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global marketing

Questions and Answers of Global Marketing

3. Describe how IKEA’s expansion has reenergized mature markets around the world and changed the competitive situation.
2. What are the cultural factors that make expansion abroad in retailing difficult? What has made it possible in IKEA’s case?
1. What are IKEA’s firm-specific advantages? Countryspecific advantages?
What kind of culture would you expect to favor that rule, high context or low context?
5. In negotiations it is often said that “silence is golden.” Give an example of what this might mean.
4. What behavioral differences would you expect to find between the managers in a large German multinational and in an American MNC in the same industry? What factors might make their behavior very
3. Discuss the extent to which electronic commerce (online purchases, Internet shopping, etc.) might be acceptable to a culture. Does this have anything to do with Hall’s or Hofstede’s
2. Look for the Web sites of a few of the companies mentioned in this book. To what extent do they attempt to create a relationship with you? For example, do they offer screensavers with their logo
1. An American manager can often be heard to start out saying, “Well, the way I see it . . . .” while a Norwegian as often will start with, “Well, as we all know . . .” What cultural
9. India: Cyclical Hindu philosophy: The cycle of life; the family cycle; the social cycle; the work cycle.
8. The Chinese family altar: Confucianism and Taoism; roundness, harmony, and fluidity.
7. The Japanese garden: Wa and shikata, harmony and form; seishin, spirit of self-discipline; combining droplets.
6. The Swedish summer home: Love of nature; individualism through self-development; equality.
5. The Italian family opera: Pageantry and spectacle; voice expression; chorus and soloists.
4. The French wine: Purity; classification; composition; compatibility; maturation.
3. The German symphony: Orchestra; conductors; performance; society, education, and politics.
2. The British house: Laying the foundations; building the brick house; living in the brick house.
1. American football: Individualism and competitive specialization; huddling; ceremonial celebration of perfection.
5. Recognize that cultural differences are examples of market entry barriers and can be overcome with sensitivity, hard work, and a superior product or service.
4. Balance the adaptation to a new culture with an honest articulation of the merits of a proposal so as to build trust.
. Understand how our own culture has promoted certain behaviors that may well be counterproductive in new cultures.
2. See how culture becomes particularly important when it comes to implementing a global marketing strategy.
1. Recognize how culture is not only a fundamental dimension of any society but a very visible force affecting customers as well as managers.
11. Williamson, 1975, is the original statement of the transaction cost framework. The application to foreign entry can be seen, for example, in Anderson and Gatignon, 1986.
10. The dissipation problem and the issue of getting a reasonable return on the firm’s assets are headaches for managers, since licensing is a very convenient option not requiring much in terms of
9. Kogut and Zander, 1993, report on these practices.
8. See, for example, Nelson and Winter, 1982, and Nonaka and Takeuchi, 1995.
7. See, for example, LaBarre, 1994. In this survey covering respondents from North America, Japan, and Europe, Japan was rated overall highest in quality of manufactured products, followed by Germany
6. A good early review is that by Bilkey and Nes, 1982. For more recent studies, see Papadopoulos and Heslop, 1993, and Verlegh and Steenkamp, 1999.
5. See Nonaka and Takeuchi, 1995, Chapter 7, and Grant, 1998, pp. 435–37.
4. See Krugman, 1988.
3. See Porter, 1990.
2. See Vernon, 1979, in particular. The later extensions involved introducing dynamic competitive conditions and firm-level rise and decline explicitly. The multinational in the early stage is an
1. See Vernon, 1966.
5. On the vehicle Web site, keep track of your own comparisons to create a flow diagram that shows what features were accessed and at what stage (for example, price and engine power). Then compare
. Visit an Internet interactive vehicle-buying service (such as AutoVantage) and compare the various makes offered. Discuss how the close comparisons possible online makes competitive advantages
3. Discuss how the transferability of competitive advantages of a service differs from that of a product.
2. Use Porter’s “five forces” model to analyze the competitive environment of a country of your choice (pick a product category that you are familiar with). How does a market orientation
1. Identify the competitive advantages of some market leaders such as McDonald’s, Nike, Swatch, and Sony. Are these country-specific or firm-specific advantages?
5. Evaluate the wider repertoire and greater financial clout of global competitors, and their intense competitive rivalry.
4. Extend Porter’s “five forces” model by analyzing the split between domestic and foreign competitors and the possibility of strategic groups formed by trade barriers or regional treaties.
3. Assess whether competitive advantages are mobile and transferable abroad, particularly important for country-specific advantages not under the control of the firm.
2. Define competitive advantages, by separating country-specific from firm-specific advantages.
1. Combine a market-oriented analysis perspective with a resource-based analysis when developing a global marketing strategy.
27. The references used here include Yoshino, 1990, and Natsuzaka, 1987. In addition, this section is based on interviews with Mr. Richard Laube, advertising manager for P&G Japan in Osaka, and with
26. See Johansson and Yip, 1994.
25. This section draws on Quelch and Hoff, 1986, and Yip, 2002.
24. ISO 9001 guidelines are available directly from the EU Commission in Brussels and also from U.S. Department of Commerce offices. Consultants specializing in helping firms get ISO 9001 approval
23. Levitt, 1983, was the first to recognize this trend.
