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Case Analysis: Cooley Distillery

Decent Essays

Hesha Shah
STRT 4501: Cooley Distillery
03/12/2018
"Cooley Distillery: The Independent Spirit of Ireland" is a "David and Goliath" case surrounding Cooley Distillery, which is the only independently owned Irish whiskey distiller in the world. Located in Ireland, the company has managed to survive strong competition in the oligopolistic category of Irish whiskey in the global spirits industry for 25 years. The non-listed public company has remained a niche player despite gaining a staggering reputation for quality and innovation in its offerings. One of the biggest problems faced by the company is that in all these years, Cooley Distillery has never managed to pay any dividends to its 290 shareholders and John Teeling, the founder and chairman …show more content…

Cooley's has some great strengths attributed to its traditional method of distilling Irish whiskey in prime climate, which is perfectly suited to distill quality whiskey, further complimented by their access to native materials required for this process. Cooley's competitive advantage arises from the uniqueness of his product coupled with the fact that it was "small, independent, and Irish" (Kennelly, 14). While these strengths have helped Cooley reach where it has today, distribution and mass marketing are a few of the weaknesses holding the company behind as it struggled to get its products on shelves. This can further be attributed to the vast multinational competition and few funding outlets. Due to this limitation in funding, Teeling was in a way forced to reinvest all of Cooley's profits back into the business. As mentioned before, this reinvestment led to no dividends being circulated amongst its shareholders but fortunately, this also led to a loyal base that has supported the company since its inception. Teeling believes that this patience would be rewarded with continual growth of the company. Although the company has no form of funding for its marketing efforts, Teeling has managed to make a few improvements and expansions in its facilities to boost efficiency and provide extra storage in the warehouse. With the high competition in this market, the company had to up its game. For example, providing bulk whiskey sales and private labels in supermarkets and other stores are good ways to curb competition. But even though these strategies might have helped the company in the past, it is important for Coolery to focus on adopting a new strategy that would help the company grow in the long

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