Pub chain

[3][4] Pub chains can exist as a stand-alone operation, often called a pubco, or can be a division of a larger company, such as a brewery.

[6] During the latter half of the nineteenth century increased competition between breweries led many of them to buy up local pubs in an attempt to secure markets for their products.

As well as securing markets for their own products, this system provided an efficient supply chain directly from the brewery to the pub; cutting costs for breweries and allowing complete and uninterrupted control over quality.

A key difference between this, and the traditional tied house system, is that pubco's align themselves with specific brewers in order to obtain big discounts; reducing profits for breweries and restricting their ability to control the quality of the end product.

Pub chains operating managed houses are frequently run as brands, located near a high street but rarely in predominantly residential areas.