Beer industry is one of the oldest industries particular in EU as it is one of the biggest beer consumption markets. This industry has seen fluctuation of the demand and consumption of the beer over the last quarter of 20th century due to many factors. This analysis will look in to those factors by taking into account the case given and will analyze the general reasons, growth and effects of the industry keeping in mind the macro-environment and its main component such as political, legal, environmental, economical, technological, social- cultural, and international aspects.
Furthermore industry analysis will be discussed in details by analyzing the critical factors such as the threats of new …show more content…
Forcing a very limited pubs and bars opening hours will reduce the consumption of the beer by a large margin. It is defiantly a negative effect on the business and high chance of getting harder in the near future.
The well known negative effects of alcohol on the public health means that it would cost more to the government’s health sector annual budgets. The government will try to decrees the consumption of alcohol as much as possible as alcohol related health cost are rising on the government. It is a negative effect on the industry as customers are discouraged to drink alcohol as it carries health risks. Other factors may also include to limitation on the issued licenses for the breweries to make beer, which means less breweries. Over all the political side of the macro-environment remains negative for the industry in short and long terms as anti-alcohol sentiments are echoed in the legal and political section of the EU.
The advancement of the technology has affected the way businesses are operated and products are produced. The use of robot in the brewery for the propose of production line, assembly line and in particular packaging of the product has been used significantly and reduced the reliability of the labour and their costs and overheads. The on time tracking of the barley to the brewery and finished