MARK/IB 3553 International Marketing M 5:30pm - 8pm Spring 2015 (Alter Hall 746) Professor: Dr. Xueming Luo Charles Gilliland Distinguished Professor of Marketing, Strategy, MIS Office: Office Hours: Telephone: E-mail Alter Hall 511 by appointment (215) 204-4224 luoxm@temple.edu Course Materials Text: International Marketing, 16th ed by Cateora, Gilly, Graham, McGraw-Hill Irwin (ISBN 978-0-07-352997-4). Harvard Cases Class handouts (readings, etc.) BusinessWeek, Fortune, Harvard International Review, http://china.adage.com/, China Business Review, and Harvard Business Review (Highly Recommended) Course website (http://www.fox.temple.edu/mcm_people/xueming-luo/). You may download chapter PowerPoints slides, lecture outlines, presentation schedules, learning tips, jokes, etc. Course Overview Marketing 3553 (cross-listed with IBA 3553) is an advanced level marketing course designed to present, in seminar format, supplemented with class discussions, case analysis, and projects, a STRATEGIC MANAGEMENT PERSPECTIVE of Global Marketing. The course is most appropriate for undergraduate Marketing or IB Majors. The instructor expects students with a well-rounded background in marketing prepared to contribute to all class discussions. This course design helps students explore comparative marketing systems as well as to develop experience in identifying and exploring global marketing opportunities. We examine problems in performing analysis of the internal marketing system of countries with various types of politicaleconomic structures as well as the marketing implications of these different structures. Specifically, we explore the strategic impact of economic, cultural, political, and legal differences on marketing strategies and marketing mix elements: price, product, promotion, and distribution issues. Specifically, the course covers problems of marketing and analysis of the internal marketing system of countries with various types of political-economic structures. The course focuses on strategic impact of economic, cultural, political, and legal differences on marketing; we direct attention to decisions regarding international product, price, promotion, and distribution issues. We use a variety of different assessment tools: project, quiz, and test. We will also use written cases, and a research exercise, and a Semester-long Research Project to assure learning. Course learning goals Identify the key factors related to creating a global marketplace. Discuss the key elements of ethical global marketing. Research and identify profitable or attractive foreign markets. Discuss the impact of different cultural values and belief systems on marketing products. Determine marketing strategies appropriate and identify the relevant sources of information and analysis to support the selection of appropriate strategy Identify, select, justify an appropriate marketing strategy, and evaluate the financial, human resource, operational and logistical implications of different strategies. Course Outline (tentative; changes could be made randomly in class) Date Content / Assignment Jan. 12 Orientation: First day of class Key Activities Course organization Chapter 1: The Scope and Challenge of International Marketing Video: High-tech toilet Assignment: Event Projects assigned English Languages Game Special issues on China & India Las Vegas in Macao Ipod Jan. 19 Dr. Martin Luther King, Jr. Day (no classes held) Jan. 26 Chapter 2: The Dynamic Environment of International Trade Event Projects start Video: Wal-Mart in China World music CD Mercedes&Chrysler Chapter 3: History and Geography–The Foundations of Culture 2 Feb. 2 Chapter 3: History and Geography–The Foundations of Culture Youtube.com many foreign country video Video: India’s Economy and Foreign Markets Culture Simulations Assignment: Harvard Case Write-up Game Video: Mexico and South America Chapter 4: Cultural Dynamics in Assessing Global Markets Guest Speaker World most famous women Feb. 9 Chapter 5: Culture, Management Style, and Business Systems Preparing International Money $ Showcase Disneyland in Hong Kong Chapter 8: Developing a Global Vision through Marketing Research Dr. Pepper in Latin International Money $ Showcase Feb. 16 Exam #1 (chapters 1, 2, 3, 4, 5, 8) Feb. 23 Chapter 9: Economic Development Samsung global ads Chapter 10, 11: Multinational Regions (Europe, Africa, Middle East, Asia) Mar. 2 No Class: Happy Spring Break Video: trade protection vs. Japan Mar. 9 Chapter 10, 11: Multinational Regions (Europe, Africa, Middle East, Asia) Chapter 12: Global Marketing Management: Planning and Organization Guest Speaker Mar. 16 Chapter 12: Global Marketing Management: Planning and Organization International Music Showcase Mar. 23 Chapter 13: Products and Services for Consumers Chapter 14: Products and Services for Businesses Mar. 30 Exam #2 (chapters 9, 10, 11, 12, 13, 14) Apr. 6 Chapter 15: International Marketing Channels Video: Honda North America Dr. Pepper in Latin Best