Sapporo beer Essay Example for Free

Sapporo beer Essay Japan’s Sapporo Holdings said on Thursday it would enter the Vietnamese market by taking a 65 percent stake in a beer joint venture with Vietnam National Tobacco Corp to tap its fast-growing market. It marks the first major overseas expansion in three years by Sapporo, the smallest of Japan’s four major brewers, as bigger rivals Kirin and Suntory have been aggressively snapping up overseas businesses to grow beyond a shrinking domestic market. â€Å"Vietnam is Asia’s third-largest beer market after China and Japan and this is a fast-growing market,† said Tatsuya Komatsu, a Sapporo spokesman. The company will acquire a 50 percent stake in the venture from Danish brewer Carlsberg and 15 percent from Vietnam National Tobacco for a total of $25. 4 million. The joint venture will build a beer factory in Vietnam and is scheduled to startselling Sapporo brand beer in early 2012, it said in a statement. The venture aims for sales in 2019 of 150,000 kilolitres or $128 million. Sapporo said it will actively seek further acquisition opportunities to enlarge itsoverseas business, which now accounts for less than 10 percent of its revenues. Sapporo, the maker of Yebisu brand beer, acquired Canadian brewer Sleeman in 2006 for 30 billion yen ($340 million), but has been overshadowed by Kirin and Suntory in overseas expansion. Kirin has spent $1. 5 billion in the past two years to buy Australia’s National Foods and Dairy Farmers and $2. 8 billion to take full ownership of Australia’s No. 2 beer maker Lion Nathan. It also acquired a 49 percent stake in the Philippines’ San Miguel Brewery for $1. 4 billion. Asahi Breweries, locked in a fierce battle with Kirin for No. 1 slot in Japan’s beer market, said recently it could spend up to 400 billion yen ($4. 6 billion) on acquisitions over the next few years, with an eye on Asian markets. The Japanese brewers have been scrambling to diversify their products and geographic reach to reduce their reliance on the domestic beer market, which has lost 15 percent in volume in the past decade as the economy sputters and the population shrinks. HA NOI — The Japanese beer maker Sapporo Holdings plans to enter the domestic market from early 2012 through the purchase of a majority stake in Kronenbourg Viet Nam Ltd. Sapporo Holdings said it would buy a 65 per cent stake for about US$23 million in Kronenbourg Viet Nam, which is equally owned by Carlsberg Brewery A/S and the Viet Nam National Tobacco Corp (Vinataba). After the deal closes, which is due in January next year, a joint venture betweenSapporo Holdings and Vinataba will be set up with the latter holding 35 per cent of the joint venture’s stake. At that time, Kronenbourg Viet Nam will change its name into Sapporo Viet Nam Ltd. Sapporo said the joint venture would begin construction on a new plant on the outskirts of HCM City. The plant is scheduled to begin operations from 2012. Sapporo expects to earn a turnover of roughly $115 million within a decade from the Vietnamese market, with a predicted annual growth rate of more than 10 per cent for years to come. The joint venture has targeted a market share of roughly 3 per cent in Viet Nam by 2019. Sapporo also has plans to export beer produced in Japan to Viet Nam. The Japanese beer maker decided to expand its business in other Asian countries in a move to offset declining beer sales in Japan due to a shrinking population and a gloomy economic outlook. — VNS In 2010 , Sapporo has arrived in Vietnam and established Sapporo Vietnam Co. ( a joint venture between Tobacco Corporation Vietnam ( VINATABA ) and JSC Sapporo Holdings Ltd. for a total contribution from Japan 71 % ) . 11/ 2011, the Sapporo Factory in Long An Vietnam was officially put into operation . The plant has production capacity of 40 million liters / year , but to meet the goal of becoming a major production base for Southeast Asian beer market capacity will be increased gradually over the period 2015 to reach 100 million liters / year and in 2019 will reach 150 million liters / year . 4/2012 , Sapporo official launch sales activities . Sapporo time in more than 4,000 retail stores , restaurants , hotels, mainly in Vietnam . Sapporo has now launched 4 product lines premium beer : Sapporo Premium Beer Bottle 330 ml , 330 ml cans of beer Sapporo Premium , Sapporo Premium Beer 650 ml silver cans and beer Sapporo Premium 20L . In particular , products Can Silver ( silver cans ) is a typical representative of elegance and luxury of Sapporo Premium Beer . This product has a higher alcohol content than other types a bit , with a large capacity and a unique design that Sapporo beer can only be Sapporo is the only beer company in the world combined study of barley and hops to produce a formula to create the most perfect beer . Based on these studies , the Sapporo today have developed a new barley varieties better and Vietnam Sapporo Factory is also used . When the Vietnam market , to be able to produce beers with similar quality beers produced in Japan and in accordance with consumer tastes here , Sapporo choose the most appropriate type of yeast in 1000 different yeast species from the research Center of Sapporo in Japan . After Japan and Canada , Vietnam is the place where Sapporo beer factory and expect this will become the manufacturing center of the Southeast Asian market . Because Vietnam is the third largest beer market in Asia , the turnover of 3 billion liters of beer in 2020 and expected to double . Sapporo Vietnam not only passionate creative challenges overcome and the framework of the usual practice , but also to share the moments of happiness and joy winning hand. Thats why Sapporo Premium market presence in Vietnam as a premium beer brand .