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Vol. 81    September, 2007


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Honoring Shelly

No, the management hasn’t changed at McElroy! But instead of Shelly’s usual introductory message to you, it’s my pleasure to instead announce her 20-year anniversary with McElroy Translation on September 14.

Shelly was the backbone of McElroy’s sales operation for many years, until she became General Manager in early 1999. Since then Shelly’s leadership has been evident in the company’s business stability and values, technology advances, and growth in visibility and reputation. She is both an accomplished professional and a genuinely lovely person, who has earned the respect and loyalty of our clients and employees.

Please enjoy below our article and photos from Shelly’s anniversary celebration, her updated biographical profile, and the McElroy Gives Back feature on our donation to the Ann Richards School for Young Women Leaders in her honor. I hope you will join all of us at McElroy in thanking and congratulating Shelly on her many successes and sending her our best wishes for the future to sop@mcelroytranslation.com.

Kim Vitray, PHR

VP, Operations/HR Administrator

Q&A with Carol Webster of Cassell International

Carol Webster founded Cassel International in 2003 to provide strategic planning and marketing services for businesses that wish to enter or expand their presence in the global marketplace.

Carol has over 25 years of experience in the U.S. and Europe in international marketing management, in such diverse fields as engineering, automotive, apparel machinery, specialty food and industrial textiles. Her expertise lies in the areas of strategic business planning, business analysis, marketing management for consumer and industrial products, establishment and management of worldwide agent/distributor/sales networks, and corporate communications. Carol has excellent professional and personal contacts the world over, and her reputation for efficiency and performance is unmatched.

She has spoken at conferences worldwide, including the U.S., Czech Republic, Germany, Brazil, Australia and the People’s Republic of China, and is currently teaching marketing and international business classes at the University of Phoenix in Nashville.

In addition to speaking English, Ms. Webster is fluent in German and conversant in both French and Spanish. She has traveled extensively for both business and pleasure (at last count more than 70 countries), and is well versed in cross-cultural communications.

To learn more about the Cassel International's global business services,click here.

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You have an extensive background in international marketing management, both here in the U.S. and Europe. What are the key features of a strategically successful international marketing approach for companies today?

In a word, the key to a successful international marketing approach is differentiation. To be able to supply the appropriate product or service overseas which meets your customer’s need requires you to understand differences in culture, economy, competitive landscape, technical standards, government regulations and distribution systems and adapt your product, service and perhaps even selling or marketing approach accordingly. For example, if you are selling a refrigerator in a different country, you may need to consider consumer space requirements in a typical living space, shopping frequency and number of family members (as an indicator of possible size requirements), color preferences, what kinds of food purchases are typically stored in the refrigerator and what shelving/bin styles are necessary to accommodate them and other factors.

How does this approach differ for companies marketing to consumers (B2C) than businesses (B2B)?

The basic approach is not different. However, there tend to be more issues to consider in B2C than B2B, simply because of deep-rooted traditions and preferences, especially when it comes to consumables in the area of food and beverage, and products which carry some scent. Coffee may not achieve acceptance in a predominantly tea-oriented society; frozen foods may be an affront to societies who place high importance on fresh foods and their preparation, and a fabric softener sheet with “soothing lavender scent” which is well received here in the U.S. may be totally inappropriate in some countries!

How do international marketing challenges typically differ for smaller or start up companies than for larger or well-established companies?

Small or start-up companies often do very well in international marketing! In fact, according to figures released by the U.S. Small Business Administration, small businesses (categorized as those companies with 500 employees or less) not only represent 99.7% of all employer firms, employ 53% of the workforce and account for 51% of private sector output, they also represent 95.7% of all exporters in the U.S. and contribute almost 30% of the value of exported goods. However, the biggest challenge for smaller companies is simply not having the staff, time or expertise to devote to developing a well thought out international marketing strategy or plan. Larger companies usually have much better access to the necessary resources they need to be successful, and are probably not relying heavily during their starting international business phase on the revenue from that sector.

