Revised August 29, 2007
Fall 2007
Thursdays 6:00–9:00 PM Chicago Campus
Office hours: 1 ½ hours before class/by appointment
Professor Phillip Corse
President/CEO
Connectables, LLC (China Sourcing and Trading Company)
Senior Vice President, Marketing Consulting Services
Herbst LaZar Bell (New Product Research, Design and Development)
Contact Information p-corse@kellogg.northwestern.edu
philcorse@hotmail.com
847 778 7107 mobile
847 295 7509 home

1 Course Description
This course on Global Marketing is based on a combination of lectures/discussions, Harvard cases, videos, outside speakers, country snapshots, cultural ethnographies and a final marketing project in which student teams launch a discrete product in an emerging market such as India or China. The course is real-world based and the emphasis is more on
“how-to-do-it” rather than what-to-do”. This is an important distinction and a number of frameworks and tools will be introduced in the course for application by the class.
The course recognizes that we live in a flat, connected, shrinking, interdependent world in which time horizons are compressed, communications are 24/7, information is prolific, customers are also competitors and global work teams are located throughout the world. A stage-gate framework, consisting of Opportunity Assessment, Market Entry and Market
Expansion, provides tools and techniques to develop a regional/local perspective and the mantra for the course is to “Go
Local/Go Regional”!
My background? I have twelve years of corporate experience with consumer product companies followed by nearly twenty years in which I have been conducting marketing consulting engagements globally, co-founding companies in the US and
Asia and sourcing products from China for resale in the US and Europe. I am a classical trained marketer, serial entrepreneur and new product focused global marketing consultant.
I have been teaching this course at Kellogg for over a dozen years, have taught International Marketing Channels here and I also teach a marketing course at the McCormick School of Engineering for the Master of Product Development program that focuses on new product research and development.
The main perspective … but not the only one … that you the student will have, is as the Chief Global Marketing Officer of a
US based corporation that is interested in entering new international markets and/or expanding its business in new countries.
Other themes and perspectives are:
 The important trend of emerging/surging Asian countries”… such as India, Vietnam, South Korea and especially
China … striving” to increase its US sales and trying to establish/build their own brands, buy US companies/brands and “manage” its currency
 The recognition that China can not just be the “world’s factory” but must sell and market its own products to its exploding middle class … and build/expand its relatively few and unknown brands in developed countries and particularly in the Middle Kingdom!”
 My philosophy is that marketing starts and ends with the consumer or end user … that products must be developed, channels configured and markets created or penetrated based on the consumer’s contextual experiences
 The “interesting” and intensifying political turmoil within Europe and rapidly expanding “new” EU countries, especially eastern Europe … towards each other and especially towards the United States … and the effect on US brands.

 The identification and benchmarking of “best and real international marketing practices”, success stories and failure examples of global companies.
 The global opportunity of selling to the 4 billion “poor people” (of the 6.7 billion people on the planet) by designing and developing low cost products and services that are affordable for this target market.
 The reality that governments of foreign countries in cross border trade can be a significant barrier to entry, a partner, a customer or a competitor … and are in fact a “sixth” force in the 5 forces model … distributors can be a seventh force!
 A world that is drowning in an sea of $$$s, Euros, Rupees and Yuan in private equity, hedge funds and “buy-out” companies that have the financial resources and savvy to pull off multi billion dollar deals even as the drama in the global credit market is currently playing out.
You will be asked individually, and as a member of a team, to provide both in-class discussions and written analysis that will enable you to examinee the business environment and focus on global marketing problems and opportunities. Please bring into class or email timely and relevant global marketing articles and information to be discussed and shared with the class.
As a team, you will ultimately develop a marketing strategy and plan for a global enterprise in a selected country and for a selected company and product. You will provide an “order of magnitude” P & L based on the opportunity assessment your team formulates. The keys to this P & L are the revenue justification, the assumptions about selling prices and profits for all channel members and the optimal mix of “push/pull” marketing strategy components.
This course integrates and addresses the significant impact of cultural, economic, political, infrastructure and population variables in global marketing management. Students will explore marketing issues and marketing implications in a crosscultural perspective. Your market, competitor and cultural investigation will address appropriate opportunity and risk assessment, market entry strategies, and importantly, the implementation of the marketing plan.
