The most popular price decision of Henan beer indu

  • Detail

As soon as the Henan beer professional committee was established, it immediately formulated the first industry self-discipline price in the history of Henan beer industry: price resolution, which was officially implemented on January 18. The hard won price self-discipline jointly participated by enterprises of the whole industry is the following: the price war for five consecutive years made the Henan beer industry suffer losses for the first time in 2001

2001, the loss of Henan beer industry reached an unprecedented 100%. From January to October 2001, the whole industry realized a profit of - 12.04 million yuan, a year-on-year increase of 29.6%. According to insiders, since the peak sales season has passed, although the figures for the next two months have not been summarized, they must be negative profits. In 2000, the loss of Henan beer industry was 43%

Henan Province is a major beer Province in China. After more than 40 years of development, the beer industry has become an important pillar of the province's national economy, among which Jinxing Beer has become one of the four largest beers in the industry. However, since 1996, the beer industry in Henan Province has started to go downhill, with a sharp decline in benefits. More than 90 beer enterprises in the province have successively closed down and went bankrupt. At present, there are only 27 beer enterprises, until last year, the whole industry lost money. The turning point of Henan beer industry from prosperity to decline is precisely because of the long-term vicious competition

1997, there was a price war called "violent competition" in Henan beer industry. In order to compete for the limited market resources, all enterprises are fighting a price war one after another. Take 10 degree beer as an example. In recent years, with the rising cost, the ex factory price has been declining all the way. In 1996, the ex factory price of each bottle was about 1.70 yuan, but by 1998, the price had dropped to between 1.00 and 1.25 yuan/bottle. In 2001, the average ex factory price had dropped to less than 1.00 yuan/bottle. Some of them did not include various incentives, advertising and promotional expenses for dealers. Low price competition, combined with repeated local protection, regional blockade and violent competition, makes the beer market in Henan very chaotic. Wangzhi, general manager of Henan Jinxing Beer, told us that the vicious competition in recent years has led to the fact that the larger the market share, the more serious the loss, because the enterprise's loss production has reached the point that the more it sells, the more it pays. Due to the excessive price competition below the cost price, beer enterprises have suffered large losses. According to the statistics of the National Bureau of statistics, the total output of beer in Henan Province from January to October 2001 was 1096700 tons, achieving a sales revenue of 1.223 billion yuan and a tax of 256million yuan. However, the industry profit was - 12.04 million yuan, with a year-on-year increase and loss rate of 29.6%. It is estimated that the annual tax reduction of Henan beer industry due to price reduction is nearly 100 million yuan, resulting in the loss of a large number of tax sources

another evil result caused by low price competition is that local protection is becoming increasingly fierce. As vicious competition led to market disorder, the profits of all enterprises fell sharply, and local governments set various market access thresholds in disguise to protect local enterprises. In March of last year alone, Puyang City, Henan Province, experienced three consecutive attacks on foreign beer dealers; In July, in the name of market inspection, Luoyang City specially investigated foreign beer, which led to a period of time that domestic and foreign beer dealers did not dare to open their doors. In addition to cracking down on beer from other places for various reasons, some places even violated the national regulations to stop the double fixed tax method of "quota and fixed rate", and all implemented the provisions of verified taxation, resulting in serious tax evasion by some enterprises, resulting in a large tax gap between enterprises (about 200 yuan per ton of beer), providing them with the soil for price war. The price war for five consecutive years has also produced a result that makes people in Henan beer industry feel distressed: the enterprises are small and scattered, lacking overall competitiveness; Low enterprise efficiency and serious tax loss. At present, there are 27 beer enterprises in production in Henan, but only one Jinxing Beer with an annual output of 200000 tons, only six with an annual output of 50000 to 200000 tons, and the rest are less than 50000 tons, which are scattered throughout the province. 17 the main disadvantages of these two transmission modes: the former requires regular lubricating oil. For the beer industry that pays attention to economies of scale, such a situation can no longer afford the title of "big beer province". By 2000, the net profit of the beer industry in Henan Province was only 20million yuan, the revenue per ton of wine was 1100 yuan, 32% lower than the national level, and the loss rate had reached 43%. By the end of 2001, it had reached 3. 5% of the industry's total Casting quality people can't believe 100%. In addition, the market environment is bad. In order to survive, enterprises are competing to adopt price wars. They can't die. Their lives are not good. The industrial benefits have fallen sharply. Many enterprises can't even raise funds for technological transformation. At present, the equipment level, technical level, management level and enterprise environment of Henan beer enterprises are obviously behind the developed provinces, and the internal consumption has toppled the whole Henan beer industry

the establishment of the beer professional committee can be said to echo everything, because many enterprises have seen such a fact: years of vicious competition has made Henan beer a big step behind. At the threshold of WTO, Henan beer industry has reached the point where it can not survive without standardizing the market order

attachment: price resolution

I. Henan Province has greatly reduced the labor load of people. The delivery price of the lowest grade beer (including any degree and variety) in beer enterprises shall not be less than 1.25 yuan/bottle (including freight, excluding loading 1 and length measurement fees), and the market sales price shall not be less than 1.28 yuan/bottle

II. In order to ensure the effective implementation of the unified price limit, all beer enterprises in Henan Province have cancelled all monthly returns, annual returns and various forms of incentive policies for distributors at all levels of the lowest grade beer (including any degree and variety); All beer enterprises shall not transfer profits in any form such as cash, in kind, deduction, etc. for any ordinary beer (including any degree and variety) with a delivery price of 1.25 yuan/bottle, and shall cancel all forms of bottle cap bonus sales

III. in the sales process of other beer products of any grade, after deducting various incentive policies and promotion expenses, the minimum market sales price of 1.28 yuan/bottle shall also not be lower

IV. all beer enterprises shall not consciously promote the lowest priced beer at the bottle price in any form. All beer enterprises are forbidden to use non-B bottles

v. if the market sales price of bulk liquor of individual beer enterprises is lower than 1.28 yuan/bottle, the committee will punish them according to the articles of association and relevant regulations after the Committee has verified their violation

Copyright © 2011 JIN SHI