his own mind
No. 25 October 1999
Ascom Hasler Mailing Systems, Inc.: Competing in the Shadow of a Giant
by
Michael A. Allocca President and CEO, Ascom Hasler, Inc. Doctoral Candidate in the DPS Program Lubin School of Business Pace University
ASCOM HASLER MAILING SYSTEMS INC.: COMPETING IN THE SHADOW OF A GIANT by Michael A. Allocca
Michael A. Allocca is President and CEO of Ascom Hasler, Inc. and doctoral candidate in the DPS Program, Lubin School of Business, Pace University, New York. This case was written by Michael A. Allocca under the supervision of Dr. Warren J. Keegan, Professor of Marketing and International Business and Director of the Institute for Global Business Strategy, Lubin School of Business, Pace University, New York. This case should be used as the basis for classroom discussion rather than to illustrate either effective or ineffective handling of the issues described in the case. Copyright © Institute for Global Business Strategy, Pace University
History and Evolution of the Industry
INTRODUCTION
On a beautiful fall day in New England at the end of the millennium, Michael Allocca, president of Ascom Hasler Mailing Systems, Inc. was struggling with the question of how to move his company beyond its position as one of the three dwarfs of the postage meter industry. Although his company had achieved the greatest share gain of any competitor in the U.S. between 1985 and 1997, he was not complacent. He was number three in the U.S. market, and number one still had more that 85 percent of the total market. Moreover, there were technological, market, and regulatory changes occurring that opened up entry possibilities for new entrants who had in effect been blocked from entry to the industry for the past half-century and longer. Globalization had come to the sleepy postage meter industry with a vengeance, and Mr. Allocca was worried. He knew that he needed a strategy to improve his position, and questioned in his own mind