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SWOT analysis 150 pt. (25 pt X 6). Class participation ** 50 pt. Total 1000 pt. ** Attendance and participation at all class meetings is essential.


    Albers School of Business and Economics

MGMT 589 C. Patrick Fleenor, Ph.D.

    International Business Policy & Strategy Professor, Department of

    Intersession 2002 Management

Office: P 411

    Telephone: (206) 296-2549

    E-mail: Web:

NOTE: This class meets Tuesdays and Thursdays from 5:35 9:05 p.m.

    For four weeks. The final class session will be on Thursday, September


    Course Description: Business policy deals with general management, and the tasks of strategy formulation and implementation. Increasingly, business policy must take into

    account the complexities of corporate operations in different countries and cultures. The

    task of implementing strategy in a global context is becoming the norm for most large

    organizations. This course deals solely with international policy and strategy. An

    important objective of the course is to emphasize how management must adapt various

    business principles to national cultures, while maintaining a coherent organization culture.

    Course Requirements: The course consists of written case analyses, group presentations and oral case discussion focusing on the various components of international strategy and


    Team Case Reports: Your team is responsible for a major written analysis. The report will be roughly 25 typed, double spaced pages with recommendations and supporting analysis.

    The environmental analysis is a major, separate section. Be careful to avoid issues specific

    to the company in the case. It generally makes sense to split your group in two, with one

    subgroup focusing entirely on the environment. Clearly the case analysis and

    recommendations are heavily influenced by this component so pursue this part early and

    aggressively. The report is due at the end of the class session the case is discussed.

In the presentation, discuss background research on at least one major concept from the

    case. For example, you might profile the forces that are changing the global wine industry

    (BRL Hardy), the culture specific and infrastructure elements of the fast food industry in

    S.E. Asia and the Philippines (Jollibee), or what special challenges face e-commerce

    activity in Latin America (


Include supplementary data on the firm and industry to bring the class up to date. Use of

    outside resources is mandatory. Do not put reports in binders or covers. Simply staple

    them in the upper left corner.

SWOT Analyses: These are one-page individual analyses of the following cases:

    ? Hitting the Wall: Nike and International Labor Practices

    ? All other cases except your group case. Thus, you will submit a total of six

    SWOT analyses

     Prepare a one-page summary for these cases. The summary must contain six distinct

    sections, with headings: 1) Strengths, 2) Weaknesses, 3) Opportunities, 4) Threats, 5)

    Feasible Alternatives (plural), 6) Sun Tzu principles evident in the situation or ignored by

    the organization.

Late papers, or papers in lieu of attendance are severely discounted. In no

    case will such papers receive more than one-half credit

Grading: Group case analysis (written) 300 pt.

     Group presentation/discussion 300 pt.

     Group peer grading 200 pt.

     SWOT analysis 150 pt. (25 pt X 6)

     Class participation ** 50 pt.

     Total 1000 pt.

** Attendance and participation at all class meetings is essential. Missing a session

    reduces your participation score.

Product Deadlines

1. Group case analysis: night of presentation

    2. SWOT analyses: night of case discussion (send only via email)

    3. Peer grading: night of group presentation.

    Group Analysis

The group paper must be organized per the prescribed format. Within the format feel free

    to use any analytic approaches you deem suitable. Your class presentation should be both

    descriptive and analytic. For example, the strategic profile is largely descriptive, while the

    resource audit is both analytic and descriptive. Pay particular attention to industry factors,

    cultural issues and deltas throughout. Use “props” as appropriate, but only to the extent

    that they illustrate important points. The presentation should run roughly 45 minutes, with

    the remaining time open to discussion. The role of the class is to carefully read the case

    beforehand and be prepared to dispute assumptions, offer alternative solutions, and

    critique the analysis overall.


N.B. The questions in the syllabus need not be specifically addressed in your written

    analysis. The primary intent of the questions is to provide context for discussion and

    analysis. You should find many other issues within a case that raise questions and concerns.

    Be thorough in “digging” for these issues.

Major Case Analysis: Your written case analysis MUST follow the format below:

    1. Environmental dimensions

     Political, social, economic, market, technology, and competition, with special

    emphasis on cross-cultural differences in these dimensions. This section may account

    for up to half of the written material, and is considered at the industry and macro-

    economic level. It is not specific to the company in the case. Treat this as a separate


2. Strategic profile

     Product scope, the horizontal choices, degree of vertical integration, geographic

    coverage, choice of competitive weapons, the company’s relative position, mentality of

    culture, company performance goals

3. Strategic forecast

     Structural changes, cyclical changes

4. Resource audit

     Operational, financial, marketing, managerial

5. Strategic alternatives

     Specialization, integration, diversification, do nothing, etc.

