Tribal Brewing Equipment Company: Market Analysis and Strategy Report

This report provides a comprehensive analysis of Tribal Brewing's potential for international market expansion. It begins with an introduction to the home brew market and Tribal Brewing, followed by a SWOT analysis and the application of Porter's Five Forces. The report then screens potential suppliers and conducts both macro and micro environmental analyses to assess market feasibility. A detailed market selection process, involving multiple screening stages, identifies Poland as the most promising market. The report outlines an international engagement plan for Poland, including market penetration strategies, the 4Ps of marketing, joint ventures, McKinsey's 7S model, and a competitive posture matrix analysis. It concludes with recommendations for Tribal Brewing's product and service offerings in the selected market, emphasizing the importance of effective marketing control and monitoring. The report leverages various figures and tables to support its findings and recommendations.

Table of Contents
1 Introduction: Home Brew Market...........................................................................2
1.1 Tribal brewing............................................................................................................. 2
1.2 SWOT Analysis...........................................................................................................2
1.2.1 Strength.................................................................................................................................. 2
1.2.2 Weakness.............................................................................................................................. 2
1.2.3 Opportunity............................................................................................................................. 2
1.2.4 Threat..................................................................................................................................... 3

1.3 Porter's theory............................................................................................................ 3
1.4 Screening of the suppliers........................................................................................4
1.4.1 WEMAC beer brewery equipment manufacturer and factory.................................................4
1.4.2 FLECKS Brauhaus Technik................................................................................................... 4
1.4.3 Zhouda brewery equipment manufacturer and factory...........................................................4
1.4.4 XIMO brewery equipment manufacturer and factory..............................................................4
1.4.5 HG Machinery, China............................................................................................................. 4
1.4.6 DME Process System LTD..................................................................................................... 5
1.4.7 Meto brewery equipment manufacturer and factory...............................................................5
1.4.8 HengCheng brewery equipment manufacturer and factory....................................................5
1.4.9 Anheuser-Busch InBev (Belgium).......................................................................................... 5
1.4.10 Czech Brewery System s.r.o.............................................................................................. 5
1.5 screening of the Main suppliers :.............................................................................6
WEMAC beer brewery equipment manufacturer and factory.............................................6
2 Environmental Criteria for Business:....................................................................7
2.1 MACRO Analysis:.......................................................................................................7
2.1.1 Political................................................................................................................................... 7
2.1.2 Environmental........................................................................................................................ 7
2.1.3 Economic............................................................................................................................... 7
2.1.4 Social Factor.......................................................................................................................... 7
2.1.5 Technological Factor.............................................................................................................. 8
2.1.6 Legal Factor........................................................................................................................... 8
2.1. MICRO Analysis:........................................................................................................8
3 Potential Market Selection......................................................................................9
3.1 First Screening: 15 countries....................................................................................9
3.2 Second Screening: 10 Countries..............................................................................9
3.3 Third Screening: Selecting 5 Countries.................................................................10
3.4 Final Screening........................................................................................................10
3.5 Summary:.................................................................................................................. 12
4 International Engagement Plan............................................................................12
4.1 Tribal Brewing Equipment Company Market Penetration Strategy:....................13
4.2 The 4Ps of Polish Market :.......................................................................................14
4.3 Joint Ventures:.........................................................................................................15
4.4 McKinsey’s 7S model Approach.............................................................................16
4.4.1 Strategy................................................................................................................................ 16
4.4.2 Staff...................................................................................................................................... 17
4.4.3 Skills..................................................................................................................................... 17
4.4.4 Style..................................................................................................................................... 17
4.4.5 System................................................................................................................................. 17
4.4.6 Structures............................................................................................................................. 17
4.4.7 Shared Vision....................................................................................................................... 17
4.5 Competitive Posture Matrix Analysis.....................................................................18
4.6 Competition:............................................................................................................. 19

4.7 Marketing Control and Monitoring................................................................................19
5 Conclusion:............................................................................................................20
6 Recommendation :.................................................................................................21
7 References..............................................................................................................23
8 Appendices:............................................................................................................26

Figure 1 Porter’s Five Forces............................................................................................3
Figure 2 Modern history of the Polish Craft beer market (Wojtyra_et_al, 2019).............13
Figure 3 Simplified SWOT analysis – craft breweries on the Polish beer market Source
( Own Study )..................................................................................................................14
Figure 4 Advantages of 7’s Model (Prachi, 2019).........................................................16
Figure 5 The International Competitive Posture Matrix (Larreche, n.d.).........................18
Figure 6 Brewery Equipment Market Share in Poland (Nielsen, August 2019).............19

