Company+1+comparison+(waiting+on+the+ratio)

__**Industry Analysis/ Competitive Comparison.**__

__**Boston Beer**__

Boston Beer is an American brewer of several flavoured beers. Boston Beer has 12 different varieties of beer and they are divided into the five categories they are; core beers, seasonal beers, extreme beers, imperial beers and barrel room collection. According to their financial statement analysis on MSN money, their ratios are as follows;


 * ~ Financial Condition ||~ Company ||~ Industry ||~ S&P 500 ||
 * Debt/Equity Ratio || 0.00 || 0.23 || 1.13 ||
 * Current Ratio || 1.6 || 0.8 || 1.4 ||
 * Quick Ratio || 1.2 || 0.6 || 1.1 ||
 * Interest Coverage || NA || 5.8 || 33.8 ||
 * Leverage Ratio || 1.5 || 2.4 || 3.7 ||
 * Book Value/Share || 12.41 || 8.90 || 21.81 ||


 * ~ Profit Margins % ||~ Company ||~ Industry ||~ S&P 500 ||
 * Gross Margin || 53.2 || 54.1 || 39.4 ||
 * Pre-Tax Margin || 15.3 || 20.4 || 16.4 ||
 * Net Profit Margin || 9.2 || 15.5 || 11.9 ||
 * 5Yr Gross Margin (5-Year Avg.) || 53.2 || 34.1 || 38.3 ||
 * 5Yr PreTax Margin (5-Year Avg.) || 10.1 || 10.7 || 15.9 ||
 * 5Yr Net Profit Margin (5-Year Avg.) || 5.7 || 8.1 || 11.2 ||


 * ||~ Management Efficiency ||~ Company ||~ Industry ||~ S&P 500 ||
 * Income/Employee || 51,749 || 44,019 || 99,932 ||
 * Revenue/Employee || 563,465 || 248,903 || 894,463 ||
 * Receivable Turnover || 17.0 || 13.0 || 14.5 ||
 * Inventory Turnover || 8.4 || 6.3 || 10.7 ||
 * Asset Turnover || 1.7 || 0.6 || 0.8 || ||

In terms of profitability ratios in comparison to our company Island beer, our profit margin is 8.78% and Boston beer has a profit margin of 9.2%. This means our major competitors are doing slightly better than us and we have to minimize costs and maximize profits to exceed the profit margin of our competitors. In comparison to the industry, Boston beer has a low profit margin also because the industry margin is 15.5% which means that Island beer need to also maximize its profits to exceed what other companies are doing. This could be done by emulating what the competition is doing and doing it better. For example, Boston Beer has various flavours of beer so Island beer could branch into these possibilities.