6. Test of consistency (Must be in matrix format)

7. Strategic choice

8. Financial ratios

Your written case will run about 25 pages. They are of course printed and double-spaced.

    All policy aspects should be considered. Use your own judgment about relative emphasis

    on the policy dimensions listed above.

Section headings MUST be used in the group paper. The following sections, with

    headings, ARE REQUIRED (only bold-faced headings must appear in the paper but all

    elements should be discussed):

    Environmental Dimensions (Industry and social variables - Comparing country A with country B as appropriate in international case write-ups)


     Economic Dimension

     Social, Cultural and Demographic Dimensions

     Political, Governmental and Legal Dimensions

     Market and Competitive Dimensions

     Product and Technology Dimensions

    In the presentation you should consider the following elements at a minimum:

    ? Cultural context of the country

    ? Recent history

    ? Business risks and opportunities (e.g. political risk, economic risk, technical and

    physical infrastructure, patent/copyright protection)

    ? Laws and customs affecting international companies

    ? Personnel management (e.g., selection, training, compensation,

    management/worker relations)

Strategic Profile

     Definition of Business

     Competitive Posture

     Self Concept

    Strategic Forecasting

     Key Assumptions

     Predictions for the Industry

    The Resource Audit

     Operations Dimension

     Financial Dimension

     Marketing Dimension

     Management Dimension

    Strategic Alternatives

    Test of Consistency (Matrix format)



    Strategic Choice

    Financial Ratios

The format above MUST be strictly followed in the paper, but NOT in the


Include copies of PowerPoint slides (if any) as a supplement to your group paper.

Helpful Hints for Writing Case Analyses

    1. Be specific avoid generalities and “weasel” words. Say exactly what you

    would do or what management should do. For example, to say the “management

    should improve communication with the rank and file,” or “the company needs to

    aggressively expand its market share” is so vague as to be essentially worthless.

    How precisely should it do this?

    2. Avoid unnecessary recapitulation of case background facts. You can safely


    assume that I am familiar with the case and do not need a summary of it. Use case

    “facts” sparingly and only to emphasize a particular point in your analysis. It is not

    necessary, for example to state that BRL Hardy is considering two proposals for a

    new entry-level wine. It may be important though to consider both positive and

    negative aspects of branding down, and whether the U.K. or parent company

    version should prevail.

    3. Consider the consequences of your recommendations. For example, if you

    recommend that Jollibee expand to Hong Kong first, what does that imply for

    longer-term strategy? What does Jollibee give up by not going first to California?

    4. Saying it doesn’t make it happen. We might be tempted to say, “Bullwash

    Corporation should convince subsidiaries that they must homogenize their

    practices to be consistent with corporate culture.” But what if the subsidiary

    employees don’t buy it? What should Bullwash do then?

A Note About Writing

    1. Use active voice. Passive voice is the bane of academe and consultancy. For

    example, consider the crisp nature of “The manager announced her decision,”

    contrasted with the murky “The decision was announced by the manager.”

    2. Proofread your document. Typos and spelling errors suggest sloppy thinking and

    lack of focus.

    3. Pay attention to subject-verb agreement: a singular subject requires a singular verb.

    4. Distinguish among homophones. For example, “their,” “there,” and “they’re;” or

    “cite,” “sight” and “site.” Your spell checker won’t catch this. Near homophones

    are just as deadly. For example, “affect” is a transitive verb, which means to act

    upon or influence something while “effect” is a noun or verb depending on usage.

    As a verb “effect” generally means to bring about or accomplish, which is distinctly

    different from “affect.”

Required Reading:

    1. : McNeilly, Sun Tzu and the Art of Business (London: Oxford University Press)

    2. Case packet Seattle University Bookstore

    3. The Wall Street Journal. Daily reading of the WSJ is essential.

Recommended additional reading: The Economist

Regarding the McNeilly book: The discerning reader notes that this is not a traditional

    text. So, there will be no strenuous attempt to make the text “follow” the course outline.