Which industries or business sectors have developed the most comprehensive international marketing strategies and why do you think that is?

It’s interesting to look at the Top 100 Brands published yearly by Interbrand Corporation, and see what changes have occurred and which brands are considered to have a truly “global reach” today vs. several years ago. One of the qualifiers for consideration to be named to this list is that the company must obtain at least one-third of its earnings outside its home country (which does eliminate some fairly large companies/brands such as Wal-Mart). For example, Interbrand’s 2007 rankings show the Top 10 global brands as Coca-Cola, Microsoft, IBM, GE, Nokia, Toyota, Intel, McDonald’s, Disney and Mercedes. In the last three years, there has not been much change on this Top 10 List, with the exception of Marlboro not surprisingly dropping out and Mercedes moving in. Certainly computer, telecommunications and consumer products companies have dominated as global brands; financial services and pharmaceutical companies are moving up in the ranks, as are Internet services, personal care and luxury goods producers.

Which industries or business sectors could still benefit the most from developing a more global approach to marketing?

In general, I believe the services sector continues to lag behind companies producing and selling products in any industry. So many service companies are geared toward fulfilling a need in their immediate regions, and oftentimes it’s difficult to see how it would be possible to increase their geographic customer base. That could begin to change as people see how some services are easily performed from other areas; a case in point is of course the call service centers springing up elsewhere which are providing product and technical support for large companies from remote locations. Just recently, a Nashville, Tennessee-based disease management company (Healthways, Inc.) signed its first international contract to provide coaching, education and guidance over the telephone and by Internet to a German health provider.

I also think franchising will continue to grow as a way for service businesses to expand geographically.

Which economic and technology trends do you think will have the greatest impact on international marketing in the next five years?

Certainly from an economic standpoint global trade will increase further as trade and investment barriers continue to disappear; as a result, I would expect to see countries which might be classified as less developed today continue to benefit from increased trading opportunities. In concert with that trend, I would expect the U.S. to continue to move toward becoming “just another country” rather than a world business leader as more and more multinational firms originate elsewhere and the capital markets worldwide move to reflect that change. 10 years ago, over half of companies classified as multinationals (MNCs) originated in the U.S. or Japan; today that number is smaller, and more MNCs are originating in Asia-Pacific and Latin America, where economic growth has been strong. According to Gerald Davis of the University of Michigan, by 2005 all but two of the world’s 25 largest corporations were listed on the New York Stock Exchange (the exceptions being Germany’s Volkswagen and France’s Carrefour) and there were more foreign firms listed on the NYSE than there were German firms on the German stock exchange.

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“

“The here and now is all we have, and if we play it right, it’s all we’ll need.”

—Governor Ann Richards

”

Shelly Orr Priebe, President


Shelly has been with McElroy Translation for 20 years, beginning in sales and then serving as its chief executive officer since 1999. She values the mentoring provided by both Bruce Farmer, the General Manager who guided the company’s growth and direction for the previous two decades, and Ralph McElroy, the company’s founder.

Shelly was raised in the cornfields of Illinois and attended Normal High School (no kidding!). But she felt anything but normal, and the world beckoned. She majored in French at the University of South Alabama on a Junior Miss scholarship, then completed an MBA in France and traveled extensively.

Going to work in Austin, Texas, for McElroy in 1987 was a perfect fit for Shelly’s educational background in languages and international business. It also suited her yearning for cultural diversity, an eclectic work environment, and ongoing intellectual stimulation. Shelly says, “I feel lucky every day to have landed in the perfect place for me at an early stage in my professional life.”

Shelly is married to husband Chuck and enjoys a chaotic household filled (so far) with the joy of three daughters, ages 13, 10, and 7. She volunteers in first grade, teaches a team-building curriculum to fourth graders, coaches volleyball, and teaches Sunday school. And by the time you read this, Shelly and Chuck will be welcoming into their lives a new baby boy!

