Medtronic plc: Combating the Grey Market

Kersi Antia; Vivek Astvansh

Product #:9B16A003

Supplier:Ivey

Discipline:International Business, Marketing

Setting:Saudi Arabia, 2015

Details:Case (PDF) • 13 pages • 2016-12-20

Your Price:

$9.71

Purchase this material with a free Educator Account and enjoy more benefits:

Free Educator Copy
Free Teaching Notes
Build your coursepack
Discounted academic price

In September 2015, the marketing manager of the Advanced Surgical Solutions Division at Medtronic plc (Medtronic), Kingdom of Saudi Arabia (KSA), weighs his options as to how best to respond to yet another instance of “grey marketing,” that is, the unauthorized distribution of genuine branded products. The rampant parallel importation of one of Medtronics’ best-selling products—LigaSure Vessel Sealing instruments—has resulted in a much smaller-than-usual order from one of Medtronics’ most important customers, the King Faisal Specialist Hospital & Research Center. Medtronics' marketing manager must find a way to respond appropriately to the customer without risking the ire of his sole authorized distributor in KSA.

Learning Objectives

The case is suitable for use in the international marketing component of a general marketing course, or in elective courses on channels of distribution, international marketing, or pricing. After completion of this case, students will be able to:

understand product distribution across geographical regions;
infer how product, pricing, promotion, and distribution work together and sometimes at odds with one another; and
appreciate the subtleties of grey markets, their drivers, and the negative and positive consequences they pose for members of the value chain.

Medtronic plc: Combating the Grey Market

Subjects:

Industries:

Geography:

Learning Objectives