MKTG 572: INTERNATIONAL MARKETING
Spring 2005
University of Illinois at Chicago
Professor: Cheryl Nakata, Ph.D.
Phones: 773-227-5413, 312-355-1337
Email: cnakat1@uic.edu
Home Page: http://tigger.cc.uic.edu/~cnakat1
Office: University Hall 2228
Office Hours: T, 5:00-5:45pm & by
appointment
Class: T, Burnham 304, 6:00-8:30pm
Course Objectives
Each student should acquire the following by the end of the course:
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Understanding of fundamental issues in and approaches to global marketing
Ability to analyze global marketing situations and develop effective marketing plans and
solutions
Appreciation of culture and its impact on marketing and management
Development of both independent and cooperative work skills for the international marketing
profession
Attendance & Participation
Attendance is mandatory. Three (3) unexcused absences, which include illnesses, are permitted.
Additional absences without prior notification and consent of the instructor will result in a full
letter grade penalty for the course. Students should arrive on time and remain throughout the
class period. Early departure constitutes an absence.
In general, participation in class discussions is expected. A grade will be given for participation in
class discussions. Both quality and quantity of comments and insights count.
Grading
Midterm
Final Exam
Participation
Group Market Research Project
Group Marketing Simulation
 International Marketing Plan (10%)
 Simulation Plays (10%)
 Debriefing (5%)
20%
30%
10%
15%
25%
Total
100%
Academic Honesty
In keeping with UIC policy, evidence of academic dishonesty will result in a failing grade in the
course and disciplinary review by the University. Cheating on exams and plagiarism are forms of
academic dishonesty. Plagiarism includes passing off someone else’s works or ideas as your
own, or paraphrasing material from a source (e.g. the Internet) without proper acknowledgement
and citation. All sources in written work should be properly credited. Violation of this ethics
policy will be vigorously pursued, and may result in expulsion from the University.
Written Assignments
Papers should be written clearly, concisely, logically, and in keeping with rules of Standard
English. Poor spelling, grammar, syntax, and punctuation will be penalized. If writing is a
problem, students are strongly advised to seek a tutor (free of charge) at the UIC Writing Center.
The instructor may require papers to be rewritten if unacceptable.
Required Materials
Global Marketing Management by Warren J. Keegan, 2002, 7th Edition, Prentice Hall (available
in the bookstore)
Country Manager: International Marketing Simulation by Lawrence Feick, Martin Roth, Michael
Deighan, and Stuart James, 2004, Interpretive Software (to be purchased online at
www.interpretive.com).
Other materials will be passed out as handouts.
Exams
Exams will cover the textbook, lectures, and any articles passed out. Lectures will not exactly
mirror the textbook. The midterm exam will cover chapters 1 – 10; the final exam will cover
chapters 11 – 16 and additional topics introduced through lectures. Exams will be a combination
of multiple choice and essays.
Under no circumstances will the instructor give the midterm or final exam on any day and time
other than those posted for the entire class. If a student foresees a schedule conflict, s/he is
advised to re-arrange the other event or activity, or to take another course. Exam schedules are
arranged by the University prior to the start of the semester to avoid students having to take
multiple exams simultaneously.
Marketing Research Project
Students will form groups of five to six members with instructor approval. Each group will be
assigned a company, and will conduct primary and secondary marketing research to guide the
company’s global marketing expansion. The research will be presented in class as well as in a
written paper. Details on forming groups and assigning companies will be given in class.
Each group will formally present to the class its market research findings and recommendations
for the firm. A maximum of 15 minutes will be allowed for the presentation. Each group member
must participate in delivering the presentation (participate means speaking). Quality of
presentation is important (audible, clear, organized, good visuals, know the material, engaging).
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Assume you are making a presentation to the CEO of the firm. A hard copy of the presentation
slides should be given to the instructor on presentation day.
The written paper should be 15 pages (double spaced), excluding exhibits. The paper is due on
the day of the presentation. A format for the paper will be given in class.
Note that the group grade rests on both parts: presentation and written report.
Group problems should be brought promptly to the attention of the instructor for resolution. To
ensure equal contribution, group members will anonymously evaluate one another. The
evaluations will be used by the instructor to determine individual grades for the research project.
If those evaluations indicate equal contribution, every member of a team will receive the group
grade; if those evaluations indicate unequal contribution, then certain members will receive a
lower grade than the group grade.
