Heineken Internationalization

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Table of contents

1. Introduction 4

2. The Heineken Company 5

2.1 Background information 5

2.2 Motives for going abroad 6

2.3 Financial world of Heineken 6

3. Internationalization process 7

4. Transnationality Index 9

4.1 Introduction 9

4.3 Conclusion transnationality index 12

5. Modes of Entry Heineken 13

5.1 Exporting 13

5.2 Licensing 14

5.3 Joint Venture 15

5.4 Foreign Direct Investments 16

5.5 Conclusion 18

6. Heineken’s organization and characteristics 19

6.1 Filling in the organizational structure 19

6.2 The EPRG Model 20

6.3 Prahalad & Doz 22

6.4 Organizational penetration model 23

6.5 Linking Prahalad & Doz to the EPRG model and organizational structure 24

7. Conclusion 26

References 27

Appendix 1: Press release about Belarus 28

Appendix 2: Press release about Tango Brewery in Nigeria 29

Appendix 3: Joint ventures of Heineken 30

Appendix 4: All FDI’s of Heineken 31

Appendix 5: SWOT analysis Heineken 33

1. Introduction

In this paper the company Heineken will be analysed. The problem statement which will be investigated in this paper is:

Has the company Heineken implemented a logical, coherent and successful internationalization process?

To analyze this main question carefully the following subjects will be further revealed:

- The mode of entry of Heineken in several countries;

- The theory of Dunning in relation to the FDI’s of Heineken;

- The relation between the organizational structure, the EPRG model and Prahalad & Doz in regard to the global strategy of Heineken

As Heineken operates all over the globe they have divided their entire market into six geographical segments, namely:

West Europe - Africa and the Middle East

Central and East Europe - Asia Pacific

The Americas - Head Office / eliminations

In this rapport there will be explained how Heineken started operating in these parts of the...