MAR 6805, Spring 2011
Marketing Management in the Global Economy: Global Business
Model Innovation
Professor: Dr. Peter Dickson, dicksonp@fiu.edu, Office location BA 301 cell (305) 942-7065
Self-study sites: marketingprinciplesandprocesses.com (I will send access password on February 5)
marketingaccountingmetrics.com (I will send access password on February 5)
The goal of this course is to teach you how to make out-of-the-box product/service development, distribution,
sales-management, promotion and pricing decisions in the global marketplace that satisfy/delight customers
and increase shareholder value.
The great management guru Peter Drucker defined a business model as the answers to three questions: (1) who
is your customer, (2) what do they value, and, (3) how do you deliver value to the customer profitably? In this
course we answer these questions. We view this business model as constantly under construction as a result of
continuous service and product innovation through product and process improvement that is desired by the
customer and that eliminates waste and inefficiency. Marketing is the discipline responsible for innovation in
products and services, innovation in diffusion of innovation and business model innovation.
The United States economy has very likely passed a tipping point and is in a vicious circle of slow long-term
decline created by: (1) very competitive off-shore, low cost outsourcing options in almost all industry supplychains, and (2) huge emerging markets and demand in off-shore economies that is attracting investment in
research and development that used to be made in the U.S. Measured in terms of their comparable purchasing
power it is estimated by the respected Conference Board that in 2012 China will become the worlds largest
economy and by 2020 have a larger middle class than the United States and this middle class will continue to
grow larger in number. That is just China and then you have India, Indonesia and Brazil’s middle and upper
classes. The United States is no longer the economic growth engine of the world economy.
Because of the increasing investments in research, development and entrepreneurship in the emerging
economies, the competitive advantage of the United States in commercializing new innovation, in diffusing
such innovation and in innovating new business models is being rapidly eroded. The 21st century arms race will
be about who can produce the most skilled, resourceful, creative, innovative and productive knowledge
workers, marketers and entrepreneurs. If American business schools produce superior knowledge workers,
managers and entrepreneurs the rot can be stopped, the vicious circle of decline even reversed. The
opportunities have never been greater, the threats never greater.
That is why this course is a boot-camp in business model innovation, in business model management
accounting, and in business model creative thinking. I owe it to you, my children, my grand-children and my
country of adoption to push you as hard as I can. You owe it to yourself, your children and your country to
respond by pushing yourself as hard as you can.
What does this all mean? It means that if you do not keep up with the online study you will become a drag on
the class and everyone’s time because I expect you to all participate in class discussion every class. I expect
you to ask challenging questions about what you have read. There are no dumb questions, only dumb answers.
So first, it is a non-negotiable requirement for passing this course that you pass each module’s study quizzes
before the module topic is discussed in class. If you cheat by soliciting or accepting the answers to the question
2
quizzes from fellow students you will have broken the honor code of the EMBA program and all those
discovered to be involved in such activity (givers and receivers) will be dismissed from the program. To pull
your weight in your teams in preparing case studies and working on the course project you need to have learned
the course material yourself. Second, every team member will be expected to contribute to the team case
analyses and preserve an evidentiary e-mail log of such participation in the analysis of all seven cases. Teams
are not created so that each week a different member can do the work for all the others. They are created to
pool insights and ideas and learn from each other. Third, every team member will be expected to contribute to
the course project. In this course every team is expected to be a productive high performance team that works
on one of the member’s business model and improves it through innovation.
This course is fast paced and demanding. It requires your best game and your highest integrity. There are no
short-cuts in this boot-camp. It will develop and condition your creative right brain thinking and your analytic,
bottom-line, left brain thinking. It will extend your ability to concentrate at a very high level both inside and
outside the classroom. Your team will become a high-performance team.
For the above reasons I make no apologies for being a tough task master. For my part of the contract I will be
as good a teacher and overseeing senior manager as I possibly can be. I will grade your cases between 9 pm
and class the next morning so you get immediate feedback. I will run extra study tutorials outside class hours if
needed. If you do not pass the marketing accounting and financial analysis exam with a 90% score or higher I
will conduct a second and third exam until everyone of you passes it. If you bring your name tents to class I
will learn your names. I will respond promptly to your e-mails and phone calls. And I will teach as well as I can
to every one of you, hopefully, forever changing the way you think and increasing your competence and
confidence.
