SAB MILLER'S STRATEGY

Miller grew on the basis of its strength in developing markets, first in Africa and then in other parts of world. With its first acquisition in a developed market, Miller in 2002, it has become the second largest brewer by volume in the world and finds itself faced with a new set of challenges. This case study explains the business's development and the strategy of firm; it shows how the strategy has changed with time and provides the opportunity to consider its future at both the corporate and competitive strategy levels"SABMiller case studyII.Strategic position that SAB Miller finds itself in 20042.1 SWOT ANAYLYSISOVERVIEWThe brewing industry has been consolidating to secure brands and national positions. International brewers have also been investing for further growth, particularly in new and developing markets such as China, Latin America and Russia. Industry consolidation would raise the intensity of competition, which could lead to a loss of market share.

A.STRENGHTSThe company has a presence in more than 60 countries across six continents. SABMiller operates through five geographic regions including; North America, Latin America, Europe, South Africa and Africa and Asia. SABMiller operates in North America through its subsidiary, Miller Brewing Company (Miller), which is the second largest brewer in the US. The company's operation in Latin America consists of six countries including Colombia, El Salvador, Ecuador, Honduras,Similarly, its brewing operations in Europe primarily consist of eight countries including the Czech Republic, Hungary, Italy, Poland, Romania, Russia and Slovakia.

In Asia and Africa, the company operates in around 31 African countries and other Asian countries including China, IndiaThe global scale helps SABMiller, to develop its brands on a global level and provides a valuable platform for distributing and selling its international premium brands Miller Genuine Draft and Pilsner Urquell. It also helps the company to develop regional

Links: http://www.sabmiller.com/sabmiller.com/en_gb/APPENDIX:le 2: SABMiller - Other Locations and SubsidiariesOther Locations and SubsidiariesTable 2: SABMiller - Other Locations and SubsidiariesSABMiller Latin AmericaCalle 94 7A-47BogotaColombiaT: 57 1 638 9000Miller Brewing Company3939 West Highland BoulevardMilwaukeeWisconsin 53201-0482United StatesT: 1 414 931 2000F: 1 414 931 2000SABMiller EuropeVaci ut 22-241132 BudapestHungaryT: 36 1 452 9900F: 36 1 452 9901SABMiller ChinaResource Building 605B6th Floor8 Jianguomen North AvenueDongcheng DistrictBeijing 100005ChinaT: 86 10 8519 2913F: 86 10 8519 2915SABMiller India LimitedJalahalli Camp RoadYeshwantpurBangalore560022IndiaT: 91 80 221 98800F: 91 80 221 98997Empresa de Cervejas N 'golaCaixa Postal 1233Estrada da MapundaLubangoAngolaT: 244 61 30077F: 244 61 22707VALUE CHAIN ANALYSISSABMiller is engaged in the production and retailing of beer, malts and carbonated soft drinks. The company operates across the value chain with the exception of the services segment. Table 9: SABMiller - Value Chain AnalysisRaw material* →Manufacturing* → Distribution / Sales → Marketing → ServicesSABMiller procures all its raw material (including barley malt and hops) requirements from third party suppliers and joint venture partners. SABMiller has global manufacturing location including theUS, Europe,Africa and Asia. SABMiller distributes and sells its products either through its own distribution channels or through other distributors and retailers. SABMiller adopts independent advertising and marketing activities to build its brand. *Denotes presence in value chainSource: Datamonitor D A T A M O N I T O RTop CompetitorsSABMiller 's brands operate in a highly competitive industry. The brands compete against strongly positioned global, regional, and local brands in several categories and price points across alcoholic and non-alcoholic beverages. The following companies are the major competitors of SABMiller. SABMiller competitors list:Table 7: SABMiller - List of CompetitorsACCORAnheuser-Busch CompaniesAsahi BreweriesBrau UnionBurtonwood BreweryCarlsbergFraser and NeaveFuller Smith & TurnerGrupo Empresarial BavariaHeinekenInBevKirin Brewery CompanyMarriott InternationalMerrydownMGM MIRAGEMolson CoorsNational BeverageNestlePepsiCoPivovary StaropramenRoyal GrolschTsingtao Brewery CompanyYoung & Co 's BreweryTables of contentpagesI.Introduction…………………………………………………1II.Strategic position that SAB Miller finds itself in 2004…...12.1 SWOT ANAYLYSIS……………………………………………….1A.STRENGHTS……………………………………………………...1B.WEAKNESS……………………………………………………….3C.OPPORTUNNITY…………………………………………………3D.TREAT……………………………………………………………42.2Stakeholder………………………………………………...5III. DENTIFY AND AVALUATE STRATEGIC OPTIONS……5 AVAILABLE FOR SABMILLER3.1 Africa and Asia……………………………………………….53.2 Europe………………………………………………………..63.3South Africa…………………………………………………..83.4North America………………………………………………..93.5 Central America………………………………………………..10IV. COMMEND THE STRATEGY THAT SABMILLER SHOULD FOLLOW….10Table of contentspages4.1Creating a balanced and attractive global spread of businesses…….114.2 Developing strong, relevant brand portfolios in the local market.......114.3 Constantly raising the performance of local businesses……………..124.4 Leveraging its global scale……………………………………………..12REFERENCE……………………………………………………………14APPENDIX: ……………………………………………………………..15