Spanish Wine Industry

Spanish Wine Industry
Marieshka Barton Wines of Spain Prof. Newton June 15, 2015
Spanish Wine Marketing and Sales Sonoma State University's Wines of Spain 2015 summer class
introduced students to Northern Spain's prestigious Penedès, Priorat, and Rioja wine regions.
Production and marketing professionals from eight wineries hosted our student group and provided
facility tours and insights on production, marketing, and exporting. This paper focuses on Northern
Spain's wine industry's legal regulations, tourism, stewardship, communications, and exports
through the lens of wine business marketing. The paper concludes with marketing recommendations
relevant to new ... Show more content on Helpwriting.net ...
Since the 1990's, Spain has entered the global market to claim its position as a high–quality value
wine producer (www.winesfromspain.com). Spain's rich wine history together with it's relatively
new global market entry and cost leadership strategy makes an interesting blend of old world and
new world characteristics. State of the Industry Wine is a significant part of Spain's cultural identity
and economy. The sector represents Spain's third largest agriculture crop after cereals and olives,
and it leads the world in vineyard land with 1.16 million hectares (www.foodswinesfromspain.com).
However, most the land is arid and sparsely planted. Yet, it holds third position globally in wine
volume produced (Rubio, 2010). Although Spain has a traditional wine and food culture, domestic
consumption continues to decline. The decreased consumption is attributed to strict drunk driving
laws impacting restaurant sales and the rise of alternative drinks such as mineral water (Carrion and
Albaladejo, 2010). Also, millennials tend to not drink wine. In fact, the characteristic Spanish wine
drinker is an older male with a preference for high quality aged DO red wines that drinks at home,
an aging demographic. Spain's domestic market consumes 28.2 liters per capita compared to France
at 50 liters per capita necessitating an aggressive export strategy (Mtimet and Albisu; Minjares).
Exports now
... Get more on HelpWriting.net ...

The Development Of New Hybrids For The Wine Industry
The Development of New Hybrids for the Wine Industry, ... Why Bother?, or The Answer to Our
Problems?
Introduction
For certain Wine viticulturists the harsh winters have always been a problem . Its difficult to grow
most grape varieties in these brutal winter conditions .
I have chosen an article that was published in the vueweekly (which is an independent publication
owned by Postvue Publication Inc, an Alberta corporation).
The article is subjected as " The hype about Hybrids " and written by Mel Priestly in 2014 . She is a
dish editor,a critic cum editor for vueweekly as well as a certified sommelier which definitely makes
this article a very credible source for review purposes .
This article talks about the impression people ... Show more content on Helpwriting.net ...
These hybrid grape wines are usually described as foxy and reminiscent to a wet dog which is not
the quality customers look out for . Not to mention the fact that they are also quite inferior as
compared to the vinifera wines which led to many european nations banning hybrid grape variety
wines .
There are however exceptions and until recently Canada was popularly known as the home to hybrid
grape varieties because they could stand harsh winters which is common in that country. Therefore
Canadian winegrowers focused on hardy, native North American or hybrid varieties.Some of
Canada's wine–growing areas (especially the north of the Okanagan Valley, the Niagara region ,
Nova Scotia and places in Quebec) often still grow hybrids, as they can survive whereas vinifera
varieties simply die.
The white grape hybrid Vidal is used to create a wide variety of commonly drunk icewine in
Niagara, as its thick skin permits it to remain intact at freezing temperatures as opposed to its
vinifera cousins. Many of the Canadian wineries also make wines from red hybrid grapes, both as a
varietal wine and blended with vinifera varieties: Marechal Foch (often just called Foch), Baco Noir
and Leon Millot are most common. Several wineries in the United States also use many of these
grapes, typically in in wine regions that, like those in Canada, struggle to grow vinifera due to harsh
and brutal winters. The white hybrid Seyval Blanc is common in New

India Wine Industry Report
Indian Wine Industry Report
Report prepared by
Western Australia Trade Office – India Department of Agriculture and Food – WA
Mumbai 93, Jolly Maker Chamber II 9th Floor, Nariman Point Mumbai 400 021 Tel: +91 22
66303973 Fax: +91 22 66303977
January 2012
TABLE OF CONTENTS
CONTENTS Introduction Market Size Market Development Local Industry Duties and Taxes
Australian Wine players in India Market Segment and Market Share for imported wines Duties and
Price Structure Wine Duty calculation impact on retail price Pricing factors The Developing market
Market Entry Strategy Further Information Annexure I – Map of India Annexure II – Useful
Information Annexure III – Major Wine Importers in India Annexure IV – list of other wine ... Show
more content on Helpwriting.net ...
The perception of wine being "upmarket" and "sophisticated" is helping in bringing about this
change. One sign of this happening is the emergence of wine clubs in a number of cities. The
biggest consumption of wine (up to 80%) is confined to the major cities, of which the largest are
Mumbai (39%), Delhi (23%), Bangalore (9%) and the foreign tourist
3
dominated market of Goa (9%). With the easing of quantitative restrictions on wines after April 1,
2001, there has been an increasing interest in the Indian market by international players. However
the import duties and state taxes (which will be discussed later in more detail) remain high. They
continue to be a major impediment to the foreign entrants into the Indian market. Local Industry:
Maharashtra, Karnataka and Himachal Pradesh (a recent entrant) are the three major wine producing
regions in India. Maharashtra, on the western coast of India, is the major wine–producing region,
accounting for 94% of the total wine produced in the country. According to the Department of Wine
Production of the Maharashtra Industrial Development Corporation (MIDC), the wine producing
region is spread over 30,000 hectares, covering 64 wineries. During the year 2007/08 Maharashtra

registered a massive growth in wine production to 21.1 million litres against 13.2 million litres in
2006/07. This was a growth of 60% over the previous year

Robert Mondavi and the Wine Industry
Since the late 1960's, California wine–maker Robert Mondavi has been perceived by its
stakeholders as one of the world's most innovative and high–quality producers of fine wine. It is
therefore not surprising that the company has endured great financial success; in fact, it has secured
an impressive annual growth in earnings per share of ~28% over the last 8 years. Recently however,
there have been many external forces that may serve to threaten the long–term profitability of the
firm: sales have been decreasing over the last 6 months due to a staggering economy, Australian
imports are on the rise, shrinking the size of the pie for domestic firms, and there has been an
industry wide trend to consolidate; existing firms are merging and ... Show more content on
Helpwriting.net ...
Smaller firms such as the family run operations in Europe may not be able to realize these same cost
efficiencies. Furthermore, grapes represent 50 to 70% of a winemakers COGS, thus the competition
for sourcing high quality grape growers is quite high. Just as Mondavi does for 75% of its
purchases, most premium wine makers enter into long–term contracts with growers to not only
ensure that their demand is met but also to make sure that they receive grapes that are consistent in
quality. Due to the fact that consumers have a plethora of premium wines (substitutes) to choose
from and there is no penalty for switching between brands consumer buying power is fairly high,
making consumers sensitive to price increases. As previously mentioned, the competition for
sourcing quality grape growers is high making switching costs high as well. In order to circumvent
the dependency on outside growers, Mondavi is starting to increase its internal sourcing capabilities.
The premium wine segment is quite concentrated with high barriers to entry making mergers and
acquisitions a strong and prevalent growth strategy. With industry analysts forecasting the demand
for premium wine to grow at 8% to 10% per year, many former non–rivals are now becoming a
threat. Jug wine producers are entering the premium market and beer and spirit producers

