REPORT

Procurement and Global Sourcing (SCM301m)

Lecturer: Bui Thuy Duong

Class: IB 1711-LOG
Group: 1
Members of group:
Full of name Student ID
Nguyễn Quang Anh HS160951

Bùi Thị Thu Dung HS170996

Lê Thị Hoàn HS170981

Nguyễn Đình Đức Minh HS170594

Nguyễn Sơn Tùng HS170977

Đặng Anh Tuấn HS171559

Table of content
No. Content
I. Background of the company

II. Analyze the supply chain of the company

III. Analysis for supplier (SWOT, Finance)

IV. Using the Kraljic matrix (5 products and services)

V. Evaluate and choose a supplier, create a scorecard to evaluate the

suppliers, and example

VI. Manage the relationship and develop this chosen supplier

CONTENT
I. BACKGROUND OF THE COMPANY
a. Formation and Development History of Sabeco
- SABECO, or Saigon Beer Alcohol Beverage Corporation, renowned
for its Saigon Beer brand, has a solid history. Since Victor Larue
established a small brewery in Saigon in 1875, the company has
undergone significant stages of development.
- Having experienced numerous ups and downs, at the beginning of
2008, the company was officially corporatized and became Saigon
Beer Alcohol Beverage Corporation at 187 Nguyen Chi Thanh, Ward
12, District 5, Ho Chi Minh City, Vietnam, concurrently inaugurating
the Saigon Beer factories in Cu Chi with the most modern production
technology in Southeast Asia. [link]
- Saigon Beer and SABECO have been a familiar choice for
Vietnamese consumers for generations. With nearly 150 years of
development, SABECO's products have increasingly reached
international markets. The company has exported its products to over
30 countries, including demanding markets such as Germany, the
United States, Japan, and the Netherlands. SABECO is highly
regarded for its productivity, quality, and efficiency, and has made
significant contributions to the economic development of the industry,
localities, and the country. As of 2023, SABECO holds nearly 34% of
the market share and ranks second in Vietnam's beer market. [link]
b. Sabeco’s size and scope of operations:
Sabeco has a large scale with a production and distribution network spread
across the country. The company owns and operates a significant number of
beer and beverage manufacturing plants at various locations: Hanoi, Quang
Ninh, Nghe An, Ha Tinh, Quang Ngai, Dak Lak, Khanh Hoa, Ho Chi Minh,
Can Tho, Soc Trang.
[link]
c. Some popular products of Sabeco
Sabeco has developed product lines: Saigon Special bottle beer, Saigon
Export Premium bottle beer, Saigon Lager bottle beer, 333 Premium bottle
beer, Saigon Chill bottle beer, Lạc Việt bottle beer, Saigon Gold can beer,
Saigon Special can beer, Saigon Export Premium can beer, Saigon Lager can
beer, 333 can beer, Saigon Chill can beer, Lạc Việt can beer
. [link]
II. ANALYZE THE SUPPLY CHAIN OF THE COMPANY

a. Operations
1. Raw materials: SABECO collaborates with various suppliers to ensure
high-quality raw materials for beer production:

- Imported Materials: Malt, hops, and enzymes are imported from European,
Australian, and American countries. These suppliers are among the leading
names in the industry, recognized for their capability and high reputation.
- Domestic Materials: SABECO aims to diversify its suppliers to meet the
needs of its factories nationwide while selecting companies that offer good
quality at reasonable prices. Additives used in the production process must
have food safety certifications.

2. Transportation of raw materials: Raw materials are transported by truck,

freight train, or ship. SABECO's warehouses are strategically located across the
country (such as in Cu Chi and Vung Tau) to ensure quick access to production
facilities.

3. Production process: SABECO currently operates 26 factories equipped with

modern machinery and automated technology, reducing energy consumption and
increasing productivity. The total capacity of these factories can exceed 1.8 billion
liters of beer per year. The beer production process at SABECO consists of 12
steps, from milling to bottling, with strict supervision by experienced experts to
ensure product quality.

b. Supply
1. Storage and distribution of products

- Once products meet quality standards, they are stored in warehouses before
being distributed to SABECO's distributors.
- SABECO currently has 10 main distributors nationwide, including:
SABECO Miền Bắc, SABECO Đông Bắc, SABECO Bắc Trung Bộ,
SABECO Miền Trung, SABECO Nam Trung Bộ, SABECO Tây Nguyên,
SABECO Miền Đông, SABECO Trung tâm, SABECO Sông Tiền, và
SABECO Sông Hậu.