This course will balance academic rigor and theoretical framework with the real world and the application with provided global marketing tools and business practices … with the emphasis on the implementation of global marketing plans and programs.
I am highly interactive … real world … and I will expect and encourage stimulating (I hope!) in class discussions with challenging and engaging points of view. My strong emphasis is on application … what works in the comfort and convenience of a classroom … or on a spreadsheet … many times will not work in the real world … together we will sort that out.
Please note that the course “overweights” China and Asia, emerging/surging countries and “market entry” strategy for launching discrete products. The text places emphasis on European companies and examples. There are 3 Harvard cases for Mexico, Brazil and Chile.
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Kellogg Honor Code and In Class Laptop Usage
It is expected that each of you know, understand and abide by the Kellogg Honor Code that you have access to at Kellogg and on the Kellogg web site. The code of Kellogg classroom etiquette is very clear about the fact that web surfing and checking e-mail is not appropriate. The relevant passage states: “Students should demonstrate respect for the professor and fellow students during the class period. Students, therefore, should refrain from distracting behavior such as disruptive eating, using laptops to surf the Web or check e-mail and holding side conversations.”
My policy is that laptops and communication devices must be turned off during class. When there are additional materials, handouts or presentations for class, they will be posted on Blackboard Thursday morning giving you time to print hard copies for class that evening. Since this is a 3 hour evening class scheduled at dinnertime, you are welcome to quietly eat and drink during class.
2 Text
The required text is Global Marketing 4 th edition, 2007, written by Svend Hollensen and published by Prentice Hall. This book provides a decision-oriented approach to global marketing. It also overweights Europe and has good mini cases and vignettes.
The following books, while not required, are worth reading for this course and for a deeper understanding of global marketing:
The Elephant and the Dragon by Robyn Meredith, published by Norton and Company in 2007. It addresses the rise of
India and China.
The Emerging Markets Century by Antoine van Agtmael, published by Simon & Schuster in 2007. This book addresses how a new breed of companies is overtaking the world.
World out of Balance by Paul Laudicina, McGraw-Hill. This book addresses global risks to obtain competitive advantage and is highly recommended but not required. This is a great read and contains an excellent discussion on changing global demographics and the “new consumer”.
Another book, The World is Flat by Thomas Friedman, is recommended especially for his “Ten Forces” discussion in the first part of the book. I like this book for the global marketing of consumer products.
3 Learning Outcomes
Upon completion of International Marketing, you will be able to:
3.1 Recognize cultural differences in various global regions and their effect on the conduct of international business and is able to analyze these cultural differences in terms of opportunities and inherent risk in conducting marketing activities and in segmenting global markets. Plus, you will be asked to draw consumer insights about how and where products are purchased and used by consumers in other countries.
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3.2 Understand the benefits in engaging in international trade in relationship to political economic factors such as free trade or regional agreements … and learn how to target regions/countries based on their membership in a free trade agreement.
3.3 Understand how to compete in international markets and the need for”global team” organizational structures designed to manage global companies and opportunities
3.4 Become more of a global citizen, and learn the economic and marketing aspects/outcomes of globalization.
3.5 Develop strategies and plans for market entry and implementation for a company in a foreign country and be able to quantify that opportunity and justify the revenue in pro forma P & L statements.
3.6 Gain exposure and perspective to the challenge of managing international marketing operations in a domestic US corporation.
3.7 Become familiar with tools, frameworks and techniques to conduct opportunity assessments, identify high potential regions, size markets and develop channel pricing strategy.
4 Grading & Deliverables
Shown below are your major deliverables and the weighting of each. There is a description of each deliverable following the weights:
Individual 55%
Individual Participation*
1 Case “Memo”
15%
20%
Cultural Ethnography 20%
Team based 45%
Country Snapshot Presentation
Marketing Strategy Brief for Final Project (1 page memo)
Final Project: Marketing Plan Presentation
10%
10%
25%
Total 100%
*Includes individual peer evaluations by each team member … these are critical and are the only way for me to assess a student’s team performance and participation outside of class. “Poor” peer evaluations can result in the lowering of your grade by 1 level.
Notes: Since there are 2 assigned team presentations, it is not necessary for all team members to present each time. Ideally, if the team consists of 5-6 members, 2-3 will present each time and the others will handle Q & A and the next time, 2-3 different team members will present.
Each student will turn in 1 case only --- that will be pre assigned.
