...one of the world’s most renowned premium wine brands for many decades. Their wine offerings include only the first-growth and the second-growth wines. The company been profitable and is considered a very highly reputable and successful premium wine brand from the region of Bordeaux, France. Being successful and profitable often bring up questions like, how can the company do better? With the increasing demand for wine around the world and the increase of number in new wine producers around the world with exceptional potential, could the Chateau de Margaux still be competitive in the future? What are the possible ways for this company to expand and what are the pros and cons of each? In this research paper, we examine the situation of this company, the wine market international viewpoint, and the domestic influence of the wine industry and tradition in Bordeaux. With all the information and data that we researched and analyzed, we were able to locate the problems of the company. In turn, we came up with objectives for the company to fulfill in order to solve all of the problems that arises and to increase profit, increase their skills of today’s new world marketing, increase their knowledge of the consumers and the market, and capture new market opportunities. We come up with a new business model to expand the Chateau de Margaux Company and to help this company fulfill these objectives. The new business model is called the international partnership, and we have explained steps...
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...STRATEGIC DILEMMAS OF A SMALL MARKET PLAYER: THE CANADIAN WINE INDUSTRY Judith J. Madill Eric Sprott School of Business, Carleton University 1125 Colonel By Drive, Ottawa, ON, Canada, K1S 5B6 +1 (613) 520-2600 Ext. 8014 Fax: +1 (613) 520-4427 e-mail: Judith_Madill@carleton.ca Allan L. Riding Eric Sprott School of Business, Carleton University 1125 Colonel By Drive, Ottawa, ON, Canada, K1S 5B6 +1 (613) 520-2394 Fax: +1 (613) 520-2363 e-mail: al_riding@carleton.ca George H. Haines, Jr. Eric Sprott School of Business, Carleton University 1125 Colonel By Drive, Ottawa, ON, Canada, K1S 5B6 +1 (613) 520-2600 Ext. 7487 Fax: +1 (613) 520-4427 e-mail: george_haines@carleton.ca Abstract This paper undertakes an analysis of the strategic situation of the Canadian wine industry. A very small player by world standards, Canadian wineries face intense and intensifying competition within the domestic market. The demand side of this market is dominated by a small number of large provincial monopoly retailers. The supply side comprises five substantial firms that account for ninety percent of total wine production and a large number of very small wineries. The Canadian competitive environment is characterized by strong historical reputations of (and consumer preferences for) Old World wines, economies of scale and technology associated with New World wines, (at best) stable per capita wine consumption patterns, rapid increases in both the number of domestic wineries and land under viticulture...
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... Reason to get international 14 Issues in internationalization management 15 WINE MARKET 17 Profiles of Country Producers 17 CHINESE WINE MARKET 25 Overview 25 Wine market overview 28 Imported wine 32 Italian case 36 Future prospective 45 REFERENCES 48 Bibliography 48 Consulted website 52 INTRODUCTION The purpose of this work is to analyze the growth and evolution of the wine market in China. In particular we will focus on the internationalization of the global wine producer countries in this new emerging market and which are the futures prospective and possibilities of this young market. This paper is composed by four main sections: 1. Theoretical framework; 2. Wine market; 3. Chinese wine market; 4. Italian case. First of all we need to understand what we mean when we speak about internationalization. Through a theoretical chapter, using the existing literature about internationalization, we will explore its theories, evolution and which benefits it may bring to the firm that implement it, showing how important it became in the globalized world in which companies work nowadays. Afterward we are going to analyze, thanks to the data taken by reliable sources, the global market of wine, showing its fragmentation, which are the main player and their characteristics. Now that we have a general panorama, we can concentrate on the Chinese market, its cultural and economic features, and the evolution of its wine market. Finally we will...
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... Kudler Wines Product Launch Plan MKT 571 Kudler Wines Product Launch Plan Developing strategies in relation to any application of marketing suggest a marketer’s ability to comprehend and align business practices with the need of the consumer and business simultaneously. Strategies present challenges whether domestic or international markets are the emphasis. The ability to set customary prices, have market presence, encouraging advertisements and publicity, understand the competition, develop accurate communication, a complete SWOT analysis including domestic and international markets, and customizing the target market, present boundless opportunity that consumers appreciate and market recognition. At each stage of strategy implementation, the prospect for marketers to research and comprehend the select target markets yields a profit scenario. As Kudler Fine Foods establishes the company’s presence in Italy, the home market and France, signifying the secondary market, it is essential to create strategies concerning logistics from a business perspective rather than an industry adapted or suggested alternative. It is imperative that Kudler Fine Foods marketing agents such as intermediaries are advised of the product and able to communicate successfully in each demographic. Kudler Fine Foods use of intermediaries suggests that entering international markets allows “superior efficiency in making goods widely available and accessible to target markets” (Kotler...
