Asia Brewery Case Study Essay

618 Words Jun 11th, 2016 3 Pages
Asia Brewery
1. Short history/Milestones

With Lucio Tan’s predominant desire to improve the Filipino beverage standards, he started out Asia Brewery, Inc. (ABI) and launched its first brand, Beer Hausen Pale Pilsen, in January 27, 1892 in Cabuyao, Laguna. In 1995, Manila beer was introduced, and 3 years after, Beer Pale Pilsen (now known as Beer na Beer), its most successful and most controversial brand, was launched. Due to the growing demand in the Mindanao market, ABI established its second brewery at El Salvador, Misamis Oriental, with a capacity of 2 million hectoliters of beer per annum. In the same year, the company expanded its product line from beer to non-alcoholic beverages, with the introduction of Summit Natural Drinking
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The company is considered a regional brewery since their one the biggest breweries in the country and they have two breweries one located in Cabuyao,Laguna and the other at El Salvador Misamis Oriental. The Cabuyao plant is their biggest and most modern manufacturing plants which has an annual production capacity of 4 million hectoliters of beer which supplies the whole of Luzon. The plant also houses a glass plant capable of making 20 different kinds of bottles. It has also has a wastewater treatment plant, plastic crate manufacturing and warehousing The El Salvador plant is their second plant which supplies the increasing market in Visayas and Mindanao. The annual production capacity of El Salvador is 2 million hectoliters of beer. 3. Business Model

In the interview conducted with Jimmy Uy, the NCR regional sales manager of Asia Brewery Incorporated, the company first started off in 1980 following the manufacturer business model and mainly produced beer products catering to the mass market. At the same time, it had its own sales, marketing, and distribution arms exclusively carrying their own products. Throughout the years, it has evolved and expanded into importing other products while maintaining their focus on beverages. At present, the business model of the company has expanded because it not only sells and market their own produce, but also sells and distributes other beverage products other than beer. On top of this,

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