Introduction
Mountain man Brewing Company was founded in 1925. The company specializes in producing Mountain Man Lager that is a family owned recipe that has a unique bitter award winning taste. Mountain Man Brewing Company holds a strong brand name in the premium beer segment of the beer industry. MMBC lager Beer has won several awards and has high brand recognition in the region that it operates. Since 1960, MMBC has operated primarily in the Midwest distributing product in Illinois, Indiana, Michigan, Ohio, and West Virginia. MMBC Lager is a strong hoppy beer that is preferred by customers in the working class that are between 55 and 60 years of age out of liquor stores. Mountain Man Brewing Company Lager is MMBC only product. In 2005, MMBC Lager sold 520,000 barrels and generates $50 million in revenue. By identifying the facts of the of the Mountain Man Brewing company, identifying the problems and why they exist, additional information needed, possible solutions for the problem, the pros and cons of each option, determine a direction for the company, and ways to measure the future result it will be possible to identify if the light beer industry will be a market for MMBC to enter.
Case Facts
Mountain Man Brewing Company’s management is considering entry into the light beer market segment. The organization currently has excess capacity at their manufacturing facility and can accommodate another line with minimal production cost. The light beer market has the
During the past 30 years, Big Rock has provided beer drinkers across the country with a high-quality product line consisting of reputable brands such as Traditional and Grasshopper Ale. Moreover, due to the continuous change in craft beer drinkers, Big Rock has provided a diverse variety of flavours to compete in the craft market segment primarily in Alberta. However, as the industry becomes increasingly more competitive due to the exponential growth of microbreweries, Big Rock must continue to develop its brand and spread awareness beyond Alberta and across the country in order to address the stagnated growth that currently exists within the business.
The New Belgium Brewing's tremendous growth to become the nation's third-largest craft brewery and the ninth-largest overall is a great reason for wanting to open the third brewery in its Fort Collins and Asheville locations. When indicating further interesting directions of the future research on the competitive advantage, it is worth considering the relationship between the competitive advantage, the strategy of success, the durability or variability of the competitive advantage and the repeatability or durability of the success in the competitive struggle (Soloducho-Pelc p.278). As a Chief Operating Officer, I would take a list of pros and cons from the internal environment, customer environment, and external environment that help makes
“Mountain Man Lager” was a dark colored beer, priced similar to premium domestic brands such as Miller and Budweiser. Its core audience was blue collar, middle-to-lower income men over the age of 45. It was categorized as a second tier domestic
The memorandum will analyze the proposed new product launch of Mountain Man Light (MMLight) for Mr. Chris Prangel, the future owner of the Mountain Man Beer Company (MMBC). More specifically, the memorandum will consider the advantages and disadvantages of launching MMLight, as well as a cost-volume-profit analysis of the proposed new product launch. The memorandum will conclude with recommendations for Mr. Prangel’s consideration.
AAA Brewing Company will promote sales by encouraging a sense of community in the surrounding area. While expansion in terms of distribution territory or physical space (to meet demand) is not considered, future expansion of fermentation and conditioning will take place modestly in pace with adjusted revenue and community engagement. Expansion goals include an additional program for mixed culture fermentations utilizing easily acquired wine/spirits barrels. A strategy of consumer education, local visibility and aggressive collaboration with neighboring breweries will not only create a destination for nearby beer enthusiasts, but define Greensboro as a craft beer destination.
New Belgium’s social responsibility seems to be its most important cornerstone and a strategy of focus for the company. Corporate social responsibility (CSR)—company actions that advance social good beyond that which is required by law continues to draw interest from practitioners and academics alike (Charles, K., Germann, F., & Grewal, R. (2016). The company focuses a lot on being socially responsible. Not when it comes to making beer also in the communities that they are in. The New Belgium Brewing Company does thing like donate its used barley to local farm to use a pig food for free. The company also donated more than $2.5 million to philanthropic causes through grant programs. In addition helping out the community the company is environmentally
The New Belgium Brewing Company creates an excellent beer. Consumers have become loyal to this brand due to its quality and unique tasting beer products. The Flat Tire brand remains extremely popular among the millenniums who pursue something different from his or her parents or grandparents. The company has managed to capture the mindset of this generation. Its influence on this generation could make it one of next future leading brands in America. The organization’s marketing strategy must be on point and not alienate its loyal consumer base. Consumers of this brand are not interested in hip catch phrases to garner one’s attention to its product. The company has formulated its marketing strategy and advertising on presenting consumers
Introduction: Mountain Man Brewing Company demonstrates a history founded in 1925 by Guntar Prangel, a coal mineworker with a home-based brewery, and advertised mainly to additional mineworkers, Mountain Man lager highlights superiority elements, a unpleasant taste and shadowy tinting. Nowadays, Mountain Man Brewing is quiet a lone-product business. Mountain Man allocates its lager in numerous conditions external West Virginia, is a native marketplace frontrunner, and produces completed $50 million in profits, with 520,000 barrels sold.
