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Strategic Management for Beer Industry

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Discuss the key macro-environmental forces (Political-Legal, Economic, Social, Technological) that affect the beer industry today. Which ones pose the greatest threats? Why?

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The solution discusses strategic management for beer industry.

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Macro-Environment forces that affect the beer industry today:

PEST analysis

Political

Beer products fall within the drugs category in the Food and Drugs Administration (FDA). The beer industry is among the industries that face large amounts of government regulation from local state and federal government. The bureau of Alcohol Tobacco and Firearms has various regulations regarding the brewing of beer with various restrictions on equipments to be used, construction, location, issuance of bonds, qualifications of breweries, mandatory approval of formula and flavors and consent of surety. The federal government also imposes a special occupational tax on brewers. The government is also creating strong awareness of alcohol able issues by increasing taxes and making tough laws regarding distribution and sale of alcohol. Interest groups are also lobbying for a decreased limit in blood alcohol for drivers and heavy fines for drunken drivers. Merger of big companies in the beer ...

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