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$Unique_ID{COW04010}
$Pretitle{271}
$Title{Venezuela
Private Enterprise with a Commitment to Venezuela}
$Subtitle{}
$Author{Empresas Polar}
$Affiliation{Embassy of Venezuela, Washington DC}
$Subject{polar
venezuela
venezuelan
new
empresas
economy
cnv
company
important
system}
$Date{1990}
$Log{}
Country: Venezuela
Book: Venezuela An Opening And Expanding Economy
Author: Empresas Polar
Affiliation: Embassy of Venezuela, Washington DC
Date: 1990
Private Enterprise with a Commitment to Venezuela
Empresas Polar is a diversified Venezuelan industrial enterprise that
ranks as one of the largest and most solid private concerns in Latin America.
Polar initiated its commercial activities nearly five decades ago as a
beer producer with 50 employees.
Today, Empresas Polar figures as one of the world's largest beer
producers and operates an extensive production and distribution network in
sectors such as processed foods, agricultural goods, packaging and industrial
equipment. The company currently employs over 14,000 persons and provides
indirect employment to tens of thousands of other Venezuelan families.
Beer and non-alcoholic malt beverage still account for a major portion of
corporate activities, but Empresas Polar also produces and markets a broad
range of items such as corn and rice derivatives, pasta products, animal feed,
ice cream, snacks, wines, pork and fowl products, packaging materials and
parts and equipment for industrial applications. In addition, Polar has
formed partnerships with prominent international companies in a variety of
industrial and commercial areas.
Empresas Polar has developed one of the largest and most efficient
distribution networks in the country.
It invests substantial sums in agricultural and biotechnical research
and, as a demonstration of its commitment to social progress, provides broad
support to education, scientific research, health, environmental improvement
and cultural activities.
Polar's Philosophy
The business philosophy of Empresas Polar's stockholders played an
important role in the company's rise from a small beer producer to a major
industrial concern.
The key elements of Polar's business philosophy are the following:
- Management's primary task is to meet the needs of the consumer and
serve the community.
Polar in the World Market
Polar ranks as one of the largest beer producers in the world.
With 50 years of experience, Empresas Polar is one of the most important
private concerns in Latin America in terms of production, sales and
professional management.
In addition to its substantial activities in Venezuela, Polar owns and
operates food processing companies in Colombia, Ecuador, Peru, Jamaica,
Guatemala, Honduras and Panama.
Polar researchers have developed new advances in brewing techniques, food
processing and tropical agriculture.
- Human resources are the company's most important asset and are assigned
management's maximum priority.
- Manufacturing the highest quality products is one of the company's
guiding principles.
- Reinvestment of profits is a basic part of the company's financial
policy, a strategy that has allowed Empresas Polar to expand and diversify
with great success over the last half-century.
- A permanent commitment to technological innovation over the years has
generated steady improvements in important areas of Polar's businesses. For
example, the company was the first to implement a new system in beermaking
technology whereby a single cylindro-conical tank is used for fermentation,
maturation and stabilization without transfer. In addition, Polar researchers
developed a new product - pre-cooked corn flour - which has become a mass
consumption item in Venezuela. This cornbased food product was developed at a
time when Venezuelan consumers were turning away from the traditional use of
native corn and buying products made with imported wheat.
- Professional management, merit-oriented promotions and the training and
integration of young personnel form a fundamental part of Polar's orientation.
- The company actively seeks solutions for the nation's social and
economic problems.
- Polar also works to preserve the country's natural resources and tries
to create a harmonious relationship between its industrial operations and the
surrounding environment.
A leader in the Venezuelan market
Applying these principles consistently has aided Empresas Polar to attain
its present position in the Venezuelan market. The company currently serves
over 50% of the national market in important products such as beer, malt
beverage, pre-cooked corn flour, corn oil and snacks.
Empresas Polar has an installed beer production capacity of over 1.5
billion liters per year, making it one of the largest breweries worldwide.
The company owns four brewing plants located in different regions of Venezuela
and operates a nationwide sales and distribution network made up of 8
distribution companies and 81 storage facilities. Polar's 1,700 delivery units
reach 98% of all commercial establishments where beer is sold in Venezuela.
Another important area of business activity is Polar's processed food
line. The company owns and operates ten food processing plants. In addition,
it manages a national distribution network that reaches 47,000 points of sale,
representing 90% of all outlets for food products in Venezuela.
The company has set up its plants on a regional basis in order to provide
better service and to advance Venezuela's ongoing process of industrial
decentralization.
Polar in Venezuela
Polar is an important factor in the Venezuelan economy, providing
employment directly to 14,000 persons and indirectly to 38,000 others.
Empresas Polar developed one of the country's largest and most
sophisticated distribution systems for all of its products.
A leading national supplier of processed foods and a firm promoter of
Venezuelan agriculture.
Market leader in beer, malt beverage and corn products.
Installed beermaking capacity of 1.5 billion liters per year.
Breweries and other production facilities are located strategically in
different regions of Venezuela, thus contributing to the ongoing process of
industrial decentralization.
International experience
Empresas Polar also is examining new business opportunities overseas. The
Venezuelan government recently altered its economic policy in an effort to
promote new exports. But the company has been exporting beer to the United
States market for over 2 years, and the expertise gained in this area will be
useful for future overseas ventures.
Partnerships with international companies are considered an important
element in Empresas Polar's diversification strategy. Thus far Polar has
joined forces with the following concerns:
Henkel KGA:
Henkel Venezolana, C.A.
Industrial chemicals
Martell and Seagrams:
Bodegas Pomar, C.A.
Viniculture and wine production
Reynolds International:
Superenvases Envalic, C.A.
Metal containers
Owens-Illinois:
Vidrios Los Andes, C.A.
Glass containers
Nestle:
Comercializadora Savoy C.A.
Distribution of candies and snacks
In addition to its export trade to the United States, Empresas Polar also
owns and operates processed food companies in Colombia, Ecuador, Peru,
Jamaica, Guatemala, Honduras and Panama. These subsidiaries were acquired from
Beatrice International Foods Co.
Empresas Polar has contracted technical assistance programs with leading
European companies such as Ziemann GmbH and Albert Handtmann GmbH of Germany,
and OLMI SpA of Italy, covering the Venezuelan manufacturing of tanks, valves
and heat convertors used in the food industry. Moreover, it has gained
extensive international experience as a direct importer of raw materials used
in beermaking, and as a contractor of specialized services from overseas
co