Focuses influence of European standard setting for control networks on non-market activities strategy of high-tech enterprises. Echelon Corp. is a small, privately held company headquartered in Palo Alto, California, the open architecture control networks produced away – communication systems to integrate the disparate pieces of electronic hardware over a certain distance. These systems have applications in automated assembly lines for patient monitoring in hospitals to fly-by-wire systems. This case concerned sta … Read more »

Focuses influence of European standard setting for control networks on non-market activities strategy of high-tech enterprises. Echelon Corp. is a small, privately held company headquartered in Palo Alto, California, the open architecture control networks produced away – communication systems to integrate the disparate pieces of electronic hardware over a certain distance. These systems have applications in automated assembly lines for patient monitoring in hospitals to fly-by-wire systems. This case dealt default in Europe. Echelon European competitors led by Siemens, tried application-specific standards that would limit the demand for open architecture Echelon’s technology to establish. Echelon was a strategy of Siemens blockade experiments in the EU standardization bodies. By enlisting the support of their customers in countries like the United Kingdom The lack of standards that was caused by this blocking strategy harmful, but for the development of the market for control network applications. Echelon had to determine whether to continue with its current strategy or work directly to have open architecture established standards, or initiate discussions with Siemens and other companies to develop open architecture standards. The question asks strategy and how the strategy should be implemented.
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from
David P. Baron,
Michael Ting
Source: Stanford Graduate School of Business
6 pages.
Release date: 01 August 1997. Prod #: P22-PDF-ENG
Echelon in Europe HBR case solution