...I ． Industry-Describe the industry or industries where the company operates. 1. Industry definition-define the need of the industrySan Miguel Corporation is the largest publicly listed food, beverage andpackaging company in the Philippines.It has been in the industry since 1890being founded by Don Enrique Maria Baretto.Since then,the SMC ensure that itsstrategy, organizational structure and processes, and external relationships wereadequate to confront the expected threats and to capitalize on the opportunitiesfacing it domestically and internationally.2.Overview of the industry2.1.market size and growthSan Miguel Corporation has a sizable international presence. The company hasover 100 facilities in the Philippines, Southeast Asia, China, and Australia. Itsmajor operating facilities include five breweries, four glass plants, two metalclosure and lithography plants, two plastic case plants, and a coconut oil mill.San Miguel is one of the Philippines' biggest private employers, with over 25,900employees.The company reported a net income of $171 million in 2005. As of the first half of 2006, the company's net income had grown 15 percent from a year earlier toP4.36 billion2.2.industry profitabilityThe company reported a net income of $171 million in 2005. As of the first half of 2006, the company's net income had grown 15 percent from a year earlier toP4.36 billion2.3.major players The major players are Asia Brewery Inc.; Asahi Breweries, Ltd.; TsingtaoBrewery Company Limited;...
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...SAN MIGUEL OWNERSHIP The company is majority-owned by San Miguel Corporation. Kirin Brewery Company, through its investment arm Kirin Holdings Co. Ltd, holds the most significant minority stake. Philippine mall magnate Henry Sy also has a stake in the company. Other top shareholders as of December 2009 are as follows:[5] Top 10 Shareholders of San Miguel Brewery, Inc. | Name | Shares | Percent | San Miguel Corporation | 7,859,324,270 | 51.000 | Kirin Holdings Co. Ltd. | 7,458,864,880 | 48.388 | PCD Nominee Corporation (Filipino) | 62,538,710 | 0.406 | Henry Sy | 12,500,000 | 0.081 | Syntrix Holdings Inc. | 12,500,000 | 0.081 | PCD Nominee Corporation (Non-Filipino) | 1,209,600 | 0.008 | Isias and/or Melinda Lumanta | 132,000 | 0.001 | Marilyn Maranon | 124,000 | 0.001 | Virgilio Salonoy | 82,000 | 0.001 | Fadil III | 63,000 | 0.001 | John Devela & Jay P Noy CO | 3,000 | 0.00001 | San Miguel Brewery, Inc. (PSE: SMB), a subsidiary of San Miguel Corporation, is the largest beer producer in the Philippines, with a market share of over 95% as of 2008.It has five breweries spread across the country producing eight beer brands, led by its flagship brand San Miguel. Locations/Subsidiaries No. 40 San Miguel Avenue, Mandaluyong City, Manila, Philippines Fax: 63 632 6323099 Distileria Bago Inc. 6/F San Miguel Properties Ctr., St. Francis St., St. Francis St, Mandaluyong City, Philippines Ginebra San Miguel, Inc. 3rd & 6th Floors...
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...MANAGEMENT DISPUTES AT SAN MIGUEL CORPORATION: ITS RESOLUTIONS AND THE IMPLICATION IN THE BUSINESS OPERATION A Final Paper presented to The Faculty of the Graduate Studies Southern Leyte State University In partial fulfilment of the course MM 505 : Management and the Law Summer 2015 RIZA MAE B. FORTUNA Master in Management Student TABLE OF CONTENT Cover Page Page 1 Table of Content Page 2 I. Introduction Page 3 A. Objectives B. Company Profile, Mission & Vision Page 4 II. Antecedent facts of the case Page 6 III. Resolutions, Findings and Decision of the Labor - Page 7 Management Problem IV. Recommendation and Observation Page 8 V. Appendices Page 9 Whole Case citation Page 9 Nature of the Company Page 16 References Page 17 I. NAME OF COMPANY AND ITS PROFILE INTRODUCTION Corporation is defined as the most common business organization which is formed by a group of people. It has rights and liabilities separate from those of the individuals involved. It may be a non-profit organization engaged in activities for the public good; a municipal corporation, such as a city or town; or a private corporation, which is organized to make a profit. In the eyes of the law, a corporation has many of the...
