Segments

Beverage

Companies in this segment produce carbonated and noncarbonated soft drinks, bottled water, ice, and alcoholic beverages.

Dairy

Companies in this segment manufacture dairy-based products from both raw and processed milk, as well as dairy substitutes.

Fruits and Vegetables

Companies in this segment distribute fresh fruits, vegetables, spices, and herbs. The main task of distributors is to get the fruit and vegetables from producers to customers, including both food retailers and foodservice providers.

Grain

In this segment, companies mill flour and rice, malt grains, and mixed prepared flour mixes and dough. Major products include flour, rice, and malted grains.

Meat, Poultry, and Seafood

Major products in this segment are wholesale meat products that will be cut or processed further, ground beef for commercial use, and "case-ready" items for retail use.

Sugar and Confectionery

Companies in this segment produce raw sugar from sugar cane, refine raw cane sugar, and produce refined beet sugar from sugar beets. The most widely used product for sugar manufacturers is refined sugar for both industrial and consumer use.

The Food and Beverage industry is Fragmented. The production in this industry is divided among a few different companies, however, no single firm has large enough share of the market to be able to influence the industry's direction or price levels.


Primary Demand Drivers

  • Food consumption
  • Population growth

Profitability Drivers

  • Efficient operations, because products are commodities subject to intense price competition

From the Blog Blog RSS

Whether you call them soda, pop, coke, or fizzy drinks, soft drinks are popular across the globe and are defined as a carbonated, nonalcoholic beverage by the Merriam-Webster dictionary.  The term soft drink was originally coined to distinguish flavored drinks from hard liquor, and the first soft drinks were marketed in the 17th century as a combination of lemon juice, water, and honey.  Later, the first carbonated drinks appeared in the 18th century as health remedies.  Today, soft drinks are mass-produced using a combination of water, carbonation, flavoring syrup, and bottling the product to sell to consumers.

From cheese to milk to butter, yogurt, and ice cream, dairy is found in many forms across the globe and is used and consumed in a multitude of ways throughout the world’s varying cultures.  Dairy plays an essential role as the base ingredient of many foods and is a major industrial product in many economies.  The main source of dairy comes from cows, which can be raised and bred in mass numbers to obtain product that satisfies the demand of the population.

Sources

  1. Hoovers (Date Accessed: 6/1/2017)