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Effects of the M&A Wave in the Global Brewing Industry 2000-2010

Author

Listed:
  • Madsen, Erik S.
  • Pedersen, Kurt
  • Lund-Thomsen, Lars

Abstract

The brewing industry has experienced massive changes over the last decade. Industry concentration has increased dramatically, and the leading brewing groups have globalised their operations across virtually all continents. Based on a major data base the paper traces some causes and assesses the main effects of the M&A strategies in the global beer industry. The results verify that the 4 large acquiring brewing groups are more efficient than a control group of 200 large breweries but they have not performed significantly better in the period. This gives some evidence for the market power hypothesis which seems to work in the brewing industry in this period. Im ersten Jahrzehnt dieses Jahrhunderts setzten sich in der internationalen Brauindustrie tiefe Veränderungen durch. Die Unternehmenskonzentration stieg dramatisch, und die führenden Brauereigruppen globalisierten ihre Aktivitäten und sind heute auf fast allen Kontinenten tätig. Basierend auf Informationen aus der Orbis-Datenbank beschäftigt sich dieser Beitrag mit einigen Ursachen der F&Ü-Strategien und insbesondere mit deren Auswirkungen. Die Untersuchung bestätigt, dass die vier großen und F&Üaktiven Unternehmensgruppen zwar effizienter sind als die 200 großen Brauereien in der Kontrollgruppe, aber keine deutlich bessere Performance aufweisen. Die Ergebnisse der Untersuchung unterstützen die aus der Literatur der industriellen Organisation bekannte Marktmacht-Hypothese.

Suggested Citation

  • Madsen, Erik S. & Pedersen, Kurt & Lund-Thomsen, Lars, 2012. "Effects of the M&A Wave in the Global Brewing Industry 2000-2010," German Journal of Agricultural Economics, Humboldt-Universitaet zu Berlin, Department for Agricultural Economics, vol. 61(04), pages 1-9, November.
    • Handle: RePEc:ags:gjagec:199783
    DOI: 10.22004/ag.econ.199783
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    References listed on IDEAS

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    Cited by:

    1. Erik Strøjer Madsen, 2019. "From Local to Global Competitors on the Beer Market," Economics Working Papers 2019-11, Department of Economics and Business Economics, Aarhus University.
    2. Liam Keenan, 2020. "The geographies of the institutional and industrial constraints on the financialization of German brewing," Environment and Planning A, , vol. 52(8), pages 1662-1680, November.
    3. Erik Strøjer Madsen, 2017. "Branding and Performance in the Global Beer Market," Economics Working Papers 2017-11, Department of Economics and Business Economics, Aarhus University.
    4. Erik Strøjer Madsen & Yanqing Wu, 2014. "Globalization of Brewing and Economies of Scale," Economics Working Papers 2014-23, Department of Economics and Business Economics, Aarhus University.

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