Porter's 5 Forces analysis of Brazilian Beer Merger Negotiations: Companhia Cervejaria Brahma Sa Case Help

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Porter's 5 Forces analysis of Brazilian Beer Merger Negotiations: Companhia Cervejaria Brahma Sa Case Study Help

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of Brazilian Beer Merger Negotiations: Companhia Cervejaria Brahma Sa Case Help could be conducted to develop various strategies utilizing the strengths of the business to get chances, get rid of weaknesses and to decrease the risks. It might also be used to evaluate that how specific weak points withstand certain chances and increase the dangers. The techniques drafted utilizing the Porter's 5 Forces analysis of Brazilian Beer Merger Negotiations: Companhia Cervejaria Brahma Sa Case Help are given as follows;
• Utilization of strong worldwide brand position and funds in broadening towards prospective markets.
• Unique brand name experience could help out the company to much better position itself in brand-new markets.
• Resistance in growth in the potential global markets motivating variety.
• High prices limits the growth in various Asian and African nations with low per capita income.
• Strong brand acknowledgment, non-traditional methods of marketing and the unique brand experience could be made use of to reduce the hazard from potential clients.
• Strict look policies might led to the consumer shift towards Victoria with high social responsibility.
• Restricted target audience might resulted in a decline in the overall market share of the company.
These techniques could help the business to improvise its market position and be at the leading position in the market.

Financial Analysis


Financial analysis for Porter's 5 Forces analysis of Brazilian Beer Merger Negotiations: Companhia Cervejaria Brahma Sa Case Solution could be conducted to examine the availability of funds to the company that could be used in expansion towards global markets. The financial position of the business could be assessed by using the data given up the case Exhibition 1. The ratios that might be thought about in monetary efficiency analysis are given in the Table 1 listed below;

From the above Table 1, it could be seen that the business has an affordable financial efficiency with a ROE of 7.9% and a high sales development of 18.4%. A 4.3% net profit margin does not appears to be potential and the business needs to put efforts in increasing its incomes along with decreasing its operational costs to increase its profit margins.

Porter's 5 Forces analysis of Brazilian Beer Merger Negotiations: Companhia Cervejaria Brahma Sa Case Solution

Segmentation

The division analysis includes the analysis of various company sections of the business in domestic and the global, markets. Most of the company's Brick and Mortar shops are located in United States consisting of above 500 stores in practically each of the state of United States. The company has likewise an international existence in 8 different countries with its greatest number of shops situated in United Kingdom i.e. 21. The companyhas a total of 54 shops in international markets that is probably the 10% of its shops in the United States. It indicates that bulk of the revenues of the company originated from the regional markets. The business is considering to broaden its shops into 7 more European and Asian countries. A chart revealing the presence of the business in various worldwide markets is given in the Appendix 2.

Targeting


The company targets its clothing brand to the young, tall and attractive teenagers and kids that are thought about to be cool. This targeting policy is responsible for various distinctions in the business connected to its competitors. The business hires excellent looking males and ladies for its shops and follows a stringent appearance policy to preserve destination of good-looking individuals towards its stores and provide a distinct brand name experience.

Positioning


The company has placed its brand name as a high-end brand targeting only a particular market segment. The business with its non-traditional methods of marketing through designs and agents posters its brand image as a high-end clothing brand name targeted to the cool and good-looking characters in society. This market position attracts numerous elite individuals towards the brand name however it harms the company's position in different communities focused at the equality in society.

External Analysis

Competitor Analysis


Porter's 5 Forces analysis of Brazilian Beer Merger Negotiations: Companhia Cervejaria Brahma Sa Case Analysis deals with a lot of competitors in the market with the existence of various number of rivals in the market. Space is also thought about to be a potential rival in regional as well as in worldwide; markets as the business is considering to shift in the worldwide markets.



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