South Delaware Coors, Inc.
Problem Identification: Larry Brownlow faces two main problems regarding his potential application for a Coors beer distributorship, which is to be located in a two county area of southern Delaware.
What types of research, if any, should be conducted by the research suppliers of Manson and Associates to determine the feasibility of such a venture? $
Based on the research findings, is the distributorship feasible; should Larry submit an application to Coors, Inc.?
Case Recommendations: Larry should pursue feasibility studies and the distributorship based on several factors contained within or derived from the case.
Ambition and Desire for Success: Although Larry has many alternatives (e.g. conduct no research, continue grad school, and invest trust; conduct own research following completion of MBA; hold off on MBA to do research presently), obtaining his degree seems to be of utmost importance, as well as achieving success, sooner rather than later, in a self-owned business. Purchasing a research bundle may be costly, but the knowledge and insight it will provide is paramount. While Larry could surely conduct his own secondary data research for less than $15,000, a busy schedule and time constrain him. Unbiased primary data provided from M&A will also be essential.
Strong Product Background: The product is proven one, dating back to 1873, and Coors is currently ranked as the fourth largest seller of beer in the country. The product is known by consumers and suppliers alike for its high quality and consistency, and the company has enjoyed a steady market share (8.7-8.9%) for 6 years running. Additionally, 88.7% of retailers say they "certainly will" sell Coors, and 70% of consumers say they "certainly will" buy Coors - indicating that there is strong brand awareness for Coors despite the lack of a formal presence in Delaware.
Competition and Uncertainties:
The market is competitive with 7 major...
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