AB InBev Beer Globally and Creating Value Discussion

Eastern Oregon University AB InBev Beer Globally and Creating Value Discussion

Reread the Management Focus: “AB InBev, Beer Globally, and Creating Value,” and then answer the following questions:

With more than 200 brands and strong coverage internationally of the different brands, strategically AB InBev is a unique and highly organized global company. Do they have too many brands? Why or why not?

The company follows a focused brands strategy in which the majority of the resources are devoted to those brands that have the greatest long-term growth potential. What positives and negatives do you see with this approach?

Strategically, AB InBev has 10 principles driving everything they do. At the core, AB InBev is focused on a shared dream that energizes everyone to work in the same direction to be the best beer company in the world, bring people together, and aspire for the betterment of the world. Additional principles cover people strengths, quality of teams, striving for increased satisfaction, consumer focuse ownership and common sense simplicity, cost management, leadership, and hard work and responsibility. Should large multinational corporations really be built on strong principles or do they need a more flexible structure?

Question 2

Review the Management Focus “Tesco’s International Growth Strategy,” and then answer the following questions:

Why did Tesco’s initial international expansion strategy focus on developing nations?

How does Tesco create value in its international operations? In Asia, Tesco has a history of entering into joint-venture agreements with local partners. What are the benefits of doing this for Tesco? What are the risks? How are those risks mitigated

When Tesco decided to enter the United States, this represented a departure from its historic strategy of focusing on developing nations. Why do you think Tesco made this decision? How is the U.S. market different from other markets that Tesco has entered?

Question 3

A firm based in California wants to export a shipload of finished lumber to the Philippines. The would-be importer cannot get sufficient credit from domestic sources to pay for the shipment but insists that the finished lumber can quickly be resold in the Philippines for a profit. Outline the steps the exporter should take to effect this export to the Philippines.