Barriers to Entry and Global Strategy
1 IKEA'S GLOBAL STRATEGY: FURNISHING THE WORLD
1） What are IKEA's firm specific advantages? Country specific advantages?
2）.What are the cultural factors which make expansion abroad in retailing difficult? What has made it possible in IKEA's case?
3） Describe how IKEA'S expansion has re-energized mature markets around the world and changed the competitive situation.
4） How does the TV advertising campaign initiated by IKEA overcome the entry barrier of high advertising expenditures?
5）Should IKEA expand further in the United States or focus on other countries?
2 GLOBALIZATION AT WHIRLPOOL
1）To what extent is the appliance market regional rather than global?
2）What seem to be the key success factors in the appliance business?
3）Are Whirlpool’s difficulties with its global strategy due to internal factors or to external factors beyond its control?
4）To what extent does Whirlpool’s experience suggest that globalization is not a good idea in the appliance business? Explain fully.
5）To what extent should Whirlpool adapt its global strategy? (You may want to access Whirlpool’s website and annual reports to see how the company has fared recently and whether its international commitment remains strong.)
3 TOYS OF US Goes to Japan
1）Was Japan an attractive market for Toys R Us? Do you think there were any cultural obstacles to product acceptance? Strong competitors?
2）What were the entry barriers into Japan? Any culturally based barriers, in terms of how to do business?
3）How did Toys R Us manage to cross the entry barriers into Japan? What alternative modes of entry could have been tried?
4）What were the problems in transferring Toys R Us competitive advantages to a foreign market? Why did Toys R Us internalize the firm specific advantages rather than license another retailer abroad?
5）Were the company executives in Japan too optimistic in their assessment of competitors in Japan? What should their future strategy be?
4 Illycaffe (A):
1） What are IKEA's firm specific advantages? Country specific advantages?
2）.What are the cultural factors which make expansion abroad in retailing difficult? What has made it possible in IKEA's case?
3） Describe how IKEA'S expansion has re-energized mature markets around the world and changed the competitive situation.
4） How does the TV advertising campaign initiated by IKEA overcome the entry barrier of high advertising expenditures?
5）Should IKEA expand further in the United States or focus on other countries?
2 GLOBALIZATION AT WHIRLPOOL
1）To what extent is the appliance market regional rather than global?
2）What seem to be the key success factors in the appliance business?
3）Are Whirlpool’s difficulties with its global strategy due to internal factors or to external factors beyond its control?
4）To what extent does Whirlpool’s experience suggest that globalization is not a good idea in the appliance business? Explain fully.
5）To what extent should Whirlpool adapt its global strategy? (You may want to access Whirlpool’s website and annual reports to see how the company has fared recently and whether its international commitment remains strong.)
3 TOYS OF US Goes to Japan
1）Was Japan an attractive market for Toys R Us? Do you think there were any cultural obstacles to product acceptance? Strong competitors?
2）What were the entry barriers into Japan? Any culturally based barriers, in terms of how to do business?
3）How did Toys R Us manage to cross the entry barriers into Japan? What alternative modes of entry could have been tried?
4）What were the problems in transferring Toys R Us competitive advantages to a foreign market? Why did Toys R Us internalize the firm specific advantages rather than license another retailer abroad?
5）Were the company executives in Japan too optimistic in their assessment of competitors in Japan? What should their future strategy be?
4 Illycaffe (A):