Based on the scenario described above, identify and explain the interdependencies inherent in the relationship between ABI and its distributors. You are to discuss at least $3$ areas of interdependence for ABI and $3$ for the distributors $($a total of $6$ areas$).$ Combined ABI and MC$,$ LLC controlled about $63$ percent of the U$.$S$.$ beer market in $2019,$ down from $78$ percent in $2009($Source: Beer Marketer$$s Insights, $2020).$ Most of the beer distributed by these two companies is sold through independent beer distributors who, in turn, sell the beer to retailers, restaurants and bars. ABI made several strategic acquisitions in the past which involved small competitors including craft beer

manufacturers. These acquisitions, while expanding the company$$s reach, also added to its operating costs prompting ABI to embark on a cost$-$cutting program.

One key cost focus for ABI is distributor margins. ABI$$s distributors historically received about $$1\mathrm{.}00$ for each case of beer distributed to retail channel members compared to

$$0\mathrm{.}85$ paid by MC$,$ LLC to its distributors. By eliminating that $15-$cent difference in

margin, ABI estimates it could save about $$200$ million per year. But ABI$$s distributors, many of whom had decades$-$old relationships with the brewer, are unlikely to be happy with the new payment structure as it would directly impact their own profitability.