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...International Marketing Marketing Wine in the Chinese Market Executive Summary China’s demand for Western wine has rapidly increased. This has created a market opportunity for high end, quality wine companies from Australia to export their products to China. The product that will be focused on is Glandore Wine from the Hunter Valley. The report will focus on exporting this product into the Chinese market. There should be a strong focus on building brand reputation and maintaining long-term business relationships. There are multiple entry types into foreign markets yet Chinese regulations limit the mode of entry. The recommended mode of entry for Glandore wines is a Joint Venture. The decision between product standardisation and customisation is an important aspect of strategic decision-making. It is recommended that Glandore does not customise their core product of wine, however it is recommended that other product attributes are customised to appeal to the Chinese market. When promoting Glandore wine in the Chinese market there should be use of advertising, public relations, sales promotion and personal selling. Table of Contents Executive Summary ……………………………..…. 2 1. Introduction ………………………………………………... 4 2. 2.1 Market Entry………………………………………………4 2.2 Recommendations ………………………………………5 3. 3.1 Product Standardisation and Customisation ……..…..7 3.2 Recommendations…………………………………….….7 4. Promotion in China 4.1 Push Strategies………………………………………...
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...China wine market 1.1.2 Asia wine market SWOT Analysis Strengths—Huge background, High-quality products, K/A (Key Account)Customer communication system, Mystery of France. Weaknesses--The confusion wine market, how to make our brand become a well-known brands, how to open the sale channel Opportunities--Huge market demand, purchasing power &private consumption growth, Traditional viniculture present, the right distribution partners, the good advertising partners Threats--Aggressive producers, Domestic product, Consumer acceptance 1.2 China wine market general introduction As we all know, Asia market now is a new develop market, it is still confusion (the wine law, the regulation).So, we choice the focus market in Asia--China to enter, this will reduce the trouble of our market development. We should be aware that the Asian market, 95% wine consumption is face to the civilian population, only 5% high-end products sells to truly rich wine collector. Of course, with the further development of Asian economies, which 5% people will continue to expand. For the past few years, the maximum annual production of Chinese wine was about 30 million tons; it was less than 2% of beer output and 6% of Chinese liquor production, also it was only 1% of the world wine production, and the consumption per head was equivalent to France, Italy, Spain and other developed countries by 0.5%. China’s demand for wine will be reaching 600,000 tons by 2010, thus, the wine industry in China...
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...문예송 2010-10415 Principles of Accounting Individual Report Wine Industry Vina Concha y Toro (Chile) History of Chile Wine and Concha y Toro The Chile wine industry has enjoyed immense success and growth on the past two decades. The quality of Chile wine brands are at par with the most famous brands from the Old World countries and has been able to secure international prestige. Wine making began from the late 16th century by the Spanish conquistadors and missionaries. Despite the political connection to the Spanish, Chile wine is historically influenced by the Bordeaux French wine which started in the late 19th century with many wealthy Chile wine makers importing Bordeaux grapes such as Cabernet Sauvignon, Merlot, Malbec, Carmenere, and Cabernet Franc to plant in the ideal valleys of Chile. These species of grapes were rare and are considered the “lost” species of grapes from Bordeaux due to having been imported before the phylloxera (blight) epidemic which ravaged and destroyed Bordeaux vineyards in the late 19th century. The ruined wine industry in the late 19th century also prompted many French wine makers to travel to South America bringing their experience and accumulated traditional techniques. This was the second tide of Chile wine history where currently famous firms were established by the wealthy wine makers of Chile such as Vina Errazuriz by Don Maximiano, Ochagavia Wines by Don Silvestre Ochagavia Echazarreta and Concha y Toro by Don Melchor de Santiago in the...
