Baťa Shoe Company Case Study

Improved Essays
The T. & A. Baťa Shoe Company was founded by Tomáš, Anna, and Antonin Baťa in 1984 in Zlín, Czech Republic, then Moravia of the Austro-Hungarian Empire. It was established by sibling who were eighth generation Baťa family shoemakers. They had 10 full-time employees with fixed work schedules and regular weekly wages, a rarity during that time. In 1895, T. & A. Baťa Shoe Company popularized the canvas shoe and grew their business to 50 employees. In 1897, they released the Batovka, one of the first mass-produced shoes. Baťa began the period of rapid modernization in 1899 with the first steam driven machines and in 1904 introduced mechanized production techniques making Baťa one of the first mass producers of shoes in Europe. In 1912, Baťa …show more content…
The Baťa Shoe Company increased production and hired more workers turning Zlín into a factory town and the first “Bataville” with group tanneries, a brickyard, chemical factory, mechanical equipment plant and repair shop, workshop for production of rubber, a paper pulp and cardboard factory, fabric factory, shoe-shine factory, a power plant and farming activities on site, creating vertical and horizontal integration within the Baťa Shoe Company. Workers, or “Batamen” as they’re later known, and their families had every daily life service necessities, such as housing, shops, schools, and hospitals, provided to them through Baťa. To help build Batavilles in Poland, Latvia, Romania, Switzerland, and France, the Baťa Shoe Company diversified into many industries such as tanning in 1915, energy in 1917, forest farming, newspaper publishing and brick manufacturing in 1918, wood processing in 1919, rubber industry in 1923, construction industry and railway and air transport in 1924, book publishing in 1926, film industry and food processing in 1927, chemical production and motor transport in 1930, textile production in 1931, sea transport and coal mining in 1932, airplane manufacturing in 1934, synthetic fiber production in 1935 and river transport in 1938. In 1923, Baťa had 112 …show more content…
He is known to have set “Baťa prices” which are prices ending with a nine instead of having a whole number ($4.99 instead of $5). Due to his business acumen, Baťa soon found himself to be the fourth richest person in Czechslovakia. During 1926 to 1928, Baťa productivity increased 75% and the number of employees also increased 35%. In 1927, production lines were installed and “Bataville” had its own hospital. By the end of 1928, the head factory in Zlín had 30 buildings, created an educational organization, the Baťa School of Work, and introduced five-day work weeks. In 1930, Baťa created a shoe museum in Toronto. In 1931, Tomáš had factories in Germany, England, Poland, and the Netherlands. Tomáš Baťa died in 1932 at the age of 56 in a plane crash during takeoff under bad weather conditions at Zlín airport. His half-brother was given control of the company along with Tomáš’s son, Thomas John Baťa. Thomas led his father’s company for much of the 20th century guided by Tomáš’s claimed moral testament, “the Baťa Shoe Company was to be treated not as a source of private wealth, but as a public trust, a means of improving living standards within the community and providing customers with good value for their

Related Documents

  • Decent Essays

    Betsy Bueno, the owner of this start-up company received her Bachelor of Business Administration from Northern Arizona University. Her past experience includes working as Skechers' retail merchandise planner at the Manhattan Beach, CA corporate office. She began her career as a part-time sales associate at a Skechers retail store, then a year later was selected to be a summer intern at the corporate location. Betsy's creativity sparkled and she was recognized as a key merchandise/store designer for young girls fashion. Loyal to the company, she worked there for 7+ years and now wants to be an entrepreneur of her own shoe business.…

    • 220 Words
    • 1 Pages
    Decent Essays
  • Great Essays

    In 1982, Vera Bradley was founded with an idea of two neighbors, a work space of a ping pong table, and $500! The founders were disappointed while traveling that baggage was no longer beautiful and they started their own brand. The company was named after founder, Barbara Bradley Baekgaard’s mother, Vera Bradley. Vera worked for the company as a sales person until she passed in the early 1990s. The stores still celebrate her birthday each year (“About Vera Bradley”)!…

    • 1398 Words
    • 6 Pages
    Great Essays
  • Decent Essays

    Nike is a multinational organization and leading the world in athletic apparel; however, this dominance makes Nike a target to criticize any practices those may see as unethical. Nike started in 1964 and 1965 when the creator started selling imported shoes from Japan in America to compete in the athletic market. Moreover, their business grew and by 1972 Nike led the world as one of the largest athletic manufacturer. Consequently, the growth of the company and their success led Nike to outsource their manufacturing.…

    • 220 Words
    • 1 Pages
    Decent Essays
  • Improved Essays

    Hillerville Mansion In the mountains of Eastern Kentucky once existed the Hugarian community of Himlerville. In a way the house was so creepy, but also beautiful. I never understood why no one lived there. As I grew older everyone around town had the myth that the old house was hunted.…

    • 1257 Words
    • 6 Pages
    Improved Essays
  • Improved Essays

    Waclw Bazezinski Essay

    • 606 Words
    • 3 Pages

    Jozef Bazezinski was the richest man in all of Poland. Right before World War two started, Jozef married Helena. Together they had eight kids, seven boys, and one girl. When the war started, seven of the kids joined the underground army. Fighting for Poland’s freedom, four of them died between the ages of seventeen and twenty-seven.…