Wine Industry
Porter's Five Forces Wine Industry Contents 1. Bargaining power of
buyers.....................................................................................1 2. Bargaining power of
suppliers.................................................................................2 3. Rivalry between existing
companies......................................................................4 4. Threat of new
entrants.............................................................................................5 5. Threat of
substitutes.................................................................................................6 6.
References..................................................................................................................8 1. Bargaining
power of buyers The buyer's power within the wine industry varies between different places in the
world. There are for example strategic differences between Europe and the "New World". The "New
World" includes countries like the US, Australia, Chile and South Africa. In Europe there is a big
competition ... Show more content on Helpwriting.net ...
The key issues of this force are the ease with which a wine producer can switch between the
different input suppliers and of course the bargaining power of both the supplier's and the buyer's (in
this case the wine company's) party. The most important necessary inputs for the production of wine
are grapes, bottles and labor. Concerning the grapes, there is an outstanding difference between the
traditional wine producing countries for example in Europe (the south of France, Spain, Italy and
Southeastern Europe) and big wine factories that operate as oligopolies like in the US and Australia.
Due to the bond to traditions and the higher demand for quality in Europe most of the wineries here
still stick to the original way of producing wine, including the growth of the grapes on the land
around the winery, a so called vertical integration (which is often considered by producers where the
supplier's price is too high or the offer is insufficient, in our case this trend results rather in
traditional and cultural values than in financial ones). This eliminates the percentage of dependence
on agricultural suppliers significantly, whereas concerning a big wine company the negotiation
power of the supplier is quite high. These wine companies tend to have a low sensitivity towards the
price they are charged, as grapes are a crucial component of wine production. However, in both
cases the price of the grapes is always

The Canadian Wine Industry
The Canadian Wine Industry
Table of Contents
Introduction
Significance
Industry Structure
Performance
Employment
Investment
Export Market
Trade Performance
Strengths and Weaknesses
Trade–Related Factors
Technology–Related Factors
Regulatory Factors
Future Challenges and Opportunities
Associations
Provincial Liquor Boards
Federal Goverment Departmental Contact
Footnotes
––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––
The Canadian wine–making industry, North America Industrial Classification System (NAICS)
31213, comprises establishments that are primarily engaged in manufacturing wine or brandy from
grapes or other fruit. Establishments primarily engaged in growing grapes and ... Show more content
on Helpwriting.net ...
In Quebec, the wine sector is based primarily on value–added bottling and blending from imported
bulk wines. Thirty–five small grower/estate wineries have also recently emerged in this province,
producing 100,000 bottles annually.
In the Maritimes, six small enterprises account for 13.5% of wine volume, while the two largest
companies in Canada produce the bulk of wine in that region.
The wine industry in Ontario and BC is closely linked to the grape–growing sector and, as such, is
directly affected by provincial agricultural policies. In Ontario, the vintners negotiate annually with

the grape growers represented by their marketing board to establish grape prices. In BC, the grape
market is not regulated and growers and wineries contract privately with each other.
Wineries will normally take about 80% of the annual grape production, with much of the balance
going for juice or fresh fruit consumption. Annual grape purchases by wineries in Ontario and BC
are estimated at $75 million.
The industry is closely regulated (see 'Regulatory Factors ' section below). Wines, like other
alcoholic beverages, must be distributed and sold through provincial liquor control board outlets.
Some provinces permit wineries to sell their own wines in establishments which they operate. In
Quebec, wine sold in grocery stores must be bottled in the province.

A Report On The Wine Industry, Based On Analysis And...
Introduction
This report will discuss whether or not to invest in Tunisian wine industry, based on analysis and
theories for the current market. It will point out all the advantages and disadvantages of investing in
there and will make a recommendation based on many factors.
The first part will talk briefly about Tunisia and will point out all the relevant information that can
affect a newly started business in there. It will also go in depth by inserting Michel Porter's national
competitive advantage of industries (Diamond Theory) into the discussion of this subject. The
second part will discuss two managerial issues the organization may face while doing business in
there. Finally, part C will introduce two suitable methods of entry ... Show more content on
Helpwriting.net ...
The Arab in there count for 98% or the total citizens and the rest 2% are Europeans and other ethnic
groups. Because most of its citizens are Arab, Muslims count for 99.1% of the total population,
which makes it an Islamic country that follow that Islamic rules. Moreover, the main language used
in there is the Arabic language followed by English and French, however, the government is trying
to make English is the main business language (Central Intelligence Agency, 2014) (Statistiques
Tunisie, 2014)
Islamic Law and Wine Industry
The Islamic law persisted even after the riot, when a political group called Al–Nahda won with 41%
of the seats voted that the main source of legislation is Islam (Sabek, 2013). Because Islamic law
prohibit the trading/consumption of alcohol, many consumers tend to go to the hotels or the black
market just to buy wine (Euro Monitor, 2013). In addition, Tunisia wine experts declared that the
sales of wine have decline in the period between 2008 and 2012, and it will keep on falling for the
upcoming few year, due to some farmers no longer want to work and produce grapes for wine for
religious reasons, as well as the cost price has increased and a continuant decrease in the wine
grapes price compared to the other similar products does not cover the cost (Market Research,
2013).
Corruption
Based on the Organization for Economic Cooperation and Development (OECD) report (2013),
Tunisia have set

The Competitive Advantage Of The Wine Industry
In the world of increasingly global competition every nation want to prove its product as the best in
the world. This phenomenon is called the competitive advantage of the nation, this can only be
created and sustained by immense sense of product knowledge, competition domestically and
internationally. Wine industry is the one which faces the competition between the traditional wine
makers of the old world and the sophisticated wine producers of the New world. The healthy
competition among the producers and suppliers makes the consumers successful by providing the
best quality. The Old world refereed here constitutes the countries in Europe specifically France,
Italy and Spain and the New world refers to US, Chile, Argentina and Australia. France's dominance
of the wine industry has increasingly come under threat from emerging wine producers who are
more aggressive in marketing their product in the markets previously dominated by France.
Although France is still the world's largest wine producer, it has seen a substantial decline in its
global sales over the last one decade arising from a number of factors; some of them internal and
others which are external. In this case study we will be discussing about the Diamond of National
advantage and how the determinants creates the national environment in which the companies
compete with respect to the Wine industry. The

Case Analysis In The Wine Industry
ISSN 1940–204X À Votre Santé: Product Costing and Decision Analysis in the Wine Industry
Priscilla S. Wisner University of Tennessee BACKGROUND The Aproveche family owns and
operates a small independent winery located in the Napa Valley California American Viticultural
Area (AVA).1 À Votre Santé (AVS), which means "to your health" in French, enjoys a reputation for
producing small amounts of quality wines. AVS was started by Jerome Aproveche in 2005 as an
extension of the family's grapegrowing operations and as a means to involve his children in the wine
business. This path is not an unusual one in Napa Valley, where there are more than 600 grape
growers and over 500 wine producers and blenders, many of which are small family–owned ...
Show more content on Helpwriting.net ...
The materials cost associated with the bottles, corks, and labels averages $2.50/bottle. DIRECT
LABOR Harvest labor is paid an average of $9.00/hour. An average of 80 pounds of grapes can be
harvested each hour. Crush labor is paid an average of $10.00/hour. The crushing process typically
takes 300 hours to complete. OVERHEAD EXPENSES Administrative rent and office expenses:
currently $20,000 annually. Depreciation is charged based on the following equipment schedule:
Equipment Cost Est. Life All three wines are bottled at AVS using one bottling line. In a typical
year, AVS bottles enough Chardonnay–Estate to meet the sales projection, and then bottles the
regular Chardonnay after blending all remaining Chardonnay wine with the necessary amount of
generic grapes. The Blanc de Blanc is the last wine to be bottled, using all remaining generic white
grapes. ADDITIONAL OPERATIONAL AND COST DATA CHARDONNAY GRAPES 2009
harvest: 100,000 pounds purchase price: $85,500 expected loss in volume through fermentation:
10% GENERIC WHITE GRAPES 2009 harvest: 60,000 pounds purchase price: $38,500
expected loss in volume through fermentation: 5% WINEMAKING Chardonnay grapes are
fermented in oak barrels; each barrel results in the production of 40 cases of wine. Barrels cost $500
apiece. Because the barrels lose some of their oak flavorings each use, AVS

