...McDonald's McCafé Takes Aim at Starbucks in Europe Low-cost expansion is helping McDonald's vie with Starbucks as the Continent's No. 1 coffee chain McDonald's Trafani in a Paris McCafé, where lower prices are helping to nab Starbucks loyalists Ed Alcock PARIS — The Left Bank café is furnished with sleek wood paneling and leather armchairs. Patrons sip espresso from china cups and nibble on croissants and pastries. So what are those golden arches doing on the sign outside the door? The coffee shop on rue Linois is one of 200 "McCafés" McDonald's is opening in Europe this year. By yearend, McDonald's (MCD) hopes to have some 1,100 of the cafés across Europe. The cafés are located inside existing restaurants but with a separate counter, comfy furnishings, and nary a Big Mac in sight. Next year, the company plans 200 more, with an eye toward becoming "the No. 1 coffee seller in Europe," says Jerome Tafani, the company's chief financial officer for the region. That's a grande order. Starbucks (SBUX) is currently Europe's top coffee chain with nearly 1,200 stores. But McDonald's strategy of opening McCafés in existing franchises gives it a leg up over the Seattle-based java king. A stand-alone Starbucks in Europe requires an investment of $350,000-plus, at least triple what a McCafé costs, says Jeffrey Young, managing director of London management consultancy Allegra Strategies. "McDonald's finally woke up and smelled the coffee," says Young. "With the number of outlets...
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...HOFSTEDE: Cultures And Organizations - Software of the Mind Culture as mental programming In Western languages 'culture' commonly means 'civilization' or 'refinement of the mind' and in particular the results of such refinement, like education, art, and literature. This is 'culture in the narrow sense; 'culture one' Culture as mental software, however, corresponds to a much broader use of the word which is common among social anthropologists: this is ‘culture two’. In social anthropology, 'culture' is a catchword for all those patterns of thinking, feeling, and acting referred to in the previous paragraphs. Not only those activities supposed to refine the mind are included in 'culture two', but also the ordinary and menial things in life: greeting, eating, showing or not showing feelings, keeping a certain physical distance from others, making love, or maintaining body hygiene. CULTURE It is the collective programming of the mind which distinguishes the members of one group or category of people from another. It is a collective phenomenon, because it is at least partly shared with people who live or lived within the same social environment, which is where it was learned. Culture is learned, not inherited. It derives from one's social environment, not from one's genes. Culture should be distinguished from human nature on one side, and from an individual's personality on the other: 1 Cultural relativism there are no scientific standards for considering one group...
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...HOFSTEDE: Cultures And Organizations - Software of the Mind Culture as mental programming In Western languages 'culture' commonly means 'civilization' or 'refinement of the mind' and in particular the results of such refinement, like education, art, and literature. This is 'culture in the narrow sense; 'culture one' Culture as mental software, however, corresponds to a much broader use of the word which is common among social anthropologists: this is ‘culture two’. In social anthropology, 'culture' is a catchword for all those patterns of thinking, feeling, and acting referred to in the previous paragraphs. Not only those activities supposed to refine the mind are included in 'culture two', but also the ordinary and menial things in life: greeting, eating, showing or not showing feelings, keeping a certain physical distance from others, making love, or maintaining body hygiene. CULTURE It is the collective programming of the mind which distinguishes the members of one group or category of people from another. It is a collective phenomenon, because it is at least partly shared with people who live or lived within the same social environment, which is where it was learned. Culture is learned, not inherited. It derives from one's social environment, not from one's genes. Culture should be distinguished from human nature on one side, and from an individual's personality on the other: 1 Cultural relativism there are no scientific standards for considering one group...
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...1|Page Business Internationalization STARBUCKS’ INTERNATIONAL OPERATIONS1 Internationally, we are in our infancy. (Howard Schultz, Chairman & Chief Global Strategist – Starbucks, 2003) The expansion strategy internationally is not bullet-proof as it is in the U.S. (Mitchell J. Speiser, Analyst – Lehman Brothers, 2003) ALL’S NOT WELL WITH STARBUCKS In March 2003, Fortune came out with its annual list of “Fortune 500 companies”. For Howard Schultz (Schultz), Chairman of Starbucks Corp. (Starbucks), this list was special as Starbucks [was] featured in the list (position 465). It was a dream that come true for the Seattle-based entrepreneur. Though the U.S. economy was reeling under recession and many retail majors were reporting losses and applying for bankruptcy, Starbucks announced a 31% increase in its net earnings and a 23% increase in sales for the first quarter of 2003. Analyst felt that the success of Starbucks showed that a quality product speaks for itself and the fact that Starbucks spent less than 1% of its sales on advertising and marketing strengthened this view. In addition to be a popular brand among customers, Starbucks was also considered the best place to work due to its employee friendly policies (Starbucks was the first organization in the U.S. to offer stock options and health coverage to part-time employees also). However, analysts felt that the success of Starbucks was due to its profitable domestic operations. It was reported that most of Starbucks’...
