Trends in the beverage market for Taiwan and China/ Asia Area
Amber Han
it actually doesn't have too much information in the following
article, but it mention that the sports drinks dominate the functional
drinks catesgory and are expected to grow faster after 2008.
In the big pie of the NTD50 billion beverage market in Taiwan, tea
beverages constitute the biggest segment, expected to reach NTD16
billion in 2005.Among others green tea with an emphasis on health
showed the strongest growth momentum, expected to exceed NTD5
billion. Unipresident’s Japanese Style No Sugar Green Tea was the
first tea product to receive a Health Food Permit in April, 2005, and
claims blood lipid regulation.
The market value for fruit and vegetable juices has declined 5.1% in
2005, compared with NTD7.7 billion in 2004. Nevertheless, sales of
100% fruit juices experienced an 18.4% increase against the market
trend. Sales of mixed fruit and vegetable juices as well as
traditional drinks decreased 16.3% and 10.2%, respectively.
Overall the beverage market in China experienced strong growth in both
volume and value in 2004 as the main growth engines were fruit/
vegetable juices, bottled water, and RTD tea. Continuous strong
competition is expected. However, due to the unhealthy image, the
growth rate for carbonated soft drinks is about 5% per year. Flavor
innovation, refreshment, and health are the key drivers for carbonated
soft drinks. For the juice and juice drink segment, the trends are
opting for higher juice content, mixed fruit and vegetable juices,
fortification, and segmentation. Sports drinks dominate the
functional drinks category, and are expected to grow faster around
2008 Beijing Olympics.
Meric KELLECI
Qinyuan Zhang
http://www.hg.org/article.asp?id=5183
National Security Examination of Foreign Investment
Article 31 requires that foreign investment merger activities to pass both anti-monopoly examination and national security examination, if such merger or acquisition is likely to threaten “national security”. It is the first time that Chinese authority has put such a requirement in written form. The Anti-Monopoly Law is considered to increase the approval requirement of foreign investment in certain sensitive industry sectors, and the national security examination can only be separately conducted by the relevant governing department under specific national regulations.
Although such national security examination is not intended to be a further restriction on foreign merger and acquisition in the PRC (unless it concerns a military or sensitive industries), the specific threshold and criteria of such examination will need to be clarified in the coming implementation rules in order to address the concerns of potential foreign investors.
Michael Staub
Vitamin Water, needs to be very careful of potential problems that are
faced when merging with another company. It seems as though there are
some "hoops" to jump through for coke, as they have purchased Vitamin
Water. This could be a problem for Coke. I'll read into some more
legal stuff, because I have a little bit of a background in the law.