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Shown below are the building blocks for the Final Project that starts with the Cultural Ethnography, continues with the
Country Snapshot and culminates with the Marketing Brief and the Final Project.
Cultural
Ethnography
Country Snapshot Marketing Strategy
Brief
Final Project
Step 1
Source for Mkt Brief
Step 2
Source for Final
Project
Step 3
Source for Final
Project
Step 4
From Steps 1-3
Participation (15%)
The class format will be approximately 50% informal lecture and discussion, 40% casework, and 10% student team presentations. Class participation is very important to me as I have a highly interactive approach … that of a
facilitator and coach… so your ideas and input are more than welcomed, they are expected!!! I will be posting additional presentations, “tools” and teaching materials on Blackboard.
If there is not enough “air time” for you or you have additional thoughts later, you are encouraged to email me your insights and builds or connect with me after class or in my office. I do plan to cold and “warm” call on a regular basis.
You will be expected to prepare for and contribute to each class. This is a very important part of the course. Rather than restating the obvious, you will be expected to provide informed and insightful comments and contributions to the subject case or material being addressed that evening.
Your participation grade will be reduced by 2 points if you miss a class and by 5 points if you miss 2 classes. If you miss 2 classes it will be very difficult to receive an “A”, regardless of the reason. Please let me know beforehand if you expect to miss a class and the reason why. It is your responsibility to sign in at each class. You must complete a “makeup” assignment if you miss 2 classes.
"Contrarian" points of view are strongly encouraged! I welcome the opportunity to explore different points of view!
Case Memos (20%)
Each student will be assigned one case (out of the cases listed) for which to prepare a written memo. All cases are in the case packet.
There are 3 questions for each case that will be posted on Blackboard. Please list the question and provide the answer. Do not deviate from answering the questions. For example, do not recap the case. The deliverable is a memo due at the beginning of the class in hard copy only. The memo is limited to 1 page in a font of 11 or larger with standard margins (no limit on number of exhibits). Please list each of the questions/issues followed by your answers .This memo may have an
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unlimited number of exhibits, charts, graphs, web pages etc. Expanded bullet points are preferred to text intensive documents.
Cultural Ethnography (20%)
This is an individual assignment in which you will conduct a participant observation with an individual from another country for an assigned product. You will select an appropriate individual (you may have to screen/qualify 3-4 people to determine the best one) with whom to conduct this interview.
Your assignment is to prepare a 1 page memo to deliver your insights into how the person:
 Learns and obtains information about the product and addresses need states (5 pts)
 Purchases the product and how they define the value proposition (5pts)
 Uses and stores the product (5 pts)
 Can provide behavioral targeting information (e.g., usage, occasion, attitudes, response to the product) (5 pts)
The information will be shared with your team, who have the same assignment, and these 5-6 ethnos will be the qualitative research basis for your Marketing Brief and Final Project. Further information will be provided in class.
Country Snapshots (10%)
In order to ensure that each student is current with global business events and to learn more about specific countries, you will be asked to use the international press (using the internet and other sources) to investigate the assigned country.
Each team will present no more than 12 slides (12 images in total) in 15 minutes and then lead a class discussion on the marketing key learnings for that country. You will not simply report facts and figures; rather you will offer marketing advice in the form of marketing insights. For example, take Japan ---- the distribution system in that country is very complex with many levels. One “takeaway” for a global marketer is that there must be sufficient margin and programs to motivate the many layers of channel members who may have competing objectives and interests.
I will provide more examples of the deliverables in class before the first team presentation. Each Country Snapshot presentation should be organized to identify and address global issues that have a short or long-term effect on specific industries.
Your advice, marketing insights, key learning’s and connections must be organized around many of the following global marketing and sales themes/principles:
 Marketing communications … global branding and promotion
 Culture … language, religion, values etc.
 Pricing and capturing value
 Distribution channels/market access/sales
 Alliances, partnerships and joint ventures
 Products and services … global product development and innovation
 Segmentation, targeting and positioning
 Market entry/market expansion
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4 Points for “Advice” You will receive 1 point (4 max) for every major insight/reasons why that is a solid takeaway … there must be at least 4 different marketing principles or topics addressed, e.g., pricing, culture, distribution and market entry. No credit will be given for facts … only for the connections you make! In other words, you need to provide useful, actionable sales and marketing advice as if we were going to enter or expand the market in this country.
