Global forces in the Western European brewing industry are analyzed using several frameworks. PESTEL analysis identifies key political, economic, social, technological, environmental, and legal factors. These include government regulations on consumption, rising costs, health trends, and technological innovations. A five forces analysis examines the competitive landscape, including the power of buyers and suppliers, threat of substitutes and new entrants, and competitive rivalry. Finally, the strengths, weaknesses, and recommendations are discussed for several major brewers, such as InBev, Greene King, and Tsingtao. Areas of focus include strategies, flexibility, brand portfolios, and expansion into new markets.

1. Global forces in the Western
European brewing industry
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2. is one of the key drivers analyzing board macro-
PESTEL environment of an organization
Economical
Political Social
cost reduction
actions against over- health and fitness
rise of off-trade because of
consumption customers drink more wine then
sales/discounts in supermarkets
restrictions by government before
rise prices of packaging
(prohibition, taxes..) demand for flavered beers
economy crisis
Technology
innovation in beer production, Environmental Legal
new brands, flavors acquisition and mergers restrictions in advertising
increase in efficiency lower pollution, green age restrictions
centralization of production and companies drink driving
administration
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3. helps identify the attractiveness of
5-force analysis an industry in terms of five
competitive forces
Power of buyer
Threat of entry
loyal customers
low threat Threat of substitutes
switch from on-trade to off-
capital intensive wine and licker, soft drinks
trade
loyal customers
switch to substitute
Power of suppliers Competitive rivalry
low product differentiation
packaging suppliers
acquisitions and strategic
row materials alliances
energy suppliers big competitive rivalry
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4. Strengths, Weaknesses & Recommendations
InBev Greene King Tsingtao
long tradition owner of famous brands
low cost of work
biggest centralized production
S clear strategy operating own pubs
focus on export
shift from on-trade to off- when you think beer you
W not flexible trade don't think China
wide portfolio relatively new
R don't change strategy
focus on off-trade
marketing, promotion
don't expand portfolio/new
stay innovative innovation
markets
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