Recommendations of Sabmiller Vs Anheuser-Busch: The Takeover Battle For Harbin Brewery Case Help

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Recommendations of Sabmiller Vs Anheuser-Busch: The Takeover Battle For Harbin Brewery Case Study Analysis

RecommendationsOn the basis of above internal and external analysis of the business in addition to the evaluation of various options, the business is recommended to consider alternative 3. As alternative 3 would allow the company to expand in global markets without any decrease in its regional earnings and any degeneration of its market position. By considering Alternative 3, the company might keep its shop experience and brand name uniqueness. However, it could likewise think about alternative 2 that could allow the business to access the markets with no prospective financial investment. The company might pursue alternative 1 which would make it possible for the business to focus on potential global markets rather than the regional markets but as the business is extremely reliant on the regional markets with 90% of its shops in the US, there fore pursuing option 1 would result in the significant decline in business's profits. The company is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Sabmiller Vs Anheuser-Busch: The Takeover Battle For Harbin Brewery Case Solution Stores

International SegmentsThe company has a long term market position in US which can not be created quickly in the brand-new markets. The option would assist the business to expand in international markets along with the elimination of concerns raised in its regional markets related to its diversity.

Pros:

• Exploration of new international markets.
• Increase in profits from international markets.
• Removal of concerns associated with variety.
• Revenue diversification.
• Step towards being a strong global brand name.

Cons:

• Loss of extensive profits from the regional markets.
• Boost in competitors.
• Differences in cultures might caused a failure of the brand name especially in Asian nations.
• Low incomes at initial levels.
• Boost in marketing expenses to get market share.

Alternative-2: Introduction of Click and Recommendations of Sabmiller Vs Anheuser-Busch: The Takeover Battle For Harbin Brewery Case Solution Stores

Alternative 2 consists of the intro of online market places through generating a correct business's site. With the increased patterns towards online shopping, the online shops like Amazon, Alibaba and so on might pose a serious threat to the market share of business. The competitors are shifting towards click and Recommendations of Sabmiller Vs Anheuser-Busch: The Takeover Battle For Harbin Brewery Case Solution shops with Gap introducing Piperline. This shift towards online markets could lower the profits for company. In this circumstance the company could consider presenting Click and Recommendations of Sabmiller Vs Anheuser-Busch: The Takeover Battle For Harbin Brewery Case Solution shops. These shops with a low requirement of funds to settle would make it possible for the company to reach global markets, without ending its domestic shops. The benefits and drawbacks of option 2 are given as follows;

Pros:

• Low investment
• Minimizing competition hazard
• Access to the world markets
• Enlarging customer base
• Easy to handle
• Large Revenues
• Low Operating Expense
• Easy new market entrance

Cons:

• Danger to the market position
• Elimination of brand Originality
• Removal of the excellent shop experience.
• Threat of decline in elite sales.

Alternative-3: Expansion towards International Markets Without closing Domestic Stores

Another alternative that the business could consider, is to broaden towards the worldwide markets without closing its domestic stores that contributes to the major part of incomes of the company. The benefits and drawbacks connected to Alternative 3 are provided listed below;

Pros:

• Lowering competition threat
• Access to the world markets
• Enlarging customer base
• Big Earnings
• Expedition of brand-new worldwide markets.
• Boost in profits from international markets.
• Profits diversity.
• Action towards being a strong international brand name.

Cons:

• Extension of concerns related to variety.
• Distinctions in cultures might led to a failure of the brand name specifically in Asian countries.
• Low revenues at initial levels.
• Increase in marketing expenditures to acquire market share.



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