A Johnnie Walker House exhibition hall.

To further tap the imported spirits market in China, Diageo has been increasing its investment in second- and third-tier cities, where the rapidly expanding economy has generated great demand for foreign spirits.

"We have poured money into TV commercials. We also organized tasting sessions at bars and night clubs in these cities," Tcheng said.

It's also important to enroll new fans and develop fresh channels for imported spirits, the managing director said. Diageo has been promoting Baileys to women and luring the post-80s generation in China with its Smirnoff vodka.

In another move to expand new channels, Diageo is trying to promote an innovation product based on Pimm's No 1 liqueur at some local restaurants.

"After all, imported spirits account for only a tiny share of the Chinese market, and all foreign brands have big potential for further growth," said Tcheng.

China's total alcoholic beverage market has an estimated value of around 420 billion yuan. Baijiu, the fiery grain spirit that literally translates as "white spirit", captures more than half of the market.

It is followed by beer at close to 30 percent in terms of value and then wine at 7 percent of value. Spirits from overseas have a modest 2 percent of market share.

To get into China's baijiu sector, which has been largely off limits to foreign investors, Diageo acquired a 43 percent minority stake in Quanxing, the holding company of Chinese liquor producer Shuijingfang, in February 2007.

In June 2011, Chinese regulators approved Diageo's acquisition of an additional stake in Quanxing, taking Diageo's holding in the joint venture to 53 percent.

"We have been successful in promoting Shuijingfang globally," said Tcheng. The Chinese spirit is sold in six nations including the US, Singapore and Australia and 23 duty-free shops at international airports.

But it will take a long time, if ever, for baijiu to become a major part of daily life in Western countries because of cultural differences, the managing director said. "It took more than 30 years for foreign spirits to achieve a 2 percent market share in China," he added.

Similarly, It will take a lot of time and investment for baijiu to acquire a decent market share in other countries.

Tcheng, who has a bachelor's degree in economics from Downing College, Cambridge University, said his current position requires him to "think the unthinkable and achieve the impossible".

Before joining Diageo, Tcheng worked at Philip Morris for 26 years, where he successfully developed the company's business in China and Southeast Asian countries. Prior to that, he worked at Houghton Oil & Chemical, Leo Burnett HK Ltd, and John D. Hutchison Trading Co Ltd.