Beer Industry In Italy And Canada Comparison

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Introduction

Beer is one of the most used beverages in the world next to coffee and tea. The beer industry therefore as we can imagine is one of the biggest industries in the world with many competitors inside of the industry. It is not surprising that many different kinds of beer and a variety of brands can be found in both Italy and Canada,and both of the countries has a long history of development of brewery industry as well.

In this article,we are going to compare both of the countries’ markets,industry condition,cultural differences,political background and so forth,all those information will be taken into consideration,and be processed to make the final decision on which county environment is more suitable and beneficial for us to invest into.

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Some theories are going to be applied to analyse the cultural dimensions of both countries,such as Hofstede’s cultural dimensions,and SWOT analysis,Porter’s Five Forces Model.

Methodology

What method do you use to compile your factbook and why?

The methods i use to compile my factbook is that i are going to apply some frameworks from respected authors that are most applicable to my chosen industry (beer industry) such as Hofstede,SWOT analysis and Porter’s five forces.

What prime theory and approaches do you draw on and why?

Hofstede’s Cultural Dimensions

Hofstede measures the cultural dimensions differences in different countries. There are five dimensions in this framework,namely the Power Distance Index (PDI),the Individualism-Collectivism,Masculinity-Femininity and Uncertainty Avoidance. Since Hofstede measures cultural dimensions,therefore it will be used in the cultural system page of the paper when the cultural aspects are discussed.

SWOT Analysis

SWOT is the abbreviation for Strengths,Weaknesses,Opportunities and Threats. It is an analytical framework to help summarize in a quick and concise way the risks and opportunities for a certain company,for my case the beer industry in two different countries,Canada and Italy. The SWOT analysis looks into internal factors within the company/industry/country (Strengths and Weaknesses) and external factors outside the company/industry/country (Opportunities and Threats). This method will eventually help us to look at the main positive,(strength and opportunities),and the negative,(weaknesses and threats),sides of both countries when comparing. Initially this should help us decide on which country would be most attractive to invest in the beer industry. For this reason,this method will be used at the end of the paper,which will give us an conclusive overview of the both countries.

Porter’s Five Forces Model

Porter’s five forces model argues that there are five forces in an industry to determine the extent and scale of the competition. These five forces affect the industries’ attractiveness. It is an efficient tool to analyse competition in the industry. In this model,five forces are the threat of substitute products or services,the threat of the entry of new competitors,the intensity of competitive rivalry,the bargaining power of customers,and the bargaining power of suppliers.

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