I agree with you. It says the original CEO was a researcher himself and that's why he understood the risks funded the request. Things changed after his son-in-law took control as CEO. It doesn't mention if the son-n-law had any background in the industry or semiconductor research, or was just appointed CEO just because he was the son-in-law. I think that's where the company went wrong.
Destruction of Japanese companies by "management types" sounds like a theme that gets repeated over and over. Sony/Nissan is probably the most egregious one.
I guess this is a universal; most US companies were killed off by similar thought-process.