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...I. BACKGROUND OF THE CASE In the early 1980’s, the San Miguel Corporation (SMC) and A. Soriano Corporation (ANSCOR) Group of Companies, under the leadership of Andres Soriano Jr. addressed a long felt need for an effective formal planning system for the two companies. According to Soriano, the companies had developed their budgeting and long-ranged planning systems several years earlier but, despite the many advantages these gave them, they still were not satisfied with their ability to respond to the rapid changes in the environment around them. They, therefore, searched for a process that would enable them to upgrade their planning capability. SMC and the ANSCOR Group, thus, sought professional advice from a team of experts on strategic planning. The team was headed by Dr. Peter Lorange, then professor at the Wharton School and consultant on strategic planning to the two companies. Soriano expressed his great satisfaction with the approach to strategic planning developed by Dr. Peter Lorange and his team. In November 1982, Dr.Lorange addressed a joint dinner-meeting of SMC and the ANSCOR Group and shared his insights on the implementation of strategic planning of the two companies. Following are excerpts from an article prepared by Lorange based on his address during the meeting as well on as the major issues raised during the lively open-forum discussion. II. MAIN PROBLEM Problems: a. The planning process may have been time consuming and involved more work...
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...The Advantages & Disadvantages of Government Company? Advantages The following are some of the advantages of a government company: * The formation of government companies is very easy because it is formed like other joint stock companies. * It is easy to incorporate changes in its constitution through amendments to articles because as most of the government companies are owned and controlled by the government. * Most of the government companies run on sound business lines as they have their surpluses to run their projects. * Government company enjoys financial autonomy because they are to depend on the government for initial investment. The profit of the companies are utilized for the further expansion activities. * Government company facilitates all round industrial development by taking up projects in the neglected areas where private sectors hesitate to invest. * It provides a healthy competition to private sectors. Disadvantages The followings are some of the disadvantages of a government company: * Government companies are autonomy in theory, but in practice it is not autonomy because political people interfere in the day-to-day operation of the companies. Since these are dependent on the government for taking important policy decisions, red-tapism in government departments affect the working of companies. * As most of the government companies take the assistance of civil servants, they cannot exercise better for the...
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...Quezon City Polythecnic University 673 Quirino Highway, San Bartolome Novaliches, Quezon City INDUSTRIAL ENGINEERING DEPARTMENT In partial fulfillment of the requirements for Electives 1: Strategic Management Submitted by : Submitted to Engr. Aura Marie B. Novesteras Date: Table of Contents I- Introduction A. Company Profile a. History b. Vision/ Mission statement c. Important events, issues & activities d. Organizational chart B. Competitors Profile II- Industry Analysis A. External Factors B. Internal Factors III- Competitive Analysis : Porteu’s Five Model IV- Strategy Formulation A. Present B. Proposed C. Strategy Formulation Matrix V- Strategy Implementation A. Objectives B. Recommendation I- INTRODUCTION A. Company Profile HISTORY San Miguel Brewery Inc. (SMB) is the largest producer of beer in the Philippines, with nine out of ten beer drinkers preferring its brands. San Miguel Beer was first produced by La Fabrica de Cerveza de San Miguel, an upstart brewery in the heart of Manila that began its operations in 1890. It received the Royal Grant from the Spanish king to brew beer in the Philippines, then a colony of Spain. In 1963, the brewery was renamed San Miguel Corp. (SMC) to reflect its growing ventures into food and packaging. As the beer business grew at a steady pace, it provided the foundation from which SMC expanded its interests from food, beverage and packaging...
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...I. INTRODUCTION: A. SAN MIGUEL CORPORATION ➢ Was founded on September 29, 1890. ➢ By DON ENRIQUE MARIA BARRETTON dE Y Caza. owner of the brewey La Fabrica de Cerveza de San Miguel. ➢ Was authorize to brew beer in the Philippines under a royal grant establishment located at No.6 Calzada de Malacanang Manila`s San Miguel District. ➢ Inaugurate on October 4, 1890. OUTSTANDING QUALITIES AND SUCCESSES ➢ SMG stand as one of the richest and most profitable companies in the Philippines ➢ Country's most recognized corporate brand. ➢ Having 30000 employees in 90 major facilities in the Philippines and overseas. CHINA, Southeast Asia, Australia. ➢ SMC is the countries largest food,beverages, and packaging company. ➢ Affiliates Brands Includes: Magnolia, Anchor, Coca-cola, Ginebra San Miguel, Purefoods and Monterey. COMPANY FAILURE: ➢ The company was tottering under a P47.1 billion on debt, high fixed cost and weighted down by large-scale expansion projects in China. Its three breweries in the said country were operating way below capacity. To get much needed cash infusion, Cojuangco sold off SMC's 45 percent stake to Nestle Philippines. PRODUCTS: ➢ Produces close to 300 products includes: • B-meg • Wilkins • Viva • Coca-cola • Eight O'clock ➢ SMC 3 CORE OF BUSINESS • Beverages- "beer, hard liquor, soft drinks, bottled water and fruit juices. • Food &Agri business-"chicken, feeds, pork and beef" ...
