Bata Shoe Organisation

Topics: Slovakia, Czechoslovakia, Czech Republic Pages: 2 (321 words) Published: October 10, 2010

1580: The Bata family’s ties to shoemaking in Czechoslovakia Village of Zlin 1894: The family began to make transition from cobblers to industrialists The Bata Shoes business experienced steady growth

Until 1939: The Bata Shoes had network in 28 countries
World War II happened.
In 3/1939, with Germany on the verge of invading country
Thomas J.Bata fled to Canada with 180 Czechoslovakian (his managers and their families).

Since that time, The Bata Shoes Company growth worldwide
- 60 countries
- Employ more than 57,000 people
- Operate 4,458 company-owned stores worldwide
- Has 100,000 independent retails and franchises
- Over 62 manufacturing units
- Satisfies one million customers/day
The company began to shift increasingly to developing countries, especially China and other countries in the Pacific Rim. 1995-1996, Bata closed down 20% of its retails outlets due to loss profit caused by severe competition on shoe business.

Return to Czech and Slovakia
When leaving Czechoslovakia, the Bata’s properties and operation was taken over by the communists after WW II. 1/1993, Czechoslovakia was replaced by two independent countries: Slovakia and The Czech Republic. By 1999, the Czech Republic was considered mostly free economically while Slovakia was considered mostly unfree. Bata tried to recover lost investments in the Czech Republic and Slovakia but the company was not able to resume his ownership of its prior assets. Finally, Bata opened one factory in the Czech Republic and 48 retails outlets, sold 3 million pairs of shoes in the first year, capturing 11% of the Czech shoe market. In Slovakia, Bata face problem. Communist promised compensation but never paid. New restitution law, Bata has to raise ownership claims with the new owners of factory. If without agreement, Bata can file a lawsuit to be settled in Slovakian courts. Until that time, Bata had not sold one pair of shoes in Slovakia.

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