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21 – 30 of 134Abel Duarte Alonso, Alessandro Bressan, Michelle O’Shea and Vlad Krajsic
For many wineries, internationalisation strategies, particularly in the form of exports may provide opportunities and financial gains. However, as more wine producers enter and…
Abstract
Purpose
For many wineries, internationalisation strategies, particularly in the form of exports may provide opportunities and financial gains. However, as more wine producers enter and compete in an increasingly convoluted wine market, accordingly the “playing field” in the wine industry becomes increasingly complex. To shed more light into wineries’ internationalisation efforts through exports in the currently uncertain business climate, this preliminary study investigates a group of predominantly micro, small, and medium wineries from both New and Old Worlds of wine. The paper aims to discuss these issues.
Design/methodology/approach
An online questionnaire was designed to gather data from winery owners and managers that invited to participate voluntarily in the study; a total of 499 usable responses were obtained.
Findings
Diversifying and entering new markets, especially due to domestic competition are respondents’ main reasons for embarking in exports, while unfavourable currency exchange, issues of trust, or entry barriers are key challenges many of them face. Further, despite the relatively limited wine production of most participating wineries, respondents perceive a necessity to be present internationally. Indeed, rather than fitting into a specific business model/cycle, the current complex business environment is triggering export strategies among entrepreneurs.
Originality/value
The fiercely competitive wine market and continuously changing consumer trends significantly contribute to the complexities the wine industry faces. However, few academic studies have investigated some of the complexities that wineries located in different geographic, economic, political, and social environments face. In this regard, the study makes a contribution by identifying several developments related to complexity theory, including the impacts of globalisation, competition, and change, and the resulting complexity in the wine sector.
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Joanna Fountain, Nicola Fish and Steve Charters
There is growing research on the value of winery tasting rooms/cellar doors as an avenue for relationship building with consumers resulting in greater brand loyalty. This paper…
Abstract
Purpose
There is growing research on the value of winery tasting rooms/cellar doors as an avenue for relationship building with consumers resulting in greater brand loyalty. This paper aims to examine the role of tasting rooms in this regard in an Australasian context.
Design/methodology/approach
The research was exploratory, designed to explore a full range of visitors' experiences at the winery tasting room, using a modified form of mystery shopping combined with focus groups.
Findings
Establishing brand loyalty through a winery tasting room experience requires more than just good wine or good service quality, rather it results from an experience which is personalised and which establishes an emotional connection between the visitor and the winery, their product and winery staff. Generally smaller wineries were making this emotional connection more effectively than larger wineries. By contrast, staff at small and larger wineries alike were making little effort to establish concrete links to instil brand loyalty with the wine tourist post‐visit by encouraging repeat visitation or promoting their mailing lists or even eliciting wine sales.
Research limitations/implications
The research focused on a relatively small number of consumers in Australia and New Zealand and thus may not be immediately generalisable to other markets.
Practical implications
The research highlights numerous areas for improvement in the organisation of tasting room encounters and the training of staff, noticeably with regards to making lasting connections with visitors resulting in future brand loyalty; issues which could be addressed by winery managers.
Originality/value
The paper gives depth to results previously reported by researchers on the role of service provision at the tasting room to the overall winery experience, and adds perspectives on the effectiveness of efforts to establish brand loyalty and maintain post‐visit contact with the winery visitor.
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Jasmine Koch, Andrew Martin and Robert Nash
The purpose of this paper is to consider how German wineries can successfully diversify into wine tourism, in an effort to support their primary business activity of producing and…
Abstract
Purpose
The purpose of this paper is to consider how German wineries can successfully diversify into wine tourism, in an effort to support their primary business activity of producing and selling high quality wine.
Design/methodology/approach
A survey questionnaire was created, collected and analysed using the software programme SurveyMonkey.
Findings
Results indicate that the implementation of wine tourism by German vintners will be a significant challenge as the respondents report a lack of marketing and tourism management skill and knowledge; most are small to medium‐sized enterprises (SMEs) – which means they have little time or manpower available to devote to developing wine tourism; and there is a low level of reported co‐operation amongst stakeholders.
Research limitations/implications
The research could have taken place over a longer period of time, in order to present more reliable data and also it could have included a more representative sample from other sectors of the industry, such as co‐operatives. The research is also limited in scope to Germany and further comparative studies could be carried out focusing on other wine tourism‐related countries, such as New Zealand, France or Italy.
Practical implications
Wine tourism is a crucial element of both the tourism industry as well as the sector of viniculture. Wine tourism marketing strategies fail to meet the expectations of either the vintners or the tourists. However, wine tourism is vitally important for vineyards as it helps to create brand loyalty and to establish customer relationships.
Social implications
There is a strong need to create marketing strategies which strike a balance between developing and promoting wine tourism and the core activity of the vineyards, which is to produce and sell wine.
