Question

While most of the marketing process is concerned with meeting the needs of customers, it is extremely important to identify and understand your competitors. The development of your marketing mix strategy will be heavily influenced by what strategy your competitors are using. You will learn there are two types of competitors, direct and indirect. Direct competitors offer consumers a product that is almost identical to yours. Indirect competitors offer a different product that meets the same consumer needs as your product, only in a different way.

For example if you make Frito Lay potato chips, you are a direct competitor might be Pringles potato chips, while your indirect competitor might be Orville Redenbacher popcorn. Both appeal to the consumer need for a snack food that Frito-Lay does - Pringles with an almost identical product, Redenbacher with a different product.

The competitive analysis of your chosen product consists of two parts:

1. Industry analysis
2. Competitor analysis

1. Industry analysis
   1. The industry concept: an industry is a group of firms that offer a product or products that are substitutes for each other.
      1. Identify the major companies (select 2) in your product’s industry.
      2. Discuss the nature and strengths of competitive threats by firms that are defined as competitors (select 2).
2. Competitive analysis
   Identify your products major direct competitors. This group will be referred to for other parts of this assignment. For each direct competitor, identify its:
   1. Strategies: determine the nature of competitive strategies in your industry.
   2. Objectives: are your products direct competitors looking to maximize sales or profits? Are they trying to gain market share or a new target market? What are they trying to accomplish?
   3. Strengths and weaknesses: classify each identified competitor according to strength and weaknesses and justify your answer. You should not exceed 2 competitive companies.
      1. Do some research to estimate the size of the current market for your product and the market share for your company and market share for each of your identified competitors.

Pages required: 6

Answer: I chose Bud Light Beer as my product !

Answer 1

Competitive Analysis for Bud Light Beer
Industry Analysis	Competitor Analysis
Regarding Current Company: According to Question, I have considered a product, here Bud Light Beer, where the current brand name is Budweiser, and Company name is Anheuser – Busch, which is wholly owned subsidiary of Anheuser-Busch InBev SA/NV, this company is largest brewing company and serves different ranges of Beer in United states with having market share of above 40% (According to year 2016 data)	Identify your products major direct competitors: there are various competitors for the Bud light Beer company, Anheuser – Busch lets one by one like Miller Coors, Constellation Brands, Heineken, Pabst Brewing company, D.G. Yuengling and Son, North America breweries, Diageo, Boston Brewing company and Sierra Nevada Brewing Company,
Two Major Competitor: Now let consider two major competitor for the same or similar product industry, those are Miller Coors, which is also another largest brewing company in United states, and the second one is Constellation Brands, who is also big competitor in the product industry and produce huge volume of beer in united states as well as largest beer company in United States,	Considering each competitors for the brewing product and brand Bud light beer, there are various competitive strategies applicable in the Industry, as expanding the market share could be effective consideration for any Brewing company, to increase the market share, the brewing company have to get many customers and better positioning of the products in various areas of United states, so again, they have to consider Increasing production for their brewing products, others competitive strategy like defending the market share strategy could be essential for gaining the availability of product as per need of customers, Positioning defense, Flanking Defense, Preemptive defense, Counter offensive defense, Mobile Defense and Contraction of Defense could be regarded as significant part of defending market share strategy, Expand total market strategy also follow key role for gaining competitive advantages in this Industry,
Following are the various nature and strengths of competitive threats for the company here Anheuser – Busch with Brand Budweiser – Bud light Beer, because of present of two Major Competitors in the similar region or market like United states, let me point out one by one: • According to Brewing association data, Miller Coors, regarded as Second largest brewing company in United states and comes after the Company here Anheuser – Busch, they have wide ranges of Beers under the brand Name like Coors Light, Miller High life, Blue Moon, • Again according to brewing association, Constellation Brands, regarded as third largest brewing company in the United states, also their strength like they provide huge volume of beers for the customers, they have various ranges of beers under the brand name like Corona Extra, Modelo Especial and Pacifico, due to good market share and customer satisfaction they have gained with higher sales revenue in recent fiscal year, • Further others nature and strength of the competitive strength of the two mentioned or selected Beer Company are they have wide presence in various areas of United states, good taste of Beer, huge availability, customer satisfaction or positioning of all these beer in the mind of customers, easy availability and retailer options,	Objectives: The company as considered here Anheuser – Busch have two major competitors like Miller Coors and Constellation Brands, those competitors also maximizing sales revenue generation and gaining with creating various new target market strategy and new market share, further they are trying to gain their product positioning in the market, bring differentiation for their products and achieve better brand Image by creating various advertising works and community engagement, so the objectives of the company is Anheuser – Busch to focus on understanding all the competitive rivalry as available in the market, and gain better market performance with high rate of customer satisfaction,
	Strength of major two Competitors like • Both here Miller Coors and Constellation Brands are Largest brewing company in the market, as they have huge production capacity with easy availability in the market • Further the competitors company has good volume of producing beers record and high rate of customer satisfaction achieved • Others like financial strength of the company, Internal environment and understanding changing taste of customers, better design of bottle, good quality of brewing Weakness of major two Competitors like: • Weakness could be for Miller Coors and Constellation Brands include higher pricing, regional availability, • Higher tax rates for each products, higher packaging charges and delivery charges for every products, some season they have limited production of brewing
	Miller Coors Expanded their market share with focusing of releasing various brands like Coors Light, Icehouse, Killian’s Irish Red, Coors Banquet, Extra Gold Lager, Coors Light Citrus Radler, , Hamm’s, Herny Weinhard’s, Molson, Leinenkugel’s, Foster’s, Redd’s Apple Ale, Crispin, Smith & Forge, Sparks, Pilsner Urquell, Cristal, Cusqueña, Grolsch, Lech, Peroni, Batch 19, Blue Moon, Third Shift, Keystone, Magnum, Mickey’s, Miller Genuine Draft, Miller High Life, Miller Lite, Miller 64, Milwaukee’s Best, Olde English, Red Dog, Steel Reserve, Aguila, Further the market share account for 25% of all the beer sold in United states and Coors light alone represents more than 8 percent of share of all the beer selling,
	Constellation Brands expanded their market share with creating various brands like Corona, Tsingtao Modelo, Victoria, Pacifico, Negra Modelo, they have further increased sales of beers around 10% by volume and 12% by USD, according latest market report and consistently growing with increasing Exporting value and distribution capacity in the market,