Investment recommendatin Coursework Example | Topics and Well Written Essays - 2500 words

SABMiller Plc and Kingfisher Plc - Coursework Example Although regarded as a non-cyclical industry, beer brewing has been affected by reduced overall demand for goods worldwide, including consumer goods, and SABMiller saw its turnover drop, albeit not very significant, in 2009. According to the CBI Economic Forecast published in December 2009, there will be a modest recovery of world economic activity in 2010, but the longer-term trend will not resume until 2011. For the UK, this marginal growth will be driven by continuing strong Government spending, a modest increase in exports, and some recovery of consumer spending. The UK Gross Domestic Product is forecast to grow by 2.2 percent this year, and 2.5 percent the year after that. Consumer spending growth will be hampered by high energy costs, unwillingness to borrow, and the need to save for future needs. The company belongs to the non-cyclical consumer goods and services sector, and the beverages/brewers industry. (Reuters). According to Hoovers, industry demand is driven by consumer preferences for alcohol consumption as well as demographic trends. As is true for most consumer products, success often goes to large companies because of their effective sales operations, broad distribution networks, and economies of scale. The industry is capital intensive. The top competitors of SABMiller plc are, Diageo plc, Heineken NV., and Anheuser-Busch InBev. The latter replaced SABMiller as the worlds biggest brewer after InBev acquired Anheuser-Busch for $52 billion in 2008. The company recorded a revenue level of US$18.7 billion in 2009 and a net income of US$2.16 billion compared to US$2.29 the year before. Sales in 2009 dropped 12.6 percent due to the global recession, but overall revenue has grown by an annual average of 10.5 percent over 5 years and 6.9 percent over three years. Earnings per share average 18.6 percent over five years and 6.13 for the last three years.

Global marketing Assignment Example | Topics and Well Written Essays - 2000 words

Global marketing - Assignment Example The partnership with industry giants such as Toyota, Porsche, BMW and Mitsubishi will give the company a competitive advantage against American cars. The automobile industry in China is very competitive and this has necessitated the need to globalize the industry. Global market of automotive is characterized with numerous competitors, which has seen the market grow tremendous for the past decade. Jamaican consumers are becoming affluent, and this makes them to be specific in the type of cars that want to purchase. The factors that consumers will take into consideration before they purchase is price, performance, brand and economical aspect. The market segment in Jamaica can be divided according to commercial and private, private cars will be characterized with aspects such as luxury and sporty while commercial cars will be characterized by economical and capacity. In an industry that has intensive competition in Jamaica, and deterring factors such as shipping the cars from China to Jamaica, it will be prudent to market Brilliance Auto Group in a holistic manner in Jamaica. Brilliance Auto Group operates in a huge macro-environment of forces that shape chances and stance threats to the company. Competitors such as Toyota, BMW, Ford, Mercedes Benz, Porsche and VW which are all foreign in Jamaica. Jamaica don’t produce its own cars, and this levels the competition with other firms. Jamaica is a developing country, and this makes it middle earning country characterized by the majority of the population using public transport. However, the country can be said to be characterized by lifestyle that will make model such as FRV, H530, M2, M2 Wagon and V5 SUV have a greater demand for the majority of the population that is keen about lifestyle. There is a stiff competition in the market from other international companies in Jamaica that offer automotive industries. The sales figure of Jamaican