Communications transmission technology is developing rapidly in the last years of the twentieth century. One of the newest and most promising technological innovations to gain wide acceptance in user applications is fiber optics. The user application of fiber optics technology has created a support market involving the manufacture and marketing of test and mon itoring equipment. As is true of most high tech innovations in recent years, the fiber optics support market for test and mar keting equipment is developing an international competitive character. It is important for the American economy that Amer ican firms be able to compete effectively in the fiber optics support market for test and monitoring equipment, so that the country wil not become an also ran in one more high tech activ ity. The proposed research study will develop a strategy which will permit a small, American fiber optics test and monitoring equipment manufacturer to compete effectively in the American market against foreign competition.
General Fiber Optics, Inc. is a small American (New Jer sey) manufacturer of fiber optics test and monitoring
equipment. In 1990, the domestic fiber optics test and moni toring equipment market will have total sales approximating $225 million, with growth of 10 percent per annum projected for the early 1990s. In mid 1990, approximately 50 American firms are manufacturing and marketing fiber optics test and monitor ing equipment. Foreign competition is expected to cause many of the American firms to fail, and to cause others to merge, as a means of remaining in the market.
General Fiber Optics, Inc. desires to remain in the domes tic market as an independent entity. To accomplish this goal, however, the company requires a strategy which will enable it to compete effectively against both foreign and domestic compe tition. It is hypothesized that the development of a strategy built around high levels of product quali...