Micro-Breweries

Consumers will obtain Avondale Stout through retail outlets, as opposed to on-premises consumption of the product. First year sales of 30,000 cases are expected to generate revenues approximating $750,000. First year expenses are projected in a range from $670,000-to-$800,000. Profitability is projected to be assured in the fourth and subsequent years of operation.

Introduction .............................................. 1

Background and Description of the Business ................ 1

Organization of the Company ............................... 2

Situation Analysis ........................................ 4

Problems and Opportunities ................................ 5

Objectives ................................................ 7

Marketing Strategy ........................................ 7

Marketing Tactics ......................................... 16

Product ............................................... 16

Price ................................................. 17

Place ................................................. 18

Promotion ............................................. 19

Budget ........................................

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ease in case-based sales of 25 percent. 4. In a financial context, the objectives for the second through fifth years are (a) to reach an operational break-even at the end of the third operational year, and (b) to reach an operational profit level of 20 percent by the end of the fifth year. Marketing Strategy There are several different concepts upon which the process of marketing may be based. First, there is the product concept, which assumes that "consumers will favor those products that offer the most quality for the price" (Kotler, 1993, p. 28). The product concept is faulty in that it implies that consumers purchase products, as opposed to purchasing solutions to their needs. Price is not a major consideration in the marketing of micro-beers. Another concept of marketing is the selling concept, which "assumes that consumers will either buy or not buy à as a result of" a seller's "effort to stimulate their interest" (Kotler, 1993, p. 29). The selling concept of marketing implies that consumers "have a normal tendency to resist buying à things that are not essential," but that they "can be induced to buy à through various sales-stimulating devices" (Kotler, 1993, p. 29). Some entrepreneurs who have attempted to establ
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Approximate Word count = 4641
Approximate Pages = 19 (250 words per page)

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