Moutai invests in energy storage photovoltaic enterprise


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6 FAQs about [Moutai invests in energy storage photovoltaic enterprise]

Why is Moutai so popular?

Moutai’s strong pricing power stems from its intangible assets and is supported by its complex production technique, unique production location, and prestigious social status compared with other local spirits. Moutai’s complex production process is itself an entry barrier.

Is Moutai still a popular brand in China?

Moutai remains a leading brand in China's culinary and consumption culture, and we believe it will continue its premium position over the long term. Moutai is a household name in China. Its core product, the 53-degree Feitian Moutai, was a Chinese Communist Party favorite during the country’s civil war.

Why is Moutai a popular drink?

Moutai had a long historical association with the Communist Party during the civil war, and the party founders made it the only drink to be consumed during the ceremony marking the founding of The People's Republic of China in 1949.

Why is Moutai so popular in China?

Given its historical significance, Moutai has long been regarded as an icon of Chinese drinking culture. Chinese people view Moutai as China’s national drink. Its lofty stature ensures the brand enjoys premium pricing, with the benefits reflected in its industry-leading profitability.

Is Kweichow Moutai a good brand?

As China’s most distinguished spirit brand, Kweichow Moutai boasts a wide economic moat stemming from its high product quality, extensive history, and brand strength, all of which are reflected in its 67% operating margin and 74% return on invested capital, or ROIC, for the past five years between 2018 and 2023.

What happened to Moutai & flange?

Despite the significant drop in its retail price, Moutai’s CNY 819 per bottle ex-factory price remained unchanged and still leaves distributors with sufficient profit. Meanwhile, Flange’s ex-factory price has decreased to CNY 609 per bottle from CNY 729 per bottle during the same period.

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