Wine Industry
Executive Summary The United States wine industry is a 12 billion dollar industry and is composed
of 7,000 wineries and around 1,800 different companies. The three major companies within the
industry are Constellation brands, EJ Gallo, and The Wine Group Inc. The industry has made its
way through the economic crisis at a better rate than some of the other U.S industries however in
order for them to continue to see any type of growth it is important that they acknowledge their
issues and find ways in which they can rectify them. The majority of the issues among the industry
are problems that cannot be directly controlled by individual wine companies. Therefore it is
imperative that wineries find away to use these issues to their ... Show more content on
Helpwriting.net ...
Not only does the U.S. produce wine to be sold in the U.S. but last year they exported around 403
million liters of wine, the majority was exported to Canada and the United Kingdom.
The price of grapes depends based on how the grapes were treated prior to being sold. This has an
effect on how much it cost to produce the wine, but it also affects how much the wine will cost to
the consumer. There is a price different between fresh grapes and grapes that have been processed.
In 2009 the average price for one ton of grapes was around $505. When examining the cost of
producing wine there are many factors in which you have to look at. Factors many include but are
not limited to, the grapes, the process of fermentation, the storage, the labor and time, the
bottling/packaging, and of course the shipping of the products to the customers. The total cost of
wine in California in 2009 was around 1.7 billion dollars, which included the production of 3.4
million tons of wine grapes.
The pricing for the products themselves are harder to approximate. There are many factors that go
into deciding the price for a certain type of wine, with a certain name, from a certain company,
containing a certain type of grape, that was processed a certain way. Many wine companies
throughout the US have a high end wine and a low end wine. This allows the company to enter the
market at all angels. Especially with the down turn of the economy, many companies have had to

Wine Industry Case Study
Wine Case Study
Problem Statement
The problem that the company must address refers to determining if it is better to develop
distribution and marketing strategies controlled by the company, or to allow the distribution of the
products to be performed by the merchants. This is a difficult decision to make because of its
implications. The fact that the company's wine products are distributed by merchants has its
advantages. These merchants know the market very well, they know buyers, and they know how to
attract them. The networking of these merchants seems to be important in efficiently distributing
wine products. But the collaboration with such distributors also leads to increased costs in the case
of Chateau Margaux. In case the company decides to control its distribution chain, the costs can be
reduced. However, this can have certain disadvantages. Therefore, the company's managers must
determine what the company should do about its distribution process and marketing strategy.
Situation Analysis
The situation of Chateau Margaux can be attributed to the fact that the company has a reduced
marketing activity. The competitive business environment in the wine industry requires important
marketing activities that are intended to help improve the brand's position on the international
market. Therefore, the problems that the company's managers must address refer to developing the
marketing strategy in accordance with the characteristics and necessities of the wine market.

Crafting Winning Strategies in the Wine Industry
CRAFTING WINING STRATEGIES IN A MATURE MARKET
The Wine Industry in U.S has shown that although they are the fourth largest producer of wine, they
still in the 34th place in world wine consumption according to statistics in 2001. The industry
competion is matter that involves understanding the industry structure and ¿ how the fives forces
affect the competition, consumption and the structure in the industry in U.S? Furthermore of this
analysis, the fives forces approach is necessary to understand how companies can compete and use
this forces to take advantages of weaknesses of the wine industry.
Threat of new entrants in Wine Industry in Us
The case shows that the dominance of key players in the low–price segment give them the ... Show
Power of Customers
As the market is not highly concentrated, the volumes of purchases by customer are not really high,
the market products are differentiated, the buyer power is low. The industry has detected that
customers are interested in price and quality, as result of this it has segmented in premium and
budgets wines, giving the chance to every customer to find a wine that adjust to its necessities. But a
fact is that consumers don't know much about wines and this decrease consumption, its necessary to
create more conscious customers that became more regularly consumers.
Threat of substitutes
The threats of substitutes are considerable high due that only 10% of Americans drank wine
regularly; the other 90 % prefers other alcoholic's beverages as beer or whiskey, this lead in a
weakness for the industry and in a necessity to conscious more people of drinking wine, in addition
80% of wine drinkers think that their knowledge in wine is average or below, that results decreases
consumption because of the lack of knowledge of the different kinds of wine, now the industry is
focusing in older and wealthy people, and there is and opportunity to expand to other segments.
Rivalry among existing Competitors
Right now the industry is competing in tow strategic groups: budget and premium segments, and

there is intense competitions in the budget segment were the key is the price; additionally the
distribution

Wine Industry Analysis of China
China, India amp; Wine | May 19
2011
| Assessing the global environment and developing solutions for Australian international managers: a
WebQuest. (5461 words) | Sheena Bobeechun Troy Credlin Sarah Duff Audrey James. |
Table of Contents Executive Summary 3 PESTL Analysis 4 Political amp; Legal Factors (Author –
Sarah Duff) 4 Economic Factors (Author – Sheena Bobeechun) 5 Social amp; Cultural Factors
(Author – Audrey James) 7 Technological Factors (Author – Troy Credlin) 8 Managing Ethics
(Author – Audrey James) 9 Strategy amp; Entry Mode (Author – Sheena Bobeechun) 11 Global
Human Resource Management 13 Linking with Strategy (Author – Sarah Duff pp. 13–15) 13
Staffing Policies 14 Training ... Show more content on Helpwriting.net ...
Specifically in Delhi the legal purchase of alcohol age is 25 years (GAPA 2006). Advertisement of
alcohol is also illegal in some states of India due to The Cable Television Network Amendment Bill
2000, which completely prohibits the advertisement of cigarette and alcohol (GAPA 2006).
Analysis
Based on the above findings, we can conclude that China would have predominantly less political
and legal risk factors compared to India. While both countries governments were entrenched with
corruption and some forms of uncertainty, China's progression over India in terms of trade
agreements policies (such as the FTA) provides for a more stable political and legal environment to
operate within. Furthermore, India's high legal drinking age and laws associated with liquor
advertising make China's market seem more appropriate for exporting of wine.
Economic Factors
China
The Chinese economy is moving along at a strong but steady pace, with GDP growth of around 10%
for the past 5 years (DFAT 2011). GDP, measured in US dollars based on the Purchasing Power
Parity (PPP) was $9.872 trillion in 2010, $8.95 trillion in 2009 and $8.204 trillion in 2008 (CIA
2011). The GDP per capita was $7,400 in 2010, ranking it 125th compared to the world. Moreover,
unemployment rate has been at a low level (less than 5%) since 1990, currently sitting at a healthy
4.3% (ADB2011). It is estimated that 2.8% of the Chinese population live below the poverty line
(CIA 2011). Interest rate

The Etruscans: Italian Wine Industry Of The Modern Day
Italian Wine
The Etruscans were a group of people who settled in Central Italy, known for founding the wine
industry of the modern day. The Etruscans took the grapevine introduced by the Greeks, cultivated it
into highly desirable wines, and really improved winemaking.
The Greeks, who settled in southern Italy and Sicily, shared the art of wine–growing to Italy. They
were so impressed with Italy's mild climate, which was perfect for producing wines, that they called
Italy, Oenotria, or the land of trained vines. The Etruscans, who settled in central
Italy, also produced wines.
Because, the population in Rome grew widely demand for wine increased greatly.The Romans loved
their wine so much they drank it with just about every meal. Sense

Cork Industry, the Wine Industry and the Need for Closure...
1 To what extent is the cork industry guilty of complacency and a lack of innovation?
The cork industry is guilty of complacency and lack of innovation because they failed to recognize
the changes in the wine industry. The wine industry was experiencing a revolution where new
producers from Australia, California and Chile had new and different requirements. It took only a
matter of years for the industry to change completely and the cork industry did not jump on the band
wagon when it needed to. It allows the competition to get the edge.
2 If consumers love corks, why are the producers not providing what their customers want?
The reason being is because the wine industry has changed significantly over the past twenty years.
The ... Show more content on Helpwriting.net ...
5 What level of Ramp;D investment would be required to help the industry diversify and develop
new opportunities for its materials?
According to our text, because the cork forests are facing environmental stress, it would require high
levels of Ramp;D investment to open new opportunities for cork materials. When referring to new
opportunities it would be new items, such as, floor and wall coverings, coasters, cork board sheets,
etc. A high level of Ramp;D can guarantee some sort of sustainability for the cork industry and
also remove TCA. By doing this, this can ensure growth in the company.
6 What portfolio of Ramp;D projects would you establish for the cork industry?
I would try to find different things to use the cork rather than focusing on just wines. Expand in
other areas to increase production and focus and emphasis on how it is environmentally friendly.
Market on the go green and save the endanger species.
7 What role have the wine buyers (end users and others in the supply chain) played in contributing
to the fall in demand for cork as a closure?
Since we live in a fast pace life consumers tend to want thing immediately and do not want to wait
for things such as delivery time and like to purchase items in bulk and have a variety of items to
choose from. As a result supermarkets meet the demands by stocking up with large quantities and
array of assorted products. There is a larger selection of wines to choose

