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Colgate Case

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Colgate Case
Intercultural Management

Final ASSIGNMENT
Content:

Content: 2 Ethic issues and Major Strategies: 3 Ethic issues: 3 Major Strategies: 3 To handle the situation: 5 Possibility to change the advertising without affect the customer loyalty: 7 Effect on the management right : 8 Conclusion: 9

Introduction:

In this study I going to introduce the main issues of the partnership of Colgate with Hawley and Hazel, a big company selling a toothpaste “Darkie” in the Asian Market. Colgate bought 50% of the company and not received the management right. Colgate wanted to expand the brand all around the world and discovered difficulty of ethic with the brand name and the logo.
We will see on this study various aspect of the intercultural management, as the Ethic, and the various culture is Asia country. I will describe the strategies and the management of Colgate.

Ethic issues and Major Strategies:

Ethic issues:

Ethic issues is very difficult to resolve, because when we work at global, there are various strategies than we can use it in other country due to the ethic. Colgate has known a difficult situation in 1980, with a partnership located in Asia (Hawley and Hazel). This partnership is based on a 50% of equity by Colgate and builds a relation to use Asian products to worldwide. But in the strategy of Hawley and Hazel, they defined to keep all the decision in the management of the brand.
The ethical issues began: The logo on the toothpaste that is Darkie; is a black man toothpaste. Hawley and Hazel have got a strong image and a good notoriety during a long time ago (Since 1920). In Asia the logo in non-offensive arrive in USA and are remarked as offensive on the USA market. This logo had given a business of millions of dollars to Colgate and Hawley and Hazel joint Alliance.
The US culture is different because on this market there are more black people compare to the Asian market. According to their

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