Questions 6~10
After SABMiller lost a bidding war for China's Harbin Brewery Group to Anheuser-Busch Coso two years ago, it looked as if America's King of Beers would reign over the Middle Kingdom as well. Anheuser-Busch, after all, had already sealed a deal with China's leading brewery, Tsingtao, and with Harbin in its stable it looked unbeatable.
But SABMiller had a Plan B that could well give it the throne after all. Since losing Harbin, London-based SAB has focused its energies on a 12-year-old joint venture, China Resources Snow Breweries Ltd., that is now thriving. In June, CR Snow, which includes 46 breweries across the country, surpassed longtime leader Tsingtao for the No.l spot. For the 12 months through June, CR Snow produced nearly 40 million barrels, vs. 37 million for Tsingtao. As a result, CR Snow boasts 14.9% of the Chinese market, compared with Tsingtao's 13.9%. "Our growth has been on the back of a very consistent and targeted strategy," says Wayne Hall, SABMiller's finance director in China.
Both companies want to be the toast of China. As beer sales in the U.S. and Western Europe have lost their fizz, they're growing at 8%-plus annually in China. That has helped China overtake the U.S. as the world's top beer market.
SAB was early to see the promise of China, where it has been brewing since 1994. Yet instead of targeting big cities such as Shanghai and Beijing, as its competitors did, SABMiller scooped up breweries in less affluent areas, including the northeastern rust belt and the populous inland province of Sichuan. This contrarian strategy has allowed SABMiller to build up a national footprint at bargain prices. While Anheuser ponied up $700 million—as much as $62 per barrel of annual brewing capacity—for Harbin, SABMiller has typically paid $30-$40 per barrel for its breweries. "SABMiller has made a mint by purposely buying cheaper assets," says Bear, Stearns & Co. analyst Anthony Bucalo.
SABMiller has been smart in its positioning of the flagship Snow brand. To appeal to upwardly mobile youth, it slapped a shiny, modern label on the 50-year-old brew and launched a national ad campaign emphasizing the beer's freshness, complete with sweepstakes that reward winners with outdoor vacations. The marketing push is paying off as it presses into the big cities. China now accounts for nearly 20% of SABMiller's total volumes, and Snow has become China's No.l brand. Soon, it will probably surpass Miller Lite as the biggest seller in the company's cooler.
6. What is this article mainly about?
(A) The bidding war between SABMiller and Anheuser-Busch Cos.
(B) China has overtaken the U.S as the top beer market.
(C) How SABMiller beats Anheuser in global makets.
(D) The success of SABMiller in China.
7. What makes Snow beer one of the best-selling beers in China?
(A) The company has special technologies.
(B) Snow beer tastes better.
(C) The company has adopted an effective marketing strategy.
(D) CR Snow has purposely bought cheaper assets from SABMiller.
8. The word "affluent" in paragraph 4 can be replaced by ______.
(A) wealthy
(B) populous
(C) influential
(D) fluent
9. Which of the following is TRUE according to the article?
(A) SABMiller is an America-based beer company.
(B) Snow beer is now being sold all around the world.
(C) Beer sales in the U.S. and Western Europe dropped recently.
(D) Snow beer is welcomed by both youths and 50-year-olds.
10. What can be concluded from this article?
(A) Tsingdao beer is less tasty than Snow beer.
(B) Anheuser-Busch used to be the largest beer company in Europe.
(C) SABMiller spent $700 million in building new breweries.
(D) Snow beer is likely to become the biggest seller in SABMiller.
Questions 11~15
In the information technology industry, it is widely acknowledged that how well IT departments of the future can fulfil their business goals will depend not on the regular updating of technology, which is essential for them to do, but on how well they can hold on to the people skilled at manipulating the newest technology. This is becoming more difficult. Best estimates of the current shortfall in IT staff in the UK are between 30,000 and 50,000, and growing.
And there is no end to the problem in sight. A severe industry-wide lack of investment in training means the long-term skills base is both ageing and shrinking. Employers are chasing experienced staff in ever-decreasing circles, and, according to a recent government report, 250,000 new IT jobs will be created over the next decade.
Most employers are confining themselves to dealing with the immediate problems. There is little evidence, for example, that they are stepping up their intake of raw recruits for in-house training, or retraining existing staff from other functions. This is the course of action recommended by the Computer Software Services Association, but research shows its members are adopting the short-term measure of bringing in more and more consultants on a contract basis.
With IT professionals increasingly attracted to the financial rewards and flexibility of consultancy work, average staff turnover rates are estimated to be around 15%. While many companies in the financial services sector are managing to contain their losses by offering skilled IT staff "golden handcuffs"—deferred loyalty bonuses that tie them in until a certain date—other organisations, like local governments, are unable to match the competitive salaries and perks on offer in the private sector and contractor market, and are suffering turnover rates of up to 60% a year.
But while loyalty bonuses have grabbed the headlines, there are other means of holding on to staff. Some companies are doing additional IT pay reviews in the year and paying market premiums. But such measures can create serious employee relations problems among those excluded, both within and outside IT departments. Many industry experts advise employers to link bonuses to performance wherever possible. However, employers are realising that bonuses will only succeed if they are accompanied by other incentives such as attractive career prospects, training, and challenging work that meets the individual's long-term ambitions.
11. According to the passage, the success of IT departments will depend on ______.
(A) their success at retaining their skilled staff
(B) the extent to which they invest in new technology
(C) their attempts to recruit staff with the necessary skills
(D) the ability of employees to keep up with the latest developments
12. The problem referred to in the second paragraph is that ______.
(A) the government needs to create thousands of new IT posts
(B) the pool of skilled IT people will get even smaller in the future
(C) company budgets for IT training have been decreasing steadily
(D) older IT professionals have no adequate training
13. What is the possible solution to the long-term problems in the IT industry?
(A) To offer top rates to attract the best specialist consultants.
(B) To expand company training programs for new and old employees.
(C) To conduct more research into the reasons for staff leaving.
(D) To ensure that permanent staff earn the same as contract staff.
14. In some businesses in the financial services sector, the IT staffing problem has led to _____.
(A) additional benefits for skilled staff after a specified period of time
(B) more employees seeking alternative employment in the public sector
(C) the loss of customers to rival organizations
(D) more flexible conditions of work for their staff
