SABMiller Case Analysis Study Example | Topics and Well Written Essays - 2000 words

SABMiller Analysis - Case Study causeThe outdoor(a) environment for SABMiller in 2010 was conflicted by the in faculty to differentiate certain products in its portfolio of brands, namely the take fire beer categories, which accounts for 40 percent of total beer sales in the U.S a significant volume. In Western Europe, well-established indemnity brands were estimated to be driving consumer demand based on their buying trends. This was a difficulty discovering that new decision maker leadership worked toward reducing the Miller brand portfolio from 50 down to just 10 or 12 products. Divestment of premium brands that occurred during the earlier part of the 2000s seemed to limit the ability of SABMiller to re-establish brand presence for low-performing beer. Clearly, SABMiller is affected by the consumer doings preferences driven by trends or consumption patterns and must reengineer processes to meet these changing demands. In 2010, it was also transcend that SABMiller is impact ed by events in the external commercialize, such as South African AIDS pandemics, authority in certain currency markets related to the stock market and trading, and other events that limit their short-run potency to gain revenue and/or market share. However, SABMiller understood these limitations and worked to leverage other activities to the best of their ability, especially considering that just about external events like the AIDS scenario was completely outside of the control of strategic leadership and focus. Additionally, the external market was driven by articulatio ventures from some of the major players in the beer industry, thus limiting the ability to consider this a quality strategy that had once served them well, such as with Coors and other brands. Even though these had short-term revenue opportunities and cost reduction improvements, or streamlining operational functions, their long-term value was diminishing. The external market provided opportunities to go res ources with competition, however this strategy has long-term brand problems at the marketing level when similarly-priced products in a joint venture are competing with one another. Thus, finding new opportunities based on the external market characteristics were enough increasingly difficult to innovate and implement. SABMillers competitive advantage SABMillers competitive advantage had been the ability to coordinate resources for acquisitions in order to extend their portfolio of brands across Europe, emerging economies and the United States. This drove considerable supremacy from 2001 until 2009, such as the acquisition of Grolsch, Sarmat Brewery in the Ukraine, and multiple brewery purchases in the Chinese market. As indicated by the high societys cash flow statements, the improvement in total brand portfolios gave it more resources to seek acquisitions as a strategy for long-term growth and opportunity in emerging economies and locally. SABMiller fits the profile of a strateg ic leader when it comes to seeking opportunity through acquisition and divesting poor performing brands when required through external analysis and business process reengineering.