Marketing Analysis for Meantime Brewery Essay Example

Marketing Analysis for Meantime Brewery Essay Example Marketing Analysis for Meantime Brewery Essay Marketing Analysis for Meantime Brewery Essay for consumers to notice the brand names regularly, leaving no room for smaller producers. In addition to the large retailers who have a purchasing power that might be exercised on consumers. Hence, the overall intensity of competition is high. Threat of New Entry The cost for a new brewery to enter the market offering new edition of beers is high. In addition to the economy of scale that is considered high for launching a brewery. There are high barriers to entry that will obstacle the establishment. Also, there are closed distribution channels, as well as to strict government regulations. (Brown, 2010) Therefore, as mentioned by Michael Porter in 2008, seven elements give a complete emphasis on how the threat of new entry is generated. o Economies of Scale (Supply Side) Generally, it is better for a supplier to produce large volumes of scale in order to have lower costs per unit, thats why new entrants ought to start on larger scale projects to have an upper hand on the market, but only a few entrants are capable of doing so. vo Benefits of Scale (Demand Side) Benefits o f scale are based on how much consumers are willing to try new products. The higher the demand on beer, the higher price would be; so, this may affect consumers preferences until noticing the increase in demand. This means that 13 significant consumer base has to be obtained and developed in order for producers