Do Institutions Matter? The Case of Wines Manufacturer from AN Emerging Economy

Abstract

Purpose

The case of Wines Manufacturer from an Emerging Economy (WMEE) aims to provide a starting point for reflections and discussions about the influence of home country formal institutions on the internationalization process of an industry in an emerging market context.

Methodology/approach

The plot revolves around the Wines Manufacturer from an Emerging Economy project, which was created to promote the Brazilian wine industry in the international market. A qualitative-descriptive approach was applied to the study, and data collection was conducted through primary and secondary sources.

Findings

The context involves the difficulty of positioning Brazilian wines in both the domestic and international markets, especially fine wines. The relationship networks built during internationalization processes (in most cases promoted by formal institutions such as WMEE) help to shape strategies for Brazilian wineries.

Originality/value

Doing business in international markets has made Brazilian wine known worldwide and internationalized wineries can attain new levels of learning, which can be transposed into their domestic operations. If, on the one hand, institutions are important for promoting the industry and its internationalization process, on the other hand, it is equally true that the fragmented institutional structure and their overlapped roles generate many conflicts.

Citation

Monticelli, J.M., Garrido, I.L. and Dal-Soto, F. (2016), "Do Institutions Matter? The Case of Wines Manufacturer from AN Emerging Economy", The Challenge of Bric Multinationals (Progress in International Business Research, Vol. 11), Emerald Group Publishing Limited, Leeds, pp. 349-367. https://doi.org/10.1108/S1745-886220160000011018