Bull Case Study Analysis : External Analysis Of Red Bull

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BA4302 Red Bull Case Analysis External Analysis Political Factors: These include indirect or direct political factors affecting Red Bull. Among others are government instability, markets’ bureaucracy, corruption levels, the function and freedom of press, protectionism measures of home market, and market lobbying initiatives. Red Bull endeavors to impact specific political factors and pertinent laws and regulations through its efforts of lobbying. For instance, the moment the FDA were ready for the investigation of injury, illness, or death report who consumed products that were marketed as “energy drinks”, Red Bull invited Podesta + Partners, popularly known as a lobby firm to enlighten policymakers concerning energy beverages. (Ho, 2013)…show more content…
Sustainability is a major thing to consider for a business like Red Bull, since a major concern of the world today is climate change, which poses as a threat and in some cases an opportunity for international organizations like Red Bull for their expansion process. On the flip side, other threats include changes that occurs in the global scenario with respect to the new business practices and legalities. Legal Factors: These are factors that could be very tricky because of the different regulations of different countries. The government in any country reserves the right to place restrictions and control any products and services exported or imported into the country. For instance, there was a time the UK placed a ban on the products of Red Bull in 1986, including France and many European countries, as well. This was because of its high rate of taurine and caffeine. Presently, countries like Norway and Denmark have not authorized products of Red Bull for sale for this same reason. Therefore, there have been high restrictions from EU countries against Red Bull. Conclusively, several governments are concerned about the impacts of Red Bull’s products on the health of consumers. Strategic Group: As an energy drink company, Red Bull’s strategic group includes companies like Rockstar and Monster. Internal Analysis Strength: Red Bull have gained a substantial market leadership over the years, in 2012, they had a sale of about 5.226 billion cans globally, which was a

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