Global Business, 2012Syllabus
(2012.3.18 version)
Time: Monday 6th Slot (18:30-20:10）
Instructor: Professor Motohashi, Kazuyuki (TMI Department, Engineering School)
E-mail：
HP URL：
TA: Chen Lu (e-mail:)
Objectives
This course covers some essentials on “global business”, such as global strategy, strategic alliance (JV with local companies) and marketing strategy. The course is organized by combining lectures on theory, case method teaching and guest speaker talks to foster students’ problemsolving abilities in a real business world. In addition, a focus is put on emerging economies, particularly China and India. In order to facilitate effective interactive process in case based teaching, a number of enrolled students could be restricted to 30-35 people. In this process, students in the TMI departments as well as thosein TMI sub-major have some priority. This selection is conducted by using the list of attendant at the first class of 4/9. For those who is interested in this course,
please do not miss this one.
Lecture Items
Trend and importance of global business in emerging economics
Global strategy, IR Grid, AAA framework
Strategic alliance, joint venture with local firms
International marketing
Goal to be achieved
・Understanding analytic framework of global business strategy
・Understanding management of joint venture with local firms
・Learning theory and practice of international marketing
・Understanding a local business context, particularly in China and India
Text and References
There is no text for this course. All necessary materials are handed out in advance. In addition, power point files used in lecture will be uploaded at prof. Motohashi’shome page. ( Go Education-> Global Business)
・ However, the following is recommended as a reference book.
Redefining Global Strategy, by PankajGhemawat, Harvard Business School Press
Grading:
Made by weighted average of the following items
・Class Participation：20%
・Case Write Up: 60％（15％each. Case 1-Case 4, Case 0 is not counted）
・Group work + presentation：20％
What is case write up ?
・A student is required a writing up (1-2 pages), prepared before each “case method” class. Questions for each case material are presented as follows (schedule part of this document).
・After each “case method” class, a write-up will be collected and graded by an instructor. A feedback will be provided at the beginning of the class a week after.
Group work assignment
・Suppose you are assigned as a member of international division of multinational corporation such as Hitachi ltd., and asked by your boss about studying the potentiality of global business for ASEAN region. Please build up your new business plan for ASEAN region.
・Detail instructions will be given in the course.
・Grading of this project is made by ppt file and oral presentation at the last class. (No report is required).
・The members of a selected group are invited to on-site feasibility study tour in ASEAN region, supported by Hitachi group.
Schedule
Globalization concept and business strategy
April9: Orientation of course and global business strategy(Lecture)
・Organization, process of this course
・What is business strategy? Global strategy?
・Global strategy planning: CAGE and AAA framework
April 16:Development of global business plan for emerging economies (Lecture)
Changing landscape of global business (WTO, FTA, modularization)
Great distance, threats or opportunities? Institutional voids
Risk analysis and management
Business plan development; practical guide
Introduction of next case base class: China vs India
April, 23: China Business (Lecture, provided in Japanese)
Guest Speaker: Mr. Shinji Nishihara, Mitsubishi Corporation
Overview of economics and political environment in China
China business based on Mr Nishihara’s experience (Mr, Nishihara have been involved with China business for about 30 years at Japanese trading companies, called sogo-shosha in Japaense)
May 7: Attractiveness of investment location (Case 0)
TMI case material: “Where to invest? China or India?”
Case write-up questions
・India: factory or market? Please provide at least one example in each Quadrant of factory or market matrix.
・Pick up one industry of your favorite. Discuss attractiveness in India over China by CAGE framework.
・Then develop your global strategy plan based on AAA framework (which “A” should you put your focus on?)
Note: A case write-up for this class is for your warming-up purpose, and not counted as grading ones. However, the contents will influence your class participation points.
May 14: Service model in global business (Lecture)
What is “service model”, and why?
Global infrastructure business as an example
Understanding PPP and importance of business modeling
Introduction to the case “Neemrana Industrial Park”
May 21: Business Development in India (Case 1)
TMI case material: Neemrana Industrial Park
Case write-up questions
Neemrana Industrial Park has been developed by cooperation of Japanese and Indian governments. What are reasons why both side of governments helped to develop this industrial park?
What are risks associated with investment in production sites in India? What are benefits located in Neemrana Industrial Park, in terms of lowering these risks?
Hitachi plans to extend “Neemrana Shared Energy Center (N-SEC)” model to other region of India? Do you think whether Hitachi will succeed?
Do you have any recommendation in new business in India? What kind of business will be successful? You can extend a scope of your industry, not only in manufacturing, but also totrading companies, banks and logistics business.
Organization of Global Business Operation
May 28: Organization of global business operation (Lecture)
・Mode of entry: lifecycle theory of business globalization
・Autonomy or control? Manageing overseas subsidiaries
・Globalization by green field entry (wholly owned) or JV
・Entering foreign market by M&A
June 4: Costs and benefits of joint venture (Case 2)
TMI case material: Hitachi Construction Machinery in China
Case write-up questions
List merits and demerits of joint venture over wholly owned subsidy in globalization.
At the dissolution of joint venture, Mr. Zhong(mayor of Hefei city) said “Now you are unfettered to become able to develop without restraint, it’s from now on that you are put to the test”. What did he mean “test”?
In a stiff competition with other foreign and local companies, what kind of strategy should Hitachi take?
In terms of global operation of Hitachi Construction Machinery, should they focus on Chinese operation? Or, should they diversify their operation, such as new investment in India?
June 11: Global business strategy in multinational corporation (Guest speaker)
Guest Speaker: Mr. Kazunobu Kawano, Deputy Director, International Business Strategy Group, Hitachi Co. Ltd
Global Innovation and Marketing
June 18: Innovation management (Lecture) + Marketing (Lecture) : (-21:00)
Introduction to marketing strategy ,marketing 4P
International marketing, what’s difference?
Risk factor
Localization vs scale merit
Introduction to the case of Shiseido, China
Conceptual framework to understand international R&D
R&D of Japanese firms in China
New concept for innovation for emerging markets, such as reverse innovation
Introduction to Suzuki, India case
June, 25: No Class and home work case write up
International marketing (Case 3)
TMI case material: Shiseido in China
Case write-up questions
・Is China is important for Shiseido? Evaluate based on Shiseido’s domestic and global operation statistics
・List merits and demerits of operating in China, as compared to operations in US and Europe
・Characterize Shiseido’s marketing strategy in China. Take Urara as an example, and discuss its targeted customerand marketing 4P. Do they have a consistent story?
・Compare Shiseido’s marketing in China with those of US and European mega players such as l’Oreal and P&G. It is better to keep such strategy, when Shiseido competes with them in Chinese market?
This write-up should be hand at the class of July 2.
July 2: Japanese company’s success story in India (Case 4)
TMI case material: Suzuki Motors in India
Case write-up questions
・Why do you think Suzuki has succeeded in India?
・Analyze India’s automobile market by Porter’s five force framework, and discuss Suzuki’s strategy to keep its top position.
・Suzuki has a plan to have R&D center in India. Why? Is it necessary?
・Do you have any suggestions to Mr. Osamu Suzuki, president and CEO of Suzuki, on India business?
Integration of global business components
July 9: Group work presentation day
Business plans by students will be presented and discussed with participation of staffs at Hitachi Group.
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