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Volume 12, Issue 3
Editor: Liesl Riddle, The George Washington University
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July 2009
SATURDAY, AUGUST 8
10:30-12:00 p.m.
Greetings, Global Marketing SIG members. This message comes during our leadership transition.
This is a time to reflect on what has been accomplished these past few years, with an emphasis on implications for the future. Making this a top 10 list will keep comments to reasonable length:
First, best of luck to incoming Chair Kate Gillespie,
University of Texas at Austin. Kate’s contributions to the SIG, through Board membership and participation, indicate we are in good hands going forward.
Two, you, the members. Global Marketing SIG membership held steady through several years, then rose by 33%, to 346 members, from 2008-2009.
That amount of increase is not likely to be random, but I do not know why it occurred. I am thankful, though. Among possible explanations, the one that recognizes the intelligence and wisdom of marketers is my favorite. But it is more than numbers. No other SIG can boast the range of backgrounds, cultures, interests, and experiences that one finds in the Global Marketing SIG. You are a world of differences, making a difference in the world. Keep it up!
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I N T HIS I SSUE
1
2
3
4
5
6
Chair’s Message
Summer Conf. Global SIG Highlights
JIM Article Highlight
Global Marketing Classroom:
Emerging/Developing Market Websites
Global Consumer Email Trends Report
JIM Call for Papers – Special Issue
VALUE-BASED MARKETING IN ASIA-PACIFIC
COUNTRIES
Session Chair: Seoil Chaiy, Korea University
Session Discussant: Jae Hyun Pae, Ewha Womans
University
Panelists:
Sungho Lee, University of Seoul
Jeong-Eun Park, Ewha Womans University
Namwoon Kim, Hong Kong Polytechnic University
Jong-Ho Lee, Korea University
SATURDAY, AUGUST 8
1:30-3:00 p.m.
GLOBAL MARKETING STRATEGY
Session Chair: Piyush Sharma, Hong Kong Polytechnic
Session Discussant: Susan Whelan, Waterford Institute of Technology
Market Expansion, Manufacturing Flexbility,
Learning, Innovation, and Entrepreneurship in
Exporting: A Dynamic Capability Perspective
Carlos M. Rodriguez, Delaware State University
A Test of the Miles and Snow Strategic Typology
Kofi Q Dadzie, Georgia State University
Wesley Johnston, Georgia State University
Haizhong Wang, Sun Yat Sen University
Evelyn Winston, Clark Atlanta University
Segmenting the Over-Fifties Market in Six Western
Countries: the Identification of Cross-National
Segments
Tatjana Maria Koenig, Saarland University
The Effects of Organizational Strategy on Consumer
Ethnocentric Tendencies: A Conceptual Framework
Joseph Patrick Little, Saint Louis University
Mark J. Arnold, Saint Louis University
GLOBAL BRAND MARKETING AND
COMMUNICATIONS
Session Chair: Ahmet H. Kirca, Michigan State University
Session Discussant: Andy Wei Hao, University of
Hartford
Endorsing Product Brands through a Standardized
Corporate Brand- Cross National Perceptions and
Effects
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Global Interests 1
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Three, events at AMA Educators’ Conferences, particularly the receptions. Expanding the program to include practitioners as expert speakers was well received. More recently, joining forces with companion SIGs has stimulated collegial interactivity. The latest upgrade, global expansion of the beverage menu – margaritas – must have stirred camaraderie, and possibly attendance. Ideas for future improvements are always welcome.
Four, events at AMA Educators’ Conferences, especially the Special SIG Sessions. A balance of research topics and teaching methods has provided a range of learning experiences. In particular, the opportunity to learn from presentations by leading scholars such as Jag Sheth, Marian Jones, Tamer
Cavusgil, Phil Kotler, Michael Czinkota, and others, has been inspiring. The willingness of these busy academics to volunteer their time and give us their take on future directions in global marketing demonstrates exceptional commitment.
Five, solid contributions from continuing Board members. It takes unselfish work of many dedicated souls to keep this effort going. Many thanks to
Board stalwarts from the past couple of years –
Camille Schuster, Kate Gillespie, Diana Lawson,
Esra Genturck, David Griffith, Michael Czinkota, Bill
Lundstrom, Phil Harris, Costas Katsekeas, and Liesl
Riddle. They are always responsive, with thoughtful comments on initiatives and plans.
