...Isaiah Miller IBUS 453 Seitz Harley Davidson Case 1. Which of porter’s generic strategies is H-D using? Will this strategy work for all the countries described in the case? Why or why not? H-D is using the niche market strategy with a focused differentiator in the luxury market. H-D’s exclusive focus on luxury motorcycles shows that they are committed to the niche luxury market and also the international market. This strategy could definitely work in some countries but can also fail in others and cost the company. For example, China, India and Russia could be good target countries for this market because they are a part of that golden triangle of countries that are newly wealthy and buying more luxury goods. On the other hand this strategy has proven not to work in countries like the United States where luxury was popular for a long time but do to recession the demand for luxury goods has fallen significantly causing a drop in sales and missed financial goals. 2. What does a Porters five forces analysis reveal about the strategies H-D has employed in recent years? The first of the five forces is one of the most important forces in this case, which is the degree of competition in the industry. This force is important because the whole reason for all their recent changes is to keep up with competition and keep the company in a good financial position. The threat of new entrants could be a factor for H-D however they are a pretty large and well established company and...
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...Backward vertical foreign direct investment with an example Backward FDI is investing in an industry which supplies your firm at home. Buying or building a supplier. For example, if Ford builds an engine production facility in Mexico which ships engines to it manufacturing site in Texas. This would be backward vertical FDI. Vertical foreign direct investment with an example Investment from one country into another (normally by companies rather than governments) that involves establishing operations or acquiring tangible assets, including stakes in other businesses. Vertical: when different stages of activities are added abroad. Forward vertical FDI is where the FDI takes the firm nearer to the market (for example, Toyota acquiring a car distributorship in America) and Backward Vertical FDI is where international integration moves back towards raw materials (for example, Toyota acquiring a tyre manufacturer or a rubber plantation). Common law system and how it differs from a civil law system Common law is based on tradition, precedent, and custom. When law courts interpret common law, they do so with regard to these characteristics. This gives a common law system a degree of flexibility that other systems lack because it allows the judge to interpret the law. Civil law system and how it differs from a common law system Civil law is based on a very detailed set of laws organized into codes. When law courts interpret civil law, they do so with regard to these codes...
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...Chapter 6 – Quiz 1. A local forest provides habitat for deer that are harvested by hunters. The hunters receive what type of benefit in this case? 1) Direct use value 2) Indirect use value 3) Option value 4) Bequest value 5) Existence value 2. A wildlife preserve provides what type of economic benefits? 1) Use values only 2) Non-use values only 3) Existence values only 4) Direct and indirect use values only 5) Both use and non-use values 3. A decision to postpone commercial development of an undisturbed parcel shows an example of what type of economic benefits? 1) Direct use values 2) Indirect use values 3) Existence values 4) Option values 5) Bequest values 4. Which one of the following valuation techniques is not based on the value of marketed goods or services? 1) Hedonic pricing 2) Avoided cost valuation 3) Production function valuation 4) Contingent valuation 5) Engineering cost valuation 5. An economist estimates the value of a nature preserve by calculating the price premium people pay for houses located adjacent to the preserve. This is an example of what type of economic valuation? 1) Hedonic pricing 2) Production function valuation 3) Contingent valuation 4) Travel cost method 5) Engineering cost valuation 6. Asking people to indicate their economic values in a survey is an example of what type of economic valuation? 1) Travel cost method 2) Contingent valuation 3) Hedonic pricing 4) Production...
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...IBUS 410- Midterm Review Globalization * Definition: interdependent, integrate * Production- factors of production- land labor capital * Endowment theory * Lower overall cost * Markets- merging markets * Economies of scale * Institutions * Drivers- decline in barriers, tech changes * Implications: * Lower barriers: optimal location * Tech changes: lower costs * 4 trends in changing demographics * MNE- types of companies involved * Democratic politics, free market economies The World Is: * Prusak- distinguish information from knowledge (difference) * IMPORTANT- the issue of access to info- but no knowledge * Ghemawat- 10% presumption, factors of time zones, languages, proximity shows that distance does matter, the world isn’t flat Opportunities & Challenges of globalization for managers * Differences of managing international vs. domestic * Boeing: benefits of globalization maximize efficiency of production but actually caused problems; lack of planning, communication, not simple for this industry (knowledge intensive industry) better for in house Localization * Standardization is ending, consumers are diverse- customization for local * Data analysis & innovation * Centralized vs localized * SWOT analysis National Differences * Political economy- system of gov. Political, economic & legal influence each other. Collective vs individualism ...
