Globe Marketing - Keegan and Green - Chapter 12 (Summary)
Globe Marketing - Keegan and Green - Chapter 4 (Summary)
Summary Global Marketing (keegan 9th edition)
All for this textbook (5)
Written for
Kings College London (KCL)
International Management
International Marketing (7SSMM104)
All documents for this subject (8)
Seller
Follow
kimkx
Reviews received
Content preview
Week 4 – International Marketing
Chapter 9 – Global Market Entry Strategies: Licensing,
Investment, and Strategic Alliances
Licensing
- Definition: Contractual arrangement whereby one company (the licensor) makes a
legally protected asset available to another company (the licensee) in exchange for
royalties, license fees, or some other form of compensation
- Licensed asset may be a brand name, company name, patent, trade secret, or
product formulation
- Global market entry and expansion strategy
Advantages
- Leverage their brand names and generate substantial revenue streams (with little
initial investment; low cost implementation)
- Enables companies to circumvent tariffs, quotas, or similar report barriers
- Licensees are granted considerable autonomy and are free to adapt the licensed
goods to local tastes
- Export market opportunities
- Open door to low-risk manufacturing relationships
- Speed diffusion of new products or technologies
Disadvantages
- Limited market control
- Potential returns from marketing may be lost
- Agreement may have short life if licensee develops its own know-how
- Licensee may exploit company resources
- Licensee may become a competitor
Special Licensing Arrangements
- Contract manufacturing = provide technical specifications to a subcontractor or local
manufacturer
o Licensing firm can specialize in product design and marketing bc
subcontractor oversees production
o Limited commitment of financial and managerial resources
o Quick entry into target market
o May open themselves to public scrutiny e.g. criticism if workers in contract
factories are paid poorly
- Franchising = contract between a parent company-franchiser and a franchisee that
allows the franchisee to operate a business developed by the franchiser in return for
a fee and adherence to franchise-wide policies and practices
Based on the book ‘Global Marketing’ by Warren J. Keegan and Mark C. Green
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller kimkx. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $5.29. You're not tied to anything after your purchase.