Wine Industry
AMERICAN UNIVERSITY OF BEIRUT
SULIMAN S.OLAYAN SCHOOL OF BUSINESS
BUSS 249
STRATEGIC MANAGEMENT
DR.YUSUF SIDANI
INDUSTRY ANALYSIS
WINE INDUSTRY IN LEBANON
PRESENTED BY
NADINE BARAKAT
YASMINE ASHOUR
MOHAMMAD EL BEITAM
MOHAMMAD SALTAJI
ALI KHALIFEH
NOVEMBER 24TH, 2005
Executive summary
The following project goes deep to explain the current situation of the Lebanese wine industry. It
begins by giving a brief introduction about the current economic situation in the country. Then it
gives a detailed explanation the industry economic situation and of the rival forces (Rivals, Supplier
bargaining power, Buyers bargaining power, substitutes, new entrants), its effect on the industry, and
the amount of risk it contains. ... Show more content on Helpwriting.net ...
Kefraya and Ksara became the top wine producers in Lebanon.
II– Overview of the macro environment:
A– General Economic Conditions:
The recent expectations about the Lebanese economy are becoming clearer, according to the
Business Monitor International. The GDP growth is expected to change from 3.5% to 3%, the
Central Bank head Mr. Riad Salameh projected that the GDP growth is 2%, but recent indicators
have shown some developments in the economy which made increase our expectations to 3%. The

expectations for 2006 2007 are expected to continue at 2.5% GDP growth.
The tourism sector which is considered very sensitive to perceptions of risk is the most affected by
the recent political situation in the country. According to the minister of tourism MR. Sarkis Said the
tourism level has decreased by 20% from 2004. The Lebanese debt has come to about $35.6 billion
which is equal to 180% of the GDP.
Although the economic situation in Lebanon has been risky lately, the expectations for an improved
economy still exist.
The wine industry was affected by the recent economic conditions, but because a big portion of the
industry production is exported the industry was not really affected. In addition due to the recent
promotions that most of the companies have conducted led to improve the situation.
B– Population Demographics:
The industry is really affected by the country 's demographics, especially by the distribution of the
religions in the country

ROBERT MONDAVI AND THE WINE INDUSTRY CASE ANALYSIS by Alberto Vicentelli
Global wine industry structure. How and why is this structure changing?
Production and consumption of wine was mostly localized until the early 1990's. Wine producers in
different countries were traditionally isolated from each other, and most of the world's wine drinkers
consumed either local wines or imports from nearby producers. Winemakers had minimal cross–
border interaction and followed local traditions.
The wine industry is divided geographically in two areas:
 The Old World countries, defined as those within Europe, have a long, uninterrupted history of
wine production and consumption. The four largest European producers, France, Italy, Spain, and ...
Show more content on Helpwriting.net ...
Similarly, in the United States, jug wines sales had declined approximately 3% per year during the
past decades, while premium sales grew 8%–10% annually. Pushing affordable wine on to the
shelves of new world markets will not necessarily increase global consumption by itself. Consumers
have to pull the bottles off the shelves in consistent purchases. Although US per–capita premium
consumption has been increasing, in order to increase further wine must be marketed in a way that
will promote everyday drinking among a greater percentage of the population in a socially
responsible manner.
The vast majority of US wine consumers consider themselves uneducated in wine matters and have
trouble remembering which wines they liked. Researches in consumer behavior have shown that
people appear to be confused during the wine selection process. Customers have expressed that they
want to be able to easily identify the wines they will enjoy without having to solicit personal
assistance in the store. Many inexperienced wine drinkers feel confused about all the wine choices,
especially the intricacies of foreign appellations. Producers need to design and label wines that
consumers can better understand .
Competitive Advantages
Some countries are better positioned to gain from globalization than others. Old World producers
were the first to define tastes

Canadian Wine Industry Essay
The Canadian Wine industry is a relatively small player on the worldwide market with a wine export
value of approximately $54 million in 2013, making up just 0.15% of global wine exports. This is
largely due to Canadian grape grower's inability to compete with producers in countries with more
favourable weather conditions for growing grapes. For example, in 2007 Canada used
approximately 8,000 hectares of land to grow grapes compared to the EU's 3.5 million hectares, 2.5
million of which were in France alone. Despite Canada's land size, there are only a few regions
where the climate allows for a long enough growing season for grapes to mature on the vine.
Wine production in Canada is concentrated in Ontario and British Columbia, as well as ... Show
Economies of scale are critical for low–priced wine production, but not essential for premium–
priced wine production,making the premium wine product segmentation a well–suited niche for
Canada's wine industry. Ice Wine is produced from grapes that were left to freeze on the vine so
Canada's climate is an ideal environment for wine producers to capture the Ice Wine market. Given
Canada's susceptibility to bad weather, favourable conditions for Ice Wine grape production, and
high cost/low production winery economic model, it is no wonder that the wine industry in Canada
has grown steadily around the Ice Wine high–end product segmentation international niche market.
Canadian wine exports totaled 42 million litres in 2013, valued at $54 million; of which 2.2 million
litres was premium wine, valued at $36.3 million. Despite an apparent steady growth, the industry is
heavily influenced by weather and Canada's growing season so revenue decline can be seen in years
where vineyards in Canada produced bad harvests due to weather restrictions. For example, in
2003–2005 Canada experienced severe cold weather conditions, particularly in Ontario, and grape
availability was drastically reduced as a result. This had a significant impact on the wine industry in
Canada as a whole as well as the export

The Wine Industry : South Africa
The Dutch introduces the wine industry to South Africa in 1652 (Three Centuries of Cape Wine,
n.d.). After centuries of evolution, the South African's have found the wine industry to be very
profitable. In Fact, South Africa is the 7th largest wine producer in the world (Giokos, 2016). This
industry is so sturdy that during the recent recession while many South African's have found
themselves out of a job, the wine industry is touting that its exports have increased 5% in 2015 and
were projecting even further growth in 2016 (Giokos, 2016). We will examine various aspects of the
wine industry and conclude with an entry strategy into the market along with a potential business
structure. Mike Veseth (2016) described the distribution of profits and loses of the South African
wine industry with only 15% of the producers making strong profits. He broke out the rest of the
market as follows: 49% making low and unsustainable profits, 6% breaking even which leaves 30%
of the companies losing money. Later he stated that even in the high cost areas of South Africa, wine
is sold at a fairly low price compared to other nations in the world. The fact is that South African's
prefer to drink one of wines top competitors, beer, so the demand on wine in South Africa is
relatively low. All of this shows that less than half of the South African industry it truly thriving in
this market and leads to the fact that the money is in exporting the wine out of South Africa for the
maximum

California Wine Industry
California is home to the largest wine industry within the U.S., the California Wine Industry
annually accounts for 93% of wine production throughout the entire U.S. California is the fourth
largest wine producer in the world (Fruit of the Vine 1). The reason California is able to produce an
abundance of wine is due to the fact that California does not have severely cold winters, however
California does have hot and dry summers, which provide the various regions within the California
Wine Industry ideal growing conditions (An Introduction to California Wine 8–9). These ideal
weather conditions have allowed the California Wine Industry to yield a prodigious amount of
revenue. The wine industry has also supplied California with an abundance of jobs; there are 150
possible jobs within the California Wine Industry. The wine industry has assisted California boast a
large state economic impact. Although the state economic impact is large, it is still continuously
growing due to the drought that has sparked new technological advancements for the California
Wine Industry. The California Wine Industry has financially supported the state immensely, which
has helped California still remain the Golden Land of Opportunity. ... Show more content on
Helpwriting.net ...
Napa Valley wine region has yielded 25% of the revenue the California Wine Industry despite only
producing 4% of California's wine grapes. Overall, Napa Valley wine region accounts for 30% of
the state economic impact, which is 13.3 billion dollars (Economic Impact of Napa Valley 2). Due to
Napa Valley and the rest of the wine regions in California, the annual state economic impact is 61.5
billion dollars and the annual national economic impact is 121.8 billion dollars (California Wine
Profile 1). This has helped the wine industry become a significant agricultural industry in

