978-0134200057 Chapter 1 Solution Manual

subject Type Homework Help
subject Pages 3
subject Words 1090
subject Authors Daniel Sullivan, John Daniels, Lee Radebaugh

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Questions
1.1 Professional athlete A is a star. And professional athlete B is an average player. How has the
globalization of professional sports affected each of these both positively and negatively?
1-2 As you read the chapter, identify and show an example of each international mode of operations that
is illustrated in the globalization of professional sports.
TEACHING TIPS: Carefully review the PowerPoint slides for Chapter One. A good Internet
source of information on globalization can be found at www.globalization101.org. Finally,
review the atlas provided in the text, where you will find maps of the world and its continents,
as well as a country index.
Questions
1-3 What specific steps has Carnival Cruise Lines taken to benefit from global social changes?
1.4 What economic factors influence success of the international cruise industry? Explain how each
affects such success.
1.5 Although most cruise line passengers are from the United States, the average number of annual
vacation days taken by U.S. residents is lower than that of workers in most other high-income
countries (13 days, compared with 42 days in Italy, 37 in France, 35 in Germany, and 25 in Japan).
How might the cruise lines increase sales to people outside the United States?
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1.6 What threats exist for the future performance of the cruise-line industry and, specifically, of Carnival
Cruise Lines? If you were in charge of Carnival, how would you (a) try to prevent these threats from
becoming reality, and (b) deal with them if they were realized?
While the potential market for Carnival seems very attractive, port capacity could well become an
issue. The deep water and the massive facilities required to dock a liner in any port are limited. In
addition, there are passionate cries from environmentalists regarding the damage (pollution of the
To proactively deal with the possibility of a downturn, Carnival should invest heavily in research and
If Carnival finds that it must react to a downturn, it should always think in terms of all of its
stakeholders, not just its stockholders. Of course, it will want to minimize any damage to its
ADDITIONAL EXERCISES: The Globalization Process
Exercise 1.1. Ask students to identify firms, both domestic and foreign that operate internationally.
Take time to explore the extent and nature of their operations. Also, discuss a logical geographical
pattern of expansion for each type of operation. Conclude the discussion by examining the list to
determine if there are any particular types of firms that seem to lend themselves (or not) to global
operations and strategies. Have the students explain why this might be so. (LO: 2, Learning
Outcome: To understand why companies engage in international business and why international
business growth has accelerated, AACSB: Dynamics of the Global Economy.)
Exercise 1.2. Ask students why they think the world’s largest theme park operator, the Walt
Disney Co., was motivated to establish parks in Tokyo, Paris, and Hong Kong. What particular
market characteristics of each of those sites were especially attractive? Conclude the discussion by
asking students if they believe that Disney should establish additional foreign parks, and if so, when,
where, why, and how? (LO: 4, Learning Outcome: To become familiar with different ways in which
a company can accomplish its global objectives, AACSB: Analytical Skills.)
Exercise 1.3. Divide students into small groups and ask them to explore the costs of the
globalization process. What are the major issues? What companies seem to promote corporate
responsibility in all aspects of their businesses? What can and/or should be done to encourage
seemingly less-than-responsible businesses and governments to change their ways? (LO: 4,
Learning Outcome: To become familiar with different ways in which a company can accomplish its
global objectives, AACSB: Analytical Skills.)
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