Fuji Film vs. Kodak Film

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Contents

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A. B. C. D. E. F. G. H. I.

Introduction : theme Background Problem Solutions Choice Outcome Imagine Implications Conclusion : importance

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Dispute!

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Q1. State sovereignty(state interest) vs. Free trade
Q2. WTO

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Brands

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► A front runner ► Film technology : Advantage of technology ► Economy of scale : Productivity ► Global network : Large portion of market share ► Strong brand equity : brand awareness ▶ Product credibility ► ► ► ► A late starter Bearish brand awareness New digital technology : New market creation Low price & High quality

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States

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TheTheAntitrust and Trade Framework US Clinton Administration Systempresident’s primary vehicle The of antitrust regulation in laws 1994 midterm elections for negotiating and implementing the Sherman Act(1890) international trade policy The Clayton Act(1914) The Eastman Kodak Company of Rochester, New York

Problem
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The Rochester, New Yorkbased firm was the 247th largest company in the world with sales in 1995 of over $14.9 billion. It had 70 percent of the US market and 36 percent of the global market in color film. Over the years, the company had spent tens of millions of dollars on a “warm and fuzzy” advertising campaign promoting that special “Kodak moment”.

The Office of the United States The Celler-Kefauver Act(1950) Trade Representative (USTR) North American Free Trade trade advocate Free Agreement (NAFTA) A cabinet-level agency within the Executive Office of the President The General Agreement

The Hostile Congress Robinson-Patman Act(1936)

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on Quality of competition not to be injured The official held Tariff title of ambassador the (GATT) and directly responsible to both the Noncompetitive behavior interpreted president and Congress No more traditional trade as causing harm to specific individuals barriers :business or tariffs and quotas Effects Enforcement firms : doctrine tools Q1. ► Section 301 of the Trade Act of 1974 ≠ remote effect ► The dispute settlement procedures of Domestic policy instruments Antitrust lawsuits carried out the WTO with laws enforced by the courts

US antitrust antitrust law and the General Agreement Supporter of doctrine :

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States

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Problem
Fuji Photo Film

The legal framework for The main Peace Treaty View September 1951 of about the antitrust anticompetitive conduct Legalistic mechanism US sovereignty back to Japan General Douglas MacArthur : Fullfor protecting the quality Supreme Commander for of competition Allied Powers (SCAP) of Japan from 1945-51.

The constituent Amend Trade firms of Keiritsu the Association the old DemocratizationAct Japan of was Zaibatsu AML A bureaucratic approach reinstituted were drawn was to managing the together in 1953 repealed The

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Fuji Photo Film, founded in 1934, was the 338th largest company in the world with sales of $10.2 billion in 1995. The company, the largest manufacturer of film products in Japan, employed 29,903 people world-wide had net earnings of $685 million. It had about 70 percent of the Japanese market and 33 percent of the global market.

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economy through again Dismantling of zaibatsu “administrative guidance”

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Permit groups Zaibatsu :of of domestic manufacturing Legislation The in...
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