The Wine Industry
Napa County is best known for its world renown wineries. The wine industry is the central
economic driver in Napa and Sonoma counties. It boasts itself as the world's fourth largest wine
producer. Napa and Sonoma County's farming industry employs thousands of farm laborers, sales
reps, and sommeliers. Additionally, the wine industry thrives on tourism and exportation of goods.
This requires thousands of support industries such as shipping companies, hospitals, and hotels. In
2015, the wine business employed about 325,000 people statewide and generated more than $57
billion in economic activity, including $7.2 billion in tourist–related income (Hodgins, 2017 p.1).
Napa County was recently the victim of devastating fires which ... Show more content on
Helpwriting.net ...
This population does not qualify for FEMA cash assistance or unemployment assistance (FEMA,
2017). Most of this population already lives well below the poverty line and live in fear of
deportation. Often fearful to receive in because they may have to disclose their undocumented status
(Maldonado, 2016). There is a need for support services that are specifically tailored to
undocumented immigrants. Because many in this population fear officials, many have resorted to
unneeded avoidance of the Red Cross (which is a main source of initial emergency relief efforts,
including funds, shelter, and supplies) (Red Cross, 2017). Additionally, in order to reenter their
homes, police often require identification. Although this may need only be a utility bill, many fear
that this lack of ID will prevent them from going home (Azul, 2017). For many, they are right. At
least this has been historically true for many undocumented immigrants (Polakow–Suransky, 2001).
Additionally, interactions with police are fearfully avoided by undocumented immigrants because of
risk of deportation (Azul, 2017). The proposed change of this paper is the creation and promotion of
a volunteer organization run with the help of undocumented immigrants or family members, that
will assist undocumented immigrants in navigating the entire process of restarting their lives after a
disaster. The goal will be to reach financial homeostasis for the entire family, as

Wine Industry Analysis
The US winery industry had a growth rate of 4.7% between 2006 and 2011, and is expected to grow
by a rate of 4.9% over the next five years [ (IBISWorld) ]. In California alone an average of 175
wineries have opened every year since 2000 [ (Richard Green) ]. The states of New York and
Virginia have been major players in the US wine industry. The data shows that the demand for wine
has been increasing at an exponential rate over the past 5 years. Average annual revenue for the wine
industry is expected to be estimated at $20.2 billion through 2016 [ (IBISWorld) ]. The growth of
the wine industry, particularly over the past 10 years, can be attributed to a few key drivers in the
market. Per capita consumption of alcohol has increased ... Show more content on Helpwriting.net
...
These wineries would import large amounts of wine in bulk, and then bottle the wine in the US. This
allowed the larger wineries to sell their wine at a considerably cheaper price, hurting the smaller
domestic wineries. In 2011, the import market share in wine was roughly 26.5% [ (IBISWorld) ].
The amount of foreign wine entering the US has been on the rise ever since it was named the largest
consumer of wine in the world. Foreign producers, who are experiencing a decline in business in
their home country, are looking for new markets to sell their product. Countries such as Argentina,
Chile, Australia and New Zealand are able to produce their wine at a lower cost than the US. The
import of these wines has heated up the competition in the US creating benefits for the US wine
consumer. The superior quality of the imported wines has also changed consumers thinking as far as
how much should be spent on a good wine. The immediate future looks promising for the wine
industry. In 2012, the industry is expected to grow by 4.4%, and will only increase through 2016 [
(IBISWorld) ]. The wine industry relies on a three–tier distribution system. The producers sell to the
wholesalers, who then sell to the retailers. The national sales tier consists of suppliers who sell to a
wholesale distributor [ (Tincknell amp; Tincknell) ]. As suppliers continue to consolidate, the
larger producers will have the upper hand due to

Rfid in Wine Industry in France
EXECUTIVE SUMMARY
France is the biggest wine producer in the world (7–8 billion bottles sold in 2010). 17% of French
drink wine regularly,which is a total of 9.35 million people. We identified that buying wine requires
knowledge of the different kinds of wine and that many consumers find it difficult to get the
information when they want it.
Our team has identified this pain point as an opportunity to launch our product using smart phones
and RFID technology on the wine bottles. The solution is an application on a smart phone which
allows the end user to scan the RFID tag on the wine bottle in order to get real–time information on
the wine bottle, instant access to any promotion available and consumer ratings of the wine.
The RFID ... Show more content on Helpwriting.net ...
With our segments of targeted application end–users, there are around 17% of 55 million people are
frequently wine drinkers in France, we estimate that 10% of them will be the innovators who start to
use our application fast, that will give us the end–users to be 0.94 million. Our application will be
very efficient in functioning, fast access to specified and detailed wine information and interactive
reviews sharing within 2 minutes. The easy use will enhance the market penetration speed. With
higher frequency of application usage among our end–users, our customers (wine retailers and wine
producers) will increase. We expect to start with 5–15 wine retailers and producers in first year and
add to 20–50 in second year, 50–100 in third year.
Market Penetration potentials
The French wine market is at its stable stage now, not fast growing anymore, but still with large
volume of consumption. We will start our marketing by key activities and relationships we can build
with our customers, with all the sales effort and partnership with RFID suppliers, we assume that
our market share will grow very fast from niche to 30% in the third year.
PEST assessment
Political – normally, political factors will not affect people 's mood and habit of drinking wine, if
anything bad or good, it perhaps can stimulate the consumption, but we need to

Australian Wine Industry
1 Synopsis
Today as the world around us continues to age more and more people have an interest for premium
wines. As Australia's economy continues to boom some industries have taken a major hit over the
last decade including Australia's wine industry even though it continues to produce some of the best
wines in the world. The report will look into the history of Australian wine and look at where things
have gone wrong. The reports key findings will reveal a relatively unknown winery in the town of
Orange, called Belgravia that produces some outstanding wines. The results that have been
presented have been researched on various Internet resources, newspaper articles and journals. The
writer has also contributed to the report with his ... Show more content on Helpwriting.net ...
A Short history of wine)
By the middle half of the 1800's Phylloxera, a disease in the vines destroyed over two thirds of the
vineyards in Europe and by 1875 Australia fell victim (John Beeston. (2008). History of Wine in
Australia) However with the strict regulations implemented in Australia, South Australia's Barossa
Valley remained free from Phylloxera and today has some of the oldest vines remaining in the
world.
By the 1980's domestic wine consumption per capita had reached 17.3 litres, as the 'bag in a box' an
Australian innovation had been perfected. (John Beeston. (2008). History of Wine in Australia)
In the Table Fig.1 below you can see and overview of the Australian wine sector in 2007, it shows
Australia's biggest export markets as well as the most produced varietals in the country the top being
Chardonnay. In the last twenty years the Australian industry however has suffered and Bob Oatley
former owner of Rosemount got out at the right time and made a fortune. It was only in the 1980's
that governments sponsored growers to pull out their vines to overcome the glut of wine grapes.
With low grape prices in the last seven years there has been debate for yet another sponsored vine
pull. (Nance Haxton (2006) Grape Glut) Still today wineries continue to sell clean skins to try and
combat their poor sales at basically a

Old World Versus New World: the Origins of Organizational...
Old World versus New World: the origins of organizational diversity in the international wine
industry, 1850–1914
James Simpson
Universidad Carlos III de Madrid. Departamento de Historia Económica e Instituciones
Instituto Figuerola de Historia Económica
Abstract:
Wine production in Europe today is dominated by small family vineyards and cooperative wineries,
while in the New World viticulture and viniculture is highly concentrated and vertically integrated.
This paper argues that these fundamental organizational differences appeared from the turmoil in
wine markets at the turn of the twentieth century. As technological change endangered existing
rents, growers, wine–makers, and merchants lobbied governments to introduce laws ... Show more
content on Helpwriting.net ...
Section one argues that traditional grape and wine production favored small scale integrated
production. From the mid nineteenth century producers had to adapt to three major exogenous
events: the integration of national and international markets, the appearance of new vine diseases
and production shortages that these provoked, and the major advances in the knowledge of
fermentation and the development of wine making equipment that produced economies of scale and
which allowed cheap table wines to be produced in hot climates. These changes encouraged an
expansion of production in hot climates in the New World and a shift in the locus of production of
cheap table wines from Europe's centre to the periphery. Thus while the four Midi departments and
Algeria produced the equivalent of less than 15 per cent of France's domestic wine consumption in
the 1820s, this figure had reached 50 per cent by 1910. Other regions, such as La Mancha in Spain
or Puglia in Italy experienced similar changes, although at later dates. By the turn of the twentieth
century, a combination of higher yields and increase in adulteration flooded wine