Table 1 GDP Comparison of Countries.............................................................................9
Table 2 GDP Comparison of selected 10 Countries......................................................10
Table 3 Comparison of Countries based on beer consumption.....................................10
Table 4 12 c's Comparison between final countries........................................................12
Table 5 4p's Analysis.......................................................................................................15

Executive Summary
The report presents the ideology of potential market for the Tribal Brewing Equipment
Company. The basic first part introduce Tribal Brewing with its atmosphere in home
brewing in UK. It also covers the justification for the expansion along with the selection
of better suppliers for Tribal company for its internationalization in other country. The
next phase carries forward various Micro and Macro Environment based analysis for
Tribal Company. In the 3rd Phase With the potential supplier being selected , the market
of various countries is listed and analyzed with Micro , macro and 12c’s Criteria , based
on which the best market is introduced for Tribal expansion. The 4th phase includes the
various ideas of market segmentation into newly selected country which is Poland in
this case alongside the best penetration strategy with monitoring perspective. The Final
phase recommends the best possible product service that Tribal Brewing can introduce
in the selected countries apart from its major goal of Brewing equipment supply.
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1 Introduction: Home Brew Market
The home brewing business has witnessed a lot of development during the last
decade. Any beverage that is produced at home is considered home brew. The
home brew market refers to the small-scale production of beer, mead, and ciders.
Home brewing has become a popular hobby among beer enthusiasts. Beer
production and delivery were primarily focused on meeting a consistent demand,
with little variation. In recent years, the home brewing sector has grown
dramatically, prompting new enterprises and entrepreneurs to begin brewing their
own beers and develop business models based on small-scale production and
minimal capital (Bamforth, 2016).
1.1 Tribal brewing
Tribal Brewing as founded in 2020, is attempting to expand the beer craft market
by sharing the industry's superior brewing equipment’s and brewing skills with
craftsmen and drinkers throughout the world.
1.2 SWOT Analysis
1.2.1 Strength
 Tribal brewing produces high-quality beer.
 It is home to the biggest number of craft beers produced by independent
breweries.
 It has a team of leaders that are involved in the country's most creative and high-
quality brewing.
1.2.2 Weakness
 The firm tend to adopt limited homogeneous aims, generally developing on a
regional scale, and to stay small, responding to the size of resources available in
their particular regions of operations.
 It has limited personnel.
1.2.3 Opportunity
 The biggest possibility for tribal brewing may be to target millennials and early
generation gen Z. The generation is more concerned with the social aspects of
consumption since society influences the majority of consumer decisions
(Carneiro, 2020).
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1.2.4 Threat
 New Marketing strategy and tactics by established companies and products
 Price increase may occur by the foreign suppliers.
1.3 Porter's theory
The fallowing Picture demonstrate the Porter's Five Forces and the process based
on which Tribal Equipment Company can evaluate their strength and weakness as
well predict the area which could affect their profit ratio.
Figure 1 Porter’s Five Forces
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1.4 Screening of the suppliers
The 10 Organizations from at least three Countries which could potentially supply
equipment suitable for home brewing are
1.4.1 WEMAC beer brewery equipment manufacturer and factory
WEMAC, a Chinese beer brewing equipment manufacturer and factory, was
founded in 1958 and employs 70 senior technicians. WEMAC offers high-quality
beer brewing equipment, technical counseling for beer breweries, employee
training, new technology research and development. They are China's leading
beer equipment maker (WEMAC).
1.4.2 FLECKS Brauhaus Technik
Situated in Austria, as a brewery manufacturer, the firm designs, produces,
installs, and integrates semi-automatic and full-automatic brewery systems all
over the world. Permanent Innovation has been and continues to be their
objective for the past 25 years (Freaks Brauhaus Technik, 2022).
1.4.3 Zhouda brewery equipment manufacturer and factory
Manufacturer of beer brewing equipment, Jinan Zhuoda Machinery Equipment
Co., Ltd. Is a large industrial beer brewing equipment factory. Craft beer brewing
equipment, teaching lab beer brewing equipment, residential beer brewing
equipment, and wine brewing equipment are among the company's primary
products. They were also a part of the project to modernize the beer making
equipment (ZHUODA).