The New Belgium Brewing Company (NBB) started out as a small beer brewing concept in 1991, brewing beers out of their basement. Once they determined they had a product that could be marketable, they opened their first brewery in Ft. Collins Colorado and have been growing ever since, becoming the third-largest craft brewer in the country (New Belgium Brewing Company, 2014). But just as any business there is always competition and consumer opinion which allows a business to continue to develop and grow within their market. Competition in the microbrew arena has grown over the last decade and according to the Boulder, Colorado-based Brewers Association, the number of microbreweries has surged in the past five years 73% nationally (Olson, 2014). For the New Belgium Brewing Company, they have used their competitive advantage to continue to grow their business in a market that shows heavy increases of new competition. The concept of competitive advantage is, strengths possessed by the firm or real weaknesses possessed by rival firms (Ferrell & Hartline, 2011).
FCMA Consulting group is honored to be the consulting source for Mountain Man Brewing Company’s line expansion. We are pleased to have the chance to work with a family owned company. It’s not so often that we come across a company that has kept their legacy integrated in the production of their products. Furthermore we want to congratulate you Chris on the behalf of FCMA Consulting group for ambitious thoughts of wanting to expand and grow your families company.
Third, set the price of Mountain Man light 1.5 times expensive than Mountain Man Lager because younger people are willing to pay twice of the price than those over 35 and it also stand for high quality and complex manufacturing procedure. Furthermore, even if the price of the light beer is more expensive than lager, it’s not expensive at all, compared to those famous companies. According to the market share (barrels) and total sales of beer, Mountain Man supposed to earn $191 million dollars, but their actual sales is much lower than it, which means Mountain Man Lager is cheaper than the average price (Appendix2). Next, choose restaurants and bars as the main selling channel of Mountain Man light, and also sell it in off-premise locations. The reason why we decide it is because people tend to drink light beer with meal and because selling
Chris Prangel, a recent MBA graduate, has returned home to West Virginia to manage the marketing operations of the Mountain Man Beer Company, a family-owned business he stands to inherit in five years. Mountain Man brews just one beer, Mountain Man Lager, also known as "West Virginia 's beer" and popular among blue-collar workers. Due to changes in beer drinkers ' taste preferences, the company is now experiencing declining sales for the first time in its history. In response, Chris wants to launch Mountain Man Light, a "light beer" formulation of Mountain Man Lager, in the hope of attracting younger drinkers to the brand. However, he encounters resistance from senior managers. Mountain Man Lager 's
Second-tier domestic producers (12.5 % market share in ECR, Case study - exhibit 3), medium-size competitors and regional producers, category to which MMBC belongs. These companies try to follow the major players in their product offering and marketing strategies, but fall short on the financial and marketing capabilities. They constitute MMBC’s main competition.
Belgium is home of the finest ales and have been known to brew for centuries. So when Jeff Lebesch, an electrical engineer from Fort Collins, Colorado took a bicycle trip through Belgium it made him realize there may be a market back home to sell Belgian-style ale. Jeff returned home with hopes to experiment and brew his own beer in his basement from the various ingredients he received on his trip. When his friends approved of the ales he started marketing them to the local town. He later opened New Belgium Brewing Company in 1991. His wife, Kim Jordan was the company’s marketing director. They named their first brew “Fat Tire Amber Ale” after Jeff’s
In this millennium era, Brewery industry has become more competitive market at global level. There are many brewery firms exists with small or large market share. In Australia Cascade Brewery Company is well known brand among locals. It is one of the oldest breweries established in 1832 situated in Hobart, Tasmania, Australia. It offers numerous varieties of products in beer and non alcoholic items. Cascade brewery also runs cafe, female factory and restaurant in Hobart and organizes events to entertain tourists. Cascade brewery is also offers tours to visitors to see how they brew their beer. This industry used continuous manufacturing process for operation management. Brewery companies have levels of process to produce final product. Every product go through same stages. Australia Economy is growing and brewery industry enhancing its capabilities to take part in competition. Brewing industry is indirectly empowering the other businesses such as hospitality, logistics. Australia economy gains the profit in terms of employment, taxes, raw material. According to the 2010-2011 statistics this industry contributed 6.2 billion to Australian economy ("Brewers Association of Australia & New Zealand | Economic Contribution", 2016). As Cascade is operating many businesses it increased the curiosity in tourist to visit the place. Most important the tour to cascade brewery attracts the visitors. These types of strategies to run an organization raise the