Beer Industry (SABMiller) - Emerging New Markets

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Information about Beer Industry (SABMiller) - Emerging New Markets
Business & Mgmt

Published on March 2, 2014

Author: zeekwadhwani1



Beer Industry (SABMiller) - Emerging New Markets
by Nitin M Wadhwani


Brief : • • • • • • • Founded – 1895, Johannesburg, South Africa Multinational Breweries Company Headquarters – London ,United Kingdom World’s Second Largest Brewer Operation - 75 Different Countries Employees (Worldwide) – 70,000 (2011) Net Income - US$ 4.477 billion (2012)

Top Emerging Markets (Across the globe)     CHINA INDIA EASTERN EUROPE SRI LANKA

      Head Office : Bangalore, Karnataka Breweries: 11 Owned & 4 Contracted Company Size : 1001-5000 employees Annual Per Capita Beer Consumption (India) : 1.7 litres 20% Sales Growth : FY 2013 Major Brands : Peroni Nastro Azzuro, Indus Pride, Miller High Life, Foster's, Haywards 5000, Knock Out, Royal Challenge , Royal Challenge Strong

       Cheap Labour & Raw Material Development of Life Style Western Culture Adaptation Low Cost To Services Market Size Increasing Supply Chain Development Effective Distribution System

     Political Risk Competitor Risk Market Risk Cost Risk Management Risk

      Research before enter in new market Understand the difference between Market & People Efficient Strategic Planning & Implementation Monitor Political Environment Partnership with locals Cost Modification

Goal = Expanding Sales Motive = Maximizing Long-term Profits Few Steps To Adopt:     Differentiation Effective Positioning in Customer Minds Local Laws, Regulations, Policies Implementation of Western Trend in Asian Market

    Exporting Licensing Partnership Franchising Along with : Hard work, Flexibility, Effectiveness, Preparation

Dominant By Few Major Players For The Brands Like Foster’s, Miller, Peroni are :      Heineken Kingfisher Ultra Budweiser Leffe Blond Carlsberg They all Position themselves in “Premium Class” Other Players For Haywards 5000, Royal Challenge    Kingfisher Stong Magnum Corona Extra

Source -

 Threats Of Rivalry - Brewery from UB group named Kingfisher (Premium) is treated as the best rival  Bargaining Power Buyers/Suppliers - Respected, growing and globally strong brand  -  - Threat Of Substitutes Magnum, Kingfisher Draught, Budweiser's, Carlsberg Threat Of New Entrants Economies Of Scale

Thank You For Your Time 

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