Hong- Yen Thai
Business level strategy
The Boston Beer Company is currently pursuing the differentiation strategy by focusing
on the attributes of its products. They create and offer variety of beers and alcoholic
beverages, particularly the Samuel Adams product line with over 20 different taste
preferences. According to the company’s website, this brand is well known for full
flavor, balance, complexity, and consistent quality (The Boston Beer Company, Inc.).
Boston Beer’s products are in the Better Beer category, which means the products are
“determined by higher price, quality, image and taste, as compared with regular domestic
beers” (Boston Beer annual report, 2009, p12). It is the goal of Boston Beer because their
target is consumers require high quality and special taste. Moreover, Boston Beer was the
first American brewer to ensure providing customer with freshest beer; it was also a
successful first- moving firm in the national craft beer market when launched its Samuel
Adams brand (Nordquist, para.4). Today, the Samuel Adams brand is the largest selling
craft beer in the U.S. (The Boston Beer Company, Inc.). Therefore, Boston Beer gained a
competitive advantage through the introduction of Samuel Adams at the right time.
Boston Beer Company’s brand awareness is also achieved by using effectively
packaging, advertising and promotion program. These significant bases of product
differentiation bring the core competencies to the company.
Corporation level strategy
Boston Beer implements the differentiation strategy through U- Form organization
structure with cross- functional teams. The company manages efficiently the
development and implementation of innovative and highly differentiated products. For
example, they provide their employees with beer education and knowledge and intensive
training program so that their teams can cooperate to develop new products successfully
(Samuel Adams.com); they combine brewery ownership with production arrangements at
breweries owned by third parties (Boston Beer annual report, 2009, p.17). As the results,
the company can take advantages of capacity and flexibility to compete with its
competitors, while controlling fully the brewing process for the beers.
Preferences
The Boston Beer Company, Inc.. Welcome to the Boston Beer Company, Inc. Investor
relations website!. Retrieved March 6, 2011, from
http://www.bostonbeer.com/phoenix.zhtml?c=69432&p=irol-overview
The Boston Beer Company, Inc.. 2009 Annual Report. Retrieved March 6, 2011, from
http://www.bostonbeer.com/phoenix.zhtml?c=69432&p=irol-overview
Samuel Adams. About Us: The Boston Beer Company. Retrieved March 6,2011, from
http://www.samueladams.com/company/about-us.aspx
Nordquist, S. (2011, January 20). Bigger isn't better? Creative Loafing (24). Retrieved
March 6, 2011, from Alt-Press Watch (APW). (Document ID: 2261571201)
http://proquest.umi.com/pqdweb?did=2261571201&Fmt=3&clientId=31810&RQ
T=309&VName=PQD