Greaves Brewery Case Analysis
Greaves Brewery Case Analysis
Greaves Brewery: Bottle Replenishment Case Analysis
Case Synopsis
The following is an analysis of the case, Greaves Brewery: Bottle Replenishment. It details the growing beer operation of Greaves Brewery located in the Caribbean island of Trinidad. The purchasing manager for the company, Alex Benson, is uncertain about how many bottles to order from the company’s German glass supplier. His decision is complicated by the possibility of a new bottle design being introduced that would compromise his existing inventory of bottles. Additionally, he is faced with storage limitations and erratic sales, all of which are impacting his decision. He is also concerned about over ordering to avoid issues from an off year, impact from government tax, tourism, and growth of exports. Assignment Question
How many bottles should Alex Benson, purchasing manager of Greaves Brewery, order to support his company’s sales for the upcoming year 2004? Case Analysis
Greaves Brewery was founded in 1924 by John Greaves in the Caribbean island of Trinidad. In addition to being a favorite among the local population, the beer was also popular with tourists which contributed to the export of the beer some years later. The brewery experienced positive growth between 1999 and 2003, which was attributed to peak sales periods during Carnival, Easter, Christmas and Independence. Throughout the years, the government of Trinidad introduced a number of excise taxes on beer. This negatively impacted sales at Greaves Brewery. Along with normal business challenges and other factors such as number of tourists and U.S. sales, determining the full impact of the taxes on the market made it more challenging for the company to forecast sales. Greaves also considered other options for bottling manufacturers. The company tried to find a local bottler, but these companies only manufactured clear glass and Greaves needed amber glass for its product.
Greaves Brewery: Bottle Replenishment Case Analysis
Case Synopsis
The following is an analysis of the case, Greaves Brewery: Bottle Replenishment. It details the growing beer operation of Greaves Brewery located in the Caribbean island of Trinidad. The purchasing manager for the company, Alex Benson, is uncertain about how many bottles to order from the company’s German glass supplier. His decision is complicated by the possibility of a new bottle design being introduced that would compromise his existing inventory of bottles. Additionally, he is faced with storage limitations and erratic sales, all of which are impacting his decision. He is also concerned about over ordering to avoid issues from an off year, impact from government tax, tourism, and growth of exports. Assignment Question
How many bottles should Alex Benson, purchasing manager of Greaves Brewery, order to support his company’s sales for the upcoming year 2004? Case Analysis
Greaves Brewery was founded in 1924 by John Greaves in the Caribbean island of Trinidad. In addition to being a favorite among the local population, the beer was also popular with tourists which contributed to the export of the beer some years later. The brewery experienced positive growth between 1999 and 2003, which was attributed to peak sales periods during Carnival, Easter, Christmas and Independence. Throughout the years, the government of Trinidad introduced a number of excise taxes on beer. This negatively impacted sales at Greaves Brewery. Along with normal business challenges and other factors such as number of tourists and U.S. sales, determining the full impact of the taxes on the market made it more challenging for the company to forecast sales. Greaves also considered other options for bottling manufacturers. The company tried to find a local bottler, but these companies only manufactured clear glass and Greaves needed amber glass for its product.
References: Albright, Winston & Zappe (2010). Business Modeling. Mason, Ohio: CENGAGE Learning. Erskine, J., Leenders, M., & Piper, C., 2004. Greaves brewery. bottle replenishment. Ivey Management Services. . Ontario, Canada: Richard Ivey School of Business