Beer Wars

Good Essays
Beer Wars is documentary about the American beer industry and how the 3 largest US breweries try to drive out the competition. This documentary covers how lobbyists are used to control the beer market and drive out smaller breweries such as Dogfish Head Brewery, Stone Brewery, and Moonshot: all producers of craft beer. The documentary describes how a 3 tier system was put into place to separate the powers of selling beer and prevent a monopoly but the laws that were put into place to prevent the monopoly, infact, promoted the size and strength of the largest beer corporations. An oligopoly was formed and maintained between Anheuser Busch, Coors, and Miller.
Porter’s Five Forces Model is a business strategy that was covered in Beer Wars. Anat Barron described how difficult it was for small craft beer makers to be new entrants to the beer industry. When Anheuser Busch felt the least bit threatened, they had the capital and access to distribution channels that the smaller breweries did not have. The craft breweries found it greatly difficult to compete with the big 3 because they were not a substitute for the Big 3’s product, they were a small competitor. Anheuser Busch controlled the bargaining power because they were able to keep prices down due to their size and pockets while small craft breweries had to be more expensive because of the quality and care that went into it on top of having to pay a higher rate for ingredients compared to the other large corporations. To cite an example of the deep pockets that the big 3 had, Anheuser Busch came out with beer with caffeine in response to Moonshot beer, which was a craft beer (and the first of it’s kind). It can be viewed as theft but they had the pockets to Moonshot out. They targeted the bars and stores that carried Moonshot and gave them free cases of Anheuser Busch’s version of Moonshot beer. Though illegal some bars took it because it was free and busch had better prices to drive moonshot out. The

You May Also Find These Documents Helpful

  • Good Essays

    Beer Wars

    • 808 Words
    • 4 Pages

    Beer Wars Movie Analysis Beer Wars is a documentary film directed and produced by Anat Baron and released in April of 2009. It focuses on the struggle between the dominating corporate businesses of Anheuser-Busch, Miller Brewing Company, Coors Brewing Company, and the smaller independent businesses of “craft beers” such as Dogfish Head Brewery, The Boston Beer Company, and The New Belgium Brewing Company. The film covers many aspects of the beer “wars” between the companies such as competitive…

    • 808 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Beer Wars

    • 709 Words
    • 3 Pages

    When people mention beer breweries, people would probably say Anheuser Busch, Miller, and Coors, these three biggest beer breweries companies of the United States of America. They have total 78% market share of the United States beer industry. How do other small beer breweries to compete and challenge to these three beer giants? From the movie, there is a taste test of Bud light, Miller light and Coors light. Most people cannot recognize each of them, because these three biggest beer breweries use the…

    • 709 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Beer Wars Case Study

    • 672 Words
    • 3 Pages

    Case Analysis Beer Wars Strategic Marketing Management Introduction The market dynamics of the Australian beer market is given in the case study. The beer market in Australia is extensive due to high consumption by Australians. In the early 1800’s, there existed numerous independent breweries. Due to excise laws and better transport systems large breweries started acquiring smaller ones, and through widespread inorganic growth, by 1985 the industry became dominated by two corporate…

    • 672 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    beer wars essay

    • 1247 Words
    • 5 Pages

    Structure Conduct Performance EE481: Industrial Economics SCP and NEIO Dr. Wanwiphang Manachotphong Department of Economics, Thammasat University 6 Sep 2013 Dr. Wanwiphang Manachotphong EE481: SCP and NEIO Structure Conduct Performance Homework (Problem 1) Due Date: Friday 13 Sep, before 2pm at the BE office. Problem 1: Given the following travel requirements You have to take a flight from Bangkok to ChiangMai on Friday September 13th. AND You have to leave between 8:00…

    • 1247 Words
    • 5 Pages
    Satisfactory Essays
  • Powerful Essays

    MBA 650EV | Beer Wars | A Documentary | | Table of Contents Introduction 2 How the Large Got/Stay Large 2 Why Light is King 3 Craft Beer Facts 3 The Craft Beer Way 4 Spreading the News 5 Large Feeling the Effects 5 Political Issues 6 Conclusion 7 Introduction Beer Wars was a very eye-opening documentary. It was interesting to see how the market share of the largest beer company, Anheiser-Busch, has grown throughout the years. In 1965, Anheiser-Busch had a meager…

    • 1899 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    Beer

    • 3231 Words
    • 13 Pages

    AN EXAMINATION OF THE FACTORS THAT DETERMINE PROFITABILITY OF THE NIGERIAN BEER BREWERY FIRMS THE Okwo Ifeoma Mary.1 Ugwunta David Okelue2 Agu Sylvia Uchenna. 3 ABSTRACT This paper examines the internal factors that determine the profitability of the beer brewery firms in Nigeria. An OLS in the form of multiple regressions were applied to annual data generated from the annual statements and accounts of the sampled beer brewery firms covering a period of 2000 to 2011. The correlation and regression…

    • 3231 Words
    • 13 Pages
    Powerful Essays
  • Powerful Essays

    Beer and Company

    • 9796 Words
    • 40 Pages

    needs. Beer is the major profit contributor, but an important balance is provided by interests in complementary beverages, retailing, hotels, and the manufacture and supply of selected consumer goods and services, together with strategic investments in businesses which support the mainstream interests. Company History: The South African Breweries Limited (SAB) is a holding company whose principal line of business is brewing. The company holds an impressive 98 percent share of the beer market…

    • 9796 Words
    • 40 Pages
    Powerful Essays
  • Good Essays

    German Beer

    • 1739 Words
    • 7 Pages

    German Beer Research compiled for The Paper Store, Enterprises Inc. By R. Anastasia Tremaine - March, 2002 VISIT www.paperwriters.com/aftersale.htm -- for more information on using this paper properly! 1.0 Introduction Beer is an immensely popular beverage, but it is one that is associated with a particular country. German beer in fact is seen as the king of all beers. Around the world, Germany's beer is one of the most respected varieties, in part due to the strict legislation…

    • 1739 Words
    • 7 Pages
    Good Essays
  • Better Essays

    Classification of Beer

    • 1338 Words
    • 6 Pages

    nice cold beer? Or how about drinking a nice cold one with some buddies after work at a local bar, sound nice doesn 't it? Beer has been around for many years and will probably be around for many more. A beer is any variety of alcoholic beverages produced by the fermentation of starchy material derived from grains or other plant sources. The production of beer and some other alcoholic beverages is often called brewing. Most every culture has there own tradition and the own take on beer, thus producing…

    • 1338 Words
    • 6 Pages
    Better Essays
  • Good Essays

    Brewing and Beer

    • 2017 Words
    • 9 Pages

    Beer Historically hops, yeast, malted barley, and water have all played the greatest and most important role in society. For almost 8000 years these ingredients have been mixed and have been appreciated by all classes of society in almost all civilizations. The old cliche "accident is the mother of invention" is a phrase that definitely holds true in the world of beer. The discovery was made way back when the Mediterranean region was the seat of civilization and barley flourished as a…

    • 2017 Words
    • 9 Pages
    Good Essays