Creemore Springs Case Study

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Creemore Springs is a microbrewery in operation since the summer of 1987 located in the community of Creemore, Ontario. Customers of Creemore Springs beer are categorized as a niche market with interest in the brewer’s two lines of beer: Lager and UrBlock. The high quality, natural spring water, and recipe all contribute to Creemore Spring’s great tasting beer. They currently produce about 2.2 million bottles of beer each year. A recent discussion about the contract bottle cleaner’s poor performance has raised the question of whether Creemore Springs should clean their own bottles in-house.
The strengths of Creemore Springs are their access to natural spring water, unique recipe, and reputation for producing high quality beer. This reputation has earned them numerous awards since their induction in 1987. Creemore Spring’s weaknesses is their current, complex cleaning process which results in broken and chipped bottles. Opportunities available to Creemore Springs include the municipal sewer service that would provide them with financial savings when disposing of their effluent water. The current threats to Creemore Spring’s successful operation are the two major beer brands that control 90% of the beer market and the bottle cleaning contracts lack of quality control. …show more content…

These include wasted trips to and from the cleaners, costing them $15,000 per year, broken and chipped bottles, costing them $1,000 per year, and the contract cleaner’s unsatisfactory quality control. These reasons have all caused Creemore Spring’s management to consider cleaning bottles in-house. No immediate action needs to be taken by Creemore Springs to improve the bottling process but, in the long-run, dependent on the municipal sewer system pricing, cleaning in-house will save Creemore Springs lots of money and likely improve the bottle cleaning

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