Carlsberg officially began its business in Greater China in 1978….

Question Answered step-by-step Carlsberg officially began its business in Greater China in 1978…. Carlsberg officially began its business in Greater China in 1978. The company inaugurated theCarlsberg Brewery in Hong Kong in 1981, which became the base for Carlsberg’s expansion into  mainland China.  In  1995, Carlsberg  acquired  a major  shareholding  in a  brewery  in Huizhou, Guangdong. From that time on, Carlsberg’s presence in the mainland was assured. In  1999, all  production  was moved  from  Hong Kong  to  Huizhou. After  2000,  Carlsberg expanded  its footprint  to  the western  territories  of China.  It  accelerated the  acquisition  of shareholdings  in breweries  in  West China.Today,  Carlsberg  has full  ownership  or joint ventures in seven provinces. For  Carlsberg, the  West  China Strategy  is  not about  taking  over the  market  or brand replacement.  Rather,  through the  acquisitions,  Carlsberg is  trying  to raise  Chinese  beer brewing standards  in order  to  provide better  beer for  more  people, and  carry  out its commitment  of  growing together  with  local community,  partners, suppliers,  and  employees. While  keeping the  local  brands in  the  West, Carlsberg  is  assisting the acquired  breweries  to reconstruct  and upgrade  their  facilities, as  well  as introducing  advanced technology, brewingmethods, and management approaches. As a result of these efforts, Carlsberg has become the leading brewery group in West China Key Dates:1995: Carlsberg’s first big move on the Mainland China after acquired a brewery in Huizhou, Guangdong.  1999: Carlsberg decided to exit China. 2000: Carlsberg sold 75% of its Shanghai brewery to Tsingtao. 2002: Go-West Strategy 2003: acquisition in Yunnan, Tibet, Gansu 2005: greenfield investment in Qinghai 2006: Carlsberg had 20 breweries that covered half of the geography of China2013: Carlsberg  developed  to 39 breweries  across  seven provinces with  over  11,000 China employees 2016: Carlsberg had over 50 China breweries and over 60% market share in Western China, where beer  consumption  has been  growing  at 12%  annually  (versus 4-5%  nationally). Carlsberg  is also  currently building  its second  largest  brewery in  the  world. This  $782M facility  will have  a  production capacity  of  10M hectoliters  a year.  And  it will  be  located in Yunnan, China.” 2017: The Tianmuhu  Brewery  successfully changes  its  name to Carlsberg Tianmuhu  Beer(jiangsu) Co., Ltd    1.Please  comment the  Go-West  Strategy development  of Carlsberg  in China  by  applying related theoretical perspectives to support your analysis.Is this a prescriptive strategy or emergent strategy?Please support your arguments in theoretical words.   2.What lessons could other companies learn from Carlsberg to ensure a successful breaking into Chinese market?   Business BUSINESS SMO308 Share QuestionEmailCopy link Comments (0)