South Delaware Coors Essay examples

925 Words Mar 11th, 2008 4 Pages
1. Problems and Opportunities

Larry Brownlow has a business opportunity and decision to make regarding whether or not the business is a feasible option. This business opportunity is perfect for Larry because he will have access to most of the start-up costs and Coors, Inc. is expanding into his territory. Another opportunity was the ability to be successful in business in Delaware with Coors.

The problem is deciding which aspects of research will give him the most applicable information toward his feasibility study. The other problem is timing—he has little time and therefore, must be strategic about how this time between now and the deadline to apply for distributorship is used or spent. Ultimately, the problem is deciding if Coors
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This would mean success could be short lived if decline is sooner than later.
c. Finance Issues
i. $500,000 trust left to Larry (Larry's money) would be used to finance the business deal. ii. $400,000 line of credit would be extended to Larry for business from bank. iii. $400,000 from family members for business. iv. $1.3 million total is accessible for financing business
v. Over $1 million would be needed to start the business in its first year.
d. Management and Policy issues
i. Union negotiations and legal implications in working with unions and communities.
e. Accounting Issues
i. Low financial estimates such as salary estimates.

3. SWOT Analysis
a. Strengths- It is a strength to the product, company and distributor that they're penetrating a new market in Delaware. Another strength is that there will only be two distributors in the state—more market share, less to split.
b. Weaknesses- Coors ranks fourth and may be in maturity on the way to decline stage in product life cycle. Consumer perception that company is anti-union makes for bad PR and possible obstacles in sales and community support of product
c. Opportunities- Due to popularity in neighboring states, there is an opportunity to improve ranking in sales in Delaware through residual or word of mouth influence. There is an opportunity for Larry Brownlow's distribution company to be successful and bring

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