collections of Cola wars ads Preparing International Cloth/Culture Showcase Chapter 16: Integrated Marketing Communications and International Advertising Apr. 13 Chapter 16: Integrated Marketing Communications and 3 International Cloth/Culture Apr. 20 International Advertising Showcase Chapter 17: Personal Selling and Sales Management Sales Star Video Chapter 18: Pricing for International Markets Chapter 18: Pricing for International Markets Apr. 27 Guest Speaker Chapter 19: Negotiating with Intentional Customers, Partners, and Regulators International Marketing Conclusion May 4 Exam #3 (chapters 15, 16, 17, 18, 19) Grading method You have a total of 500 points. The final grade will be the weighted average of the points of exams, quizzes, event presentation, and Harvard case write-up. Please keep tracking your points throughout the semester. Requirement Points Weights Exam 1 100 18% Exam 2 100 18% Exam 3 100 18% Class Attendance 50 9% Quizzes (5*20) 100 18% Individual Assignment: Event project (40) 40 7% Group Assignments: Harvard interview (60)^ 60 11% TOTAL 550 100% ^ group member peer evaluation scores will be counted. See the Peer Evaluation Form. Alpha Grade reported for numerical scores as follows: A = 93 - 100 A- = 90 - 92 B+ = 87 - 89 B = 83 - 86 B- = 80 - 82 C+ = 78 - 79 C = 77 C- = 74 - 76 D+ = 71 - 73 D = 70 D- = 67 - 69 F = 66 or below Students are to attend class and to arrive ON TIME. Attendance is taken at the start of each class. Note: more than three unexcused absences will result in a lowering of a full alpha grade (regardless of exam grades). More than 5 unexcused absences will result in a failure for the course. 4 Three Exams: The 3 exams will cover all assigned text readings, class lectures, and assigned readings. The exams will not be cumulative; they will cover the text and lecture material covered since the last exam. You need to bring Scantron sheets and #2 pencils. Make-up exams will only be given to students in cases of emergencies; but written documents are required in advance or afterwards. All make-up exams will be scheduled right after Exam 3. Quizzes: Although 6 quizzes will be given during the semester, only the highest 5 scores will be counted toward your grading (to your benefit). Quizzes will be given randomly at the beginning of the class, during the class, or at the end of the class. Individual Event Projects: Each student is expected to make one oral presentation in class and turn in the PPTs during the semester. Your event project will be evaluated based on your summary quality and presentation communication skills. Group Harvard Case Write-up. The case write-up will be assigned in class two weeks before the due date. Form a 3-person group in case studies and turn in the assignment as a group. Details will be given in class*. * please power off or mute cellular phones. You cannot read newspaper, solve the crossword puzzle, or do anything not related to the class. Academic Integrity - Learning is both an individual and a cooperative undertaking. Asking for and giving help freely in all appropriate setting helps you to learn, however, you should represent only your own work as your own. Personal integrity is the basis for intellectual and academic integrity. Academic integrity is the basis for academic freedom and the University's position of influence and trust in our society. University and school rules and standards define and prohibit "academic misconduct" by all members of the academic community including students. Faculty expects students to be familiar with these standards and to abide by them. Temple’s Policy on Academic Dishonesty is available at the following link: http://www.temple.edu/bulletin/Responsibilities_rights/responsibilities/responsibilities.shtm Academic Freedom - Freedom to teach and freedom to learn are inseparable facets of academic freedom. Temple University has adopted a policy on Student and Faculty Academic Rights and Responsibilities which is accessible through the following link: http://www.temple.edu/ece/Univer%20Policy%202006.pdf Academic Accommodations - It is Temple University's policy to provide reasonable accommodations to students with exceptional needs under the ADA. Any student with a disability or need should inform their instructor of accommodations or adjustments as needed. Faculty exerts effort to accommodate students with documented disabilities. For more information about the ADA and academic accommodations or adjustments, contact the Office of Disability Resources and Services at 215-204-1280 or go the website: http://www.temple.edu/disability/ Students in need of academic support are encouraged to seek that help; try: For help with your writing, try: http://www.temple.edu/writingctr/ For Academic Support, try: http://www.temple.edu/rcc/w1.htm For general counseling, try: http://www.temple.edu/counseling/backup/ 5 International Marketing Grading Tracking Form Requirement Points Exam 1 100 Exam 2 100 Exam 3 100 Class Attendance 