Task 1: Give a brief overview of the primary external influences to which the organization is

subject and briefly explain the particular importance of each to the organization.

1. Opportunities of Thai Bev comes into the third section of SWOT matrix. The
association at present has the accompanying chances accessible on the lookout:
Opportunities are macro-environmental factors and developments that Beer Bev can leverage to
consolidate its current market position or use it for further expansion. Opportunities can come
from various factors, such as political development and policy changes, changes in consumer
preferences, technological innovation, increased consumer disposable income, and economic
growth.
- Getting International Talent in the Global Market - One of Beer Bev's current challenges is
that it is unable to enter the high-end talent market due to limited budgets. Entering the
international market helps Beer Bev develop the international talent market. According to
Andrew Karl Delios and Donna Jiménez, it can also help bring talent to the domestic market
and expand into new areas of government and joint ventures.
- AI development: Beer Bev can use AI development to better predict consumer needs, serve
market segments, and build a better recommendation engine.
- Opportunities in adjacent markets-Beer Bev can explore adjacent industries, governments,
and joint ventures to promote market growth, especially by expanding the functionality of
existing products and services.
- The changing technological landscape: The rise of machine learning and artificial
intelligence is changing the technological landscape of Beer Bev's operations. According to
Andrew Karl Delios and Donna Jimenez, Beer Bev can use these developments to increase
efficiency, reduce costs, and transform processes.
- The ever-increasing market size and the evolution of consumer preferences: In the past
decade, half of the market has grown at an accelerated rate. The influx of new customers has
also led to the evolution of consumer preferences and tastes. This brings two major
challenges to Beer Bev: how to maintain customer loyalty and how to provide services to
new customers. Beer Bev tried to diversify, first using different brands, and then adding
various functions according to customers' preferences.
- Business models for e-commerce and social media: E-commerce business models can help
Beer Bev establish contacts with local suppliers and logistics providers in the international
 market. The development of social media can help Beer Bev reduce the cost of entering new
markets and attract customers with significantly reduced marketing budgets. It can also lead
to crowdsourcing of various services and consumer-oriented marketing based on data and
purchasing behavior.
2. Threats of Thai Bev comes into the fourth section of the SWOT grid. Other than various
freedoms offered by outer business climate, the association additionally faces a few
dangers as introduced beneath:
- Immigrant threat as cost cuts and efficiencies increase – Beer Bev can take advantage of the
low cost of using social media and e-commerce to reach customers, so will its competitors
(both domestic and international).
- International Geopolitical Factors - Geopolitical factors since the Trump election have been
driven by the escalation of protectionism. Burekugitto Russia's sanctions, Venezuela's
foreign exchange crisis and progress such as inflation and falling oil prices are affecting the
international business environment. Beer Bev should focus closely on these events, making
them essential for strategizing.
- Industry Fixed Price Culture - Beer Bev operates in the industry with a fixed price culture.
The Beer Cases (D): ThaiBev case study DonnaJimenez. According to AndrewKarl Delios,
it is likely that some of the organizations will not be able to raise the premium price value
price.
- Sino-China Trade Relations - Beer Bev has focused on China for the next phase of growth.
However, tensions are escalating between US-China trade relations, which could lead to
protectionism, increased friction in international trade, and rising costs, both in terms of
labor and business costs.
- Credit Binge After the 2008 Recession - With easy access to credit always available,
BeerBev should focus on reducing its reliance on expanding debt. The party has been going
on for more than a decade, which could incur huge interest costs on rollback virtuosos from
the federal government.
3. PESTEL:
From the perspective of sensible assessment and data invigorates that the creator had expected to
justify this report, there was an assessment of the PESTEL plan of Thai Beverages:
P - Political:
- Role Local Governments Play – Local governments are profoundly compelling in the approach
making interaction and execution as the majority of the arrangements and guidelines are carried
out by the nearby government as authorization organizations for the most part report to
neighborhood government in their own states with respect to different laws.
