Steinway & Sons

What accounts for Steinways reputation as a manufacturer of high-quality pianos

The reasons for high quality product is caused traditionally over a time with the basic principles . All Steinways were still assembled by craft methods with little use of assembly-line techniques . Volumes remained small . Skilled labor was employed throughout the process and many employees often continuing an association begun by their parents and grandparents and had been with the firm for 20 or 30 years . Only the finest materials were used . Purchase of millions of dollars worth of wood annually , which

includes rosewood from Brazil , mahogany from Africa and Sitka spruce from Alaska . Besides research and development were also contributed for maintaining the high quality product . The R D group and it collaborated with CBS Technology center on several other projects causes the high reputation as a manufacturer of high quality pianos Still following the advice of its founder i .e . build the best piano possible and sell it at the lowest price consistent with quality

How Does Steinway 's strategy compare with that of its major competitors

The major competitors for Steinways are Yamaha , Kawai of leading Japanese piano makers and they success in the American market . The competitors sale of pianos are verticals . Hence Model K of Steinway is considered for reintroduction to face threats by the competitors . The Model K also changed to vertically

Should Steinway introduce the Mode K vertical piano ? Why or why not

Yes the Model K with vertical shaped piano should be introduced since the competitors like Yamaha , Kawai and captured American market and their pianos are vertical shaped . Hence Model K Vertical piano should be introduced

What other advice would you give Peter Perez as a strategic business unit (SBU ) manager convening

His responsibilities `downstairs ' to Steinway

Since the Steinway 's R D group had already invested 200 ,000 in working up the Model K . The Bill Steinway had personally devoted nearly two years to the project to get the result . Still the President is under doubt to introduce the Model K . It is advised that there is no other alternative except to introduce the Model K . It is nothing but reintroduction with another shape i .e . vertical . And in to attack the competitors it is inevitable . The introduction is already late and the company image may be curtailed and the growth of business of the Steinway Sons may be limited . If the introduction Model K is not existed , then it will be responsibility to Peter Perez , which indicated downstairs to Steinway

His responsibilities `upstairs ' to CBS

Mr . Peter M .Perez who is president of Steinway Sons of piano makers plays vital role for the development of Steinway . While introduction of the new item , he spares more time and analyses in all angles even he may go for dilemma for such thinking . Thinking and thinking , the issue minimized and get options of results for which he can choose . But he is thinking that it is the old model , which was introduced...