Grolsch Case Study Essay

1489 Words Sep 19th, 2012 6 Pages
Grolsch Analysis
In November of 2007, SAB Miller purchased Royal Grolsch N.V. to develop their premium beer product line. Grolsch has two main brand families: Grolsch premium Lager and Amsterdam. The takeover gives SAB Miller the ability to attack the premium beer market with an established and standardized brand that has grown globally (21st largest global brand in 2007) with a differentiated taste and packaging strategy. In this analysis, I will evaluate the reasons for Grolsch’s global expansion, their ability to adapt their pricing, distribution, advertising, and distribution to global demand and their strategy to evaluate the potential of entering new markets with MABA (Market Attractiveness, Business Assessment framework). I will
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Larger markets also mean the potential for greater profit, so companies go global to seek new business opportunities and even to expand the range of goods and services that they offer. The company invested In the UK market and established a licensing partnership with Molson Coors in 2001. Molson Coors brewed and distributed Grolsch in this market and the UK accounted for 25% of company’s total volume. Grolsch also entered the US market and this represented 4% of the brewer’s volume in 2007. Similar to the Molson Coors deal in the UK, Grolsch established an agreement with Anheuser Busch to distribute their products. This deal was projected to make Grolsch a top 10 import in the US market by quadrupling its volume. However, this deal was ended after the acquisition of by SABMiller. Grolsch also expanded globally to take advantage of under-exploited regions after political change. After the Cold War and the opening of markets in Eastern Europe, Grolsch saw opportunity in Poland and Russia. They purchased an indirect stake in a brewery in Poland in 1995 and financed 10% of capital in a small brewery in Russia in 1998. Grolsch also extended its reach to France in 1999 by setting up a distribution center. In addition, Grolsch made an investment in Portuguese distributor Cereuro, issued a license to Sleeman

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