    Read all of the text as soon as you can. Bring the thoughts of Sun Tzu into your case

    analyses and discussion as appropriate. You will note that the text chapter headings are

    very similar to the headings I require in your written analyses.

Some Internet Research Tools



    The home page of Institute for Global e-Business and Innovation, supported by a grant

    from the U.S. Department of Education.


    The home page of the United Nations. You may also wish to consult the United

    Nations Statistical Yearbook, available in hard copy and CD Rom.


    Home page of the World Bank. Lots of statistical data on countries, regions, and



    Organization for Economic Cooperation and Development. Based in Paris, OECD

    focuses on issues of globalization


    U.S. Department of State page with profiles of the world’s countries.


    The Wall Street Journal’s interactive edition (requires subscription) Wonderful

    resource. You can research companies, access WSJ article archives, and other

    business publications.


    The Economist’s electronic edition (requires subscription). Authoritative British

    publication, one of the best for international political, financial and economic analysis.


    This is a Booz-Allen & Hamilton site that discusses a wide range of strategic issues


    Resources designed for senior executives


    These three sites provide good information on corporate performance.


    Lively, well written English language daily newspaper from Hong Kong. Detailed

    coverage of Hong Kong and China

    Conservative Singapore newspaper. Excellent coverage of S.E. Asia


August 20 Introduction and organization of class


    1. Analyzing a firm’s strategy.

    2. Case assignments

    3. Team formation and meeting

     22 Film: Sun Tzu: The Art of War

    Read: National Culture and Management

     27 Guest: Miguel Rabay, Vice-President: Latin America, Captura

     29 Guest: Rob Kruse, CEO, Venlogic

    This session and the next focus on in depth company and industry analyses

    for start up firms.

    NOTE: This session may be video taped

Sept. 3 International Business Strategy: The Dark Side of International Business

     Case: Hitting the Wall: Nike and International Labor Practices


    1. Does a company have any responsibility for the actions of


    2. Does Nike or any other company have a moral responsibility to provide

    pay, benefits and working conditions beyond those required by local


    3. Should American companies be held to a higher ethical standard than

    foreign companies?

     The Seattle Espresso story

     5 Guest: Rob Kruse, CEO, Venlogic

     NOTE: This session may be video taped

     10 Group Case 1: BRL Hardy: Globalizing an Australian Wine Company (9-


    1. How do you account for BRL Hardy’s remarkable post merger success?

    2. What is the source of the tension between Stephen Davies and

    Christopher Carson? How effectively has Steve Millar handled their


    3. Should Millar approve Carson’s proposal to launch D’istinto?


    Why/why not?

    4. What recommendation would you make to the organization concerning

    the conflicting proposals for Kelly’s Revenge and Banrock Station?

    What would you decide to do as Carson? As Millar?

Group Case 2: Tricon Restaurants International: Globalization Re-

    examined. (9-700-030)

    1. In your opinion, what are the weakest elements of Tricon’s international


    2. What are the key considerations about balancing uniformity of product and

    processes with flexibility to meet local conditions?

    3. What advice would you give to a friend who considers a large investment

    in Tricon stock? Why?

Group Case 3: E.Phiphany: International Strategy (E-99)

1. Are the goals for the international division reasonable? What specific

    risks do such high goals entail?

    2. Revenues from Asia-Pacific show high variability. Why? How should

    E.Piphany address this, or is it not an important issue?

    3. Is it wise to include Japan as a first tier country? Why or why not?

Group Case 4: South African Breweries International: Devising a China

    Market Strategy (9B00A024)

1. Is this the best time to buy in China? What are the major advantages

    and disadvantages of acting versus waiting?

    2. If SABI acquires capacity in China, where should it be located? Why?

    3. Is China the best place for this huge investment? What other options

    seem attractive?

    Group Case 5: Dell: Selling Directly, Globally (HKU069)

1. Must Dell modify its “three golden rules” to succeed in China?

    2. What is your assessment of China’s market readiness for Dell and

    B2C commerce?

    3. What are the strengths and weaknesses of Dell’s on-line global

    strategy? How should the company execute a global strategy?


    Group Case 6: (A) (IB-19A)

    1. What are pros and cons of a Mercado expansion to the US Hispanic

    market versus Europe’s Iberian peninsula?

    2. What variable drive potential customers to purchase from a web site?

    Is it the same for purchase decisions in a bricks and mortar operation?

    3. Should Mercado proceed with an IPO at this time? Why or why not?


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