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Is Global Beer Discrimination Possible

750 Words3 Pages

Is Global Beer Domination Possible?

Anheuser-Busch InBev, maker of Budweiser, thinks so and is aiming for one of the biggest mergers the food and drink industry has seen.
Long known as the king of beers, Anheuser-Busch InBev has decided this title isn't enough. They are now looking to merge with SABMiller, the world's second biggest brewer and the company responsible for bringing Miller Genuine Draft to the public. Experts believe this deal is worth $275 billion, as the two companies bring in $73.3 billion every year. This is more than triple what Heineken, the nearest competitor, earns annually. With this merger, world domination may be closer than many thing, at least for the beer industry.
Anheuser-Busch InBev
Anheuser-Busch InBev is …show more content…

A South African brewery, this company grew in the 1990s following the lifting of sanctions in the country upon the release of Nelson Mandela. This move lead to the company's expansion abroad, and they soon moved into Eastern Europe, Asia and other African companies. Since then, they have expanded through the purchase of various competitors and now operate in more than 80 countries. Most are familiar with this company through their popular brand Miller Genuine …show more content…

Government officials around the world will investigate this move, as it will provide the combined corporation with an overwhelming market share. The harm to competition remains the top concern at this time, simply because it may lead to higher prices for consumers. In addition, it is believed that the merger would lead to more deals, as both organizations will, in an effort to gain regulatory approval, dispose of some assets. For example, it is believed that MillerCoors would be dissolved as part of this deal and SABMiller would need to sell off its shares in CR Snow, the top selling beer brand in China. Finally, Anheuser-Busch InBev would need to win the approval of Santo Domingos and Altria, the two biggest investors in SABMiller. Any of the above could halt this sale in its

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