22. See Yip, 2002. This section draws directly on Yip’s treatment of global strategy. The addition of technology as a driver was suggested by Masoud Kavoossi of Howard University.
21. The “long tail” phenomenon was first introduced by Anderson, 2006.
20. The “chasm” notion was originally developed by Geoffrey Moore to explain the marketing failures of high-tech products. See Moore, 2002.
19. The product life cycle and the related segmentation and positioning concepts are discussed at length in many introductory marketing texts. See, for example, Kotler and Keller, 2005, Chapter 12.
18. See Lieberman and Montgomery, 1988.
17. For the ACNielsen study, see the report in Branch, 2001.
16. See Hamel and Prahalad, 1991.
15. Adapted from Kashani, 1992.
14. This list draws on Yip’s original work, 2002.
13. The term “multidomestic” was first proposed by Hout et al., 1982.
12. See Rugman, 2005.
11 See Ghemawat, 2007b.
10. This argument has been made most forcefully by Pankaj Ghemawat, a Harvard professor. See Ghemawat, 2007a.
9. See Friedman, 2005.
8. See, for example, Stiglitz, 2008.
7. See Fairtrade Labelling Organizations International, 2006, www.fairtradefederation.org.
6. American Brands in the World: Growing Opportunities or Rising Threats? Roper Report, 2004.From Business for Diplomatic Action, Inc.
4. After graduation, many students would like to work in a certain country, and often for a particular multinational. Using one of the Internet search engines (such as www.yahoo.com or
3. What would a marketing manager learn in the U.S. market that could be useful in Europe?
2. Identify three product categories for which you think the markets are global. Can you find three that are multidomestic? What market data would you need to support your assertion?
1. What are the factors that seem to drive the globalization of the automobile industry? Why is the computer industry not spread more evenly around the globe?
6. Learning how to do business abroad. For example, to learn how to deal with former communist countries, entering Poland may be a first step to entering Russia.The potential diversity of objectives
5. Diversifying markets. By adding new countries and markets to the company portfolio, the firm’s dependence on any one market will be lessened.
4. Pressuring competitors. Increasing the competitive pressure in the stronghold market might help divert the competitor’s attention from other markets.
3. Learning from a leading market. Many small market shareholders make no money in very competitive markets, but learn about new technology and about competition.
2. Gaining scale and scope returns at home. Longer production series and capital investment increase productivity.
1. Exploiting market potential and growth. This is the typical marketing objective.
Tastes and standards are unknown and perhaps unformed.
Advertising has to be more generic.
Customers might have to be educated.
Channel members may need training.
5. Separate the job (and career path) of the global marketing manager into three quite different tasks: foreign entry, local marketing abroad, and global management.
4. Understand why global marketing involves new marketing skills, for example how to enter markets and how to manage the marketing effort in the local foreign market.
3. Identify the many reasons for going abroad, not just sales and profits. A company might enter a foreign market to challenge a competitor, to learn from lead customers, or to diversify its demand
2. Judge whether an industry and company is ready for global strategies and should start thinking about standardizing the various marketing mix tools.
1. Explain why the opening of previously closed economies has led to greater global market opportunities but also to the threat of disruptions by terrorism and antiglobalization forces.
At Georgetown I have also used the text in a second-year MBA class titled“Foreign Market Development,” for which I assign Parts Two and Three on foreign entry and local marketing, and then only
An “Export Marketing” course could select the foreign entry chapters from Part Two, and then do the local marketing chapters in Part Three plus the pricing and distribution chapters in Part Four,
An “International Marketing” course could focus on local marketing and global management, Parts Three and Four.
A shorter “Global Marketing Management” course, perhaps for executives, could go straight from the fundamentals in the first three chapters to Part Four, “Global Management,”starting with
A complete course on “Global Marketing,” possibly using additional cases, is the“full-course” treatment.
4. prepare an international marketing plan which can secure international expansion for polaroid sunglasses in the coming years, also including new markets in South America and Asia.
3. In the US, where polaroid was ‘born’ and where polaroid sunglasses used to have a big market share, the polaroid brand needs to be repositioned and relaunched. What should be the key elements
2. The new marketing strategy of polaroid has worked well in the Uk and its other markets. Should the polaroid brand strategy just repeat in new territories what it has done in the Uk, or should it
1. Make a comparison of the competitive strategies and competitive strengths of Luxottica group and Safilo group on a company level – before and after the polaroid Eyewear business became part of
2. Would it be relevant for Tetra pak to work with global account management (gAM)? If yes, how should it be organized and which organizational set-up should Tetra pak make use of?
1. Which ‘p’ of the marketing mix should Tetra pak concentrate on in the development of its global marketing plan?
3. Was it a wise decision of red bull to:● launch red bull Cola and red bull Energy Shots?● launch red bull Cola and red bull Energy Shots in many markets at the same time?
2. Argue for the most relevant segmentation (screening) criteria to be used by red bull in the process of international market selection (IMS).
1. How would you characterize red bull’s overall marketing strategy (global, glocal or local)?
5. What are the pros and cons for Sony Music Entertainment and pink making all pink’s music available on an online music service like Spotify.6. What can Sony Music Entertainment do to reduce the

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