Six, the contributions of David Griffith at JIM . Just appointed to a second term as Journal of
International Marketing editor, David has been diligent in keeping SIG members aware of the content of JIM , as well as alerting us to special issue opportunities. This connection helps keep SIG members involved in establishing the parameters of this field of study and concept we call global marketing. And it adds considerable value to SIG membership.
Seven, the unfailing regularity of Esra Genturck with her monthly E-News communication. We all get a lot of monthly, weekly, even daily email messages.
Many, if not most, hit the Trash file after a cursory glance or less. Not this one. Esra’s collection of upcoming Conferences and Special Issue announcements, with hot links, provides a valuable record of opportunities to share and build knowledge. And it comes from Istanbul.
Eight, new board member Annie Peng Cui. Annie is making the transition from DocSIG to the Global
Marketing SIG Board.
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Bernhard Swoboda, University of Trier
Markus Meierer, University of Trier
Dirk Morschett, University of Fribourg
Marot Loewenberg, University of Trier
Foreign Brand Preference in the Less Affluent World:
An Integrative Model and Research Propositions
Attila Yaprak, Wayne State University
Thi Minh Ho, Wayne State University
How do Country Specific Implementation Decisions
Influence Internal Corporate Brand Management?
Bernhard Swoboda, University of Trier
Margot Loewenberg, University of Trier
Markus Meierer, University of Trier
Think Regionally, Act Regionally? An Empirical
Study of International Advertising Standardization in the Mercosur
Fernando Fastoso, Bradford University
Jeryl Whitelock, Bradford University
SUNDAY, AUGUST 9
8:30-10:00 a.m.
EVOLUTION OF SUPPLIER-CUSTOMER
RELATIONSHIPS IN TRANSITIONAL ECONOMIES:
ARE THEY UNIQUE?
Relational Capabilities and Relational Outcomes:
Evidence from Germany and Russia
Maria Smirnova, St. Petersburg State University
Sergei P. Kouchtch, St. Petersburg State University
Perceived Discrepancy of Interpersonal and Interfirm
Buyer-Supplier Relationships and Its Impact on
Buyer Satisfaction and Sales Performance in China
Guang Yang, George Washington University
Yijie Liu, Dalian University of Technology
Building Customer Relationships in Transition
Economy: Insights from Russian Pharmaceutical
Market
Alexander Krasnikov, George Washington University
Kelly Hewett, Bank of America
MARKETING CAPABILITIES
Session Chair: Jeong-Eun Park, Ewha Womans
University
Session Discussant: Rex E. McClure, Marshall University
Development of Marketing Capabilities through
Multinational-Buyers: An Empirical Investigation in a
Transition Economy
Ada Hiu Kan Wong, Hong Kong Polytechnic University
Paul Ellis, Hong Kong Polytechnic University
Wing Lam, Hong Kong Polytechnic University
Linking Marketing Capability and Organizational
Learning to Financial Performance
Fernando Angulo, Universitat Autonoma de Barcelona
Diego Prior, Universitat Autonoma de Barcelona
Josep Rialp, Universitat Autonoma de Barcelona
The Adoption of Market Orientation from an
Institutional Theory Perspective
Ahmet H. Kirca, Michigan State University
William O. Bearden, University of South Carolina
International New Ventures: A Conceptual Review of
New Internationalization Patterns
Silvia Lozano, University of Bath
Robert E. Morgan, Cardiff University
Matthew Robson, Cardiff University
SUNDAY, AUGUST 9
10:30 a.m.-12:00 p.m.
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Global Interests 2
(Chair Message —con’t from pg 2, column 1)
Her responsibility will be making sure doctoral students know what we do, so they can get involved.
Annie is our connection to our future.
Nine, guidance and assistance from AMA staff and the Academic Council. None of this happens without the efforts of people like Lynn Brown and her colleagues at AMA central. Charlie Hofacker works tirelessly to make the ARC and ELMAR indispensible. The Council continues to float initiatives for improving SIGs. All of these efforts are truly appreciated.