Wine Purchasing And Hospitality Industry Essay
Wine Purchasing
Danielle Salopek, Frances Haas, Cat Manning
Wine Purchasing in Hospitality The Hospitality Industry is a vast field that includes everything
related to food, beverage, lodging, travel, and entertainment. All these different parts are all focussed
on one thing, and that is creating excellent guests experiences. There are many working parts to
accomplish this goal. Two parts that every single business deals with, is either the procurement
(purchasing of goods), or the supplying of goods. Alcoholic beverages, and more specifically wine,
are very important hospitality industry because of their prominence in societal culture. People come
together and share experiences over drinks in many occasions; from dates to business dinners to
special events to sporting events to even family occasions. Bonding over a good meal and the
perfect glass of wine is an age old tradition. People will go through lengths to purchase certain
brands, and vintages, at a wide variety of costs. From production, to distribution, to retail, there are
numerous steps along the way, all needing trained professionals of various skill levels. After
learning about a day in the life of a wine broker/distributor at the Republic National Distributing
Company, and speaking with co–owner and wine procurement specialist at the successful local
business, North End, it's easy to see that the wine industry goes far beyond what 's in the glass in
front of

Spain and Japan Wine Industry Factbook
Wine Industry Factbook
Spain v.s. Japan
Cross–cultural Study
2013
WINE INDUSTRY FACTBOOK SPAIN V.S. JAPAN
Presented to: Rajiv Krishnan Kozhikode Instructor BUS430 – Cross–cultural Management
Presented by: Team #1 Adam Reid | 301098783 | ajr15@sfu.ca Angela Zhang | 301127074 |
yufengz@sfu.ca Janice Wong | 301132415 | yingngaw@sfu.ca Jenna Zhang | 301107862 |
wza31@sfu.ca Jing Tang | 301131948 | jta52@sfu.ca OlamideOmorodion | 301123288 |
oomorodi@sfu.ca
TABLE OF CONTENTS 1. Introduction 1.1. Purpose/Industry of Choice 1.2. Scope and
Limitations of Research 1.3. Sources and Methods 2. Theories and Frameworks 2.2. Hofstede and
Schwartz's Model for Cultural Dimensions 2.3. Porter`s Five Force Model 3. Historical
Development ... Show more content on Helpwriting.net ...
The emphasis is on how beneficial effects might be achieved and specifying the challenges for
foreign investors that need to make country comparative investment decisions in a specific industry.
The research concentrates on analyzing, making a comparison and providing future outlook
concerning the wine industry in Spain and Japan. In addition, the comparison analysis presents a
balanced perspective on the impact of considering to invest in the wine sector of either Spain and
Japan.
1.3. Sources and Methods This country comparison factbook draws on research from a wide range
of secondary sources including government publications, academic journals, scholarly articles,
Wikipedia and other various academic references. These sources were acquired through the use of
online search engines and Simon Fraser University databases, including Business Source Complete
and official goverement statistics such as CIA, The Economist and Nation Master world factbook. In
short, this is a foundation of compiling and assembling this factbook structure in order to make a
country and industry comparison.
2. THEORIES AND FRAMEWORKS 2.1. Hofstede and Schwartz's Model for Cultural

Dimensions Three areas of Hofstede's value model where Spain stands out are power distance,
uncertainty avoidance and long–term orientation. Spain scores (57) on power distance, meaning that
hierarchical distance is accepted and those holding the most powerful

The Rules And Regulations On The Areas Of Global Wine...
This report is analysis of the rules and regulations in the areas of global wine industry. With the
emergence of New World players in the global wine industry has been lost a lot of Old World
market share (). Initially, France, Italy simply laughed processing technology of the new player, such
as U.S and Australia. However, it soon became apparent that the new traditional wine production
poses a serious threat to those traditional winemakers. The French in particular were hurt when they
began to lose its coveted in the world market share as British markets to Australian. The main issues
discussed in this report are what are similarities and differences in the ways between the New World
and Old World wine producer.
Introduction
Only the strong can survive and develop, which is common to all aspects of the world. In the wine
industry, New World challenges Old World and gradually takes the better position in the market
competition. The report recognizes the reasons given case specific analysis pleading wine. As a
result, the qualitative analysis of the regions wine will be the main methods of reasoning of this
paper. The truth is disclosed in the New World how comparative to the Old World wine industry.
The Base–viewed between Old World and New World wines
There are nearly 70 countries producing wines all around the world. These producers divide into
Old Wine (e.g. France, Italy) and New Wine (e.g. U.S, Australia) (). The former has more than
1000

Robert Mondavi and the Wine Industry Case Analysis
Executive Decision Making Strategic Analysis
Robert Mondavi and The Wine Industry,
HBS 9–302–102 (Case 1)
Post–Class Analysis
Individual Assignment
Student: Álvaro Toro
I. Executive Summary
On May 2001, Michael Mondavi took over the position of chairman of Robert Mondavi Company,
as well Greg Evans assumed as CEO. They company was founded in 1966, and has became one of
the world's finest and most innovative winemakers, currently having sales for 480 millions, and
firm's market value about $ 600 million.
The executives estate that, as the competitors spent considerable amount of money pursuing
aggressive acquisition strategies, they are doing well on the track of organic growth of its premier
brands, as they note ... Show more content on Helpwriting.net ...
In the case of retailers they are on–premise (restaurants, hotels, pubs, etc.) and off–premise
(supermarkets, wholesale price clubs, mass merchandisers and liquor stores). This three tier model
was mandatory in USA to avoid organized crime, and is not longer mandatory in several estates, as
well as many countries, but this structure tends to exist.
Wholesaler distributors. The current trend is the concentration in both wholesalers and retailers. In
the case of USA, today the top 5 distributors control 33% of the market, and the top 10 control 45%.
This high concentration supposes higher buyer power, as they buy larger volumes. In this scenario
some producers have their own distributors, like Gallo. In other markets, this is also a trend, as
Europe, where large firms, particularly the leading breweries, dominate the alcoholic beverage
distribution. In this sense, the buyer power is high.
Retailers. The current trend, further than the wine market, is clearly the concentration of the off–
premises retailers. The well known Wal–Mart and others became very large retailers, concentrating

as well high bargaining leverage. For example, Costco is currently the largest wine retailer in the
U.S.
The same concentration is happening in the on–premises buyers, where many large hotels and
restaurants chains are purchasing wine centrally rather at locally, increasing their buyer power.
Thus, the retailers buying force is also

Wine Industry : The New World
Over the past decades, the wine industry has encountered a lot of changes. Wines are now very
diverse and offer different kinds of tastes to the consumer. A wine will not be the same depending on
the environment and the country it was produced. The perception of wine has evolved during the
past few years and well–known bottles can be found all around the world due to the globalization.
The majority of wine producers was originally located in Europe, in countries such as France, Italy
or Spain. However, the world of wine known before is over. The emergence of new producers
located in America, Oceania and Africa has changed the vision of the traditional wine industry.
Those new players, called the New World wine producers, have put in place effective strategies to
compete against ancient ones, known as the Old World wine producers. The change in wine
consumption also impacted the mutation of the industry by creating new challenges.
The American market, one of the most successful markets in the world today, is part of the New
World. Consumers from the United States have a large range of products from many different
countries. The American customer will look at different characteristics to make his purchase
decision. New World wines consumers' perception of New and Old wines influences the decision
process. What are the factors that influence the perception of American consumers?
In this report, the vision of New World wines and Old World wines is compared. The country of
Chile

