(This is an executive summary of a business case on the Wine Industry by Thunderbird, the Garvin School of International Management)

1. SECONDARY RESEARCH ASSIGNMENT
(This is an executive summary of a business case on the Wine Industry by Thunderbird, the
Garvin School of International Management)
The Wine Industry: A Dive into Ancient and Modern Era
The Drivers of Competitive Advantage in the Modern Wine Industry
The evolution of wine industry is a culmination of decades of study on viticulture and
winemaking. From the ancient world to the present day, the industry saw different facets of
transformation which has resulted in a worldwide production and consumption of wine
today.
The act of colonialization influenced, in major part, the production, consumption, and
transportation of wine in the ancient world. The global trade and colonializations in the
ancient era triggered the spread of knowledge among cultures, laying the groundwork for
future civilizations to sustain the growth of the industry. In addition, the ancient culture
adopted wines as an integral part of religious ceremonies. It became a cornerstone of the
rising demand for high quality wines, which were offered to the Greek and Roman deities.
As a result, the Europe and the Mediterranean region became the focal point of wine
production and for creating new consumer markets of wine in the early era.
The middle ages saw thriving wine industry, yet at a moderate pace. As the knowledge of
viticulture transferred from one generation to the other, the manufacturers were able to
keep up with the growing demand and evolve the quality of wine by discovering new
sources of production. The advent of glass wine bottles sealed with cork helped wine last
longer and age better.
The industry faced a major challenge in the face of an epidemic of phylloxera, which beset
the production of wines for many decades. More trouble surfaced as a result of the social
changes which surrounded Europe in the nineteenth century, changing the global perception
towards alcohol consumption.
The drivers of growth of this industry in the modern era transcend the traditional approach
and methods of wine production. The application of new technology coupled with new-found
expertise overcomes the traditional barriers of production and conservation of wines. As a
result of continuing consolidation in the new era markets and adoption of adept marketing
strategies, the wine industry continues to flourish and remain globally competitive even
today.
Wine Making a Global Industry
The increasing popularity of wine consumption in the modern era has paved the way for
extensive competition and the arrival of new players in the market. The industry has
become a cynosure of new entrants given the significant potential for growth and expansion
of the wine sector. This can be attributed to low barriers for entering the business, low
volume of the market, and less need for high technology. The new innovations and changes
in the production, storage, and sales methodologies further add to the attractiveness of this
sector. While the old players are trying to penetrate deeper into the market, the new
entrants are doing the groundwork to establish their image and compete with the old.