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...Ashok Leyland R&D Centre thrust on global technology in Commercial Vehicles by motorindia — August 2, 2008 at 4:33 pm | K. Gopalakrishnan Marking its 60th year celebrations, Ashok Leyland has dedicated its Research and Development Centre which has been set up on the outskirts of Chennai. Ashok Leyland has set a clear mission to offer world-class technology products that is relevant and affordable to Indian and global markets. The company has undergone a lot of restructuring and re-engineering, particularly in the last five years. From under 30,000 vehicles sold in 2001-02 to over 84,000 vehicles in 2007-08, Ashok Leyland has registered a steady growth year on year and has aggressive growth plans for the future. To enable this growth agenda the company is strengthening its in-house R&D; capabilities through higher investments in infrastructure and manpower. The R&D; centre has state-of-the-art facilities, including the six-poster indoor vehicle test facility and the transient cycle engine dynamometer, both being the first of their kind in the Indian commercial vehicle industry. Ashok Leyland has always been in the forefront of innovation and product development, by introducing technologies and products that have gone on to become industry norms. All this has been achieved through vigorous in-house research and development and by tying up with international technology leaders. All new vehicles and critical components developed, both by the...
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...Da doluptae veliquiam, aut recatur eribus. Ibus et ium harum venistotatem nimenih ilique millore provita epudit quibus molesed maionsequi simolup taquatque ea ne et quam facerferibus porporest etusdae ptintessus alicabo. Lat. Ictaept atquis dolore, solut a estiur aliquam quias denisqu iatur, tem doluptatia si reptas sumquas erum quost, sunt qui aut aut inus dolorendit re, alicien ihiciumqui quasimaion parchitibus, od ut destrum fuga. Aribusae poreiunt, sum int aut arum ero estemoditas as re dolent aut et etur acia sequas moloristium ne consequ iandanto min eossitem. Nam, temped que versped et quam quis dundi aut molupta coneste voles nimusapel minctotas et et quam nonsequis nos re poreprorem quiae rem eliquibus ad quae la sitae de exerit que et mossinus quiam, odit elicipi stiatibere reri optiorrorpos eaque dolorem venis el inia sed que pliqui dolorist laboressim num adis dolestius, volorporione ea simento rporro oditio. Nam quam dolupis ut magnihi llupta sum que santusa ndanihiliam litam, untum fugitasimus molor magnimi, voluptas magnis et am, sit que et labo. Arum excerum hillest quia volores magnatur, omnis et isit alique consectur solenem porrovitam quos et que la con re volorestium excersp itiatur eratioritem am nonse dolo et est incium doluptur a volor same porecta tusciam et quo veliquo blandest quia nos eat laborae plab ium as dellesedi debis es non culpa nos magnatiberis aut aut ut quis nossus, quas eum eversperae plaut alibea pel mi, quature excepta tinimus. Si reicturem...
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...Ibus 430 Summary Report The Key to Kiev In this article the authors discusses the problems and tensions between Russia and Ukraine, over natural gas prices and distribution, that started to rise in winter of 2009 and affected the most part of Europe, that has not been completely solved until present day. On January 7th 2009 after disagreement over natural gas prices, Russia completely shut off gas supplies to Ukraine. Therefore, Ukraine shuts off the natural gas supplies to Europe, which created another conflict involving other countries. With intense European pressure after a week of debating and arguing, Russia and Ukraine were forced to reach an agreement for its gas prices. This crisis showed that foreign policymakers should not forget that Ukraine is one of the largest state in Europe and they should count in, besides the week economic growth, it still holds a lot of power of natural gas pipelines that runs through it. After the agreement was reached it was set that the prices for gas in the first quarter of 2009 will be $360 per 1000cubic meters, and when Ukraine will purchase over 60% of its annual gas from Russia it will be $200 per 1000 cubic meter. Furthermore, Russian policymakers were pushing Ukrainian government to give up some pipelines towards Russian advantage, due to Ukraine being unreliable source of distribution of natural gas (economically and technologically). With the inside of the both countries political wars for the presidential elections, it...
