The Beer Market Is One Of The Largest Exporting Products

• There is a change in consumers’ preferences in terms of drinking beer in stead of drinking wine, i.e. in Latin America.

     In this paper I will be talking about the U.S. beer industry and in short an overview of the brewing industry worldwide. I will talk about the barriers to entry, economies of scale, government intervention, pricing, current market trends, product differentiation, and imports. The focus being mainly on the U.S. brewing industry oligopoly. The U.S. brewing industry has three major players: Anheuser-Busch, SAB Miller, and Coors/Molson. Anheuser-Busch is currently the largest brewer in the world, producing over 100 million barrels a year. Anheuser-Busch currently owns over 50% of the market in the United States, with Miller trailing behind at 20% and Coors at about 11% with the rest of the market occupied by imports and craft breweries. When analyzing any industry, how easy it is for newcomers to enter the market is a great importance. If there are high barriers to entry

Per capita beer consumption in the country had been stable for many years. In order to find new opportunities

Alcohol is the most abused licit psychoactive drugs that affect one 's ability to think rationally and distorts their judgement if consumed excessively. Alcohol addiction is an illness arising from prolonged and excessive intake of alcoholic drinks. An alcoholic is a person suffering from alcohol addiction. Prolonged excessive use of large quantities can eventually lead to chronic health diseases like cirrhosis of the liver, anaemia, cardiovascular disease, dementia, depression seizures, gout and alcohol related accidents and crime. Statistics show that 9 million people in England drink more than the recommended daily intake while an estimated 8.697 died of alcohol-related deaths in 2014. According to the WHO worldwide alcohol causes 1.8 million deaths (3.2% of total) and 58.3 million (4% of total) of Disability-Adjusted Life Years (DALYs). Alcohol beverages with varied percentage content are consumed globally during religious, social, cultural events, festivals and other occasions. The use of alcoholic beverages has been an integral part of many cultures for thousands of years (McGovern, 2009). Over the centuries, there have been ongoing measures, research, interventions and policies which are aimed at promoting the moderate use of alcohol with a particular emphasis on preventing or reducing undesired outcomes. This essay will outline the key components of brief interventions in alcohol, the difference in approach with traditional methods of treatment and in conclusion, the

Political –Governments tend to exercise significant control over beer as it contains alcohol which has caused many problems in society and has addicted people. This attention from the government will affect Heineken in sale volume in the market. Many governments have imposed heavy taxes on liquor and beer imports, and with globalisation many brewers are looking for new markets where they can gain maximal profits. This proves to be a threat for Heineken. Heineken must conduct thorough research on countries policies on alcohol such as drinking in public, alcohol contents in drinks, legal drinking ages and must strategically plan their integration into these markets based on the research.

The macro environment surrounding alcohol sales and consumption has generally been stable and has experienced incremental growth throughout history. In the United States, the number of per capita consumption of alcohol has declined slightly, but has consistently remained around 2.5 gallons, per person, per year. The lower class, specifically females in the lower class are responsible for a majority of alcohol consumption in the United States. The highest per capita consumption worldwide is as follows: Luxembourg, Ireland, France, Hungary, and Denmark, (the US ranks 22nd.)  According to one article, “the beverage alcohol industry contributed over $21 billion directly to state and local revenues during 2010. Of that amount, distilled spirits accounted for over $8.8 billion or 41% of this direct revenue” (“Distillery Spirits”).

Differences on drinking between countries and regions of a country can largely be explained by the

Capitalism is one of the branches that is related to this Article, it means the production and distributions of goods, beers are produced by manufactured industries. First, farmers cultivate the ingredients that are necessary to produce their beer, then farmers distribute their crops to different brewers companies to produce their beer. After producing their beer, companies distribute their beer to all brewer stores, markets, and liquor stores, so they could sell the beer to the consumers. Labors are another example, that economics is related to this article, their skills are essential to the production of goods, also labors are responsible in the production of these goods because they spend hours working hard and using their minds and hands to make sure that the production must be of high quality. Teamwork is an important key to making a high-quality production, labors should work together and help each other to do the job the best as possible. Therefore, if labors make a good quality job that will benefit themselves and the company because their job depends on the effort they put in the products of goods. Consumerism is another branch that this articles related. This branch means the promotion of the consumer’s interests, beer is always consumed by the most of the people. In America, people consume beer to relax, spend a good time or

In 1998, entrepreneur and MBA Guillaume Cuvelier was preparing for the launch of his new distilled spirit, Svedka Vodka. Cuvelier has decided to start a vodka company after working many years in the spirits industry. Vodka makes up a large share of the spirits American’s drink at 24% of all alcohol consumed (Zuckerman). Vodka consumption is also rising across the US. Svedka is going to be a newcomer in the vodka marketplace going up against many big opponents in products such as Smirnoff, Grey Goose, Stolichnya and Absolut. Cuvelier’s Svedka has gotten rave reviews from many critics for its quality, so a successful marketing campaign will not depend much

Beer has a long history. In 2000 B.C.E., Sumerians had prepared eight different beer types, ranging from “strong,” “red brown,” and “good dark” (Mauk, 2013). Breweries have created their own recipes, brewed their own beers—some with alcohol, some without. Over the past few years, craft beer gained steady market share away from the national and international breweries (Murray & O 'Neill, 2012). Separating one beer from the next is the product itself, and what the product has to offer. Competition is ferocious due to more informed, sophisticated consumers, as well as globalization and the spread of technology (Murray & O 'Neill, 2012).

Vodka, an alcoholic beverage believed to have originated in Russia, is one of the most consumed spirits in the world. Vodka that was once rarely consumed outside of Europe before the 1905s has captured the international markets including the United States and by 1975, vodka market has

The brewing industry is interesting to examine due to its relatively unique structure. Up until November 2015, the market was dominated by four main players, known informally as the “Big Four”. AB InBev was the largest, followed by SABMiller, Heineken and Carlsberg. In November 2015, however, ABInBev and SABMiller agreed a formal $107 billion takeover deal, combining the brewers into a company which industry experts claim would control around half of the industry’s profits (Mickle, 2015). As a result of the sheer size and complexity of the merger, it is anticipated that the deal will not be finalised until the second half of 2016 as ABInBev must negotiate with anti-trust regulators around the world with respect to their potential monopolistic position. As the deal is yet to be completed, this report will analyse ABInBev independent of SABMiller.

Absolute Vodka: Defending a1.0-Executive Summary V&S group, a Swedish company owned by the government created V&S Spirits to produce market and sell Absolut Vodka which is the company’s strongest brand (created in 1979). To maximise the brand’s market share and strengthen its competitive position, the company established a jointed venture called Future Brands LLC to distribute its products more effectively strictly in the USA, which is Absolut’s strongest market. Although the brand is the second largest premium vodka, its market share is threatened by the constant growth of the market leader Smirnoff. Therefore, V&S Spirits need to take further measures to ensure its brand’s image and market share is protected and advanced. V&S’s

Other Political factors involve the tight regulations many countries place on mergers and acquisitions and monopolistic behaviour. In the last 10 years the alcohol industry has seen an unprecedented consolidation as the largest firms try to identify the most profitable segments of the fastest growing and most profitable new markets. This often leads to infringements with national regulations about competition and market monopoly, resulting in the sale having to be approved by a government agency.

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)