Ten, the world we live in. It never ceases to amaze and interest me. Being involved in global marketing has to be one of the best jobs ever!
Thanks for the opportunity to serve.
Frank Franzak
Virginia Commonwealth University
JOURNAL OF INTERNATIONAL MARKETING:
Magnusson, Peter, Stan Westjohn, and David Boggs
(2009) “Order-of-Entry Effects for Knowledge-Based
Service Firms in Emerging Markets: An Examination of
Multinational Advertising Agencies,” Journal of
International Marketing, 17 (2): 23-41.
ABSTRACT
The internationalization process of service firms has received increased attention in recent years. Yet the question whether entry order affects firm performance for service firms in developing markets has remained unanswered. Despite lacking empirical evidence, prior research has suggested that first-mover advantages
(FMAs) do not translate to service firms and developing markets. However, framed in a resource-advantage theory perspective, the authors’ empirical analysis of 379 multinational subsidiaries of advertising agencies in 43 developing markets indicates a significant relationship between entry order and firm performance. The authors also examine the moderating effects of international experience, firm size, subsidiary ownership structure, and rate of economic development to assess how late entrants can mitigate late-mover disadvantages. The authors provide empirical evidence that, contrary to recent literature, service firms do enjoy FMAs. They add to the understanding of the FMA phenomenon as well as to the broader issue of the internationalization process and performance effects for service firms.
The full article can be viewed at: http://www.cob.niu.edu/magnusson/Research.asp
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GLOBAL MARKETING AND RETAIL
MANAGEMENT
Session Chair: Kevin E. Voss, Oklahoma State University
Session Discussant: Douglas Lars Johansen, Florida
State University
Cultural Ethnocentrism and Its Effect on Shopping
Tendency with Bilingual Signage: An Empirical
Investigation
Chiquan Guo, The University of Texas, Pan-American
Songpol Kulviwat, Hofstra University
Larry C. Schwing, LARMAR Investments, Inc.
Effects of Retail Crowding on Shopping Satisfaction and Patronage Intentions of Asian Consumers
Avinandan Mukherjee, Montclair State University
Prem Shamdasani, National University of Singapore
Increasing Job Performance and Reducing Turnover:
An Examination of Chinese Female Retail Employees
Brian Rutherford, Purdue University
Yujie Wei, University of West Georgia
Jungkun Park, Purdue University
Won-Moo Hur, Hoseo University
Key Determinant of Retail Internationalization: An
Institutional Theory Approach
Karimot Bamsiedum, University of Birmingham
Michael R. Czintoka, Georgetown University and Univ. of
Birmingham
Svetla Marinova, University of Birmingham
SUNDAY, AUGUST 9
3:30-5:00 p.m.
MARKETING AND GLOBAL POVERTY- GLOBAL SIG
Session Chair: Liesl Riddle, George Washington
University
Panelists:
Susan M. Mudambi, Temple University
Kristen Carson, The University of Texas at Austin
Kate Gillespie, University of Texas at Austin
Cheryl Nakata, University of Illinois-Chicago
A. Coskin “Josh” Samli, University of North Florida
Gary A. Knight, Florida State University
MONDAY, AUGUST 10
8:30-10:00 a.m.
CROSS CULTURAL MARKETING AND CONSUMER
BEHAVIOR
Session Chair: Mohammed M. Nadeem, National
University
Session Discussant: Aliosha Alexandrov, University of
Wisconsin-Oshkosh
Advertising Effectiveness in the World Wide Web: A
Cross-cultural Comparison
Andrea Spilker, RWTH Aachen University
Malte Brettel, RWTH Aachen University
Antecedents of Consumer Animosity and the Role of
Product Involvement on Purchase Intentions
Ji Eun Park, Saint Louis University
Stanford A. Westjohn, University of Toledo
Global Strategic Alliances: How do National Culture and Alliance Characteristics Influence Financial
Performance?
Subroto Roy, University of New Haven
K. Sivakumar, Lehigh University
The Moderating Role of Consumer Regulatory Focus
Orientation in Country-of-Origin Effects
Meltem Tugut, Saint Louis University
Mark J. Arnold, Saint Louis University
Global Interests 3
Looking for new and interesting examples or business news stories from emerging and/or developing markets around the world? Searching for additional research resources for students working on projects in these markets? Try surfing some of the suggestions below:
AfricaOnline.com http://www.africaonline.com/
Links to news reports on African political and legal issues.
