Impact of Covid-19 Pandemic on Food and Beverage Companies

AS COVID-19 was spreading out at the end of 2019, the economies in the different countries have been impacted to varying degrees, and most industries are shocked. This paper, through the method of literature review, aims to describe domestic food and beverage companies in China and international food and beverage companies, examines the general trend of the food and beverage industry before and after the epidemic. Additionally, it analyses the differences between the behaviours of these two kinds of companies by graphing the data. According to the data analysis, the paper finds that food and beverage industry is developing steadily. The COVID-19 epidemic has an impact on the food and beverage industry, but it is not as severe as it is on other industries, such as the catering industry and tourist industry. Generally, the revenues and cost of sales are both increasing, and the profit rate is stable. In most sample companies, the rate of capital spending stays low, except for one Chinese domestic company. By comparing the data between the domestic and international food and beverage companies, it is obvious that there is still a huge gap between Chinese domestic companies and international companies. Domestic companies have a smaller scale and market. Their ability is not strong enough to cope with the unknown risks, so they hold more cash to prevent accidents. Besides, domestic companies in China do not pay enough attention to the community and environment. Some suggestions from the angles of operation mode, financial situation, innovation and soft power are provided to help domestic companies make progress.