Penn Brewery Case Study

Penn Brewery

Should an entrepreneur buy back the brewery that he launched nearly a quarter-century before?

1.

Yes, he should buy back Penn Brevery. There are lots of reason for this.They were into a successful business, their sales rate were quite considerable. They have also devoted customers for their brands. Above all, there were too much effort, experience, background information, commitment and without a doubt, passion and love for his business that he had undertaken the challenges. However, there are lots of challenges with these facts, for example he have to re-arrange the brevery to keep up with current changes nowadays. Despite all the obstacles ; he should go for it and start again.

2.

He already showed himself as a manager/leader in the business.

All entrepreneurs not have the same characteristics but they need some

extras and differences from other employees and prove themselves in that

particular thing really good. I think it is true for almost all entrepreneurs

that they have the ability to manage and potential to be a leader. But actually Tom Pastorius is better with on his own when he was saying : “I’m asolo act.” he was right.

3.

Challenges of selling a small business can be very hazardous, especially in the next 1 – 5 years. Considering Penn Brevery ; they lost all their saving, glory and attractiveness of their brand in five years.But every mistake hae a reason, in their mistake the reason was following the wrong strategies. First they lost their devoted customers afterwards sales tumbled. When Pastorius telling : “It was so hard to sit back and watch this place sink,” he must be more preservationist about the breveller. Another big mistake was sharing most of their capital with Birchmere. It have had strategic significance.

4.

If Pastoruis decides to buy the brewery it can provide him a chance to try again.

They should compromise about buying the business with a less price. By this means Tom can start with $1 million debt. Another thing is about his emotional support (from his wife Mary- Beth )and psychologically getting preapared for purchasing the brewery again. Then share his motivation and celebrate his comeback with their loyal customers and friends circle.