African Studies Links—Harvard University http://www.fas.harvard.edu/~cafrica/links.shtml
Links to culture-related sites dealing with Africa.
Economic Commission for Africa http://www.uneca.org/eca_programmes/policy_analy sis/statistics/stat.htm
Statistics, programs, and publications regarding the
African economy.
Africa Intelligence http://www.africaintelligence.com/
Archives of all the articles appearing since 1992 in several African publications.
All Africa http://allafrica.com/
One-stop source for up-to-date information on all of
Africa, with reports from Africa's leading newspapers, magazines and news agencies.
Ein News http://www.einners.com/africa/newsfeed-africaemerging-markets
Newsfeed on emerging markets in Africa.
Asia Market Research.com http://www.asiamarketresearch.com/
Provides links to country profiles, news, marketing research in Asia.
The China Business Review http://www.chinabusinessreview.com/
Website of The China Business Review magazine.
India’s Finance and Investment Guide http://finance.indiamart.com/new_ventures/index.html
Contains articles about the investment climate in
India. The “Establishing New Ventures” area of the site contains information about hiring local employees, forming a company, and locating financing in India.
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Epsilon ( http://www.epsilon.com
) is the world’s largest permission-based email marketer and is ranked by Ad
Age as the #1 Direct Marketing Agency in the United
States. In April 2009, Epsilon commissioned ROI
Research to execute a global online survey to investigate consumer email trends. The study was conducted with over 4,000 respondents in 13 countries, including
Australia, Canada, China, Germany, France, Hong Kong,
India, Japan, Malaysia, Singapore, Spain, the United
Kingdom, and the United States.
The survey findings were recently discussed by Andrew
Frawley, president of Email and Digital Solutions at
Epsilon; Kevin Mabley, Senior Vice President of Strategic
Services at Epsilon; and Anna Carbonara from the
American Marketing Association. A multimedia presentation of this event can be found on the AMA website at: http://www.marketingpower.com/ResourceLibrary/Pages/
Webcasts/Inside_the_Inbox_Global_Consumer_Email_Tr ends_for_the_Multichannel_Marketer_052709.aspx?sq= epsilon . Additional indepth information about Epsilon’s
Global Consumer Email Study can be found at http://www.epsilon.com/globalemailstudy .
In this column, I provide some highlights from the study and present a summary of an interview that I did with
Kevin Mabley in July 2009 about his reflections on the survey findings.
North American (87%) and European (74%) respondents are more likely than their peers in Asian-Pacific (APAC) to use email as their primary communications tool.
As the main channel for communication, instant messaging is notably high in APAC countries with 28%, while text/SMS and social networking are consistently low across all regions.
Overall, PDAs and smartphones are used more commonly for email in APAC countries than in North
America and Europe. PDAs and smartphones were particularly used for email in Hong Kong (37%), India
(36%), China (32%), Singapore (30%), and Malaysia
(24%). However, 11% of Japanese respondents and 5% of Australian respondents reported using either a PDA or smartphone for email; rates similar to those reported in the United Kingdom (9%), the United States (9%), Spain
(8%), Germany (6%), France (6%), and Canada (6%).
Global Interests 4
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Invest Asia Pacific http://www.investasiapacific.com/
Contains country profiles, reports, articles, and basic information about investment opportunities in some
Asian-Pacific countries.
JETRO’s Invest Japan! Website http://www.jetro.go.jp/investjapan/index.html
Provides a list of 10 reasons to invest in Japan, an overview of attractive investment sectors, information about the investment climate, and a cost simulator to help you estimate the costs of investing in Japan.
Business-in-Asia Web Site http://www.business-in-asia.com/index.htm
A special section is dedicated to starting a business in
Asia and includes 12 questions to ask yourself before starting a business in Asia, how to open an office in
Asia, and how to find an agent in Asia, etc.
Banknet India http://www.banknetindia.com
Managed by senior bankers in India, this site seeks to serve as an informational portal for the banking and financial sectors of India. News, resources, stock market prices, and business directory links are provided.
