issue confronting Colgate was that it promoted the brand label “Darkie” toothpaste in foreign markets. The use of Al Jolson to promote the product brand “Darkie” had ethical and legal repercussions for Colgate and Hawley and Hazel. This campaign was widely criticized in the United States, and Colgate was forced to develop a strategy to repair the damage it suffered with consumer perceptions of the product brand “Darkie” toothpaste. Colgate proposed that the brand name be changed to Darlie, Darbie
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study 1: Colgate’s Distasteful Toothpaste 1. Identify the major strategic and ethical issues faced by Colgate in its partnership with Hawley and Hazel. Answer: Colgate bought a fifty percent partnership in the Hawley and Hazel group to extend its international presence in the Asian market without having to build its own production plant. Strategic issues included sales activity, increased growth, and profits. Ethical issue was that Colgate promoted the brand label “Darkie” toothpaste in the foreign
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Intercultural Management Colgate’s distateful toothpaste Table of contents Introduction 3 Colgate’s distateful toothpaste 4 Overview of the company 4 Strategic and ethical issues 5 The recommendation 6 The toothpaste advertising 7 Negotiation in China/ Taiwan 9 Hofstede’s analysis 9 Asian countries 9 Taiwan 9 China 10 Hofstede’s scores 10 Power Distance Index 10 Individualism 10 Masculinity 10 Uncertainty Avoidance Index 10 Long-Term Orientation 11 Communication
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This page intentionally left blank Lut12575_fm_i-xxvi.indd Page i 2/10/11 2:28 PM user-f494 /203/MHBR222/Lut12575_disk1of1/0078112575/Lut12575_pagefiles International Management Culture, Strategy, and Behavior Eighth Edition Fred Luthans University of Nebraska–Lincoln Jonathan P. Doh Villanova University Lut12575_fm_i-xxvi.indd Page ii 2/11/11 2:35 PM user-f494 /203/MHBR222/Lut12575_disk1of1/0078112575/Lut12575_pagefiles INTERNATIONAL MANAGEMENT: CULTURE, STRATEGY
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