Content area
Full Text
Beer has long played an important role in history. Nearly 90 million Americans enjoy a beer at family gatherings, celebrations, and while relaxing with friends. Beer is as American as apple pie and baseball. But we have come a long way and overcome many obstacles to get where we are today.
At the turn of the century, the beer industry was booming. Breweries sprouted up in every city, and since beer was not yet transported across country, there was stiff competition for breweries to get their beer sold exclusively in local pubs, taverns and restaurants.
Before 1919, alcohol beverage production, distribution and retailing was driven by unrestricted competition in the private sector. It was a simple two-tier system comprised of brewers and retailers. There were hundreds of brewers distributing their products within small geographic areas, and there were no national brands.
Many local producers had some type of ownership connection to the taverns. They sold to taverns on extended credit terms, furnished equipment and supplies, charged low- or no-interest, paid rebates for pushing their brands or carrying them exclusively. Since refrigeration was not used, taverns carried a narrow selection of beers. Consequently, local brewers engaged in cutthroat competition for control of outlets; this competition was certainly not known for its gentlemanly conduct. Brewers dominated retailers and controlled them "lock, stock and barrel."
Around 1910, taverns accounted for the most beer consumption, selling mainly non-pasteurized draft beer. Many workers stopped by the local tavern on the...