Business Environment Analysis1Soothsayers BreweryJonathan WrightSouthern New Hampshire UniversityMBA-515-Q1987Professor Susan Dixon12/6/2015
Business Environment Analysis2Microbreweries are small breweries that produce less than 15,000 barrels of beer per yearand distribute for consumption. Microbreweries sell to the public by one or more of the following methods: the traditional three tier method (brewer – wholesaler/distributor-retailer), two tier system (brewer acting as the distributor to consumer) and direct to the consumer throughcarry outs and on-site tap room sales. The success of the brewery is solely based on the superiority of freshly brewed beer. By selling the beer onsite, and not by a distributor, this will mitigate costs greatly which is extremelyimportant for a new company. The only benefit of using a distributor is it will create a cash flow but at a higher cost of business. A new growler (64 oz.) of fresh beer sells for $19.99 at the tap, a growler refill will sell for $17.99 and a 4 pack of 12 oz. bottles sells for $14.99. By following this model for sales, the product cost will be approximately $0.75 or 3.75% of the retail of a new growler fill and as high as 5.0% on a 4 pack of bottles. That is 95.0% - 96.25% of beer sales income to cover the fixed and variable expenses. The development and formation of Soothsayer’s Brewery has full support of the membersof the Board of Directors and the following individuals for their time and contribution:Matt Hemeon: Matt is currently serving as President of the Board and is a craft been extremist and active member of the local home brewing community. He has spent the past 12 years home brewing and the last 2 years developing the pilot beer for Soothsayers – Realization. Matt has a Bachelor’s of Science in Chemistry from Boston University. Matt will serve also as brew master.
Business Environment Analysis3John Slauter: John got this whole project rolling in 2013 with the idea, with Matt, of the recipe of Realization as well as the startup capital of $10,000, John has had thousands of different style of beers from all over the world specifically from North America, Germany, Italy and Japan. He will be the Finance Manager.Paul Deziel: Paul is a technology expert and has an associate’s degree in Computer Sciences from ITT Tech. Paul has experience in the designing of websites, IT infrastructure, and social media marketing.IT ManagerJo Santiago: Jo is a licensed attorney and advocate of children’s rights and graduated with honors from Quinnipiac University and received her law degree from Massachusetts School of Law – magna cum laude. Jo is our General Manager and Legal Advisor for all contracts and licensing for the brewery. She is deeply connected in the Burlington community from her children rights advocacy work.
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- Business, Brewing, Brewery, Microbrewery, craft beer industry, Soothsayers Brewery