Food and Beverage looks for growth
Growing food and beverage (F&B) companies are not constrained by geographical boundaries. They chase profits and revenues around the world, wherever market-entry risks are manageable. Yet even when all signals point to going global, F&B executives are faced with an array of challenges. Geopolitical uncertainty; distribution and logistical limitations for perishable goods; varying food safety regulations; and a tireless battle for shelf space, all impact companies.
Working with dynamic, growing, global F&B companies has allowed Grant Thornton
member firms to gain valuable insight into how companies successfully expand internationally – shared in this new market entry guide.
Adapting to changing demographics and demand worldwide. Demand is shifting from local to global, with a growing middle class throughout the world fuelling demand. Successful companies are capitalising on this by innovating and adapting processes, products and strategies to respond.
Overcoming barriers to market entry: To profitably enter new markets F&B companies must research new geographies before making costly expansion decisions. These assessments will locate the best opportunities; flag the most significant barriers; and identify government and industry resources that can help maximise return on investment.
Avoiding common pitfalls: As companies develop their strategy to launch products into new, international markets, it is critical that they watch for common pitfalls. These include avoiding overly rigid planning; assuming the new market will be just like home; or thinking the company has infinitely deep pockets for financing the opportunity.
Realising new market entry. There are growth opportunities for those that sell F&B products overseas. To help realise these opportunities the guide outlines a four-step process to formulate and realise a global strategy and associated action plan.