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...DOMESTIC TRAVEL AUTHORITY | | |Date Prepared: | | | |03/11/2015 | |Name (Last, First, MI): |SMC ID No.: |Tel. / Fax No.: | |SALVADOR, AIMIE |9908469 |(033) 338-4402 | |Position: |Department/Unit/Division: |Coordinator/Contact No.: | |FINANCE ANALYST |SMFI-AIC Finance | | | | |Purpose of the Trip: | |POULTRY AND MEATS AR REVIEW | | ...
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...San Miguel Corporation and A. Soriano Corporation Background of the Study: In the early 1980’s the San Miguel Corporation (SMC) and A. Soriano Corporation (ANSCOR) Group of Companies, under the leadership of Andres Soriano, Jr. addressed a long felt need for and effective formal planning system for the two companies. Summary / Abstract: More than a decade ago, the ANSCOR Group and SMC spent several years developing and strengthening their budgeting system in order to have a better internal focus on where they going over the short-term. Their next evolutionary step was the development and implementation of a long-range planning process. This helped them to better understand the resource requirements and constraint of the future. While these systems definite assisted them in planning for the future, the rapidly changing environment and the increase competition led them to search for still other ways of further improving their management approach. This article will discuss various aspect of the strategic planning approach adopted by the ANSCOR Group and SMC help them cope with the future. First, I shall discuss briefly the basic aspect of the approach which can be described in terms of four important dimensions. One dimension pertains to the determination of the companies’ future direction through hierarchy strategies under this it is composed of three levels namely, corporate level, Business Family level and Business Element level. A second dimension is the delineation...
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...CEO of San Miguel Corporation, is re- assessing the company’s business strategy. The flagship product of this century- old conglomerate, San Miguel Beer, is expected to post a slower growth rate in its volume share because of its large market share. The company has operations in only three product areas- food, beverage and packaging, and has a modest international presence. In this regard, Cojuangco announced in 2007 that the company would diversify into non-allied businesses in the Philippines such as energy, mining, infrastructure and other utilities. With the goal of establishing presence in industries that present fast and high-growth, it sold off its international assets and started acquiring shares in Meralco and Petron Corporation. The company also ventured into telecommunications and infrastructure. View Point For San Miguel Corporation ( and not exclusively as a beverage entity ), to expand the market share to multiply their current scope, to grow their products- services portfolio, and to increase sales. To assess whether the current business strategy is appropriate given the current business situation and the determine the right business strategy; To achieve business growth and ensure profitability of business operations. Statement of the problem The San Miguel Beer slow growth rate because of its large market share . And also the credit rating downfall of the company’s stock price. Objectives Short range objectives In the Philippines, San Miguel’s...
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...SAN MIGUEL CORPORATION San Miguel Corporation was established in 1890. It is currently South East Asia’s largest publicly listed food, beverage and packaging company. It has over 17,000 employees and also around 100 major facilities throughout South East Asia. Businesses under the San Miguel Corporation are San Miguel Brewery, Inc., Ginebra San Miguel, Inc., San Miguel Purefoods Co. Inc., San Miguel Packaging Products and San Miguel Properties Inc. San Miguel Corporation is, if not the most, one of the most popular companies both here in the Philippines and the Pacific-Asia. It has products ranging from beverages, food, packaging to real estate. It is best known for its beverages, specifically beer, gin and other alcoholic drinks. For the first 9 months, San Miguel Co. Posted strong results financially. It amassed P394.4 billion sales revenue, which is a 143% jump from the level of the previous year. Recurring net income is P11.6 billion, which is a 41% increase from last year. Due to having certain accounting policies applied by BOC not in accordance in PFRS, an investment in associate of San Miguel Co, have made some adjustments to correct its statements. In computing for the equity in net earnings and comprehensive income for BOC, San Miguel Co. made adjustments in both statements of 2009 and 2010. The corrections are inadequate reserves of non-performing assets, investment properties and financial assets, deferral of losses on sale of non-performing loans, and misstatement...
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...Speculation San Miguel Will Take Control By Francisco Alcuaz Jr. Dec. 15 (Bloomberg) -- Petron Corp. rose 11 percent to a 16-year high on speculation San Miguel Corp. will buy the refiner’s majority owner, helping Petron with sales and funding. Petron, the larger of the Philippines’ two refiners, rose 1.40 pesos to 14.22 pesos at the noon close in Manila as the benchmark stock index declined 1.4 percent. It’s gained 168 percent this year, compared with 34 percent for the benchmark index. Petron isn’t a member of the index. Today is the deadline for San Miguel to exercise its option to buy 60 percent of SEA Refinery Corp., which owns 50.1 percent of Petron, according to Bloomberg data. San Miguel, the nation’s biggest food and beverage company, already owned 38 percent of Petron, according to its third-quarter report. The shares may have gained “in anticipation of San Miguel’s exercise of its right,” said Jojo Gonzales, vice president at Philippine Equity Partners Inc. in Manila. “There’s some amount of synergy with San Miguel, which acquired a diesel power plant. San Miguel is moving to energy.” San Miguel in 2009 bought the government’s 620-megawatt plant in Limay, Bataan province, the same municipality where Petron’s refinery is located. San Miguel has bought other state power assets as part of its plan to invest in faster-growing businesses. “Petron has fairly significant expansion plans, like petrochemicals,” Gonzales said. “It needs a moneyed parent, which San Miguel is.” ...
