Thus, four patent applications lead to one trademark application. Some companies such as Roche and BASF have a higher ratio, where 11 respectively 12 patents lead to one trademark. On the other hand, a few firms have relatively low ratios. For instance, Mylan Inc. Figure 1 illustrates annual patent applications. It can be observed that all selected companies had growing numbers until After , a turning point can be observed, where firms filed less patent applications than in recent years.
This is especially the case for patent applications which are filed all over the world. In case of US filings, numbers slightly increased starting in , followed by a slight decrease 50 Part 1: International Marketing Communication until EP application numbers are relatively stable, only facing a small decline since Annual Patent Applications At this point, trademark data is also analyzed with regard to annual applications.
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Additionally, trademark numbers are further examined concerning abandoned applications, active registrations and cancelled registrations. Figure 2 shows annual US trademark filings from until Starting with total annual applications, there has been a positive trend until From this point of time, total applications started decreasing. Abandoned applications follow a similar curve shape, but started decreasing at an earlier point of time. Registered and active trademarks which are granted by the patent office and are used for brand protection, increased steadily until , followed by a decline in This can be explained due to the examination process of trademark applications filed by a company.
During the examination process, a pending trademark can still be rejected or withdrawn. Therefore, abandoned and in particular registered trademarks are time-displaced. International Marketing Communication pending registrations or cancellation inquiries. Once a trademark application is filed, it follows several steps until final registration. As OHIM started its service in , this year face a high number of trademark applications. The curve shapes follow a similar pattern to US trademarks. Total annual applications followed a positive trend until , pursued by a negative trend.
This is also similar to US trademark applications. Considering average numbers between and , Registered and active trademarks can be further examined for each company with regard to total numbers and text-based trademarks. As shown in Table 3, from a total of 51, US trademark applications there are 14, US trademarks which are registered and active Regarding CTMs, registered and active trademarks 53 Brand Strategies of International Pharmaceutical Companies account for 9, out of 12, total applications Registered and active trademarks can be further examined in terms of trademark types.
For the purpose of this study, only word mark applications are considered. Regarding registered and active US trademarks, In case of CTMs, the average numbers are slightly different. Thus, it can be observed that the mean of other marks is slightly higher regarding CTMs. CTM Filings When a company files a trademark application, it can select several intended Nice classes for a trademark. To recapitulate shortly, Nice classes are subdivided into goods classes and service classes which represent different market segments. First, the total amount of trademark applications of the selected pharmaceuticals concerning the Nice class distribution is analyzed.
Annex 5 provides detailed information about each represented Nice class. In case of US trademarks, goods classes account for Compared to CTMs, there is hardly any diffe- 54 Part 1: International Marketing Communication rence: Trademark Registrations of Selected Companies 55 Brand Strategies of International Pharmaceutical Companies To sum up the statistics about IP portfolios of pharmaceutical companies, the majority of the analyzed companies focus on US patent applications compared to European patent applications.
When analyzing average US patent and trademark data, approximately four patents lead to one trademark. Moreover, annual patent and trademark applications can be observed as being time-displaced. The negative trend concerning patent applications is later on followed by trademark applications.
Thus, a correlation between trademarks and patents can be identified. Concerning trademark data between and , only Note, that Regarding Nice classes, most trademark applications are related to goods classes. Following this, the trademark filing strategies of the corresponding companies can be examined. The distribution of trademark families provides further information of the overall family structure applied by all selected companies. Obviously, the family size consisting of two trademarks account for Very large trademark families can be observed in US trademark data, involving three families which have more than trademarks with a common word root.
The largest CTM family only consists of 35 trademarks with a common word root. Detailed information about the trademark family distribution is provided in Annex 6. The analyzed trademark families lead to trademark portfolio structures of each company. As shown in Table 4, the trademark portfolio is divided into total trademark filings , independent trademarks, brand creating trademarks and brand developing 56 Part 1: International Marketing Communication trademarks.
By observing average results, Compared to CTMs, Concerning brand creating and brand developing efforts on average, US trademarks get more attention by pharmaceutical companies. A few companies differ from average results, such as Glaxo Smith Kline or Actavis. Regarding the US market, this company focuses more on brand developing trademarks following trademark filing strategies such as extending or modernizing.