3 Points for the Top 3 Product categories (B2C or B2B) in that country. Please identify the top 3 product opportunities for that country and provide the “why”. The key here is to identify opportunities for market entry or market expansion. One point will be assigned for each well defined opportunity.
3 Points for 3 Case Histories Your presentation should contain 2 examples of a success story of a company who is doing well in that country and an example of a company who failed --- please provide the reasons for success or failure. You should have 3 company case histories.
The only hand in will be your 12 slides, speakers’ notes and exhibits. Please provide a hard and a soft copy, which I will post on Blackboard.
Marketing Strategy Brief (10%)
For the brief and the final project you are to:
 Identify a company that is currently making and marketing the product category your team is assigned
 Focus on a high potential country + analyze the region to identify 3-5 other countries for future launches and expansion
 Use the insights and connections from your cultural ethnography
 Prepare a plan to launch this product or service
For Class # 8, you are to prepare a Marketing Strategy Brief (see following section) and for Class #10, the team will present its plan using the Stage Gate Framework, tools and techniques to prepare the plan.
Your team needs to prepare a 1 page memo that first documents the product or market opportunity assessment and secondly that provides the marketing strategy summary to include: the 4Ps, how you are segmenting, targeting and positioning to end users (with special emphasis on culture, use model and buying habits and practices) and any cross border issues or problems … e.g., tariffs, duties, government quotas or other barriers to entry.
Grading values are 5 points for the opportunity assessment (the “why” of the product or market opportunity) and 5 points for the marketing strategy which is the 4/5 Ps + STP = Value Proposition. This will be covered in class in great detail.
A team representative will informally and briefly present this Marketing Strategy Brief at Class #8 to obtain “builds” and
“marketing advice” from the other teams and from me. After I read your brief, I will email each team my additional feedback. This process will enable your team to take complete your Final Project.
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Final Project: Marketing Plan Presentation (25%)
This group project is intended to develop skills and provide a real- world experience in market assessment, selection, entry strategy and the development and implementation of your own marketing program. Because the scope of such an endeavor is far beyond the time and resources of any one student, it is by necessity, a group project.
Select a company that currently markets products internationally or would like to do so. Examine the portfolio of products within the firm and select a product or product line to launch in your assigned country.
There is no best topic, product, company or industry. Your choice should reflect the interests of the team. It is also perfectly appropriate to select the product and company of a team member. No restrictions are imposed regarding the use of company resources available to you in pursuit of your topic. (E.g., interviews with key employees, company records, reports, published information, etc.) Of course you are bound by company policy on the use of such information.
Final Project Grading The project is 25% of your grade. Each team member receives the same grade unless notably different levels of contribution are reported or observed. E.g., a “low” peer evaluation will result in a lower grade … for this project. A marketing plan rating sheet is used to further review presentation evaluation criteria. The breakdown of the 25 points is as follows:
Content … marketing strategy, country analysis, cultural audit, marketing sizing, opportunity assessment, market entry or expansion etc: 20 points (includes 10 points for Marketing Strategy Brief due Class # 8).
Financials, volume projections and justification: 5 points
Presentation … energy, passion, communication and persuasiveness: 5 points
Q&A, rebuttal, and ability to make additional points: 5 points … it’s your responsibility to facilitate discussion and make additional comments.
The grading emphasis and ‘trade-offs” will be on the recommended marketing strategy, rationale and the action plans to implement the strategy in the “real world”.
5 Activities and Timing for Final Project
5.1 Form into teams of 5-6 students. A slightly longer break will be provided the first night to meld teams.
5.2 Experience suggests it is easier to first select a company from 3-4 candidates that you identify
5.3 Include in your plan a brief description of the firm's international operations and its corporate culture.
5.4 Prepare a product categories fact sheet as a guideline for investigating and gathering information.
5.5 Your methodology should include development of both primary and secondary data about the company, product and country. Personal interviews, email contact, telephone/electronic interviews and any other form of direct contact are encouraged. Several databases may be available through Northwestern or one of your companies.
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5.6 Develop your Marketing Plan using any elements of various outlines included in this course, the text or any other sources. There is no one ideal format. Consider an outline format easily transferable to a power point presentation.
