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global marketing
Questions and Answers of
Global Marketing
10. The term macrosegmentation was first proposed by Wind and Douglas, 1972.
9. Ghemawat, 2007, ch.1.
8. From Corstjens and Merrihue, 2003, p.8.
7. See “100 Best Global Brands,” Interbrand, 2007.
6. The M-Net model is presented in Corstjens and Merrihue, 2003.
5. The Samsung case is discussed fully in Quelch and Harrington, 2003.
4. See Harrell and Kiefer, 1981.
3. Note that the two major dimensions of this kind of matrix can be seen as “Market Size” and“Market Share.” As we saw in Chapter 4, the typical forecasting equation used is Company Sales
2. For a good discussion of the BCG growth-share matrix and the portfolio approach, see Kotler, 2000, pp. 67–73.
1. The organizational structure of the global company is a topic in Chapter 18.
5. When discussing resource allocation between products and countries, the chapter used the example of Samsung’s M-Net program. Using this framework, apply its logic to a current strategic
4. What are the advantages of “similar segments, similar positioning” in a product such as digital cameras? In cell phones? In leisure clothing? In athletic shoes? Any disadvantages?
3. Would services be more or less likely to have universal segments than products? Is the success of global fast-food restaurants (a service category) an exception or typical of services?
a frequently purchased packaged good? Any examples?
2. Why is a high-tech product more likely to appeal to the same segment everywhere, compared with
When would it seem an affront to local culture? How is B2B different, if at all?
1. For what products would a “selling orientation” be more acceptable to the local consumer abroad?
The implementation of global marketing requires considerable people skills and managerial flexibility to accommodate local variations that require adaptation. The numerical allocations provide the
Quantitative data on products and markets can be used to determine how marketing resources should be allocated. The basic data involve measures of country-market attractiveness and competitive
To reap the benefits of global marketing the firm has to coordinate and control its marketing across the globe. Resources have to be directed toward the most promising products and markets.
6. Top management grows increasingly 6. Senior management gains uncomfortable with the overall confidence in its level of marketing marketing investment. investment
5. Marketing's total budget appears 5. The fact-based case for the allocation is arbitrary and indefensible. presented in meetings with field managers.
4. Over- and underinvestments are 4. The allocation is refined based on insights rampant–yet no one knows where or of field marketing managers, then by how much. finalized by HQ.
3. Outsized increases go to the biggest 3. What-if scenarios are tested to determine the markets and the "squeaky wheels." most effective allocation of marketing resources.
2. HQ's marketing management 2. Using M-Net's analytical engines, corporate responds based on incomplete marketers identify high-potential information, tradition, and gut instinct. country-category
1. Category managers campaign 1. Critical country- and product-category data for incrementally larger annual are collected into M-Net, the company's marketing budgets. Web-based marketing data
5. Understand how target segments and brand position can be different in different countries even for universal products, depending on competitive situations and stage of the product life cycle.
4. Do the necessary localization and adaptation of standardized products which overcome the unavoidable mispositioning in local markets.
3. Interpret global segmentation data and develop clusters of similar countries for which standardized marketing is acceptable.
2. Map out the firm’s global portfolio of markets and products and understand the resulting resource allocation between countries.
1. Rethink the basic marketing orientation when implementing a global strategy, and know how to balance the local customer orientation against the unavoidable top-down coordination.
5. If you were Steve Boyd, which of the three options would you pursue? Justify your choice.
4. On the basis of the consumer research data collected after launch, what is your diagnosis of what went wrong?
3. Evaluate the promotional launch and the advertising campaign. Were mistakes made that could have been anticipated?
2. How would you evaluate the positioning of Cleopatra in Canada? Are there any alternative options?
1. What are the similarities between the French and the Quebec markets that suggest acceptance for Cleopatra after the French success? Critically evaluate the market research prior to the launch. Are
3. Alter the strategy or even the product itself.
2. Continue the strategy with minor modifications if necessary, and try to get a 4.5 percent market share by giving it more time and support. Or,
1. Admit defeat and discontinue the brand.
8. Liquid soaps had entered the market and held an 8 percent share. Based on current consumer reaction, the maximum share was not expected to grow beyond 10 percent in the future
7. Competition was based on price, as there were no real competitive advantages or meaningful differences among most brands and because of increased pressure from the retail trade to meet competitive
6. Trends toward larger bundle packs had developed(more than one bar of soap packaged and sold as a unit), reducing the number of purchases each consumer made during the year. For example, in the
Buying decisions within this group were based on price. There were 15 mainstream brands, along with 20 to 25 minor ones, fighting to become one of these “acceptable” choices.
5. Consumers had a group of “acceptable” brands that they were willing to purchase (usually 3 or 4 in number).
4. Technological advances were slowing, and relaunches were increasingly “cosmetic” in nature (new color, new fragrance, etc.).
