CHAPTER 14 DISCUSSION QUESTIONS1) Above all, an entrepreneur must place who first when considering a location?2) Entrepreneurs generally prefer to locate in regions of the country that areexperiencing what?3) What is one of the first stops entrepreneurs should make when conducting aregional evaluation?4) Every state has what type of office working to recruit new businesses?5) Because of its location in the center of the country, what city has become hometo many companies distribution centers?6) For many businesses, especially technology-driven companies, what is one ofthe most important characteristics of a potential location?7) What is one consistent trend that the lists of "best cities for business" haverevealed about successful small companies?8) What are "clusters?"9) What is the final step in the location selection process?10) The one element common to all businesses is the need to locate what?11) Define layout.12) What should entrances do to customers entering a store?13) Define ergonomics.14) What allows employees to work at maximum efficiency?15) What are key ingredients to engage all of a companys customers senses?
BEER CONSUMER DEMOGRAPHICS(BASED ON GALLUP POLL CONDUCTED JULY 2010 OF U.S. ADULTS 18+)•MEN ACCOUNT FOR MORE THAN 80% OF THE VOLUME CONSUMED.•MEN UNDER 50 ARE AMONG THOSE WHO MOST STRONGLY PREFER BEER AS THEIRALCOHOLIC DRINK.•18-34 YEAR OLDS STRONGLY PREFER BEER AS THEIR ALCOHOLIC DRINK.•55+ CHOOSE WINE AS THEIR PREFERRED ALCOHOLIC BEVERAGE.•BEER IS THE TOP CHOICE FOR ALL 4 MAJOR REGIONS OF THE COUNTRY.•THE MOST POPULAR REGION OF THECOUNTRY FOR BEER: THE MIDWEST.
•MINTEL GROUP LTD. IS A PRIVATELY OWNED LONDON-BASED MARKET RESEARCH FIRMTHAT WAS ESTABLISHED IN 1972.•THE FOLLOWING IS BASED ON MINTEL RESEARCH PUBLISHED IN 2010.•13% OF US BEER DRINKERS SAY THEY PREFER DOMESTIC CRAFT OR MICROBREW BEER,COMPARED TO 43% FOR TRADITIONAL DOMESTIC BEER.•BUT 59% SAY THEY LIKE TO TRY THEM & 51% SAY THEY WOULD TRY MORECRAFT/MICROBREW BEERS IF THEY KNEW MORE ABOUT THEM.“Craft beers have increased in popularity in the past five years, and enjoyed a boost in theirconsumer base. Craft beer is most popular with the 25-34-year-old crowd, so manufacturers wouldbe wise to target this demographic and educate them more about artisan beers.”GARIMA GOEL LALSENIOR ANALYST AT MINTEL
•MINTEL FOUND THAT PRICE IS A DETERRENT FOR SOME DRINKERS.•41% OF DRINKERS ONLY ENJOY CRAFT/MICROBREW BEERS AS ATREAT BECAUSE THEY ARE EXPENSIVE.•29% REPORT DRINKING LESS CRAFT BEER BECAUSE OF PRICE.•BUT, THE INDUSTRY LIKE THE ECONOMY IS BOUNCING BACK.“The recession hit many industries hard, and the beer market was noexception. The good news is, it appears that the influence of the recessionis becoming less pronounced on the beer market in terms of losingvolume. The number of beer drinkers who are drinking less beer hasdecreased since 2009.”GARIMA GOEL LALSENIOR ANALYST AT MINTEL
•MINTEL ALSO FOUND THAT PACKAGING IS JUST AS IMPORTANT ASTHE BEER ITSELF.•63% OF BEER DRINKERS PREFER A BOTTLE.•20% OF BEER DRINKERS PERFER A CAN.•8% OF BEER DRINKERS PREFER DRAFT BEER.
OCEANSIDE ALE WORKS-FIRST MICROBREWERY IN OCEANSIDE, CA (NORTH COAST OF SANDIEGO)THE MENTOR: OCEANSIDE ALE WORKS
TOP FACTORS THAT MAKE AN AREA SUITABLE FORSTARTING & GROWING SMALL COMPANIES1) ACCESS TO DYNAMIC UNIVERSITIES2) AN AMPLE SUPPLY OF SKILLED WORKERS3) A NEARBY AIRPORT4) A TEMPERATE CLIMATE5) A HIGH QUALITY OF LIFE
CHOOSING A LOCATIONTHE KEY TO FINDING A SUITABLE LOCATION IS:-IDENTIFYING THE CHARACTERISTICS THAT CAN GIVE ACOMPANY A COMPETITIVE EDGE & THEN FINDING ALOCATION THAT MEET THOSE CRITERIA-THE SECRET LIES IN KNOWING WHICH FACTORS AREMOST IMPORTANT TO A COMPANY’S SUCCESS & THENFINDING A LOCATION THAT SATISFIES AS MANY OF THEMAS POSSIBLE-WHAT ARE THE IMPORTANT LOCATION FACTORSFOR A MICROBREWERY?
WHICH REGION (EAST, MIDWEST, SOUTH, WEST) OF THE COUNTRY HASTHE CHARACTERISTICS NECESSARY FOR A NEW BUSINESS TOSUCCEED?-THE ENTREPRENEUR MUST PLACE THE CUSTOMER FIRST WHENDECIDING ON A LOCATION-QUESTIONS TO CONSIDER:-HOW LARGE IS THE POPULATION?-HOW FAST IS IT GROWING?-WHAT IS THE MAKEUP OF THE OVERALL POPULATION?-WHICH SEGMENTS ARE GROWING FAST?-WHAT IS THE TREND IN THE POPULATIONS INCOME?-WHAT KIND OF BUSINESSES ARE IN THE REGION?
EACH STATE HAS AN ECONOMIC DEVELOPMENT OFFICE THAT CAN HELP ANENTREPRENEUR ASSESS THE BUSINES CLIMATE OF THE STATE-FACTORS THAT AN ENTREPRENEUR SHOULD CONSIDER WHEN CHOOSING ASTATE:-PROXIMITY TO MARKETS-PROXIMITY TO NEEDED RAW MATERIALS-WAGE RATES-LABOR SUPPLY NEEDS-BUSINESS CLIMATE-TAX RATES-INTERNET ACCESS-TOTAL OPERATING COSTS
TOP 5 STATES IN BREWERIES PER CAPITA(BASED ON 2011 CENSUS DATA)PER CAPITA: PER PERSONFULL LIST IS ON CAMPUSWEB