Mountain Brewing Company 1
Mountain Brewing Company 6
Kishore Kumar Thota
Business Analysis Project
The Alcohol industry or the beer industry to be specific is defined in very different ways, most of the people haven’t settled to one solid definition, in short, every guy has
his or her own definition. However, it may consist of very different stages to make it a whole industry. Most of the researchers have concluded that alcoholic industry may include a lot of things in particular. It may have started as far as agriculture, trucking and packaging of goods.
In the industry, we have four major participants. First, we have the raw material supply. These are the farmer back at the first stage provided raw material such as barley and sugar. Secondly, we have the producers in this case is the Mountain Man Brewing Company. Here the companies manufacture alcohol in this case to be specific the beer. We then have distributers those who ensure that the product that has been produced by the manufacturer has reach the destination of consumption and lastly, we have vendors whose main work is to ensure that the consumers have gotten the tender. These are both on-license or off-license. The licensed vendors the one who are allow by the law to accommodate consumers to consume the beer at their premises of work.
Every industry has a competition and so does the breweries industry. Mountain View as an international company means that it has it has even more and stiffer competition than the rest of the companies.
Some of the companies that on stiff competition with are like Heineken., SABMiller and Carlsberg. Which have a total revenue of about 14, 6, 15 billion both in Euros. However, it comes out that the company has a competitive weapon against its rivalries just because of the variety of beer it offers.
Over the last decade the alcohol industry has been very dormant but the case has change as of now. Things are not the same, the first dynamic that has brought about the change is the increased focus to create awareness on health and wellness. Consumer are always trying to get new less harmful alcoholic products.
The other issues I think is premiumization, as the economy of the world remain strong a lot of people will stick to expensive brands. The other change in the industry I think right now is convenience, since it a matter of fact that beer and soda are no longer the only things that come in cans, we have other drinks such as the energy drinks. Sustainability has also been a very common fact that has led to change in the alcohol industry. There have been a lot of environmental concerns from consumers and companies have started to change their packaging.
Factors to success
Embracing technology is very inevitably if one wants to be success in the beer industry. In any way technology will always pay a better role. In fact, it places a very big role in the automation industry. Improving distributors relationship these are the measures. This will lead to improve reputation and help earn that coveted self-space. Maintaing of consistent quality is another key role in the beer industry since customers will trust the brand and it will enhance loyalty. The competitive strength of Mountain Man and other are exactly what I have listed above.
In the analysis we are going to start with the strength, here we can see the brand awareness of Mountain Man is good. This has been achieved through, the company also has loyal customers and high perceived quality.
When we come to weakness of the company. We can see it is a single revenue drive and has very limited financial resources. There are a lot of the opportunities the growing market for light beer where the company can take advantage of and expand its channel. The other thing is that company has threats and the major one is demographic.
II Written analysis overview
Mountain main overview
The company was found in 1925 by Guntar Prangel.
It started by brewing one beer that went by the name mountain lager. By 1960s t was ranked as one of the most established companies in the United States. The price was fair since it was priced on the same basis price.
Ideally the brand stands for history and social status of the then family that founded the company. The company is known for quality and authenticity. The company grew and by the year 2005 the revenues was over $50 million and it was selling over 530,000 barrels of the larger beer. The only brand that was available (Mountain Man Lager was about 53% higher than other competitive products)
Here Chris Pangel has returned home and he manages the operation that are being undertook by mountain brewing company. However, at the first day of the new management there was a decline in sales for the first time in history. After some investigations it was found that this was due to low quality beer that had bee produced. There was a decision on launching mountain man light, ideally a light beer to attract younger customers.
Analysis and Evaluation
From my own analysis I can say that Mountain Man company has improved all over the year from it being a family business to a multinational business. From a consumer perspective I can that say that they have really tried to impress the entire drinking community and that they should maintain quality.
These are my recommendation as per the case.
They should try to revive the company fortunes through lager and more promising brand.
They should also introduce a light beer version of the already existing brand under new name. they should also introduce brand extension.
Blaeser, K. M. (1994). Brewing trouble. Callaloo, 17(1), 119-122.
Tremblay, V. J., Tremblay, V. J., & Tremblay, C. H. (2005). The US brewing industry: Data and economic analysis. MIT Press.
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