German Beer Industry

7/29/2019 German Beer Industry

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Presented By:

Kunal Seth

Pankaj Mishra

Ashish Pundir

Neelesh Kumar Nag

IS THE END OF THE GERMAN BEER

INDUSTRY NEAR?


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ABOUT THE CASE

Tradition to serve beer

High quality of beer is serving in Oktoberfest

"Purity law" prevent to experimenting new type

of beer

That result shut down of large and medium

breweries closed {41 large and 182 medium

sized closed}


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Cont

Job loss

More then 700 breweries was at 19th century

but now only remains less then 12

Declining jobs {11,000 jobs}

Consolidation takes place {Global industriesover take}


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CONT Beer is no longer a core business now

Consumption decline {Strict to drink & drive &

health conscious} Beer preferred to wine {tasted less sour and was

easy to store in barrels}

Per capita consumption of beer decrease {150 to106 per ltr, decline of 30%}


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HOW DID OKTOBERFEST START?

It started when CrownPrince Ludwig married

Princess Therese of

Saxony-Hildburghausen

on October 12

th

, 1810. The land that the marriage

was held on was named

Theresienweise

(Thereses Field) in

Munich, Bavaria.

Also known as Wiesn

Horse races were held

after the wedding and

lasted for 5 days.


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STATISTICS

103 Acres

6.2 Million Visitors

80,000 Glasses of Wine

521,000 Chickens served

142,253 pairs of Pork sausage

38,650 kg of fish

Electricity used was 2.8 million

kWh

People lost about 4000 items,

among them 260 pairs of glasses,200 mobile phones, wedding rings,

crutches, and even dentures

ended up in the lost and found.


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CHALLENGES

Shrinking industry

Ageing

Competition falling

Prefers wine in place of beer


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CONT

Price is falling

Market is saturated continuously

Low export (15%)

Health consciousness

Banned alcohol drinking in public place


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GERMAN BEER'S LOYAL FANS Beer industry contribute to GDP {1.5% of

Europe economy}

The law influenced creation of high quality

beer

The proper strategy crafted

Educated management throughconferences and attending expose and

exhibitions in foreign countries


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STATUS OF GERMAN BREWING INDUSTRY

5th largest producer down from 2nd place

Champagne images as a luxury drink

unable to cultivate a global image

The breweries should capitalised on the

purity and quality of their beer


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PROBLEMS

Unable to place globally

Expensive export

Logistic system is not proper

Image of shrinking industry

Obsoleted innovation {Flavoured beer}


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THANK YOU

Documents

German Beer Industry