This video shows how Steam Whistle Brewery perfectly exemplifies the focus strategy as explained in Porter’s Generic Strategies. Although the massive beer industry offers a very diverse range of products and competition, Steam Whistle (founded in 2000[1]) has been very successful in establishing their position in the market through implementing the focus strategy. As Steam Whistle only produces one product, the entirety of the companies time and resources are devoted to making their product be the best. This devotion enabled them to see the opportunity to enter the market in the first place, as well as enabled them to compete and succeed against the best beers in the world, despite being newly established. Their single product specialization has added an element of differentiation to their product, which would make it near impossible for another company to enter the market and compete with or replace them. However, although this strategy certainly has its benefits, what would Steam Whistle do if a new product were introduced that replaced the demand for pilsener beer? Could the foundation of Steam Whistle’s be undermined by a change in consumer taste? How could Steam Whistle reform their entire business model to adapt to new consumer wants?

Link to Video: http://www.theglobeandmail.com/report-on-business/small-business/starting-out/steamwhistlemp4/article14675470/

Link to Porter’s Generic Strategies (also on connect): http://www.quickmba.com/strategy/generic.shtml

Another interesting link about the birth of Steam Whistle: [1]: http://www.theglobeandmail.com/report-on-business/small-business/starting-out/two-fired-guys-poured-ambition-into-steam-whistle/article14662456/