Global Wine War

2088 Words Sep 3rd, 2013 9 Pages
Global Wine War
By Christopher A. Bartlett
Case Analysis Report

Introduction
The concept of production and sale of wine was originated in the European countries known as the old world according to the article "Global Wine War 2009: New Word versus Old" these are; France, Italy, Spain and Greece. Here the wine culture was developed mainly due to the habits of religion and high society which caused them to have the highest consumption per capita in the world, creating a very attractive and important industry for the governments of those countries.
On the other hand, countries known as the New World, have advanced in this industry breaking paradigms, using marketing strategies that allowed them to gain market share and to weaken its
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Within the distribution variable, new world countries are able to skip a step in the value chain, taking better control of it, coming directly to retailers without going through distributors. This has helped them to quickly address changing trends and demands of the consumer.
Within the marketing umbrella, new world producers had broken paradigms using wine box packaging for sale and creating new segments of wine classifying these by the type of grape, which caused that consumers begin to compare what kind of wine to buy, its origin, grape, and quality before buying.
Finally, the governance factor has played an important role, through their legislators and industry associations from each country. Originally, France began to tax to owners of vineyards, as it started to be a major industry, which was very attractive to the government, while in New World countries there is more freedom to produce and sell wine internally and for its production and export.
The combination of these factors made the old world countries lower their market shares, the per capita consumption, while new competitors were created mainly in the New World countries that have managed to respond faster the consumer needs.

3. What advice would you offer today to the French Minister of Agriculture? To the head of the French wine association? To the owner of a

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