Corona Extra Strategy

Topics: Grupo Modelo, United States, Purchasing power parity Pages: 2 (733 words) Published: October 9, 2011
Corona Extra Strategy
Peter G. Robinson
Argosy University

The first time I drank a Corona, I thought it was one of the worst beers that I tasted. My friend told me to put a lime in it, and it still tasted terrible. That was fifteen years ago, today, Corona is one of the top selling imported beers in the country. In this paper, I will discuss the strategy of Corona Extra and will look at the demographics and talk about the cultural differences and how the Corona Extra Company compensated for those differences. To start, let’s discuss a little about the history of the Corona Company. Corona was first brewed in 1925 by Cerveceria Modelo, a company based in Mexico City. It wasn't imported to the United States until 1979. (2011, N.E. Peabody) During my research, I have found that Corona Extra has become the number One imported beer in the United States, pushing Heineken to second place. Corona Extra has made itself synonymous with relaxation and having a good time on the beach. If you have seen any of their advertisements you will see a man and a woman sitting on the beach, sometimes they show them on vacation and sometimes they have just finished a hard day at work and they are just relaxing at the bar, but the idea is that when you drink a Corona Extra the taste relaxes you and you feel that you are in Mexico relaxing on the beach. I think that the strategy that best describes the Corona Extra Company is the differentiation strategy. It seems that Corona is targeting consumers that do not mind paying the extra cost for a good quality product. They have also branched out their original product Corona to try and capture more consumers. They have done this by introducing, Corona Extra, Corona light and Corona Lime. The idea is to make a product that gives the consumer the choice of what kind of Corona beer that they would like to drink and reaching a broader consumer market. On the website, Economy Watch, they...
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