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...Marketing Plan Meralco: I. Marketing Background The Manila Electric Company, also known as Meralco, is the Philippines' largest distributor of electrical power. A. MERALCO is an investor-owned electric utility serving roughly a quarter of the estimated 94 million population of the Republic of the Philippines. 1. Estimated 94 million population of the Republic of the Philippines. 2. Meralco marches on to its 108th year of service in 2011. Consistently in the list of the Philippines’ top five corporations and cited among Asia’s finest, Meralco today serves over 4.8 million residential, commercial and industrial customers. It is strategically located to serve the country’s center of commerce and industry and its hub of government services and infrastructures. It services about 30 manufacturing economic zones, which also compete in the global market. Likewise, the Company caters to providers of outsourced business processes, both domestic and international. Meralco’s 9,337 sq. km. franchise area covers 31 cities and 80 municipalities including Metro Manila, the entire provinces of Bulacan, Rizal and Cavite; parts of the provinces of Laguna, Quezon, Batangas and Pampanga. Electrification level in the franchise area is 99%. B. The Manila Electric Company (PSE: MER and MERB), also known as Meralco (stylized in its logo as MERALCO), is the Philippines' largest distributor of electrical power. It is Metro Manila's only electric power distributor and holds the power...
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...Industry Analysis In its 110 years of service, Manila Electric Company (Meralco) has been one of the oldest and biggest companies to have survived in the Philippines. It is a company that distributes and supplies energy to industrial, residential and commercial markets in some areas of Luzon including Metro Manila, the entire provinces of Bulacan, Rizal and Cavite and parts of the provinces of Laguna, Quezon, Batangas and Pampanga. In addition, the company through its subsidiaries provides other services such as engineering, construction, information systems and technology, real estate and insurance. Porter’s Five Forces Threat of New Entrants Given the current position of Meralco, it is least likely to happen that competitors will enter its market since it would be difficult for them to compete with a company that is already established and trusted for more than a hundred years. Entrants who dare compete will be a lot farther from where Meralco is now, resulting to difficulty in gaining market share. Threat of Substitute Products or Services We are in a world where resources are limited. As to electricity, some of the alternatives for fossil fuels (commonly used for generating electricity) are solar panels, wind energy and water turbines. However, these are not good substitutes as of the moment since these energy sources are too expensive and have limited capacity. In addition, these sources though feasible still have lots of drawbacks that cannot be controlled yet. But with...
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...Summary 1 Lager by Price Band 2013 Price band | Price range per litre | | | Premium | Above PHP100.00 | Mid-priced | PHP55.00-PHP100.00 | Economy | Below PHP55.00 | Source: Euromonitor International from official statistics, trade associations, trade press, company research, store checks, trade interviews, trade sources Note: Price bands for lager are based primarily on price, but positioning and packaging are other factors that are considered in classification CATEGORY DATA Table 1 Sales of Beer by Category: Total Volume 2008-2013 million litres | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | | | | | | | | Dark Beer | - | - | - | - | - | - | - Ale | - | - | - | - | - | - | - Sorghum | - | - | - | - | - | - | - Weissbier/Wiezen/Wheat Beer | - | - | - | - | - | - | Lager | 1,516.8 | 1,527.4 | 1,589.9 | 1,614.4 | 1,638.8 | 1,440.9 | - Flavoured/Mixed Lager | - | - | - | - | - | - | - Standard Lager | 1,516.8 | 1,527.4 | 1,589.9 | 1,614.4 | 1,638.8 | 1,440.9 | -- Premium Lager | 6.9 | 6.3 | 5.8 | 6.0 | 5.5 | 5.2 | --- Domestic Premium Lager | 6.4 | 5.8 | 5.3 | 5.1 | 4.5 | 4.2 | --- Imported Premium Lager | 0.5 | 0.6 | 0.6 | 0.9 | 1.0 | 1.0 | -- Mid-Priced Lager | 1,398.9 | 1,409.1 | 1,458.0 | 1,478.2 | 1,499.2 | 1,308.8 | --- Domestic Mid-Priced Lager | 1,398.9 | 1,409.1 | 1,458.0 | 1,478.2 | 1,499.2 | 1,308.8 | --- Imported Mid-Priced Lager | - | - | - | - | - | - | -- Economy Lager | 111.0 | 112.0 | 126.0 | 130...
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