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THREATS (5) Global Economic Conditions ■■


Beer consumption, as a normal good in the economic sense, is closely tied to general economic conditions. To this extent global economic growth patterns have a direct effect on Molson Coors’ business. Matters such as commodity prices and trade wars can also impact the business. For example, the aluminum tariffs/inflation and freight carrier headwinds/fuel cost inflation are all negatively affecting Molson Coors at present.

Ownership Issues ■■

The Molson and Coors families collectively control the company through their ownership of shares with majority voting rights. The risk is that the families will have interests which differ from other shareholders, particularly in the event of a takeover offer. Otherwise, we believe that minority shareholders in Molson Coors are benefiting from the family control of the business because of the long-term horizon/ view the families take in managing the business.



Profile for Richard

Elevation Capital Research Annual 2018  

Elevation Capital Research Annual 2018