2. Distribution network

- Goods are distributed from distributors to branch outlets and first-level

agents, who then distribute to second-level agents and finally to consumers.
SABECO has approximately 800 official distributors actively operating,
helping it capture over 40% of the beer market share in Vietnam.
- SABECO organizes its distribution model in a vertical chain, with the
corporation distributing goods to first-level distributors, who then further
 distribute to second-level agents, or first-level distributors may directly
supply third-level agents.
- Currently, distribution companies have the capability to directly supply beer
to convenience stores and supermarket chains such as Circle K, Family
Mart, GS25, and WinMart, as well as grocery stores like Bách Hoá Xanh.
Additionally, supermarket systems like Go and CoopMart can also directly
meet consumer demands. Through the digitalization program called
SABECO 4.0, the company has focused on restoring the supply chain after
the COVID-19 pandemic by synchronizing and optimizing the supply and
sales processes. This includes implementing transportation tracking systems,
logistics management, warehouse management, and transportation control.
Thanks to these systems, SABECO ensures that deliveries are always on
time and transparent regarding delivery schedules, while information about
the delivery process is updated and displayed in real-time.

3. Recycling process

- SABECO has also implemented a process for reusing old bottles and beer
kegs to protect the environment and save costs. After consumers use the
products, glass bottles and metal cans are collected from distributors for
recycling and remanufacturing.

4. Supply chain map

A supply chain process consists of three main flows: information flow, product
flow, and financial flow.

- Information flow: This flow is essential for the efficient operation of the
chain. For example, agents provide information about consumer purchasing
flows, help manufacturers calculate the amount of raw materials needed, and
provide information to suppliers about upcoming orders. In addition,
information flow also involves the exchange of information and data
between relevant departments within the company and the supply chain.
(Raw material purchasing plans, production planning,...)
- Product flow: This flow flows from suppliers to manufacturers, from
manufacturers to distributors, and finally from distributors to consumers.
- Financial flow: This flow flows back from customers to distributors, then to
manufacturers, and manufacturers will pay for previous raw material
purchases. Because SABECO has a policy of purchasing old beer kegs and
barrels, there will be a financial flow from the producer to the consumer.

c. Potential risks in SABECO's supply chain

*) Dependence on imported supplies: A major risk is the dependence on

imported raw materials such as malt and hops, which makes SABECO vulnerable
to:

- Exchange rate fluctuations, which could lead to increased costs.

- Supply chain disruptions due to global factors such as political instability,
natural disasters or logistics problems in supplying countries.

*) Operational risks:

- Risk of production delays due to equipment breakdowns, labor shortages or

other operational issues at the 26 breweries.
- Potential bottlenecks in logistics and transportation, especially during peak
seasons or when the weather is bad.

* ) Legal and environmental risks:

 - Changes in government regulations on the production and sale of alcoholic
beverages could increase operating costs and require stricter compliance.
- Growing pressure on sustainable practices requires SABECO to change its
packaging or production methods, leading to higher costs.

*) Brand reputation risk: Any issues related to product quality control or

logistics could negatively impact SABECO’s reputation, especially if substandard
products reach consumers.

d. Risk management/avoidance strategies

*) Supplier diversification: SABECO can diversify its raw material supply by

expanding its partner network to other regions or seeking domestic sources,
thereby reducing its dependence on a single country or region.

*) Exchange rate hedging: To manage the risk of exchange rate fluctuations,

SABECO can adopt exchange rate hedging strategies, such as futures or options, to
lock in favorable exchange rates for raw material purchases.

*) Technology and automation:

- Investing in advanced manufacturing technologies, such as predictive

maintenance, will help minimize downtime and ensure continuous plant
operations.
- Applying a real-time supply chain monitoring system allows SABECO to
identify and promptly address transportation issues.

*) Inventory and logistics management:

- Maintaining strategic reserves of critical raw materials to ensure continuous

production even when the supply chain is disrupted.
- Distributing warehouses in different regions nationwide to minimize the
impact of regional incidents, ensuring uninterrupted distribution.

*). Adapting to consumer behavior:

 - SABECO can minimize the risk of demand fluctuations by using data
analytics to predict market trends and consumer preferences, ensuring
production is in line with actual demand.
- Expanding e-commerce channels and digital sales platforms makes it easier
for SABECO to reach consumers even when traditional retail channels are
affected.

