Artois. This merger positions Anheuser Busch to monopolize the beer industry globally and is the largest beer acquisition in history (Gara, 2015). Economies of scale occur when long-run average costs decrease as output increases. Anheuser-Busch has several examples of economies of scale with the most obvious being the acquisition of SABMiller. This would be an example of specialization and division of labor. Large scale production of beer allows for the production process to be divided into
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