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Group2 - ICLA - Gaurav Dhakate
Group2 - ICLA - Gaurav Dhakate
Group2 - ICLA - Gaurav Dhakate
Export Value
15% 30 27.72
10% 24.50
25 23.27 22.63
22.42
5%
20
0% 17.32
-5% 15
-10% 10
-15%
5
-20%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0
2015 2016 2017 2018 2019 2020
1200 14%
120
12%
Y-O-Y Growth
1000 115
10%
800
8% 110
600
6%
105
400 4%
200 100
2% 2015 2016 2017 2018 2019
0 0%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
UB Group Competitors
Industry & UB Group Overview
Market Breakup Price Comparison
Alcoholic Beverages Industry, India
42%
58%
Organised Unorganised
Unorganised Sector
Alcoholic Beverages Industry, India
4%
Legal Illegal
Attractiveness in Alcoholic Beverages Industry
Bargaining Power of Suppliers State wise Per Capita Alcohol Consumption
(Litres / Year)
Threat of
New Entry
Bargaining Power
of Consumers Porter’s Five Forces
1. Threat of New Entry
• Government regulations, policy, and
Licensing requirements
• High economies of scale
• Low product differentiation
Threat of
• Low switching cost
Competitive
Substitute Rivalry • Several distribution channels
5. Threat of Substitute
4. Rivalry Amongst Existing Competitors
• Relatively low due to inelastic
• Numerous competitors
demand
• Rapid Industry Growth
• Population has become more health
• High Fixed Cost
conscious
• Lack of differentiation and switching
• Several alternatives available such
Cost
as non- alcoholic beverages
Introduction to UB Group
Vittal Mallya
became the Alcohol
prohibition
1915 1950s 1983 2014
first Indian
director of the brand came ₹9000 Cr. SBI imposed by the
company under UB Scam government
0
FY 2016 FY 2017 FY 2018 FY 2019 FY 2020
Analysis of company within the industry
Company Performance vs Market
% Growth 2011-2019
20%
Heavy
15%
Strengths
Strengths Weaknesses
Weaknesses Budget Premium
•• Nationwide Brewery
Nationwide Brewery presence
presence •• Fewer
Fewer places
places to
to buy
buy and
and consume
consume
•• Distribution
Distribution beer
beer
•• Scale benefits
Scale benefits •• Large
Large number
number of of competitors
competitors
•• Sourcing
Sourcing •
• Ongoing legal cases on
Ongoing legal cases on the
the ex-
ex- Bud Lite
chairman Golden Peacock
chairman
Sandpiper
Opportunities Threats Old Milwaukee Light
Opportunities Threats
Growing market
Growing market because
because of: of: •• Government regulations
Government regulations Fosters
• Kingfisher
• Increasing
Increasing youth
youth population
population •• Micro-breweries are
Micro-breweries are increasing
increasing
•• Higher
Higher disposable
disposable income
income •• Non-availability of water resources
Non-availability of water resources Light
•• Rising
Rising preference
preference for
for low
low alcohol
alcohol
beverage
beverage
•• Gradual
Gradual social
social acceptance
acceptance
Competition Analysis
32 production plants in India Conditions favour larger players over micro producers
http://unitedbreweries.com/pdf/InvestorReport/Annual_Report_2019-2020.pdf
https://www.motilaloswal.com/site/rreports/HTML/636111679438336608/index.htm
https://craft.co/united-breweries/competitors
https://www.marketing91.com/marketing-mix-ub-group/
https://www.moneycontrol.com/india/stockpricequote/breweriesdistilleries/unitedbreweries/UB02
https://www.livemint.com/Industry/0PBqBWHOYz8msKWSD6a84H/Alcohol-consumption-in-India-doubled-in-11-years-W
HO-report.html
https://go.euromonitor.com/passport.html
Thank You