Jungle Beer: An Entrepreneur’s Journey
This case follows Aditya Challa, a craft beer aficionado whose passion for good beer led him on an international quest to study the art of brewing in Scotland and eventually to Singapore, where he started a microbrewery business with his friends in 2011. By October 2012, sales of his craft beer have been increasing 20% per month, bringing up his production to about one-third operating capacity.
However, future growth remains uncertain — with specific challenges in distribution and branding. Craft beer is still a relatively unknown concept in the city-state, and consumers remain skeptical of premium priced local beer. Moreover, big breweries in the Singapore market have already locked down most retailers with exclusive draft contracts. Challa has to review his business model and growth strategy in terms of how and where he can sell his beer while continuing to build the Jungle Beer brand.
This case can be used to explain how to apply strategic concepts to the alcoholic beverage market in Singapore from the perspective of a new start-up. Students will be in a position to evaluate risk-return trade-offs, and recommend a growth strategy that recognises an appropriate marketing mix that addresses the marketing nuances between goods and services business models.
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