DANWEI - Uncomfortable questions were asked this week about Prince Frog (HKG:1259), a baby and children's toiletry manufacturer. The company has denied all the problems, but the market may not be convinced.
Latest report
13 Jun 2013
DANWEI - Uncomfortable questions were asked this week about Prince Frog (HKG:1259), a baby and children's toiletry manufacturer. The company has denied all the problems, but the market may not be convinced.
Strong mid-range positioning and home-market dominance has enabled Shanxi Fen Wine to weather the policy-induced downturn that has afflicted most higher-end baijiu makers so far this year.
Despite being the second-most-popular baijiu maker among middle-income respondents in our most recent survey, Luzhou Laojiao is struggling to defend the price of its flagship Guojiao 1573 brand in the face of declining sales.
China’s most famous luxury baijiu maker has been heavily affected by the new leadership’s crackdown on official spending and is actively courting individual and private-sector consumers in order to lessen its reliance on government, military and state buyers.
The most popular baijiu maker in our most recent Consumer Brands Survey is increasingly focusing its resources on the mid-range baijiu sector, which has been less affected by government policy.
Almost all leading baijiu makers have been negatively affected by the new Chinese leadership’s crackdown on official spending and are struggling to reposition against a backdrop of declining demand for high-end baijiu.
The competitive challenge of the Tingyi-PepsiCo alliance will continue to weigh on Coca-Cola’s China sales in 2013, but the US beverage maker’s heavy local investment and strong brand equity provides it with a sustainable long-term growth platform.
Popular bottled water maker Nongfu Spring has been negatively affected by reports of poor water quality, with our channel checks suggesting that sales in major supermarkets declined by 10-20% YoY in April.
The Taiwanese beverage maker posted above-average sales growth last year and has refrained from entering into a price war with aggressive rivals, focusing instead on bolstering its brand image.
The smooth integration of Pepsi’s non-alcoholic beverage business in China should boost Tingyi’s performance in 2013.
Renminbi Compass reflects key changes in the renminbi-denominated investment environment.
Providing research coverage on asset classes as diverse as chengtou bonds, dim sum bonds, real estate, trust products, underground banking, art and antiques, as well as its traditional equity fund research.
Renminbi Compass provides orientation for investors navigating the expanding universe of renminbi asset classes.
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