Corporate Strategy of the Organization - Case of Carlsberg

Running head: CORPORATE STRATEGY OF THE ORGANIZATION
CORPORATE STRATEGY OF THE ORGANIZATION
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CORPORATE STRATEGY OF THE ORGANIZATION1
Executive summary
The report aimed at assessing the case of Carlsberg while expanding their venture in the
emerging markets. The report evaluated the strategic issues that were encountered by the
organization and on the basis of different theoretical frameworks. On the other hand, the research
also enumerated a range of models and frameworks with the objective of supporting and
justifying the issues that were faced by the organization. The report also focused on developing a
business level strategy framework with the objective of enabling the organization in gaining
competitive and sustainable advantage over the existing players in the markets. Therefore, the
purpose of undertaking the report was to develop a critical assessment of the situation of the
concerned organization and the strategies that might be employed by the same for improving the
market position.

CORPORATE STRATEGY OF THE ORGANIZATION2
Table of Contents
Introduction......................................................................................................................................3
Brief Summary of Carlsberg’s expansion in the emerging markets................................................3
Identification of strategic issues in Carlsberg’s case.......................................................................4
Relevant theoretical concepts to Carlsberg’s case...........................................................................6
Strategic Entrepreneurship...........................................................................................................6
SWOT assessment (Micro-Environmental).................................................................................7
Porter’s five forces.......................................................................................................................9
VRIO framework.......................................................................................................................11
Application of Business level Strategy formulation model to Carlsberg......................................12
Conclusion.....................................................................................................................................14
References......................................................................................................................................15

CORPORATE STRATEGY OF THE ORGANIZATION3
Introduction
The strategies that are initiated by the organizations permits the same in improving the
rate of operations while operating in the different markets. Intensification of competition in the
existing markets and the growth and sustenance prospects in the new markets has enabled the
organizations in developing strategic partnerships and mergers (Ghose, Heiman and Lowengart
2017). In this relation, the report will take steps to consider the case of Carlsberg’s expansion in
the emerging markets through a thorough examination of the issues that are being faced by the
organization in Russia and China. On the other hand, the report will also consider on
implementing a strategy formulation model with the objective of empowering the organizational
operations while making a dynamic expansion in the markets for supporting the sustenance of
the same (Bower 2016). Therefore, the report will examine the situation of the organization in
the markets and the different strategies that might be considered by the same through theoretical
assessment of the situation.
Brief Summary of Carlsberg’s expansion in the emerging markets
The concerned organization, Carlsberg A/S, was established in the year 1847 and mainly
focused on proposing brewery based propositions. The organization was initially located in
Copenhagen, Denmark and its first foreign brewery was established in 1968 at Malawi (HBR
case 2019). The organization grew dynamically and by 2007 the venture employed around 33000
staff while holding a portfolio of 75 breweries around the world and selling approximately 115
hectolitres of beer. The revenue of the organization was around US$ 6000 million which
provided sustenance to the business operations and growth of the venture in the different markets
(HBR case 2019). The major areas of operation, as chosen by the organization, were the mature
beer markets of Western Europe, the growth markets of Eastern Europe and the emerging