1. Describe the major strategies San Miguel Corporation has implemented over the past few years.

Following the report that the first group have sent, San Miguel Corporation, being a business as
it is, it is subject to future modification because a business would not grow if they would not follow
the fast transitioning of the world. And that’s why Sam Miguel Corporation did not settle to sell what
they already selling but they innovate and expand their course of business. They explored variety of
beverages, food, and packaging that they already sell 300 brands. To expand their business, they
entered into partnership to some business with the same product, and they created company
subsidiaries so they can manage their business to other countries in Southeast Asia. Also, they
merges and acquires another business with the same product type so that they can produce a lot of
their brand products.

2. What recommendation do you have for Ramon Ang? Would you recommend a strategy of regional
expansion using existing products? Would you recommend a strategy of local expansion into
unrelated products?
With my own observation on day to day basis, I would suggest that it is better to use the
regionally existing products to expand the business. San Miguel Corporation is already known for
their food, beverages, and packaging products, they just have different brands and style.
Consumer’s mind-set already focused on these that they think these products are San Miguel’s
forte. Introducing new products would make consumer hesitate if it will be of high quality like the
ones they already sell.

3. How does the contextual environment (external and internal) of San Miguel influence your strategy
recommendation?
There is no significant factor with SMC’s internal environment that affects my decision. But with
external environment, I only think of what happens in the market with day to day basis. Therefore as
a consumer that buys almost every day with our basic needs, I also think that SMC’s products are
enough with food, beverages, and packaging. That is their forte of product. Risking it to sell new
ones would only create confusion to consumers to as what they really sell.

4. What are the main risks or challenges to your recommendation? What action will you take to
mitigate these risks and challenges?
 Because the world if fast changing, consumers tend to look for more modernized version of the
products. They would look for extraordinary products that will satisfy their needs to follow the
trend. With that, further research and innovation to the products to strategize the business and
lessen the risks.

5. Is the current strategy of San Miguel the best corporate strategy for long term profitability? Explain
your answer.
Yes. As one of the largest and most diversified conglomerates in the Philippines, selling products
for over 130 years, through beverages, food, packaging, fuel and oil, power, and infrastructure, and
San Miguel's strategy in creating partnerships with major international companies have given the
Company access to the latest technologies and skills. Their marketplace experience, technical
expertise, and innovation capabilities, while largely homegrown, also reflect their long term
partnerships with world class players. Thus, they will expand regionally.

References:

San Miguel Corporation. Retrieved from https://www.sanmiguel.com.ph/