CTM numbers of this company are close to the mean. On the other hand, the firm Actavis has a relatively high percentage of independent trademarks In general, brand creating trademarks lead to a higher amount of brand developing trademarks. Considering average numbers, 6.
CTMs follow a slightly different pattern, where 4. Comparing these average numbers, US trademarks face a slightly higher strategy of modernizing, where extending CTMs account for three quarters of brand developing trademarks. Analyzed Chinese companies only have very few brand developing trademarks. For instance, Shanghai Pharmaceuticals filed two extending trademarks and Fosun International just one.
To recapitulate shortly, the trademark filing strategies hedging and modernizing occur if two or more trademarks are identical in its wording, depending on the timeframe. In case of extending, the wording is extended or two identical trademark applications are filed in additional Nice classes. But results of analyzed data imply that another trademark filing strategy can be identified. The first observation implied that a related trademark application was pruned to a shorter wording.
Annex 7 provides a detailed insight to all trademark filing strategies, including numbers of the strategy pruning. It can be observed that most companies use a certain amount of pruning. Besides the trademark filing strategies hedging, modernizing and extending, a new trademark filing strategy can be identified based on the results. Former research focused on advantages and disadvantages of using existing brands for new products regarding brand extension.
Keller stated that consumers would behave not very favorable to a new product which is linked to a negative perception of an already existing brand. But one important aspect was not yet covered. A new brand consisting of two words or a very long wording could be associated with negative perceptions concerning a part of a brand name. Marketing managers did not consider the second word meaning in the first place. Spanish Consumers would associate this with a negative perception just because of the meaning of this word.
This example can help to explain the strategy 59 Brand Strategies of International Pharmaceutical Companies pruning which can occur if a newly created brand name is associated with negative consumer perception. Thus, pruning can be used by marketing managers, if a brand name leads to a failure regarding consumer perception. For instance, if a completely new brand consists of two new words, but one word leads to failure of a brand, brand pruning can be a tool to reduce the negatively associated wording.
Figure 4 illustrates a newly developed process of the examined trademark filing strategies. If a brand is successful, it can be used for new products and therefore gets extended. In case of a stagnating brand performance, a firm may try to modernize the brand. If it is successful, it can be extended. In case of brand failure, marketing managers can still try to use a part of the brand name and eventually initiate a new trademark family based on the pruned brand name. The trademark strategy hedging can help to foster this revised brand and a new family is initiated.
If this approach is successful, modernizing and then extending can follow. In case the brand failure continues, the brand name can be removed completely. If marketing managers consider several trademark strategies for brand management decisions, they may improve brand success and corresponding profits. Thus, trademark data can serve as indicator for marketing activities.
Still, the findings of the analyzed trademark data involve limitations.
First, trademark family building relies partially on a manual procedure in the first step. An automated identification of common word roots is a very complex issue. The developed commands could be further optimized to exclude random variations of dummy tagging in very few cases. In particular, the command structure for the strategy pruning was developed based on observations only and could be further improved.
Besides these limitations, the results clearly indicate that there is a close relationship between trademark data and marketing activities. International Marketing Communication Fig. Process of Trademark Filing Strategies 61 Brand Strategies of International Pharmaceutical Companies 5 Conclusion This study addressed IP portfolios and trademark filing strategies of multinational pharmaceutical companies by analyzing trademark data both from the US and Europe. Average results reveal that the majority of all companies focus on US patent applications compared to European patent applications.
Annual patent and trademark applications can be observed as being time-displaced. Interestingly, annual patent and trademark applications face a negative trend which indicates a decreasing innovation in the pharmaceutical industry. Regarding annual trademark data between and , more CTM than US trademark applications got registered. The marketing activities of the selected companies could be analyzed by using trademark data. In case of Chinese companies, their high sales volumes do not match with marketing innovation compared to firms from the US or Europe.
The examined trademark filing strategies reveal a focus on brand extending strategies, followed by brand modernizing. A time-displaced correlation between patents and trademarks can be used to forecast the number of trademark applications and the corresponding trademark filing strategies. The findings of these strategies help to understand how brand performance, respectively brand success, can be influenced by applying different trademark filing strategies. In addition, a newly developed process of trademark filing strategies may provide additional valuable guidance to marketing managers.
