Red Bull Case Analysis

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Red Bull Case Analysis 1. Introduction Red Bull is the market leader in energy drink market for many years and its core product is popular among young people. Moreover, more than 160 countries are selling Red Bull till 2011 (Red Bull Website, 2011). However, there are many challenges that facing Red Bull so far. Therefore, this essay is aim to analysis Red Bull’s current market strategy from marketing environment, product mix, promotions and distributions to give suggestions for the company to adjust in future. 2. Red Bull’s global marketing environment analysis--- PEST Analysis & SWOT Analysis 3.1 PEST Analysis Political / Legal Factors Firstly, Red Bull introduced to the market as an energy drink in 1987 at Austrian?? and its unique formulate?? can become an attractive drink to the marketplace, however, because of the special ingredients that Red Bull is restricted in many countries (Red Bull Website, 2011). For instance, according to The Food & Drink Innovation Network (2011), the United States’ latest news shows that the politicians are preparing to vote on a new proposal that forbid to sale any drinks which contains 80mg or more of caffeine to teens. Therefore, if approved that the ban will become a significant threaten for Red Bull’s development in the U.S., as well as Denmark and Norway and Canada (Count on 2 News, 2011). Economic/Currency Factors Secondly, economic factor is the most paramount one within the global market environment (Keegan, 2002). Due to the global financial crisis since 2007, Red Bull’s revenue was decreased 1.7% on 2009 (Earth Times, 2010). However, as Bank of America reports (2010), global economic recovery followed a slow but stable trend since 2010. Whereas, Red Bull reports that it has a magnificent sales volume in many markets, which was increased by 7.6% year on year (Red Bull Website, 2011).

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