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...Southeast Asian besides Singapore, such as India, Thailand, and Indonesia drama), (the very also show signs of of economic scene of Myrdal’ s and Southeast drama: Kong, Japan, Twenty years later, we are experiencing kind of Asian Taiwan, Hong an economic takeoff. World Bank data on the average annual growth product rate of per capita gross national the East Asian (see Exhibit 1) confirm and Singapore are now outperforming the United States and Western Europe economically. Western markets are flooded with high-quality, hightechnology products “made in Asia”; the production of cameras, TV sets, and domestic appliances has all but ceased in many Western countries, the automobile business has suffered severely, and President Reagan has had to violate his free-trade principles to save the U.S. microchip industry. It is true that most of the competition is from East, rather than from South or Southeast Asia; lead. The Five Dragons, as these countries are sometimes called, are heading the list, with average annual sustained-growth percentages over a 20-year period of 7.6% for Singapore, 7.2% for Taiwan, 6.6% for South Korea, 6.1% for Hong Kong, and 4.7% for Japan. These compare with rates for Western Europe of between 3.5% for Austria and 1.6% for Britain; for Latin America of between 4.3% for Brazil and -2.1% for Nicaragua; of 2.4% for...
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...For the exclusive use of S. WANG 9-704-027 REV: JULY 20, 2004 GUNNAR TRUMBULL LOUISA GAY Wal-Mart in Europe “Never resist change… We have to be able to place a store or club side-by-side with the competition and beat them every time.” —!David Glass, Director and Chairman of the Board, Wal-Mart1 “In Germany, we know how retail is spelled.” —!Holger Wenzel, Director, German Retail Federation Introduction “What are the 10 worst things we can do to fail?”2 This was how Lee Scott, CEO of Wal-Mart, summarized Wal-Mart’s approach to working in Germany. Wal-Mart had entered the German retail market in 1997, with the acquisition of the failing German retail chain Wertkauf, and had quickly encountered problems. Wal-Mart’s EveryDay Low Price (EDLP) guarantee, inventory control, and efficient distribution strategy, so strong in the United States, had each been a source of headaches. Wal-Mart went through protracted struggles with labor unions, with suppliers, and with local zoning boards. It also weathered a major pricing scandal, had been fined for failing to return used bottles to producers, and, in a case that was on appeal at Germany’s constitutional court, faced a 330,000 euro fine for failing to release financial data for Wal-Mart Germany. This was not the first time that Wal-Mart International had run into problems with overseas expansion. It had quickly pulled out of Indonesia after a disappointing ‘test project’ in the early 1990s. Yet in most cases, time had worked...
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...Delhi Shanghai Taipei Toronto With offices in Argentina Austria Brazil Chile Czech Republic France Greece Guatemala Hungary Italy Japan Poland Portugal Singapore South Korea Switzerland Thailand Turkey Ukraine Vietnam Copyright © 2007 by Susan L. Shirk Published by Oxford University Press, Inc. 198 Madison Avenue, New York, NY 10016 www.oup.com Oxford is a registered trademark of Oxford University Press All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior permission of Oxford University Press. Library of Congress Cataloging-in-Publication Data Shirk, Susan L. China: fragile superpower / by Susan L. Shirk. p. cm. Includes bibliographical references and index. ISBN 978-0-19-530609-5 1. Nationalism—China. 2. China—Politics and government—2002– I. Title. JC311.S525 2007 320.951—dc22 2006027998 135798642 Printed in the United States of America on acid-free paper For Sam, Lucy, and David Popkin This page intentionally left blank Contents Acknowledgments ix 1 1 2 3 4 5 6 7 8 9 Strong Abroad but Fragile at Home China’s Economic Miracle Domestic Threats 35 13 The Echo Chamber of Nationalism: Media and the Internet 79 The Responsible Power 105 Japan: “When the Chinese People Get Angry, the Result Is Always Big Trouble” 140 Taiwan: “A Question of Regime Survival” 181 The United States:...
