1. Entering and Competing in Emerging Markets
A Session for the Fall 2007 UNICON Conference
Facilitated by:
Ron Bendersky
Melanie Barnett

2. Headlines… Rutgers Starts EMBA In Singapore
Kenan-Flager And Tsinghua Open Center For Logistics In Beijing
China CEO Program At Columbia
Kellogg Expands To Miami
Rutgers Starts EMBA In Singapore
INSEAD Opens Office In New York
IESE Opens Office In New York
Tsinghua-INSEAD Launch EMBA
Harvard Exec-Ed Goes To Hyderabad
Oxford and Confederation of Indian Industry Establish an India Business Centre
Tepper School Of Business At Carnegie Mellon Takes Exec-Ed To Qatar
INSEAD Opens Abu Dhabi Exec-Ed Centre

3. University of Michigan in Asia

4. University of Michigan and Asia
1870s: First students from Japan include Toyama
Masakazu, who becomes President of Tokyo Imperial
University and Minister of Education. His 1886
U-M honorary degree is the first ever given to a
citizen of Japan by an American university.
: U-M President James Angell serves as U.S.
Minister to China.
: U-M biology professor Dean Worcester
serves as member of the U.S.-Philippine Commission,
and then as U.S. Secretary of the Interior for the
Philippines.

5. Frank Murphy
Harbor Beach, Michigan
University of Michigan BA 1912, LLB 1914
Governor-General of the Philippines
High Commissioner to the Philippines
Governor of Michigan,
Attorney-General of the U.S.,
U.S. Supreme Court Justice,

6. Michigan Executive Education’s Global Presence
PCC’s current situation:
Rapid growth through M&A
Many new capabilities have been gained through this process
Leading to huge new potential for competitive advantage
More critical than ever that:
The management team is aligned around the strategy & performance goals
They work together exceedingly well as a team
They have the individual leadership and management competencies to create and sustain the competitive advantage and lead PCC into the future.
PCC has done a great job of identifying the key competencies in its leadership team. We believe we have captured them here.
Go through bullets for Exec 1 – ask for further input from PCC. Then do Exec. 2.
Transition: We can’t know yet exactly what the initiative will look like, so we have a process to help us get there.

7. Decisions and Issues
Institutional support
Location(s)
Infrastructure
Brand
Pricing (and the other 3 P’s, too)
Partners
Faculty
Staff
Marketing & sales
Operations

8. Entry Strategies
Go it Alone
Single Academic Partnership
Multiple Academic Partnership
Corporate Consortium
Non-Academic Partnership
Broker Model
Others?

9. Going it Alone: Pros Cons Avoid entanglements inherent in partnerships
No revenue split
Complementary knowledge, skills, capabilities, brand
Cons
Risk
No gains from what partner would bring to the table

10. Academic Partnership:
Pros
Shared risk
Gains in knowledge, capabilities, brand, etc., from the partner(s)
Cons
Revenue split
Difficulties, delays associated with partnerships
Requires partnership management resources
“Partner” risk

11. Corporate Consortium:
Pros
Once established, a ready set of customers
Deeper, longer-lasting relationships
Cons
Difficult, time-consuming, and resource-intensive to establish
Difficult, time-consuming, and resource-intensive to maintain/manage

12. Non-academic partnership
Pros
Can select a wealthy partner (with “deep pockets” for advertising and marketing)
Partner’s local market expertise
Cons
Profit-driven partner’s mission may be incongruent with yours
Partner provides no faculty resources
Possible negative image / branding impact

13. Broker Model Pros Cons Choose “best of the best” faculty
Faculty will have local knowledge
No complicated partnership to manage
Cons
Feasibility
“Faculty” loyalty
Cost
Effect on brand equity (may be neutral)

14. Going global expands your brand but The cost is high
Final Thoughts
Going global expands your brand
but
The cost is high
Expenses
Opportunity costs
BUT
What’s the cost of not going?