Harvard Case

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Colorado Height University Case study of Marketing Chateau Margaux Xuan Mai Le IBS400 Château Margaux had entered the Mentzelopoulos family in 1977 when Andre Mentzelopoulos, the owner of a French supermarket chain, bought it for about €12 million. It located in Bordeaux region, which produces the most prestigious wine in France. The Bordeaux wine community was initially shocked to see it “fall in the hands of a Greek.” However, they gained confidence in Mentzelopoulos as they saw the complete overhaul of the vineyards with better drainage and new plantings. Château Margaux was part of the French elite of wines known as first growths, five specific wines from the Bordeaux region. Wine critic Robert Parker had recently described…show more content…
This would ensure the stability of their price-points and establishment of their brand as a high-end wine producer without there being a concern of devaluation of quality. Pros | Cons | 1. No extra costs 2. Brand exclusivity 3. Stability of their price-point | 1. Losing new customer who first try the wine because they will know more about wine by advertisement. 2. Forgotten brand 3. Extra cost on hire employees in marketing plan and equipment | Remedy 2: Second solution is expand more product with marketing, expanded internationally. They could by a land in the US vineyard in order to break into US wine market. It is also easier to penetrate than the French market. This will allow them to learn more about the mass market. If anything go on the good way, they could then establish a local (France) mass market winery and brand yet another inexpensive wine, but this time from the Bordeaux region. Pros | Cons | 1. More customers 2. France’s shares in US imported wine increase 3. New experiences | 1. Cost on amount of resources required to research in the US mass market 2. Lose rich and connoisseur customers. 3. Risk of being fail while enter the US mass market. | Defense: I felt like the first solution, maintain the traditional without marketing campaign,

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