.: Cases in Strategic Management 
Case 23 THE MAHOU SAN MIGUEL DEVELOPMENT STRATEGY: A PLACE CALLED WORLD

Diana Benito Osorio
Universidad Rey Juan Carlos


23.1. INTRODUCTION: ORIGIN OF THE COMPANY
23.2. THE PRODUCT DIVERSIFICATION STRATEGY
23.3. THE INTERNATIONALISATION PROCESS



Mahou San Miguel has become the unrivalled leader in the Spanish brewing industry. The initial dedication to beer has not stopped the firm from pursuing a diversification strategy for its business portfolio. In addition to beer, it trades in mineral water, soft drinks, coffee, ciders and sweeteners. Mahou San Miguel accounts for 75% of the exports of Spanish beer and has operations in over 50 countries, basing its corporate strategy on “profitable internationalisation”. In 2012, responding to the strategic importance of developing the firm outside Spain, Mahou San Miguel set up an international business unit. Thus, the goal of long-term value creation is based on significantly increasing its international turnover, while at the same time diversifying its product portfolio.


• Analyse the business diversification strategy by studying reasons and types

• Analyse product diversification strategies and internationalisation and their joint impact

• Understand the reasons for these strategies, and their advantages and specific risks


• Development strategies

• Diversification

• Internationalisation

NAVAS LÓPEZ, J.E.; GUERRAS MARTÍN, L.A. (2013):Fundamentals of Strategic Management", Thomson Reuters-Civitas, Cizur Menor.

Chapter 6: The directions for strategic development
Chapter 8: Internationalisation strategy

GUERRAS MARTÍN, L.A.; NAVAS LÓPEZ, J.E. (2007): La Dirección Estratégica de la Empresa. Teoría y Aplicaciones”, Thomson Reuters-Civitas, Cizur Menor, 4th edition.

Chapter 11: The directions for strategic development: business scope and expansion
Chapter 12:
The directions for strategic development: diversification, vertical integration and portfolio restructuring
Chapter 13:
Managing the multibusiness firm
Chapter 16:
Internationalisation strategy




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