Jorgen Palshoj started working as advertising
manager at Bang and Olufsen, based in Struer, in
1965. He was born and grew up in Copenhagen and
accumulated experiences by working with Lego as
advertising manager until he got a job at Bang and
Olufsen. In the company, Palshoj took
responsibility for international advertising and was
involved in product/ graphic design as well.
In the interview, Palshoj shares information on
the history of Bang and Olufsen and its success in
the international market. Bang and Olufsen was
established in 1925 by Peter Bang and Sven Olufsen.
The company produced its first television in 1950.
Inspired by the success of the Danish furniture
industry of the 1950s, Bang and Olufsen began to
use architects for product design. In the 1960s,
the company witnessed large internal and external
growth. Along with its interest in designs, Bang
and Olufsen started using different materials for
products. Engineers and designers closely
cooperated to produce high-quality electronics,
and the company reacted to changing trends quite
fast. Palshoj also talks of the influences of the
Japanese consumer electronics on Bang and Olufsen
and how the company managed to uphold its own
market principles.
Palshoj mentions big turnarounds for the company,
which took place in the early 1990s and the reason
the company has decided to concentrate on the
European market. He concludes his interview, talking
about the current cooperation of Bang &
Olufsen and Philips.
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1
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Bombing of Bang and Olufsen during
World War II
Duus Hansen
Telephone transmitter,
“Copenhagen’s telephone
book”
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2
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The transmitter and the resistance
movement in Denmark
Palshøj’s background and
career
Born in Copenhagen
Career at Bang and Olufsen
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3
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Struer
Palshøj starting
career as advertising manager
Product design
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4
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Director of Corporate Identity
History of the company
Peter
“Bang” and Sven
“Olufsen” starting company
in Struer, in 1925
“Lysnet,” receiver
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5
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Development of the radio working on
the mains instead of on the
battery
Battery eliminator
Making cinematographic machines for
sound systems
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6
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BOFA, a daughter company
Public address machines
Beocord, inspired by the US tape
recorders
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7
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First television by Bang and Olufsen
in 1950
Other Danish
competitors
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8
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Market share of B&O in the 1950s
in television
The size of
B&O from 1925 through the 1950s
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9
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The size of B&O
Total sales
in Denmark
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10
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Success of the Danish furniture
industry in the 1950s
Bang and
Olufsen’s use of architects at
the end of the 1950s
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11
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Transistorization
Corporation
with industrial designers
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12
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Portable television
Segmentation policy
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13
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Effects of Common Market on Bang and
Olufsen
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14
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Bang and Olufsen’s use of
architects from the end of the 1950s
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15
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Jens Bang, a son of Peter Bang
His interests in design and
engagement in the company
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16
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Sales in the 1960s
Large
internal and external growth
Danish government and Bang and Olufsen
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17
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Support of industrial research in
the Common Market
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18
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Importance of industrial research at
Bang and Olufsen
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19
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Focus on manufactures with strategic
values
R&D department
structure
Combining audio and
video in one remote control
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20
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Selection of materials
Importance placed on designs
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21
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Use of different materials for
products
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22
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Process of production
Market as
a beginning point
Idea Land:
separate department connected to the
R&D department
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23
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Invention push and market pull both
considered at Bang and Olufsen
Involvement of marketing department
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24
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The role of production and
manufacturing engineers
Cooperation between engineers and design
teams
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25
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Interactions between engineers and
design teams
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26
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(continued) Interactions between
engineers and design teams
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27
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New product development and
introduction to the market
Making a broader program and the success
of Bang and Olufsen
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28
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Need to be fast as a profitable
operation for the company
Design work at Struer
Working
with freelance designers
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29
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Whole production process detailed at
Struer
The influence of the
Japanese consumer electronics on Bang
and Olufsen
Sticking to
their own way as opposed to the Japanese
market setter
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30
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Bang and Olufsen becoming an
alternative to the Japanese
world
Price competition
Selling differences as advantage
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31
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Reorganization of the company
Getting touch with the market by
cutting down costs
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32
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Connection with Philips
Establishment of the Bang and Olufsen
holding company
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33
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Germany as the biggest market for
Bang and Olufsen
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34
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Management changes
North
American market
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35
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Japanese market in similar
situations to the North American
one
Decision of Bang and
Olufsen to concentrate on Europe
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36
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Anders Knutsen and the first big
change for the company
Working
together with Philips
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37
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Close cooperation with Philips in
terms of R&D
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