There is a story told of an Irish visitor to a Waterford Wedgwood shop in London who found that his desired Wedgwood purchase was out of stock.
He asked the sales assistant if, as an alternative, he might purchase the item more easily when he got home. The assistant asked him to wait while she asked the manager if, in fact, Waterford and Wedgwood products were available in Ireland. Almost certainly apocryphal, this tale says something about the nature of the Waterford Crystal brand.
Despite the domestic tendency to see it as an Irish product, Waterford is critically dependent on international sales. And irrespective of shamrock-filled crystal bowls in the White House on St Patrick's Day or showpiece trophies produced for some of the world's biggest sports events, commercial success depends on attracting buyers in a global marketplace of changing tastes.
Against this background, Waterford Wedgwood has announced plans to cut 1,800 jobs as part of a new round of restructuring: some 485 jobs will go with the closure of the crystal plant in Dungarvan and cutbacks at the main factory in nearby Waterford; 160 jobs will be lost at German company Rosenthal; the workforce of Wedgwood and newly acquired Royal Doulton in the UK will be reduced by 950 (about 450 of whom have already gone) as part of the integration of the two companies; and 200 more will go across the wider group.
Waterford Wedgwood is facing seemingly inexorable pressure. Foremost is a fall in sales, especially in major markets, the US and Canada. The high-end tableware sector is declining and, more fundamentally, consumers are moving away from Waterford's heavy cut crystal model in favour of lightweight and more practical glassware. The ill effects of this trend are compounded by a sharp drop in the value of the dollar against the euro which has cost the group dear.
It is also true, however, that uncertainty has dogged Waterford Wedgwood for several years and the question now is whether this latest move will be any more successful than past initiatives in securing the group's future. The Irish workforce has been cut by 2,000 over the past 18 years; craftsmanship has given way to mechanisation and outsourcing; the crystal brand has extended to products such as china and linens; and the company has moved in and out of a US cookware business. There has been some success - including the development of the John Rocha range - but the tide has not been turned.
This new restructuring is being funded by a €100 million rights issue underwritten by principal shareholders, chairman Sir Anthony O'Reilly, and his brother-in-law, Peter Goulandris. They hold 24.6 per cent of the group and may ultimately gain full control. But for the remaining workforce, the real issue is whether their jobs will go the way of so many others within the group. Has the management got the skill to combine this latest rationalisation with the kind of innovation needed to return the sparkle to a great brand?