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1 – 10 of 530Erol Sozen, Imran Rahman and Martin O’Neill
Centered on upper echelons theory, this study aims to examine the interplay of US craft brewery owners’ green consumption values, environmental attitudes and environmental…
Abstract
Purpose
Centered on upper echelons theory, this study aims to examine the interplay of US craft brewery owners’ green consumption values, environmental attitudes and environmental proactivity of their craft breweries. In addition, the moderating role of business challenges on the effect of environmental attitudes on environmental proactivity is assessed.
Design/methodology/approach
An online questionnaire was distributed to a convenience sample of US craft brewers through the Brewers Association Brew Forum Blog. A total of 237 valid responses were received. Structural equation modeling was used for testing hypothetical relationships among key constructs in the proposed research model: environmental values, environmental involvement, environmental sustainability practices and business challenges.
Findings
The results showed that green consumption values positively and significantly influenced environmental attitudes and environmental proactivity. Findings also confirmed the significant positive influence of environmental attitude on environmental proactivity. Furthermore, business challenges moderated the relationship between owners’ environmental attitudes and environmental proactivity of the breweries such that the higher the extent of business challenges weaker is the relationship between environmental attitudes and environmental proactivity.
Originality/value
It is accepted that upper management’s individual beliefs surrounding environmentalism are a contributing factor to the environmental management policy of their company. However, there is very little empirical evidence to demonstrate the impact that these values have in a tangible sense. To satisfy this deficit in the research, the study aims to analyze the relationship between the brewery owners’ environmental outlook and the sustainability practices of their brewery, regarding the former as a key psychological characteristic, which influences and motivates the direction of the latter.
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Sascha Kraus, Patrycja Klimas, Johanna Gast and Tobias Stephan
The purpose of this paper is to highlight the specific types of coopetition between small and medium-sized craft breweries and related businesses, as well as its drivers and…
Abstract
Purpose
The purpose of this paper is to highlight the specific types of coopetition between small and medium-sized craft breweries and related businesses, as well as its drivers and outcomes.
Design/methodology/approach
Qualitative research was carried out using in-depth, semi-structured interviews with 18 different small and medium-sized enterprises (SMEs) combined with site visits and secondary data analysis.
Findings
The results reveal that craft breweries are engaging in coopetition in several different ways. Mutual benefit, trust, commitment, and sympathy are the crucial drivers for coopetition; whereas innovation development, market reach and marketing, as well as firm growth represent the key shared outcomes of coopetition.
Research limitations/implications
This study suffers from two main limitations, including the focus on coopetition of craft breweries operating in German-speaking countries only and the risk of subjectivity in analysis and interpretation due to the qualitative, explorative nature of the research.
Originality/value
The findings reveal insights into the uniqueness of SMEs – specifically craft brewers – regarding coopetition, which is currently of strong cooperative nature. This study completes prior coopetition knowledge by revealing the importance of coopetition for small, micro and resource-constrained firms operating in dynamic and innovative but traditional (here craft) industries; presenting the cooperation-based type of coopetition as a good competition strategy under fierce competition from large, more established and global business rivals; and identifying sympathy as an important coopetition driver.
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This paper aims to investigate the locational determinants of the craft beer industry in Budapest, Hungary, between 2009 and 2022.
Abstract
Purpose
This paper aims to investigate the locational determinants of the craft beer industry in Budapest, Hungary, between 2009 and 2022.
Design/methodology/approach
The authors use various count data models to determine the relationship between the number of microbreweries and locational factors.
Findings
The authors find that demand and supply-side factors, including income, unemployment, level of education, population density and the number of local businesses, affect the number of craft breweries. Whilst agglomeration effects proxied by breweries per capita in a district have a positive coefficient, the number of breweries in neighbouring districts is not significant. In addition, the authors do not observe any negative impact of COVID-19-related restrictions. The picture of a still-evolving, resilient craft beer sector emerges from our analysis.
