The internationalization process of Red Bull from the perspectives of global expansion

University essay from Mälardalens högskola/Akademin för hållbar samhälls- och teknikutveckling; Mälardalens högskola/Akademin för hållbar samhälls- och teknikutveckling

Abstract:

Date: 23rd November, 2009

 

Level: Master Thesis in International Business and Entrepreneurship (EFO705), 15 credits

 

Authors: Karakawat Sarasalin (830117-T255)    Thitiporn Watthanachai (831031-T124)

ksn08001@student.mdh.se                       twi08001@student.mdh.se

Title: The internationalization process of Red Bull from the perspectives of global expansion

Supervisor: Jean-Charles Languilaire

ProblemStatement: How did RED BULL manage to be as an important central international market player?

Purpose: The purpose of this research is to describe the internationalization process of Red Bull; how Red Bull created, sustained and developed?

 

Method: We mainly use secondary data and the qualitative data. Qualitative data in the form of interview questions through e-mailing. But we also use quantitative method based on documental research from books and internet.

 

Conclusion: Red Bull does not follow the standard pattern of establishment chain presented in the Uppsala model. Its establishment chain is composed of three stages: licensing ,wholly owned sales subsidiaries and jointed venture. Red Bull has developed strong market within the beverage industry network and strong bonds with its external suppliers. The expansion decisions of Red Bull have been influenced by the factors. Red Bull developed in the European market, we found that it careful consideration about both internal and external factors, Red Bull usually prefers to conquer a new market with a relevant low risk entry mode.

Keywords: Red Bull, internationalization, network, factors

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