Exercise 1

The Danish beer market is dominated by 3 corporations. These corporations are Carlsberg, Royal Unibrew and Coop Danmark.

The 2 leading beer-brands on the Danish market are Tuborg, which has 36.6% of the shares and Carlsberg, which has 14.5% of the shares. Both of these brands are owned by Carlsberg.

Carlsberg owns other brands as well, and this is why it is the leading corporation on the Danish beer market.

One factor that effects the Danish beer market is the development in technology. Over the years, the technology has developed rapidly, and it is getting better and better, faster and faster.

The new technology can make it possible for the companies to produce more beer. It can help the companies create more kind of beers; this could be one of the reasons why so many new kinds of beers have been introduced.

Furthermore, one of the reasons why technology is an important factor for the Danish companies, because it can help them create even better alcohol-free beers.

Until now, it has helped them to some degree. Alcohol-free beers are beginning to taste more and more like ‘normal’ beer.

For instance, this has helped Carlsberg introduce the Carlsberg Nordic beer, which has 0% alcohol in it, and taste almost identically like a beer with alcohol.

Royal and Tuborg have also introduced alcohol-free beers and there are 20 alcohol-free beers in total.

Another factor that affects the Danish beer companies is the legal factor. In many countries, the legal drinking age/the legal age for buying alcoholic drinks is higher than in Denmark.

For instance, in the US, the legal age for purchasing alcoholic beverages is 21. This means - compared to Denmark - that teenagers/young adults in the US have a harder time getting alcoholic beverages and developing a relationship to it.

Hence, less Americans will develop a relationship to beers compared to Denmark, where teenagers can buy beers at the age of 16. Thus, it is more difficult for Danish beers to enter new markets, where that is the reality.