Global Beverages Research Articles

Starbucks Market Entry Plan to India

This report examines Starbucks' strategy for expanding into the Indian market. Starbucks Corporation, headquartered in Seattle, Washington, is a globally recognized American coffeehouse and roastery chain, and it holds the title of the largest coffeehouse chain worldwide. The report begins by analyzing the rationale behind choosing India as the host country, with a focus on the cultural and economic factors that were considered in the environmental scanning process. It then outlines a market entry strategy, proposing a potential joint venture between Starbucks and the prominent Indian company, TATA Global Beverages Limited. The discussion extends to a comprehensive marketing strategy, utilizing the 4Ps framework to strategically guide Starbucks' entry into the Indian market. Lastly, the report addresses potential challenges and presents a contingency plan to mitigate them.

"Market Entry Strategies of Starbucks in India: Analyzing Starbucks' market entry strategies in India, including its partnership with Tata Global Beverages, localization efforts, and competition with established players like Café Coffee Day and Barista."

"Market Entry Strategies of Starbucks in India: Analyzing Starbucks' market entry strategies in India, including its partnership with Tata Global Beverages, localization efforts, and competition with established players like Café Coffee Day and Barista."

A Progressive Nutrient Profiling System to Guide Improvements in Nutrient Density of Foods and Beverages.

Improving the nutrient density of processed foods is one way to bring the global food supply closer to the WHO Sustainable Development Goals. Nutrient profiling (NP) has emerged as the preferred method of monitoring the progress toward product innovation and reformulation. This paper presents PepsiCo Nutrition Criteria (PNC), a new internal NP model that was designed to guide and monitor improvements in nutrient density and overall nutritional quality of foods and beverages. The new PNC NP model assigns food products into four classes of increasing nutritional value, based on the content of nutrients to limit, along with nutrients and ingredients to encourage. The nutrient standards used for category assignment followed those developed by global dietary authorities. Standards are proposed for calories, sodium, added sugars, saturated, and industrially produced trans fats. Also included are minimum values for food groups to encourage, low-fat dairy, and for country-specific gap nutrients. Internal use of the NP model has spurred product changes that are consistent with WHO goals for industry transparency. An audited review of company products showed that 48% met added sugar, 65% met sodium, and 71% met saturated fat goals. By the end of 2020, in the top 26 regions in which products are sold, 48% of the total sales volume of global beverages had 100 kcal or less from added sugars per 355 ml serving representing 80% of beverage volume and over 90% of food volume sold globally. The PNC NP model is not consumer-facing but is specifically intended for internal use to motivate stepwise and incremental product innovation and reformulation. Transparent and published NP models further WHO goals of engaging industry stakeholders in the (re)formulation of processed foods and beverages consistent with public health goals.

Fermentation and characterisation of potential kombucha cultures on papaya-based substrates

The rising demands and increasing health-conscious population in global beverages consumptions promote the development of new variety of kombucha beverages using various plant and fruits. This study aimed to isolate, identify and characterise the microorganisms found in the kombucha starter. Isolated microorganisms showed high similarity (99%) towards an acetic acids bacterium, Komagataeibacter rhaeticus MFS1 and a yeast, Dekkera bruxellensis MFS1. Under low pH tolerance test, D. bruxellensis MFS1 was remained viable (log7 CFU/mL) but no viable cell was observed for K. rhaeticus MFS1 after 3 h exposure at pH 2. However, both strains retained viability when exposed to pH 3–4 for 3 h. When tested bile salt tolerance at different concentration (0.3–1%), D. bruxellensis MFS1 showed high tolerance with viability up to log7 CFU/mL after 4 h exposure at 1% concentration. In contrast, K. rhaeticus MFS1 only retained the viability up to 2 h under bile salt environment. The presence of 1.45–1.62% acetic acid with less than 0.5% ethanol was detected at the end of 4-days fermentation in both kombucha papaya samples. These preliminary results showed the potential of using these isolated strains as starter cultures for the production of novel functional fermented beverages from papaya pulp and leaves.

Study of Sales Forecasting Accuracy using ARIMA Model

Here to understand the accuracy of forecasting, a study was conducted at Tata Global Beverages Limited (TGBL). The sample size for the study consists of the sales for the tea brand of TGBL during the last five years (April 2013 – March 2018).

