global product launch simulation. kick-off agenda n n overview of simulation n n key issues n n...

Global Product Launch

Simulation

Kick-Off Agenda Overview of simulation Key issues Potential negotiation relationships Assignment / discussion of roles Negotiation process Graded assignments Intro to international joint ventures Simulation Schedule

Simulation Schedule

TIME TASK

Now Simulation Kick-Off

Rest of the Day Planning

Pre-Sim Memo (Due by 2:00 or 4:00 p.m.)

Open Negotiations

Tomorrow Post-Sim Briefing (1:00 p.m. or 3:00 p.m.)

FEB 19 Post-Sim Report Due (via e-mail)

TEAM ASSIGNMENTS

MNCs MegaMouth EuroSound TanakaTooth

Local Firms TropiDent Chewicalia ParaSonic ElectroEnamel

Tropicalia ParadisoGovernments

Mandibular Sonic Transducer

Modifications Tooth whitening Candy-tipped head BlueTooth enabled

Other uses: Voicemail Prayers, chants Sports scores Honey-Do lists Inspirational sayings

MNCs: MegaMouth, TanakaTooth, EuroSound

Role of country, local firms, region, etc. in global supply chain? Invest in emerging markets? New product/international strategy

Standardization vs. adaptation of Mandibular Sonic Transducer

Entry mode: Risk, resource, control trade-offs Type of plant, finished product vs. components Bargaining power vs. local firms and/or Govt.

LOCAL FIRMS:ParaSonic, Chewicalia, TropiDent, ElectroEnamel

Enter/become player in global supply chain? “Entry mode” – Alone, JV, SOE?

How to facilitate MNCs’ entry into country How to facilitate MNC’s implementation of

international strategy into country Access to technology Government support Bargaining power vs. MNCs, Govt.

GOVERNMENTs: Paradiso & Tropicalia

Policies for technical standards, product use, industry structure, access to local market, global connectedness, technology, etc. Trade Economic integration Favorable aspects of FDI

Labor High technology Taxes Imports vs. exports

Unfavorable aspects of FDI Dependence Low technology

Intl. Strategy and Entry Mode

North America

TropicaliaCountry of Paradiso

TanakaTooth Europe

ParaSonic Chewicalia

TropiDentElectroEnamel

Entry Mode Decision Matrix

Hi

Lo

HiLo

Str

ateg

ic I

mpo

rtan

ce

of C

ount

ry

Stand-alone Attractivenessof Country

Lo

Hi

Resources,

Control,

Risk

Entry Mode Decision Framework

Licensing

Exporting Intermediaries

Direct

Joint Venture

Wholly-owned Subsidiary

Control Resources Risk Dissem. Low LowLow

High HighHigh Low

High

Potential Negotiation Relationships

MNC1

Local Firma

GovernmentX

MNC2

Local Firmb

GovernmentY

Step into role…self interest

Auction of Teams

Information Channels

Public Meetings

Classroom, MBA team rooms, MBA Center, Pazzo’s, Starbuck’s…anywhere, anytime.

Facebook Group (need Facebook account for your team)

Simulation Morning Group via Facebook MBA 611 Global Joint Venture Simulation MORNING

Simulation Afternoon Group via Facebook MBA 611 Global Joint Venture Simulation AFTERNOON

Don’t use oneyearmba listserv

Information Channels

Public: Team Contacts and Location Designate PR Manager

Cell Phone E-mail Facebook team account; personal accounts optional)

Team HQ Location (in Gatton Bldg.) Must be “staffed”

Private Direct contact between teams, specific individuals Phone calls Meetings (secret location?)

Wally…for “consultation”361-2128 (m)

walter.ferrier@gmail.com

Assignments

Pre-Simulation Memo 3-4 pages Due at 2:00 [or 4:00] p.m. TODAY Submit via e-mail – walter.ferrier@gmail.com

Post-Simulation Briefings 1:00 p.m. [or 3:00 p.m.] TOMORROW

Post-Simulation Reports 7-8 pages Due Friday, FEB 19 Submit via e-mail – walter.ferrier@gmail.com

Pre-Simulation MemoIntended End-Game Position Sketch out intentions for…strategy/policy

Entry mode International strategy Policy/economic objectives and policy specifics Role of JV [or other entry mode] in achieving desired

strategy

Sketch out intentions for…negotiation game plan Key parties Issue priorities Process strategies/tactics Alternatives, fall-backs, last resort, etc.

See sample reports (links on syllabus)

Post-Simulation Briefing & Report

Entry Mode & Strategy section Transaction [or Non-transaction] section Negotiation Process & Outcome section Conclusions

Learning outcomes

See sample reports (links on syllabus)

Post-Simulation Briefing and Report

Details of “current” and future situations and actions regarding: Entry mode International strategy and operations Organizational structure (Government: Future policies package)

Make explicit use of these frameworks

Agreements/Contracts Each multi-party “agreement”

Type and purpose of project Partners, ownership, structure, control, etc. Agreements on other key issues

Non-Agreement Explanation Why no agreement?

Process and substantive barriers to agreement Future process and/or substantive alternatives

Negotiation Process Which parties? How frequently? Multilateral vs. Bilateral Log-timeline Press releases

Negotiation Issues/Points What were they? Link to entry mode and/or international strategy Negotiation strengths vs. weaknesses Negotiation issues won vs. lost

Governments Influence of policy package on entry mode and

strategy?

MNCs ‘Intended’ versus ‘realized’ entry mode/strategy?

Local Firms ‘Intended’ versus ‘realized’ role in facilitating MNCs

local entry mode and their overall international

strategy?

Conclusions – What to do differently?

Simulation Schedule

TIME TASK

Now Simulation Kick-Off

Rest of the Day Planning

Pre-Sim Memo (Due by 2:00 or 4:00 p.m.)

Open Negotiations

Tomorrow Post-Sim Briefing (1:00 p.m. or 3:00 p.m.)

FEB 19 Post-Sim Report Due (via e-mail)