Samoa Breweries the main beer brewer in the independent island nation of Samoa brews a Germen type larger called the Vailima. The Foster Group purchased Samoa Breweries in 1999 and in 2011 the SABMiller bought the Foster Group. Coca-Cola bought the Samoa and Fiji operations of SABMiller. Samoa Breweries affiliation with the U.S is through marketing and commerce of the Vailima larger in the territory and neighboring island of American Samoa.
Samoa Breweries main brands of beer include the original Vailima Larger, Vailima Special Export,Vailima Pure, and Vailima Natural. Beer production is mostly for domestic market, exports of about 12 percent to other island nations includes New Zealand, Cook Island, and American Samoa as main export markets. As a subsidiary of Coca-Cola, Samoa Breweries also bottles Coca-Cola and other allied soft drink brands under the Coca-Cola license.
As Samoa Breweries ventures into U.S markets with exports to American Samoa (U.S Territory) it establishes a partnership with GHC Reid & Co., a locally based distribution company in American Samoa that also distributes Coca-Cola products through the territory. GHC Reid & Co. is the only distributor of the Vailima brands in the U.S territory and by far dominated the sales of the brand.
GHC Reid & Co. partner with Samoa Breweries to promote and endorse its latest brand in the beer family the Vailima Natural. Hosting a beer tasting test in the territory to promote and test run the brand, GHC Reid and Co. president Olivia Reid Gillette (2014) stated“VailimaNatural is a culmination of effort between American Samoa and Samoa continuing to provide avenues for products to be produce and sold between the islands.” GHC Reid & Co. plans to expand distribution of the Vailima brand into U.S market by distributing outside of the territory and into the U.S mainland and its other holdings.
Samoa Breweries annual production is approximately 8,500,000 liters of beer (85,000hL) and 6,500,000 liters of soft drinks. The Vailima family beer production includesVailima Lager (4.9% alc v/v), Vailima Special Export (6.7% alc v/v)and Vailima Pure (4.9% low carb). Its latest addition the Vailima Natural utilizes all locally grown breadfruit in its recipe as replacement for the imported malted barely. Marketing Officer for GHC Reid & Co. Taotasi Archie Soliai stated, “20% of the imported malt has been replaced with locally grown bread fruit flour. The brewery is working on with higher breadfruit content including 100% gluten free. However we are limited by the availability of breadfruit.”
Due to the Vailima beer being produced mainly for domestic sales and Cook Island, New Zealand, and American Samoa as its only export markets. It has yet to successfully branched out. With Coca-Cola owning subsidiaries into production and distribution companies, Samoa Breweries and GHC Reid are looking to launch the Vailima family beer into the U.S markets for wide network.
Discuss what you feel are the three most difficult issues that must be overcome in recruiting, selecting, and training workers.
“A fundamental area of concern for an international business is the management of human resources. HRM issues include the recruitment and selection, training, relocation and compensation of the employee base. There are additionally some important legal hurdles to clear when venturing into a foreign market. Again, these business matters will have unique aspects relative to a domestic operation.” (Argosy, 2016)
Our book reading discusses that “perhaps the most important resource of a successful business is the people who compromise it.” (Wild, J. J., Wild, K, L., 2013) That if a company pays attention to its employees it will yield high performance values, “highly trained train employees who are proficient in their duties allows a company to achieve its business goals both domestically and internationally.” Our book reading further discusses that training and development programs must be tailored and fashioned to local practices of the hosting country.
Gillette-Reid, O. (2014). Vailima Natural. Ulu Beer in Taste Test. Retrieved from: http://www.samoanews.com/content/en/%E2%80%9Cvailima-natural%E2%80%9D-%E2%80%94-ulu-beer-bringing-it-all-home-taste-test
Soliai, T. (2014). Vailima Natural. Ulu Beer in Taste Test. Retrieved from: http://www.samoanews.com/content/en/%E2%80%9Cvailima-natural%E2%80%9D-%E2%80%94-ulu-beer-bringing-it-all-home-taste-test
Samoagovt.ws. (2015).Samoa Manufacture & Exporters Trade Show Outcomes. Retrieved from: http://www.samoagovt.ws/2015/04/samoa-manufacturers-exporters-trade-show-outcomes/
Carrillon ERP. (n.d). Coca-Cola Distributor Revolutionizes Sales Operations with Integrated Mobility. Retrieved from: http://www.carillonfinancials.com/ghc-reid.html
Argosy. (2016). Marketing; Operations; Human Resource Management. Retrieved from: http://myeclassonline.com/re/DotNextLaunch.asp?courseid=12546746&userid
Wild, J. J., Wild, K. L. (01/2013). International Business: The Challenges of Globalization, 7th Edition. [VitalSource Bookshelf Online]. Retrieved from https://digitalbookshelf.argosy.edu/#/books/9781269953849/