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PERNOD RICARD

KEY FIGURES
The Co-leader of the Wines and Spirits Industry and No. 1 of the Premiun and Prestige Spirits, Pernod Ricard, started operations in 1975 after the merger of the anise-based companies Pernod and Ricard. Its sustained growing in net sales going from 7,643 M€ in 2011 to 8,215 M€ is the result of the 5 strategic pillars of the company, but this growing is not onlyreflected by this figure, we can discover their undeniable success by seeing at the next numbers:
* An increment in profit from recurring operations going from 1,909M€ in the period 2010-2011 to 2,114 M€ in the period of 2011-2012.
* 98 production sites that are continuously looking to improve the alignments with Pernod Ricards quality requirements. In 2010-2011 91% of the Groups productionsites were ISO 14001 certified, now in the present period this figure has incremented in 3%, going from representing 96% of the volumes produced by the Group to 98%.
* An increment in the number of employees from 18226 in 2010-2011 to 18,777 in the 2011-2012 period.
* 75 Market Companies (affiliates) covering 4 regions: Asia and Rest of the World, Americas, Europe (excluding France) andFrance with head offices in each: New York, United States; Paris, France ; Marseille, Créteil, France; Hong Kong, China
* An increment in the Groups net profit from 1,045M € in 2010-2011 to 1,146M € in the present period.
* International recognition from the most prestigious institutions like Forbes that in the 2011-2012 period gave the company: the 15th place in the Most Innovative Companies,the 378th place in the Global 2000 World’s Biggest Public Companies and the 305th place in Market Value.
FIVE PILLARS

Regardless the absence of a given and clear Mission and Vision, Pernod Ricard explains its strategy in five points, called: “The five strategic pillars” that have clearly setting the direction of the company:
1) A comprehensive portfolio of premium international brandsobtained thanks to the acquisitions made, from which two of significant importance that transformed the company in one of the most renowned ones: In 2000 the joint acquisition with his principal competitor Diageo of  Seagram, obtaining the brands: Chivas Regal and Glenlivet whiskey, Martell cognac, and Seagram's gin and in 2005 in conjunction with Fortune Brands, the acquisition of Allied Domecqgiving Pernods Ricard the brands: Ballantine's, Kahlúa, Malibu, Beefeater, Tia Maria, Stolichnaya(which is now under William Grant & Sons), Mumm and Perrier-Jouët. This portafolio is represented in the House of Brands and are:
* The ‘Top 14’, which includes 14 strategic spirits and champagne brands; ABSOLUT Vodka and Chivas Regal Scotch whisky; Ricard pastis, Ballantine’s whisky; JamesonIrish whiskey; Havana Club rum; Beefeater gin; and Malibu and Kahlúa liqueurs; Martell cognac; The Glenlivet and Royal Salute whiskies, and Mumm and Perrier-Jouët champagnes; the Wine segment, with its 4 priority Premium wine brands; 18 key local brands
2) Premiumisation (systematic policy of upscaling its brands to create value) and innovation as the two major focuses for value creation.Focusing in an investment in Marketing and R&D.
3) A decentralised organisation and a wholly-owned distribution network built around 6 Brand Companies and 75 Market Companies (See Organizational Structure).
4)  Nearly 19,000 employees united by a strong corporate culture reflected in the three values: 1) an entrepreneurial spirit 2) mutual trust and 3) a strong sense of ethics.
5) Anhistorical commitment to ethics, people and the environment formalised in a platform for Corporate Social Responsibility (CSR).


DIFFERENTATION AS COMPETITIVE STRATEGY
Pernod Ricard’s second pillar “Premiumisation and Innovation” clearly indicates the Company’s competitive strategy: Differentiation. To obtain the premiumisation they assign one of the largest marketing budgets in the...