McElroy gives back

Ann Richards School for Young Women Leaders

In Honor of Shelly Orr Priebe

McElroy gives back this month with a donation to support the Ann Richards School for Young Women Leaders, in honor of our President, Shelly Orr Priebe, who celebrates 20 years with our company on September 14. Shelly’s warmth, generosity, and leadership remind of us the charismatic former Governor Richards of Texas, and we could think of no better way to pay tribute to Shelly than to help other young women follow in both their footsteps.

The Ann Richards School for Young Women Leaders (www.annrichardsschool.org) is a unique all-girls public school founded to educate young women and give them the confidence and skills necessary to succeed in college, in their careers, and in their communities. The school’s vision is to focus on the whole girl, providing academic and enrichment opportunities that will engage the students, expand their horizons, and give them the tools to achieve their dreams. The Ann Richards School began classes on August 27, 2007, serving 115 girls in sixth and seventh grade. A new grade will be added each year with twelfth grade in 2012.

Contact Lisa Siciliani to learn more about McElroy Gives Back or to make a suggestion for a future charity to be featured in this section.

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Czech Culture

by Lauren Nemec

The Czech Republic is an incredibly beautiful country with a rich history, fascinating people and an abundance of business opportunities. Yet the country remains relatively obscure and unknown to Americans, many of whom still call it “Czechoslovakia.”

Whether you are enticed to the Czech Republic by its dramatic castles, famous beer, luxurious spas or cheap labor force, this modest guide to Czech culture should provide you with a deeper understanding of the country and its people.

The Czech People

A common first impression of the Czechs is that they seem cold and impersonal. To us warm and open Americans, this can be quite disheartening. It shouldn’t be taken personally, as Czechs are very private people. They have a smaller boundary of personal space than Americans, but they guard it very closely. Though Czechs are used to being in close physical proximity to each other, they tend to keep others at an emotional distance and will not usually smile at, make eye contact with, or engage in small talk with strangers.

Americans are known for their ability to quickly and effortlessly form casual relationships, so it should come as no surprise that Americans are often frustrated at the difficulty of forging relationships with Czech people. In addition to their strong sense of privacy, years of foreign invasions and occupations have perhaps made the Czechs slightly distrustful and fearful of strangers or foreigners. Therefore, it takes a long time and a great deal of trust to overcome a Czech’s boundaries and fears and develop a friendship with him. Once you do, though, it will be a rewarding and lasting friendship.

When you do get to know them, you’ll find that Czechs have a unique sense of humor, best described as ‘mischievous’. Jara Cimrman, for example, is considered to be a national hero, having been the first man to reach the North Pole and the inventor of dynamite. Actually, Cimrman is no more than a figment of the Czech imagination, but Czechs still enthusiastically pretend he existed. They’ve even built a museum in honor of Cimrman, which often fools tourists into believing this extraordinary person really existed.

Money Matters

Czechs have not always lived in a consumer-oriented society. During the communistic era, goods were scarce and stores offered poor selections. People had to make do with what was available and everybody usually had the same things. For example, many Czech families have the same china collection, called the “Blue-Onion” pattern, because it was the only nice china collection available for a very long time. People who had something rare, unique or expensive were often the object of gossip and envy.

When my husband was a child, he was taken to the store every year on his birthday to choose one toy. When his mother took him to the store for his birthday after the Velvet Revolution, he looked at the wide selection of toys and burst into tears sobbing that he would never be able to choose just one thing. When Czechoslovakia entered a free market economy, more goods were available than ever before and Czechs suddenly needed to develop the ability to make complex purchase decisions. This proved difficult, as Czechs wanted to buy everything they had been denied for so long, yet they did not have the purchasing power to buy it all because salaries remained very low. Unfortunately, this caused an envious mentality and lust for money to emerge among Czech people.

Doing Business with the Czechs

The Czech Republic is an attractive offshore location, primarily because of its cheap but highly educated labor force. However, the differences between American and Czech business cultures can often cause frustration for American businesspeople.

Communism adversely affected the way Czechs do business. For example, customer service, quality and efficiency weren’t highly valued under socialistic rule, so Czech businesspeople have had to learn (or re-learn) how to do these things that we Westerners take for granted. You may find that these concepts aren’t yet up to Western standards in some situations. Processes might not be clearly defined and the pace of work and decision making may be slower than what westerners are accustomed to. However, one should not assume that the Czechs are in the Dark Ages. Though they don’t have as much experience in the free market economy as Western countries, the Czechs are quick learners and seem to be adapting quite well.

Czechs have a strong aversion to the unknown. In business, this certainty avoidance means that Czechs tend to need lots of time to consider their choices and weigh the options in their mind before making a decision. Plans are made slowly and methodically and details are pored over. It also means that Czechs tend to be nervous about taking risks and making changes. A French expatriate manager of a large financial institution in Prague once described to me his difficulty finding Czech managers willing to relocate to France.

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Anniversaries

McElroy Translation appreciates the business of the following clients and announces the anniversaries of these client relationships:

15 year

  • Alcon Labs

10 year

  • Akin Gump Strauss Hauer & Feld LLP

5 year

  • Cabot Performance Materials
  • Charles S. Guenzer, esq.
  • MedImmune
  • Procter & Gamble - MicroBiology
  • Reedfax

McElroy’s Vision Statement
Setting the industry standard in customer satisfaction

McElroy’s Mission Statement
McElroy Translation provides translation and localization services in all languages to business and government clientele enhancing their ability to compete in global markets.

September promo

Gymboree’s clothing and accessories are designed and crafted to withstand rugged play while letting kids be kids in styles they love to wear. Available in sizes newborn to 9 years, Gymboree clothing is designed with colorful, versatile fabrics, whimsical graphics and detailed touches. Enter for a chance to win a $200 gift certificate and GO SHOPPING!


McElroy President Celebrates 20th Anniversary

On September 14, 2007, McElroy Translation President Shelly Orr Priebe celebrated 20 years of service and leadership with the company.

Employees, translators, family, and other special guests joined together the day before in a festive celebration that included balloons and banners, champagne and good food, kind words and meaningful gifts.

We began with a champagne toast to a tearful Shelly, thanking and congratulating her for 20 years of service and leadership.

Several employees then said a few words in honor of the occasion, including Account Managers Tina Cargile and Olga Kopp, Director of PMO Patricia Bown, Proofreader Clay Browne, owner Diane McElroy, and Shelly’s husband Chuck, who brought along photos of Shelly on her first day of work at McElroy 20 years ago!

Account Manager Tina Cargile says a few words about her 17 years of working with Shelly.

More of the McElroy team listens intently to our speakers.

Shelly Priebe and Diane McElroy

One of Tina’s stories was particularly poignant, as she related a day many years ago when she found herself in a difficult situation and needed to resign immediately.

Tina recalls that instead of asking about undone projects and tasks, Shelly asked her three things: “Are you okay? Will you be okay? Would you like to take my cell phone with you?”

That kind of care and concern has been a hallmark of Shelly’s leadership.

We then presented Shelly with three very special gifts. The first was just for her, a gift certificate for a full day of services at Lake Austin Spa Resort.

The second gift was for Shelly and her family, because we know that people don’t reach a 20-year anniversary without the support of their families.

We hope they enjoy the gift certificate from Evergreen Studios for a family portrait session and photographs.

VP of Operations Kim Vitray and Shelly

Our third gift was a donation in Shelly’s honor to the Ann Richards School for Young Women Leaders (see McElroy Gives Back, elsewhere in this issue of E-Buzz). We were especially pleased to have Governor Richards’ daughter Ellen Richards with us at our celebration, to accept the donation and say a few words about the school’s mission and purpose.

