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Introduction

This Written Assignment examines the Wellington Brewery, a small local brewery in Canada.

My analysis will focus on the firm's challenges, as well as its value chain and the firm's

strong and weak points. I will also conduct a brief SWOT analysis and finally identify the

most important strategic opportunity confronting the firm and how to capitalize on it.

Wellington Brewery Value Chain

The value chain of a business includes all of the activities required to create a product or

provide a service. This analysis enables business owners to run operations in an efficient and

cost-effective manner. The value chain analysis includes a detailed step-by-step listing of

activities completed beginning with the procurement of raw materials and continuing until

the product is delivered to the client. This is divided into two categories: primary activities,

which involve the creation and distribution of goods and services, and secondary activities,

which are supplementary aids to primary activities (Kennedy, 2020).

Source: (Value chain analysis of Wellington Inc. (Tucker, n.d).

The Main Activity Activities to Assist Inbound Logistics is the process of obtaining raw

ingredients such as yeast, malt, hops, oats, and berries.


Ensure high-quality ingredients and storage facilities to extend shelf life brewing - The

Company is producing a variety of new flavours, including their original Pale Ale. They keep

an English-style speciality on the menu, with beer aged in wooden caskets. They are also

serving in the style of British pb culture from the 1900s.

Infrastructure required to maintain English styles, including the manufacture of wooden

caskets and packaging to maintain the look, feel, and taste of the 1900s. It also includes a

storage area where the beer-filled wooden caskets can ferment. Packaging and distribution

are examples of outbound logistics. The product is currently distributed by the brewery, the

LCBO, beer stores, and online.

Determine different packaging options, order management, and transportation services

such as vehicles and drivers. Participation in the community - involved in the community by

hosting events on how to make beer and Hiring knowledgeable and experienced employees

to interact with customers at the brewery in order to gain positive feedback.

Case Description/Issue Identification

Wellington Brewery is a Canadian microbrewery based in Guelph, Ontario. Phil Gosling

founded it in 1985, and it has not only survived into the 2000s, but it also has award-winning

products. Brewery ownership has changed over the years, including partners Michael

Stirrup and Doug Dawkins, as well as current owner Brent Davies (Tucker, n.). One of the

first observations is that, despite the fact that the company was founded in 1985, it is still a

microbrewery, defined as a brewery that produces 15000 barrels or less (Murphy, 2021).

Despite having a strong business logic with award-winning beers, many unique flavours like

chocolate milk stout, and seasonal flavours like helle lager or Baltic porter, the company has

remained small over the years.


SWOT analysis of Wellington Brewery

SWOT analysis is critical in determining a company's strengths, weaknesses, opportunities,

and threats. Here is a SWOT analysis of Wellington Company.

STRENGTHS WEAKNESSES

 The company is able to achieve  Lack of HR department to manage


staff effectively
product differentiation
 The infrastructure of the
 Established reputation organization is not sufficient to
 Multiple product lines manage multiple operations
simultaneously
 Lack of clear cut channels of
distribution

OPPORTUNITIES
THEATS
 Improvements in operations could
boost the value of primary activities  Large companies are competing in
 Implementing advanced technology multiple regions
will enable the company to  Fluctuation in consumer demand
effectively manage operations  Scarcity of raw materials
 Ability to expand operations to
international markets

Most Important Strategic Challenge or Opportunity

Based on the value chain and SWOT analysis, I believe Wellington Brewery has a significant

opportunity to implement technology across various aspects of business operations,

allowing the company to maximize efficiency and profit. Automation technology in brewery

production will help to reduce labour costs while increasing output and efficiency.

Furthermore, the company has a significant opportunity to expand its operations into

international markets.
This will help the company reach a larger number of customers, build the company's brand

on an international level, and increase sales, which will help the company's financial

position. The firm faces some challenges, such as a lack of clear distribution channels and an

infrastructure level that falls short of the company's required operational output. These

measures, however, can be addressed through effective strategic management. To maintain

its market dominance, the company must continue to provide quality products to customers

while increasing investment in research and technology to gain a competitive advantage.

Conclusion

The value chain and SWOT analysis revealed that Wellington Brewery is in a position that

presents significant opportunities for the company to grow its customer base and revenue.

Investment in technology and research, as well as addressing some operational issues, will

help the company maintain its dominance in the brewery market. Brewery industries

around the world are marked by intense competition and market volatility. However,

Wellington Brewery's future may be bright because of their established reputation and

market knowledge. As a result, it is critical for the company to employ strategic

management in order to maintain its success while seeking opportunities for expansion.
Reference

Kennedy, R. (2020). Strategic management. Virginia Tech Publishing. Retrieved from:


http: vtechworks.lib.vt/handle/10919/99282 or Download Strategic Management
[PDF].

Murphy, A. (2021). Definitions of Craft Brewery, Brewpub & Microbrewery. Thompson


Island. Retrieved from: http://thompsonislandbrewing/blog/whats-the-difference-
between-a-craft-brewery-microbrewery-brewpub-amp-gastropub/

Tucker, T. (n.d). Staying one step ahead of the competition with Porter’s Value Chain
Analysis
– Cases and Tools in Biotechnology Management. Press books. Retrieved from:
http://ecampusontario.pressbooks/bio16610w18/chapter/staying-one-step-ahead-of-the-
competition-with-porters-value-chain-analysis/

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