Originality/value
To the best of the authors’ knowledge, this is one of the first specific studies on the craft beer sector in the Central and Eastern European region and the first to evaluate the location choices of craft breweries in Hungary within a municipality using an up-to-date data set. The authors’ analysis covers 14 years, from the early stages of craft brewery proliferation in Budapest until 2022, testing several hypotheses with respect to the location choices of these businesses.
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The revival of the modern craft beer industry has been attributed to people rediscovering their tastes for authentic and hand-crafted products from small, local and independent…
Abstract
The revival of the modern craft beer industry has been attributed to people rediscovering their tastes for authentic and hand-crafted products from small, local and independent firms – notable in many sectors ranging from food and alcohol products to textile and furniture. While one of the grounding principles of the craft beer sector has been serving the local community, some brewers started to explore growth opportunities beyond their national borders. Some did so by pure excitement and prestige of sending their beers overseas; others sensed that their domestic markets were becoming flooded by other craft beer brands or ‘craft-washed’ beers from large beer companies. This chapter explores two sides of this going-international story – its promise and perils. The promise of international growth represents the fulfilment of the entrepreneurial mission, the opportunity to collaborate on a global level or the result of positive country reputation. While the perils of crossborder venturing are formed by country-level differences (rules, values and culture), the author brings to the fore that the socially constructed and fluid definition of craft beer forms unique constraints. The author particularly explores how the sector’s cultural boundaries and competition for authenticity with large beer companies act as liabilities during internationalisation. This chapter contributes to the extant literature on firm internationalisation by focussing on a unique dataset of internationalising craft breweries from four small open economies (Australia, New Zealand, Denmark and the Czech Republic). In that sense, it also provides valuable insights to practitioners and the general public.
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A popular narrative connects craft breweries with revitalisation of cities, neighbourhoods or communities, particularly in locations that have suffered from deindustrialisation…
Abstract
A popular narrative connects craft breweries with revitalisation of cities, neighbourhoods or communities, particularly in locations that have suffered from deindustrialisation. Research, too, associates craft breweries with job creation, development of local economies, and with entrepreneurship, crafts production, and do-it-yourself culture. Human geographers link craft breweries with contemporary place-making and neolocalism. Neolocalism, a revived appreciation of local ingredients and production, has become both a societal phenomenon and a business proposition. Based on key indicators for neolocalism, this chapter evaluates to what degree the narrative linking craft breweries with revitalisation, neolocalism and community-building holds for seven studied Finnish craft breweries. The cases presented herein offer a more nuanced view of the phenomenon and open the narrative to variations and richer interpretations. The chapter takes a critical view on narratives that enable, maintain and create societal phenomena such as the craft beer revolution, and it adds to the growing literature on the context and consequences of craft breweries.
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Abel Duarte Alonso, Nikolaos Sakellarios, Nevil Alexander and Seamus O’Brien
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…
Abstract
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.
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Abel Duarte Alonso, Nikolaos Sakellarios, Nevil Alexander and Seamus O’Brien
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…
Abstract
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.
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Erol Sozen, Martin O’Neill and Imran Rahman
Craft brewers in the USA have long sought to improve the efficiency of beer production to achieve their primary aims of improving the product and increasing profit margins. More…
Abstract
Purpose
Craft brewers in the USA have long sought to improve the efficiency of beer production to achieve their primary aims of improving the product and increasing profit margins. More recently, however, there has been a move toward the adoption of more sustainable production techniques aimed at reducing the environmental impact of the brewing process itself. This study aims to investigate the factors that drive engagement with environmental practices among US craft brewery owners.
Design/methodology/approach
The present study uses an exploratory sequential mixed methods design where, first, a qualitative thematic analysis was conducted via semi-structured in-depth interviews with 31 craft brewers from across the USA. Second, a quantitative online survey was distributed to craft brewers nationwide, and 237 valid responses were collected to rank the preidentified motivational factors.
Findings
The findings of the present study are in alignment with those of previous studies conducted in a broader business context. This study contributes to an understanding of the factors driving environmental engagement, as well as their relative significance to craft brewers, which is critical to increasing the ability to target financial and physical resources and make the brewing process more sustainable and environmentally friendly.