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...from www.warc.com Scope of the Report Luxury Goods: LVMH © Euromonitor International Scope Disclaimer Much of the information in this briefing is of a statistical nature and, while every attempt has been made to ensure accuracy and reliability, Euromonitor International cannot be held responsible for omissions or errors Figures in tables and analyses are calculated from unrounded data and may not sum. Analyses found in the briefings may not totally reflect the companies’ opinions, reader discretion is advised Learn More To find out more about Euromonitor International's complete range of business intelligence on industries, countries and consumers please visit www.euromonitor.com or contact your local Euromonitor International office: London +44 (0)20 7251 8024 Dubai +971 4 372 4363 Chicago +1 312 922 1115 Cape Town +27 21 552 0037 Singapore +65 6429 0590 Santiago +56 2 915 7200 Shanghai +86 21 6372 6288 Sydney +61 2 9275 8869 Vilnius +370 5 243 1577 Downloaded from www.warc.com 2 Luxury Goods: LVMH © Euromonitor International Strategic Evaluation Market Assessment Designer Clothing and Footwear Luxury Accessories Fine Wines/Champagne and Spirits Super Premium Beauty and Personal Care Luxury Jewellery and Timepieces Brand Strategy/Operations Recommendations Downloaded from www.warc.com 3 Strategic Evaluation Luxury Goods: LVMH © Euromonitor International Key Company Facts LVMH Headquarters: France Western Europe, Eastern Europe...
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...Market size The U.S Wine market has been claimed as the largest market in the world by Wine Institute representative and CEO Robert P. This industry is highly fragmented and relatively large with a total of $17 billion in revenue as of 2014. There are currently about 1,800 established wineries in the nation, with half of these located in California. Wine sales from all distributers in the U.S have seen a record increase in their sales of 9- liter cases totaling 360.1 million worth $34.6 billion. 58% of those sales were attributed to California, the leading wine producing state in the nation. California had a total of 250.2 million cases distributed worldwide. 90% of the industries revenue comes from California. The other top wine producers are located in new york, Oregon, and Washington. Domestic demand for U.S wine was recorded as $21, 619.1 million in 2014 with a per capita alcohol consumption of 25. Our U.S wine industries have attained a substantial amount of foreign market share with exporting revenue totaling $1.610 million. Scope of rivalry Wineries have a wide competitive scope, providing goods to a highly segmented market base, across various geographic regions and demographics. There’s a high existing level of competition among wine producers. Individual wineries compete on the basis of quality, branding, prices, and diversity of products offered. Competition among wineries originates from other wineries, manufacturers, and substitutes including beer and spirits...
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...Introduction 1 2. Wine Manufacturing Industry and External Environment 2 2.1 Wine Manufacturing Industry 2 2.2 External Environment 6 3. Porter’s 5 Forces Analysis 10 3.1 Threat of New Entrants 11 3.2 Bargaining Power of Buyers 12 3.3 Threat of Substitutes 14 3.4 Bargaining Power of Suppliers 16 3.5 Rivalry within the Competitive Arena 17 4. Conclusion 19 Reference 21 1. Introduction Captain Arthur Phillip brought grape vines from Brazil and the Cape of Good Hope to Australia when his fleet arrived in Botany Bay, located in Sydney, in 1788, according to Wine Australian which is one department of Australian government. Since that Australia had made a history of producing and exporting wine. In 1854, a barrel of fortified wine was exported to London, which is the first reported Australian wine export (Wine Australia, 2012). Subsequently, Australian exports in wine have boosted at an extraordinary rate especially in recent years, reaching the record level in 2007. Today, Wine Australian also point out that Australia is the fourth largest wine exporter in the world, constituting about 4% of total world wine production, and export over 800 million liters to international wine market and as a result, it produces a contribution of around A$3 billion per year to Australian economy. Australian wine exports to more than 100 countries; mainly two biggest markets are United Kingdom and United State. Besides, there are other significant markets, such as Canada, New...
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...as The New Geographical Market To Export Melita Wines Executive Summary In this report focus is brought forward to the Chinese wine Market. A detailed analysis is done on the market, followed by the competition faced by imported products. Key locations in China for wine importation are named and the Chinese drinking habits are analyzed. The Chinese and Maltese relations are studied. And Cisk is taken as a case study as a success story of a Maltese company that is exporting beer to China and is seeing profits. Lastly, the recommendations and way forward are said as a conclusion. Table of Contents Contents Page Title Page 1 Executive Summary 2 Table of Contents 3 Chinese wine industry 4-5 Competition and Pricing 6 Key locations 7 Drinking habits 8 China- Malta relations 9 Case study 10 Recommendations 11 Bibliography 12 * Brief History of the Chinese Wine Industry While there have been commercial wineries in China since the end of the 19th Century, production has only evolved into a serious industry in the past two decades. There are now an estimated 450 wineries, although the largest four hold around 50 % of the market share. Imported wine reached the height of its popularity in 1996 when it occupied half of the Chinese market. When China moved to restrict wine imports with quotas and high tariffs, domestically produced wine increased its dominance...