For the first session March 5, please (1) read Module 1 “What is Marketing” and complete its online quizzes,
(2) as a team, submit the answers to all of the Module 1 case-study questions by e-mail by 9pm March 4. Your
answers to any question in any of these case studies should not be more than 100 words. Your answers will be
graded for substantive content, rhetoric, logic, spelling and grammar and your answers will be returned to you
in class on March 5, and, (3) You will also be required to submit a one page (no cover page, no packaging)
single spaced memo on how Roly should change its business model (its distribution, product-line and retailing
strategy) also by 9pm March 4. Be prepared to make a big strategic decision in class on Roly’s future. Yes, it is
a lot for the first day but from experience this gets the course off to an excellent start. I look forward very
much to teaching you, mentoring you and getting to know you.
Dr. D.
3
1: March 5
Trading and Marketing
A question and answer session on Module 1. Module 1 case answers discussion.
HBP Roly International Case
2: March 12 Customer Focus
A question and answer session on Modules 4 and 5.
MAmetrics spreadsheet S7
HBP Gillette Indonesia Case
3: March 19 Product innovation and Branding
A question and answer session on Modules 2 and 6.
MAmetrics spreadsheets S1, S5
CIMA Mountaineering Case
4: March 26 Distribution
A question and answer session on Module 10.
MAmetrics spreadsheets S2
Ivey USCO Logistics Case
5: April 2
Pricing
A question and answer session on MAmetrics text and Module 7.
Soft and Silky Shaving Gel Case.
MAmetrics text quiz.
April 9
6: April 16
No Class
Sales Management
A question and answer session on Module 8.
Selected cases from M8
HBP Puritan Drug Case
MAmetrics spreadsheets S7.
7: April 23
Advertising
A question and answer session on Modules 3 and 9.
HBP Planet Reebok Case
5
8: April 30
MAmetrics exam
MAmetrics exam.
Process thinking exercise.
9: May 7
Final Exam
Final-term Exam HBP Cumberland Metals
Discussion of Exam
Presentation of project business models
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Assessment
Seven one page case memo grades (adjusted for team assessed personal contribution)…... 30%
Project grade ………………….……………………………………………………………20%
MAmetrics 2-hr exam………………………………………………………………………20%
Final Exam 2-hr exam………..……..………………………………………………………20%
Two spot-study quizzes (on material studied to date)……………………………………….10%
Your class room participation will count if you are on the margin between letter grades.
Suggestions on How to Participate in This Course:
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Yes we have a serious objective but this can be best achieved by first excellent preparation for the class
session by all and then creating a warm, supportive classroom environment. Be prepared to open up and
enjoy yourself in this class.
Ask questions. Ask questions in class. Ask questions outside class. The more you ask questions, the more I
understand your problems, your needs and the more I can help you learn.
Connect the material in the course to your previous education and interests. Do not hesitate to ask
questions that are based on your past education and work experience and please share your global business
experiences with the class.
Do not be intimidated by me or by other students. We are all in this together and our goal is to develop
mature ways of thinking about markets, business models and marketing management.
In the real world a healthy, confrontational tension between minds creates new ideas. Adopt this approach
to this class. Embrace it and relish it and you will really enjoy this class.
Group Case Analyses
1. Each team must submit a one-page memo (I repeat a one-page memo) on each case, each week (a second
page with financial analysis is allowed). Every group member must send notes to the team leader on the cases
before the team meeting. These e-mails must be kept by the team leader to be provided as evidence of inferior
and superior individual contribution to the case studies and project.
2. The memo should list the most important recommendations of the group by order of importance. The
first recommendation should be numbered 1. and should be the most important recommendation, followed
by the second most important recommendation (numbered 2), the third (numbered 3), etc. Write powerfully,
concisely, persuasively as if you are writing to a senior executive. The most important recommendation may
be 4-5 sentences long, and the least important just a one-liner.
3. References to analyses undertaken of tables in case should be made and have spreadsheets available to
show where relevant.
4. The case will be graded on the quality of the recommendations, their creativity and appreciation of the
recommendations’ costs and their benefits.
5. Do NOT summarize the situation or case in the memo. Assume I know the case, inside out.
Project
As a team you are required to develop a business development plan that describes a business model for an
existing or innovative new product, service. It can improve on an existing plan/model. The report should be
no longer than five pages single spaced with attached financials, statistics, graphics, internet links.
Honesty and Integrity:
All University rules and procedures on honesty apply to this course. It is assumed that you are familiar with
these rules and by taking this course you agree to abide by them. Please visit the following academic
honesty policy site for further information: http://online2.fiu.edu/GEB2011VC/content/Policies.html