Canada Agri-Food Trade Service http://www.ats.agr.gc.ca/general/home-e.htm
This website focuses on Canada’s trading partners in the Asia-Pacific region. Agriculture and Agri-Food
Canada (AAFC) provides information, research and technology, and policies and programs to achieve security of the food system, health of the environment and innovation for growth.
Latin American Network Information Center www.lanic.utexas.edu
Includes sections on business, economics, trade, statistics, culture, government, media etc.
Mercantil.com’s Latin America B2B Portal http://www.mercantil.com/default.asp?country=0
Industry-specific searches can be done within specific countries (Argentina, Brazil, Chile, Colombia,
Mexico, and Peru). Searches yield company name, product description, web site, and other contact information.
Mexico Consensus Economic Forecast http://wpcarey.asu.edu/seidman/eoc/mexico/
JPMorgan Chase Economic Outlook Center’s forecast for Mexico.
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Globally email is replacing other channels of communication. Over one-third of respondents have replaced traditional channels in favor of email for communication from banks (40%), promotional postal mail (38%), and telemarketing (34%), and there is a desire for email to continue to displace offline coupons
(14%) and telemarketing (28%).
Permission-based emails (PBEs) are more likely to elicit actions from APAC respondents including clicking on a website, signing up for more information, watching a video clip clicking on an advertised link, or purchasing on- or off-line.
While half of APAC respondents feel that “subject” lines are the most compelling feature of a PBE, over two-thirds of North American and European respondents select the
“from” line. Discount offers, free product offers, familiar brand names, and personalization of subject lines increase the likelihood of opening among all respondents.
Consumers take a variety of offline actions including visiting a store (49%) and purchasing by phone (25%) or catalog (25%), which reinforces the need for marketers to implement a multi-channel strategy. Six out of ten
(59%) APAC consumers report making an offline purchase as a result of email communications, followed by North America (53%) and Europe (37%).
Liesl : Why is this research important for Epsilon and its clients?
Kevin : Our clients are the largest email service providers in the world. It is in our interest to invest in understanding the industry. We commissioned the research as a value-added service for our clients and prospects in the industry. We conducted the study in the markets that match the footprint of the largest email service providers in the world.
Liesl : The survey findings seem to paint the picture of a very different email user in APAC countries. How is the APAC consumer different than their North
American and European counterparts in terms of email use and interaction? What do you think accounts for or drives these differences?
Kevin : The penetration and usage rates of mobile devices in APAC countries are quite high. APAC consumers are moiré wired and more channeled. They desire more email, on more topics, more frequently.
Given this, they are probably more capable of filtering their email. They also are more motivated to click on an email if the subject line catches their attention. Subject lines —the specific offer and content—is more important to the APAC consumer; it is less important who sent the
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Global Interests 5
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BrazilTradeNet http://www.braziltradenet.gov.br/
Offers info about trade and investment opportunities, facilitating contacts between Brazilian exporters and foreign importers, as well as the establishment of partnerships between Brazilian companies and companies from other countries (direct investment, joint-ventures, licensing, etc.).
The Caribbean Home Page http://www.caribinfo.com/
Numerous links to interesting business-related news from around the Caribbean.
AccesoPeru http://s3.accesoperu.com/wp6/wp6.php?p=index
Useful information about Peru; links to major
Peruvian publications.
AME Info http://www.ameinfo.com/
Info and links to resources regarding the business and economic environment in the Middle East. Also provides industry- and country-specific profiles and information.
Ephesus, Inc. http://www.ephesusfinancial.com/MIDEAST/MainPa ge.asp
Information on Middle Eastern securities markets, commodity exchanges, and other headlines.
The Middle East North Africa Financial Network http://www.menafn.com/
Contains a large company database, market research and data, and global currency information.
Mafhoum.com www.mafhoum.com
A large database for finance, economy, business websites in the Arab world
AlBab.com http://www.al-bab.com/
A “gateway” to the Arab world providing country briefings, news sites, articles, topics, and cultural links.
ArabianBusiness http://www.arabianbusiness.com
Online political and business magazine for the
Middle East.
Zawya http://www.zawya.com
Business and finance portal for the Middle East and
North Africa, by countries and sectors.
