Diageo Plc
Autor: Sharon • May 3, 2018 • 1,057 Words (5 Pages) • 697 Views
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Diageo could provide starting to manage, to his most excellent young African workers of specialized courses, as well as scholarships to attend the master as an MBA. In addition, working closely with NGOs and government they could set up college scholarships to deserving young people, who once finished the studies should be work for the British company. Last crucial point, to recall the African expatriate workers, would be to start even in Africa some offices such as R & D, Marketing, Sales, to create a real working entity, where various manager involved can aspire to an high career.
This case shows us how to enter in an emerging and jagged market like African, is something very difficult and complicated. The British company over the last 10 years has invested some £ 1.2 billion, staggering, that even his competitors were able to touch (Heineken £ 95 million), this makes us realize how expensive in terms of money and time for a company from developed markets, adapt to an emerging market such as Africa. If we consider the various difficulties that Diageo has faced in recent years, relationships with manufacturers, relationships with governments, relations with NGOs, launching new products designed specifically for the African market, and creation of new companies. We understand now that work was possible just because Diageo was a very a big company with a lot of money to invest, situation unsustainable for small companies, with a small budget and less employees to involve. Move from a develop market to an emerging market it could be very risky and expensive, but once you have set up all the business and took the primary place in this region, you can have a big competitive advantage on competitors. The power of the company, was another crucial point to highlight, because all this process was possible also for the strength relations that Diageo could made with governments and other institutional authorities. Lobbying, in these particular market, is fundamental, to help business go smooth and avoid problems with authorities.
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