The Creation of a Beverage Giant

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Many people like to relax on the weekends with an ice cold beer, but most of them do not realize how volatile the business of breweries can get. Every day all around the world there are companies that participate in mergers, acquisitions and hostile takeovers. However, in the case of InBev’s hostile takeover of Anheuser-Busch (AB), something else happened. It changed the culture and long-standing tradition of an all-American company which was steeped in history and valued tradition over profits. Under the management style of Carlos Brito the CEO at InBev, there will be a new way of doing business and that new vision is clear: “the best profit margins in the industry and the largest market share in every region” (Herbold, 2013, para. 3). It is this type of radical change that continues to push InBev to the top of the market, and also alienates those who prefer to see AB in the glory of old tradition.
History of Anheuser-Busch and InBev
In the world of breweries, there is one giant that stands out from the rest – AB InBev. But, like most large international corporations, this beverage giant did not start out as number one. In fact, there have been many mergers that led to the creation of this behemoth.
Anheuser-Busch
It all started back in 1852 when Eberhard Anheuser purchased a St. Louis brewery renaming it E. Anheuser & Co., and eventually sold half the company to his son-in-law Adolphus Busch. Busch made great strides in the brewing industry and created the flagship beer Budweiser, and in 1879 the company was again renamed as the Anheuser-Busch Brewing Association, in order to distinguish the brewing efforts of Adolphus Busch ("History - Anheuser-Busch.com", 2014, para. 3-8). AB continued to be run by both Anheuser and Busch fa...

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...). Unease brewing at Anheuser as new owners slash costs. Retrieved from http://online.wsj.com/news/articles/SB124096182942565947
Leonard, D. (2012, October 25). The plot to destroy America's beer. Retrieved from http://www.businessweek.com/articles/2012-10-25/the-plot-to-destroy-americas-beer#p3
Masculinity. (2014). Retrieved from http://www.clearlycultural.com/geert-hofstede-cultural-dimensions/masculinity/
Spain, W., & Goldstein, S. (2008, July 14). Anheuser-Busch accepts $52 billion InBev offer. Retrieved from http://www.marketwatch.com/story/anheuser-busch-accepts-52-billion
Uncertainty Avoidance. (2014). Retrieved from http://www.clearlycultural.com/geert-hofstede-cultural-dimensions/uncertainty-avoidance-index/
View from the top: Carlos Brito, CEO, Anheuser-Busch InBev [Video file]. (2013, December 2). Retrieved from https://www.youtube.com/watch?v=xhFxw4mBre0

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