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ĐẠI HỌC UEHTRƯỜNG KINH DOANHKHOA KINH DOANH QUỐC TẾ - MARKETINGBài tập cuối kìMôn học: Marketing quốc tếGiảng viên: Hoàng Cửu LongMã lớp học phần: 21C1MARSinh viên: Lê Hoàng PhúcKhóa – Lớp: K45 – IBCMSSV: 31191025878Contents varying objectives and aspirations of management.” Explain. (Question 4, Ch...

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ĐẠI HỌC UEH TRƯỜNG KINH DOANH KHOA KINH DOANH QUỐC TẾ - MARKETING

Bài tập cuối kì Môn học: Marketing quốc tế Giảng viên: Hoàng Cửu Long Mã lớp học phần: 21C1MAR50309601 Sinh viên: Lê Hoàng Phúc Khóa – Lớp: K45 – IBC03 MSSV: 31191025878

Contents Part I: Question 1: “In dealing with foreign business, the marketer must be particularly aware of the varying objectives and aspirations of management.” Explain. (Question 4, Chapter 5, Page 155)............. 3 1.

Mobility and security ............................................................................................................................. 3

2.

Private Life.............................................................................................................................................. 4

3.

Social Acceptance and Affiliation ......................................................................................................... 4

4.

Power and Achievement ........................................................................................................................ 4

Question 2: Discuss how governmental instability can affect marketing. (Question 8, Chapter 6, Page 183) ....................................................................................................................................................................... 5 Stability of Government Policies ................................................................................................................... 5 1.

Forms of Government ............................................................................................................................ 5

2.

Political Parties ....................................................................................................................................... 6

3.

Nationalism ............................................................................................................................................. 6

4.

Targeted Fear and/or Animosity........................................................................................................... 7

5.

Trade Disputes ........................................................................................................................................ 7

Part II: Select a country and analyze it politically from a marketing viewpoint. (Question 16, Chapter 6, Page 183) .............................................................................................................................................................. 8 Overview ................................................................................................................................................. 8

I.

II. Hurdles that marketers face in their attempts to gain a foothold on the island of Castro and Communism .................................................................................................................................................... 9 1.

The effect of the internet in Cuba ..................................................................................................... 9

2.

Tourism .............................................................................................................................................. 10

3.

Marketing revolution ....................................................................................................................... 10

4.

Media challenge ................................................................................................................................ 11

5.

Regulatory hurdles ........................................................................................................................... 11

6.

Limited brand awareness .................................................................................................................. 12

7.

Ongoing difficulties of outsiders ....................................................................................................... 12

III.

Guidelines for marketer .................................................................................................................... 13

IV.

Unusual techniques to entering the Cuban market ......................................................................... 14

V.

Conclusion .............................................................................................................................................. 15 1.

Marketing must have a consistent message ................................................................................... 15

2.

More head speak and less heart respond ....................................................................................... 15

3.

Replace the engine, but keep the body ............................................................................................ 15

References..........................................................................................................................................................17

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Question 1: “In dealing with foreign business, the marketer must be particularly aware of the varying objectives and aspirations of management.” Explain. (Question 4, Chapter 5, Page 155) Culture refers to the values, beliefs, behavior, traits, attitudes, actions, and conducts that individuals in a particular community observe and engage in. It is stated that when interacting with overseas organizations, the marketer should keep in mind the varying objectives and aspirations of management. This phrase might be understood by noting that each culture is distinct from the culture followed and seen in various areas and nations. People living in different regions and places follow diverse cultures and, as a result, look forward to purchasing certain items and services that are highly important and unavoidable for their cultural standards. This is connected to the type of marketing activities which an organization engages in at a specific cultural community concerning the products and services that the organization provides to the people. Cultural change refers to the changes that have occurred in a community’s culture as they relate to the conduct and worldview of its members. Depending on this, a firm selects the most exemplary marketing and promotional approach for its products and services, capable of attracting and enticing the targeted demographic to the supplied products and services. In this approach, marketers should consider the various customs and goals that other cultures go through when making marketing efforts in those locations. 1. Mobility and security Personal security and job mobility are inextricably linked to fundamental human desires, with far-reaching economic and societal implications. The term "security" is highly vague, and this ambiguity reveals considerable managerial variety. To some, security includes a high salary and the ability to move from company to business within the corporate ladder; to others, it entails the security of long-term employment with their company; and to still others, it entails adequate retirement benefits and other welfare programs. “

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Companies in Europe, particularly in more hierarchical (PDI) nations like France and Italy, have a strong paternalistic orientation, and it is anticipated that workers would work for one firm for the bulk of their life. Managers in the United Kingdom, for example, place a high value on individual performance and autonomy, but French managers place a high value on competent supervision, solid business regulations, fringe benefits, security, and suitable working circumstances. French managers have far less mobility than their British counterparts. “

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According to research, such inequalities are widespread—employee loyalty to their company tended to be higher in nations with a greater level of individuality (IDV) but a lower level of power distance (PDI).

