RedBull International Outlook
Redbull is one of the leading energy drinks in the world with a market presence in different countries. The approach that Redbull has undertaken has been an international approach with the products that are used in the drinks being constant and thus has led to Redbull facing a mixed experience among its consumers. One of the major differences was raised in the way that they were sued for liability in cases that are challenging the same elements of the drink but towards different ends. When analyzing the company through the principles of leadership around the world, the company has chosen to ensure that it is considerate of different issues and further ensuring that it is taking the cultural aspect of the different countries.
When analyzing Redbull, is a caffeinated drink with numerous substitutes, which includes products such as coffee, and it has been accused of having other products that make the drinks a danger to the health of an individual. The company has, however, invested in research and development, ensuring that it can pass food and beverage regulations of numerous countries, making it acceptable as a beverage of choice to many markets. The company’s choice of dealing with legal matters has varied from one market to the next, and this has helped the company to maintain its brand and to grow further the consumer’s trust in the brand and product. Don't use plagiarised sources.Get your custom essay just from $11/page
Redbull was sued in the United States for not meeting the goals that it had highlighted with the plaintiff asking to be compensated as he argued that though Redbull is a caffeinated drink, it contained less caffeine than regular coffee which is cheaper and further insinuated that the other additives did not help with making Redbull an energy drink. The company chose to settle the case by issuing $13 million to the class act which meant that it was one-time payments to be distributed among the people that were affected rather than spend millions in legal fees and further have its brand negatively affected by the court case.
The company was facing a second legal suit where it had been sued that the energy drink caused a person to be due from a heart attack as the product was able to achieve upon its intended target but the victim many drunk cans of Redbull which led to the heart attack causing his death. The company chose to ensure that the case went on in court rather than settle the case as it would provide an avenue for the family to find closure which shows that the company is compassionate in the way that it deals with the consumer issues and interests.
Redbull Principles of Global Leadership
When analyzing RedBull international strategy and leadership practices, it has been based on integrity by ensuring that it is complying with carious laws of different countries and ensuring that it is not marketing to children. Redbull has repeated said that it does not target to children but rather its base market consumer target group are seventeen years old. The policy is in line with multiple government regulations based on the fact that multiple countries legalize the consumption of alcohol once someone reaches the age of 18 (Prasad, 2011). By targeting 17 year olds, the company is ensuring that it is not abused by younger populations as research has found that younger teenagers will be addicted to the drink and this might have negative effects of their health if consumed excessively.
RedBull has shown how compassionate it is through the various marketing strategies that it uses and t is often working to promote people to achieve their dream even in case where the activities are viewed as almost impossible. Redbull shows its compassion by investing in the impossible and funding aspects that provide encouragement to people from different countries and cultures. Through the approach, the company ensures taht6 it is giving hope to people and showing that individual dreams are valid no matter how big or wild.
Redbull has sacrificed a lot in terms of the amount of opportunities that it would have explored. In the case study, the material provided, the company would have chosen to go to court with the plaintiff suing the company for having less caffeine than previously advertised. The company however chose not to reiterate with a libel counter suit which would have bankrupted the plaintiff and Redbull would have easily won the case based on the research and amount of critics that the products have gone through and the rigorous testing undertaken by different governments (Coumau et al., 2015). The company’s sacrifice and discipline has meant that it has maintained product quality throughout the time and also helped in the innovation of new products and services.
RedBull strategy of ensuring that it is compassionate has led to the company gaining favorable and loyal consumers from across the world and has increased the sales of the company and brand recognition (Coumau et al., 2015). Brand recognition is critical in firms that are position in there global market as they ensure that they can be easily recognized and further they reach a large market base which increases the value of the company and the aspect of entering new markets make it easier based on the online platform that red bull has established.
While Redbull faces competition and the risk of substation from multiple sources, the company has ensured that when one is thinking of an energy drink, Redbull is in the top two energy drinks that one will consider by employing large marketing strategies. The company further ensures that it engages the consumer which limits the aspect of the substitution and ensures that it can be taken with other caffeine drinks by adults such as coffee. Redbull has a global leadership strategy that is effective and always growing its presence in multiple markets.