Hopworks Brewery Case Study

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Hopworks Urban Brewery is a brewpub that produces certified organic beer. According to Pullman et al. (2015), the brewery is highly competitive in the US craft brewing industry which has grown tremend... ously over the last decade. The essay will analyze the environment of craft brewing in the US and assess how Hopworks fits in this setting. An internal analysis of Hopwork`s resources and capabilities will be made. The paper will also evaluate Hopworks challenges/ opportunities and make a recommendation to the founder, Christian Ettinger about the future strategy of the firm. The Environment of Craft Brewing in The US Pullman et al. (2015) note that the craft brewing business has rapidly grown in the United States with an annual growth rate of 9.6% between 2009 and 2014. The brewers operate in small enterprises settings which produce less than six million barrels of beer annually (Pullman et al., 2015). Craft brewing in the United States mainly focuses on traditional and inventive methods of making beer while connecting with the local communities. Breweries in the Pacific Northwest have always had a greater benefit over others due to their close proximity to high quality hops suppliers. The West Coast hosts a third of the total craft breweries. The market competition environment of craft brewing is dependent on the factors of beer quality, production capacity, branding, packaging and labelling. Hopworks is positioned in this environment as one of the successful breweries in Portland. The firm is advantaged by being situated in the state of Oregon which is the second largest producer of hops in the US (Pullman et al., 2015). Therefore, Hopworks benefits from the cheap and easy availability of one of the essential ingredients of making beer. [Show More]

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