Originality/value
The availability of literature in English on German wine tourism is scarce and this study is significant, especially because wine tourism in Germany is a relatively new phenomenon. The development of appropriate marketing strategies is therefore required to successfully improve wine tourism.
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Lisa C. Thomas, Sandra Painbéni and Harry Barton
The aim of this paper is to develop an understanding of the value and application of entrepreneurial marketing within the French wine industry.
Abstract
Purpose
The aim of this paper is to develop an understanding of the value and application of entrepreneurial marketing within the French wine industry.
Design/methodology/approach
Following an initial review of the literature describing the nature of entrepreneurial marketing and its potential application within the wine industry, a case study is presented of a small independent winery of the Côtes du Rhône in order to explore the theory and practice of entrepreneurial marketing in this commercially important French wine growing region.
Findings
The marketing approach adopted by the case company is found to contrast with the traditional adversarial approach to competition prevalent throughout the French wine industry. The case study illustrates how entrepreneurial marketing has allowed the leverage of superior knowledge of customer preferences, market intelligence and product knowledge in the process of delivering superior value to the customer through brand differentiation at firm level. Additionally, engaging in cooperative relationship development at regional and international level appears significant in creating opportunities for knowledge acquisition and innovation.
Originality/value
The research provides interesting insights into the potential value of the adoption of entrepreneurial marketing by small wineries in France.
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Rumintha Wichramasekera and Geoff Bamberry
Australian wineries have shown a dynamism lacking in some other regional industries by successfully tapping into international markets. This paper provides an overview of…
Abstract
Australian wineries have shown a dynamism lacking in some other regional industries by successfully tapping into international markets. This paper provides an overview of Australian wineries engaged in exporting in terms of their age. size, domestic market penetration, level of export planning, attitudes towards factors enhancing or inhibiting exporting and reasons for advancing through the various stages of exporting. The overview also outlines a range of characteristics of the managers of exporting wineries. Comparisons are made with wineries that decide not to export. The overview uses a four stage model of internationalisation to analyse data from a survey of 292 Australian wineries as well as a number of case studies.
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Armand Armand Gilinsky and Raymond H. Lopez
In October 2004, Mr. Richard Sands, CEO of Constellation Brands, evaluated the potential purchase of The Robert Mondavi Corporation. Sands felt that Mondavi's wine beverage…
Abstract
In October 2004, Mr. Richard Sands, CEO of Constellation Brands, evaluated the potential purchase of The Robert Mondavi Corporation. Sands felt that Mondavi's wine beverage products would fit into the Constellation portfolio of alcohol beverage brands, and the opportunity to purchase Mondavi for a highly favorable price was quite possible due to recent management turmoil at that company. However, should it be purchased, strategic and operational changes would be necessary in order to fully achieve Mondavi's potential value. In making a decision, students need to consider the attractiveness of the wine industry, its changing structure, its share of the overall market for beverages, and rival firms' strategies. As rival bidders may emerge for Mondavi's brands, Constellation must offer a price that demonstrates its serious intent to acquire Mondavi.
Mark M.J. Wilson, Ian A. MacDonald and Monnane M. Monnane
The purpose of this study is to examine three governance structures (market, contract and vertical integration) that are commonly used to coordinate procurement relationships…
Abstract
Purpose
The purpose of this study is to examine three governance structures (market, contract and vertical integration) that are commonly used to coordinate procurement relationships between grape growers and winemakers in the wine industry. This paper aims to adopt a multi-theoretical approach combining transaction cost and relational exchange theories to explore the influence that trust and a state’s legal system have on the choice of governance mechanism. The authors propose arguing that, in the absence of an efficient legal system, trust must exist between parties to facilitate the pervasive use of contracts.
Design/methodology/approach
The empirical results are derived from mail survey responses of 111 South African and 116 New Zealand wineries. These two countries were selected because of the variances in the efficiencies of their legal systems. Multiple regression models were used to investigate the importance that parties place on trust and the legal system when considering the use of incomplete contracts to govern supply chain relationships that are characterised by high asset specificity and high uncertainty.
Findings
It was found that contracts are frequently used to govern transactions in both countries, and that trust between parties is an effective substitute for an efficient legal system in governing contractual relations. Specifically, it was found that trust between parties is the major motivating factor for the use of contracts in South Africa, overcoming the weakness of the legal system, while reliance on the legal system to enforce contracts underpins the New Zealand industry.
Originality/value
This study offers a direct cross-country comparison drawn from a population study of two major wine-producing countries that has not been attempted before. In the three models, measures were included to capture the effectiveness of a state’s legal system to extend the governance literature.
