scholarly journals Strengths, innovation, and opportunities in a burgeoning industry: an exploratory study

2018 ◽  
Vol 30 (2) ◽  
pp. 276-296
Author(s):  
Abel Duarte Alonso ◽  
Nikolaos Sakellarios ◽  
Nevil Alexander ◽  
Seamus O’Brien

Purpose The purpose of this paper is to examine key areas related to the craft brewing industry from the perspective of operators of micro and small craft breweries, and propose a framework based on the resourced-based theory of the firm and the theory of innovation. The areas investigated include participants’ perceived strengths of their craft brewery, involvement in innovative practices, opportunities for the craft brewing firm, and potential differences related to these areas based on the demographic characteristics of participants and their breweries. Design/methodology/approach Given its growing significance and economic contribution, the US craft brewery industry was chosen for this study. An online questionnaire was designed to gather data from craft brewery operators across the nation. Findings Product and service quality, knowledge, reputation, and expertise were revealed as key strengths, while creating new recipes and using social media tools were the most considered ways of innovating. Furthermore, opportunities were perceived through craft beer tourism, increased consumption, and quality improvements. Statistically significant differences emerged, particularly based on production levels, staff numbers, and involvement/no involvement in exports. Various associations between the findings and the adopted theoretical frameworks were revealed. Originality/value In terms of originality, the proposed refinement based on the adopted theoretical frameworks and findings facilitates understanding of the significance of resources and innovation, particularly for firms operating in a growing industry. Regarding value, the findings have important implications for the industry, for instance, in the marketing of craft brewing, as well as in the development of new craft brewing products.

2017 ◽  
Vol 29 (2) ◽  
pp. 265-282 ◽  
Author(s):  
Abel Duarte Alonso ◽  
Nevil Alexander

Purpose The purpose of this paper is to investigate the importance of feedback in developing and operationalising knowledge from the perspective of craft brewing operators. The study contributes to various literature streams, including marketing and craft brewing entrepreneurship. An additional contribution is made through the adoption of the knowledge-based theory of the firm, and the SECI process to facilitate understanding of the significance of knowledge in the craft brewing industry. Design/methodology/approach An online questionnaire was designed to gather data from mainly micro and small craft brewery operators. Of the 110 craft breweries identified across Australia, 57 (51.8 per cent) participated. The predominantly qualitative data were analysed using content analysis and word association. Findings The importance of knowledge acquisition for craft brewery firms was revealed in various ways. For example, respondents most favoured new knowledge to learn about quality issues and perceptions of quality among buyers/consumers. Further, acquired knowledge through feedback was a determinant factor in participants’ decision to produce particular styles of beers. Several alignments with the adopted theoretical frameworks were revealed, including the role of socialisation (SECI process) illustrated through the transformation of explicit into tacit knowledge. Originality/value The study examines the dimension of knowledge in the craft brewing industry, which, although considerably developing, continues to be underresearched. Furthermore, the study’s findings underline various important implications for the craft brewing industry, suppliers, and for end consumers. The study also proposes a refinement of both the RBTF and the SECI process based on the findings.


2017 ◽  
Vol 29 (2) ◽  
pp. 140-158 ◽  
Author(s):  
Abel Duarte Alonso ◽  
Alessandro Bressan ◽  
Nikolaos Sakellarios

Purpose The purpose of this study is to examine how micro and small craft brewery operators perceive and operationalise innovation. Moreover, in adopting the theory of innovation, the study addresses two under-researched areas, namely, innovation among micro and small firms and innovation in the context of the emerging craft brewing industry. Design/methodology/approach The perspectives of 163 craft brewery operators located in Italy, Spain, and the UK were gathered through online questionnaires. In total, 24 face-to-face and telephone interviews with operators from the three nations complemented the data collection process. Thus, in total, 187 operators participated. Findings Development of new craft beer styles, new recipes, exploring with various ingredients, improving quality, or involvement in social media and culinary tourism were predominant forms participants perceived innovation. Various differences regarding innovation adoption were noticed, particularly based on participants’ country and on their role at the brewery. Furthermore, associations between the findings and the dimensions of the theory of innovation were confirmed. Originality/value This study is original, in that it represents a first effort in comparing perceptions of craft brewery operators across various countries. This comparison identifies ways in which craft brewery operators could maximise the potential of their firms. For example, the manifested interest in innovating through new craft beer recipes, or blending gastronomy and craft beer underlines alternative forms of adding value to craft brewing production. Importantly, some of these innovating practices differ based on participants’ country; such differences could also be considered by craft brewery operators.


