Summary

Bata, founded in 1894, is a globally recognized footwear and fashion accessories brand known for delivering affordable, stylish, and durable products. Initially launched as a family-run business in the Czech Republic, Bata rapidly expanded to become one of the world’s largest shoe manufacturers and retailers, with a presence in over 70 countries and more than 5,300 retail stores. Bata’s commitment to innovation, craftsmanship, and customer-centric design has kept the brand relevant for over a century, continually adapting its products to meet changing trends and consumer needs. Its diverse product lines cater to various demographics, from children to adults, offering everything from classic everyday footwear to contemporary, fashion-forward designs.

History

Bata was founded on 24 August 1894 in the Czech Republic, by siblings Tomáš, Antonin and Anna Bata, who hailed from a family of cobblers. The company grew exponentially after Tomáš studied new methods of mass production in the United States and introduced mass production in Europe. Its debut mass product, ‘Ba?ovky’, a leather and textile shoe, became popular for its simple, lightweight style and low price.

Following Antonín’s death in 1908, Tomáš brought his younger brothers, Jan and Bohuš, into the business and by 1912, the Swiss-headquartered, family-owned company employed six hundred workers and several hundred people who worked out of their homes. With the outbreak of World War I, Czechoslovakia was hard hit with its currency devalued by 75 per cent, and unemployment was rampant. Tomáš Bata responded to the crisis by halving the price of Bata shoes.

The workers agreed to a interim reduction in wages; in turn, Bata provided food, clothing and other necessities at a reduced price. He also introduced a profit-sharing initiative that gave employees a stake in company profits. Consumer response to the price drop was explosive — while most competitors were forced to close, Bata continued to expand as demand for their inexpensive shoes grew.

Bata Shoe Company increased production and hired more workers and he original factory town of Zlín was transformed into ‘Bata-Ville’—a self-sufficient factory town where workers could live with basic amenities including housing, schools and hospitals… provided for by Bata. The company had a philanthropic base in its business strategy — the company had its own hospital, schools and introduced the five-day work week.

As his empire continued to grow, Tomáš Bata diversified his company into tanning, agriculture, forest farming, sea transport, coal mining, airplane manufacturing and river transport. It was through diversification that he conceptualised his vision of self-sufficient factory towns, and as his business became global, so too did his vision for ‘Bata-ville’.

However, Tomáš Ba?a passed away in 19312 in a plane crash leaving his half-brother, Jan, and his son, Thomas John Ba?a, to helm the company guided by his principles: Bata was to be treated not as a source of private wealth, but as a public trust, a means of improving living standards within the community and giving consumers value for money. Jan Antonín Ba?a, following the plans laid down by Tomáš before his death, expanded the company and plants opened throughout the world.

Just before the German occupation of Czechoslovakia, Bata re-posted Jewish employees to branches of his firm worldwide. Jan Antonín Bata spent time in prison but in time he was allowed the country with his family. He stayed in America during 1939–1940, but when the US entered the war, he was put on British and US blacklists for doing business with the Axis powers, and in 1941 shifted to Brazil. Following the end of the war, he was tried as a traitor for failing to support anti-Nazi resistance and in 1947 was sentenced in absentia to fifteen years in prison.

The demolished Bata International Centre was global headquarters during it entire existence. Tomáš’ son Thomas J. Bata, manager in British Bata Company, was sent to Canada by his uncle Jan. In 1939, foreign subsidiaries were segregated from the parent company and governments in Czechoslovakia, East Germany, Poland and Yugoslavia stripped Bata of its East European assets. In 1945, Bata Development Limited in Great Britain became service headquarters and the company rebuilt itself, expanding into new markets.

By 1962, Bata had production and sales activities in over seventy nine countries. In 1964, Bata moved headquarters to Toronto, Canada. After the global economic changes, Bata moved out of Canada. In September 2008 Thomas John Bata passed away at Sunnybrook Health Sciences Centre in Toronto.

A resilient company with strong philanthropic values, Bata recently estimated it serves more than a million consumers a day, with a retail presence in over seventy countries, and appointed Sandeep Kataria its global CEO. Since, the brand has upped its style quotient; having a global pedigree— founded in the Czech Republic and headquartered in Switzerland— sure helps.

For the quarter ended September 30, 2024, revenue from operations of Bata India stood at Rs. 8,371 million, showing positive momentum from Rs. 8,191 million in Q2FY24. The Operating Profit was reported at Rs. 524 million. The results for the quarter reflect continued momentum in the transformation journey, driven by strategic investments in product innovation, elevated customer experience, technology integration and brand premiumization, positioning Bata strongly for future growth.