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Jacques-Olivier Pesme, Roger Sugden, Malida Mooken, Marcela Valania and Kim Buschert
Identity is often used in wine territory narratives but its meaning is rarely explored with industry actors. This paper aims to present the development and application of a…
Abstract
Purpose
Identity is often used in wine territory narratives but its meaning is rarely explored with industry actors. This paper aims to present the development and application of a four-step iterative process for engaging an industry in a complex and deep reflection about its shared identity: understanding identity; identifying commonalities and differences; developing a shared narrative and sharing best practice.
Design/methodology/approach
The authors have engaged with over 50 wineries between 2016 and 2018 on the identity of the British Columbia wine territory through workshops, interviews and other conversations. Complementary methods include documentary review and observations.
Findings
The work shows the applicability of the four-step process. Success depends on building relationships with and across the industry; creating independent, safe learning environments and facilitation by an independent party; allowing for feedback between the steps, continuous reflection and reiteration of steps and making the time for complexity.
Practical implications
The application of the process in British Columbia shows that success depends on building relationships with and across the industry; creating independent, safe learning environments and making the time for complexity.
Originality/value
The paper presents the application of a unique process for industry to explore the identity of a wine territory. It focuses on British Columbia, about which little has been written. Through the process, the industry can better understand identity, what it is, why it matters and how it impacts businesses. The paper’s insights can inspire researchers and industries in their thinking and practice about identity.
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The last few years has seen an unprecedented interest in the marketing and development of wine and culinary tourism, both overseas and in Australia (Macionis, 1998). Indeed, wine…
Abstract
The last few years has seen an unprecedented interest in the marketing and development of wine and culinary tourism, both overseas and in Australia (Macionis, 1998). Indeed, wine and food have become integral components of the tourism product and experience (Hall, et.al., forthcoming). For example, Tourism NSW's Food and Wine in Tourism Plan (Tourism NSW, 1996:2) states that it is the “beginning of [and] effort to bring food and wine into the tourism mainstream,” while regional areas such as NSW's Central West have launched the Cowra‐Orange‐Mudgee Experience (COME), which focuses on food and wine as the “hook to lure more visitors” (Downey, 1998:6). Despite the increasing recognition of the role of wine and food in attracting visitors and the often quoted synergy and complementary nature of the wine and tourism sectors (King, 1998; Connel and Gibson, forthcoming) there has been little specific focus on wine, food and tourism linkages. In addition, wine tourism is often viewed only from the perspective of cellar door visitation and tasting (King, 1998), with little consideration placed on conceptualising wine tourism away from the winery. For example, many tourists' first experience with local or regional wines is often far removed from the cellar door, occurring at their hotel or at a restaurant. As such there are considerable opportunities in more explicitly linking and marketing the wine and food products in a tourism context. This paper reports on an exploratory examination and analysis of the nature and extent of linkages and relationships between the wine, food and tourism sectors in the Canberra Region. Based on extensive interviews with Canberra restaurateurs, it examines the potential of wine and food tourism in a developing wine region, highlights practices and perceptions that restrict the development of productive linkages between the wine and food sectors, and explores opportunities for strategic marketing activities that will benefit both industries at both a micro (i.e. individual enterprise) and a macro (destinational product development and marketing) level.
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Linda Bitsch, Shuo Li and Jon H. Hanf
Regarding the global development of the wine industry, China has gained a notable share in terms of wine consumption, and its domestic wine production has increased steadily since…
Abstract
Purpose
Regarding the global development of the wine industry, China has gained a notable share in terms of wine consumption, and its domestic wine production has increased steadily since 2000. The wine production process requires close coordination between growers and processors to avoid disruption and instability in the supply chain of the wine grapes. However, vertical coordination in the Chinese wine regions has received little attention. Based on the existing theoretical background on vertical coordination, this study aims to detect the evolution processes of vertical coordination in the Chinese grape market.
Design/methodology/approach
Exploratory qualitative research fits with the aim of this study. From December 2018 to January 2019, interviews with grape growers and wine processors of various Chinese wine-producing areas took place. After transcribing all recorded files into text, a qualitative data analysis following the approach of Mayring (2015) was used to analyse and interpret the data.
Findings
The models of vertical coordination in the grape supply in China vary between the producer's requirements on grape quality/quantity and the arrangements of grape supply chains, which are diverse depending on regional strategies of the local government.
Research limitations/implications
However, in this research, the authors did not get into details on the organization of the contractual coordination, and due to the limited access to grape growers, the relationship between farmers and processors cannot be analysed in detail. With a better understanding of the coordination relationship and enhanced contract enforcement, the vineyard management and grape supply chain management can be better performed, inducing a steady industrial development.
Originality/value
Regarding the global development of the wine industry, China has gained a notable share in terms of wine consumption, and its domestic wine production has increased steadily since 2000. However, vertical coordination in the Chinese wine regions has received little attention. The study provides a first insight into the grape market structures, as very little is known.
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