Grolsch Case Study

3670 Words 15 Pages
Register to read the introduction… Furthermore, through strong and distinctive beers they want to succeed. As they are a medium-sized company it would be wise to join strategic alliances to strengthen its position. Otherwise it could easily be that big players that have vast economies of scale and a high financial power acquire Grolsch. Moreover, it would be good for Grolsch to offer products like the brewery “Mohrenbräu” in Austria. They offer for instance beer noodles, beer mustard, beer jam, beer cosmetic and so on. This company is having the authority from the government to sell the appreciated Americas miller brand in this country. As it is shown in the case that more than half of the sales are obtained overseas and there was no greater impact of restrictions and awareness on this company. Grolsh could improve their technology and manufacturing equipment. They should stop outsourcing to cut costs and improve on transportation and distribution methods and they should enforce these improvements in their brand. Grolsh need to exploit their alliance with US company Miller and merge with another US company to expand within the US market as they are based within a country where beer drinking is in a …show more content…
* The company has more stability and independence to grow steadily as it is family controlled business. * Enters new market through acquiring locally established companies. * Use experts and new technologies. * Leader in the European brewery business. * Strong brands: Heineken and Amstel. * Strengthens local companies by transferring expertise and technology. * Economies of scale for Heineken and the local beers.

Weaknesses:

* Lacking experts in top level as whole business is controlled by family members who may not have in-depth knowledge. * Price increase of packaging. Heineken complained of an 11 per cent rise in packaging costs in 2006. * Lack of innovation to meet consumers needs (changing tastes - flavoured beer)

Grolsch (The Netherlands)

Strengths:

* It has huge export business where half of its sale comes from overseas. * Innovation and branding are core strategy. * Centralization of production helps to improve efficiency and volume. * Manufacturer of flavoured beers.

Weaknesses:

* Lack of proper marketing strategy in the local

Related Documents