China Spirits Market

The range of competitors within the overall industry include chain and independent supermarkets (Krogers, Safeway, others); mass merchandisers and super centers (Wal-mart,Target); convenience stores; wholesale clubs (Sam’s); restaurants and fast food chains andnatural food stores (Whole Foods, Wild Oats

The grocery industry has a relatively high market commonality; a lot of grocery stores are somewhat related in terms of technologies used, labor force and the products or services offered in the stores. Differentiation with other competitors is key for survival in this highly competitive industry.

1.1 Financial Resources & Capabilities During the period from 2007 to 2009 total sales went up 8.13% which is a strong performance. Most contribution is driving from domestic sales (i.e. German operations). 2007 Turnover (€m) Total turnover growth (%) Grocery Sales Density (euro/sqm/wk) Number of Stores Sales Area (‘000 sqm) 41,818 +3.9 2008 45,183 +8.0 2009 45,221 +0.1

The others were excluded due to not meeting the qualifications of being a licensed food store and the owner choosing not to participate. East Harlem had 173 stores that participated, which consisted mainly of small bodegas and Upper East Harlem had 151 stores, which had far fewer bodegas and more supermarkets. The research results discovered that Upper East Harlem stores were 3.2 times inclined to have all the item in stock and was considered desirable stores (Horowitz et al.,2004). The cost of the items was higher in Upper East Harlem as compared to East Harlem. East Harlem had more stores in the proximity of its community (Horowitz et al.,2004). These findings suggest that further studies are needed to figure out why East Harlem, having twice as many stores but only 18% of their stores carried all five items as compared to 58% for Upper East Harlem (Horowitz et al., 2004). The article reference that prior studies in 2002 which noted that conveniences and location of dietary food as being more important to minorities and people of low social, economic status. Many minorities depend on small bodegas for their shopping which are the stores that do not always carry to best nutritious food. The whites do not have a problem with going out of their community to shop for better food selections. They have more, large supermarkets in their communities, which usually have

Larger stores also offer people the convenience of additional services along with their shopping, for example post office, pharmacy and opticians. By addressing consumer’s expectations and using their buyer power they can offer a choice of products to reflect consumer’s diverse budgetary, dietary, ethical and environmental requirements. Furthermore their global buyer power enables consumers to benefit from choosing exotic produce all year round. With 30,000,000 customers (Bevan cited in Allen, 2009) choosing to use the big four supermarkets on a weekly basis it would suggest that they provide a format that consumers want.

Location- Another very important aspect of a successful supermarket, location is important. You must be in an area with the correct demographic of people to have success. Most people will not be willing to drive an hour to go grocery shopping.

These four retailers average private-label dollar share of 22%, well above the industry average of 16%. They have also seen higher levels of overall sales growth versus non-leaders – 5.3% versus 3.4% over the past 3 years. (Future of Food Retailing 2008, 136)

within the industry. The trends relate to what products are available, who and how they are

The grocery retail industry worldwide has grown in recent years to become one of the most intensely competitive industries due to the continuous amounts of new entrants. A grocery retailer is one that sells food and other general household items. Hypermarkets, supermarkets, discounters and small grocery retailers are all under the grocery retail umbrella. Between 2003 and 2008, the grocery retailing industry accounted for 45% of store-based retail values sales over the world. The figures

For the purposes of this case analysis of E. & J. Gallo Winery, the wine industry is composed of all alcoholic beverages that contain between eight and twenty percent alcohol by volume. This distinction is based on the assumption that beer and the typical malt liquor contain less than eight percent alcohol by volume. The twenty percent limit is a result of state and federal tax and licensing laws. The three top competitors that are identified in this case study are E. & J. Gallo, Canandaigua and Mogen David.

With China emerging as a global power in business within the last decade, knowing about doing business in China has become more important than ever. There are both many advantanges and challenges with doing business in China in this modern era, and understanding both sides of this coin is the key to being successful in China. Some aspects to keep in mind include the cultural barrier, the price of the work force in China compared to the United States, and have the “made in China” brand be accepted back in the United States.

– Current market situation: detailed consumer and business market segmentation and analysis of market drivers will be undertaken to identify the most valuable

The uncontrollable factors such as the Chinese economy, political climate, technological, socio-cultural and legal factors are first extrapolated showing that China is the second largest economy in the world and plays an influential role in the global economy. The robust economy has given rise to high levels of disposable income, leading to increased demand for foreign products, and in particular, Australian wine. Politics and the economy are closely inter-related, with the Chinese

Direct export access to China used to be difficult due to the complexity and slowness of the country 's customs rules and regulations. But with the relaxation in regulatory restrictions and the opening of its markets to foreign investors, China could become the next successful market for cognac and champagne importers. The elimination of tariffs in the wake of China 's accession to the World Trade Organization may encourage more cognac and champagne importers to the mainland, thereby skewing cognac/champagne import statistics in the near future. Last year, China ranked 20th in terms of cognac imports, with 1.2 million bottles (Export.gov). Since China became a member of the World Trade

2011 proved to be a good year for beer, with a 7% total growth volume, amounting to 108 million litres. The demand for beer products continue to grow steadily with the escalating trend of social drinking in Singapore. Previously restricted to venues such as clubs and bars, beer products are increasingly being consumed at local coffee shops or hawker centres or being purchased off the shelf. (EuroMonitor International 2011, Beer in Singapore)