*) Sustainable practices and regulatory compliance: SABECO can minimize

legal and environmental risks by adopting sustainable practices such as using
eco-friendly packaging and minimizing carbon emissions during transportation, in
line with government regulations and consumer expectations.

{II- Ref: [1] [2] [3] [4] [5] [6] [7] [8] }

III. ANALYSIS FOR SUPPLIER (SWOT, Finance)

Phân tích SWOT
Potential supplier for Sabeco has a world famous malt supplier, Briess Malt &
Ingredients Co., an American company headquartered in Chilton, Wisconsin..link

1. Strengths
● High product quality: Briess is famous for its superior malt quality, meeting
the needs of brewers. They have exported to many large beer companies in
the world such as: Anheuser-Busch (USA), MillerCoors (USA), Diageo
(UK)
● Product diversity: Providing many different types of malt and ingredients,
serving many different beer styles.
● Long experience: With a long history of operation, Briess has extensive
knowledge of production processes and markets.

2. Weaknesses
● Agricultural Dependence: Malt production is dependent on barley supply,
which can be affected by weather conditions and climate change.
● High Cost: High quality can result in higher product costs than some
competitors, which can affect competitiveness in some market segments.
3. Opportunities
● Beer Industry Growth: The increase in demand for beer opens up a great
opportunity for Briess to supply raw materials to small and medium-sized
producers.link
● Expanding international markets: It is possible to seek export opportunities
and expand into emerging markets. The company has exported to major
countries such as the United States, Canada, Australia, Europe, Asia and
some Southeast Asian countries. From there, it is possible to expand the
market to Vietnam
● Technological innovation: Investing in new technology can improve the
production process and malt quality.

4. Threats
● Increased competition: The increase in the number of malt producers and
raw material suppliers can create competitive pressure.
● Climate change: Changes in climatic conditions can affect barley production,
thereby affecting supply link
● Changes in consumer tastes: Consumer trends can change, affecting demand
for particular types of malt.

Financial statement analysis:Briess

● Fluctuations: The company’s revenue has experienced some fluctuations
during the period under review.
● Peak: 2021 marked the highest revenue of any year on record.
● Slight decline: After a record high in 2021, revenue has shown a slight
decline compared to previous years (2018 and 2019). However, compared to
2020, revenue in 2021 has grown significantly.
● Steady growth: Overall, the company's operating income has shown a
steady growth trend over the period under review.
● Highlights of 2020 and 2021: In particular, 2020 and 2021 witnessed
significant growth compared to previous years, indicating that the company
has made significant strides in improving its
 ● General trend: The company's operating profit margin fluctuated during the
surveyed period, but was generally quite stable.
● Highlights: 2019 was the year the company achieved its highest operating
profit margin.
● Slight decrease: After 2019, the operating profit margin tended to decrease
slightly but remained stable.

⇒ From this chart we can see that Briess Malt & Ingredients Co's business is
growing in an upward direction and is stable. Especially during the Covid 19
period, they still maintain a stable level, from which we can completely trust that
Briess Malt & Ingredients Co is a potential partner of the company and can become
a gold supplier for Sabeco.
IV. USING THE KRALJIC MATRIX (5 products and services)

1. Bottles and Packaging Materials

● Category: Leverage Items
● Justification: Packaging is an important component in preserving and
transporting the product. However, Sabeco can easily change suppliers and
has the ability to negotiate good prices due to the highly competitive
packaging market.
2. Transportation and Distribution Services
● Category: Bottleneck Items
● Explanation: Transportation services are important to ensure that products
reach consumers on time and in good condition, but there are few reputable
 transportation service providers. If there are problems with the transportation
service, the company will have difficulty delivering the goods.
3. Raw materials (Malt, Hops, Yeast, Water)
● Category: Strategic items
● Justification: These are the main raw materials in the beer production
process, directly affecting the quality of the product. Because the supply can
be unstable and have a great impact on production, Sabeco needs to establish
a long-term and close relationship with suppliers to ensure the quality and
stability of the supply.
4. Marketing and Advertising Services
● Category: Non-Critical Items
● Justification: Marketing services, though promoting the brand, do not relate
to the production and delivery process of beer directly. These can easily be
sourced from many agencies, which would, in turn, also make the strategic
importance lower, too, with low supply risk.
5. Information technology and management systems (ERP, quality
monitoring systems)
● Category: Bottleneck items
● Justification: These information management systems help Sabeco manage
the entire production process, control quality and manage customer data.
This is a complex technology and not easily replaceable, requiring a large
investment but necessary for the company's effective management.

