The Qingdao International Beer Festival
(8 pages of text)
Holding a massive beer festival brought the Chinese city of Qingdao and Tsingtao Beer Co. Ltd., China’s most famous beer brand, direct economic benefits and public awareness. However, through the Qingdao International Beer Festival—a natural advertising opportunity—foreign beers benefited as well. To date, Chinese beer brands held less than half of the high-end Chinese beer market. China levied no tariffs on beer imports, which increased the market competition. Were the objectives of Tsingtao Beer and the local government fully aligned with regard to the annual festival? Was the beer festival helping one more than it helped the other? Did it help Tsingtao Beer’s competitors? Should the Qingdao International Beer Festival work to recapture or emphasize some of its own cultural uniqueness?
The case is appropriate for undergraduate- and graduate-level courses on strategy, tourism (particularly event management), or international marketing (particularly about stakeholder analysis and use of the resource-based view). After working through the case and assignment questions, students will be able to
- learn about the global and Chinese beer markets and beer festival markets;
- perform a stakeholder analysis, including dividing stakeholders into resource-based and network-based; and
- form an action plan for the Qingdao International Beer Festival, including conducting a strengths, weaknesses, opportunities, and threats (SWOT) analysis and applying Barney’s resource-based view.
Arts, Entertainment, Sports and Recreation
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