50 Quizzes (5*20) 100 Individual Assignment: Event project (40) 40 Group Assignments: Harvard Cases (60) 60 TOTAL 550 6 Tracking My Points International Marketing Group Members Contact Information Form Member Name Email Address 7 Phone # International Marketing Peer Evaluation Form Project Title: _____________________________________ Date: _______________ Please submit to me individually – so that your group members would not see it. Rate your group members as follows: Effort* Quality* My Name: _______ _______ ____________________________ (#1) Group member: _____________________________ (#2) +_______ + _______ Group member: _____________________________ (#3) +_______ + _______ = 100 pts. =100 pts. Write down some comments about your group: _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ _____________________________________________________________________ 8 Individual Event Projects Follow the format in below for both presentation and PPTs (with 10 slides for 10 minutes). Please remember that you should submit a hard copy of the PPTs (fit the slides in one page, 2-sided) and the article (stapled together) to me at the beginning of the class due. You should keep a separate copy for your presentation. You also email me a soft copy of your powerpoint before the class due (Due dates are posted online). (Your last name, first name ) (title, source, and date of the article*) The introduction (you name and short summary of the article) The foreign country mentioned in the current article (get more information from the websites for Country Information): Each student is expected to make one individual oral presentation in class. Select one current (less than 4 weeks old) article from BusinessWeek, Fortune, Harvard Business Review, http://china.adage.com/, and the Wall Street Journal*. 1. the foreign country’s profile, your own experience (if any), google.com search culture shocks, and marketing in that country, youtube.com find videos of that country, and google.com search jokes, interesting facts, business culture in that country. 2. compare the country to U.S.A (In your oral presentation, feel free to use any culturerelated food, dance, clothing, music, money,…, to demonstrate. Extra points possible) http://dir.yahoo.com/Regional/countries/ , https://www.cia.gov/library/publications/the-worldfactbook/index.html , http://www.countryreports.org/ The chapter concept related to the current article: 3. the concept (the key definitions in the end of each chapter of the textbook; you can get the concept from paragraph headings too) in the assigned chapter The conclusion: 4. your thoughts (2 most important points in your view) on how this article and the chapter concept can help a fortune 500 firm** (or your own firm) to market better or sell more in the foreign country **You select a firm from http://fortune.com/fortune500/ Oral presentation time=10 minutes in class, (red card shown means that it is time for conclusion) You need to find an article that addresses one foreign country and a key term/definition of the chapter assigned to you. It is NOT necessary for you to find an article talking about the local firm per se. You only need to make argument on how and why this article will benefit the local firm. 9 Group Harvard Interview Presentation The Harvard interviews are group-based assignments. Each group (3-person group) is expected to turn in 20 PPT slides for the oral presentation (20 minutes). Rehearsal is the key to a better grade. Please remember that you should submit a hard copy of the PPTs (fit the slides in two pages, 2-sided) to me at the beginning of the class due. You should keep a separate copy for your presentation. You also email me a soft copy of your powerpoint before the class due (Due dates are posted online). Follow the same format in below for both presentation and PPTs. The topic is about “Helping US Firms to Sell More Successfully in Foreign Countries.” Below is an example of how to accomplish the project with China as the foreign country. Your group may discuss and select any other foreign country such as Russia, India, Japan, Brazil, Mexico, Germany, or any other interesting countries. The introduction (you names, company, and China) The Firm and China background before the interview: 1. select one local firm (or big firm from http://fortune.com/fortune500/) that is either conducting businesses in China or interested in entering China; research the firm’s 4P+3C, brand, market segment/positioning, SWOT, customer relationship management, critical success factors, service quality, selling techniques, product samples/ad videos, research data analyses adopted by the firm 2. present China profile, culture, and the significance of China to world (In your oral presentation, feel free to use any culture-related food, dance, clothing, music, money,…, to demonstrate. Extra points possible); report a summary of one current news related to the firm’s global actions in China (from BusinessWeek, Fortune, the Wall Street Journal, Neilsen.com, or Google); read the Harvard Business Review articles on China^ Interview the firm manager 3. schedule an appointment (get the contact information from the websites or personal networking). Before the interview, your group should have read the Harvard articles, have researched the firm website and its major competitors, and have prepared some semi-structured questions to ask (adapt the exemplar Client Interview Form in your interview context; include this form as the Appendix stapled together. 