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2. Private Life For many people, having a fantastic personal and/or family life takes precedence above money, security, or any other goal. In his international study of human desires, David McClelland discovered that the value of a decent personal existence was far more important than profit or achievement. Work was clearly portrayed in ancient Greece's hedonistic perspective as an unwelcome factor that impeded the pursuit of pleasure or a respectable personal life. Optionally, according to Max Weber, at least some of the high standard of living experienced in the United States today may be attributed to the hard-working Protestant ethic that underpins much of our business culture. To the Japanese, private life is synonymous with business life. Many Japanese people consider their jobs to be the most essential aspect of their life. The Japanese work ethic stems from business loyalty and usually results in the Japanese employee keeping identification with the organization. Although this is still true for the majority of Japanese people, significant evidence suggests that the country's struggling economy has impacted professional development patterns, and that the status of the Japanese "salary man" has shifted from one of Japan's corporate elite to one of some contempt. Japan's corporate culture is rapidly changing away from lifelong work, which has resulted in extreme firm loyalty. “

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3. Social Acceptance and Affiliation Recognition by neighbors and coworkers appears to be a fundamental goal of business in several countries. The importance of collective decision-making in Japan reflects the Asian mindset, and the Japanese place a high priority on fitting in with their group. When asked what he does for a living in Japan, a worker will generally react by stating he works for Sumitomo, Mitsubishi, or Toshiba, rather than mentioning he is a driving engineer or chemist. “

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4. Power and Achievement Although corporate managers crave power worldwide, power appears to be a more powerful motivator in South American countries. Many corporate executives in these nations are not simply profit-driven but also use their positions to become social and political leaders. The reasons for performance identified by management scholars in the United States are related but distinct. Money in the bank is one method to assess success; high rank is another—both of which are particularly significant to the United States. The marketer cannot determine what he believes the management objectives of a foreign business are based on what they are in similar firms in his own nation. Management ambitions and aspirations range from one organization to the next in our country. As a result, they may differ in other nations. To make a sensible commercial decision that will 4

not offend potential partners, the marketer must minimize the amount of SRC in his choices. Question 2: Discuss how governmental instability can affect marketing. (Question 8, Chapter 6, Page 183) Government instability occurs when a country’s government does not remain in power for a predetermined time and often changes. Stability of Government Policies A stable, friendly government is ideal for a multinational firm. Nevertheless, governments are not always persistent and pleasant, and governments that are stable and friendly do not always remain steady and positive. Concerns that may threaten a government's stability include radical changes in government doctrine when an alternative political party ascends to power, pressure from nationalist and self-interest groups, deteriorating economic conditions, anti-foreign-investment prejudice, and disputes among governments. Because multinational firms are appraised by criteria as different as the nations themselves, the stability and hospitality of each country's government must be examined on an ongoing basis. The stability or volatility of current government policies is at the top of the list of political concerns affecting international firms. Governments may change, or new political parties may be elected. Still, the multinational corporation’s priority is the continuity of the set of standards or codes of behavior and the rule of law—regardless of which government is in power. Multinational corporations can exist under any sort of government as long as there is some long-run predictability and stability and there is the opportunity for profit. There are five major political causes of instability in international markets: (1) some forms of government appear to be inherently unstable, (2) changes in political parties during elections can have a significant impact on trade conditions, (3) nationalism, (4) trade disputes themselves and (5) hatred directed at specific countries,. 1. Forms of Government Around 500 BC, the ancient Greeks proposed and critiqued three basic systems of government: rule by one, rule by a few, and rule by many. Today, these types are commonly referred to as monarchy (or dictatorship), aristocracy (or oligarchy), and democracy. Around the same period in history, Persia's ruler, Cyrus the Great, declared that the objective of government was to serve the people, not the other way around. Cyrus' idea is enshrined in the constitutions of the majority of modern nations. Following the fall of colonialism beginning with World War II and communism around 1990, the world “

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appeared to have agreed that free market democracy was the greatest answer to all of the objections of government that had been raised from the time of Aristotle, Cyrus, and others.