2014 ◽  
Vol 20 (4) ◽  
pp. 434-458 ◽  
Author(s):  
Lynn A. Walter ◽  
Linda F. Edelman ◽  
Keneth J. Hatten

Purpose – This paper aims to investigate how dynamic capabilities enabled survival in a select group of brewers, during one of the lengthiest and most severe industry consolidations in history. In doing so, we advance Abell’s (1978) theory of strategic windows through integration with the resource-based view of the firm. Design/methodology/approach – Using a mixed method approach, we first apply case study methods to develop hypotheses around the timing and level of operational capability required for survival. In the second phase, we test these hypothesized estimations on the USA Brewing population. Findings – Indicate that brewers which had advanced distribution and manufacturing operational capabilities before the strategic window of opportunity closed had higher survival rates. Practical implications – This study reinforces the importance of making timely strategic investments in capabilities. Originality/value – The integration of strategic window and capability theories advances our understanding of the roles that capabilities and time play in determining firm survival.


2019 ◽  
Vol 32 (1) ◽  
pp. 122-138 ◽  
Author(s):  
Vincenzo Alfeo ◽  
Aldo Todaro ◽  
Giuseppina Migliore ◽  
Valeria Borsellino ◽  
Emanuele Schimmenti

Purpose This paper aims to illustrate the organisational and managing models characterising the craft beer producers in Sicily (Southern Italy) and the main issues of the provision of raw materials. Design/methodology/approach A direct survey involving the overall population of 41 craft breweries operating in Sicily in 2016 was carried out. Then 29 questionnaires were collected for exploratory analysis. A hierarchical cluster analysis was also performed out to group companies by similar structural, productive and economic features. Findings The findings of the survey showed a Sicilian craft beer industry characterised by a substantial dependence on the import of malts hops and yeasts and the limited use of local raw materials among brewers. Furthermore, the characteristics of the processing plants and the sales channels appear to influence the diversification of the products and the turnover levels of the Sicilian craft beer producers. Originality/value This is the first study describing the craft brewing industry in Sicily. The findings contribute to enrich the knowledge on the organisational models applied in the craft beer industry. In particular, the findings could contribute to shed light on some critical issues about the provision of raw materials, suggesting possible paths for the successful development of the craft beer industry in the region.


Author(s):  
Alfred Krogmann ◽  
Franciszek Mróz ◽  
Magdaléna Nemčíková ◽  
Zuzana Dvořáková Líšková ◽  
Alena Dubcová ◽  
...  

The last 30 years of brewing history in Slovakia were the most turbulent ones. They were influenced by the liquidation of some beer production as well as privatization, integration and acquisitions of global beer producers. As a reaction to the uniform taste of beer produced by the global producers, numerous small craft breweries emerged in Slovakia trying to return the specific beer taste to the regions. Their importance may also be involved in the development of popular beer tourism through beer routes in addition to the fragmentation of the Slovak brewing industry. The aim of this paper is to evaluate the potential of Slovakia for the development of beer routes. The examination and assessment of the possibilities of creating beer routes in Slovakia required considering the historical context first, and then establishing a database comprising the list of craft breweries in Slovakia and the list of places where beer festivals are organised. Correspondence with the President of the Association of Small Independent Slovak Breweries was used for this purpose. Such a database was then verified, supplemented and compared to the database developed by our team based on information from field research, telephone interviews with thirty representatives of breweries, and an analysis of websites of Slovak breweries. The database was further transformed into space, using a map of isolines (equidistant) expressing the mutual distance of the craft breweries. In compiling the results, dynamic-comparative methods and cartographic presentation methods were also used. All together, we identified 70 craft breweries and proposed three beer routes thanks to their spatial distribution.


2018 ◽  
Vol 11 (1) ◽  
pp. 112-130 ◽  
Author(s):  
Abel Duarte Alonso ◽  
Nikolaos Sakellarios ◽  
Nevil Alexander ◽  
Seamus O’Brien

Purpose The purpose of this paper is to investigate the extent and significance of involvement of craft brewery operators in their community through the lens of the stakeholder theory (ST). In addition, differences between forms of involvement and demographic characteristics of operators and breweries are examined. Design/methodology/approach As many as 218 operators of predominantly micro-craft breweries across the USA participated in an online questionnaire designed to gather their perceptions. Findings While paying taxes was participants’ main perceived form of contribution, providing an artisan-made product, the significance of the craft brewery as a community “hub”, and that of increasing the number of leisure alternatives also emerged. A further 52.8 per cent of participants indicated contributing US$100,000 or more to the community annually. Statistically significant differences were revealed, for instance, based on craft breweries’ production volume, and the level of financial contribution. Various associations between operators’ perceived contributions and the ST theses were established in regard to cooperative interests (descriptive), stakeholder management (instrumental), and moral principles (normative). Originality/value First, by examining corporate social responsibility (CSR) in the craft brewing industry and among predominantly smaller firms, the study addresses two under-researched areas. Second, a refinement of the ST in the context of the craft brewing industry is proposed, highlighting the links between ST-based theses and the findings. Third, the study contributes to three different types of literature: micro and small business, craft brewing entrepreneurship, and CSR.


