In the world of bourbon, older is better. As the bourbon ages, its taste becomes more flavorful and unique. This better taste allows firms to…
Author: campbellj15
With society becoming more health conscious, consumers have been looking for an alternative to soft drinks. One might think that juice is a healthy alternative…
Vestas, one of the largest wind turbine manufacturing companies in the world, sold one of its most important internal operations to an outside partner. VTC Partners, a German industrial group, bought the operations of the company that were in charge of producing the giant steel poles that hold the wind turbine in the air.. Why would a company sell such important operations?
For most large manufacturing companies, improvements in efficiency usually stem from technological advances. This can mean improved machinery or a more efficient process to make goods. These technological advancements can lead to economies of scale and reduced average costs, which are important factors in the growth and expansion
US airways and American Airlines are trying to merge together into one company, but the US government has filed a lawsuit to stop them. The…
The tobacco industry may be undergoing a radical change. Electronic cigarettes have become a popular alternative to traditional cigarettes and have started to exert pressure…
The article “Are We in Danger of a Beer Monopoly?” by Adam Davidson of the New York Times discusses the process of a company “building” its own monopoly in a market. Anheuser Busch-InBev (AB InBev) plans on merging with Grupo Modelo (maker of Corona) to increase its pricing power in the US brewing industry. In the past, AB InBev has been such a power that it has set pricing power in a “perfectly competitive” [jargon??] market. AB InBev has said that if competing firms lower prices, then Busch will set their prices lower, starting a price war. With AB InBev having the largest market share of the brewing industry, few firms have the ability to compete with this threat.