MKTG12.pdf - Anheuser-Busch in the Czech Republic In this...

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Anheuser-Busch in the Czech Republic In this activity, we will review a dispute between Anheuser-Busch and the Czech state-owned brewery Budejovicky Budvar over the use of the name Budweiser and its derivations. It is premised on the role that trademarks can play within an international marketing scenario. Here we focus on the importance of intellectual property. It contrasts the common law trademark prior use verses the code law registration issue. Businesses face a multitude of problems in their efforts to develop successful marketing programs. Not the least of these problems is the varying legal systems of the world and their effect on business transactions. Just as political climate, cultural differences, local geography, different business customs, and the stage of economic development must be taken into account, so must such legal questions as jurisdictional and legal recourse in disputes, protection of intellectual property rights, extended U.S. law enforcement, and enforcement of antitrust legislation by U.S. and foreign governments. A primary marketing task is to develop a plan that will be enhanced, or at least not adversely affected, by these and other environmental elements. Read the case below and answer the questions that follow. Anheuser-Busch (AB) launched a massive public relations program in the small Czech town of Ceské Budêjovice, where a local brewery produces “Budweiser Budvar.” Anheuser-Busch planted trees along main avenues, opened a new cultural center offering free English courses to citizens and management advice to budding entrepreneurs, and ran newspaper ads touting the possibilities of future cooperation.
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