Research the case of Corona Extra Study Example | Topics and Well Written Essays - 250 words

Research the of Corona Extra - Case Study Example From the distribution strategy Corona Extra was able to penetrate into the US market through taking the advantage of locals’ knowledge on market (Doole & Lowe, 2008). Consequently, Corona Extra obtained market autonomy thus the current market position within US market. Mexico and USA differ significantly in terms of culture, demographic, and market conditions. While family is the first priority in Mexico, the Americans considered family second after work. In terms of religion, Mexicans are traditionally Roman Catholics while America has mixed religions. What’s more, Mexicans are very nationalistic unlike Americans who are very patriotic. Market conditions in US are flexible as compared to the rigid market conditions experienced in Mexico (Walker et al., 2003). After all, Walker et al. (2003) confirm that Mexicans make buying decision based on family backgrounds while Americans make buying decisions on individuals’ needs, wants, and preferences. The distribution strategy used by Group Modelo to penetrate Corona Extra into US market was an effective and efficient strategy. Continue domestic production ensured that the firm did not incur additional expenses in putting up production unit in America hence efficiency in the strategy. On the other hand, use of locals was effective since they had information about the market (Doole & Lowe, 2008). Beer Institute, Beer Tax Facts (2008). The economic and societal impacts of state and federal taxed on beer. Retried on April 7, 2012 from http://www.bangkokpost.com/business/economics/144372/ Brewers fear end to beer import