Speaking on the Q2FY25 performance, Gunjan Shah, MD and CEO – Bata India Limited, stated: “Despite continuing market headwinds and subdued consumption, we saw some recovery in our growth trajectory through the quarter backed by focused execution of strategic initiatives. strengthened omni-channel approach… Our conscious efforts on Franchise model expansion are showing good results. Cost efficiency remains a cornerstone across all operations including manufacturing facilities. We continue to maintain a balanced approach between managing near-term challenges and investing in long-term growth drivers. We are optimistic about consumption recovery in the coming quarters, backed by festive season momentum and our strong market positioning.”

Vision

Bata’s vision is about creating a sustainable, innovative, and customer-centric footwear company that caters to the needs of a diverse global demographic. The company aims to combine quality craftsmanship with modern design, ensuring that every product embodies comfort, durability, and style. By focusing on sustainability, Bata prioritizes environmentally friendly materials and ethical manufacturing processes, reflecting its commitment to minimizing its environmental footprint. Bata envisions a future where fashion and sustainability coexist seamlessly, setting a benchmark in the footwear industry for both quality and environmental responsibility.

At the core of Bata’s vision is a dedication to meeting the evolving demands of customers worldwide. By staying attuned to consumer preferences and trends, Bata aspires to offer footwear that aligns with the lifestyles of individuals across various demographics. The brand emphasizes innovation not only in design but also in technological advancements that enhance user experience, such as improved ergonomic features and materials engineered for superior comfort and durability. Bata’s vision includes expanding its reach by establishing a stronger presence in emerging markets, with a focus on making quality footwear accessible and affordable for all.

Bata’s vision further extends to fostering a supportive and inclusive workplace culture. The company aims to be an employer of choice by creating opportunities for employee development, encouraging innovation, and embracing diversity. This internal commitment is reflected in their product lines and customer service, as employees bring their unique perspectives to the brand’s evolution. Through community initiatives and partnerships, Bata also envisions itself as a socially responsible entity, contributing to the well-being of the communities it serves. By adhering to these guiding principles, Bata’s vision is not only about leading in the footwear market but also about making a positive impact on society as a whole.

Mission Statement

Bata’s mission is to provide quality footwear that enhances the daily lives of people worldwide, prioritizing comfort, affordability, and durability in every product. By leveraging its longstanding expertise in shoemaking, Bata is dedicated to delivering value-driven footwear that suits the diverse needs of its customers. This mission encompasses a commitment to accessibility, aiming to make high-quality shoes available to individuals across all economic backgrounds, without compromising on style or comfort. With a focus on continuous improvement, Bata strives to innovate in materials, design, and manufacturing, ensuring its products consistently meet high standards.

In addition to crafting exceptional products, Bata’s mission emphasizes social and environmental responsibility. The company seeks to minimize its environmental impact through sustainable practices, including the use of eco-friendly materials and ethical production methods. Bata also invests in community-building initiatives, especially in regions where its factories and retail outlets operate. By supporting local economies and prioritizing responsible sourcing, Bata’s mission extends beyond profitability to include a positive impact on society. This dedication to both product excellence and ethical responsibility embodies Bata’s role as a global leader in the footwear industry.

Products and Services

Bata offers a diverse portfolio of footwear collections, each designed to cater to different lifestyles, age groups, and style preferences. From formal wear to casual and athleisure options, Bata’s collections are crafted to combine comfort, quality, and style. With seasonal updates and trend-responsive designs, the company provides customers with footwear that aligns with current fashion while maintaining functionality. Bata’s children’s line focuses on durability and comfort, while its men’s and women’s collections offer both classic and contemporary styles, ensuring something for everyone. Additionally, Bata’s focus on ergonomic design and material innovation makes each product a blend of style and practical comfort.

Bata is also committed to providing a seamless shopping experience across its online and physical stores. With user-friendly online platforms, Bata makes it easy for customers to browse, order, and receive footwear at their convenience, featuring flexible return policies and efficient customer support. In-store, Bata’s knowledgeable staff assist customers in finding the right fit and style, enhancing the overall shopping experience. Bata also offers value-added services like shoe care products, loyalty programs, and exclusive discounts, fostering long-term customer relationships. Through these customer-centric services, Bata ensures accessibility, convenience, and satisfaction in every interaction.

Key Team

Thomas George Bata, Chairman; Sandeep Kataria, CEO

References