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... operates a restaurant, a distillery and a brewery that, in producing about 140,000 barrels of beer and raking in a combined $52 million in revenue, has become one of the fastest-growing microbrewers in the nation. Here’s how Calagione rose to the top of the beer world, he started waiting tables at a restaurant called Nacho Mama’s Burritos in Manhattan while he was enrolled in some writing classes at Columbia University. That’s when he first tasted microbrews like Sierra Nevada. He then got hooked on brewing his own beer in his apartment. That’s when he decided to drop out of school and take an apprenticeship up in Portland, Maine at the Shipyard Brewery so he could learn how to make beer. During the day, he learned about hops IBUs, which measure how bitter a beer is, while working on his business plan at night. After about a year in Maine, his wife Mariah and himself and moved back to her hometown near the Delaware shore. He fell in love with the area and decided to try and open his own brewery there. He didn’t have a lot of money, so he cobbled together some used equipment and started experimenting in his basement with lots of ingredients like licorice, coffee and apricots. The frustrating thing was that he could only brew about 20 gallons at a time,...
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...Professor Elena A. Iankova 264 Academic Building A Tel. (607) 777 6059 Email: eiankova@binghamton.edu IBUS 480A & IBUS 581A. GLOBAL BUSINESS RISK MANAGEMENT Spring 2015 MW 4:45-6:10 pm Room: AA 370 4 credits Office Hours: Wednesday 1:00 – 2:00 pm or by appointment Office: AA-264 Secretary: Bernie Cencetti Office: AA-361 Telephone: (607) 777-2674 Email: bbobal@binghamton.edu Course Objectives In an increasingly globalizing world, more and more companies are going abroad to pursue their major business objectives. What are the risks encountered by MNCs in their international business operations? How to evaluate, approach and manage these risks? This course aims to provide a general understanding of the field of global risk analysis and management. More specifically, you will learn about the development of the risk assessment industry and the major approaches to risk assessment. You will also get acquainted with the various types of risk that international businesses face in their operations abroad, and the major strategies for risk mitigation and management. We will pay special attention to political risks (asset expropriation, contract repudiation, legal and regulatory risks), 1 societal risks (activism of international non-governmental organizations, reputation and public image issues), and everyday risks (corruption). Through a combination of readings, lectures, guest speakers, case discussions and risk assessment projects you will develop practical skills in...
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...IBUS 402:002 Discovering the needs of your target segment is essential when developing a new product. Surveys and questionnaires would be the easiest way to go about discovering the needs of American parents and kids who might like this doll. E-mailing these forms would be easiest; although, in person you can choose your candidates better. Another possibility would be to research the most popular dolls sold to American parents and compare the similarities and differences from those dolls to this particular doll. Market testing would probably be the most efficient and conclusive way to discover your segment’s needs. Market testing is important because as Hornor states “everyone thinks their idea or product is perfect, so you need to test it with real potential customers so they can either tell you it is wonderful or open your eyes to potential issues with your product.” The biggest issue Americans have reported about their feelings towards toys manufactured in China, and sold in the U.S., is that they are unsafe and dangerous for their kids. These issues have come up because many toy manufacturing companies have had serious public issues. Mattel, the largest toy manufacturer, had to recall over 19 million toys. About half of those toys were distributed in the United States, and all were manufactured in China. (Story and Barboza) These toys were recalled because of problems such as small amounts of lead, which can be extremely harmful to kids. “According to the US Consumer...