Research limitations/implications
The study has theoretical and practical implications for craft breweries, policymakers and academics. From the perspective of policy, there is limited work exploring this topic in the specific context of craft brewing. This study, thus, contributes to an understanding of the factors driving environmental engagement, as well as their relative significance to craft brewers – which is critical to increasing the ability to target resources, both financial and material, and make the brewing process more sustainable and environmentally friendly.
Originality/value
Identifying exactly what it is that guides the decision-making processes of craft brewery owners, in regard to the adoption of new or improved environmental practices, has several advantages. First, it serves as a guide to help breweries adapt to the evolving needs of a progressive society; second, it assists government and policymakers in formulating effective and relevant legislation; and third, it helps consumers to better understand their role and position in business processes and decision-making.
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Nadine Waehning, Gary Bosworth, Ignazio Cabras, Ekatarina Shakina and Franziska Sohns
The paper examines the sudden changes and challenges experienced by British craft breweries because of COVID-19. The purpose is twofold; firstly, to evaluate the overall growth…
Abstract
Purpose
The paper examines the sudden changes and challenges experienced by British craft breweries because of COVID-19. The purpose is twofold; firstly, to evaluate the overall growth trajectory of the craft brewing sector prior to the pandemic crisis and, secondly, to identify features of resilience and adaptability that aided business survival.
Design/methodology/approach
The authors conducted 24 interviews with a sample of craft brewers during 2020, supplemented with a focus group later in 2021, to understand the impacts of COVID-19 on their businesses. Inductive thematic analysis followed a flexible six-stage approach to generating codes. Qualitative findings were set in the context of the pre-COVID-19 industry trends which were analysed using panel data from the Society of Independent Brewers' (SIBA) Annual Surveys between 2015 and 2018.
Findings
Findings from the analysis reveal a range of factors influencing growth in the UK craft beer sector before the pandemic crisis, such as levels of investment and local network ties, and identify a range of strategies implemented by brewers in response to the crisis, including new packaging and supply channels, more intensive marketing and greater online engagement with customers. Analysis of the intersection between aspects of individual and organisational resilience also revealed that dynamic responses to an external crisis depend on individual resilience characteristics before organisational strategies can be developed.
Originality/value
The study provides fresh empirical evidence to practitioners and policymakers to help forecast and future-proof the UK craft beer sector, as well as elucidating aspects of resilience that apply to SMEs in the global industry who face similar challenges. Moving towards a post-COVID-19 economy, the paper offers important theoretical insights into how the resilience of breweries, and other SMEs, is shaped by complex interdependencies and networks and how their adaptive responses might strengthen future business models.
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They are as follows: to identify strategic growth opportunities for SMEs in the South African craft beer industry; to understand the complexities associated with operating a craft…
Abstract
Learning outcomes
They are as follows: to identify strategic growth opportunities for SMEs in the South African craft beer industry; to understand the complexities associated with operating a craft beer SME in the South African alcohol sector and analyse the SME’s strategic decision-making process that happens as a result; to understand the challenges and identify opportunities for entrepreneurship and growth in an emerging economy and niche segment; to develop a differentiation strategy for a small player in a competitive market; and to impart industry-specific knowledge and insight on the craft brewing industry.
Case overview/synopsis
The case is centred on the challenges that Hein Swart, managing director of Mitchell’s Brewery, is facing in sustaining business operations amid heavy regulations and increasing competition from existing craft breweries. In addition, there is the entry of a different type of competitor into the South African market that did not exist previously. The case narrative broadly presents several industry themes that interact with each other and create the existing complexities.
Complexity academic level
This case is targeted at postgraduate business school students with some work experience who want to build their critical thinking, business management and strategic decision-making skills such as Masters of Business Administration (MBA) and Executive MBA academic programmes, and also delegates on Executive Education programmes. The case is expected to be used as a case study for courses in entrepreneurship and strategic management; however, it can also be applied in strategic marketing courses.
Supplementary materials
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Subject code
CSS 3: Entrepreneurship
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