Ellen Richards

Our celebration was capped off by a delightful lunch catered by Old Pecan Street Café, which is an Austin institution that was once owned by our founder Ralph McElroy. We wrapped that up with chocolate cake, followed by nap time at McElroy Translation!

Celebrating remarkable people

For our August promo, we decided to celebrate Ralph McElroy’s life and recognize all those kindred spirits out there, by inviting our readers to nominate someone they know who has a true indomitable spirit and joie de vivre, like our founder.

We picked Regina Harper of Milliken’s nominee:

Alice is an administrative associate at Milliken. She is one of those people who is always smiling and is willing to help out whenever she is needed. No matter how busy she is, she won’t say no when asked for help. She just finds a way to make things happen and keeps a smile on her face.

Thanks to all of you who participated, and we look forward to seeing your September promo entries.

Q&A with Carol Webster of Cassell International

continued

From a technology standpoint, we will continue to see an increase in e-commerce globally. The world is definitely moving away from a “U.S.-centric, English-speaking web.” The International Data Corporation states that the number of American Internet users dropped from half in 1998 to less than one third in 2004. The use of the Internet will certainly allow companies easier access to competitive intelligence as well as other information they need to move their company or products into a new geographic area. Although weblogs (“blogs”) have traditionally (can you say “traditionally” about a phenomenon that is only a few years old???!!) been personally published, as companies continue to gain sophistication in the international marketplace, there will be most likely be increased use of blogs by corporate entities.

Because of the continuing threats and risk of terrorism worldwide, I would expect to see new technology related to tracking and inspecting international freight, particularly containerized ocean freight.

What criteria help you and a prospective client determine if their company can benefit from international business planning consultancy?

Typically, we work with prospective clients to truly understand their motives and reasons for wanting to expand internationally. We spend a lot of time in an initial “discovery meeting” asking a series of introductory questions which might include:

What are your primary reasons for “going global”? (for example: too much competition in home territory, starting to get inquiries for product from overseas, losing market share in home market, product at end of life cycle in home market, etc.)

What kind of international business or marketing expertise, if any, do you have on staff?

In your long-term strategic planning, have you established a goal for the level of international business you wish to achieve (can be %, $)?

Why do you think (and this is before we would get involved in any market research) your product or service would be a success elsewhere? What indicators do you have already?

Based on those initial answers, we would determine if we see an initial possibility for moving forward and develop a market research plan to determine product/service sales feasibility. And of course based on our findings, we would recommend either a “go” or “no-go” strategy as a result.

What do you find surprises companies the most about strategic international marketing?

One of the biggest surprises for my clients has been the complexity of international business in general! Although the principles of marketing in general don’t vary much, there are the differences I’ve mentioned previously. And in addition to those differences, the issues of payment terms, establishing the creditworthiness and/or credibility of potential clients, customers and distribution partners, pricing, logistics and transportation and many other issues come into play and have to be considered.

Given your global business expertise, which industries are leading the way in international trade growth between the U.S. and the following markets: China? Brazil? Russia? Eastern Europe? Mexico? Are there other regions where specific U.S. industries should be planning for entry or growth in order to be competitive?

China is in a position to be a huge consumer now of natural and other resources to fuel its rapidly growing expansion in manufacturing and industry. According to the U.S. China Business Council, China is the U.S.’s fourth largest export market; exports to China increased 157% over the period of 2000 – 2005. Tennessee exports alone to China grew 802% over the same period (in 2005, Tennessee was the No. 6 exporting state to China with a total of US$1.4 billion); although cotton makes up about half of that figure, other strong areas continue to be chemicals, electronics and machinery. We can expect to see further growth in exports of machinery, chemicals, transportation equipment and even computers and electronic products to China.

All of Eastern Europe has a need for updating its infrastructure, as well as its manufacturing base in a variety of industries. Demand for production machinery and construction is particularly heavy throughout the region.

