Case | HBS Case Collection | May 2001 (Revised February 2005)

KONE: The MonoSpace Launch in Germany

by Das Narayandas and Gordon Swartz

Abstract

Focuses on the launch of a new elevator product in Germany. In 1996, global construction slumps and low differentiation among competitive offerings has led to significant price competition and margin erosion in the elevator industry. In these circumstances, KONE, one of the global players in this industry, has developed the Monospace elevator product that uses revolutionary technologies. This new product is expected to have a significant impact on the current product lines of KONE and its competitors. The firm has test marketed the product in three European country markets to varying degrees of success. The firm is now planning to launch the new product in Germany, the largest country market in Europe and vital to KONE's overall success. With little room for error and the future of the firm at stake, KONE's German subsidiary needs to develop a detailed launch plan for Monospace in Germany.

Keywords: Machinery and Machining; Product Launch; Product Development; Construction Industry; Germany;

Citation:

Narayandas, Das, and Gordon Swartz. "KONE: The MonoSpace Launch in Germany." Harvard Business School Case 501-070, May 2001. (Revised February 2005.)