The Boston Beer Company, known for its Samuel Adams brand, is the largest craft brewery in the United States. It competes within the premium beer industry, which includes craft beer and premium imported beers like Heineken and Corona. Although the beer industry has been on a decline, the premium beer industry had seen a small amount of growth, and the craft beer industry had seen a surge in popularity.

1. What external factors and trends are most important to Boston Beer? Please describe how each of the following factors affect Boston Beer's profitability.

(30 points total)

General environment (10 points)

• Political/legal factors:

• Economic factors:

• Socio-cultural factors:

• Demographic factors:

• Technological factors:

Industry environment (20 points)

• Threat of entry:

• Power of buyers:

• Power of suppliers:

• Threat of substitutes:

• Rivalry: