Abstract:
Pre-start-up planning s value has been disputed by researchers in the recent past.
The need for this research originates from the requirement, proposed by most of the
conflicting research, to better understand the content of pre-start-up plans and its
influence on business success. By better understanding specific pre-start-up
planning activities and the influence that these activities have on planned
businesses, entrepreneurs can identify and exploit opportunities more efficiently.
The research investigated the activities that new South African craft beer companies
engaged in before establishing their breweries and assessed how the pre-start-up
planning activities influence brewery development. An interview framework was
developed from key concepts that emerged from the literature review. The
framework was used to assess points of difference between small and large
breweries in their planning activities and the influence it had on their business
historic and anticipated future development. Twelve founders of South African craft
beer companies younger than 5 years old, with production capacities ranging from
500 liters beer per month to 250 000 liters beer per month, were interviewed. The
data gathered allowed for an assessment of small and large breweries planning
practices.
From the interviews it emerged that entrepreneurs have two options when
developing a South African craft beer business with different plan content
requirements. The key difference in these options being the origen of planning
informaiton used in the development of business plans (either pre-start-up or later in
the business development process). The outcome of this research could guide plan
development by entrepreneurs and support the development of successful new
business.
