Beer Industry in Uk

Introduction To The United States Beer Industry

Beer in the United States has had a long and profitable history. Today it is the largest segment of Alcoholic beverages and accounts for millions of dollars in sales every year. Although there have been periods of less demand, the popularity and wealth of the industry has grown significantly. The industry has had to address many challenges and adapt to continuously changing environments which translated into many consolidations and the reduced number of regional brewers. Today’s market is heavily controlled by three main players, In Bev Anheuser-Busch, Miller Coors.

In the late 19th century, most beer was being brewed by groups or individuals in their respective homes, however with the industrial revolution and the advancements of new technologies in automation, commercial brewers began to enter the market and transform the way beer is made, sold, and marketed as it never had been before. Some of these large national brewers were Anheuser-Busch and Miller as mentioned before. Other large domestic brewers include Pabst, and Schlitz. All of these companies have played a part in shaping the growth, structure and development of the industry over time. Due in part to these large commercial entities, the United States now has the largest number of breweries in the world.

Although it is necessary to grasp the industries performance as a whole, it is even more vital that the performance and structure of the industries particular segments. At one point, two types of beers controlled the majority of the market; popular beer which was made and sold inexpensively, and Premium beers which were produced for a similar price yet sold at a higher cost solely for their brand recognition and popularity. Throughout history, as the brewing industry matured, the addition of different kinds of beer multiplied. Today, the types of beer which account for the majority of sales are classified as Light, Domestic Premium, and Imports.

This paper will be divided into three parts. In the first section I will take an in-depth look at the Beer Industry as a whole through the use of Porter’s Five Forces analysis. In the second part I will be focusing on Molson-Coors and its relationship to the industry, its segments, and opportunities for growth and continued success. I will wrap up my paper by comparing and contrasting Molson-Coors’ position and strategy in the Beer industry to Harley-Davidson in the recreational vehicle industry.

Socio-Economic

When addressing any industry, it is important to analyze the various external macro-environmental factors which contribute to a company’s operations. Through a PEST (Political, Economic, Social, and Technological) Analysis, one can better understand the risks associated with growth and decline, as well as its industry position currently and in the future.

Politically, the beer