Concerning the pharmaceutical industry, companies in this sector may get an insight about the marketing and innovation activities to further improve their own strategies. As literature on trademark filing strategies is very rare, the findings can contribute to a deeper understanding of trademark filing strategies. Morgan and Rego stated that there is still little empirical research regarding international brand portfolio strategy decisions.
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The findings of this study may fill this gap for research on the pharmaceutical industry as brand strategy decisions could be 62 Part 1: International Marketing Communication examined through trademark data. Nevertheless, the results include limitations as the examination of trademark families relies partially on a manual procedure in the first place. Further research on IP portfolios and their relationship to brand success could provide a deeper understanding of advantages and disadvantages of the newly identified strategy pruning and how it is related to marketing expenses.
In this context, research on other industry sectors could provide similar or different results and might develop tailored guidance to marketing managers. A glossary of Marketing Terms. World Patent Information, Vol. International Marketing Communication Sandner, P. International Marketing Communication Annex 2: Trademark Roles Sandner, , modified Annex 4: International Marketing Communication Annex 5: Distribution of Trademark Families 70 Part 1: International Marketing Communication Annex 7: The cooperation between different companies and cultures is no longer influenced by technologies and know-how exclusively but also by factors such as intercultural competencies and communication.
However, although the internationalization of a company very often is a sensitive topic, it is still often underestimated in international business relationships. On the one hand there are employees that need to be informed about the plans of the Management Board and need to fully understand the economic objectives that a company pursues.
On the other hand there is the public and the media of a different country that needs to be informed and kept in touch with. Therefore, in order to maintain a coherent image of the company, strategies, programs and measures of the internal and external communication need to be planned, implemented and controlled across borders. This summary introduces to various measures and strategies in internal and external communication, which a company should consider when planning to go international. Zu unterscheiden sind die interne und die externe Kommunikation.
Im Rahmen der internen Kommunikation geht es in erster Linie um die Information des Managements untereinander und die Information der Mitarbeiter. Wenn Unternehmen den Schritt ins Ausland wagen, kommt der Frage der Standardisierung oder Differenzierung der externen Kommunikation eine wichtige Rolle zu. Den Mitarbeitern von 74 Part 1: International Marketing Communication Daimler waren die strategischen Ziele des Unternehmens nicht klar und wie die grundverschiedenen Produkte zusammenpassen sollten.
Es folgte der Austausch des amerikanischen Managements. Damit wurde klar, dass es sich bei den beiden Unternehmen nicht um zwei gleichberechtigte Partner handelte. Auch in der Unternehmensphilosophie gab es deutliche Unterschiede, beispielsweise in der Gehaltsstruktur der beiden Unternehmen.
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Das Wall Street Journal schrieb dazu: Die Wissenschaft spricht hier von interkultureller Kompetenz. Der Stellenwert des Faktors Wissen ist im Rahmen interkultureller Kompetenz im Vergleich zu den anderen Faktoren als zweitrangig zu erachten. Die bisherigen Transaktionen haben dabei gezeigt: International Marketing Communication und die Motivation, gemeinsam die wirtschaftlichen Strategien und Ziele des Unternehmens zu erreichen, steigt.
Die interne Unternehmenskommunikation verfolgt dabei eine Reihe von Zielen. Dies ist gerade vor der Internationalisierung eines Unternehmens eines der wichtigsten Ziele. Schlecht informierte und unmotivierte Mitarbeiter strahlen Unzufriedenheit aus. International Marketing Communication mensveranstaltungen, Foren sowie verschiedene Formen der sozialen Netzwerke. Beispielsweise die Auswahl geeigneter Seminare, die Erstellung eines individuellen Weiterbildungsplanes der jeweiligen Mitarbeiter oder die Formulierung von Weiterbildungszielen wie etwa der Besuch eines Sprachkurses.
