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Question: shannons brewery is a newly opened microbrewery of craft beers...

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Shannon’s Brewery is a newly opened micro-brewery of craft beers located about a mile from Samantha Springs in Keller, Texas. According to Shannon Carter, (owner, founder, and brew master) Samantha Springs “is an exceptional water source.” “It’s surrounded by a very unique rock formation that has very, very hard compressed rocks that have been hollowed out with this very fine sand. The water travels for miles, and the end product is this filtered water that is just phenomenal.”

Shannon Carter crafts what the brew master calls “wholesome beers” made with the highest quality, non-GMO grains and malts available and brewed using techniques garnered from his Irish heritage. Shannon’s mission statement closely reflects this philosophy. According to Shannon Carter:

“Our award-winning beer is brewed with the best stuff on earth: pure spring water, whole grain, whole flower hops and a whole lotta love! For us, “brewed with the best stuff on earth,” is much more than a saying…it’s a guiding principle. Paramount to this commitment is our multi-step fire-brewed process.”

What makes Shannon’s beer great?

  • Pure Samantha Springs Water — We start the brewing process with pure Samantha Springs water — straight from the spring, through our filtering system, right into our brewing tanks — no chlorine, fluoride or any other treatments…just pure spring water.
  • Fire Brewed Process — Our beer is brewed using an old-world fire-brewed process handed down by the founder’s great grandfather. This process enables us to precisely control enzyme activity, produce superior malty flavors and delicately caramelize our sugars — creating truly wonderful and unique beers.
  • All-Natural & Wholesome Ingredients — We use pure spring water, quality malted barley and whole flower hops in all of our brews. This provides our beer a complexity, flavor profile and aroma that is wholesome, natural and truly enjoyable.
  • Patience — Great beer takes time — it requires patience in brewing, fermenting and especially aging. Our beers are allowed to age properly, ensuring a wholesome and great tasting beer.

Table 1 summarizes the sales in gallons of beer and dollars for Shannon’s and its major competitors in the DFW area. Also contained in the exhibit are estimates of total beer sales for 2014 in the counties comprising Shannon’s relevant market area. These counties include Dallas, Denton, Tarrant, Collin, Wise, and Cook.

Table 1. Sales Data for Four Craft Beer Brewers in the DFW Area.

Craft Beer Sales Data

Question 1 10 pts Assume that Shannons brews 3519 barrels of beer in FY 2014. What will be Shannons absolute unit market share in barrels sold during that period? Round your answer to two decimal places but do not include the percent sign. For example, if your answer is 6.7577%, round to 6.76% (again, do not include the percent sign). Question 2 10 pts1/23/2019 There are typically 31 gallons of beer in a standard barrel. What is Shannons market share in gallons if it produces 3493 barrels in 2014? Express your answer in percent to two decimal places. Do not include the % symbol. For example, if you compute a market share of 5.785 percent, you should enter 5.79 Question 3 10 pts Assume that Shannons brews and sells 3639 barrels of beer in 2014. What will be Shannons relative unit market share compared to its largest competitor in the DFW area? Express you answer in percent to two decimal places. Do not include the % symbol. For example, if you compute a market share of 5.785 percent, you should enter 5.79

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