The following video is from last week's MarketFoolery podcast, in which host Chris Hill, along with Tim Hanson and Joe Magyer, discussed the latest business news. Diageo is the largest producer of Scotch whisky in the world. The company recently announced that it will spend $1.5 billion on expanding production over the next five years. In this segment, the guys analyze how smart a bet Diageo is making, what it indicates for other distillers such as Beam, and how Diageo's operations match up relative to beverage giants such as Coca-Cola and PepsiCo.

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Chris Hill owns shares of Coca-Cola. The Motley Fool owns shares of Coca-Cola and PepsiCo. Motley Fool newsletter services have recommended buying shares of PepsiCo, Coca-Cola, Beam, and Diageo and creating a diagonal call position in PepsiCo. The Motley Fool has a disclosure policy. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.