Sab Miller

Table of Contents {text:bookmark-start} INTRODUCTION: {text:bookmark-end} It is important for organizations operating and competing at global level to understand how it fits into the external environment that it operates in. The twenty first century has witnessed frequent fluctuations in these international environment in which businesses operate which in turn has encouraged these businesses to concentrate heavily on strategising the manner in which the company survives, grows, competes and achieves its goals. The top management of these organizations take decisions with an ultimate holistic goal of achieving a sustained competitive advantage and in order to achieve this they have been focussing on managing their internal resources and competencies to reap profits from the opportunities created by the external environment (Barney, 1991). Hence it is clear that the international organizations require a strong strategy in place for it to help achieve and sustain this competitive advantage in the long run. This report deals with identifying the strategic issues and options available to South African Breweries (SAB) based on the understanding from the case study “SABMiller” (Johnson et al., 2008, pg. 740-745). After a brief introduction to what strategy means for organizations, the report tries to explain the current strategic position of SABMiller by analysis of the organization’s competencies internally and also the external industry and environmental structure, followed by this the report will discuss the implications of this current position for the future. Finally the report will conclude highlighting the importance of strategic management to SABMiller. Firstly it is very essential to understand what strategy means. Johnson et al. (2008) explains it as ‘...direction and scope of an organization over a long term...’ (Johnson et al., 2008, pg. 3) that involves planning in management of its resources and competencies to exploit the fluctuating

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