1.4.4 XIMO brewery equipment manufacturer and factory
XIMO is one of China's most well-known suppliers and manufacturers of beer
brewing equipment. In order to supply our clients with the best equipment at an
accessible price, our firm combines the world's most advanced brewing
technology with inexpensive rates (XIMO).
1.4.5 HG Machinery, China
Shandong HG Machinery Co., Ltd. is the world's top beer brewing equipment
producer. Brewery equipment and beer canning and bottling plants are among
their products. Shandong HG Machinery Co., Ltd specializes in beer, beverage,
and fermentation technology equipment (Shandong HG Machinery Co., Ltd.,
2022).
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1.4.6 DME Process System LTD
DME is a world leader in specialized equipment design and manufacturing for
brewing, biotechnology, bioenergy, industrial food and beverage, water
treatment, decor, and marine applications. The corporate offices of DME Process
Systems Ltd. are in Charlottetown, Prince Edward Island (DME Process System
LTD, 2022).
1.4.7 Meto brewery equipment manufacturer and factory
Meto is a leading microbrewery equipment manufacturer and factory in China,
specializing in beer equipment, brewery equipment, beer brewing equipment,
and brewing systems.
1.4.8 HengCheng brewery equipment manufacturer and factory
Shanghai HengCheng Beverage Equipment Co. Ltd is a well-known China Craft
Beer Brewing Equipment Suppliers and Brew houses Manufacturers. Our firm is
based in Shanghai, China, and we specialize in the design and manufacture of
beer brewing equipment.
1.4.9 Anheuser-Busch InBev (Belgium)
Anheuser-Busch InBev is one of the major brewers in the world. It is a global
Belgian beverage and brewing corporation headquartered in Leuven, Belgium.
The company has almost 400 different beer brands. Global brands like
Budweiser, Corona, and Stella Artois, as well as foreign names like Beck's, Leffe,
and Hoegaarden, make up the Company's brand portfolio (Financial Times).
1.4.10 Czech Brewery System s.r.o.
The firm is a Czech maker of breweries and industrial lines for beer, wine, and
other carbonated beverages. They manufacture all beverage manufacturing
equipment using a classic and modern Czech design (Czech brewery system,
2022).
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1.5 screening of the Main suppliers :
On the basis of past Experience, best Market feasibility with Condition, fastest
Delivery, best Exchange rate and good trade records.
WEMAC beer brewery equipment manufacturer and factory
 Experience: 50+ Years
 Market : Over 500 projects and supply chain to 86 countries
 Delivery Ratio : Reverification of product before shipments
 Currency Exchange rate: 1-pound sterling equals 8.34 Chinese yuan (XE
Currency Converter, 2022
 World Trade relationship: Trading relationship between China and UK is
very good with low traffics policy (Refinitiv, 2019)
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2 Environmental Criteria for Business:
For Tribal Brewing to function it business successfully in the international market
can be inspected by the MACRO and MICRO analysis.
2.1 MACRO Analysis:
Macro analysis can be inspected by the external factor and wild uncontrollable
factors that affect an organization’s fundamental and administration and impact its
execution and business plan. Macro Analysis takes into various factors equally
attributed to politics, economy, society, technology, environment and legal issues
in the approaching new market for Trible Brewing.
2.1.1 Political
This has significant role in brewing companies, such as changes in licensing law
according to government may influence brewing companies’ business ratio.
Likewise, nation laws covering issues related with corruption perspective index,
political stability, product safety guides and environmental protection regulation
needs to be analyzed in proper way in entering a new market. (Claessens, 2015)
2.1.2 Environmental
Every business has to give touch of their worries to social responsibility for which
they need to be clear with environmental issues they can bring that may affects
their brand image. Alongside this, various environmental factors take places such
as weather, climate changes which will formulates the changing pollution
regulation for brewing industries. (University, 2020)
2.1.3 Economic
For new market, brewing company needs to learn about the total economic
factors associated with their spending and purchasing power. The gross
domestic product of the individual, nation GDP, real growth rate, import duty rate,
tax valuation rates and sales tax/vat rate must be properly analyzed in entering a
new market nation ( (Claessens, 2015)
2.1.4 Social Factor
Social lifestyle changes in emerging market are always influenced by income
level of consumers. Various health awareness in society has always influence
the social perception regarding the product alcoholic consumption. Socio cultural
factor considering demographic and consumer behaviors has always affected the
economic performance of multinational companies. (Masovic, 2018)
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