Stella Essay

1034 Words5 Pages
International Business in the Global Environment Case 3-4 The Global branding of Stella Artois   Executive Summary The case was about developing a global brand and its approach of development. Stella resolves the issue by gaining market share through acquisitions and joint ventures utilizing developing cities as markets rather than traditional vies as countries as markets. Stella was able to correctly develop a global strategy that transition easily to a global brand once the brand was identified. Analysis The hypothesis is that global branding can contribute to larger expanded market share. This case is about expanding globally and maintaining a well known brand. Stella Artois history begins by building its portfolio acquiring breweries across markets. Its acquisitions and joint ventures in various countries proved to have advantages and disadvantages. One of the main issues for the brewery was mature markets in North America which was a large percentage of consumption. Declining market in North America allowed for growth in emerging markets such as central and South America as well as Central/Eastern Europe, Asia and China. In order for these markets to be successful the company strategically consolidated mature markets and positioned themselves to improve margins through higher volumes of premium and specialty brands. By cross fertilization of best practices between sites, utilizing capacity in growth markets , working with a smaller number of its best suppliers and building considerable positions in markets by acquisitions; Interbrew was able to build brand strategy. One of the main issues to be addressed is how Interbrew/Stella Artois would become a global brand. As mentioned before acquirement of breweries across markets was an intentional and integral part in building a brand strategy. Now how their brand would globally
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