Global Forces and the European Brewing Industry

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Executive Summary The purpose of this report is to use the information provided in the case study to carry out an industry analysis of the European brewing industry using a PESTEL and Porter’ s Five Forces analysis’. Based on the outcome of the industry analysis, a further analysis using the SWOT model is used to better understand Heineken’s position within the European brewing industry. Journal articles, newspaper articles and books have been used to support given trends stated in the case study. The main findings in regard the analysis conducted concluded that the European brewing industry in is decline, due to the growing number of substitute products in the market, governmental campaigns against drunk driving, binge drinking and the affects of alcohol on health. Introduction The purpose of this report is to examine and analyse the European brewing industry using a PESTLE analysis and Porter’s Five Forces analysis. Based on the results and findings of the PESTEL and Five Forces analysis, a conclusion will be formed, and will assist in determining the implications of the given trends on the Heineken brewing company. The case study provided discusses the European brewing industry and how global forces are having a great impact on it. It discusses how different the different companies within the European brewing industry are trying to overcome certain obstacles, which are having a detrimental effect on them. The obstacles mentioned include the increasingly competitive global market, which, in turn, is creating consolidation through acquisitions, alliances and closures within the industry. The case study discusses how companies are now placing a greater importance on branding and innovation, due to various governmental campaigns against drunk driving, the health implications from drinking and binge drinking. The data and information used in this report

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