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Expanding horizons
03 Dec 2014Food and Beverage looks for growth
Growing food and beverage companies are not constrained by geographical boundaries. They chase profits and revenues around the world, wherever market-entry risks are manageable. Yet when going global, food and beverage executives are faced with an array of challenges. Distribution and logistical limitations for perishable goods; varying food safety regulations; and a tireless battle for shelf space, all impact companies.
Working with dynamic, food and beverage companies has given Grant Thornton member firms insight into how companies successfully expand internationally – shared in this new market entry guide.
Guide highlights
Adapting to changing demographics and demand: Demand is shifting from local to global, fuelled by a growing middle class. Successful companies are capitalising on this by innovating and adapting processes, products and strategies.
Overcoming barriers to market entry: Food and beverage companies must research new geographies before making costly expansion decisions. These assessments will locate the best opportunities; flag significant barriers; and identify resources to maximise return on investment.
Avoiding common pitfalls: As companies develop their strategy to launch products into new, international markets, it is critical to watch for common pitfalls. These include avoiding overly rigid planning or thinking the company has infinitely deep pockets for financing the opportunity.
Realising new market entry: There are opportunities for food and beverage companies who grow globally. To help realise these opportunities the guide outlines a four-step process to formulate and realise a global strategy and action plan.