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"Operation Grygov". The Baťa company's unsuccessful attempt to enter the cement industry

Publication at Faculty of Arts |
2016

Abstract

This case study focuses on one chapter in the history of the Baťa company. It examines the company's business strategies connected with its attempt to move into a strategic industry (cement production) and explores the attempts by various existing cement companies (grouped together within a nationwide syndicate, the "Prodejna cementáren") to prevent this expansion.

As the conflict grew in intensity, economic power became increasingly intertwined with the political structures of the First Czechoslovak Republic, both on the regional and national levels. Members of the government played an active role in regulating the industry through their own private initiatives, particularly in connection with the construction of Czechoslovakia's border fortifications.

The study describes the tools used by monopolistic organizations in an attempt to prevent a new company entering the market, outlining the role played by cartel structures and showing how conflicts and secret agreements within the cement industry syndicate influenced the formulation of strategies designed to thwart the Baťa company's plans