Unfortunately when E-bay began to move into the Asia Market from Japan things began to turn for E-Bay with missing the window of opportunity. The questions became… For a vast amount of individuals the question still remains, “Why does E- Bay have problems in its Asian Market (Module 1 case)?” How can a global company that has made $4.6 billion struggle in Asian Market (Business Week)?” For some of individuals their answer would be because the Asian Market does not want us there, for many others individuals they consider, it’s just poor business management. Can both of these groups be right? Yes, they are both correct to a point. E-Bay was founded in the United States of America in 1995 and according to The Journal of Brand Management; a country can become a brand as well as there is an impact of country names on attitudes
The fact that the seller on eBay would have asymmetric information on the product that they are attempting to sell could be cause for problems especially if they are selling faulty items or if they are just straight lying about the items they are selling. Our text states that there are two general types of informational problems that arise from contracting, informational asymmetries before contract negotiation and informational asymmetries during the implementation of the contract (Brickley, Smith and Zimmerman, 2009, p. 324). 3. How does eBay address these problems? One way eBay addresses this problem is with The Feedback Forum.
Small businesses have to adapt and to cater to the local market. To adapt and to understand sociocultural differences could be one of the major hurdles in keeping small business out of the global trade. In fact, many US companies like IBM, Apple, and Wal-Mart have faced difficulties in dealing with these differences. * Economic and financial forces: In global trade, small businesses have to adapt to the fluctuation of
“Franchising emerged as a business model that would allow Mad Science to expand without requiring substantial investment”. (P.563 Case B-4 The Mad Science Group) For example, one of the greatest challenges for a new company expanding its market in a new country is considered a lack of understanding of the local culture. However, franchising provides a good way to reduce this shortcoming because it uses the already established experience of the franchisors – usually are local people. in different countries, local culture is always considered as a big problem for the company because. However, franchise will be a good way to reduce those cultural risks, because franchisors are always local people.
Gap Analysis: Riordan Riordan Manufacturing opened a production facility in China. Because it flourished, Riordan's CEO wanted to add another facility. By adding another facility, Michael Riordan hopes to provide the company with additional international opportunities. The competition in China results in a lack of skilled labor; however, labor from nearby countries is available to Riordan Manufacturing. Using workers from these other countries requires Riordan Manufacturing to consider cross-cultural issues.
ANALYSIS The “Blue Ridge Spain” case study introduces several individuals and organizations. In order to analyze the situation and provide recommendations, I will specify the main issues from their various perspectives. Delta’s senior managers were not keen on JV’s because they viewed them as time-consuming, and also an inadequate means of developing new markets. Delta was persistent and hungry for growth, owning strong brands that could support expansion into overseas markets without the need for local partners. Rather than form joint ventures, Delta preferred to hire local managers directly, or transfer experienced managers from their other divisions around the world.
More and more companies are doing business in China due to the lower production costs. When doing business in a different country, they could have some policies and regulations that are different than the ones in the United States. They are many officials in these countries that will take a bribe in order to ensure a fast turnaround time in order for your company to receive a license. The Foreign Corrupt Practices Act of 1977 (FCPA) was empowered by the United States to investigate allegations of bribery anywhere in the world and are stepping up their activities in China (Roberts 2010). Technically, China does have some laws against taking bribes but there is a fine line between bribes and gift giving.
Kudler may not have the resources to launch advertising for the company because problems have occurred because of the lack of experience to the target market. Kudler needs a target market to allow the company to focus on marketing dollars and brand communication on a exact markets that is more likely to buy from than or other markets. This is a much more reasonable and efficient, and successful way to make potential clients and generate business. Kudler chain of stores makes them a distinguished factor in the market. This is why a lack of customers will have a huge affect on the growth of the company because of the decrease of the sales in the
He was dealing with ethnocentrism from the regional headquarter and asked for more flexibility. On the other hand, Rajar was hired to implant Lundbeck strategy in Asia, therefore, he expected receptivity form the region's subsidiaries. These opposed perceptions translated into many disagreements concerning the placement of marketing resources, Jun's car and finally the decision to launch the next-generation drug Lexapro. Anderson questioned if it should or not allow Lundbeck Korea to report directly to the headquarter. Recommendations On an IHRM point of view, both Rajar and Jun are important assets for the company.
Adler College Gurabo, PR U. S. History Essay I Angel R. Pérez 11-1 Professor Ruiz August 27, 2013 The opening to China 1839 – 1844 The opening to China symbolized the U. S.’s attempts to expand westward. The opening itself was very dissimilar to the Japanese, since the Chinese were willing to do so. But it wasn’t only the Americans, the British and other European powers sought China for products because of their great deal of products to choose from. The Chinese on the other hand, were getting less interested in western products as westerners to Chinese products. This disinterest led to a chain of events that led the U. S. to gaining power in China.