2019 ◽  
Vol 23 (3) ◽  
pp. 419-438 ◽  
Author(s):  
Abel Duarte Alonso ◽  
Seng Kok ◽  
Nikolaos Sakellarios ◽  
Seamus O’Brien

Purpose The purpose of this exploratory study is to investigate the significance of self-efficacy and knowledge acquisition among micro businesses operating in challenging economic environments. The study uses social cognitive theory (SCT) and the knowledge-based theory of the firm (KBTF), and it proposes a refinement of these theoretical frameworks in the context of the study. Design/methodology/approach A case method was chosen, and face-to-face interviews with 14 owners of firms in island and rural regions of Greece and Spain were conducted. Findings Content analysis identified the importance of self-efficacy, primarily illustrated by entrepreneurs’ determination and self-motivation, propensity to take risks and ability to anticipate consequences of their actions. Acquisition and accumulation of explicit knowledge, particularly through generational or mentoring processes, and subsequent wealth of tacit knowledge, also emerged as very significant in preparing and guiding entrepreneurs. Various links between the adopted theories and findings emerged, particularly regarding forethought, vicarious learning (SCT) and specialisation in knowledge acquisition (KBTF). Originality/value The proposed theoretical refinement based on the SCT and KBTF paradigms allows for a more rigorous, in-depth reflection on the links between cognitive elements present in the participating micro entrepreneurs and knowledge-based attributes on their ability to increase organisational resilience. The study also contributes toward the micro business literature and addresses a knowledge gap, particularly, in that contemporary research has not explored entrepreneurial motivations among small firm entrepreneurs. Finally, the practical implications emerging from the findings provide a platform for various stakeholders (associations, government agencies) to appreciate and support entrepreneurs’ needs, notably, of acquiring, increasing and sharing knowledge.


2016 ◽  
Vol 22 (1) ◽  
pp. 24-49 ◽  
Author(s):  
Lynn A. Walter ◽  
Linda F. Edelman ◽  
Keneth J. Hatten

Purpose – The purpose of this study is to examine how early-entry and process-based capability development affected firm survival during shakeout in the US brewing industry between 1938 and 1980. Design/methodology/approach – Hazard analysis was conducted on US brewing industry data spanning 42 years from 1938 to 1980. Findings – Both early-entry and later capability developments enhance the probability of survival. In addition, firms which entered early were also more likely to be the firms who continually developed capabilities across the decades. Research limitations/implications – This study contributes to our understanding of shakeout in traditional, non-high-technology businesses. However, because it is a single industry study, the ability to the generalize findings to other industry contexts is limited. Practical implications – Early entry can determine survival in industries with stable products and low levels of technological change. Social implications – Policy-makers interested in competitive dynamics should take note of the historical conditions that lead to industry consolidation in traditional industries, which, while not as glamorous as the technology sector, provide the core of US industry. Originality/value – Historical firm characteristics can impact industry structure and firm survival for over a century.


2021 ◽  
Vol 26 (2) ◽  
pp. 237-239
Author(s):  
Rangson Chirakranont ◽  
Sirijit Sunanta

The craft beer movement and craft beer tourism are a new global phenomenon that has reached various parts of the world. However, the literature on craft beer tourism mostly focuses on traditional origins of craft beer in Western countries—the US, Australia, and European countries. This research note illustrates how a study of the Thai craft beer movement and craft beer tourism could contribute to the existing body of knowledge. The consumption of non-Western people in non-Western places has been underrepresented in the literature of food and beverage tourism. The craft beer movement has spread to Thailand via urban middle-class Thais who brought the passion for and knowledge of home brewing from the West to Thailand. Brewing lessons, brewery visits, and craft beer events/ festivals have functioned as community building activities for Thai craft beer enthusiasts as well as the main craft beer distribution channel. Craft beer consumption continues to grow despite the Thai alcoholic production law that prohibits home brewing. For future studies, different craft beer tourism activities in Thailand should be analyzed for 1) the adoption of the experience economy framework, 2) the formation of the consumption community, 3) the roles of various stakeholders who differentially contribute to and benefit from craft beer tourism activities, and 4) the role of foreign tourists in the development of craft beer tourism in Thailand.


2019 ◽  
Vol 19 (4) ◽  
pp. 78-90
Author(s):  
Theresa McCulla

In 1965, Frederick (Fritz) Maytag III began a decades-long revitalization of Anchor Brewing Company in San Francisco, California. This was an unexpected venture from an unlikely brewer; for generations, Maytag's family had run the Maytag Washing Machine Company in Iowa and he had no training in brewing. Yet Maytag's career at Anchor initiated a phenomenal wave of growth in the American brewing industry that came to be known as the microbrewing—now “craft beer”—revolution. To understand Maytag's path, this article draws on original oral histories and artifacts that Maytag donated to the Smithsonian Institution's National Museum of American History via the American Brewing History Initiative, a project to document the history of brewing in the United States. The objects and reflections that Maytag shared with the museum revealed a surprising link between the birth of microbrewing and the strategies and culture of mass manufacturing. Even if the hallmarks of microbrewing—a small-scale, artisan approach to making beer—began as a backlash against the mass-produced system of large breweries, they relied on Maytag's early, intimate connections to the assembly-line world of the Maytag Company and the alchemy of intellectual curiosity, socioeconomic privilege, and risk tolerance with which his history equipped him.


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