So kann der Auf- bzw. Beispielsweise kann den Mitarbeitern das neue Unternehmen durch einen vir- 82 Part 1: Mitarbeiterzeitungen werden in vielen Firmen mittlerweile jedoch durch das Intranet ersetzt. Der Einfluss der einzelnen Benutzer ist gestiegen. Partizipation, Interaktion und Kommunikation sind die Charakteristika der sozialen Medien. Mittlerweile sind viele Unternehmen in den sozialen Medien vertreten. Videokonferenzen, Webinare oder verschieden E-Learning-Programme, um nur einige zu nennen. Im Rahmen einer Internationalisierung ist hier sicherlich der direkte Austausch mit den Mitarbeitern ein wichtiges Ziel.
Dadurch kann ebenfalls si- 86 Part 1: International Marketing Communication chergestellt werden, dass relevante Informationen an die jeweiligen Abteilungen weitergegeben werden und dass es nicht zu einer Informationsflut kommt. Dabei soll die externe Kommunikation ein weltweit einheitliches Bild des Unternehmens schaffen. Dennoch gibt es aber auch Bereiche, in denen eine standardisierte Kommunikation nicht ausreichend ist. Entscheidend ist, inwieweit die Kommunikation standardisiert oder individuell gestaltet werden muss. Diese haben zum Beispiel Einfluss auf die Werbung oder auch auf die Finanzkommunikation.
Sie beeinflussen Einstellungen, Verhaltensweisen und Wahrnehmungen. International Marketing Communication zu nutzen. Der folgende Fahrplan soll eine Orientierung dabei geben: Ziele und Kommunikationsstrategien werden nach verschiedenen Zielgruppen definiert. Unter bewusster Inkaufnahme national suboptimaler Strategien wird versucht, eine weltweit optimale Marketingstrategie zu realisieren. Da bei einer globalen Marketingstrategie landesspezifische Besonderheiten weitgehend vernach- 90 Part 1: Diese Form des Marketings verlangt relativ wenig Ressourcen und stellt die geringsten Anforderungen an die Kompetenzen eines Unternehmens.
Die Planung und Gestaltung der Marketinginstrumente erfolgt also analog zum nationalen Marketing. Vor dem Hintergrund unterschiedlicher nationaler und internationaler Rahmenbedingungen sollte eine internationale 91 Interne und externe Kommunikation bei der Internationalisierung Kommunikation auf einem systematischen Planungsprozess beruhen und Teil des strategischen Managements sein.
Kultur und Kommunikataion; in: Handbuch der Unternehmenskommunikation Huck, S.: Internationale Unternehmenskommunikation, Ergebnisse einer qualitativen Befragung von Kommunikationsverantwortlichen in 20 multinationalen Unternehmen http: Collaboration, consulting, entry mode, distributors, international marketing, international strategy, joint venture, market entry, mergers and acquisitions, strategic alliance Abstract: The aim of this study is to find out how foreign firms can successfully enter the German market in a collaborative way with the help of a partner via a joint venture, a strategic alliance, a merger or an acquisition.
Data is collected from empirical research in form of a case study, but also from the existing literature. The research deals with various companies from China, France, Germany, Korea, Poland, Spain and Sweden which have actually striven to access the German market. This empirical investigation was conducted using the methods of qualitative research through literature review, observation, interviews, questionnaires and documentary analysis.
Choice and Importance of the Right Partner When Entering the German Market The research was conducted, actions took place and results were obtained during the years until Insights into management style, approach and expectations are given. The study based on current data points out actual constraints, and demonstrates the importance of communication, cooperation and an in-depth understanding of a market prior to entering it. Since coming onto a new market bears the risk of failure, it is wise to rely on a local partner familiar with habits, culture and business practices of the new territory.
Only about one third of firms striving to market products and services abroad rely on third parties before going abroad, so Faix et Al Having conducted a study with more than firms, they list travelling to the target market, trade fairs, market analysis, and consulting agencies as the most useful sources of gaining knowledge prior to entering a new market. Once a firm has decided to work with a partner, the process of finding a suitable associate can be quite a challenge.
This research will show the examples of several firms who have striven to access the German market from abroad, either with a business partner or on their own. Entering a market in a collaborative way could be conducted via a joint venture, a strategic alliance, a merger or an acquisition, but also by hiring a third party, e.
Data was collected through empirical research in form of a case study which includes various companies from China, France, Germany, Korea, Poland, Spain and Sweden. This empirical investigation was conducted using the methods of qualitative research through observation, interviews, questionnaires and documentary analysis. The exiting literature is also reviewed, and insights gained from the literature review are displayed in order to allow a thorough understanding of possible partnerships when entering a new market.
