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San Miguel Corporation

San Miguel Corporation is one of the Philippines’ largest and most
diversified conglomerates, generating about 6.5% of the country’s gross domestic
product in 2013 through its highly integrated operations in beverages, food,
packaging, fuel and oil, power and infrastructure. The company was established
in 1890 as a single brewery in the Philippines under La Fabrica de Cerveza de
San Miguel was Southeast Asia’s first brewery, which produced and bottled what
would eventually become one of the best-selling beers in the region and among
the top beer brands in the world. In recent years, San Miguel has added in its
portfolio additional market-leading businesses and investments in the Philippines
fuel and oil, power, infrastructure, telecommunications and banking industries.
Despite all of this, San Miguel is only ranked 1,085 th in the Fortune Global
2000. Firstly, because, it didn’t made the revenue threshold of $4.525 billion; San
Miguel’s revenue for the year 2004 is P782.434 million. Secondly, the company
has been selling mostly the same products from its incorporation, if not for over at
least fifteen years; and one of the crucial trait of companies in Fortune Global
500 is to be adaptable indicating that change must be constant including its
products. Nevertheless, San Miguel has surpassed the trait that the company
must have a long term focus, for the company has been incorporated for over
125 years. Another trait of companies in Fortune Global is to have a high human
capacity for this is their only source of sustainable competitive advantage.
Fortunately, San Miguel has a workforce of 17,000 in seven countries and is one
of the nation’s largest employers. The two remaining traits is that the company
must have strong ideas over financial capital and there must be non-stop growth.
The latter is obviously true for San Miguel for it has grown since 1890, and the
former may be subjective for most.
However, having passed most of the traits companies of Fortune Global
500 share, evidently isn’t enough for San Miguel to make the minimum income
requirement of $4.825 billion.