5.7 Plan presentations will be on the last class day. Each team (depending on the number of teams) will make a 20minute summary presentation with no more than 12 slides and 10 minutes will be allotted for Q & A. You are required to turn in both a copy of your presentation and a CD or memory stick … (no other write-up is required) and any backup or supplementary information you consider essential (there is no limit on the number of exhibits). A bibliography or equivalent document outlining your sources of information is not required.
5.8 Timing … it is essential to establish a pace and delegate assignments and investigations on a timely basis. The following is a guideline to coordinate your activities:
6 Class Format
Class time will be divided as follows:
 First hour and half: lecture and discussion
 Best global marketing practices, success stories, failure examples, case histories, videos and current trade press and newspaper articles
 Team presentations of Country Snapshots and class discussion of additional “builds”, connections and insights for the country.
 Guest speakers (the plan is to have 2-3)
 Last hour case discussion and connections
 Last 5 minutes: takeaways and key learnings
7 Timeline & Deliverables for the Course
Case questions and other more detailed assignment information will be covered in class. There will be 1-2 informal brief group meetings during class in which we can confirm Final Project direction together. Some articles in the case packet will not be discussed in class and I will not cover all the slides provided.
“Blackboard” will be used on a regular basis.
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Class Date
1
2
Topics
 Read syllabus and understand your deliverables
 Read Chapters 1 & 3, pp 47-54 and skim Chapter 4 and skim end-of-chapter cases
 Study Arcor mini case, browse their site/online info and be prepared to discuss the 3 case questions on page 39 in class (no hand-in required)
 Skim glossary @ http://wps.pearsoned.co.uk/ema_uk_he_hollensen_globalmark_4/0,13135,42
04554--4205002,00.html
 Browse “weblinks” for global market and country info sites @ http://wps.pearsoned.co.uk/ema_uk_he_hollensen_globalmark_4/0,13135,42
04555-,00.html
 Form teams
 Student survey
Assignments
Sep 27
Global Opportunity
Assessment in a Flat,
Connected and
Shrinking World!
Course Game Plan
Stage Gate Framework
Decision to go Global
Oct 4
Cultural Convergence and Divergence
 Read GM Chapters 7 & 18
 Read articles in case packet
Deliverables
Mandatory first class attendance
India Snapshot
Infosys Case
3
4
Oct 11
Global Product
Development & Market
Research
Oct 18
Global Distribution
Channels & Value
Capture
• Channels to countrymarkets
• Channels/retailers in country
• Market entry strategies
 Read GM Chapters 5, 8 & 14 (through p 436)
 Read articles in case packet
 Read GM Chapter 11 & 16
 Read articles in case packet
Zara Case
Cultural Ethnos
Natura Case
Brazil Snapshot
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5 Oct 25
Cross-Border Pricing
• How to Pay … Get Paid!
• Letters of Credit/Wire
Transfers
• Penetration Strategy
 Read GM Chapter 15
 Read articles in case packet
6 Nov 1
Emerging/Surging
Countries + Emerging
Companies
 Read articles in case packet
7 Nov 8
Branding Across Cultures
• Global Brand
Harmonization
• Local differentiated brands
• Product/sub brands
 Read GM pp 437-473
 Read articles in case packet
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Nov 15
Global Marcom (Marketing
Communication &
Advertising)
• Events
• Trade shows product placements, sponsorships
How do you obtain sustainable competitive advantage n highly fragmented global markets?
 Read GM Chapter 17
 Read articles in case packet
Nov 29
Global Marketing
Strategies
 Read articles in case packet
 Read GM Chapter 19
10 Dec 6
Final Project Due
Global Marketing Plans
Presentations by Student
Teams
Apply the framework and tools learned in this class?
Team Presentations
Global Marketing, 4 th edition Svend Hollensen, 2007, Pren Hall
Montgras Case
Chile Snapshot
Grupo Elektra Case
Mexico Snapshot
Henkel Case
Germany Snapshot
Adidas Case
Marketing Briefs
Japan Snapshot
LVMH Case
China Snapshot
Hard copy and CD hand-in: Slides with speakers’ notes and any exhibits. No limit on number of exhibits.
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Note: I will not usually cover the text material directly nor will I present every slide or discuss in depth every article in the case packet. It is your responsibility to review all materials and to ask questions and promote discussion around themes that are of particular interest to you.
Note: Additional articles, teaching notes and copies of presentations will be used to supplement and sometimes replace materials in the case packet
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