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...Johnson & Wales University Providence, Rhode Island Feinstein Graduate School WHITEPAPER “The Port Development of Gaza” A Written Paper Submitted in Partial Fulfillment of the Requirements for the MBA Degree Course: Global Economic Environments-IBUS 5511 Qiong WU 12/11/13 INTRODUCTION My name is Qiong Wu, and I am a consultant of international trade and safety in Gaza. My job is controlling the maritime passage into and out of Gaza thus allowing the safe transport of goods to and from the rest of the world, finding problems and offering solutions to improve the situations there. The purpose of this document is to provide my solutions for the port development of Gaza. Gaza needs to create a new policy to suit the changing global environment that will protect the safety of people’s lives as well as boost Gaza’s economy. BACKGROUND 1. Political Environment Gaza has very long history in the world, and it is also a place that suffered a lot. It has been ruled by both Egypt and Israel and is beloved by neither, which is a problem for all. Gazans are emphatically Palestinian, a national identity forged from the trauma of losing their land to Jewish armies in 1948, the year Israel was established. Many defeated Arab landowners fled to Gaza, where 3 out of 4 residents are classified as refugees. The Jews initially made no claim to Gaza, and the strip of coast became a holding pen administered by Egypt's military. The West Bank was annexed...
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...HRM in an MNE Human Resource Management involves a broad set of managerial activities focused on developing and maintaining a qualified workforce in ways that contribute to an effective organization. HRM is becoming more important every day and requires dedicated employees who can balance legal and ethical issues for organizations to be successful; which result from the importance of people as a source of competitive advantage. For a company to produce its goods and services in a productive manner, HRM accommodates employees with the right skills and training, and provide them with an environment in which they can make a powerful impact (Denisi/Griffin, 2012). Compare and contrast two main differences between domestic and international HRM. One main difference between domestic and international HRM is that staff are transferred to different countries to work various roles within the international company’s foreign operations; these employees are called expatriates, who temporarily work and live in a foreign country. For a human resource department to operate in international HRM, they must participate in a variety of activities, such as international taxation, administrative services for expatriates, and services for language translation (Dowling/Festing/Engle, 2013). The second difference between domestic and international HRM, is that IHRM requires a greater involvement in the personal life of the employees. The HRM are responsible for making sure the expatriate understands...
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...Sarah Schulze IBUS 480 Sarah Schulze Case Study #1 * The Hofstede Cultural Dimensions comparison between the U.S and China explain the main cultural differences between the two countries. The biggest differences between the two fall within these five categories; power distance, individualism, long-term orientation, indulgence, and uncertainty avoidance. These cultural differences play a huge role when the two countries are negotiating with one another. First, the power distance dimension explains that China is a society that believes inequalities among each other are acceptable This acceptance shows that when negotiating, China will direct their attention to the individuals who are the oldest, have the highest position and who are male. An example of this difference was shown in the case when Ai Hwa Chew was not including Barb in the conversations, but instead directed his attention to Barbs male counterparts. There is also a huge difference between the two cultures when it comes to individualism. China is a very collectivist culture where people act in the interests of the group, where as in the U.S we are very individualistic. This can make negotiation hard between the two groups because in China their groups are very close knit and it is hard to become a respected member of a group. Since relationships come first in their culture, you must establish a relationship with the others before you will be able to negotiate any business deal. As we know, establishing...
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...Jay Soss 1/23/12 IBUS-301 Professor Harasamophaka Bavarian Motor Works (BMW): An Analysis on its Success as a Multinational Enterprise Introduction BMW Group manufactures products under three brands: BMW, MINI and Rolls-Royce Motor Cars. BMW is a Multinational Enterprise that has been manufacturing and marketing luxury products for about a century. The company is currently the largest premium car maker in the world, followed closely by Mercedes-Benz and Audi. Their headquarters are located in Munich, Germany, and the building itself is also a well-designed masterpiece allowing visitors a glimpse inside the techniques utilized to keep BMW a true competitor on the global scale. This Multinational Enterprise is made up of twenty three production and assembly plants in thirteen countries, forty one sales subsidiaries all over the world, and ten locations in the Research & Development network in five countries. According to the company's current annual filing, it had FYE 12/31/2011 revenue of $90.9 billion and employs one hundred thousand and three hundred and six people (Bayerische). These values ensure its positions as one of the ten largest cars manufactures in the world. Bavarian Motor Works has been able to sustain its position as a successful Multinational Enterprise by adapting to the changing global marketplace through adopting environmentally friendly policies, smarter spending, relevant marketing and partnering with other automobile companies to continuously strengthen...
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