Management Board

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Beer Industry
Budweiser and Tsingtao

12/17/2010
MIBO

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Group 3.4

Table of Content
Introduction3
Literature review4
Conceptual framework4
Background5
Tsingtao5
AB InBev6
Pest Analysis7
Budweiser7
Political Factors7
Economic Factors.8
Sociocultural Factors.8
Technological Factors.8
Tsingtao8
Political Factors8
Economic Factors9
Sociocultural Factors9
Technological Factors9
Research9
Subquestion 1: how does the management board affect the international performance of the company?9
Comparison Tsingtao – Budweiser11
How will the decisions taken by the management board affect the resources and capabilities?13
Comparison Tsingtao – Budweiser14
How does the use of resources and capabilities have an impact on the firm’s international performance?15
Comparison between Tsingtao and Budweiser17
Discussion and conclusions18
Tsingtao vs. Budweiser18
Limitations19
References20
Websites20
Books20
Articles20

Introduction
Beer is one of the most used beverages in the world after water and tea. The beer industry is there for one of the biggest industries with many competitors. In this paper we will elaborate on the difference between Tsingtao, a Chinese beer company, and Budweiser, an American beer company. The focus will be on their different approach on international performances with regard to their management board decisions and resources and capabilities. These differences are also influenced by the background of the firm but also by the different environments. There for our research question is; How are the international performance differences between Tsingtao and Budweiser caused? First of all we will elaborate about our conceptual frame work and explain this by making use of a literature review. Then we will look in to the companies’ background to have a better understanding of the management board decisions. Thirdly, the Pest analysis will be performed to give in indication of the different environment that the companies have to deal with, which have an influence on the relationship between the management board decisions and their international performance. After the introduction part of the companies and our conceptual model, we will then perform the research by given answers to our sub questions beginning with how does the management board affect the international performance of the company? Then how will the decisions taken by the management board affect the resources and capabilities? and at last How does the use of resources and capabilities have an impact on the firm’s international performance? will be given answer to. The sub questions will be answered first by given a literature overview and then by given the relevant information about Tsingtao and Budweiser. At the end of the paper the research question will be answered by discussing the previously mentioned sub questions and ending with the conclusion. To make our research complete will also included the limitations of our performed research.

Literature review
Conceptual framework
In this paper, the performance differences between Tsingtao and Budweiser will be discussed. It is interesting to see how two beer breweries, having access to more and more similar resources in this increasingly globalizing world, are following different internationalization strategies which ultimately lead to differences in international performance. Performance differences can be analyzed from a range of perspectives, such as the market-based view, the resource based view, a strategic point of view, etc. We will focus on the internal environment of the two companies, i.e. we will use a resource-based approach to discuss the performance differences between Tsingtao and Budweiser. The resource-based approach puts an emphasis on the uniqueness of every company and views the exploitation of the firm’s resources and capabilities as a key to...
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