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...CHAPTER 4 SOCIAL AND CULTURAL ENVIRONMENTS SUMMARY Culture, a society’s “programming of the mind,” has both a pervasive and changing influence on each national market environment. Global marketers must recognize the influence of culture and be prepared to either respond to it or change it. Human behavior is a function of a person’s own unique personality and that person’s interaction with the collective forces of the particular society and culture in which he or she has lived. In particular, attitudes, values, and beliefs can vary significantly from country to country. Also, differences pertaining to religion, aesthetics, dietary customs, and language and communication can affect local reaction to brands or products as well as the ability of company personnel to function effectively in different cultures. A number of concepts and theoretical frameworks provide insights into these and other cultural issues. Cultures can be classified as high- or low-context; communication and negotiation styles can differ from country to country. Hofstede’s social value typology sheds light on national cultures in terms of power distance, individualism vs. collectivism, masculinity vs. femininity, uncertainty avoidance, and long- versus short-term orientation. By understanding the self-reference criterion, global marketers can overcome the unconscious tendency for perceptual blockage and distortion. Rogers’ classic study on the diffusion of innovations helps explain how products...
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...APICS CERTIFIED IN PRODUCTION AND INVENTORY MANAGEMENT (CPIM) Procedures for taking paper-and-pencil exams outside North America. THE APICS CPIM PROGRAM The APICS CPIM program is recognized worldwide as the standard of professional competence in production and inventory control. The APICS certification shows a commitment to the profession that leads to a sense of accomplishment, demonstrates value to the employer, enhances earning potential, and provides a path to career advancement. The APICS CPIM program is divided into five process-oriented topic areas to provide participants with the best possible educational assessment and knowledge base. More than 95,000 professionals have earned the APICS CPIM, and nearly 3,000 have advanced to the APICS Certified Fellow in Production and Inventory Management (CFPIM) designation. After earning an APICS CPIM designation, you can begin the process toward the CFPIM. The distinguishing characteristic of a CFPIM is the willingness to share acquired knowledge with others through presenting, publishing, teaching, and participating in professional development activities. Certification maintenance To promote professional growth and lifelong learning, APICS CPIM and APICS CFPIM designees must complete the certification maintenance program every five years. Visit apics.org/certification for more information about the program. Questions? Contact certification@apics.org. Note: Change starting in 2013 All APICS CPIM exams will be valid for...
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...total marks • Written exam: 2 hours • Answer ONE question from Section A (30 marks), and ONE from Section B (40 marks) - choice of 2 questions in both sections • Section A – discuss an historical issue • Section B – use source material & knowledge to discuss an historical event Section A – themes to explore in your revision: 1. The post-Stalin thaw and the bid for peaceful coexistence in 1950s: a) USSR: Khrushchev b) USA: the responses of Dulles, Eisenhower and Kennedy. • the continuation of the Cold War in the 1950s following the retirement of Truman & death of Stalin, despite the bid for improved relations on the part of the USSR in the form of unilateral cuts in the size of the Red Army and withdrawal from Austria and Finland. • the concept of peaceful coexistence & what motivated Khrushchev & the Soviet leadership, & why the USA under Eisenhower & his Secretary of State, Dulles, and later Kennedy and his staff, responded in the way they did. • the role of personality, particularly that of Khrushchev, in shaping relations in these years should be addressed & students should be aware of the Paris Summit, the U2...
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...transported around the world. The production of iPhone will be a good example showing how the global progress connects people from all around the world. Indeed, “Globalization” is closely connected with our life, and it has changed our world from economic layout to personal life. Just like the case of IPhone, by globalization, companies can collaborate with each other and effectively organize the resource, so that the advantages can be maximized and costs can be reduced. Moreover, globalization also means more extensive market. Nowadays, we can enjoy hamburgers of McDonald’s no matter in which country we are; people also can easily find imported goods everywhere. Expanding business into foreign market has become a trend for more companies. However, global progress also brings some big challenges for us. With the collaboration of economics, various cultural elements, such as values, life styles, and stereotypes, would communicate, conflict, and mix during the process. Thus it also brings difficulties in management for some organizations that start their global strategies. Since the recently trend of global cooperation between different areas and cultures, employees, especially managers, are facing more challenges to work...
