TASK-5 lvaro Dniz Domnguez

Task environment analysis

1) Choose an industry and make analysis using strategic group map

approach. Use at least 3 variables and construct 3 maps.

Within the same sector there are many companies with different approaches
and competitive positions. Through the analysis of the strategic groups we try to
identify those companies that have similar strategic characteristics in the market.
In this sense, we are going to analyze the beer sector in Spain.

In this sector we can find two different strategic groups:

- Companies with national presence (Brewing groups): The three

largest companies in the sector. They distribute their products nationally
and have very high market shares. Between the "Grupo Mahou-San
Miguel", "Heineken Espaa" and "Grupo Damm".
- Companies with presence in a community (microbreweries):
"Estrella de Galicia", "Compaa Cervecera de Canarias" and "La
Zaragozana" have very important market shares within the autonomous
community to which they belong (Galicia, Canarias and Aragn
respectively), but their presence at a national level is limited.

Next, we will analyze the brewing industry from different points of view:
price, geographical coverage and market segments served.
High
Price
Low

Few Many
Geographical Coverage

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 TASK-5 lvaro Dniz Domnguez

Many .
Geographical coverage
Few

Few Many
Market segment served

.
Many
Market Segments Served
Few

Low High
Price

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TASK-5 lvaro Dniz Domnguez

As we have seen, between the companies that belong to one and another
group, there are no apparent differences in the price of the products, all are within
the margins established by the law of supply and demand.

Where we do find great difference is in the size of the companies and their
level of expansion both in Spain and abroad. This is largely explained by the fact
that the industrialized production of the large groups is distributed among a small
number of companies (limiting the growth of the small regional companies), while
the large groups have an extensive geographical coverage (they have large
plants spread over all the national territory that allow the internationalization of
their brands) and serve a wide number of market segments (Large social scope),
microbreweries are focused on production for local or regional sale, thus making
distribution and number of products more difficult. market segments to which they
have access.