Tsingtao Brewery Essay

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Tsingtao Brewery Co Ltd in Alcoholic Drinks (China) Company Background and Facts As one of the leaders of the beer industry in China, Tsingtao Brewery faces various challenges and difficulties. In order to retain its position in the industry, the company will expand and consolidate its share by adopting a dual-drive development strategy. On the one hand, the company will further tap the advantage of Tsingtao beer in the country and enhance its premium positioning. On the other hand, the company will strengthen sports marketing to boost the volume sales of Tsingtao beer. By 2014, the company aims to increase its production volumes of beer to 10 billion litres per year. KEY FACTS Summary 1 Tsingtao Brewery Co Ltd: Operational Indicators 31 December 2010 2011 2012 Net sales RMB19,897 million RMB23,158 million RMB25,782 million Net profit RMB1,584 million RMB2,455 million RMB2,484 million Number of employees 35,306 37,743 40,429 Tsingtao Brewery is solely focused on beer production and sales, which is a major source of the company’s revenue. This company also runs an investment subsidiary, mainly concentrating on real estate, although this is not its core business. In addition to its core brand Tsingtao, the company also markets secondary brands, such as Laoshan and Hans, targeting regional markets. Tsingtao Brewery had 59 beer breweries across 20 provinces and cities in China by the end of 2012. The company does not only supply the domestic beer category, but also exports to over 80 territories including the US, Canada, the UK, Germany, Italy, Australia, Korea, Japan, Hong Kong and Macau. In addition to its own 59 production bases in China, Tsingtao beer is also produced by several local manufacturers under contract with Tsingtao Brewery, including those located in Shandong, Jiangsu, Sichuan provinces and Taiwan. In terms of its overseas

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