    • 606 Words
    • 3 Pages
    Improved Essays
  • Superior Essays

    Jewish immigrants were therefore concentrated in the two groups of "no occupation" and "skilled laborers", to which belonged more than four-fifths of the total number. Of laborers (including farm laborers), the Jews, on the other hand, had the smallest proportion (except the Scots), 13.7 %. Contrary to all perception, immigrants asking for assistance form the United Hebrew charities in 1886 was approximately 10% of ; afterwards, only, 5%. The History of the Jewish Labor Movement in the United States ןכעגעג ־סיורlo .ןטloטש עטקינייloרloפ ''-7 ן''lo גנוגעווloב־רעטעברlo רעש''-7'''' רע-7 ןופ עפכישעג -7נloב רעטשרע .רעווloק''רעשט .lo…

    • 1646 Words
    • 7 Pages
    Superior Essays
  • Improved Essays

    Moreover, Adam Baxter Company has experienced the significant financial loss by keeping relationship with them, because non-union workers are up to $5/hour cheaper than unionized workers. Thus, we thought our BATNA is the unavoidable,…

    • 1221 Words
    • 5 Pages
    Improved Essays
  • Decent Essays

    History Of Sneakers Essay

    • 545 Words
    • 3 Pages

    Pre-Test Essay The beginning of sneakers started around 3,000 years ago with the Mayan, Olmec and Aztec civilizations. The first rubber soled “shoe” was in this age, made by sticking ones feet in them sap from a rubber tree. After the rubber had cooled, the rubber on the foot would be peeled off, and heated over a fire.…

    • 545 Words
    • 3 Pages
    Decent Essays
  • Improved Essays

    After Nazi Germany invaded Lithuanian the situations for the Lithuanian Jews got worse. A panic grew within the Jewish community. Many Jewish men fled right because of the concern about their fate (Tory, Gilbert, Porat, & Michalowicz, 1990, p. 5). The Lithuanian Jews suddenly had no rights and were now considered a lower class. Soon the Jews had vanished from the streets and the city.…

    • 1556 Words
    • 7 Pages
    Improved Essays
  • Improved Essays

    Mexico

    • 513 Words
    • 3 Pages

    Industry Environment- Supporting Industry & Industrial Production Growth Rate In Mexico, it has many different industries, including textiles and clothing. In Spain, textiles and apparel (including footwear) and footwear are two main industries. Hong Kong also has textiles and clothing industries but the occupation of industries in Hong Kong is small.…

    • 513 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    Nike Case Study

    • 970 Words
    • 4 Pages

    1: Should Nike be held responsible for working conditions in foreign factories that it does not own, but where subcontractors make products for Nike? Ans: Nike should be held responsible for its subcontractors, as it is operating in countries which lower its costs and increasing its profit. Nike should be accountable, as they are huge firm which holds considerable international authority and when making the contract it holds the final decision, as they can find other subcontractors, so Nike should be able to specify what kinds of working conditions it should have and not have in the factories and it is possible they might not have much influence in the foreign country but I am sure they can specify working conditions that are acceptable by…

    • 970 Words
    • 4 Pages
    Improved Essays
  • Superior Essays

    Knights Apparel Case Study

    • 1328 Words
    • 6 Pages

    The Survival of Knights Apparel When Knights Apparel made the decision to reopen a company that is based overseas in another country to assist in their production, the challenges began. Bozich wanted to eliminate unjust treatment that many individuals who work in factories overseas endure. It is crucial to communicate clearly, what the changes will entail along with addressing any dilemmas that may develop during the transition. This modification does not just affect the employees; it affects the company as a whole.…

    • 1328 Words
    • 6 Pages
    Superior Essays
  • Improved Essays

    Competitive Rivalry in the industry Ehlers & Lazenby (2010) states that competition within the industry is one of the most significant factor’s in Porters five forces model. With well-established players such as Puma, Nike, Adidas and Asics currently in the athletic footwear market, we will be entering into an industry that possess a great deal of competition. As a new entrant, gaining our desired market share in the short term will be no easy task as consumer preferences continue to change. Our initial short-term success will rely on the ability to offer the customer an innovative footwear that not only offers value for money but also appeals to the environmentalist in the consumer due to our green manufacturing. The initial market share that…

    • 1086 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    SUMMARY This Case Based report consists a brief introduction Bethlehem Steel Corporation, timeline, facts and SWOT analysis of the Bethlehem Steel Corporation. The data was limited as the business grew in the older times. The data is taken mainly from books and news articles. Recommendation that could improve the situation of Bethlehem Steel Corporation has been given in the end.…

    • 1096 Words
    • 5 Pages
    Improved Essays
  • Superior Essays

    Nike Case Study Summary

    • 1659 Words
    • 7 Pages

    On July 5, 2001, a portfolio manager at NorthPoint Group, Kimi Ford is considering buying some shares of Nike for the fund she manages, NorthPoint Large-Cap Fund. This fund mostly invests in Fortune 500 companies, and it’s top holdings include; ExxonMobil, General Motors, McDonald’s and 3M. Nike’s share price had declined since the beginning of the year. Since 1997, Nike’s revenues had plateaued around $9 billion, while net income had fallen from almost $800 million to $580 million, and their market share in athletic shoes had dropped from 48 percent in 1997 to 42 percent in 2000. In a meeting held on June 28, 2001, management announced plans to grow performance.…

    • 1659 Words
    • 7 Pages
    Superior Essays