International Marketing Communication Not to be neglected is the importance of thorough preparation, in order to find suitable potential partners to work with. The first thing that comes to mind is a market study which tends to be a good starting point before entering a new market. Interestingly, the majority of the big corporations apply a thorough market analysis, but only 33 per cent of the small and medium sized firms use this important tool of preparation, according to Faix et Al The following chapters will give an insight into common practices applied in order to start selling and marketing products or services on the German market, with the help of collaborators.
But to start with, the different forms of partnerships are described. A foreign company looks for a local firm or individual located in the host market. The equity participation is subject to negotiation. The reasons for forming a joint venture are obvious: This used to be so in China or in parts of the former Soviet Union where foreign direct investment was strongly controlled, or still is so in some Arabic countries for certain sectors.
Nevertheless, what sounds like a smart move for international firms can also 95 Choice and Importance of the Right Partner When Entering the German Market bear risks: But the main aspect that helped the firm to be successful in Japan is the following: According to the Financial Times another example from Japan with its unique health culture shows the importance of a partner.
Japanese doctors both prescribe and sell drugs. Glaxo, the large UK-based pharmaceutical company, therefore entered Japan via a joint venture back in , since due to the circumstances a local partner in Japan was considered necessary. Later on, Glaxo paid out the Japanese partner. As to Eastern Europe and Russia Gillespie et Al point out that with the liberalization of industry and trade after the breakdown of the Soviet Union many international firms have pursued joint ventures, since, as mentioned above, originally Western firms were not allowed to own any stock, capital or real estate.
Restrictions on foreign investments were lifted in many countries, which is why many companies 96 Part 1: International Marketing Communication started to neglect joint ventures and to focus on full ownership. When the country first opened to foreign investment, foreign firms were required to partner with Chinese enterprises. Later China began considering wholly owned foreign investments. Foreign businesses prefer exclusive ownership. Joint ventures are a quick, easy and simple ways of entering international markets; later on the parent firm may increase its stake in the venture or reclaim full control if financial resources allow them to do so.
Since the late , for the first time in their sixty-plus-year presence in Europe, Kellogg of Battle Creek, Michigan had a formidable opponent in the ready-to-eat cereal market there. They had first approached Quaker Oats with their offer of a joint venture, which had rejected it. Kellogg was challenged to create their market in most of Europe.
The Kellogg name has always been associated with quality and nutrition according to Jain It had been a corporate sponsor of the Olympics and had even entered into a co-marketing arrangement with the French government to preach the benefits of a good breakfast. The name was perceived by many people, not only in Britain, as being an English corporation. The consumption of cereal for breakfast was traditional only in Britain and Ireland. In France for example, croissants and sweet rolls were more common, and 97 Choice and Importance of the Right Partner When Entering the German Market in some countries meat and cheese were the first meal of the day.
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In Great Britain the average consumer ate 13 pounds of cereal a year, which even exceeded US consumption of 10 pounds annually. In France and Germany however, consumption levels in were 2 pounds per person. But not only Europe was challenging, the Japanese market was going to be much more difficult to master in yet another way. In Japan people were accustomed to eating something warm and soft for breakfast, and to exchange this for a cold crisp cereal was going to take tremendous marketing skills.
In Brazil, on the other hand, everything was under control with more than a 90 per cent market share. Kellogg managed to sell its Corn Flakes, Frosted Flakes and Rice Krispies almost everywhere in Europe, thanks to growing demand and a continual introduction of new products in the different countries. The reasons for more demand and growth are described by Jain as follows: The development of commercial television had made advertising more effective.
So in the end, Kellogg had a solid base to defend its position against CPW. Thus joint ventures, or strategic alliances, as further described below, are strategic approaches which should also be seen in the context of negotiations with powerful customers and suppliers where bargaining and trade-offs will take place. Last but not least the joke of the hen and the pig should be taken seriously when contemplating joint ventures.
International Marketing Communication 2. Contract manufacturing or a licensing agreement also counts as a strategic alliance. The term strategic alliance is commonly used to denote an alliance involving two or more firms, in which each partner contributes a particular skill or resource complementing each other. The alliances fall in various categories: Technology-based alliances focus on technology and the sharing of research and development expertise and findings, whereas distribution-based alliances put a special emphasis on distribution of products or services through a common channel.