4. interview at least one manager (staple his/her business card, attach a picture/video clip in the PPT, and post the video clip on youtube.com). Write up the real manager’ perceptions of doing business in China, reasons why (or why not) doing business in China. (Extra points possible for CEOs, C_Os, VP, President interviewees) Group thoughts after the interview: 5. Report group learning points (three key take-away points in your group’s view) how the interview, Harvard articles, and your team work can help the local firm to market/sell more successfully in China, i.e., adaptations of the firm’s 4P+3C+brand 10 ******************************* ^Harvard Articles References: IN CHINA THE RIGHT POLITICAL TIES COUNT, Weiting Zheng; Kulwant Singh; Mitchell, Will; Paine, Lynn S. Harvard Business Review. Nov2014, Vol. 92 Issue 11, p30-32 Amway's President on Reinventing the Business to Succeed in China. DeVos, Doug. Harvard Business Review. Apr2013, Vol. 91 Issue 4, p41-44. What the West Doesn't Get About China. By: Stalk, George; Michael, David. Harvard Business Review. Jun2011, Vol. 89 Issue 6, p25-27. KFC's Radical Approach to China. By: Bell, David E.; Shelman, Mary L.. Harvard Business Review, Nov2011, Vol. 89 Issue 11, p137-142, CHINA VS THE WORLD. By: Hout, Thomas M.; Ghemawat, Pankaj. Harvard Business Review, Dec2010, Vol. 88 Issue 12, p94-103, CHINA + INDIA The Power of Two. By: Khanna, Tarun. Harvard Business Review, Dec2007, Vol. 85 Issue 12, p60-69, [optional, extra readings] How China Reset Its Global Acquisition Agenda. By: Williamson, Peter J.; Raman, Anand P.. Harvard Business Review, Apr2011, Vol. 89 Issue 4, p109-114, INSIDE THE MIND OF THE CHINESE CONSUMER. By: McEwen, William; Xiaoguang Fang; Chuanping Zhang; Burkholder, Richard. Harvard Business Review, Mar2006, Vol. 84 Issue 3, p68-76. Zeng, Ming and Peter Williamson (2003), “The Hidden Dragons,” Harvard Business Review, 81(October), 92-99. Khanna, Tarun; Palepu, Krishna G.; Sinha, Jayant; Klump, Andy; Kaji, Niraj; Sanchez, Luis; Yacoub, Max (2005), “Strategies that Fit Emerging Markets,” Harvard Business Review, 83 (June), 63-76. Graham, John and Mark Lam (2003),” The Chinese Negotiation,” Harvard Business Review, 81(October), 82-91. (All these Harvard articles in pdf files are available for free online at http://vv4kg5gr5v.search.serialssolutions.com/?V=1.0&N=100&L=VV4KG5GR5V&S=A _T_B&C=harvard+business+review 11 Client Interview Form *you need to adapt this to international marketing context **you may select some of the most interesting responses in QA format, and put them in the paper. Then, attach other responses in the end as an appendix. Name of Firm: ___________________________________________________________ Address: ________________________________________________________________ Contact: ____________________________________ Phone: _________________ General Information: Years in operation and background: ____________________________________________________________________________________ ____________________________________________________________________________________ ________________________________________________ Major products, product lines, or services: ____________________________________________________________________________________ ____________________________________________________________________________________ ________________________________________________ Customers: Geographical distribution: __________________________________________________ Descriptive Characteristics (Age, Sex, Income, Occupation, Material Status etc.): ____________________________________________________________________________________ ____________________________________________________________________________________ ____________________________________________________________________________________ ____________________________________ Do you have customer groups that differ significantly from each other? If so, how? ____________________________________________________________________________________ ____________________________________________________________ Are there groups of customers you think you should be reaching but aren’t? If so, what do you think is the reason they aren’t being reached? ____________________________________________________________________________________ ____________________________________________________________ Are all of your potential customer groups sufficiently aware of your product