How may Anheuser-Busch tap the international market? Which Anheuser-Busch brand(s) should be introduced overseas?

Question

What will be an ideal response?

Answer 1

Although A-B is a multibillion-dollar company, it basically operates on a domestic scale. But because of the mature
market in the United States, and the need to remain competitive in the future, A-B should consider the world market.
The question is, which markets should be considered by A-B, and how should they be approached?
Two important markets are Europe and the Far East. Europe has become even more attractive after the
European integration in 1992, which permits a Europe-wide approach in marketing. But Europe also might cause
some problems for an American brewer because of the different consumer tastes and the poor reputation of
American beer. Considering these problems, A-B could get a foot into the European market by acquiring or merging
with a European brewer. With this approach, A-B could overcome its American reputation and enter the European
market with a European brand.
Another possibility is to enter the European market by developing a unique niche. In Europe, beer is still
regarded as basically a standard product. A-B might be able to tap the European market with product innovations.
European brewers do not seem to be ready for such competition. The light beer segment, for example, is not well
developed in Europe. By concentrating on this segment, A-B might be able to gain a good starting position in the
European market.
The Far East market is also very attractive for A-B. Japan might be a promising starting point. In contrast to
Europe, Japanese consumers are attracted by the western image of American beer. Therefore, A-B should be able to
successfully market its beer in Japan as American beer. It might be advisable to start with a strong American brand
like Budweiser.
Third World countries tend to require a high local content and have a low buying power. Therefore, Third
World markets are not too attractive at the present time. However, they represent a high growth potential in the
future. In order to create a good image and establish a brand name, it might be desirable to move toward Third
World countries now, but on a smaller scale.