Exam 4: Developing a Global Vision27

SCENARIOS Computer Sales A price war began in Japan in the personal computer market when Dell Computer Corporation introduced PCs at prices 25 to 60 percent lower than rivals.Dell targeted corporate customers from its Tokyo offices by "direct sales," the company's preferred name for mail order,and its main avenue for PC sales in the United States.Japan is the world's second-largest market for personal computers and had been ruled by NEC Corporation,who maintained a strong dealer network and had traditionally sold its computers at very high prices.Dell joined IBM and Compaq in targeting the Japanese market.Dell bet it could succeed in Japan by transplanting its U.S.method of operations in which the company assembles the PC to customer specifications,loads it with software,and delivers it to Japan.The company's success depended on its ability to sell PCs over the telephone.Analysts doubted this was possible in Japan because dealer networks are the key to the market,but Dell executives believed that name recognition was the main hurdle.To familiarize its target market with the idea of buying a computer sight unseen,Dell launched a major ad campaign through direct mail and ads in computer-related magazines and newspapers. -Refer to Boeing Co.The new American-Japanese-Chinese plane that Boeing plans to design and build gives partial ownership to the manufacturing partners involved in the project.This is an example of:

Which method of entering the global marketplace would be most risky?

Basketball is played nearly everywhere in the world and is an easily understood sport.The National Basketball Association (NBA)finals reached more than 600 million televisions in 195 countries.From this information,you should be able to infer that the NBA is:

Ericsson is a Swedish telecommunications firm.GCCT is a French electronics switch manufacturer.With the use of Ericsson's money and technology and GCCT's knowledge of the French market,the two companies created a new entity and beat out AT&T for a $100 million contract with the French government.The relationship between the two companies is an example of:

Traditionally,marketing-oriented multinational corporations have operated differently in each country,with segmentation strategies that provided different marketing mixes.Today,there has been a trend toward global marketing standardization.What is global marketing standardization? Can companies truly follow the basic premise of the global marketing standardization concept?

GATT,NAFTA,and the EU are all examples of market groupings.

Goodyear Tire and Rubber Company provided China with the materials and training needed to establish a printing plant in exchange for finished labels.This is an example of a(n):

According to the text,which of the following is an example of a product strategy that would be appropriate for a global marketing company to implement?

Unilever advertises its Impulse Body Spray worldwide by using the same "boy meets girl" ad campaign no matter where it wants to market its product.This is an example of a(n)_____ strategy.

_____ are trade alliances in which several countries agree to work together to form a common trade area that enhances trade opportunities among those countries.

Negotiations (such as GATT or the Uruguay Round)between countries that are made to stimulate global exchange and remove barriers are called _____ agreements.

Nigeria has about 2,200 miles of railroad,but years of neglect of both the rolling stock and the right-of-way have seriously reduced the capacity and utility of the system.Due in part to the failure of the railroad system,much of its 120,000 miles of roads are barely usable.As a result,businesses hoping to do business in Nigeria will most likely be concerned with:

Disney sells the rights for an investment company to run a Disneyland theme park in Tokyo.The investment company gains most of the profits from the enterprise while paying Disney a percentage in royalties.This is an example of:

Mitsubishi Heavy Industries and Kawasaki Heavy Industries produce McDonnell Douglas's F-15 fighter planes in Japan.The two Japanese companies pay McDonnell Douglas royalties for use of its manufacturing processes and patents.This is an example of:

Franchising is a form of:

Nigeria has about 2,200 miles of railroad,but years of neglect of both the rolling stock and the right-of-way have seriously reduced the capacity to use the system.In part as the result of the failure of the railroad system,much of its 120,000 miles of roads are also barely usable.From this information,you know that:

Muslim countries are receptive to most Disney products,but Disney has been asked when it sells its Winnie the Pooh characters to not sell Piglet because Muslims (as a part of their religious beliefs)contend that pork in any form is unclean.This is an example of a _____ factor that directly affects Disney's global operation.

The role of a domestic company that sells to an export merchant is to:

To protect its local vodka industry,Russia allows foreign manufacturers to have only one percent of the Russian vodka market.Russia uses quotas to control foreign competition.

SCENARIOS Computer Sales A price war began in Japan in the personal computer market when Dell Computer Corporation introduced PCs at prices 25 to 60 percent lower than rivals.Dell targeted corporate customers from its Tokyo offices by "direct sales," the company's preferred name for mail order,and its main avenue for PC sales in the United States.Japan is the world's second-largest market for personal computers and had been ruled by NEC Corporation,who maintained a strong dealer network and had traditionally sold its computers at very high prices.Dell joined IBM and Compaq in targeting the Japanese market.Dell bet it could succeed in Japan by transplanting its U.S.method of operations in which the company assembles the PC to customer specifications,loads it with software,and delivers it to Japan.The company's success depended on its ability to sell PCs over the telephone.Analysts doubted this was possible in Japan because dealer networks are the key to the market,but Dell executives believed that name recognition was the main hurdle.To familiarize its target market with the idea of buying a computer sight unseen,Dell launched a major ad campaign through direct mail and ads in computer-related magazines and newspapers. -Refer to Breathe Right.The same Breathe Right nasal strip you can buy in any pharmacy in the United States can also be purchased in 40 other countries.CNS used a _____ strategy.