Adolph Coors Case

Adolph Coors is a successful regional brewer who went national in the 1970s after many years of selling only to the western United States. Based in Golden, Colorado, the company was familyowned and operated, and had been for more than four generations. The company touted its beer as being brewed from "Rocky Mountain Spring Water," which was supposed to improve its flavor relative to other beers, and Coors also refrained from pasteurizing its product.

This lack of pasteurization led to some problems for the company since it increased transportation costs and made it necessary for wholesalers and retailers to destroy Coors products which were older than 60 days.

In recent years, however, the company has experienced a significant increase in consumption of its products, and it has expanded to a nationwide system of distribution. Its transportation costs have risen considerably as a result and the company is now in the process of opening a facility in North Carolina which will help it reduce transportation costs for products shipped to the east. In addition, the company has signed brewing agreements and import agreements with a number of different companies giving it access to the Canadian market and increasing the number of products associated with Coors from one to more than 300. The company has also had strong success with its "lite" brand.

The problem that faces Coors is how to maintain its profitability while expanding its marke

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d in the press. Unless the company is associated with flagrant abuses in the workplace, even minor lawsuits can go unnoticed by the community at large, and such dealings do not affect the value of the company. After a company goes public, it no longer has this isolation from the media. Public scrutiny becomes a way of life, and comments, even offhanded comments, can be reported and interpreted by those in the field. Moreover, such actions have a direct effect on the price of the stock, which affect's the owners stake in the corporation. Coors must come to terms with this reality and take steps to maximize its position in the market by applying some of the marketing strategies that have been successful in its promotion of product to the promotion of the company as a whole. The company also faces problems in that it has a tenuous union history, and has endured a boycott lasting several years. The new plant is in the heart of a prounion area, and the company faces the strong likelihood that attempts will be made to unionize workers at the new facility. This is likely to cause acrimony between management and its workers, and may result in delays in getting the new facility up and running to the point that it can contribute to

Category: Business - A