5 Conflicts That May Outline 2013
Diageo vs Pernod Ricard
The battle between English and French has taken a modern turn, in acquiring a certain spirits of India. The London based Diageo is a multinational alcoholic beverages company and is tagged as world’s largest producer of spirits and chief producer of wine and beer. Diageo is also known to sell some of the popular brands like Johnnie Walker and Smirnoff. Recently it bought 53 percent shares in Vijay Mallya's company United Spirits. This deal has suppressed the sale of Pernod Ricard in India in volume sales. Pernod Ricard is the French rival of Diageo, known to produce brands like Ballantine's, Absolute and Chivas Regal. Diageo strategically pulled the deal with perfect timing. Its Indian born Chief Operating Officer Ivan Menezes personally spoke with Vijay Mallya, sealing the deal with the world’s largest liquor company by volumes. This deal has changed matters for Pernod Ricard, which has acquired Indian business of Seagram’s at the turn of the century, which is the more profitable deal that United Spirits in the Indian market.
