CASE EXAMPLE Global forces and the European brewing industry This case is centred on the European brewing industry and examines how the increasingly competitive pressure of operating within global markets is causing consolidation through acquisitions‚ alliances and closures within the industry. This has resulted in the growth of the brewers’ reliance upon super brands. In the first decade of the twenty-first century‚ European brewers faced a surprising paradox. The traditional centre of the beer
Premium Beer Brewing
with the acquisition of Miller. External Analysis SABMiller’s business strategies are influenced by the forces in its external environment. PESTEL and Porter’s five forces framework are used to analyze these factors influencing the firm’s macro-environmental and industry sectors respectively (Johnson et al‚ 2008‚ p.55). From SABMiller’s PESTEL Analysis (Appendix A) and Porter’s Five Forces Analysis (Appendix B)‚ the key external drivers of change affecting SABMiller are ; Political Threat
Premium Developed country Emerging markets Developing country
Political According Blee and Whittington (2011)‚ government in western countries are introducing different laws in order to discourage different type of drinking which might result into accidents or health problem. Government in the United Kingdom has put a certain limit on drink driving which is over 80 milligrams of alcohol per 100 milliliters of blood as stated by direct.gov.uk (2011) and the drivers whom are found guilty might face driving ban. Economical There are several factors which
Premium Beer Brewing Western world
danskernes holdninger til alkoholforbrug og alkoholpolitiske spørgsmål"‚ Nordisk Alkohol- & Narkotikatidskrift‚ vol. 24 Falk-Sørensen‚ P Gugler‚ K.‚ Mueller‚ D.C. & Yurtoglu‚ B.B. 2005‚"The Determinants of Merger Waves". "Heineken NV Annual Report 2008"‚ Heineken NV Kent‚ P. 2008‚ "Law of the European Union"‚ Pearson Education Limited. Konkurrencestyrelsen 2000‚ August 18-last update‚ "Carlsberg overtager Albani" Kragballe‚ S. 2009‚ "Carlsbergchef: Hvilken krise?"‚ Jyllands-Posten. Kragballe
Premium Beer Strategic management Game theory
Global&forces&and&the&Western&European& brewing&industry& By#Mike#Blee#and#Richard#Whittington# ! This#case#is#centred#on#the#European#brewing#industry#in#Western#Europe#and#examines#how#the#increasingly# competitive# pressure# of# operating# within# global# markets# is# causing# consolidation# through# acquisitions‚# alliances#and#closures#within#the#industry.#This#has#resulted#in#the#growth#of#the#brewers’#reliance#upon#sperC brands.# # In!the!early!years!of!the!21st!century‚!European
Premium Brewing Beer Brewery
Strategy and Strategic Analysis GEST-S-468 Pr Manuel Hensmans MonUniversitéVirtuelle • Please check regularly! – http://strategy.skynetblogs.be/ – http://uv.ulb.ac.be • Syllabus‚ slides‚ case info‚ e-clip info • Exam info! 2 Overview Course • Introductory Class 1: What is Strategy? (19/09/2011) • Part I: The Strategic Position What is our current strategic context? – Class 2: The Environment (3/10/2011) – Class 3: Strategic Capabilities (10/10/2011) – Class 4: Strategic
Premium Strategic management Strategic planning
Case Study #3 Corona Beer: From local Mexican Player to a Global Brand 1) What are the dominant business and economic characteristics of the global beer industry? Business Characteristics: - Extremely competitive - Private label dominates - Few large companies producing many labels - Local government regulations Economic Characteristics: - New markets need to be discovered - Saturation of existing markets - Foreign exchange rates The global beer industry continues to be extremely
Premium Beer
Scenario Diageo Africa is a £1bn net sales value‚ £300m trading profit drinks business that operates in over 40 markets across Africa through various business models including publicly quoted companies‚ joint ventures and licensed brewing arrangements. In Nigeria it trades under the name Guinness Nigeria and will be referred to as such from this point. Over the past few years Africa has been Diageo’s most dynamic growth region‚ delivering the highest proportion of its global growth. Guinness
Premium Marketing Marketing plan
To some extent the risk will be mitigated by a trusted and strong underlying mother castle brand. The competition is fierce and the on-going subject of raging debate in drinking circles. Competitor offerings must be taken head-on. Draught such as Heineken and Windhoek enjoys an appeal similar to Coca Cola in its pervasiveness and intensity‚ and therefore presents a very serious sustainable challenge. Castle Draught as a variant to Castle Lager has not enjoyed sufficient differentiation in its initial
Premium Marketing Brand Brand management
businesses to help achieve global stand points. Major Competitors Heineken: this is Modelo’s main rival in the international market. Heineken markets its beer as a premium import – old and respected recipe for taste – “high quality product.” It is very controlling over its marketing and advertising strategies‚ however‚ campaigns weren’t getting to local customers. Thus‚ fail to increase the market share for quite some time. Heineken is the only dominant importer that has local brewery. It owns and
Premium Marketing Beer Alcoholic beverage