Corporate Social Responsibility and Shareholder Reaction by C. Flammers

1042 Words3 Pages

Since the case study was written, New Belgium has added to its product line with beers divided into these different categories: Year Round, Seasonal, Revival, Hop Kitchen, and Lips of Faith (New Belgium Brewing, n.d.). NBB still calls Fort Collins, Colorado home (New Belgium Brewing, n.d.). However, in 2015 they will be opening up a location in Asheville, North Carolina to reach the East Coast (New Belgium Brewing, n.d.). They now are currently selling beer in 32 states, and produced 764,424 barrels of beer in 2012 (New Belgium Brewing, n.d.). Despite it’s growth it is still the third largest craft brewery, and eighth largest brewery in the United States (New Belgium Brewing, n.d.). They are still largely into the sustainability movement, and have a whole section of their website devoted to their sustainability efforts (New Belgium Brewing, n.d.). They are also still promoting events including their own, such as the Tour de Fat and Clip Beer & Film Tour (New Belgium Brewing, n.d.).

There strengths as a company would include their uniqueness and whimsy. It is rare for a beer brewery to be so devoted to being socially responsible. The ethical culture has been in engrained in their employees, who follow the company’s core values and beliefs (Ferrell & Hartline, 2011). As mentioned in the case study, consumer suspicion is notably high (Ferrell & Hartline, 2011). Having consumer support of their socially responsible actions has been a definite strength that makes them stand out amongst competitors.

A weakness for them could also be their focus on their responsibilities to the environment. While they are focused on these things, which ethically strengthen their company, their competition is out-pacing them in sales. They have remai...

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... issuing press releases and reports highlighting the environmental friendliness of cans and disputing claims that product quality was suffering” (Bundy, Shropshire, & Buchholtz, 2013).

References

Bundy, J., Shropshire, C., & Buchholtz, A. K. (2013). Strategic Cognition and Issue Salience: Toward an Explanation of Firm Responsiveness to Stakeholder Concerns. Academy Of Management Review, 38(3), 352-376. doi:10.5465/amr.2011.0179
Ferrell, O.C. & Hartline, M. (2011). Marketing Strategy. 5th edition. South-Western/Cengage Learning.
Flammer, C. (2013). Corporate Social Responsibility and Shareholder Reaction: The Environmental Awareness of Investors. Academy Of Management Journal, 56(3), 758-781. doi:10.5465/amj.2011.0744
New Belgium Brewing. (n.d.). Retrieved from http://www.newbelgium.com/home.aspx
Sierra Nevada. (n.d.). Retrieved from http:// www.sierranevada.com

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