The global economy is constantly becoming more intertwined as huge companies from one nation buy out companies from other nations. Through these interactions, suddenly the workers and managers in one country and their incomes are interconnected with workers and in a completely different nation. One example of this situation is the Volkswagon group. Volkswagon, a German company, owns the British company Bentley, the Italian company Lamborghini, and a handful of other companies such as Audi and Bugatti. Recently the Russian beverage giant Oasis purchased the American Pabst Brewing Co. for upwards of $700 Million.

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Pabst Brewing Co. is well known for its Pabst Blue Ribbon beer. This beer is marketed as being an authentic and iconic American beer. Pabst’s Blue Ribbon’s marketing strategy has been extremely successful recently. The company was purchased in 2010 by Dean Metropoulos for around $250 million and is being sold 4 years later for a markup of greater than 180%.

While many are disappointed that a brand so inherently American is being sold to a Russian company, this purchase demonstrates the dramatic improvement in global economic interactions over the past few decades. Russia, which was part of a gigantic command economy only 25 years ago, now is the headquarters of companies such as Oasis that state that they are exited about working with a brand that “represents individualism, egalitarianism and freedom of expression – all the things that make this country (The United States) great.” Hopefully the success of companies such as Oasis is able to help inspire the leaders of Russia to develop an economy that fosters the development and growth of new businesses.

Source: http://dealbook.nytimes.com/2014/09/18/pabst-is-said-to-near-a-sale/