Mmbc Case Essay
Bringing the Brand to Light
CASE STUDY ON BRAND MANAGEMENT AND PRODUCT INTRODUCTION Mountain Man a well-known brewing company is planning to introduce a new product line of beers. This case analysis and decides whether Mountain Man should go with its product introduction or not considering its financial health and brand value.
1. INTRODUCTION Company: Mountain Man Brewing Company is a family owned brewery located in West Virginia, established in 1925.Mountain Man brewed only one beer Mountain Man Lager also known as “west Virginia’s Beer” and a “Working man’s beer”. The company is experiencing a decline in sales by 2% due to changes in the preferences of beer drinkers. …show more content…
Craft beer industry Further divided into four markets: brewpubs, microbreweries, contract breweries and regional craft breweries. Independently owned and produce small quantities. !.5% of beer shipment in Mountain Man’s region, in 2005
Market Conditions: US beer consumption has declined by 2.3% largely due to competition from wine and spirits based drinks, increase in federal exercise tax, initiatives encouraging moderation and personal responsibility, and increasing health concerns. Due to competitiveness in the market, West Virginia repealed arcane laws that limited the promotion of beer in retail establishments, as a result retail stores started applying large discounts to beer prices. Distributors gave preference to large national brewers since they offered better margins. Light beer sales in US have been showing a significant growth of 4% while normal beer sales have been declining. “First time drinker demographic” group consisting of young drinkers of 2127 years of