V. EVALUATE & SELECTION SUPPLIER AND MANAGE THE

SUPPLIER QUALITY
★ Supplier Evaluate and selection
1. Recognize the need for supplier selection

With an annual growth rate of over 20% and a development orientation to

boost domestic and export sales, ensure and improve Sabeco's product
quality (development orientation in the annual report), ensuring the supply
of raw materials for beer production is extremely important. The most
important raw material for making beer is Malt (barley). Therefore, our
group will develop a strategy to select and evaluate suppliers for this barley
raw material.

2. Identify key sourcing requirements

● Quality
● Cost
● Delivery performance
3. Determine sourcing strategy
● Multi-sourcing: Because the supply of Malt in the market is abundant and
the company's demand for Malt in beer production is very large, having
multiple sources of supply will increase bargaining power, reduce
dependence and risk.
● Long-term purchase contract: With the daily consumption and production
level of the factory, it is necessary to ensure a large supply of Malt. It is
necessary to choose a supplier who is capable of signing a long-term
contract to ensure the supply for the factory.
● Foreign supplier: Barley is grown in many places in the world, mainly in
temperate climates. Vietnam is located in a tropical climate zone, so Malt
cannot be grown. If you choose a domestic supplier, the price and cost will
be higher than choosing a supplier in countries where Malt can be grown.
4. Identify potential supply sources
● Sources of information:
- Current Suppliers: This is the group of people that will be prioritized
because the products they are currently supplying meet the criteria set
by the company. Consider whether the company is capable of
supplying the company's new requirements or not?
- Internal Sources: Sabeco is a large corporation with many operating
beer subsidiaries. Each subsidiary will have data on the list of
different potential suppliers. Through the synthesis and sharing of
potential supply data between business units, a large potential supply
data will be obtained.
- Sales Representatives: This is to approach and learn about suppliers
and products from the people who are directly working at that
supplier. These people will give us the necessary and practical
information about the information the company needs to know about
the suppliers they are sales representatives.
- Trade Journals, Trade Directories, Trade shows: This is an effective
way to access, collect and evaluate information from suppliers.
- Internet sources: Currently, the Internet is a free and useful tool to
search for supplier information in the market. Suppliers use the
Internet to market themselves and their products, so buyers can easily
find the information they want. But you should find out and choose
information selectively.
5. Limit suppliers in selection pool
 After obtaining large data on potential suppliers. It is necessary to survey
and analyze preliminary information on financial, performance, and supply
information of suppliers to be able to narrow down the truly potential
suppliers.

- Financial Risk Analysis

- Evaluation of Supplier Performance
- Evaluation of Supplier-Provided Information
6. Determine method of supplier evaluation and selection

To evaluate suppliers, the company will consider and evaluate based on:

● Information provided by suppliers

● Using preferred suppliers
● Information from outside or third parties.
7. Select supplier and reach agreement

To choose a supplier, it is necessary to compare suppliers based on a few general

evaluation criteria:

- Management Capability
- Employee Capabilities
- Cost Structure
- Total Quality Performance, Systems, and Philosophy
- Process and Technological Capability
- Environmental Regulation Compliance
- Financial Stability
- Production Scheduling and Control Systems
- E-Commerce Capability
 - Supplier’s Sourcing Strategies, Policies,
- and Techniques
- Longer-Term Relationship Potential

The supplier with the highest score will be selected to become a supplier for the
company.

★ Manage the supplier quality

1. Supplier quality

Supplier quality is defined as the ability to consistently meet or exceed

current and future customer expectations or requirements in critical
performance areas. This definition consists of three main parts:

● Ability to meet or exceed requirements: Suppliers must satisfy or surpass

customer expectations every time. Inconsistent performance, whether in
product quality or on-time delivery, is not considered a characteristic of a
quality supplier.
● Meeting current and future customer demands: Suppliers must be able to
anticipate and respond to the future needs of customers while demonstrating
continuous improvement. A supplier that only meets current demands but
cannot keep up with future requirements is not considered a quality supplier.
● Ensuring consistent performance in critical areas: Supplier quality is not
solely based on the physical attributes of the product but also includes
factors such as service compatibility, after-sales support, modern technology,
and cost management.

