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Submitted by oodeaneroo on December 6, 2006
Category: Business
Words: 596 | Pages: 3
Views: 140
Popularity Rank: 82,375
Average Member Grade: N/A (Add a Comment / Grade this Paper)
The article definitely relates to the text in many different ways especially in the first Chapter.
The article relates to the company Absolut vodka which was brought into the United States to compete against all the other vodka's. As we know in the international business that the amount of global competition is on the rise, and is making it very difficult to become on of the top businesses in the world today. Everyone is having to face different competitors from around the world. So from all of this the people need to be "on the ball" and need to come up with new ideas and innovation to out-do the other competitors. This is what Absolut is trying to do, they are wanting to still keep the same look and standardization of the product but just with new fresh ideas or little improvements. They do this because they are an international company which means they both attempt to standardize their operations worldwide and have multi-country affiliates which has to base their ideas from the market differences. For example Absolut has always had fashion designers collaborate with the product to bring it a high class feel and very up to date with the fashion, but this time they are still staying with the celebrities and asking Lenny Kravits to do a song.
Absolut wants to put out an ad campaign on television and internet with all the new technology that these designers have created the ads can be portrayed in a better manner and it will be less expensive. With the internet , Absolut can contact their agents in America with less cost effective and time consuming travel. Absolute also decides to produce its vodka in China because it is cheaper for them to produce it there. The factors of production are lower.They have also now noted and seen that it is starting to sell really well in china and are hoping that the current growth of the vodka market in China will stay on track because they have estimated that if it does China will account for 5% of their...
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