Pestel Factor Affecting the Brewing Industry

1634 WordsOct 4, 20127 Pages
1 Brewing Industry Case Study Module: Strategic Planning ProcessLecturer: Michael ShovelinDate: 04th September 2010Postassignment: Case exampleGlobal Forces and the European brewing industry------------------------------------------------- This assignment is based on the case example Global forces and the European brewing industry andrelates to two questions raised in chapter 2 at the end of the case example (Johnson et al. 2008, p.91) of the book Exploring Corporate Strategy: Text and Cases by Johnson, Scholes and Whittington.1.) Using the data from the case (and any other sources available), carry out for the Europeanbrewing industry (i) a PESTEL analysis and (ii) a five forces analysis. What do you conclude?(i) PESTEL analysisOne…show more content…
New harvesting and production technologies help to increase processefficiency.Environmental factorsPeople are getting more and more aware of the environment and it is necessary that companies doeverything to prevent environmental pollution. It is important that the environmental load throughthe brewing process is as low as possible. Reusability and recycling is important. The brewingindustry for example treats their effluents so that they can use it again for irrigation. Through thisthey save energy and minimize sludge disposal costs. (1)Legal factorsBesides, when comparing Europe with the United States one can see that in America it is forbiddento drink in public places in contrast to Europe where you can drink alcohol wherever you want. Thiscould lead to new laws that forbid drinking alcohol in the public. This is a threat that might comereally quickly when comparing the new law about the restrictions in smoking in public places likepubs and restaurants. Moreover, a few years ago it was allowed to have a blood alcohol level of 0.8parts per thousand. This was changed to 0.5 parts per thousand. So it is not unlikely that thegovernment changes this law again to further price down this limit or completely forbid to drink anddrive. As you could read in the case study in the United Kingdom there is a growing hostility

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