2. Why be concerned with supplier quality

 ● Supplier Impact on Quality

The late quality expert Philip Crosby estimated that suppliers are responsible for
50% of a firm’s product-related quality problems. Furthermore, the average
manufacturing firm spends more than 55% of its sales dollar on purchased goods
and services; some manufacturers spend even more, with figures approaching
100%. A firm that focuses only on its own internal quality issues will usually fail
to recognize and take appropriate action on the true underlying root causes of many
quality-related problems. Poor supplier quality can quickly undermine a firm’s
total quality improvement effort.

● Continuous-Improvement Requirements

Most firms plan to achieve continuous quality improvements in all aspects of their
business. One way to do this is through the effective management of supplier
quality. Quality improvement requirements are a function of a company’s industry
along with how well its performance compares to that of its competitors.
Companies in high-technology industries, such as Chrysler, Boeing, Intel, and
Texas Instruments, face intense competitive pressure to achieve quality levels that
approach perfection. Other industries, such as furniture making, typically
experience a slower and less dramatic rate of change. Regardless, all industries
experience at least some pressure from customers to achieve continuous quality
improvement.

3. Supplier quality management

Supplier quality control procedures typically include the following main steps,
especially when applied according to ISO 9001 standards:
 ● Establish supplier evaluation criteria: Clearly define the standards of
product quality, delivery time, reliability and responsiveness that suppliers
need to achieve to ensure business requirements, specifically Select
suppliers with a good history and apply international quality standards such
as ISO 22000. Suppliers must ensure that barley is of good quality and free
of toxic chemicals or mold.[link].
● Conducting inspection and evaluation, controlling input quality:
Including steps such as reviewing documents, reviewing production
processes, testing sample products and evaluating supplier quality control.
Here, for the item being barley for beer production, the moisture, maturity
and composition of the barley must be checked to match the production
standards. It is necessary to determine chemical indicators such as pH,
calcium, and carbonate to ensure good fermentation.
● Periodic quality audits: Supplier site visits may be organized to physically
verify their manufacturing processes and quality management systems.[link].
● Monitoring transportation and storage processes: Storing and
transporting barley under the right conditions to avoid mold and damage,
helping to maintain the quality of raw materials until production.

In addition, to ensure product quality, suppliers often need to provide the following
documents to customers:

● Certificate of Quality (C/Q): Confirms that the product meets the

manufacturer's quality standards or international standards. This is an
important document to ensure that the product meets the customer's quality
requirements.[link].
● Certificate of Origin (C/O): Verifies the origin of a product, helping to
ensure that the product is manufactured or exported from a specific country
 or region, possibly related to the specific production standards of that
region.[link].
● Safety and other regulatory certifications: These may include safety
certification, technical compliance, or industry standards, depending on the
product type. These certifications ensure that the product is safe to use and
meets the legal requirements of the target market.[link].
● Certificate of Analysis (COA): Includes parameters on moisture, protein
content, sugar index and mold, ensuring raw materials meet food safety
standards.
● Clean production process certification: Such as ISO 22000,
HACCP(Hazard Analysis and Critical Control Point System), or equivalent
standards, confirming that the supplier complies with safety and hygiene
procedures in barley production.link
● Chemical Composition Testing Documentation: Demonstrates the
suitability of ingredients such as pH, hardness and minerals required for the
brewing process.link

These documents ensure that suppliers comply with quality and safety standards,
and give customers confidence when using the product.

★ Select 2 suppliers from the internet to evaluate and choose

Boortmalt và Malteries Soufflet

Boortmalt https://www.boortmalt.com/masters-malt

Boortmalt is a global malting company with a production capacity of 3 million

tonnes per year, headquartered in Antwerp, Belgium. The Group is present on 5
continents with 27 malting plants. Boortmalt Group is a wholly owned subsidiary
of agricultural and agribusiness cooperative Axereal, Europe's largest grain
cooperative. This ensures Boortmalt has access to high-quality barley all year
round. They aim to be the Master of Innovation in the malting industry, providing
the best malt to passionate and demanding customers.