Essay Wine Industry
America's winemakers are making superior wines and reaping global acclaim. In a single generation
the United States wine industry's global success is a fascinating story of entrepreneurial vision and
savvy marketing. The American industry has new innovations, new competition, and new markets,
which make the future look bright for the wine industry.
In terms of worldwide recognition and success, individual American wineries have made their mark
only in the last 50 years. Not until the end of Prohibition in 1933 did the American wine industry
take off on a large scale. America has now become the fourth largest producer in the world behind
Italy, France, and Spain.
The wine market consists of still wine, ... Show more content on Helpwriting.net ...
The U.S. ranks 34th in per capita wine consumption, just behind Slovakia and Canada, and ahead of
Latvia. Per capita wine consumption is 2.72 gallons.
According to 2002 Adams Wine handbook, 32.2% of adult Latinos, 28.8% of adult Asian
Americans, and 25.8% of adult African Americans are wine drinkers.
America's top 10 export wine markets are the United Kingdom, Canada, Netherlands, Japan,
Belgium, Germany, Ireland, France, Sweden, and Denmark.
Infrequent increases in Federal alcohol taxes have led to significant erosion in inflation adjusted
values of these taxes. In 1951, inflation adjusted value of tax was $1.16 per wine gallon. The
inflation rates imposed on wine currently is about $1.07 per wine gallon. The wine taxes vary based
on alcohol content. They currently range from $1.07 to 3.40 per wine gallon.
Infrequent and modest increases in state and Federal alcoholic beverage excise taxes contribute to
declines over time in inflation adjusted alcoholic beverage prices. Federal, state and local
governments can use a variety of policies to raise the price of alcoholic beverages. Infrequent and
modest increases in taxes and repeal of some control policies have contributed to sharp reductions in
inflation prices over time.
The U.S. Gross Domestic Product of the wine industry was 3.20% in 2003. The inflation rate in
2003 was 1.9%.

The Global Wine Industry
The Global Wine Industry:
The grape has been around for more than thousands of years, and so, with time, it was inevitable
that humans would discover wine and use it for many purposes. Grapes were found thousands of
years ago, when humans started living in caves and became hunter–gatherers. However, agriculture
dominated after those humans moved beyond the hunting–gathering stage and into an era of
growing and harvesting grapes and then turning these grapes into wine. Humans throughout these
ages desired wine for its effect on the body and the essence it provides and even in all history,
especially in the Greek history and the romans, wine was dedicated to the gods for a good harvest
and riches.
Wine which was considered a simple and a limited drink became an industry of its own generating
millions in profit and having a huge consumer base with different tastes and aspirations. The
changes as well as the differences in the age groups who are becoming the major markets for wine
producers have created visible and different market trends that cannot be ignored. These trends also
affect the global market, as well as economies of many Counties that rely on the wine industry for
profit.
In an industry such as wine, where there are many variables such as the type of soil and grapes,
ageing process used, price and quality, it is natural to expect a variety of suppliers. The wine
industry is so heavily broken down that, that there cannot be one leading firm and also these leading

Italian Wine Industry
This article was downloaded by: [92.98.159.160] On: 14 March 2013, At: 21:43 Publisher:
Routledge Informa Ltd Registered in England and Wales Registered Number: 1072954 Registered
office: Mortimer House, 37–41 Mortimer Street, London W1T 3JH, UK
Journal of Wine Research
Publication details, including instructions for authors and subscription information:
http://www.tandfonline.com/loi/cjwr20
Winemakers and Wineries in the Evolution of the Italian Wine Industry: 1997–2006
Raffaele Corrado Vincenza Odorici a a a
Department of Management, University of Bologna, Via Capo di Lucca, 34, 40126, Bologna, Italy
E–mail: Version of record first published: 30 Sep 2009.
To cite this article: Raffaele Corrado Vincenza Odorici (2009): ... Show more content on
Helpwriting.net ...
With
Raffaele Corrado, Department of Management, University of Bologna, Via Capo di Lucca, 34,
40126 Bologna, Italy (E–mail: raffaele.corrado@unibo.it). Vincenza Odorici, Department of
Management, University of Bologna, Via Capo di Lucca, 34, 40126 Bologna, Italy (E–mail:
vincenza.odorici@unibo.it) ISSN 0957–1264 print/ISSN 1469–9672 online/09/020111–14 # 2009
Taylor Francis DOI: 10.1080/09571260903169472
112
RAFFAELE CORRADO AND VINCENZA ODORICI
Downloaded by [92.98.159.160] at 21:43 14 March 2013
some oversimpliﬁcation, we might describe these changes as a turn from a niche market to a mass
market. This evolution is fostering changes in winemaking practices as well as in the conception of
wine quality, which imply a departure from the traditions of the industry. Traditional winemaking
practices and conceptions of 'good wine' were institutionalised in the denomination of origin
regulations. These regulations embed each wine within a geographical locus of production, implying
a dependence of production on natural contingencies. On the contrary, the exploitation of emergent

market opportunities requires a ﬁner control of production. This caused the diffusion of methods of
winemaking that allow stabilisation of the quality of wines across time (vintages) and space,
loosening the tie between grape and geographical area. Much of this change in production practices
has been

Robert Mondavi and the Wine Industry Essay
1. The industry structure in the Old World is significantly different than the New World. First, the
Old World has a very low concentration ratio, while the diversity of competitors is high. Along with
other factors the Old Worlds industry rivalry is very high. In contrast the industry rivalry is
relatively low because of the extremely high concentration ratio and the low diversity of
competitors. The New World is made up of large publicly held firms in comparison to the small
private owned vineyards in the Old World that historically have produced for their own
consumption. Another difference is between the suppliers in both industries. The suppliers in the
Old World are one in the same with the ... Show more content on Helpwriting.net ...
However, buyers in the Old World have equally high power as those in the New World because of
the extensive amount of different producers in the Old World. All of these comparable elements
affect the industry attractiveness in different ways. However, I feel that when comparing both
worlds, the industry attractiveness is almost the same. The industry attractiveness for wine
production is moderate. The wine industry has been affected by the various governments throughout
its history. They governments have regulated bottling and packaging as well as the distribution
systems. The industry has also shifted with the amount of education offered to consumers about
wine. This has led to some firms just reaping the benefits of those who are promoting general
industry awareness. A main reason this industry would be attractive is because consumers must first
try the product in order to determine if they like it or not. Consumers also tend to be brand loyal if
they are satisfied with a certain type of wine and will go to great measures in order to repurchase.
There are also many consumers who are uneducated about wine and mainly purchase on price. Price
in the wine industry can be very effective in relaying perceived quality. The wine industry is
attractive also if one firm owns their own vineyard because the life of the vineyard is extremely long
and will be relatively constant for a producer.
2. Mondavi is in a great position currently and has large growth

Acids And Its Effect On The Wine Industry
I know that the topic of acids in wines have been discussed many times in our wine circles. It is
important to realize that both good and bad acids exist in the wines that we drink. Let 's look at acids
in wines and their effects on the final product that we all enjoy so much.
The relative amounts of tartaric and malic acids vary depending on the grape variety and on where
the grapes are grown. For example, in Burgundy, the Chardonnay has a lower concentration of malic
acid than a Chardonnay grown in the Napa Valley of California.
Both tartaric and malic acids are nonvolatile which means that they do not evaporate or boil off
when wine is heated. An example of a Volatile acid in wine is acetic acid (vinegar). Acetic acid does
boil off when heated, and is undesirable in wine. Volatile acidity of 0.03–0.06% is produced during
fermentation and is considered a normal level.
Tartaric and malic acids are produced by grapes as they develop. In warm climates, these acids are
lost through the biochemical process of respiration. Grapes grown in warmer climates have lower
acidity than grapes grown in cooler environments For example, Chablis (France) produces grapes
with high acid because the climate is very cool, while Napa Valley produces grapes with lower
acidity because the climate is warmer.
Sugar production in a cold verses warm climates is completely opposite of acid production. The
warmer the climate the higher the sugar content of the grapes. Australia verses

