Brewing Industry Beer Term Paper

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¶ … Brewing Industry The beer brewing industry is an important contributor to many economies of the world including that of the U.S.A. In this paper we shall give an overview of U.S. beer industry. It will contain a brief summary of the current trends in the industry and major players, the effect of the brewing industry on the U.S. economy, external environment facing the beer industry, and the opportunities and the challenges facing the industry.

Current Trends & Major Players

beer industry is characterized by flat consumption trends and dominance by three brewers, namely Anheuser-Busch (the makers of Budweiser), Miller Brewing, and Adolph Coors.

percent of the U.S. market share is held by Anheuser-Busch (45%), Miller Brewing (23%), and Adolph Coors (10%).

The above named companies are also the top three brewing companies in the world having overtaken German companies since long.

Some major brewing companies that have been closed down or been absorbed by others since 1980, include Jos Schlitz Brewing Co, G. Heileman Brewing Co, Olympia Brewing Co., Falstaff Brewing Co and C. Schmidt & Sons.

As a mature product category, beer is not subject to sharp and rapid sales fluctuations that occur in newer sectors of the national economy.

Individual beer consumption trends have shown a decline since the early 1980's, a result...

...

economy is of the order of $187 billion dollars.
Beer represents 88% of volume of all licensed beverages sold in the United States.

A summary of the impact on the U.S. economy is depicted in the table that follows:

Direct Impact

Full Impact

Jobs

Wages

Taxes (State, Federal & Local)

Value Added

Source: The Beer Institute Research

Opportunities and Challenges

The number of domestic brewers in the U.S. has surpassed 1,800, seven times the number in business in 1990

Microbreweries and brewpubs account for…

Sources Used in Documents:

References

Overview of the U.S. Beer Industry." (n.d.) Minnesota Trade and Economic Development. Retrieved on April 2, 2003 at http://www.dted.state.mn.us/PDFs/beer.pdf

Shakeout in the Brewing Industry." (n.d.) Retrieved on April 2, 2003 at http://www.beerhistory.com/library/holdings/shakeout.shtml

State of the Industry: Industry Growth Pauses." (2003) Beer Institute Research. "Research and Publications." Retrieved on April 2, 2003 at http://www.beerinstitute.org/stateindreport.htm

Adapted from "State of the Industry" (2003): Beer Institute Online; "Shakeout in the Brewing Industry." & "Overview of the U.S. beer Industry" (n.d.)


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