Chapter 3: Globalization - McGraw-Hill Introduction to Business

The Bright Future for Cuba’s Skilled Workers

January 29, 2015

In mid-December 2014 President Obama shocked the world by announcing that the U.S. would reestablish a diplomatic relationship with Cuba. Reversing more than six decades of American foreign policy, the decision is expected to have an enormous impact on Cubans living both on the island and abroad. Diplomats are even discussing lifting the trade embargo that the U.S. imposed in the 1960s in response to Cuba’s hostile Communist regime.

Besides opening up channels for travel and trade, the easing of Continue reading →

Cuba, Global, Training, Human Resources, Labor Relations, Regulation, Education

Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 11: Human Resource Management

A Texas Plumber’s Terrible Truck Luck

January 23, 2015

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Jeff Oberholtzer, a plumber from Texas City, TX, thought he had seen the last of his old pickup truck when he sold it in October 2013. Unfortunately for him, the Ford F-250 he offloaded popped up more than a year later in a place he never would have expected. In mid-December 2014, a terrorist Twitter account from Syria posted a picture of two extremists firing a homemade anti-aircraft gun from the bed of a truck. While the picture normally would Continue reading →

Middle East, Marketing, Global, Ethics, Branding, Product Distribution

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 16: Place and Promotion, Bonus Chapter B: Technology and New Media

Timberland’s Data-Driven Comeback

January 11, 2015

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For decades the brand name Timberland has been synonymous with rugged outdoor footwear. At least, that’s how some people see the iconic boot company. If you’re a hip hop fan, you may associate “Timbs” with the dozens of rappers who have name-dropped the brand over the years. And if you happen to be Italian, you’re more likely to wear Timberland boots for a fashionable stroll about town, not a long hike in the woods.

All these overlapping interpretations of Timberland’s Continue reading →

Timberland, Product Development, Consumer Research, Marketing, Demographics, Data Mining

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 7: Management & Leadership, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 16: Place and Promotion, Bonus Chapter B: Technology and New Media

The Golden Arches Begin to Rust

January 7, 2015

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For decades it seemed like nothing could stop McDonald’s march towards total fast food domination. By the time 2011 rolled around, the company was boasting eight consecutive years of same-store sales growth while also holding the title of top performing stock on the Dow for five years running. But just when everything seemed to be going right for the chain, the golden arches started to lose their shimmer. Changing consumer tastes and a rocky transition between CEOs are leading towards Continue reading →

Marketing, Product Development, Food, Branding, Promotions, Pricing, McDonald’s, Demographics

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 7: Management & Leadership, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 16: Place and Promotion, Bonus Chapter B: Technology and New Media

Capturing Value: Innovation’s Vital Second Step

November 13, 2014

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When it comes to innovation in business, creating a viable and valuable product is just the first step. After all, the arrival of the portable MP3 player made many companies stand up and take notice of this revolutionary device. One of those firms was Apple, who soon came to dominate the market with the iPod. Although the signature MP3 player was released later than its competitors, the product’s dependability and stylish design quickly allowed it to capture the bulk Continue reading →

Corporate Social Responsibility, Lifestraw, Product Development, Innovation, Ethics, Value

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 16: Place and Promotion, Bonus Chapter B: Technology and New Media

Russia Shuts Down Moscow’s McDonald’s

October 15, 2014

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Russia’s aggression against Ukraine has been widely condemned by the international community. Besides strongly denouncing the nation’s actions, recent U.N. resolutions hit Vladimir Putin’s government with economic sanctions as well. The Kremlin responded to this punishment by banning the importation of food from the U.S., Canada, Australia, Norway and the European Union. Shortly after news of the ban broke, Russia also announced that it was closing down four McDonald’s locations in Moscow for “sanitary violations.”

For outsiders, the link Continue reading →

Global, Ethics, Food, McDonald’s, Russia, Regulation

Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Bonus Chapter A: Business Law

Burger King’s Coal-Colored Concoction

October 8, 2014

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As we mention in Chapter 3 of the textbook, culinary tastes can vary wildly all over the globe. Even the largest fast food chains step out of their comfort zones in order to cater to local flavors. For instance, KFC’s menu in China includes a traditional fried duck wrap, while Japan’s Pizza Hut outlets offer squid and sweet mayonnaise as toppings. But even these items pale in comparison to the latest unusual creation presented to Japanese consumers, this time courtesy Continue reading →

Product Development, Promotions, Burger King, Marketing, Food

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 16: Place and Promotion

The Gradual Return of American Manufacturing

September 23, 2014

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In the 1950s, more than 150 television manufacturers called the U.S. home. Today, not even component parts for TVs are produced on American soil. Still, that hasn’t stopped Wal-Mart from slapping “Assembled in the USA” stickers onto many flat screen TVs stocked in its stores. That’s because the company buys the televisions from South Carolina’s Element Electronics Corporation, which imports all their items from China.

That doesn’t mean Element is simply a middleman operation though. TVs that arrive at the Continue reading →

Global, Manufacturing, Distribution, Wal-Mart, Element Electronics

Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 15: Distribution

Brazilian Shop-Hopping Stalls Walmart’s Growth

September 10, 2014

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Walmart became the largest retail chain in the U.S. by offering customers the same low prices every day. As it expanded globally, however, the company found out that not every culture responds to this pricing strategy. For instance, Walmart has had a hard time winning over Brazilian consumers despite opening 550 stores in nearly 200 cities. That’s because most people in the large South American nation are happy to hunt for the best deals at a variety of stores rather Continue reading →

Brazil, Wal-Mart, Global, Branding, Retail, Demographics

Chapter 3: Globalization, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 16: Place and Promotion

Corporations Fill Foreign Aid Void

September 2, 2014

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In the mid-20^th century, many struggling nations around the world relied heavily on outside governments for assistance. Foreign aid of this nature accounted for 71 percent of all worldwide capital flows as recently as 1960. As the years progressed, however, governments largely removed themselves from the global development game. Today, foreign aid accounts for less than 1 percent of the U.S. budget and only 9 percent of current capital flows.

To fill this void, non-governmental organizations and groups such Continue reading →

Coca-Cola, Global, Ethics, Finance, Corporate Social Responsibility, Foreign Aid

Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 10: Motivation, Chapter 15: Distribution, Chapter 16: Place and Promotion