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Sleemans Case Study

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Sleemans Case Study
Table of Contents:

1. Introduction ---------------------------------------------- Pg 3

2. Problem Statement -------------------------------------- Pg 3

3. Analyzing Case Data: I. Industry Analysis --------------------------------Pg 3 II. Competitive Analysis --------------------------- Pg 4 III. Porters Five Forces ------------------------------Pg 4-5 IV. Internal Analysis ---------------------------------Pg 5-6 V. Financial Analysis --------------------------------Pg 6-7

4. Alternatives --------------------------------------------------Pg 7

5. Recommendations ------------------------------------------Pg 7

Introduction:
Sleeman Breweries is back on the streets after a (much earlier) run-in with the law. After being forced to sell its brewery in 1933 to pay taxes on beer smuggled into the US in defiance of its Prohibition laws, the Canadian brewer opened the taps once again in 1985. The company's brands include Sleeman, Upper Canada, Okanagan Spring, Seigneuriale, Shaftebury, and Maritime Beer. It also owns Quebec microbrewer, Unibroue. The company's beers are sold in Canada, the US, and the UK. Sleeman Breweries has been a subsidiary of Japan's Sapporo Breweries since 2006. SBL was rated as one of Canada’s best managed companies

Problem Statement: Chantel Dumont is an investor who is interested in investing in Sleeman Breweries Limited. Dumont is evaluating whether the risk and opportunities provided by the investment in SBL will be a wise decision. Dumont knows the risk of investment but her problem is that she needs to decide whether the future potential of SBL will outweigh the risk of investing.

Analyzing Case Data:
Industry Analysis: The Canadian Brewing Industry accounted for $7 Billion of sales in 1999, the industry sales had increased in 1998 but fell in 1999.
The Canadian industry has rationalized considerably through mergers, acquisitions and new microbrewery spinoffs, and continues to do

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