Written Case #4: Boston Beer Company: Poised for Growth

I. Statement of the Problem

The company faced the main problem of retaining the company’s identity and
growth.
II. Strategic Analysis
SWOT Analysis
STRENGTHS
 The company has an efficient value
chain process.
 The company has a strong distribution
network.
 The company has developed its brand
image and reputation.
 The company has a strong brand
portfolio.
 The company engages in product
innovation and product differentiation.
 The company has a significant sales
force.
OPPORTUNITIES
 Promoting other product lines is an
opportunity to go beyond the beer
industry.
 Having an efficient value chain
process, the company can further
improve supply chain and distribution.
 The company has the opportunity to
expand internationally.
WEAKNESSES
 The company relied so much on
independent distributors.
 Inefficient use of funds.
 The company has lost its image as
Craft Brewery.
 The company is dependent on foreign
suppliers.
THREATS
 The intense competition because of
the increasing number of Craft
Breweries.
 Because of dependency on foreign
suppliers, there may be a risk of
shortage.
 New entrants in a restaurant bring
innovation and put pressure on the
company.

III. Alternative Courses of Action

 Innovating new products and services
The company can engage in product innovation. Therefore, the company
must utilize its strength to product innovation and improve product quality with
the help of extensive marketing. Although many small brewers enter the market
that sets innovation, they may also have a hard time staying in the market
because of size and limited company resources. Through this, the company
may increase its market share.
 Improving the product quality
Enhancing the freshness of the beer, having tasty and flavorful products,
high-quality raw material, improving the packaging and pricing, and engaging in
e-commerce can be drivers to enhance the product quality and eventually
achieve customer satisfaction.
 Grow the company and maintaining brand identity
The company has the opportunity and power to acquire the small
breweries that may impose competition. Further, the company can grow its
business through international expansion. The company must maintain its
strategy but not keep lost in its identity.