European Brewing Industry-Pestal

European Brewing Industry-Pestal

  • Submitted By: ginaspice82
  • Date Submitted: 01/14/2010 5:47 PM
  • Category: Business
  • Words: 868
  • Page: 4
  • Views: 4075

Introduction
Considered one of the oldest drinks, the origin of beer dates back to 6000 B.C., and is primarily made from natural ingredients like yeast, malt, water and hops. The industry has witnessed different brewing styles. Though the average percentage is usually considered to be 4.5% alcohol by volume (ABV), this is however, not sacrosanct and may vary according to style, taste and preference across regions. Beer forms an integral part of many cultures and can be adopted as a lifestyle drink if consumed moderately and under restriction. Nevertheless, excess consumption of the same is likely to lead to various unremitting diseases (The Brewers of Europe’s Commitments under the EU Alcohol & Health Forum, 2008).
As students of Business Strategy (BS), we have assumed the task of analyzing a caselet on European brewing industry, impacted by several global phenomenon, namely, Global Forces and European Brewing Industry.
Pestel Analysis
Political
From the case study we notice the political intervention of the government that made strict prosecutions against drunken driving and the alcohol abuse. This initiative taken by the government was one of the reasons that transformed the buying behaviour of European market. Though would be classified under the head of social analysis the government intervention has caused the change in buying behaviour.
Economical
Social
Technological
From the case we are able to understand that technology had brought in efficiency and improved production. Technology had definitely helped in receiving information and had helped in various departments. However as a result of incessant research and development the manufacturing units not only were able to obtaining the economies of scale but also over produced. This actually encouraged players to search for the market.
Environment
Legal
Lot of Mergers and Actuations happening which displays the low restriction with regard to consolidation of European...

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