Please DO NOT answer the book questions. Answer this following question.

1. Compare Red Bull to another company of your choice in the same industry (you will need to conduct some research) and see if you can find another company outside the US that is very "country specific-centric" and "company-centric". Expand on your evidence how you arrived at that decision. ( Pease cite your sources)

CLOSING CASE Red Bull: A Leader in International Strategy Where was Red Bull founded? Many people in the United States and other countries think Red Bull is a product to Daeng was founded by Chaleo; when Mateschitz met their own country because the company does such a fan Chalco, they created Red Bull as a spinoff and modified tastic job of marketing the brand. Red Bull also plays up the ingredients in the drink to suit Western tastes the amazing energy. go-getter attitude, and fun risk taking In many ways, Red Bull's event marketing strategy is that the brand symbolizes in most things they do. In what drives their international business strategy. The almost a literal sense, "Red Bull gives you wings." as their events listed in this section's opening paragraph very slogan says. To support the company's international strategy. much exemplify the brand that Red Bull has become and Red Bull hosts a number of extreme sporting events tries to strategically nurture, and displays what has given around the world. This includes the Red Bull Indianapolis the company the vibrant reputation it has-essentially its Grand Prix in the United States, the Red Bull Air Race in "brand myth-turning it into something of a legend. Red the UK, the Red Bull Soapbox Race in Jordan, the Red Bull truly mass markets its products in a unique way! They Bull Cliff Diving World Series, the Red Bull Air Race, do not engage in traditional marketing, and their overall international business strategy is somewhat unorthodox Red Bull Crashed Ice, and stand-out stunts such as the Contrary to most other multinational corporations, the Stratos space diving. But there also many other global events they dream up and the teams they support drive strategic placements engineered by the Red Bull brand, the company's international business strategy (e.g., soccer/ The answer to the opening question is that Red Bull is football clubs RB Leipzig. FC Red Bull Salzburg. FC from Austria, although saying it is an Austrian-Thai com- Liefering. Red Bull Brasil. New York Red Bulls, and For pany is also true. In 1984, Austrian entrepreneur Dietrich mula One teams Red Bull Racing and Scuderia Toro Rosso). Mateschitz and Thai businessperson Chaleo Yoovidhya Aside from these extreme events and sports teams, Red founded Red Bull GmbH. While working for German Bull's packaging plays a significant role in its global appeal manufacturer Blendax (later acquired by Procter & Gamble). and is at the core of its international business strategy. Mateschitz traveled to Thailand and met Chalco, owner Some say that Red Bull really looks like a product that fits of TC Pharmaceutical. The two struck a cord and eventu- the idea of a global economy. It's not in a normal can or ally started Red Bull a couple of years later. Today, Red bottle, and has a much broader appeal to a wider global au- Bull is viewed as one of the world's top companies because dience. It's not an American or Asian product in look and of its international business strategy, in particular its in- content, nor does it have the look and content of any other ternational marketing strategy (keep that in mind for world area. By lacking a clear geographic focus, customers Chapter 18, the Global Marketing and Business Analytics across the globe feel more connected to Red Bull, associat- chapter). Worldwide, Red Bull also has the highest mar ing it with their local products. Plus, Red Bull's consistent ket share of all energy drinks, with more than 6 billion packaging worldwide has helped the brand go global with a cans sold annually (that is almost one can for every person very consistent international business strategy worldwide). It's fascinating that Red Bull has created an interna Why is it called Red Bull? The name actually plays up tional business strategy by focusing on a universal prod- its founders' backgrounds. In Thai, daeng means red, and uct concept, unique and standout packaging, and extreme krating is the name of a large wild bovine in Southeast event sponsorship without also tackling the architecture Asia, called a gaur in formal English. A gaur, however, is of the company itself. Most other multinational corpora also informally referred to as a bull. Red Bull is sold in a tions have to balance their focus on strategy and organiza tional infrastructure to operate a well-functioning tall and slim blue-silver can, while Krating Daeng is in a international strategy, Red Bull drives certain concepts shorter gold can. To capture the historical context for this hard and that works superbly well for them. They com- case, Krating Daeng was the instigator and became the municate their clear and consistent messages via their basis for the creation of Red Bull. While Red Bull is the own Red Bull Media House, using inspirational videos bestselling energy drink in most parts of the world, both and activities on social media and generating content Red Bull and Krating Daeng are sold worldwide (in about marketing that is uniquely customized to diverse audi- 165 countries). Red Bull is viewed as an Austrian com ences. They also focus on the freedoms of the individual, pany, and Krating Daeng as a Thai company. Krating 400 Part 5 The Strategy and Structure of International Business and rely on user-generated content, where customers share their own exciting lifestyles. Sources: Hanna Fleishman, 13 Businesses with Brilliant Global Marketing Strategies." February 9, 2018; Alex Siminoff, Red Bull Stomps All Over Global Marketing." Art + Marketing. April 28, 2017: Nitin Pangarkar and Mohit Agarwal. "The Wind Behind Red Bull's Wings," Forbes, June 24, 2013: Celine Cnossen. Yuan Li. Neha Sampath, Whitney Taylor-Maisano, and Viktor Tsonev, "What Gives Red Bull Wings: Creating a Successful Market-Oriented Organization," American Marketing Association, April 24, 2018: "Global Energy Drinks Market Opportunities 2018: Red Bull GmbH, Rockstar, Monster Energy. Amway Global," Market Watch, March 14, 2018 2. Worldwide, Red Bull has the highest market share of all energy drinks, with more than 6 bil- lion cans sold annually (that's almost one can for every person worldwide). So, either you drink Red Bull, or your friend does! Does the sheer number of Red Bull cans sold-basically its popularity-make you more or less interested in supporting the product with your purchase? 3. Red Bull mass markets its products in a unique way. To support the company's international business strategy, Red Bull hosts a number of extreme sporting events. Personally, how reach able are you as a customer via these extreme sport- ing events, or does it even matter? Some marketers believe that just knowing the "brand myth" and Red Bull "legend" is enough to make people buy the product. Do you agree or no, and why? Design elements: Modern textured halftone: @VIPRESIONA/ Shutterstock: globalEDGE icon: OglobalEDGE: All others McGraw-Hill Education Case Discussion Questions 1. As an Austrian-Thai company, Red Bull has done a remarkable job of positioning itself inter- nationally by coming across as a local company in every country where Red Bull is sold. Would you be more or less likely to buy Red Bull know ing the brand is Austrian but with a strong Thai influence? Does it generally matter to consumers where a product originates from? Endnotes