SCM 414 - EXAM 2 STUDY GUIDE
HBP 1
4 major global challenges - Answers -1. growing bargaining power of Amazon
2. suppliers want to deliver heavier objects
3. ever increasing volume for peak season/COVID-19
4. human resource issues
HBP 1
what were the "common carrier rights"? - Answers -it allows the logistics firm to deliver
packages to both private and commercial customers
HBP 1
what is "teamsters union" and why is it significant? - Answers -in august 1997, the
teamsters union led about 185,000 UPS workers on a strike; wanted more union control
of employee pension funds and objected to UPS's increasing use of part-time workers
the 15-day strike cause UPS to lose $650 million
HBP 1
what is "solutions company"? - Answers -offers services tailored to its customers'
business process value chain
HBP 1
what is "synchronized commerce"? - Answers -modifying supply chains to align goods,
information and funds to deliver more products and services to its customers
HBP 1
what is "UPS store" and how did it help the business grow for UPS? - Answers -the
UPS was India's first full-service retail outlet to offer shipping, packaging, and other
business services under one roof
HBP 1
what was the "License Raj"? - Answers -the License Raj represented the state's efforts
to control all aspects of the economy. elaborate permits and regulations were required
to set up or run business, severely limiting their growth
HBP 1
what is "Make in India" initiative? - Answers -a government initiative to increase the
contribution of the manufacturing sector in India
HBP 1
with whom did UPS have the first partnership in India? - Answers -Jet Air
HBP 1
, what were the benefits of partnership with AFL? why was it short-lived? - Answers --
the alliance was mutually beneficial: UPS gained access to 130 of AFL's field stocking
locations and increased its number of access points for international delivery customers
from 26 to 200; AFL gained access to UPS's export capabilities
- alliance was short-lived as FedEX announced acquisition to AFL's delivery business in
2010
HBP 1
how did partnership with Connect India help UPS? - Answers -enabled customers from
semi-urban and rural India to access UPS's global shipping services
HBP 1
why are foreign MNCs like UPS seeking to invest in India? - Answers -gain access to a
larger market
- more than one billion population
- sustained economic growth
gain access to low-cost input factors
- labor workforce of 514 million
- low wage rate
- high population of educated English speakers
develop new competencies
- learning new capabilities
country-specific reasons
- positive government attitude towards FDI - economy liberalization (e.g., GST, tax
holidays, etc.)
- efforts to integrate fragmented logistics landscape - growth in manufacturing and e-
commerce
HBP 1
what risks come with investing in emerging as opposed to developed markets? -
Answers -- liability of foreignness — lack of familiarity with institutions, and increased
cultural distance
- increased political risk — risk of political regime change
- increased economic risk — India still sensitive to global recession
- infrastructure needs more attention: power outage issues, high transit times at ports
(20 days to clear cargo)
- weak intellectual property protection: weak enforcement of regulations
HBP 1
compare the national cultures of the US and India. how might these differences affect
UPS's formulation and implementation of an expansion strategy in India? - Answers -
Hofstede's cultural dimensions
similarities:
HBP 1
4 major global challenges - Answers -1. growing bargaining power of Amazon
2. suppliers want to deliver heavier objects
3. ever increasing volume for peak season/COVID-19
4. human resource issues
HBP 1
what were the "common carrier rights"? - Answers -it allows the logistics firm to deliver
packages to both private and commercial customers
HBP 1
what is "teamsters union" and why is it significant? - Answers -in august 1997, the
teamsters union led about 185,000 UPS workers on a strike; wanted more union control
of employee pension funds and objected to UPS's increasing use of part-time workers
the 15-day strike cause UPS to lose $650 million
HBP 1
what is "solutions company"? - Answers -offers services tailored to its customers'
business process value chain
HBP 1
what is "synchronized commerce"? - Answers -modifying supply chains to align goods,
information and funds to deliver more products and services to its customers
HBP 1
what is "UPS store" and how did it help the business grow for UPS? - Answers -the
UPS was India's first full-service retail outlet to offer shipping, packaging, and other
business services under one roof
HBP 1
what was the "License Raj"? - Answers -the License Raj represented the state's efforts
to control all aspects of the economy. elaborate permits and regulations were required
to set up or run business, severely limiting their growth
HBP 1
what is "Make in India" initiative? - Answers -a government initiative to increase the
contribution of the manufacturing sector in India
HBP 1
with whom did UPS have the first partnership in India? - Answers -Jet Air
HBP 1
, what were the benefits of partnership with AFL? why was it short-lived? - Answers --
the alliance was mutually beneficial: UPS gained access to 130 of AFL's field stocking
locations and increased its number of access points for international delivery customers
from 26 to 200; AFL gained access to UPS's export capabilities
- alliance was short-lived as FedEX announced acquisition to AFL's delivery business in
2010
HBP 1
how did partnership with Connect India help UPS? - Answers -enabled customers from
semi-urban and rural India to access UPS's global shipping services
HBP 1
why are foreign MNCs like UPS seeking to invest in India? - Answers -gain access to a
larger market
- more than one billion population
- sustained economic growth
gain access to low-cost input factors
- labor workforce of 514 million
- low wage rate
- high population of educated English speakers
develop new competencies
- learning new capabilities
country-specific reasons
- positive government attitude towards FDI - economy liberalization (e.g., GST, tax
holidays, etc.)
- efforts to integrate fragmented logistics landscape - growth in manufacturing and e-
commerce
HBP 1
what risks come with investing in emerging as opposed to developed markets? -
Answers -- liability of foreignness — lack of familiarity with institutions, and increased
cultural distance
- increased political risk — risk of political regime change
- increased economic risk — India still sensitive to global recession
- infrastructure needs more attention: power outage issues, high transit times at ports
(20 days to clear cargo)
- weak intellectual property protection: weak enforcement of regulations
HBP 1
compare the national cultures of the US and India. how might these differences affect
UPS's formulation and implementation of an expansion strategy in India? - Answers -
Hofstede's cultural dimensions
similarities: