Maguey Melate: Mission-Driven Mezcal

Name: Maguey Melate: Mission-Driven Mezcal (English version)
SKU: W37585

Tara Ceranic, Jennifer Miles

Product #:W37585

Supplier:Ivey

Discipline:Entrepreneurship, International Business

Setting:Mexico, 2024

Details:Case (PDF) • 16 pages • 2024-07-26

Subjects:

Decision making Corporate social responsibility Environmental sustainability Decision making and problem solving Corporate governance Business and society Business management Entrepreneurship International business

Geography:

North America Mexico

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Dalton Kreiss founded Maguey Melate in 2018 to bring authentic, traditionally crafted mezcal from small producers in Oaxaca, Mexico directly to consumers. In early 2024, he faced fierce competition from cheaper, mass-produced alternatives. Maguey Melate's mission-driven model, focusing on authenticity, sustainability, and social responsibility had garnered success but now confronted the need to either adjust to compete with rivals, maintain its ethos despite challenges, or cease operations.

Learning Objectives

Following the case discussion students will be able to do the following:

Explain the competitive landscape of the mezcal market.
Create and compare potential strategies for Maguey Melate to adapt and thrive in a changing market environment.
Analyze Maguey Melate’s unique business model, including its mission-driven approach, direct sourcing from small producers, and subscription-based sales.
Consider the business and societal implications of mission-driven companies using sustainable, traditionally produced products compared with companies using low-cost, mass-produced alternatives.
Appreciate the tensions between social and environmental missions and financial concerns at mission-driven organizations like Maguey Melate.
Evaluate the effects of business decisions on all stakeholders using the stakeholder analysis approach.