Monster Energy Drink in Russia Essay Example | Topics and Well Written Essays - 1750 words

Monster Energy Drink in Russia - Essay Example According to the research findings, it can, therefore, be said that world economies are becoming more interdependent. Moreover, because of saturation and stiff competition in local domestic markets, companies in developed economies have to actively pursue newer markets to improve their revenues and profit margins. Today, countries in the BRICS block of countries, i.e. Brazil, India, China, South Africa, and Russia are increasingly attractive to companies seeking to expand their revenue streams and gain competitive advantages over their competitors. A situation analysis seeks to identify micro-environmental factors that influence a firm, as well as macro-environmental factors that influence the firm’s environment. This analysis indicates to a firm about the product and organizational position, along with the overall business’ survival in the identified environment. In order to understand capabilities of the firm within the identified market, the firms should be able to i dentify problems and opportunities in their external and internal environment. Monster Beverages was founded in April of 2002 as an energy drinks company by Hansen Natural Corporation, becoming the first energy drink marketed in 16-ounce cans and rising to become the second most successful energy drinks company in the world after the Austria-based Red Bull GmBH. Previously selling natural soda and fresh fruit juices, Monster Beverage revamped its product in 2002 by launching its Monster Energy drink line by increasing its caffeine and sugar content. This also prompted its change of name to Monster Beverage from Hansen Natural, reflecting a more aggressive image compared to the previous subtle impression as a fresh juice manufacturer. With energy drinks accounting for 92.7% of the company’s net sales in 2013, while juice-based beverages and carbonated drinks accounting for 5.3% and 2%Â   of net sales over the same period, the energy drinks market has become the most critical for Monster beverages.