Smc Annual Report
UNIVERSITY OF THE PHILIPPINES
COLLEGE OF BUSINESS ADMINISTRATION
SAN MIGUEL CORPORATION
Founded as a single-product brewery in 1890, San Miguel Corporation today is the Philippines’ leading publicly held food, beverage and packaging company. Its flagship product, San Miguel Beer, caters to over 80% of the domestic market. It is a formidable contender in the local food and agribusiness industry, and likewise runs domestic and international packaging and brewery operations. It accounts for a major share of the Philippine beverage industry, particularly in the soft drink, beer and liquor segments.
The past ten (10) years have seen a succession of transactions involving its acquisition and divestment of several subsidiaries and affiliates, not least of which involved Coca-Cola Bottlers Philippines Inc. All these activities point to a fundamental corporate strategy of investment and expansion. To quote Company Chairman and CEO Eduardo Cojuangco, “We don’t want to buy anything just for the sake of acquiring something. We want something that fits.”
THE COMPANY
On September 29, 1890, Don Enrique Ma. Barretto de Ycaza, owner of the brewery La Fabrica de Cerveza de San Miguel had been authorized to brew beer in the Philippines under a Royal Grant. The new establishment located at No. 6 Calzada de Malacañang, in Manila’s San Miguel District, was inaugurated on October 4, 1890.
FOR CLASSROOM DISCUSSION ONLY No.
Arturo M. Ilano, Assistant Professor, University of the Philippines, with Melizza Freja G. Bautista, Mikhail Joseph T. Torres, and Biogene O. Yagong, prepared this case study as a basis for class discussion, and is not designed to illustrate effective or ineffective handling of managerial situations. Certain names have been disguised. The writing of this case study was supported by the Commission on Higher Education.
The University of the Philippines College of Business Administration prohibits any form of reproduction or
COLLEGE OF BUSINESS ADMINISTRATION
SAN MIGUEL CORPORATION
Founded as a single-product brewery in 1890, San Miguel Corporation today is the Philippines’ leading publicly held food, beverage and packaging company. Its flagship product, San Miguel Beer, caters to over 80% of the domestic market. It is a formidable contender in the local food and agribusiness industry, and likewise runs domestic and international packaging and brewery operations. It accounts for a major share of the Philippine beverage industry, particularly in the soft drink, beer and liquor segments.
The past ten (10) years have seen a succession of transactions involving its acquisition and divestment of several subsidiaries and affiliates, not least of which involved Coca-Cola Bottlers Philippines Inc. All these activities point to a fundamental corporate strategy of investment and expansion. To quote Company Chairman and CEO Eduardo Cojuangco, “We don’t want to buy anything just for the sake of acquiring something. We want something that fits.”
THE COMPANY
On September 29, 1890, Don Enrique Ma. Barretto de Ycaza, owner of the brewery La Fabrica de Cerveza de San Miguel had been authorized to brew beer in the Philippines under a Royal Grant. The new establishment located at No. 6 Calzada de Malacañang, in Manila’s San Miguel District, was inaugurated on October 4, 1890.
FOR CLASSROOM DISCUSSION ONLY No.
Arturo M. Ilano, Assistant Professor, University of the Philippines, with Melizza Freja G. Bautista, Mikhail Joseph T. Torres, and Biogene O. Yagong, prepared this case study as a basis for class discussion, and is not designed to illustrate effective or ineffective handling of managerial situations. Certain names have been disguised. The writing of this case study was supported by the Commission on Higher Education.
The University of the Philippines College of Business Administration prohibits any form of reproduction or