3. Competition from no-name and private label products had increased.
2. The only method of survival for the many new brands and new variants of existing brands was to steal share from other products in the market.
1. Volume growth in the market had slowed and coincided with the growth of the Canadian population(1.0–1.5 percent annually). No further rapid expansion was expected.
5. Would you retain the premium positioning of Levi’s in Japan? Why, or why not?
4. List the pros and cons of the different distribution alternatives facing LSJ. Which one do you think has the best chance of succeeding?
3. How would you explain the apparent success of LSJ’s advertising campaign stressing American values in Japan?
Can other American jeans do the same?
2. To what extent do the Levi Strauss’s FSAs and CSAs match the KSFs? How has Levi’s been able to leverage its country-of-origin to become a leading brand?
1. What are the key success factors (KSFs) in the Japanese marketplace?
3. How to develop and implement a pricing strategy given the current retail environment
2. How to respond to the changing structure of the distribution channel.
1. How to continue to grow faced with a contracting market.
5. Given the economic data, what is your recommendation for launch strategy?
Should the BC-18 technology be introduced with a pan-European name, or with local brand names, or even with a mixture of both approaches?
4. What does the marketing research tell about the price and positioning decision for Europe? Brand choice?
3. Which countries would be the leading markets in Europe? What are the advantages or disadvantages of entering a leading market first?
2. What competitive advantages does Pert Plus have?Disadvantages? Any country-of-origin effect?
1. How attractive is the pan-European market for Pert Plus in terms of demand potential? Competition? Any cannibalization problems?
5. What factors in your own country’s typical consumer advertising do you think will not be the same in an NDC economy? How do consumers in your country and the NDC learn about new product features?
4. What factors would you think are particularly important for a marketer of cosmetics to teach retailers in the stores of NDC markets? For a marketer of automobiles?
3. Access one of the Web sites for Amway, Avon, or Mary Kay. What do they say about their operations in China and other emerging markets? Check out other direct marketers with pyramid-type sales
2. What are the basic functions of an effective distribution system in mature markets? As online shopping across country borders becomes feasible and accepted, what are the demands on the
1. How strong would you say the evidence is that the emerging markets will sooner or later have the same kind of consumers as mature markets? What will the role of national differences and culture
3. The Lesser-developed economies of Jordan, Yemen, Morocco, Oman, Syria, and the Palestinian territories. These are some of the poorest markets in the world
2. The emerging markets, including Iran, Iraq, Egypt, Turkey, Algeria, Israel, Lebanon, and Tunisia. Less wealthy, these countries have more diverse market economies.
10 percent annually.
1. The oil-producing economies of Saudi Arabia, Kuwait, Bahrain, Qatar, Oman, Libya, and the United Arab Emirates. These are some of the wealthiest and fastestgrowing markets. For example, Dubai (in
21. What can I do? I didn’t break it.
20. Why don’t you have the money ready?
19. If you want it, speak up; if you don’t, get out of the way.Next!
18. Didn’t I tell you? How come you don’t get it?
17. I’m not in charge. Don’t ask so many questions.
16. It’s not my fault.
15. If you’re not buying, don’t ask.
14. No exchanges; that’s the rule.
13. The price is posted. Can’t you see it yourself?
12. If you don’t like it, talk to the manager.
11. Go ask the person who sold it to you.
10. Why didn’t you choose well when you bought it?
9. I just told you. Why are you asking again?
8. Don’t you see I’m busy? What’s the hurry?
7. Are you buying or not? Have you made up your mind?
6. Buy it if you can afford it; otherwise, get out of here.
5. If you’re not buying, what are you looking at?
4. I don’t care whom you complain to.
3. Take a taxi if you don’t like the bus.
2. Ask someone else.
1. If you don’t like it, go somewhere else.
5. Distribute instructional videotapes and other educational material to various members of the distribution channel, explaining why customers are so important in the free market system and why
4. Make sure that product localization in terms of design and packaging also takes into account the needs of the middlemen. This often involves educating the home office about special requirements,
3. Help the middlemen develop a tracking and cost accounting system to make it possible to trace shipments and locate where in the chain there may be a problem, such as overstocking.
5. Learn how to monitor the environmental trends in these markets, and track how they change as political, military, and economic realities change—by external forces, such as the rising oil prices
4. Be an educator of local service providers, showing how free markets require customer service and how to overcome the ambivalent feeling about free markets that newly democratized nations still
3. Help design an effective distribution system that takes into account the often weak infrastructure in many emerging countries and also helps to improve it.
2. Recognize the differences between specific emerging markets, and to adjust for the different political regimes and how they affect strategic decisions, in particular foreign direct investment.
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