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Case Title:

Femsa: The Mexican Beverage Giant's 'Continental' Growth Strategies

Publication Year : 2005

Authors: Sireesha, Sumit Kumar Chaudhuri

Industry: Beverages

Region:Mexico

Case Code: GGL0021

Teaching Note: Not Available

Structured Assignment: Not Available

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Abstract:
By late 2005, Fomento Economico Mexicano, SA de CV (FEMSA) was the largest beverage company of Latin America and second largest brewer in its home country Mexico, with a market share of 45%. Beer brewing and soft drinks bottling, its core businesses, are supported by its retailing, distribution and logistics subsidiaries. With decreasing margins and increasing price fluctuations in the consolidating global beer industry, FEMSA is focusing on the growing soft drink market of Latin America.

Pedagogical Objectives:

  • To highlight FEMSA's growth over the years
  • To discuss the strategies adopted by the company to become one of the largest beverage companies in the South American continent.

Contents:

  • FEMSA's Business Profile
  • FEMSA Cerveza
  • Coca Cola FEMSA
  • FEMSA Commercio

  • FEMSA Empaques and FEMSA Logistica
  • The Continental Growth Strategies
  • The Mexican Future

Keywords : Global beverage industry; Latin American beverage industry; Mexican beverage industry; Growth of Fomento Economico Mexicano, Growth Strategies Case Study; SA de CV (FEMSA) through acquisitions; Competitive advantage of FEMSA; Competitors of FEMSA; Coca-Cola FEMSA; Price competition of FEMSA; Brand image of FEMSA; Product diversification of FEMSA; Product differentiation of FEMSA; Growth through global expansion; Modelo; Supply chain management; OXXO convenience stores

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