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...WINE INDUSTRY | Coopers Creek in New-Zealand | | 30/11/2012 | | ------------------------------------------------- INTRODUCTION Coopers Creek is a medium-sized New Zealand winery, established in 1982, when the New Zealand wine industry was small and relatively unknown. Cooper Creek’s has been growing considerably since its creation and today, it plays a major role on its domestic market (New-Zealand) and appears to be a big actor on the international scene. The company has definitely acquired a strong added value in the wine industry. Along this case study we are going to analyze their strategic choices, from the creation to the future projects and explain how it has succeeded to be a major player, experiencing environment, industry, and organization changes. First of all, let’s have a brief look at the environment. * Political factors: Government regulations in the wine industry increase concerns and new trade barriers. For example, some governments ask for high tariffs on imports. However, the pressure of the WTO has led to a tariff reduction, thus, major wine producing countries imposed their own non-tariff barriers. * Economical factors: The increasing number of middle-class people worldwide has led to an increasing appreciation of wine and a strong demand, particularly, in emerging countries such as China or India. Besides, middle-class in those regions is expected to grow rapidly in the coming years. Currency inflation also...
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...Global and International Business Contexts – SM0269 W13012208 Jack Goddard Word Count: 3457 Table of Contents Introduction 3 Part 1: Porter's National Diamond Analysis 3 Part 2: Contemporary Management Issues 7 Part 3: Market Entry Strategy 11 Recommendation to the Board of Directors…………… ……………………………… ….13 Appendices 14 References 15 Introduction This report has been written by the Boston Consulting Group and uses Porter’s national diamond analysis model to evaluate the attractiveness of investment opportunities in the Tunisian wine industry. Also discussed are two key management issues that need to be taken into account before developing operations in Tunisia followed by recommendations on two strategies for entry into the Tunisian wine industry market. In terms of background to this report, it should be noted that the global market for wine industry is changing significantly with substantial differences in the structure of the wine industry around the world. For instance, there are 232,900 wine producers in France but the top 10 brands control only 4% of the market. In contrast, four firms control over 75% of the Australian wine market. Hence there is a marked difference in industry structure when comparing the “New World” producers (e.g. Australia, Chile, United States) to the “Old World” firms. These structural differences are driven by institutional...
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...KWV WINES SHAREHOLDER’S REPORT BY: MARINA YUROVA ULKAR NAJAFOVA JIMMY HUMANIA COMPANY’S DESCRIPTION KWV is one of the most famous and leading “wine and spirits” producing company in South Africa. Founded in 1918 as a winemaking co-operative, by wine makers from the Western Cape in South Africa. Today it is well-known global brand producing wine and spirits with a rich historical background and large variety of high quality wine. COMPETITORS The main competitors of KWV are: ● Distell ● Klein ● Simonsig All of them are situated in South Africa but they distribute globally. However, there are a lot of differences in price, quality and beverage range. In positioning maps below we show differences between these rivals. The price of wine selections starts from €8-€140 euro for 750ml of wine bottle. COMPETITIVE ADVANTAGE The competitive advantage of KWV that it operates on is Uniqueness and Marketing & Sales is the main priority followed by Research and Development. Joint venture agreements and wholly owned subsidiaries in the United Kingdom, Western and Central Europe, USA, Canada and the Middle and Far East, have secured a major share of South Africa's wine exports for KWV International. High quality natural and fortified wines and grape juice concentrate are available on international markets through major importers, wholesalers and distributors. GENERIC STRATEGY KWV USES The strategy KWV operates on is Focused Differentiation because they...
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...Schultz Wines Limited: Pre-seen Information Examination Case Study: What type of organization is Schultz Wines Limited? Schultz Wines Limited was established in 1840’s by one of the founding winemaking families of Barossa Valley in South Australia who had migrated from Germany. The company was listed on the Australian Stock Exchange in 1996 and operates from a single site located in Barossa Valley. The company’s current Managing Director, Fred Schultz, is a fifth generation winemaker, a direct descendent of original Schultz family, and the company maintains the tradition of being an independent family wine company with premium brands, despite being a publicly listed company. What industry, product segments/markets does Schultz Wines Limited operate in? Schultz Wines Limited is the 7th largest company in the Australian Winemaking Industry and competes in key export markets in North America, Europe and Asia. Core activities cover grape growing and procurement, harvesting, crushing (includes crushing for other wineries), storage and fermentation of grapes and distribution to local & international markets, having vertically integrated, Schultz Wines has had its own vineyard and produce 20 per cent of its grapes requirements. Schultz Wines does not bottle its wines. They are bottled by a nearby bottler that also packs them ready for distribution to various markets. Schultz Wines operate in all three major product segments: Table wines (includes Red & White varieties)...
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