Anheuser Bursch in South Africa

Anheuser Bursch in South Africa

For the purposes of this analysis, we will examine the main issues that a global company such as Anheuser Busch would have to consider when deciding whether to expand its operations to a developing world country such as South Africa.

Infrastructure can be defined as the basic resources and systems required for citizens to be mobile, secure, and productive and which allow them access to and the ability to enjoy higher quality of life. Infrastructure serves not just individuals, but also businesses and other types of institutions (California Commission). There are three main types of infrastructure:

Hard infrastructure (also known as ôbricks and mortarö) represents the most tangible physical elements of a society such as public facilities, housing, transportation systems, power plants, transmission lines, and other physical improvements or aspects of a society.

Soft infrastructure (sometimes referred to as ôinformationö infrastructure) which includes the educational facilities which prepare a population to better participate in the workforce as well as the technology and systems that provide access to the internet, communications, digital content, and other forms of intellectual property.

Resource infrastructure, which includes the natural resources within a nation, such as forests, rivers, beaches, wetlands, and energy sources (California Commission).

These different types of infrastructure are the backbone of a countryÆs productivity. For a corporation seeking to enter a nationÆs market, they are the foundation which will determine whether the establishment of a new branch in the country can be successful or is bound to fail. For a company such as Anheuser Busch, which sells alcoholic beverages, the hard and soft infrastructures are key components of its business plan. The company will have to build a brewery, which will depend on an adequate supply of electricity and clean water to function properly as…

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