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Carlsberg Breweries A/S: Facing Political Risk in Russia

W28541
Résumé
Carlsberg Breweries A/S (Carlsberg) had developed from a local to a global player in the brewing industry, having focused on growth in emerging economies in Europe and Asia. This growth path was against the background of economic transition and political change in Russia--from optimism about opportunities in the new market economy in the 1990s, to increasing regulatory obstacles, political authoritarianism, and increasing local competition in the 2010s. In 2022, Carlsberg, more than other West European consumer goods companies, was exposed to Russia when Russian military forces invaded Ukraine in February. This created complex operational and ethical challenges the company had to address with urgency. The company's annual general meeting was coming up, on March 14, and by then the executive board had to communicate to shareholders concerned with both the company's financial performance and its international reputation--as well as to Carlsberg employees across Europe (including both Russia and Ukraine) and the increasingly impatient Danish media--what steps the board would take to address the crisis.
Objectifs pédagogiques
The case may be used in undergraduate- and graduate-level courses on international business, business and politics, or corporate communications. It provides a foundation to discuss emerging market opportunities along with political risk, including regulatory risk, and their evolution over time, as well as the urgency of acting when the business environment is suddenly disrupted by a military conflict. After working through the case and assignment questions, students will be able to do the following: ·Appreciate different forms of political risks pertaining to international business operations. ·Assess alternative strategies to mitigate political risk. ·Discuss the ethics of doing business in a country with an authoritarian regime. ·Devise strategies to disengage from a politically sensitive business context. ·Communicate strategic decisions in ethically sensitive situations.
Mots-clés
political risk; divestment; war; corporate reputation; emerging markets
Public
Undergraduate/MBA
Secteur d'activité
Manufacturing
2022
Livraison par lien de téléchargement
15
Oui - à acheter séparément

Adhérents : 5,10 € HT / Non adhérent : 5,50 € HT
Licence à l'unité*
* Usage unique limité à une session. Prix par étudiant formé. Licence à renouveler pour chaque nouvelle session.

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