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...MBA LEARN MORE, DO MORE, BECOME MORE 90 exceptional people who will shape the future of business The IMD MBA Class of 2011 Developing your future global leaders The IMD difference Why recruit at IMD? Find truly global experienced leaders able to address your company’s challenges in today’s complex environment 90 talented pre-screened participants Besides strong academic ability, we assess the leadership potential with a focus on real management capacity in a multi-cultural and complex environment. In total we spend at least 10 manhours per candidate to make sure each one is right for the program. The admission process consists of: - an online application with 12 essays - letters of recommendations - a full day assessment center Once accepted, each candidate goes through a full background check conducted by an independent agency. International and experienced In a class of 90, you will find 40+ different nationalities and 90% of the participants will have spent at least 6 months outside their home country. With a minimum of 3 years of work experience, our participants have on average 7 years of experience prior to IMD. Trained to become truly global hand-on leaders Besides strong academic business fundamentals, our intensive one-year program is designed to constantly push our MBAs beyond their comfort zone. A diversity of hands-on projects takes them through various settings: - a 6-week startup project - a 9-week international consulting project with medium to...
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...|[pic] | | [pic] [pic] Members: Ms. Sarah Burangi (2103703) : Ms. N.Lin (2053147) Tutor : Mr. L. Wijckmans Date: 04 June 2007 Preface This report is a combination of the effort of two students Na Lin and Sarah Burangi submitted to fulfill the requirements for an MSc in Information Systems particularly the International Marketing Module. The report reflects the success of IKEA in developing its brand internationally. The purpose of this assignment is to give one analysis of the marketing context in which IKEA operates and critical evaluation of its operational options. We would like to thank Fontys and Roehapmton that give us such a good opportunity to work as a group, and we also would like to thank our tutor, Mr. Wijckmans for his instruction. Executive Summary The report gives a detailed account of the IKEA brand development over the years using marketing principles. The first chapter looks at IKEA, the background, evolvement and current position. Chapter two looks at branding in terms of the marketing mix that is product, price, promotion and place. This is the followed by chapter three which looks how IKEA handles cultural differences when conducting business across the world. Chapter four explores the...
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...PTE Academic Test Taker Handbook July 2012 Version 6 © Pearson Education Ltd 2012. No part of this publication may be reproduced without the prior permission of Pearson Education Ltd. Contents About PTE Academic About the Test Taker Handbook 1.Test format 2. Registration and scheduling Registration Scheduling, rescheduling and cancelling Test takers with disabilities Payment and fees 3. On test day What to expect on the day of your test Identification and security Test Center rules 4. Scores Understanding scores Accessing and allocating scores 5. Learning resources Test preparation 6. Miscellaneous Contact us Privacy Policy and Legal Notice Appendix A PTE Academic Test Taker Rules Agreement 2 3 3 4 6 7 8 8 9 12 13 13 15 16 16 18 18 18 20 About PTE Academic Pearson Test of English Academic (PTE Academic) is a new, international, computer-based academic English language test. The test accurately measures the listening, reading, speaking, and writing skills of test takers who are non-native speakers of English and need to demonstrate their level of academic English proficiency. PTE Academic delivers a real-life measure of test takers’ language ability to universities, higher education institutions, government departments and organizations requiring academic English. PTE Academic is endorsed by the Graduate Management Admission Council® (GMAC)®. About the Test Taker Handbook This Test Taker Handbook will provide you with detailed information on all the following practical aspects...
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...9-403-090 REV: AUGUST 23, 2004 JEFFREY T. POLZER ALISON BERKLEY WAGONFELD Flextronics: Deciding on a Shop-Floor System for Producing the Microsoft Xbox It was March 2001 and Jim McCusker was getting restless during the long flight over to Hungary. He had just spent a few days visiting Flextronics’ North American operations in Guadalajara, Mexico, and now he was on his way to Flextronics’ central European facilities. He was planning to spend two days there before heading back to his primary office at Flextronics’ U.S. headquarters in San Jose, California. As the senior account manager for Flextronics’ relationship with Microsoft, McCusker spent much of his time traveling between the two facilities, one in Mexico and one in Hungary, that would be producing the new Xbox video game system for the 2001 holiday season. When McCusker first took charge of the Microsoft account in November 2000, he quickly realized that Flextronics had committed to an extremely aggressive schedule for producing the Xbox. The two facilities designated to build the product would have to work together very closely to achieve Microsoft’s goal of a simultaneous North American and European launch. The Microsoft Xbox was Flextronics’ first truly global project, and McCusker knew that it would be important to standardize certain elements among the Flextronics facilities. In fact, in bidding for the business, Flextronics management had committed to Microsoft that they would use the same shop-floor...
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