I believe New Belgium’s focus on social responsibility provides key competitive advantage to the company. According to Dave Kemp, New Belgium environmental concern and social responsibility give it a competitive advantage because consumer want to believe and feel good about the product they purchase (Ferrell & Fraedrich, 2010). The consumers want to be part of the environmental and social cause. They are equally concern about environmental issues thus supporting the companies that promote sustainable growth. In 2013, New Belgium generated $190 million in revenue (Eng, 2014). Which is a skyrocket number, as it grew 18 percent in 2013 in craft beer market (Khan, 2015). It is clear that the result of growing market comes from encouraging sustainability
Bertrand Piccard quotes, “In the 21st century, the heroes will be the people who will improve the quality of life, fight poverty and introduce more sustainability. This is a powerful message, it sums up the concepts discussed throughout the course. Additionally, the case studies such as the New Belgium Brewery, SC Johnson and The Kimberly Clarke organization have been proven to practice this philosophy. As society progresses in its efforts to provide a more sustainable future, there is a fundamental foundation of principles that must be followed to ensure success. Sustainable business development takes into account the application of business operations as it relates to the three pillars of sustainability, which is a dynamic yet integrative place to begin this journey. DesJardins, (2006) calls for a re-imagination of the future to create a vibrant sustainable model; which forms similar beliefs to Piccard. In addition, organizations are more inclined to create sustainable practices based on consumer demand and the willingness of leadership to participate in sustainability programs.
Vancity is a great type of financial institution but also differs from other institutions, it lends money to those who cannot get help from other financial institutions. It is a credit union that provides service to over 500,000 members that has over $17.1 billion in assets. The company focuses more on their customers rather than the revenue. Vancity has to differ themselves from other company’s, they had to make a unique approach on things in which they needed to be on top of their game. Vancity had to see what their competitors had to offer and see where they can offer better service to the community. To start off Vancity has a competitive advantage with their flexibility; they find different approaches to their service and product to satisfy
Every company has a responsibility to support the society it serves. This indicates that a company that wishes to truly thrive in a market should not just follow the business and consumer laws of the country but take an active interest in the community that it serves in each country. Today’s global market is led by companies that concern themselves with the sustainability of the company and its products, as well as the continual improvement of the
Although some individuals or groups would argue that a brewing company cannot be socially responsible due to the nature of their product. Ultimately, their “to do” list will never end, and no matter how much they give back or enhance their operations to be more environmentally friendly, it will never be enough.
New Belgium’s competitive advantage that is most important and the cornerstone of the company’s strategic focus is their social responsibility. Social responsibility is more than a charitable deed or cost savings, it is that way an organization uses innovation to maintain a competitive advantage. Social responsibility should be more than a campaign for publicity, but a strategic focus using innovation (Porter & Kramer, 2006).
Frog’s Leap Winery is located in Napa, California has recently made steps to become more socially responsible and self-sustainable. This case analysis will study the effectiveness of the company’s newly implemented strategies and provides constructive feedback for the company. The winery industry is highly populated and Frog’s Leap Winery is only one of the thousands that consumers have to select from. The current market is very health conscious and these “green” consumers focus primarily on “Lifestyles of Health and Sustainability. The company has expanded it’s vineyards and increased it’s net sales with the past 10 years by emphasizing to the importance of the “triple bottom line,” which the
New Belgium Brewing try to reduce its negative impact from the natural environment. New Belgium Brewing (NBB) invest in a wind turbine, making it the first fully wind powered brewery in the United States. NBB has also invested a mist condenser that helps to reuses of hot water used for boiling barley and hops to create the after that brew. This steam also helps to heat the floor tiles and de-ice the room in during winter. NBB has also many other energy saving processes like use of daylight. I think that the company has chosen to focus on the environment because of the type of their business is unethical. From my view point its master product Tobacco and Brew both r harmful for society and environment. I think it just a way of advertising. We know Prevention is better than cure. SoI think it’s better to do something for environment without doing harmful activities
First, they can try to reduce carbon footprint by better processing and producing the beverages; before doing that, they should go through the Greenhouse Gas (GHG) emissions assessment to know the size of a carbon footprint in the brewery. Reducing electricity and water bills would benefit the company too since it will save them money and energy. The CEO should also encourage employees to carpool together or take the public transportation since it is more "green" than everyone commuting to work in separate cars. Finally, they could put solar panels on the building, but it may be an expensive option. While addressing to climate change shows that the brewery gives attention to preserving nature, they may have to spend more money and time which might be a financial risk to the brewery. However, they may gain more customers so they would earn much more money
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?
The recommendation provided to New Belgium is to hone in on the above mentioned environments. The Company, partakes in 1% for the planet, it once invested in wind turbine for their brewery. In fact the Company is the first to have a fully wind-powered brewery. The Company should look in other environmental savvy ways to invest funds, for insistence the growing trend of hybrid/electric. By using these technologies for transportation of their products as they continually expand. The Company can seek out strategic partnerships with other breweries in the areas of proposed expansion and “prototype” their product. In addition analyzing the competitors and customers. New Belgium should continue to make full use of marketing campaigns (i.e. Facebook, Twitter, and Instagram) as there is an increase cultural
The article “Strategy and Society: The Link Between Competitive Advantage and Corporate Social Responsibility” by Michael E. Porter and Mark E. Kramer advocates that there is a link between corporate social responsibility (CSR) and competitive advantage, and there is an opportunity for innovation that benefits both the company and society that can result in a win-win positive sum game. Ultimately if your firm does not integrate a CSR program into your business core your competitors will.
According to Ferrell & Hartline (2014), “a strategic focus is based on developing an overall concept or model that guides a company as it go through various marketing elements” (p. 100). The strategic focus of a company can change overtime and should be reexamined to make sure the company’s strengths does not become a weakness (Ferrell & Hartline, 2014). Businesses are taking the approach to focus more on the customer and understand new information about their behaviors in order to adjust their strategies and stay ahead of the competition (Cooper, 2006). New Belgium is devoted to producing an excellence product and customer satisfaction.
They have many competitors, the main ones are Heineken, Anheuser-Busch and Boston Beer. They all have sustainability issues. It is evident that Molson Coors has various approaches towards sustainability issues which are more successful than that of its competitors. They define sustainability as “Making a positive and meaningful impact on the [...] environmental and economical issues that affect our business, employees and other stakeholders” (“MillerCoors 2015 Sustainability Report”, 2015, p. 5). They try to solve sustainability issues and meet its own
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?
Competitive advantage is important in any company’s market structure. A good example of competitive advantage is when a customer asks why he or she should purchase this product over the company’s competitor’s product (Lambardo, 2017). For a company to obtain a substantial competitive advantage, a company has to gain a customer base that trusts their products over their competition’s product. For example, in the beer industry, Anheuser- Busch has created beer products that obtain a strong competitive advantage over their competitors. Budweiser was able to create this competitive advantage because they obtained a strong market structure. Also, there is a huge relation between company brand and competitive advantage (Abbas & Kraidy, 2017). For New Belgium brewing company, the brand and social responsibility are they key competitive advantages.