BREWING INDUSTRY

PESTEL

POLITIC:

• responsible drinking + regulations

ECONOMIC :

• prices of raw material or inflation

SOCIAL

• Alcoholism, binge dringing

PESTEL

TECHNOLOGICAL:• modern equipments for environmental

managementENVIRONMENTAL:• producers turn to cans infinitely recyclableLEGAL:• acquisitions : Grolsch &SABMiller • mergers :InBev• strategic alliances

Porter’s five forcesPOTENTAL ENTRANTS: • basic equipments • specific knowledge• increasing VAT key

SUBSTITUDES: • wine consumption ↑

BUYERS:• wholesales – strong negotiating power

Porter’s five forces

SUPPLIERS: • not balanced• mutual dependence

COMPETITIVE RIVALRY:• high exit barriers• four leading breweries• market segmented• industry is saturated

InBev

• number 1 or 2 position in over 20 key markets

• 300 focus brands• 120000 employees in 25 different countries

worldwide• responsible drinking programs

Scottish & Newcastle

• Market leader in the UK, France, Russia

• Brands: Kronenbourg 1664, Fosters

• Weakness: closing brewery

• Carlsberg + Heineken: £ 7.8 billion

• The biggest brewery in Europe

• Owns more than 170 brands

• Acquires local companies, like Soproni

• Priorities : - revenue growth - improve efficiency - cost reduction- fast strategy fulfilment- focus on ”winner markets”

Grolsch• 2nd brewery in The Netherlands

• owner is the SABMiller (210 million hectolitre in 2009)

• Innovation: appearance,flavoured beers

• Brand

• Amsterdam-low-priced strong beers

Conclusions

• http://www.guardian.co.uk/business/2007/apr/18/7• http://archaeology.suite101.com/article.cfm/worlds-oldest-known-alcoho

lic-beverages

• http://www.heinekeninternational.com/content/live/files/downloads/History%20of%20Heineken.pdf

• http://www.ab-inbev.com/• http://www.grolsch.com/• http://www.guardian.co.uk/business/2008/jan/26/

fooddrinks.scottishandnewcastle• http://news.bbc.co.uk/2/hi/business/7322668.stm