- Unrest inside the Country and Chances of Civil Unrest – We don't believe that Beer Bev
business activities are confronting any threats from any sort of common agitation or inner
assailant tasks in the country.
- Threat of Terrorist Attacks – We have faith in the realm of post 9/11, enterprises, for example,
Beer Bev need to live with working under the shadow of a psychological oppressor assault. The
reasonable strategy ought to be to take protection and different kinds of supporting instruments
to alleviate the misfortunes happening in view of the psychological oppressor assaults.
- Size of Government Budgets – both Local Governments and National Government – The
public authority at both public level and nearby levels are running shortfall spending plans which
is boosting development temporarily however may prompt expansion in swelling over medium
term. The bond rating of public government is venture grade.
- International Trade and Other Treaties – The nation has a decent record of sticking to
worldwide settlements it has finished with different worldwide accomplices. The public authority
of each gathering has clung to the deals done by past governments, so there is a consistency in
both law and order and guidelines.
E - Economic:
- Level of Household Income and Savings Rate – Increasing utilization and stale family pay in
United States had prompted credit gorge utilization. It has destroyed the way of life of reserve
funds as individuals need more to save. Lager Bev should be cautious about building advertising
system that is subject to "Buy on Credit" customer conduct.
- GDP Trend and Rate of Economic Growth – The higher GDP development rate signals
developing interest in the economy. Lager Bev can use this pattern by extending its item range
and focusing on new clients. One approach to begin is by intently planning the progressions in –
shopper purchasing conduct and arising incentive.
- Fiscal and Monetary Policies – The Republican government tax reduction culture has expanded
the shortfall and it can prompt financial difficulty for the economy in coming years.
S - Society:
- Attitude towards Savings – The way of life of saving in US and China is very surprising where
reserve funds rate in China is around 30% , it is well underneath 15% in United States. This
culture of utilization and reserve funds sway both sort of utilization and size of utilization.
- Gender Composition in Labor Market Beer Bev can utilize sex piece of work market to
comprehend the degree of liberal nature of the general public, ladies rights, and ladies' say in
matter of cultural issues and utilization choices. The sexual orientation arrangement of work
market is a decent marker of removal pay of family, needs of the families, and related
requirements.
- Societal Norms and Hierarchy – What kind of chain of importance and standards are worthy in
the public eye additionally impact the sorts and level of utilization in a general public. In
exceptionally various leveled social orders the force of dynamic regularly dwell at the top
T - Technology:
- Intellectual Property Rights and Patents Protection – Before entering new market Beer Bev
should zero in on the climate for licensed innovation rights.
- Property Rights and Protection of Technology Oriented Assets – Beer Bev ought to investigate
the lawful status of different property rights and licensed innovation rights assurances that are
normal in US.
- Level of Acceptance of Technology in the Society – Beer Bev needs to sort out the degree of
innovation acknowledgment in the general public prior to dispatching new items. Frequently
organizations enter the field without essential framework to help the innovation situated model.
- Transparency and Digital Drive – Beer Bev can utilize digitalization of different cycles to
conquer defilement in the nearby economy. (ThaiBev, 2014)
E - Environment:
- Level of Consumer Activism Regarding Environmental Concerns – Beer Bev has to know the
degree of buyer activism with respect to natural concerns is. It will help Beer Bev in both
growing harmless to the ecosystem items and foiling PR stagger blocks.
- Corporate Social Responsibilities Culture – Are Beer Bev present CSR endeavors material in
the new market or does it needs to have new drive to oblige the planned market.
- Focus and Spending on Renewable Technologies – How a large part of the financial plan is
burn through on inexhaustible effort sources and how Beer Bev can make this venture as a
component of its cutthroat technique. (M. E. Doorman, 2016).
L - Legal:
- Consumer Protection Laws – Beer Bev has to realize what are the buyer laws, what is the pace
of authorization, what is the disposition of specialists towards purchaser assurance laws, and
what is the job dissident gatherings in implementation of shopper insurance laws.
- Transparency in Judiciary System and Processes – Transparency is fundamental for reasonable
and predictable dynamic. Assuming the interaction is reliable and straightforward, Beer Bev can
prepare with more prominent conviction.