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Thus, practically all of the world’s more than 200 sovereign states have at least nominally representative governments with universal suffrage for those aged 18 and up. Voting is compulsory in around 10% of the world’s countries, while optional in the rest. A few nations have peculiar suffrage rules: In Bolivia, you may vote at 18 if you are married and 21 if you are single; in Peru, police and military people are not allowed to vote; and in Croatia, you can vote at 16 if you are working. 2. Political Parties In most places throughout the world, marketers need to understand the ideologies of all main political parties inside a country because they might become dominant and change prevalent views and the broader business climate. In nations where two major political parties generally replace one another in government control, it is critical to understand the route each party is likely to pursue. In the United Kingdom, for example, the Labour Party has generally been more restrictive in terms of international commerce than the Conservative Party. When the Labour Party was in power, it controlled imports, whereas when the Conservative Party was in power, it liberalized international commerce. A foreign firm in the United Kingdom should anticipate to seesaw between the Conservatives' free trade policies and Labour's restrictive ones. Of course, the Democratic Congress in the United States was hesitant to approve free trade treaties negotiated by George Bush's Republican government in the White House. “

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To be fully educated about the political climate, a savvy international marketer must comprehend all facets of the political scene. Unpredictable and dramatic swings in government policy discourage investment, regardless of the source. In short, a current evaluation of a country’s political philosophy and views is critical in determining a government’s stability and attractiveness in terms of market potential. 3. Nationalism Economic and cultural nationalism, which occurs to some extent in all nations, is another significant issue to consider when judging the business climate. Nationalism is best defined as a passionate sense of national pride and unity and an awakening of a people’s pride in their country. This pride can manifest itself as an anti-foreign business attitude, in which modest harassment and limits on foreign investment are tolerated if not celebrated. One of the primary goals of economic nationalism is the maintenance of national economic autonomy, in which inhabitants link their interests with the preservation of the sovereignty of the state in which they live. In other words, national interests and security trump international.ties. Nationalism manifests itself in a variety of ways, including a demand to “purchase our 6

country’s products solely” (e.g., “Buy American”), import bans, stringent tariffs, and other trade obstacles. They may also lead to control over foreign investment, which is frequently viewed with mistrust and becomes the subject of intense examination and control. In general, the more a country feels threatened by an outside power or the home economy suffers, the more nationalistic it becomes in defending itself against invasions. Militant nationalism had diminished by the late 1980s; now, the foreign investor, formerly feared as a controlling dictator threatening economic growth, is frequently sought as a source of needed capital investment. Nationalism ebbs and flows as situations and sentiments shift, and foreign firms accepted today may be persecuted tomorrow and vice versa. 4. Targeted Fear and/or Animosity It is essential for marketers not to confuse nationalism, whose hatred is generally directed toward all foreign countries, with a widespread fear or animosity directed at a particular country. Toyota made this error in the late 1980s and early 1990s in the United States. Japanese vehicle sales were falling in the United States, so an advertising campaign was created and implemented that suggested the problem was American nationalism. However, nationalism was certainly not the issue because German automobile sales were not declining at the same rate. "Americans' dread of Japan" was a well-defined concern. Indeed, at the time, Americans saw Japan's economic menace as bigger than the Soviet Union's military threat. So, when Toyota invested millions on an advertising campaign depicting Camrys being manufactured by Americans in a Toyota factory in Kentucky, it may have increased fears that the Japanese were "trying to invade" the United States. “

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As a result, it is evident that no nation-state, no matter how safe, will allow foreign corporate infiltration into its market and economy if it senses a social, cultural, economic, or political danger to its well-being. 5. Trade Disputes Finally, minor trade disagreements have the potential to damage larger global economies. Several contentious problems surfaced in 2010, including an undervalued Chinese yuan, a prohibition on beef imports into Japan, Chinese that seemed to violate WTO principles, agriculture subsidies in industrialized nations, and the long-simmering AIRBUS–Boeing subsidy dispute. Some of these concerns might erupt and influence other elements of international commerce, but for the time being, cooler heads—along with the WTO's dispute settlement systems—appear to be in command.

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Part II: (4 marks) Select a country and analyze it politically from a marketing viewpoint. (Question 16, Chapter 6, Page 183) I.

Overview

Overall, the Cuban economy is planned and dominated by state-owned firms. The government owns and operates the vast majority of the country’s industry. As a result, the majority of the employees are employed by the government. Following the demise of the Soviet Union, the Communist Party promoted cooperatives and self-employment. Communications between the United States and Cuba strengthened dramatically in 2016. The two countries had diplomatic relations, and President Obama's trip to Havana to reestablish relations was the first visit to Cuba by a US head of state a...