Marketing and Management at Grupo Mexico

Question: Discuss about the Marketing and Management at Grupo Mexico. Answer: Management at Grupo Mexico decides to focus on market opportunities opened up by NAFTA. What management orientation does this reflect? Ethnocentric Polycentric Regiocentric Geocentric Grupo Mexico understands the significance of diversity and the management view opportunities by the global scale. Interestingly, it focuses on the approach or ways that business activities are undertaken in a particular country depending on the standard of communication. In fact, the company applies geocentricity by hiring mix people from various locations depending on their skills than the home country. The geocentric approach has made the conglomerate competitive. In much of Europe, the telecommunications industry is experiencing both deregulation and privatization. Which of the driving forces behind global marketing does this represent: National differences Myopia Economic trends Technology The increased internationalization rate has increased the exposure to trade between countries. At the start of the globalization period, the advanced economies increased trade openness. The impact of increased trade is evident in the marketization and privatization of state corporations. With the rapid technological changes, the former natural monopolies have diminished as the changes have promoted international competition. World Bank (2005) acknowledged the advent of cell phones, satellites, and the internets have made communication and trade effective thus defining the global marketing. Which of the following industries is characterized by product development cycles of 5-10 years and product development costs in excess****** $******million: Semiconductors Furniture Pharmaceuticals Soft drinks Automobiles The lifecycle of branded medicines would span beyond twenty years as the research and development may last for 5-10 years before commercialization (Ciociola, 2014). A "quick and dirty" method that can serve as a rule of thumb to help marketers compare the relative values of currencies is to check the price of a ________ in different countries. Big Mac Snickers bar Can of Coke Pack of Marlboros Liter of gasoline The Big Mac index is the global exchange rates that the marketer can use to compare whether a currency is valued at the correct level. According to D.H and R.L.W. (2016), this index depends on purchasing-power-parity theory. In most cases, the base currency that is used to determine the value of another currency is the U.S dollar. Which of the following statements is correct: Japan and the United States both have a balance of payments deficit Japan and the United States both have a balance of payments surplus Japan has a balance of payments deficit; the United States has a balance of payments surplus Japan has a balance of payments surplus; the United States has a balance of payments deficit Since the 1980s, the U.S has continuously reported deficits in its current accounts due to the ballooning budget deficits that has ensured its currency remains high while making its industries weakly competitive. On the other hand, Japan has reported continuous surpluses on its current accounts as reflected in a high competitiveness of its industries and a weak yen. With massive capital exports, Japan has prevented its currency from appreciating (Eurostat, 2016). Vietnam is the newest member of ASEAN. True False The ASEAN was incepted in 1967 by five member countries including Malaysia, Indonesia, Singapore, Thailand, and the Philippines with the intention of promoting economic and political integration and regional stability. Vietnam joined this bloc in 1995 as the seventh member, while the tenth member of this economic bloc is Cambodia that obtained membership in 1999 as reported by the U.S Department of State (n.d.). Antigua, the Bahamas, St. Lucia, and Jamaica are all members of CARICOM. True False The Caribbean Community (CARICOM) has twenty countries with full membership standing at fifteen while Associate Members are standing at five. Apart from the listed members, other members include Barbados, Belize, Guyana, Haiti, Trinidad Tobago, Suriname, Dominica, Grenada, Montserrat, St Kitt and Nevis, and St Vincent the Grenadines. If one were to apply Hofstede's concepts of social values to an analysis of Japan, one would conclude that: Individualism and masculine values are culturally predominant Collectivism and feminine values are culturally predominant Individualism and feminine values are culturally predominant Collectivism and masculine values are culturally predominant Japan is a masculine society that emphasizes assertiveness, competitiveness, and excellence. This countrys national culture is founded on moderate power-distance, a high long-term orientation, very strong masculinity, and moderate individualism. It also characterizes very high uncertainty avoidance. Relative advantage, communicability, and divisibility are all aspects of: Hofstedes social values framework Lees SRC framework Ritzers McDonaldization thesis Rogers diffusion theory Halls low- and high-context culture framework The McDonalds model focuses on efficiency, predictability, calculability, and control and it involves rationalization. According to Ritzer (1998), the McDonaldization process breaks tasks into smaller components until it has been broken down to a minimum thus find the best strategy to accomplish the work efficiently. A U.S. company is exempt from the Foreign Corrupt Practices Act if a host-country citizen serving as an agent for the company pays a bribe to a government official in the host country. True False This law is supposed to illegalize companies and supervisors or managers from influencing foreign officials with any personal rewards and payments. In fact, this law applies to everyone with a certain degree of links to the U.S and participates in foreign corrupt practices. Based on this nationality principle, the official engages in such unethical activity may face prison (Luthans Doh, 2014). Mexico, Italy, and Canada are among the many countries supporting the U.S. trade embargo of Cuba. True False These three countries are among the strongest U.S allies, but they are among the leading contributors of tourists to Cuba as identified by Spielmann (2013). They have thus opposed the embargo against Cuba as applied the United States (Ramos, 2015). References Ciociola, A.A. et al. (2014). How drugs are developed and approved by the FDA: current process and future directions. American Journal of Gastroenterol, 109 (5), 620-623. D.H R.L.W. (2016, Jul 21). The Big Mac index. The Economist. Retrieved from https://www.economist.com/content/big-mac-index Eurostat. (2016). Balance of payment statistics. Retrieved from https://ec.europa.eu/eurostat/statistics-explained/index.php/Balance_of_payment_statistics Luthans, F. Doh, J. (2014). International management culture, strategy, and behavior, (9th Ed.). New York, NY: McGraw-Hill. Ritzer, G. (1998). The McDonaldization thesis: Explorations and extensions. London: Sage. Spielmann, P. J. (2013, Oct 29). UN General Assembly votes against US Cuba embargo. Associated Press. Retrieved from https://www.breitbart.com/news/da9nut1o0/ U.S Department of State. (n.d). Association of Southeast Asian Nations (ASEAN). Retrieved from https://www.state.gov/p/eap/regional/asean/ World Bank. (2005). Economic growth in the 1990s: Learning from a decade of reform. Washington, DC: World Bank.