Monster Beverage, Stock Symbol Mnst Essay

The Monster Beverage Corporation distributes, markets, develops and sells; sodas, energy drinks, and various juices. The Monster Beverage Corporation competes with many companies such as; PepsiCo, Red Bull Gmbh, The Dr. Pepper Snapple Group, Kraft Foods, etc. The Monster Beverage Corporation was founded in the 1930s as Hansen’s Natural and was later renamed as Monster Beverage Corporation in 2012. Hansen’s Natural was based in California and is still based there as the Monster Beverage Corporation. The most popular beverage that they make is Monster Energy, which came out in 2002.

The parent companies include Coca Cola, Hansen's, and Pepsi, just to name a few. These three corporations are all publicly traded and have been in the beverage market for many, many years. We were not able to retrieve data concerning Red Bull and Rockstar, two independently operated labels which are both relatively new to the market. Most of the energy drinks we observed have a global presence. Hansen's was not very clear on whether it was sold globally, and Rockstar intends to expand into international markets in the near future. However, on the Rockstar can, many popular "party" cities are listed, but we are unsure if the product is actually readily available in those places. Rockstar's closest competitor, Red Bull, is a Thai product, but is based in Austria; therefore, it has great international presence. There is great potential for Rockstar to dominate global markets outside of the United States.

Competition within the carbonated drink categories, as well as other categories such as water and sport drinks.

Red Bull is now in the position as the market leader of energy drinks sector, which hold up to 70 percent of the market shares

§ Five dominant competitors: Red Bull, Hansen Natural (Monster), Pepsi (Sobe Adrenaline Rush, AMP), Rockstar, and Coke (Tab, Full Throttle)

You are the investment banker assigned with the task of setting the IPO price for Boston Beer Company (BBC). Prepare a research report to support your recommendation. As you prepare this report, you may find that you would like to have more field information than what the case offers you. However, the case contains critical information that gives you a reasonable basis to compute its valuation. In addition use the following information for 1995.1 Sales ($ millions) Redhook Pete’s BBC 25.89 59.17 151.31 EPS .75 .25 .40 Book value/share 7.70 4.33 3.00 Price 27.00 24.75 ?

The world is moving faster and faster. A lot of people today drink coffee to stay awake, and sometimes it still isn’t enough. Companies have created a drink that will kick the effect of being tired and feeling drowsy. Energy drinks come in many sizes with different names. They are becoming a growing problem in America. The one drink that is talked about the most is called Monster energy drinks. It’s one of the number one energy drinks on the market today. Just like any other company on the market, Monster Energy drinks can advertise their product however they see fit. Compared to a tobacco company, energy drinks can be advertised to any one that can get ahold of them. The multimillion dollar corporation uses movie stars and sports stars to influence its consumers. In an article by US news titled, “Are Energy Drinks Really That bad”, by Anna Medaris Miller. In her article, she explains all the downsides about energy that are currently on the market. In her essay, she explains

This paper focuses on a company analysis of Molson Coors Brewing Company. The second part of the project will give a better understanding of the company by analyzing their stock price, total cost of

Red bull is not the leading energy drink provider, but is number two with 36 percent of the Australian energy drink market (2010,popular energy drinks), the red bull company sold over 5 billion cans in 2012 and have sold over 35 billion since it started in 1987.

Monster energy is a brand owned by monster beverage cooperation as it says in the company’s name they make energy drinks, they earn an estimate of about 3 billion per year and is based in corona California but they are an international company monster energy is sold in most shops and even on amazon , it is a readily available drink. They are often associated with extreme sports such as BMX, snowboarding, skateboarding, esports and motocross. They also promote music bands around the globe such as metal core and hard-core bands asking Alexandria, The Word Alive, Maximum the Hormone and Shine down. Its logo is widely recognised. It is normally green (although you can get different flavours with orange blue yellow and other coloured claws) they are styled in such a way that it looks like the claws of a monster ripping through the can. Monster energy is still not earning as much as red bull but in the past

• Niche: our greatest competitive advantage is the niche aspect of our product. Organic Energy drinks appeal to a small section of the population. Most people would rather buy name brand products such as red bull and AMP. As a result, our best strategy would be to target a smaller group of consumers through promotions i.e. free drinks. In doing so, we can increase our following when people start to recommend our product to family and friends. Also, because of the niche factor of our product we can build a loyal customer base comprised of people who love drinking healthy beverages.

When you step back and look at Monster Beverage Corporation from a dynamic systems perspective you notice a few things. First among them is that although on the surface it seems that MNST operates in the energy drink industry, it actually competes in the soft-drink industry. (Yahoo, 2015). This means that MNST must compete in a much bigger market and has to abide by some more regulations. The FDA regulates the soft drink industry which means the FDA is in charge of making sure Monster’s manufacturing procedures are up to standards. Being regulated by the FDA would fall under the political forces that impact an organization.

The market for energy drink has continually been questioned about it health concern. A company can benefit by introducing a healthier option to get energy and have a more active day. When energy drinks first came on the scene they exploded like a new phenomenon, which made consumer feel like new-elevated being. Companies like red bull and rock star brought slogan that increased the energy drinks popularity and made it into a billion dollar industry. With all the scrutiny that has been attacking energy drinks this still has not affected sales according to (Bloomingdale) institute the industry has increase sales 6.7 percent since last year.

Energy drinks have outperformed the growth in carbonates in the last few years, and present a substantial opportunity for beverage manufacturers to extract further growth from their sales. There are many driving forces of change and critical success factors in the energy drink industry. Companies such as Coke Cola and Pepsi contend with criticism from health officials due to the excessive caffeine in most high-energy drinks. However, before the 2000’s consumers were accustomed to carbonated soft drinks as the traditional beverage. The shift to an energy drink, sports drink, and vitamin enhanced waters increased sales while becoming an alternative beverage choice for a fast-paced mobile society. Therefore, this industry endures many

“Coca Cola reported only 2% beverage volume increase for the year, explaining that it was caused by the challenging economic conditions”. In the beginning of 2014 the earning stock of Coca Cola fell 4%. This can be explained with the fact that Coca Cola company concentrates mainly on beverages production and sales, whereas Pepsi tries to diversify its portfolio entering the snacks segments of food industry.