These individual grades are not subject to negotiation with the instructor as they are contingent
on anonymous evaluations by fellow team members.
Group Marketing Simulation
In the last half of the course, you will apply your course learning in an international marketing
simulation. Each student group (same one that was assembled for the marketing research project)
will act as a marketing team in Allstar Brands, a U.S.-based consumer products company, for a
toothpaste brand. The team will make decisions for entering and managing the brand business
effectively in Latin America, focusing on six possible countries (Argentina, Brazil, Chile,
Mexico, Peru, and Venezuela). Teams should thoroughly read the manual and instructions for
operating the software.
Each student must register and pay for a copy of the simulation manual and software through the
website (www.interpretive.com/uiccm) no later than Tuesday, January 25. The cost is $40, and
allows a student to download the software and access a pdf file of the manual. Copies cannot be
shared and duplicated as this is a violation of copyright laws. Copyright infringement will not be
tolerated. Student teams will input decisions on-line on the dates specified in the syllabus and
retrieve outcomes of decisions on-line as well.
International Marketing Plan
Each team will develop a 10-page (double spaced) marketing plan for the brand’s entrance into
Latin America, excluding appendices. This plan should detail a 5-year marketing plan based on
information provided in the manual. This plan is due after each team has made 3 years of
simulation decisions, so the plan guides the next 5 years and beyond (long-term strategy). More
specifically, the plan should include the following (important: must provide analysis and clearly
stated rationale for all choices in the marketing plan):
1.
Introduction
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Company
Situation
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2.
Goals for Latin America
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What to achieve and why (be specific, give some metrics)
Risks involved and likelihood of accomplishing goals
3.
Overall Competitive Strategy for Latin America (core of the plan)
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Situation analysis and SWOT
Basis for competing effectively in the long run (specify an overall strategy)
Resources and capabilities of the firm
4.
Market Entry
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Which countries to enter, when, and what sequence
Entry mode to be used in each country (may not be all the same)
Locations for operations in each country (production, sourcing, distribution)
5.
Segmentation, Target, Positioning (STP should be consistent with and driven by overall
competitive strategy)
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Segmentation options and final basis and analysis for segmentation in each country
Target group selected, size, sales potential in each country
Positioning options and final analysis and basis for positioning in each country
6.
Marketing Mix (4 P’s should be integrated among themselves and consistent w/ STP)
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Product (which one(s), how adapted if at all, degree of standardization/customization, why
appropriate, what needs products meets, what their advantages would be over local and global
competitors’ products/services, etc.)
Promotion (what media, other promotional efforts, budget and allocations, objectives for ads
and promos by market, what kind of reach expected, how promotion would be culturally
appropriate or tailored, degree of standardization, etc.)
Pricing (what pricing strategy used, how deal with inflation or other currency issues, use of
differential pricing across markets, etc.)
Place or Distribution (what channels to be used, what channels available, expected ease or
difficulty of channel access, measures used to overcome difficulties, direct distribution or
using partners or agents, salesforce management, etc.)
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7. Expected Results
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If the plan were successfully implemented, detail the performance expectations, including 4
years of revenues, expense, market share, and profit projections
The above is not exhaustive of what you can include in a marketing analysis and plan. The goal
is to write a plan that is realistic (since no company has infinite funds and expertise), logical,
coherent, integrated (part x makes sense with part y), and accounts for the complexity of
successfully introducing products/services abroad. This is where the Situation Analysis and
SWOT are important, because they guide you in determining what the firm is capable of actually
doing. Your marketing plan should match this analysis.
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Note the marketing plan should present an integrated, long-term strategy for the region as well as
specific strategy for each country you’ve chosen to enter; the latter should be collectively
synergistic to accomplish the former.
Some constraints apply to the simulation:
1. In the first three years, your team is allowed to enter up to one new market per year. After
the third year, your team can enter as many additional countries each year as you like. Your
team can also choose to withdraw from countries.
2. Products sold in year 1 will be sourced from existing U.S. factories. You can elect to build
or expand a Latin American factory at any time, but its capacity will not be available until
the following year. In other words, there is a lag in building production capacity in Latin
America.
3. No more than one new production facility can be built in Latin America, so carefully
consider this decision in view of a larger strategic plan. An existing plant is in the U.S. and
will automatically supply your markets in Latin America when local production (Latin
American) is non-existent or insufficient.
