Bud Light Executive Summary

Per capita beer consumption in the country had been stable for many years. In order to find new opportunities

Political Forces. The political forces affect the beer industry to a large extent. The rates of the beer in various parts of the country are affected by the taxes and duties applied by the Government. The political forces also affect the pricing of the beer by lowering the duties or deregulating the distribution channel. This leads to lower margins for the distribution channel partners. Leinenkugel will need to set up a distributor in the New England area to effectively distribute to this area.

Without alcohol, the economy would suffer heavy losses. Alcohol is included in many industries such as manufacturing, agriculture, culinary and advertising. That’s a large portion of the United States economic span that most citizens depend on. Imagine the jobs that could be lost, the thing s that wouldn’t exist, and the occasions that wouldn’t be the same. Just in the kitchen alone, alcohol plays an important role, for example, Tennessee Whiskey cake, Jack Daniel’s Ribs and grilled beef. What better way to celebrate a Quincenera, wedding, or anniversary with champagne or wine? These special moments are meant to be remembered and celebrated with a toast. Too many people abuse alcohol that it is perceived as a negative consumption, but that is not true. Would the government really risk losing all of its profit made from the sales of production? It is all about what helps the government and seemingly pleases the consumers.

Political –Governments tend to exercise significant control over beer as it contains alcohol which has caused many problems in society and has addicted people. This attention from the government will affect Heineken in sale volume in the market. Many governments have imposed heavy taxes on liquor and beer imports, and with globalisation many brewers are looking for new markets where they can gain maximal profits. This proves to be a threat for Heineken. Heineken must conduct thorough research on countries policies on alcohol such as drinking in public, alcohol contents in drinks, legal drinking ages and must strategically plan their integration into these markets based on the research.

The main purpose of the passage is to explain why alcoholic beverages advertising should be restricted. The passage also explains what the author thinks that alcoholic ads do not promote underage drinking Research conducted by Joel W. Grube and Lawrence Wallack suggests that awareness of TV beer commercials leads to favorable beliefs about drinking in children 10 to 12 years old and increases their intention to drink as adults. Henry Saffer concluded that a ban on broadcast alcohol advertising would save 2,000 to 3,000 people annually from death due to alcohol-related motor-vehicle crashes.

The US beer, wine, and spirits distribution industry includes about 3,400 companies with combined annual revenue of about $135 billion. Key growth drivers include technological advances in distribution and a growing interest in locally produced and distributed wines, beers, and liquors. Suppliers and customers of beer, wine, and spirits distributors are covered in separate profiles for Breweries; Distilleries; Wineries; Bars & Nightclubs; and Beer, Wine, and Liquor Stores.

As previously noted, there are no distinctive competencies when it relates to the beer industry except for the product itself. One of the keys to any business is understanding trends and being able to monetize based on those trends. In recent years many of the largest companies in the beer industry have seen slower growth in the U.S. and Europe. In fact Molson Coors reported a 0.2% increase in sales in the U.S., 3.6% growth in Europe, but in Canada they had a drop in sales of 8.2% year-over-year in 2014. In comparison, the Molson Coors International (MCI) business saw sales grow 13.2% in 2014.

Self-restraint by the alcohol industry in its marketing practices is an essential component of a sound national strategy for reducing underage drinking. This will not help control alcohol consumption by young adults. Industry codes for beer and distilled spirits currently allow placement of alcohol advertising in media for which most of the audience is expected to be 21 or older. Federal Trade Commission report on alcohol industry self-regulatory initiatives designed to address concerns about underage exposure to alcohol marketing. However this self-regulation gives a lot of freedom to alcohol producing companies to advertise their product. Self-regulation is an alcohol industry's voluntary guidelines for advertising and

2.1 Professor Ian Webster, chair of the Alcohol Education and Rehabilitation Foundation, said the number of young people putting themselves at risk of alcohol-related harm was "troubling" given the impact of alcohol on brain development.

A rather eye-opening statistic, especially for such a pertinent issue in America right now and if implemented could create positive change in a society. Leiber explains valid, convincing points and statistics to persuade the reader to understand the gravity of the negative impact alcoholic beverage advertising has on a society.

The premium beer segment is poised to grow at around 10% per annum and in the past year itself the growth of the premium beer has been at 9.1% by volume. (Appendix A: Exhibit 2)

Cigarettes kill close to 435,000 Americans and cost society tens of billions of dollars annually. Alcohol use causes more than 100,000 deaths each year in the U.S. and is related to a number of health and Social problems. Econometric studies estimate that a $2 per cigarette pack increase would prevent roughly 2 million premature deaths over time by deterring youths from starting to smoke and encouraging smokers to quit. Increases in alcohol prices have also been shown to keep youths from drinking. (Nations Health Mar93, Vol. 23 Issue 3, p4)

Beer Wars was a very eye-opening documentary. It was interesting to see how the market share of the largest beer company, Anheiser-Busch, has grown throughout the years. In 1965, Anheiser-Busch had a meager market share of twelve percent. As marketing on television grew in popularity, Anheiser-Busch’s market share grew as well. By 1985, Anheiser-Busch’s market share had grew to thirty-seven percent. By 2005, Anheiser-Busch’s market share had

In 2000 China was the 7th leading exporter and 8th largest importer of merchandise trade - exports: 249.2 us billion dollars (3.9% share), imports: 225.1 us billion dollars (3.4% share). For commercial services China was the 12th largest exporter and the 10th in importer - exports: 29.7 us billion dollars (2.1% share), imports: 34.8 us billion dollars (2.5% share). 1 The average annual growth in world beer market was just 2.6% during 1995 – 2000, the Asia Pacific is 7.7.% in same period, but Europe and North America just 1.2%. In 2000 – 2004 the estimates growth for Asia Pacific is 8.1%, China was the largest market within Asia Pacific, accounting for two third of consumption. Also growing per capita GDP in Asia fuelled consumption growth, beer consumption and beer expenditure in emerging markets were income elastic, whereas the income elasticity of the beer expenditure in developed counties, with higher GDP as only 0.4, for emerging markets it as 1.35, indicating that a 1% increase in GDP per capita would lead to 1.35% increase in beer expenditure. In China future economic conditions appeared rosy. GDP growth was projected to continue at an average of 8% from 2001 – 2005. Means the projection of beer consumption rate is 10.8% per capita during same period.

The global beer industry continues to be extremely competitive, most large companies have multiple private label brands to address different tastes and needs throughout the world. The industry continues to face large challenges from local governments who are imposing strict rules and taxes for