Western alcoholic beverage giant SABMiller (London: SAB) is making headlines for its newly announced deal to buy a major Chinese beer maker, raising the interesting possibility that other foreign firms could soon make bids for makers of traditional baijiu liquor. For those who don’t follow the China liquor market too closely, baijiu makers have been under pressure since the beginning of the year, when media first began reporting that their products contained unsafe levels of plasticizers. The ongoing crisis could provide some interesting buying opportunities for foreign alcoholic beverage makers like SABMiller and Diageo (London: DGE), which are eying a bigger share of China’s massive market for alcoholic beverages.
Tag Archives: Moutai
Advertising Winter Enters Deep Freeze 中国广告行业进入严冬
Leading Chinese media company CCTV has been trumpeting the results of its annual advertising auction for 2013 held over the weekend, which saw spending increase by 11.4 percent despite the recent slowdown that has hit the sector. But from my perspective, these results look very gloomy indeed for reasons I’ll explain shortly, meaning advertising-dependent Internet leaders like search engine Baidu (Nasdaq: BIDU), web portal Sina (Nasdaq: SINA) and video sharing site Youku Tudou (NYSE: YOUKU) won’t have much to cheer about in 2013.
