Case Study: Almarai

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Introduction
Almarai has established in 1977 by HH Prince Sultan Bin Muhammed Bin Saud ALKbeer. When he felt to develop the industry of dairy by investing to meet the demands in Saudi market. Furthermore, through 1990s Almarai moved in new level of reduced cost of producing by converted from decentralized to centralized organisation to produce a high quality products with low prices. Moreover, the company reinvested in huge plants and farms to expand in Saudi and GCC markets with variety of food products. After 2005, the company diversified the revenues by invested in many fields such as bakeries, baby powder milk and poultry, also the company converted from private owned to a public Company by about 53 thousands shareholders. Almarai is one
ALMARAI is the main and essential brand which is the face of successes and dramatically growth from establishment. ALMARAI is producing four products which are firstly; diary liquid is produced two main line; fresh products such as fresh Laban and fresh milk, and another line is long life products such as milk and flavoured milk. Also, ALMARAI brand produced foods like many kinds of cheeses, cooking creams and butters. Moreover, ALMARAI also produces third type is fresh and long life juices. The fourth products of ALMARAI are yoghurts and
Agtheia is one of the strong competitor of most of ALMARAI products in UAE. Also, ALWATANIA poultry products is one of the largest in the world which strong competitor of ALYOUM brand of poultry. Furthermore, ALSAFI DANON is one of the largest in Dairy products which already compete with ALMARAI in Saudi market. Moreover, a lot of juices brands compete with ALMARAI juices such as ALRABEE, MASAFI and ALAIN.

Two recent events of significance In 2014, ALMARAI acquired international company of children food from Mead Jonson Company, and this acquisition will allow ALMARAI to enter new market segment and increase sales volume.
ALMARAI has launched in April 2014 new poultry plants in Hail in KSA. This new plant will generate 3000 jobs, and will add 200 million birds on production per year. In June 2014, ALMARAI and PepsiCo invested $ 345 million in Egypt from 2014 to 2019 in dairy and juices products (Beyti) Egyptian company. This investment will setup new juice factory, develop sales network and new dairy farm.

The demand for ALMARAI

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