This case study was compiled, and written by Dr Eric Kuan, 4th May 2010. It is
to be used for examination purposes.
1) The Global Beer Industry & Its Characteristics
According to Pangarkar (2010), beer has always a “global product” since the
demand for beer exists in many markets around the world. Pangarkar (2010)
observed that the global beer industry was historically multi-domestic, that is, the
competition among firms occurred on a (geographic) market-by market basis and
there was little coordination of strategies across the market. It is to be noted that
each geographic region tended to have its own leading brewers, such as Anheusen-
Busch and Miller in the United States, Asahi and Kirin in Japan, and Heineken and
Carlsberg in Europe. Judging from this dominant “local” brand in the respective
region, it could be suggested that the competitive advantage in one region would be
difficult to transfer to another region.
Pangarkar (2010) further observed that “the cross-border acquisitions of brewers
involved the acquirers continuing to use the acquired brand names, and only used
their international brands to supplement the (acquired) local brands.
2) The ASEAN Beer Industry
The Beer Industry in the Association of South East Asian (ASEAN), being a sub-set
of the Global Beer Industry, is likely to show somewhat similar characteristics as the
Global Beer Industry.
3) Brewers in ASEAN
There are numerous brewers in ASEAN. However, the attention in their brief case
study shall be focused on three of them, as summarized in the ensuring paragraphs.
4) The Asia Pacific Breweries Pte Ltd (APB), of Singapore
APB has, by the end of the financial year 2008, achieved significant expansion
through its regionalization efforts. According to Pangarkar (2010), APB operated 30
breweries in 12 countries in the Asia Pacific region. This network of breweries is the
most extensive network compared to any brewer. APB had more... [continues]
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