Because of his press for studies, Larry Brownlow

decides to contact and use the research firm, Mansion and Associates. The senior

research analyst, John Rome, presented several research studies to Larry to help him

make the most informative decision but each study at a different price. This decision

including which studies to purchase along with the final decision of investing $400,000

in a distribution center is one that needs plenty of thought and proper analysis. If Larry

opens the distribution center in Montana, he will have to decide whether to sell to

wholesalers or retailers, as well as the price at which he’s going to sell the beer.

SWOT Analysis

Strengths

The Coors brand recognition. Consumers are already aware of the Coors brand, as it

is the 5th

largest beer distributor in the United States. It’s stated that Coors doesn’t

spend as much money on advertisements as other competitors do because of its already

known name. This means that Larry would have to also spend less on advertisements

and product positioning in supermarkets because of the awareness of the brand. He will

also have to spend less on advertisements promoting the premium product. Another

strength is the high demand for the distribution center in Montana. Based on the

questionnaire given to potential customers, 81.2% of the people said they will definitely

or most likely buy Coors when choosing a beer. Based on this percentage, it’s highly

probably that a Montana distribution center will prosper. Another strength for opening

the distribution center is the high quality of the product. Larry won’t be pushing a

lower-quality product that would need much more advertising and promotion.

Weaknesses

The price of Coors is a weakness. Although it’s considered a premium product, the

people of Montana might not