Task 2: Competitive Dynamics

I. Introduction:
Thai Beverage Public Company Limited (ThaiBev) was set up in 2003 to unite the
alcohol resources of the standard investor, Mr. Charoen Sirivadhanabhakdi. ThaiBev was
recorded on the Singapore Exchange (SGX) in 2006 at an IPO cost of S$0.28. As of
December 2009, the resources involve 18 refineries in Thailand, five Scotch whisky
refineries in Scotland, one refinery in China and three best in class breweries in Thailand.
Inside the alcoholic business line, the organization sells both brew and spirits. The spirits
resources make an assortment of molasses-based neighborhood white and earthy colored
spirits just as global beverages like whisky.
ThaiBev has been creating Chang lager since 1995. Chang lager was the primary brew
that numerous rustic individuals had at any point seen and accordingly the item entered a
market vacuum where it held a huge portion of the overall industry until contest started to
enter.
Figure 01: Revenue – Thaibev 2020, Annual Report, 2021

Figure 02: Finance – Thaibev 2020, Annual Report, 2021

 Figure 03: Expenses – Thaibev 2020, Annual Report 2021.
Economic value generated and distributed is defined by Income (refer to GRI201-
1: Revenue), Cost of Sales (refer to GRI201-1: Operating costs), Employee
Benefit Expenses (refer to GRI201-1: Employee Wages and Benefits), Income Tax
Expenses (refer to GRI201-1: Payments to Government), and Annual Dividend
(refer to GRI201-1: Payments to Provider of Capital).
2. Employee benefit expenses, which is part of Cost of Sales, was 5,511 million
baht during the period of October 2019 – September 2020 and was 5,978 million
baht during the period of October 2018 to September 2019. The excise tax paid to
the government is also part of Cost of Sales.
3. Geographic income for the Thai Beverage Group according to ThaiBev’s
financial statements for the period ending 30 September 2020.
4. Annual dividend to ThaiBev’s shareholders.
 Figure 04: Training Program, Subtainability Report 2021.
II. Analyze Competitive Dynamics and its relevance to your organization, polocies
and decision-making within Thai Beverage:

As for competitive capability analysis in Thailand’s canned sweet corn industry,

Thailand OIE. (2011) had conducted a study under this topic examining factor
conditions; demand conditions of product s and services; firm strategy, structure and
rivalry; and related industries which support the roles of government. The study
adopts the Porter’s Diamond Model as the conceptual framework. This framework
indicates the competitive capacity of the entrepreneurs of Thailand’s canned sweet
corn industry under dynamic trading circumstances. A change in propulsion affects
other related factors (Porter, 1990). Negative factors: Thai entrepreneurs compete
against one another by price reduction; Global market faces highly influential
manufacturers – France and Hungary. (2) Factor conditions – positive factors: an all
year round corn cultivation, advanced technology, and constant genetic improvement
researches. Negative factors: few major manufacturers promoting contract farming
with minor farmers; and high production costs. (3) Roles of government – positive
factors: the Ministry of Agriculture and Cooperatives has an organic policy
supporting global market’s agreement; and the government passed legislation to
maintain global market’s standards.
1. Threat of new entrants:
 - Entry in the business requires considerable capital and asset venture. This power
additionally loses the strength if item separation is high and clients place high
significance to the special experience.
- Thai Bev will confront the low danger of new participants if existing
administrative system forces certain difficulties to the new firms intrigued to enter
on the lookout. For this situation, new players will be needed to satisfy exacting,
tedious administrative prerequisites, which may deter a few players from entering
the market.
- The danger will be low if mental exchanging cost for purchasers is high and
existing brands have set up a faithful client base.
- New contestants will be debilitate if admittance to the appropriation channels is
limited. (Kotler,P., &Keller, K. L., 2009).
2. Rivalry among existing firms:
- There are just a predetermined number of major parts on the lookout
- The business is developing at a quick rate
- There is a reasonable market pioneer
- The items are exceptionally separated, and each market player targets diverse
sub-portions
- The monetary/mental exchanging costs for purchasers are high.
- The leave hindrances are low, which means firms can undoubtedly leave the
business without bringing about colossal misfortunes. (Porter, E. 2008)
3. Threat of substitute product:
The accessibility of substitute items or administrations makes the serious climate
trying for Thai Bev and other existing players. High substitute danger shows that
clients can utilize elective items/administrations from different enterprises to
address their issues. Different components decide the force of this danger for Thai
Bev.
The Threat of Substitute Products or administrations increments when:
- A less expensive substitute item/administration is accessible from another
industry
 - The mental exchanging expenses of moving from industry to substitute items are
low.
- Substitute item offers something very similar or even prevalent quality and
execution as offered by Thai Bev's item.
4. Determinant of buyer power:
- A more thought client base expands their bartering power against Thai Bev
- Buyer force will likewise be high if there are very few though various venders
are too much.
- Low exchanging costs additionally increment the purchasers' bartering power.
- If there should be an occurrence of corporate clients, their capacity to do in
reverse incorporation reinforce their situation on the lookout. In reverse
incorporation shows the purchasers' capacity to deliver the actual items as
opposed to buying them from Thai Bev
- Consumers' cost affectability, high market information and buying normalized
items in huge volumes additionally increment the purchasers' dealing power.
(Campden,2008)
5. Determinant of supplier power:
- Suppliers have moved into a particular district, and their fixation is higher than
their purchasers.
- This power is especially solid when the expense to change from one provider to
other is high for purchasers.
- When providers are not many and interest for their offered item is high, it
reinforces the providers' situation against Thai Bev.
- Suppliers' forward combination debilitates Thai Bev's situation as they
additionally become the rivals around there.
- Other elements that expansion the providers' haggling power incorporate high
item separation offered by providers, Thai Bev making just a little extent of
providers' general deals and inaccessibility of the substitute items.
III. Critically evaluate the effectiveness of Thaibev’s response:

By investigating the environment of Thai industry utilizing Porter's Five Forces

Model, it was discovered that hindrances which influence the capacity of new
 passages of the business incorporate insufficient assets, ways to deal with selling, and
cost detriments. Elements showing the degree of serious power in the business are the
quantities of makers, over-creation, fixed expenses, and pulling out from the business.
While factors influencing the purchasers' arrangement power are the non-contrast in
items, and low exchanging cost. Variables influencing the dealers' exchange power
are thickness of cultivators, trouble of getting substitutes. The danger of substitute
items has low impact on the serious power in the sweet corn industry. It was likewise
tracked down that the trouble in acquiring substitutes, significance of providers, new
sweet corn crude material, number of contenders, and overproduction have critical
weighted scores normal between 4.28 – 4.75. This is on the grounds that makers
endeavor to expand the creation ability to save expenses to accomplish economies of
scale. It causes greater expenses of new sweet corn crude material. This shows that
new sweet corn is the main factor in this industry. Producers then, at that point need
to think about the immediate impact from the cutthroat power in the business to foster
techniques and interior exercises. Notwithstanding, they need to comprehend that
solitary a few parts can be fixed. Integrating vital buying for new sweet corn crude
material acquirement with horticultural augmentation framework and agreement
cultivating framework helps advancing great relationship and joint effort between
producers, cultivators, and specialists. These applications will give a supportable
upper hand and for sweet corn modern.
IV. Demonstrate some areas for improvement in the response of the organization.

The level of upper hand in the drink business is medium high with the most elevated
mean of the noticed variable. Furthermore, the benefit in the drink business is
medium-high with the noticed factors of innovation/development.
Innovation/development, business people who have innovation/advancement will
enjoy a higher serious benefit than different organizations. Along these lines, it is
important to put a great deal in hardware. Interest in development prompts a quandary
for new organizations and new contenders. Accordingly, as an imposing business
model industry, the organization has a high capacity to address client issues, viable
administration and quality item creation is the factor that makes an upper hand in the
separation methodology, said that keeping up the picture of the business is
dependable and makes its own personality. There is a wide scope of administrations.
Counting after-deals administration, and the organization has a decent quality help
framework for clients to trust. Thusly, with another serious promoting technique,
organizations can start to lead the pack in conveying incredible worth to clients. Their
client. Utilizing a worth structure procedure, chiefs should determine the way of life,
authoritative design, and cycles in the two tasks and the board. To make esteem and
convey to clients a similar way. It can likewise be alluded to as a technique for
building long haul associations with clients. Permitting clients to see that the
organization esteems customers as per the idea of consumer loyalty. Therefore,
various variables are the primary factors that urge organizations to set costs sell
higher than contenders. Counting being a figure results business people having the
option to make an upper hand. Business people can ceaselessly improve their work in
both amount and quality, prompting more separation in the business. Saperation or
variety procedure is worried about making exceptional highlights of items and
administrations that are perceived as not the same as different organizations because
of item attributes , after-deals administration, notoriety for mechanical advancement,
quality control, superficial points of interest and attractive pictures. Advertising
technique of the general drink business, showcasing advancement enjoys the most
aggressive benefit. Great promoting, business people reserve the privilege to value
the item. There are conveyance directs and driving items in their items. Regardless of
whether it is about the taste or the picture of the item and consistently be at the front
line of delivering new items to the market. These variables impact the production of
upper hand. Showcasing system can make upper hand and can fulfill purchaser needs.
Exercises that make consumer loyalty are item valuing, dissemination channels, and
advertising advancement. Moreover, business chiefs should foster items that can
fulfill shopper needs utilizing advertising apparatuses (4P's). Moreover, likewise
added that business exercises should zero in additional on friendly obligation since
social duty is a variable prompting upper hand for undertakings. Effect on the
accomplishment of the business and the achievement of the business has a positive
relationship with the showcasing technique.
List of References:
Al - Debei, M. M., & Avison, D. (2010). Developing a unified framework of the business model
concept. European Journal of Information Systems, 19(3), 359 - 376.

Kotler,P., &Keller, K. L., (2009). Marketing Management. (13 th. ed.) New Jursey:
Prentice Hall.

Kotler, P., & Armstrong, G., (2009). Principles of Marketing. Pearson Education
Indochina.

Pakorn Priyakorn. (2011). Strategic planning: concepts and practical approaches. Bangkok:
Sema Tham

Porter, E. (2008). Competitive Advantage of Nations. New York: The Press.

Robbins, S. P. & DeeCenzo, D. A. (2004). Managemet. Pearson Educationl.

Shiffman, L. G., & Kanuk, L. L. (2007). Consumer behavior (9 th ed.) Upper Saddle
River, NJ: Prentice – Hall.

Vasuthida Kamkasem and Prasopchaisanon. (2018). Factors affecting competitive advantage

building of service business operators in Bangkok. Veridian E - Journal, Silpakorn
University, Thai version, Humanities, Social Sciences and Arts, Year 11, Issue 1, January -
April 2018.

List of Figures:
Figure 01: Revenue – Thaibev 2020, Annual Report, 2021
Figure 02: Finance – Thaibev 2020, Annual Report, 2021
Figure 03: Expenses – Thaibev 2020, Annual Report 2021
Figure 04: Training Program, Subtainability Report 2021.