Asahi Beverages - Situation Analysis Report for Business Strategy

This report presents a situation analysis of Asahi Beverages, a prominent beverage company. It utilizes the 5C framework (Company, Competitors, Customers, Collaborators, and Context) to evaluate Asahi's business environment. The analysis covers Asahi's market position, product offerings, customer base, and competitive landscape, particularly within the Japanese market. The report examines the company's strategies, including its focus on research and development, collaborations, and expansion into new product categories like water and energy drinks. It also addresses challenges such as changing customer preferences and the impact of competitors. Furthermore, the report discusses the broader context, including Japan's economic and technological factors, and the company's commitment to environmental sustainability. The conclusion highlights Asahi's strong position in the beverage industry and its strategies for future growth.

Asahi Beverages -
Situation Analysis
Report

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Every organisation has its own business operation and environment. The environment
exist of surrounding and anything which affect its process, whether condition is pleasing or
not(Jones, Comfort 2019). This report is on Asahi, which is an beverage company which makes
beer and other product. The company launched in year 1892 and became a instant hit in
Japanese market. Company have large customers base and should effectively figure the changing
taste and preferences of their respective customers.
MAIN BODY
5c analysis is done to examine the current and future environment in which a organisation
operates their business entity. It shows the right path which lead to success ,as well as the risk
exposure. It is one of the most useful and popular framework in understanding the external as
well as external environment (Suseno, 2019). It cover almost all the areas of marketing and helps
to identify the problems and hurdle for the company. The 5c is for Asahi is explain in detail
below:-
Company : By facing challenges company have expanded the business and became a
global manufacturer of beverages and food. The company mission is to satisfy the customers by
providing best in class product. Organisation strategies is to put its customers on highest priority
and gain customers trust. Asahi current position in beverages is at the top and with 887 billion
yen per year. In which soft drink business covers around 17% and net sales is 360 billion a year.
In other hand food business covers around5% and revenues generated is around 150 billion yen.
The company have diversified product range for their customers such as food, soft drinks
overseas and alcohol beverages. The core product of the company is canned beer is the top
product in Japanese market with total of 48.9% share. Company vision is to become leader in
coming 5 years and want to compete with European and western countries brand.
Company recently enter in water and energy drinks to capture people who are health
oriented and active lifestyle is the part of their culture. They also include iced tea in their product
line because people prefer teas more than coffee.
Competitor: The major issue for company is their rivals and future uncertainty. Due to
frequent change in customers taste it become a challenge for a company to satisfy customers
needs and wants(Kunii 2018). In the case of Asahai, it spend its fortune in research and

development to make product which fulfil the demand of customers. Company always search for
new ingredients and various technologies to beat the competition. To gain competitive edge,
company is developing a new range of food and drinks to capture untapped market.
Customers: The company deals in various product for every age group. Asahi have
large customer base to satisfy their needs and wants. It is a common saying in japan “if you want
you have to drink”. Customer taste and lifestyle have changes in recent years. Individual is
willing to pay more for quality product( Fujimura 2019). The demographic culture is very little ,
with less than 2% representing other groups, Korean are about 0.5 and Chinese are redound
0.4%. it is important in Japanese organisation to drink with their team members after work.
Many Japanese people feel that after work parties are essential to make health relationships. The
common threat for Asahi, is change in taste of customers. Nowadays people have more choices
due to many competitors in same business. Company can do survey and take feedback for there
customers and make changes in there offering, which will reduce the future threat.
Collaborators: The company have several partnerships with many corporation in order
to capture large market share and to generate more profits. In year 1981 company collaborated
with Asahi Kasei corporation and in next year collaborative business agreement done with
German brewery. And in year 1983, Asahi involve in partnership with Lindeman a company n
Australia. The company have diverse range of suppliers and different contractors, and ensure that
they provide goods and services mist be of high quality and meet the standards required by the
company to make beverages. Company have separate department which monitors the suppliers
and of Asahai beverage. The company is actively taking interest in suppliers and distributors
because they are the actual business resources and look further for better future.
Context : The company is focusing to expand their business as the county have the
favourable business culture. This provide ease for business to perform their activity smoothly. As
the country have stable political situation firm Asahai group, can indulge in improving their
product quality and their services. Providing environmental and social responsible product is
important for company to sustain in market for long run. Company have to save their resources
to make profit and also should take care of environment.
Company is now moving towards recyclable waste product and using 3RS approach
(reduce, reuse and recycle) for their beer cans. Organisation also promote green environment and
use renewable energy for manufacturing their beverages. Japan is highly developed and have

market oriented culture. The country has the third largest economy where people have more
purchasing power, Asahi beverages can more scope to expand their business entity to a larger
scale and with the aim of increase the profit.
Technological factor is important for the company to sustain future. In today's modern
world technology is changing rapidly so Asahi should adopt the technological changes to match
the market competition (Velasco 2019). Company is constantly doing research and evolving new
method of making their products with the help of new technology. It helps organisation to make
product effectively and fulfil the demand of market on time.
CONCLUSION
As the per the above mentioned report, it has been identified that Asahi have strong hold
in beverages industry across the country. The company is using various suppliers and distributors
to fulfil the demand of customers. Organisation is spending more on research and development
in order to understand the actual market need and make change in their product as the
requirement. Firm covers the largest market share across the country and its growth is
expectational.

REFERENCES
Books and Journals
Jones, P. and Comfort, D., 2019. An Interpretative Analysis of Storytelling in the Beverage
Industry. Athens Journal of Tourism.
Suseno, B.D., 2019. The Strength of Justified Knowledge Sharing on Good Manufacturing
Practices: Empirical Evidence on Food Beverage Joint Venture Company of Japan–
Indonesia. Calitatea, 20(170), pp.130-135.
Kunii, N., Fujimura, M., Komasa, Y., Kitamura, A., Sato, H., Takatsuji, T., Jimba, M. and
Kimura, S., 2018. The Knowledge and Awareness for Radiocesium Food Monitoring
after the Fukushima Daiichi Nuclear Accident in Nihonmatsu City, Fukushima
Prefecture. International journal of environmental research and public health, 15(10),
p.2289.
Lee, Y., Lin, K.Y.A., Kwon, E.E. and Lee, J., 2019. Renewable routes to Monomeric Precursors
of Nylon 66 and Nylon 6 from Food Waste: A Review. Journal of Cleaner Production.
Matsui, H., Inui, T., Ishimaru, M. and Yonezawa, D., Suntory Holdings Ltd, 2018. Method for
producing beer-taste beverage. U.S. Patent Application 10/011,810.
Horikawa, C., Kamada, C., Tanaka, S., Tanaka, S., Araki, A., Ito, H., Matsunaga, S., Fujihara,
K., Yoshimura, Y., Ohashi, Y. and Akanuma, Y., 2019. Meat intake and incidence of
cardiovascular disease in Japanese patients with type 2 diabetes: analysis of the Japan
Diabetes Complications Study (JDCS). European journal of nutrition, 58(1), pp.281-
290.
Velasco, C. and Spence, C., 2019. The multisensory analysis of product packaging framework.
In Multisensory Packaging(pp. 191-223). Palgrave Macmillan, Cham.