Carlsberg’s strategy is focused on value creation and expansion. We aim to create value by increasing our earnings and realising the value of hidden assets (including unused properties), and to expand by growing our business in existing markets and entering new markets. In order to achieve this strategy, we have introduced a range of targets and action plans to help shape the Carlsberg of tomorrow.
The foundations of Carlsberg’s core business are the beer markets of Western Europe, Eastern Europe (BBH) and Asia. These are markets that we have got to know particularly well through our presence and activities there over many years, which have meant that we have built up strong and profitable positions in these markets. Carlsberg’s strategy is to focus on these three regions, because it is here that we have the expertise and strength needed to be a leading player.
The markets in Carlsberg’s business portfolio are at different stages of development – some are mature with stagnating or declining consumption, while others are emerging and growing. These different stages of development often reflect standards of living, which means that factors such as income per capita and the size of the middle class will have a say in total beer consumption and its growth. The markets are also undergoing major changes. This requires constant adaptation to a market situation featuring keen competition on marketing, innovation, cost-efficiency, and brewery investments and acquisitions.
Evaluating and comparing the individual markets’ stage of development, risk profile and potential profitability within the overall portfolio is key to the overall distribution of resources between the different regions.
The challenge here is to strike the best possible balance between the mature markets of Western Europe, the growth markets of Eastern Europe (BBH), and the emerging markets of Asia.