or service? If yes, why do you think that? If not, why not? ____________________________________________________________________________________ ____________________________________________________________ Competition: Who do you think to be your major competitors and what is (are) the particular strength(s) of each? Competitor Major Strengths ____________________ ________________________________________________ ____________________ ________________________________________________ ____________________ ________________________________________________ ____________________ ________________________________________________ ____________________ ________________________________________________ 12 Pricing: How important is pricing in maintaining your competitive position? ____________________________________________________________________________________ ____________________________________________________________ How are your prices compared to your competitors? ____________________________________________________________________________________ ____________________________________________________________ How do you set your prices or make price changes? ____________________________________________________________________________________ ____________________________________________________________ Advertising: How important is advertising in maintaining your competitive position? ____________________________________________________________________________________ ____________________________________________________________ What does your advertising say? ____________________________________________________________________________________ ____________________________________________________________ How much (or how often) do you advertise? ____________________________________________________________________________________ ____________________________________________________________ Where do you advertise? ____________________________________________________________________________________ ____________________________________________________________ Do your competitors advertise more or less than you do? ____________________________________________________________________________________ ____________________________________________________________ Do you think their advertising is effective? ____________________________________________________________________________________ ____________________________________________________________ Sales Promotion: Are sales, special prices, coupons, or other promotional items important to the success of your business? ____________________________________________________________________________________ ____________________________________________________________ Which kinds do you and your competitors use? ____________________________________________________________________________________ ____________________________________________________________ Do you use these methods to attract new customers or to build loyalty among existing customers? ____________________________________________________________________________________ ____________________________________________________________ Distribution or Location: How important is distribution or location in maintaining your competitive position? ________________________________________________________________________ How is your location compared to your competitor’s? ____________________________________________________________________________________ ____________________________________________________________ 13 Personal Selling and Customer Service: How important is personal selling and/or customer service in maintaining your competitive position? ________________________________________________________________________ How is your sales staff compared to your competitor’s? ____________________________________________________________________________________ ____________________________________________________________ Major Decisions: Are there decisions in any area of your business that you are contemplating within the next year? Decision #1: _____________________________________________________________ Major alternatives: ________________________________________________________ Greatest uncertainty about alternatives: ________________________________________ What would you like to know that would help reduce this uncertainty? ____________________________________________________________________________________ ____________________________________________________________ Decision #2: _____________________________________________________________ Major alternatives: ________________________________________________________ Greatest uncertainty about alternatives: ________________________________________ What would you like to know that would help reduce this uncertainty? ____________________________________________________________________________________ ____________________________________________________________ Other Information: 14