Tata at a Crossroads

The case is about one of the leading business houses in India, the Tata Group, which is known for its ethical leadership and was well known for its corporate social responsibility. Under the leadership of Mr. Tata, this legacy passed to the next level and Tata’s business flourished globally through acquisitions. When Mr. Mistry replaced Mr. Tata, he took a different approach of divestment. On October 24, 2016, Cyrus Mistry was removed as the chairman of the $100- billion Tata Group unexpectedly and re-appointed Ratan Tata as the chairman for an interim term of four months. This case study is about Ratan Tata, Cyrus Mistry and the different leadership in the Tata Group. It discusses how Ratan Tata restructured the Tata Sons business and developed the company subsequently. Mr. Tata transformed Tata from a struggling unit into one of the most successful and profitable companies in the world by revamping the operations of Tata Steel and made it one of the lowest cost steel producers in the world. He retired at the age of 75 and Mr. Mistry became the chairman of Tata. Apart from being the Tata Sons chairman, Mr. Mistry had also become the chairman of Tata Steel, Tata Motors, TCS, Tata Power, Indian Hotels, and Tata Global Beverages, the verticals of Tata Sons. He was a hard decision maker, which puts Tata into the red. Tata Family was unhappy at Mr. Mistry's policy of looking to sell off parts of the business rather than holding on to assets and extending the firm's global reach. In 2016, Mr. Cyrus was asked to step down within four years.

A Systems View of Corporate Diversification

This article extends the systems view of the global economy to the study of corporate diversification. In the systems view, the economy is disaggregated from the industry and the firm level to explain the boundaries of the firm. The economic environment generates imperfections in markets and in firms. These imperfections generate costs, which create incentives for firms to internalize physical and intellectual linkages, such as manufacturing equipment and marketing knowledge. Drawing on the case of the global alcoholic beverages industry from the 1960s until the 2010s, I conclude that it is necessary to combine these two types of linkages and take into account the volatility of the environment in order to provide a dynamic and full account of corporate diversification.

The cup that cheers (human resources at Tata Global Beverages)

The cup that cheers (human resources at Tata Global Beverages)

Antioxidant Potential of Green and Black Teas of Selected South India Cultivars

Tea is one of the most popular global beverages. It is widely consumed as a health promoting beverage and its health benefits are mainly due to the presence of polyphenols such as catechins, theaflavins and thearubigins. The purpose of the present study is to evaluate the antioxidant potential of green tea (GT) and black tea (BT) extracts of eight different cultivars by radical scavenging activity (DPPH-RSA) and hydrophilic oxygen radical absorbance capacity (H-ORAC). The extracts of teas were also analyzed for total polyphenol (TP) content and catechins. H-ORAC [(μmol Trolox equivalent (TE)/g)] values ranged from 2730-5031 (GT), 1429-2766 (BT) and DPPH-RSA (μmol TE/g) ranged from 1098-1376 and 508-798, respectively. Comparing the same cultivar, GT showed higher antioxidant activities (H-ORAC and DPPH-RSA) than those of BT which is partially attributable to the increased TP and concentration of catechins. Correlation coefficients between parameters of antioxidant activities were TP/H-ORAC (GT: 0.647, BT: 0.79), TP/DPPH -RSA (0.744, 0.976) and DPPH-RSA/H-ORAC (0.686, 0.811) while those of BT exceeded those of GT. Extracts from all the cultivars showed good antioxidant potential. Antioxidant activities were mainly derived from catechins in GT and theaflavins in the case of BT.

Transformation at Foster's (A), (B) and (C)

Foster's Group is an Australia-based global alcoholic beverages company which produces a wide range of beer and wine. Case (A), set in February 2008, opens up with damning media reports, questioning the ability of Foster's CEO Trevor O'Hoy to deliver satisfying financial performance. The case then traces the evolution of Foster's Group, originally a beer company, and outlines its strategy of internationalisation (in North America, the U.K. and Asia) and corporate strategy based on diversifying acquisitions in wine. The case's focus is on the last two decades of Foster's growth under the leadership of two CEOs — Ted Kunkel and Trevor O'Hoy. Case (A) describes the difficulties Trevor O'Hoy experienced in integrating the acquisitions of Beringer (U.S.) and Southcorp (Australia) and pushing a "One Foster's" multi-beverage strategy. Cases (B) and (C), set in June and July of 2008, provide follow-up information. Trevor O'Hoy resigns, and Foster's Board of Directors urgently needs to sort out the company's future strategy and succession. The case allows the students to examine central issues in corporate and international strategy, namely internationalisation of a leading domestic company and issues of international acquisitions; corporate strategy, with a focus on diversifying acquisitions, post-merger integration and synergies; and corporate governance issues and the role of the Board in strategy.

Markets, knowledge and trade in brands

Focusing on the global alcoholic beverages industry in the last 50 years, this study explains the different ways in which brands can be traded internationally and the impact of this trade on firms' global strategies, structures and operations. It argues that the increase in the trading of brands has been led by the need for brands to be managed by entrepreneurs and firms with different levels and kinds of knowledge, in particular, marketing knowledge, and that this knowledge is greatly determined by the stages in the lives of brands and the characteristics of the markets in which brands are sold.