Essay on Industry Analysis Report the Australian Wine...
INDUSTRY ANALYSIS REPORT THE AUSTRALIAN WINE INDUSTRY 'The Boutique
Producer' by 4 students (anonymous) Executive Summary This report provides an overview of the
Australian Wine Industry using Porter's Five Forces industry analysis framework and seeks to
provide recommendations based on the impact of the forces for a start up boutique producer.
Through the use of Porters framework and the application of economic theory, the report will
provide detailed insight into the drivers of each force and the pressures that these forces put on the
industry. These insights will then be used to determine the competitiveness of the industry and
formulate recommendations for a start up boutique producer. Methodology ... Show more content on
Helpwriting.net ...
Cellar Doors. Agricultural Activities – Land Land is a crucial input to a start up boutique winery,
and as previously discussed can also provide a significant barrier to entry. From the supplier
perspective, the bargaining power of the purchaser is highly dependant on the present market rates
as well as current government restrictions on the use of land and the subsequent availability of
licenses . The availability and location to prime market areas and geographic resources (such as
water supply) drive the market elasticity demand factors governing land price. As such, site
selection, soil profile and climate , all critical to wine flavor and quality, will (thanks to geographical
experience indicators (AWBC, 2008)) significantly drive up the cost of land and determine the
product that can be grown. General Agricultural Activities Agricultural equipment to support
vineyard activities is supplied by a number of monopolistic suppliers. These suppliers compete
across various agricultural sectors and as such stock specific, yet substitutable products that allow
the purchaser some level of freedom in choice of supplier. This condition subsequently increases the
ease of substitution (Porter, 1980). Vines Due to the potential destruction of

Wine Industry
[pic]
Wine Spirits
Industry Analysis
Team 6
SMBA 04 Strategic Marketing MKT 606 November 22, 2008
Hayden Olson, Natanyi Carter, Maurice Campbell, Natasha Mohl, Tameika Dozier, Majed Soboh,
Allan Topher
[pic]
Table of Contents
Executive Summary 3
External Internal Environment 4
External Environment 4
Technological Trends 4
Consumer Trends 5
Governmental Trends 5
Economic Trends 6
Opportunities 6
Threats 7
Internal Environment 7
Strengths 7
Weaknesses 7

Market/Submarket Analysis 8
Submarkets 8
Market Trends 8
Distribution Channels 9
Customer Analysis 10
Wine 10
Spirits 10
Competitor Analysis 11
Direct Indirect Competition 11
Top Three Competitors 11 ... Show more content on Helpwriting.net ...
Amazon.com is currently working on an online store that would sell wines direct from the
manufacturer to the consumer.
Consumer Trends
More people are drinking wine today than they have in the past. This growth has been
predominately in the Baby Boomer and Millennial demographic segments. Millennials represent
32% of the core drinkers. Many of the wine and spirits companies are targeting a younger
generation through sponsorships and promotions in trendy night club hot spots. It appears that the
Millennials behavior is moving in a similar fashion to the Baby Boomers in their alcoholic beverage
preferences. Due to the mere size of the Millennial generation this trend seems to be crucial for
future profitability, and the success of the companies that can compete for these consumers. We will
be examining other consumer tends such as healthy lifestyle, green production, and aspirational
buying will be examined further in the market/submarket analysis section.
[pic]
Governmental Trends
The regulation of alcohol has always been a sensitive issue. As the world continues to become a
global marketplace, the task of keeping track of the various regulations is becoming increasingly
difficult. Here in the United States each individual state is responsible for regulating alcohol sales
and the means by which it is sold. Each state taxes the sale of alcohol differently. The differences in
the state's requirements make it cost prohibitive for

Competition in the Global Wine Industry:
A U.S. Perspective
Murray Silverman
Professor of Management
College of Business
San Francisco State University
1600 Holloway Avenue
San Francisco, CA 94132
Phone: 415–338–7489
Fax: 415–338–0501
Email: msilver@sfsu.edu
Richard Castaldi
Professor of Management
College of Business
Phone: 415–338–2829
Fax: 415–338–0501
Email: castaldi@sfsu.edu
Sally Baack
Assistant Professor of Management
College of Business
Phone: 415–338–6421
Email: sbaack@sfsu.edu
Greg Sorlien, MBA
College of Business
A U.S. ... Show more content on Helpwriting.net ...
wineries are implementing strategies to compete against foreign producers.

Overview of Wine
The dynamics of the global wine industry are better understood through a brief history of wine as
well as an overview of the wine making process. Some countries have longer historical and cultural
ties with wine then others and that can affect the quality and perception of the product in the eyes of
the consumer. Also, the conditions in which the wine grapes are raised and the processes used to
make the wine can create a superior wine and therefore a competitive advantage.
Wine has been a part of Western history since the Neolithic Period (8,500–4,000 B.C.), when
cultures first started to develop permanent communities, and stopped being nomadic hunter–
gatherers (U. Penn, 2000). One of the earliest written records of the consumption of wine is
recorded in the Bible and the impact of wine on Mediterranean cultures became more pronounced
over the years as the geopolitical situation stabilized in the region under the Roman Empire. Roman
Imperialism helped to spread the production of wine across most of the countries in the Empire,
which included most of North Africa and Southern Europe (Britannica, 2000). During that same era,
wine became ingrained in the Christian faith and is still used in Christian mass today. The close tie
between wine and the Christian faith aided to the spread of wine production and wine consumption
across Europe

The Australian Wine Industry
CONTENT
Title Page
Introduction – Background Issues 1 – 2
Financial Analysis 3 – 8
Summary of Financials 9 – 13
Significant key opportunities and risks for the company 14 – 15 and investors in McGuigan
Other financial and non–financial factors that impact upon 16
McGuigan 's performance and attractiveness as an investment opportunity Limitations of the
analysis implications of these limitations for 17 – 18 any investment decision
Appendix A: References 19
Background Issues
The Mcguigan interest in the Australian Wine Industry goes back four generations. Owner Patrick
McGuigan the first of four generations to enter the wine industry was a dairy farmer by trade.
Percy ... Show more content on Helpwriting.net ...
2.41:1
Quick ratio
2005 ($ '000) 2004 ($ '000) 2003 ($ '000)
12728+361288+
120698
124905
= 494714

124905
= 3.96:1 2654+332641+
126534
135304
= 461829
135304
= 3.41:1
773+270452+
125028
105775
= 396253
105775
= 3.74:1
Current Cash Debt Coverage Ratio
2005 ($ '000) 2004 ($ '000) 2003 ($ '000)
2523
124905+135304/2
= 2523
130104.50
= 0.019 times 5768
135304+105775/2
= 5768
120539.50
= 0.047 times (10040)
105775+119523/2
= (10040)
112649
= (0.089) times
Receivables turnover ratio
2005 ($ '000) 2004 ($ '000) 2003 ($ '000)

320422+47628
120698+ 126534/2
= 368050
123616
= 2.97 times 262025+43683
126534+125028/2
= 305708
125781
= 2.43 times
248381+35069
125028 +87486/2
= 283450
106257
= 2.66 times
Average collection period in days
2005 ($ '000) 2004 ($ '000) 2003 ($ '000)
365
2.97
= 123 days 365
2.43
= 150 days
365
2.66
= 137 days
Inventory turnover
2005 ($ '000) 2004 ($ '000) 2003 ($ '000)
(276939)
60018+51176/2
= (276939)
55597
= 4.98 times

(216777)
51176+32271/2
= (216777)
41723.5
= 5.19 times
(209354)
32271+15817/2
= (209354)
24044
= 8.70 times
Average Days in Inventory
2005 ($ '000) 2004 ($ '000) 2003 ($ '000)
365
4.98
= 73.29 days 365
5.19
= 70.32 days
365
8.70
= 41.95 days
Solvency Ratios
Debt to total assets ratio
2005 ($ '000) 2004 ($ '000) 2003 ($ '000)

Spanish Wine Industry

Recommended

Recommended

More Related Content

Similar to Spanish Wine Industry

Similar to Spanish Wine Industry (7)

More from Ann Johnson

More from Ann Johnson (20)

Recently uploaded

Recently uploaded (20)

Spanish Wine Industry