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Corporate Strategy: a report to the SABMiller Board of Directors - Case Study Example

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In comparison to the overall beer market, Miller Brands UK’s (MBUK) lagering rose by 5 percent. Now British fans of Italian Peroni Nastro…
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Corporate Strategy: a report to the SABMiller Board of Directors
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"Corporate Strategy: a report to the SABMiller Board of Directors"

Download file to see previous pages ands UK (MBUK) is confident about the success of Peroni as he states that consumer preferences for their beer demonstrates their taste for great beer and amazing experiences. Earlier in the same year, SAB Miller also introduced its freshly brewed, unfiltered, and unpasteurized beer, Pilsner Urquell, in the UK market. Being the first international unpasteurized drink, SABMiller held several tasting events where people were familiarized with the new taste of beer which was being offered at select pubs only. With its innovative strategy, SAB Miller is tapping emerging markets with its novel offerings, including Peroni which attaches occasional experience and Pilsner Urquell, which brings a new taste to the British beer fanatics.
Trends across the UK and Europe from 2012 show pleasing performance by Peroni which helped buck the trends with volumes increasing by 8 percent. A report published in 2012 also showed that sales had gone up by 10 percent with 12 percent rise in the first half profits (Wright 2012; Goodway 2012). In 2013, an agreement between SAB Miller and Kopparberg provided MBUK will the license to sell Kopparberg’s fruity ciders in regions where the Swedish cider making company did not operate yet. This provided MBUK will the exclusive license to distribute the Swedish ciders to the regions in which it operated thereby offering British consumers with new alcoholic products (Mileham 2013). Today, Peroni sales figures from 2014 represent the success of the new Italian market offering with a sales hike of 9 percent observed in the UK. Although the quarter had been disappointing in Europe for SAB Miller, the UK did fairly well in terms of sales performance raking in huge revenues with the sale of Peroni Nastro Azzuroand and an added 3.5 percent increase in the annual earnings (Yeomans 2014; Hwang 2014). An important reason for their growing success in the current year, as SAB Miller’s CEO affirms, is due to their strategy to enter emerging markets with ...Download file to see next pagesRead More
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