International Business on Heineken
IB assignment 5 and 6
5a) Identify 2 strategic objectives that your firm had for entering a specific foreign country.
In 2010 entered the Latin American market by acquiring the beer businesses of FEMSA in Mexico and Brazil. The FEMSA, Fomento Economico Mexicano is the largest Mexican and Latin American beverage company.1 Reasons for entering this continent is to achieve their goals, also mentioned as objectives in Heineken’s annual report. Two of these goals include Grow the Heineken brand and Capture the opportunities in emerging markets. Entering the Latin American market, would enlarge the brand awareness of Heineken. By aiming on expanding the brand name,The brand performance in 2012 was strong both in developed and emerging markets. It was particularly noticeable in Brazil, Russia, India, China and Nigeria where Heineken enjoyed double digit growth. This development was largely due to a global approach to brand management and to effective marketing. 2 Furthermore Heineken aims on capturing opportunities in emerging market, especially focussing on Mexico. Heineken has transformed its emerging market presence in recent years through a clear acquisition strategy, strong organic growth and joint venture partnerships. The beer volume increased from … in 2007 to…. In 2012. In mexico they continue to implement their value growth strategy following the acquisition in 2010. Focused brand investment behind new marketing campaigns and upgraded packaging have supported growth of Carta Blanca, Tecate, Dos Equis, So and India brands. In addition, increased outlet distribution and targeted activation programmes resulted in the Heineken brand volume more than doubling in 2012.
5b) Which foreign entry modes has your firm used in the last 6 to 8 years, and which mode was used for which country? Please also explain for one of the entry modes used whether you think that mode was the best one or whether another entry mode should have been used instead. Substantiate our
5a) Identify 2 strategic objectives that your firm had for entering a specific foreign country.
In 2010 entered the Latin American market by acquiring the beer businesses of FEMSA in Mexico and Brazil. The FEMSA, Fomento Economico Mexicano is the largest Mexican and Latin American beverage company.1 Reasons for entering this continent is to achieve their goals, also mentioned as objectives in Heineken’s annual report. Two of these goals include Grow the Heineken brand and Capture the opportunities in emerging markets. Entering the Latin American market, would enlarge the brand awareness of Heineken. By aiming on expanding the brand name,The brand performance in 2012 was strong both in developed and emerging markets. It was particularly noticeable in Brazil, Russia, India, China and Nigeria where Heineken enjoyed double digit growth. This development was largely due to a global approach to brand management and to effective marketing. 2 Furthermore Heineken aims on capturing opportunities in emerging market, especially focussing on Mexico. Heineken has transformed its emerging market presence in recent years through a clear acquisition strategy, strong organic growth and joint venture partnerships. The beer volume increased from … in 2007 to…. In 2012. In mexico they continue to implement their value growth strategy following the acquisition in 2010. Focused brand investment behind new marketing campaigns and upgraded packaging have supported growth of Carta Blanca, Tecate, Dos Equis, So and India brands. In addition, increased outlet distribution and targeted activation programmes resulted in the Heineken brand volume more than doubling in 2012.
5b) Which foreign entry modes has your firm used in the last 6 to 8 years, and which mode was used for which country? Please also explain for one of the entry modes used whether you think that mode was the best one or whether another entry mode should have been used instead. Substantiate our