Organizationally, Corwin had maintained the same structure for more thanfifteen years (see Exhibit I). The top management of Corwin Corporation washighly conservative and believed in using a marketing approach to find new marketsfor existing product lines rather than exploring for new products. Under thisphilosophy, Corwin maintained a small R&D group whose mission was simply toevaluate state of the art technology and its application to existing product lines.Corwin’s reputation was so good that it continually received inquiries about themanufacturing of specialty products. Unfortunately, the conservative nature ofCorwin’s management created a do not rock the boat atmosphere opposed to takingany type of risks. A management policy was established to evaluate all specialty productrequests. The policy required answering yes to the following questions:
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