TTTech pioneered in Vienna, Austria is located, had an innovative way new technology-timed networks for embedded computer systems. By 2010 TTTech had grown into a $ 25 million company by providing high-end solutions for customers with time-, task-and security-critical requirements. Despite the completion of successful, high-profile projects such as these, TTTech had overall growth reached something of a plateau in the midst of the global economic crisis of 2009. Timed techn … Read more »

TTTech pioneered in Vienna, Austria is located, had an innovative way new technology-timed networks for embedded computer systems. By 2010 TTTech had grown into a $ 25 million company by providing high-end solutions for customers with time-, task-and security-critical requirements. Despite the completion of successful, high-profile projects such as these, TTTech had overall growth reached something of a plateau in the midst of the global economic crisis of 2009. Time-controlled technology was certainly innovative, but in some cases was more advanced than what is currently required by the company target customers. It was so complex that the sale process was labor intensive and usually had to start with and then engineering its way up through product development to management. Primarily, the industry TTTech segments automotive and aerospace industries, the customers were reluctant to make decisions quickly, had extended design cycles, and were relatively conservative when it comes to the introduction of new technologies (partially due to the fact that TTTech technology was known affected customers’ safety-critical systems). Some were also facing difficult financial times, coupled with the economic downturn, especially in the automotive sector. On top of these other challenges, many TTTech projects requires a high degree of customization and a significant service component that is not directly reproducible from one account to another. The vision of the company, as defined in its 2009 strategy statement that it was “the world’s largest provider of embedded networks and modular safety controls for markets where reliability and robustness have become indispensable.” Through its presence in the established business and expanding into other high-volume markets, TTTech set a target to more than U.S. $ 200 million in annual sales grow and reach a market capitalization of U.S. $ 1 billion in 2015.
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from
Robert A. Burgelman,
Lyn Denend,
Robert Siegel
Source: Stanford Graduate School of Business
34 pages.
Release date: 01 September 2010. Prod #: SM185A-PDF-ENG
TTTech (A): Looking for growth and scale in new and existing markets, HBR case solution

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