Essay on New Belgium Case Study

What environmental issues does the New Belgium Brewing Company work to address? How has NBB taken a strategic approach to addressing these issues? Why do you think the company has taken such a strong stance toward sustainability?

Consumer demand for robust ale was not being fulfilled with the current beers on the market. In 1991 Jeff Lebesch and his wife Kim started the company out of their basement. They focused on the rich flavor and unique concept. Their focus on social and environmental responsibility has set them apart from brewing companies on the market. Jeff and his wife wanted to promote a product while being innovative and socially responsible. They designed their core values and mission statement while hiking in a national park (Ferrell, 2010). In addition they wanted to promote the brand and corporate citizenship (Ferrell, 2010). Although the product is alcohol they encourage consumers to be responsible. Also, they have sponsored events, dinners and philanthropic causes to help gain consumer loyalty. In 2013, USA named NBB as 6 out of 15 best brewing companies (Franklin, 2013). Also, the company has increased is competitive advantage with is stance on environmental conscience brewing. They were the first brewery to utilize wind power generator, even with an increase cost of .025 per kilowatt (Asher, Bidner and Greene, 2003). Also, they utilize light tunnels, windows and recycled steam to reduce their carbon footprint (Gorski, 2013). In 2002 NBB participated in the LEED-EB pilot program (Ferrell, 2010). Furthermore, the company donates $1 for every barrel of beer sold to each of the 26 states territories and distributed $700,000 in 2012 (What we are about, 2013). Despite

or so many years our society has been thinking of forming new creative and innovative businesses, which would be more environmental and customer friendly. Nowadays a large number of different companies follow the social, ethical, as well as moral consequences when it comes to their decision making. One of the relatively new concepts involving economic and social concerns is Corporate Social Responsibility. Many of us apply this approach not only at work, but also in everyday life without even recognizing.

John Mackey, founder of Whole Foods once said "Business social responsibility should not be coerced; it is a voluntary decision that the entrepreneurial leadership of every company must make on its own." (Mackey, 2005) In today’s society it is increasingly common for businesses to actively identify and become directly involved in the country and the global social issues and needs. It is now common

The expectation that businesses behave responsibly and positively contribute to society all while pursuing their economic goals is one that holds firm through all generations. Stakeholders, both market and nonmarket, expect businesses to be socially responsible. Many companies have responded to this by including this growing expectation as part of their overall business operations. There are companies in existence today whose sole purpose is to socially benefit society alongside businesses who simply combine social benefits with their economic goals as their company mission. These changes in societal expectations and thus company purpose we’ve seen in the business community over time often blurs the line of what it means to be socially

Throughout most of its history, the Coors Brewing Company (Coors) has been a regionalized brewer within the United States, specializing in high-quality beer through by virtue of its source water selection, stringent production standards, and cold filtered brewing approach. As the company expanded its distribution to new markets within the U.S. in attempt to gain market share, it made a strategic decision to maintain a majority of its brewing operations at its primary production facility in Golden, Colorado. This decision was based upon the desire to preserve its core production strengths through close family control. However, as the company desires to expand its market presence beyond the

1. What environmental issue does the New Belgium Brewing Company work to address? How has NBB taken a strategic approach to addressing these issues? Why do you think the company has chosen to focus on environmental issues?

New Belgium has created a mission statement that is implemented in every facility and among every worker within the company. The company embraces the idea that they are a small company and promotes the sale of their products by creating a mission statement that is appealing to customers. A well thought of mission statement serves as a guide for the company and customers to understand the direction the company wants to progress in as well as develop a company purpose (Bartkus, Glassman, and McAfee, 2000). New Belgium’s mission statement is “to operate a profitable brewery which makes our love and talent manifest” (Ferrell and Hartline, 2005, p. 354). Therefore, the mission statement is one way for the company to express how whimsy and fun the

Frog Leap Winery utilized methods in order to become more sustainable and has been successful thus far. The company appears to be on the right track to becoming a fully self-sustainable company despite changes in the economy. The sustainable measure Frog’s Leap has implemented fail directly in line with the features of the triple bottom line. Frog’s Leap needs to measure “the impacts of their activities upon “people, planet, and profit – that is, how it created social, environmental, and economic value.” Leap Frog has managed to effectively make an impact on all of the aspect of the triple bottom line thus displaying the company’s progression towards self-sufficiency.

New Belgium brewery has increasingly grew throughout the years since their development in 1991. Despite the dominance of the “Big Three” (Budweiser, Miller, and Coors), NBB needs to be aggressive and strive to invest in the attractive beer industry in able to grow more. If positioned correctly, NBB and its main brand, Fat Tire, can continually grow. An evaluation of the industry, the business itself, its brands, and the customers and competitors is needed in order to be continuously successful.

Belgium is known for a culture of high-quality beer and this concept was formulated by an electrical engineer from Fort Collins, Colorado. The electrical engineer, Jeff Lebesch, was traveling through Belgium on his fat-tired mountain bike when he envisioned the same high-quality beer in Colorado. Lebesch acquired the special strain of yeast used in Belgium and took it back to his basement in Colorado and the experimentation process was initiated. His friends were the samplers and when they approved the beer it was marketed. In 1991, Lebesch opened the New Belgium Brewing Company (NBB) with his wife, Kim Jordan, as the marketing director. The first beer and continued bestseller, Fat Tire Amber Ale, was named after the bike ride in

1. What environmental issues does the new belgium brewing company work to address? How does NBB taken a strategic approach to addressing these issues? Why do you think the company has taken such a strong stance toward sustainability?

Through their brand recognition, New Belgium Brewery has won the beer battle between most of their competitors. Beer connoisseurs know New Belgium Brewery by their infamous New Belgium Fat Tire. Fat Tire has helped New Belgium gain a competitive advantage because of the beers high demand. Also, New Belgium’s social responsibility is a major part of why they obtain the competitive advantage over their competitors. New Belgium is a simple company that portrays an economical friendly production, a strong family back- round, and consumer-based market strategy. New Belgium focuses on three responsibilities, social responsibility, employee responsibility, and environmental responsibility. Also, because of their focuses, they have become one of the top competitors to other craft beer

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

Beer Company 2 is a brewer of “seasonal and year-round beers with smaller production volume and higher prices” that “outsources most of its brewing activity” (pg. 120). It is financially conservative, and has undergone a “major cost-savings initiative to counterbalance the recent surge in packaging and freight costs” (pg. 120).