AmBev, the Dream Project (A): A Brazilian-based Multinational Beverage Company with Global Scale

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Case

Reference no. 301-044-1

Subject category: Strategy and General Management

Authors: Lourdes Casanova (INSEAD); Fernando Rodrigues (INSEAD)

Published by: INSEAD

Originally published in: 2001

Version: 07.2015

Revision date: 29-Jan-2016

Length: 21 pages

Data source: Published sources

Topics: Brazilian multinational; Beverage company; Merger; Global competition; Anti-trust regulations; Lobbying government; Internationalisation; Latin America; Corporate culture; Global strategy

Share a link: https://casecent.re/p/8288

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Abstract

This is the first of a two-case series. AmBev, the merger of the two largest Brazilian beverage companies (Brahma and Antarctica) wants to become a strong South American multinational, able to compete with the main global players in this sector. AmBev creation process raised an important polemic. Competitors said AmBev would have a monopolistic power (controls about 70% of the Brazilian beer market). The Brazilian Government had to intervene and, finally, AmBev was authorized only with some minor restrictions.

Location:

Latin America (Brazil)

Industry:

Beverage

Size:

USD0.3 billion revenues, 16,500 employees

Other setting(s):

1999