Abstract
Today, many multinationals seek to expand their activities in the international market spurred by the growing trends of globalization. By investing substantially in foreign markets, they hope to establish themselves and gain market shares. This expansion of activities can only be undertaken subsequent to a thorough analysis of the external environment.
Indeed, companies' ability to identify and monitor external factors by taking into account their internal strengths will determine their success. In this report, we will focus on the French multinational Danone, in China and India. We will identify which country and market would be most suitable for Danone's business model and its international success.
Our study will be composed of two parts. The first one will deal with an overview of the group while the latter part bring will analyze the business environment of these two markets. Finally, we will conclude by presenting our point of view.
Groupe Danone, created in 1919 in Barcelona by Issac Carasso, initially concentrated on producing yoghurt. In 1929, ten years after its creation, the company was established in France to extend its market shares. A new entity was thus created under the name Gervais Danone following its merger with cheese manufacturer Gervais.
The Danone Group, the number one company on the international market for fresh dairy products, bottled water and infant nutrition, was born in 1970 of a merger between Gervais Danone and Boussois-Souchon-Neuvesel. This merger helped the Group to become the leading French agro-alimentary firm and a well-established multinational.
In 1998, Groupe Danone joined the New York Stock Exchange and was the official partner of the FIFA World Cup in France. Currently, the Group is present in more than 80 countries registering a turnover worth over 12 billion euros in 2007.
