BRL Hardy: Globalizing an Australian Wine Company What are the organizational and management challenges surrounding BRL’s international expansion? What would you propose to overcome these? The main challenge surrounding BRL’s international expansion was its merger with Hardy. Both companies were struggling financially and needed the skills of each other’s company to be successful internationally. Organization challenges dealt with how both companies were running their respected business
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BRL Hardy: Globalizing an Australian Wine Company 7/14/2014 Figure 1: Position of BRL Hardy Europe in “Roles for national subsidiaries” Matrix Given that the UK market accounted for two-thirds of BRL Hardy’s export sales‚ it is a strategically important market. BRL Hardy Europe was highly competent subsidiary‚ too. The managing director‚ Christopher Carson had 20 years’ experience in the wine business with particular expertise in Italian wines. He had a sharp eye to detect subsidiary’s
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A. Exploration of Issues A. 1. Merge Conditions Although BRL and Hardy were in the same line of business and had many of the same goals‚ these two companies were not initially looking to merge with any other company. However‚ in June of 1992‚ BLR Hardy was formed. Unfortunately‚ the merger was the result of Hardy’s financial crisis and BRL’s need for expansion. These factors drove the two companies to make a decision they may not have made if they were not looking for help. Both companies entered
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Case 7-2 BRL Hardy: Globalizing an Australian Wine Company Question 1: How do you account for BRL Hardy’s remarkable post merger success? There are a number of factors that account for BRL Hardy’s remarkable post merger success. First‚ the two companies had great strengths that they combined together. BRL had raw materials‚ money‚ and leadership‚ while Hardy had great marketing skills‚ a well-known brand and knowledge on how to make wine. Christopher Carson
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forces behind BRL Hardy to become a global company? BRL Hardy is the result of the merger of two competing Australian companies “Thomas Hardy & Sons” and “BRL” in 1992. While both companies were financially struggling‚ they believed that the merger would help them to cope with their problems as one big firm. Although both companies were following rather different strategies‚ this merger was a win-win situation. While Hardy was bringing in marketing expertise and winemaking know-how‚ BRL had access
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BRL Hardy Write-up What recommendation would you make to the organization concerning the conflicting proposals for Kelly’s Revenge and Banrock Station? What would you do as Carson? As Millar? Making a recommendation to BRL Hardy concerning the conflicting proposals for Kelly’s Revenge and Banrock Station is complicated. On one hand we have a parent company – and its top management – that aspires to become an “international wine company”‚ leveraging existing marketing capabilities and distribution
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BRL Hardy case 1. Explain how BRL Hardy was able to achieve such a remarkable post-merger success? What are its sources of competitive advantage? According to the case‚ before the merger of BRL and Hardy happened‚ the two companies have quit different strategies and organizations. Hardy was known for award-winning quality wines‚ while cooperatives specialized in fortified‚ bulk‚ and value wines; thus they brought marketing expertise‚ brands‚ and winemaking know-how which were BRL needed. BRL had
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rapidly growing demand from new consumers in nontraditional markets. BRLH’s roots could be traced back to 1853 when Thomas Hardy‚ a 23-year-old English vineyard laborer‚ acquired land and planted it with vines. In 1857 he produced his first vintage‚ exporting two hogsheads to England‚ and by 1882 he had won his first international gold medal at Bordeaux. When Hardy died in 1912‚ his company was Australia’s largest winemaker‚ but also one of the most respected. After his death his sons took over
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Case Study 1 : BRL Hardy: Globalizing an Australian Wine Company To: Chris Day‚ Group Strategic Planning Manager (BRL Hardy) From: Strategic advisor Re: Evaluation of BRL Hardy’s strategy for today and tomorrow Table of Contents: 1. Report Objectives 2. Executive Summary 3. Industry Background 4. BRL Hardy Background 5. Issues within the Wine Industry 6. Implications for Attaining a Position of Competitive Advantage 7. Recommendations 1. Report Objectives BRL Hardy wants to
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How do you account for BRL Hardy’s remarkable post-merger success? Prior to the BRL and Hardy merger both companies were rivals with diverse views of the wine industry. Due to the varying views both companies had different organizational structures and approaches. Hardy was a family owned business focused on producing great wine. In 1853 Thomas Hardy acquired land near‚ Adelaide which is in South Australia. Thomas used the land to plant vines‚ by 1857 he produced his first vintage‚ and two
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