Warning: Backup all decisions by selecting BACKUP DATA FILES from the options menu. Do
this prior to advancing the program. Print out every decision and summary of results of each
period for your records as a hardcopy record. To restore (see) the data files select RESTORE
DATA FILES from the options menu.
International Marketing Simulation
Your team will discuss and analyze the company, and make decisions for eight (8) decision
periods, or years, for the brand. Note that your written marketing plan is intended to guide your
decisions in the remaining 5 years. Decisions for each period should be entered on-line by one
team member; it is important to double check the input before finalizing and advancing the
program, so there is no inadvertent error. Decisions cannot be altered or replayed once the
program is advanced. A password unique to each period will be given to advance the program.
Each team plays directly against the computer program (the competitors are directed by the
computer and do not represent other student teams). Since there are eight periods of play, there is
opportunity to learn over time. Your marketing plan is due after the first three periods to guide
the remaining five. Grading of the simulation will be based on the overall quality of decisionmaking, learning and corrective action over time, and the team’s performance by the end of the
game.
To add a bit of fun and competition, 1st, 2nd, and 3rd place winning teams will be selected based on
key market and financial measures achieved by the end of the game.
Debriefing Report
On the last day of class, each group should present a report as if to the CEO of the company
showing what marketing strategy the brand team developed and implemented and the results of
that strategy. The report should be composed of the following parts:
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1. Compare the actual strategy and results with the original plan (you must present your teams
final performance results, e.g. income statement and key market measures)
2. Discuss the most important decisions made over 8 years, both in planning and during actual
market operations. Identify which decisions were most and least successful and why.
3. Specify recommendations for future Latin American operations for the brand and future
products (should be in the form of a marketing plan).
4. Key lessons learned about the market and complexities of international marketing.
Presentation length should be 15 minutes in length. A corresponding written report of 8 pages
(double spaced, excluding exhibits) should also be provided to the instructor. All group members
should participate in delivery of the presentation (participate means talk).
Again, since all of the above is a group project, each member is expected to participate fully, and
to ensure equal contribution, group members will anonymously evaluate one another. The
evaluations will be used by the instructor to determine the individual grades.
Late Paper Policy
Late submissions will be accepted but with penalty: each school day (Monday through Friday,
from 8:30am to 5:00pm) that the assignment is late will result in a full letter grade penalty.
Students are responsible for notifying the instructor by email or phone of late submission and the
exact date of submission. Papers arriving after 5:00pm will be considered as submitted the
following day. Papers can be turned into the department secretary or office staff with her
signature and her writing the date and time on the report.
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COURSE SCHEDULE (Subject to Change, 1/11/05)
Date
1/11
Chapters
1, 2
Topics
Introduction, Economic Envt
Assignments/Activities
1/18
3,4
Cultural Envt, Political-Legal Envt
-Form Groups, Determine Companies
1/25
5, 6
Global Customers, Marketing Research
-Register, Order Simulation
2/1
6
2/8
7, 8
2/15
9,10
Marketing Research
Segmentation, Targeting, Positioning;
Entry & Expansion Strategies
Cooperative & Competitive Strategies
2/22
Marketing Research Presentations
3/1
MIDTERM EXAM
-Read Manual: Secs 1 –4, Apps 1 & 2
-Marketing Research Reports Due
3/8
11
Product/Branding Decisions
-Periods 1 & 2 Decisions Due*
3/15
11
Product/Branding Decisions
-Period 3 Decisions Due
3/22
SPRING BREAK
3/29
12
Pricing Decisions
-International Marketing Plan Due
4/5
13, 16
Channel & Internet Decisions
-Period 4 Decisions Due
4/12
14, 15
Promotion Decisions
-Period 5, 6 Decisions Due*
4/19
14, 15
Promotion Decisions & Ethics
-Period 7, 8 Decisions Due*
4/26
Debriefing Presentations
-Debriefing Reports Due
5/3
BH 304,
FINAL EXAM
6 - 8:30pm
*On weeks where 2 periods of decisions are due, both periods should be completed by midnight
on Tuesday; in other words, the two rounds of decisions should be inputted and the program
advanced online by that deadline. Your team may decide to do the two periods at two separate
dates/times over the course of the week, or do them all at once.
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