Malteries Soufflet: https://www.malteries-soufflet.com/en/who-we-are

Malteries Soufflet is a global malting company with a production capacity of 2.4

million tonnes per year, headquartered in France. The Group currently has 29
malting plants in 16 countries in Europe, Asia, Africa and the Americas. Soufflet is
present in the main malting regions of the world, as close as possible to the
farmers, so it can guarantee its customers a special malt capable of meeting the
most demanding specifications, following a sustainable and local approach.
Soufflet's production, sales and logistics teams around the world are committed to
meeting customers' expectations for quality, reliability and flexibility every day.

Evaluate and select 2 suppliers based on the following criteria:

Boortmalt Malteries Soufflet

Traceable link Traceable, produce

Quality Systems high-quality malts
and guarantee the
consistent excellence
of the products
delivered.
- Using AI to
optimize quality
[link]
Product innovation - Infusion malts: Creating new
combining spices, limitless products
 herbs, botanicals, with expertise and
fruits, and more into state-of-the-art tools
the malting process [link]
Technical/ [link]
Process - Atlantis Series:
Capability Tritordeum malt
based products. [link]
Process innovation Exploring and MAÏTÉ - Use AI to
experimenting with research and
new recipes optimisation of
malting recipes
[link]
- Energy Saving
Malt: the energy
optimisation of
existing production
equipment and the
increasing use of
renewables.
[link]
On-time With 27 malting With 29 malting
plants, 3 Mt plants, 2,4Mt
Quantity
Delivery production capacity, production capacity,
Performance Responsiveness in 14 countries, in 5 in 16 countries in 4
Continent Continent
⇒ ensure good ⇒ ensure good
delivery delivery performance.
performance.[link] [link]

No exact information No exact information

As one of the largest - Diversity in product

malt suppliers portfolio helps the
globally, Boortmalt's group maintain a
financial position is stable level of
strong, backed by profitability and is
Financial Condition
 parent company less affected by
Axereal. fluctuations in the
global grain market.

- Sponsored by
InVivo Corporation,
ensuring extra
stability.

Management/labor - 100% equal

relations opportunities and - Focus on human
equal pay in all our resource development
Management regions. and employee
Capability - Promote the training
development of skills,
knowledge and - Open, creative and
creativity for collaborative
employees corporate culture,
[link]
equality, ensuring the
health and safety of
employees.

[link]

Quality - ISO/FSCC 22000 - ISO 9001:2015

Management (Food Safety) - ISO14001
capability
- Origin Green (Food - ISO 45001
Quality) - Member ofCDP -
- ISO 45001 (Healthy Driving sustainable
& Safety) economies
- ISO 14001 - Member of Science
(Environment) Based Targets -
- ISO 50001 (Energy) fighting climate
- Đạt B+ 2019 - CDP: change
 Disclosure insight [link]
action (Climate
change & water
management)
- Member of Sedex -
fair labour practices,
wellbeing of
employees, business
ethics
[link]

With the above information, we have the following evaluation table:

With the above rating, we choose Malteries Soufflet

VI. MANAGE THE RELATIONSHIP AND DEVELOP SUPPLIER

Becoming partners with Malteries Soufflet is a strategic move that offers

significant benefits to both companies.

Benefits for Sabeco:

● Secured and high-quality supply: A close partnership with a world-leading

malt supplier ensures a stable and premium quality supply of raw materials,
meeting the increasing production demands.
● Access to advanced production technology: Malteries Soufflet is at the
forefront of adopting new technologies in malt production. This
collaboration will enable Sabeco to access and implement these
technologies, enhancing production efficiency and product quality.
● Product diversification: With a diverse malt supply from Soufflet, Sabeco
can create a wider range of beers to cater to various market demands.
● Cost reduction: Through this partnership, Sabeco can negotiate favorable
purchasing terms, reducing production costs and increasing profitability.
● Enhanced brand reputation: Collaborating with a reputable partner like
Malteries Soufflet will elevate Sabeco's brand image in the market, building
consumer trust.

Benefits for Malteries Soufflet:

● Market expansion: Vietnam is a large and growing beer market. Partnering

with Sabeco will allow Soufflet to expand its market reach and increase
revenue.
● Strengthened market position: Collaborating with a leading company like
Sabeco will solidify Soufflet's position in the global malt market.
● New product development: Through this partnership, Soufflet can work
with Sabeco to research and develop new malt varieties tailored to the
Vietnamese market.

Becoming partners is a smart strategic choice for both Sabeco and Malteries
Soufflet. By collaborating, both companies can maximize their strengths to achieve
common goals and enhance the position of the Vietnamese beer industry in the
global market.