Production-based alliances are well known in the automobile industry. Before Porsche was incorporated into the Volkswagen Group they also developed a concerted chassis for the Cayenne, Cayman and the Touareg all-terrain vehicle. Gillespie et Al stress the fact that there is always initial doubt whether an alliance will be successful. Experience suggests that with two equal partners alliances are more difficult to manage than those with a dominant partner.
Moreover many observers question the value of entering alliances with technological competitors. Today, taking over a publicly traded company in form of an acquisition or a merger is easier than ever since the financial markets are opening up to the public all over the world. Gillespie et Al reckon that purchasing an established business eliminates the need to build manufacturing and distribution capabilities from scratch. Acquisition is also an attractive strategy when a market is already dominated by established brands and saturated with competitors.
New entrants would find such a market difficult to break into, and the addition of a totally new player might make the market even more competitive and less profitable for all. Such was the case with the Egyptian banking industry in , when the government allowed international banks only to buy existing Egyptian banks and refused to grant them licenses to start new businesses.
It will show how some tried to find local partners and how others employed on site consulting firms in order to start their operations on the German market, whereas still others tried to succeed without previous support. The following international enterprises were taken into consideration: The opinions of experienced managers from France, Germany, Poland and Spain were taken into account. The question is, what went wrong, since the expected turnover and revenue in Germany was not achieved. One of the two warehouses in Germany was located in North-western Ger- Part 1: International Marketing Communication many, the other in the South-west.
The person in charge of the warehouse in the South was able to retain his independence. He was not hired as an employee. He wanted to stay self-employed to be able to work for other projects as well. A third warehouse and possibly a fourth were planned to service the rest of Germany and thus boost sales. The finance department put pressure on the sales and marketing departments. The numbers did not sum up.
But the focus was always set on the American and Latin American markets and resources were used for the Asian market, mainly China, where the demand for marble was infinite. Competition was strong in Germany; Italy was at a great advantage geographically. They were simply closer to Germany, and they were very experienced in the sale of granite and marble. Most of the Spanish materials were available in Italy, too. Ordered on a Monday, they would arrive within five days, in most cases within the same week on Friday.
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This was the normal procedure. Ordering natural stone from Spain could take up to several weeks, since the inner-firm processes, due to the size of the group, took too long. Instead of opening up two further warehouses as planned and working with the local partner, the two existing ones were closed down in The sales and marketing director had to leave the firm in The European sales director deemed Germany a complicated market and proposed to focus on other European markets, such as Poland and other countries of Eastern Europe.
The firm decided to pull out of the German market and to focus on their core markets, such as the US market and the Chinese market. Not only the market potential, but also the actual sales were quite promising, but there was simply not enough attention paid to the German market in general, even though there was support from the head office in Spain and another location in the Northwest of Spain.
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From both offices, direct sales were taking place, too. Ger- Choice and Importance of the Right Partner When Entering the German Market man customers were able to approach the Spanish firm directly, without having to go to the warehouses in Germany. Entering a market without intense preparation, setting up warehouses with half-hearted and ineffective personnel in charge does not lead to promising results on such a complex and saturated market as Germany.
The idea of working with a well introduced partner from the same sector was not further followed. The production facility is located in the Southeast of Spain in an industrial zone in the province of Alicante. The cold asphalt is mainly sold in Spain, but also in France and Ireland, and sales in Germany are rising as well. According to the firm, production and consumption have increased considerably over the last few years, which for the firms is proof of the quality and profitability of the product and its special properties, such as easy usage.
Their international marketing strategy applied in Germany is different from the strategy followed on the home market, due to the fact, that in their home market the marketing strategy was developed based on the idea of direct selling to the end customer. For producers of cold asphalt the main customers are city councils - Madrid, Barcelona and Valencia to mention a few - which are visited and supplied directly. In international markets, the same approach of directly addressing city councils, building and planning authorities as well as construction companies requires three major resources: Gelingt es ihm dabei, die Kundenerwartungen zu ubertreffen, schafft er die erste Stufe auf dem Weg zur.
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