Publications
Publications
- May 1999 (Revised March 2001)
- HBS Case Collection
Marshall Industries
Abstract
Confounding predictions that the Internet would "disintermediate" commerce, making "middle man" companies all but obsolete, Marshall Industries, a leading electronics distributor, used the Internet and digital technologies to reinvent itself. Marshall continued to sell electronics components, but the company abandoned the traditional sales-driven strategy for a more customer-focused, service-driven strategy. At the heart of its transformation was a complete restructuring of the compensation and incentive system and heavy investments in information technologies. Several years into its first foray into the digital realm, Marshall faced growing pressures: shrinking margins, increasingly demanding customers, restrictive supplier practices, and competitors rapidly introducing me-too Internet and virtual services. Marshall continued to look for ways to use its innovative spirit and digital expertise to differentiate itself and to create and deliver a whole new set of virtual supply chain services.
Keywords
Organizational Change and Adaptation; Digital Platforms; Internet and the Web; Supply Chain; Emerging Markets; Customer Focus and Relationships; Distribution Industry; Electronics Industry
Citation
Rayport, Jeffrey F., and Cathy Olofson. "Marshall Industries." Harvard Business School Case 899-239, May 1999. (Revised March 2001.)