Diageo: Innovating for Africa Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Diageo: Innovating for Africa Case Study Solution

Plan of Action

As the company’s growth has some issues related to the growth in Africa as well as the competition; the recommended option is that regardless the market being highly competitive; the CEO and investors should invest in Africa. The reason for this suggestion is that Diageo is the largest brand of drinks, which also happens to have a geographical presence in 180 countries so people are well awareof the company and its brands. The company also exports most of its brands to Africa from the 19^th century and this is also an opportunity for the company to grow in Africa. Diageo has a strong brand image and it is leading in the world of drinks.

The company has a large portfolio of 13 world-class brands, through which the company can minimize the competition in an efficient way. Moreover, if the company chooses to invest in other products where the consumer demand is high; it would prove to be an effective step towards having growth. Also, Diageo sells in four districts in Africa: South Africa, Nigeria, East Africa (Kenya, Tanzania, Uganda, Burundi, Rwanda, and South Sudan) and African Regional Market (so Ghana, Cameroon, Ethiopia, Angola, and Mozambique) so the investment could turn out to be a success, because of its reputation in Africa.

The plan can be implemented with the support of the federal government to start this project. Rules associated with business enterprise must be smoothened out, so that new companies proprietors could be urged to build up the organization adequately. The company also needs to build an infrastructure for research and development. The data collection must be encouraged. There must be other suitable promotional strategies for brand building. Snapp should also be implemented by Diageo in Africa as it focuses on women, and the company also generated £10 million sales from this exclusively designed launch. The companyhasn’t launched any women products in Africa so this segment would help the company to tap the new opportunities to have a substantial growth.

Update

Diageo sells to the largest food chains also, which include: Burger King and Pillsbury. Currently, the company has 30,000 employees from different counties. Diageo has launched 100% recycled bottles of plastic in North America. Working capital requirements are additionally high. While there are numerous high barrierswhich restricts or limits the new entrants who aim to establish a noteworthy worldwide spirits business. Diageo's strategy is based on offering its items to purchasers,after having an adequate understanding their habits. The organization is concentrating on becoming increasingly effective in reducing its expenses. In this pandemic of COVID-19; theCompany has launched $100 to help the pubs and bars as a recovery fund after the implementation of the lockdown. Diageo has also provided more than 8 million bottles of sanitizers for the workers’ healthcare. The current strategy of the organization is to become such an organization that performs in the industry with an excellence and earns more trust of the consumers. (Diageo, n.d.)..............................

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