Global Interests 6
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message to them. Subject lines that are particularly effective in APAC counties are those that report breaking news, limited time offers, special offers, etc.
A key takeaway from the study has to do with differences in APAC expectations
– the APAC consumer expects to get targeted, customized offers on a frequent, regular basis.
Liesl : What were the most surprising findings in the study for you?
Kevin : Four things really surprised me:
1. Consumers’ definition of the term “spam” worldwide has expanded. The term used to refer to non-permission based emails. Now the term refers to emails that are sent to the receiver at the wrong time, with irrelevant or untargeted information —whether or not the user signed up to receive emails from the sender or not.
2. Globally consumers are becoming less concerned by —and in fact, desire—marketers to track their online activity through cookies, etc. and use that information to craft more tailored email offers and messages.
3. At least in North America and Europe, the power of the brand really matters in the inbox. In these markets, consumers respond more favorably to email messages sent to them by companies that they know and trust; subject lines —and the specific offers or content they provide
—matter less.
4. Increasingly off-line activity is driven by on-line promotions in markets around the globe. Email messages can enhance brand impressions, remind consumers about new product offerings in brick and mortar stores, and incentivize consumers to frequent a retail location.
Liesl : Do you have any advice for our readership in terms of issues or concepts we should be teaching the next generation of marketing managers?
Kevin : First, just because a channel is the most cost effective, don’t abuse it or take it for granted. On average a marketer earns 22 cents for every email they deliver to an inbox. But the costs can be tremendous if you make a mistake in email communication with an individual consumer. Why?
Because email recipients don’t just respond negatively as individuals; they respond in networks since a poorly targeted or worded email can be so easily passed around via social networking sites, listservs, etc.
Second, many retailers are seeking to get consumers to opt in to PBEs for promotion communication. Get those parking spaces now! Because before long, your best customers will be saturated with these subscriptions and will not be interested in adding an additional subscription to their ever-increasing inbox.
JOURNAL OF INTERNATIONAL MARKETING:
Innovation has become increasingly important to marketing academics and practitioners as firms operate in a larger number of markets and organic growth becomes the watchword in the executive suite. The specific goals of this special issue are to present new insights into the concepts of innovation, innovation management, and the innovationcustomer linkage that is relevant to marketing scholars and practitioners concerned with the challenges of innovation in global markets.
This issue intends to extend the current understanding of innovation in the field of marketing. Manuscripts may be theoretical or empirical. This special issue seeks to publish leading research on innovation in global markets from the perspectives of strategy, modeling and consumer behavior.
A primary criterion for assessing fit with “Innovation in the
Global Marketplace” is that manuscripts enhance the field of marketing’s understanding of innovation issues in the global context using rigorous theoretical and or empirical method.
Potential topics of interest would, but are not limited to:
· Product and service innovation challenges in the global marketplace
· Employment of technology in innovation for enhancing global market effectiveness
· Global and/or cross-national diffusion of innovations
(product, service and/or process)
· Effectively coordinating innovation activities across borders
· Process innovation for global marketing effectiveness
· Globalizing organizational process innovations for enhancing marketing capabilities
· Innovating markets for strategic global growth
· Challenges to entrepreneurial innovation across markets
· Cross-cultural or cross-national consumer responses to product and service innovations
· Role of mergers and acquisitions in global innovation
· Product- and service-innovation alignment with corporate sustainability efforts
· Linkages among innovation, branding, and product line proliferation in global efforts
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Deadline for Submission: February 8, 2010.
Submitted manuscripts should follow the format indicated in the submission guidelines at: http://marketingpower.com/JIMGuidelines.
Manuscripts should be submitted at: http://mc.manuscriptcentral.com/ama_jim. All manuscripts will be entered into the review process beginning February 9,
2010.
Questions pertaining to the special issue should be directed to:
David A. Griffith
Editor, Journal of International Marketing
The John W. Byington Endowed Chair in Global Marketing
Department of Marketing
The Eli Broad Graduate School of Management
Michigan State UniversityN370 North Business Complex
East Lansing, MI 48824-1122, USA
Tel: 517.432.6429
Fax: 517.432.1112 email: Griffith@bus.msu.edu
Global Interests 7