Because Brazil’s rampant inflation has stabilized to a great degree, it is much easier to look at bringing products into that area. The U.S. remains Brazil’s number one trading partner, and there are tremendous opportunities in several areas, including automotive and aircraft parts, oil field drilling and related equipment, cotton, and chemicals and fertilizers.

Although Mexico is highly dependent on its exports to the U.S. (more than a quarter of its GDP) there are a number of opportunities due to its open economy and of course NAFTA. Strong areas for imports from the U.S. continue to be motor vehicle parts, chemicals and electronic equipment, some of which is inter-company trade as U.S. companies have established lower-cost manufacturing operations in Mexico.

Thank you for talking with us today. Before we wrap up this interview, would you share a story or two from your own international travels?

Gosh, so many stories to choose from – I’ve even thought about writing a book incorporating all of them!

Certainly over my travels I’ve experienced some very interesting food offerings! My goal is to always try everything at least once……and I’ve certainly eaten a few things that qualify for only once. Once I got over the appearance of the small bowl of white worms (actually smoked baby eel) that I was served in Chile, the dish was absolutely delicious! I can say the same for the live snake that was brought to my table in Shanghai before dinner for a brief introduction before being taken off to be cooked and returned. But the barbecued beetle whose legs got stuck in my teeth I could easily do without!

I did a trade show in Nagoya, Japan a few years back, and it involved the setup of some fairly complicated industrial equipment. I had everything well in hand, my flight over was perfect, but my luggage was three days late. Trying to keep the weight of my carryon briefcase to a minimum, I foolishly packed all the trade show papers and confirmations in my suitcase….needless to say trying to reconstruct all the orders for electricity, forklift drivers, and whatnot was an absolute nightmare! And to top it all off, I took a tour of the harbor the second day I was there (my day to adjust for jetlag) and ended up accidentally throwing my Japanese phrasebook overboard.

In Iran, I once admired the lustrous, shiny, silky hair of a beautiful Iranian woman named Lily….again with my trusty phrasebook, I tried to ask her what she used to make her dark auburn hair so lovely. She wrote the name of the product down and even went to the store with me to purchase it. When I got back to the States, I dutifully washed my hair and plastered the product onto it, covered it with a towel and sat down to wait for the results….lo and behold, the towel turned bright red, and the henna concoction she had purchased for me turned my hair a dark eggplant shade! Not quite what I’d had in mind…..although it was shiny!

Although there are countless tales of lost luggage, wrong turns, decidedly unusual hotels (including one in Italy that had a shower so small you couldn’t lift your arms to shampoo your head!), bizarre air travel incidents and unfortunate misunderstandings due to language issues and more, I wouldn’t trade any of it for the world! The memorable experiences I’ve had and the wonderful people I’ve met in more than 70 countries are an integral part of me and my thought processes today, and have certainly contributed to my understanding of the importance of patience, cross-cultural understanding and humor when traveling and working in the international business world.


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Czech Culture

continued

The company wanted the Czech managers to go temporarily to learn how to successfully run the company on their own, but most of the managers refused. It was an excellent opportunity with a generous salary and benefits package, so the French managers couldn’t fathom why any reasonable person would refuse the offer. When you consider the Czech fear of uncertainty, it becomes a little easier to understand their hesitation.

Though the Czechs have a relatively egalitarian society, they are formal people. Formal Czech is spoken in business situations and it is very important to address people appropriately. The Czechs strongly value academic achievement and are proud of their academic accomplishments, so it is important to use correct academic titles, if known.

A Final Word

This article contains many generalizations of Czech people and culture. Generalizations help us determine what to expect from people in certain situations, but should never be taken as absolute truths. I think you will find, as I have, that the Czechs will never fail to surprise you.

About Lauren Nemec

Lauren Nemec is the Marketing Manager at Translatus, Inc. She is a proud Texan and an alumna of The University of Texas at Austin. Lauren has been living in Prague, Czech Republic with her Czech husband for nearly two years. Lauren maintains a highly informative blog about important translation current events.


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