Silver Oak Winery
The Silver Oak Winery was established in 1972 by the Raymond T. Duncan and a friend, Justin Meyer in the Napa Valley Region in California. Undoubtedly Duncan had always possessed an affinity for the Napa Valley Region and he held a goal of establishing a winery in this charming area of California. Because Duncan enjoyed no viticulture experience of his own, he relied on his friend Justin to plant and manage the vineyards. ("Our Story.") Although the Napa Valley is small in nature with a length of around thirty miles long and only a few miles wide in distance, the valley is replete with numerous diverse microclimates and soil types which leads to the cultivation of a variety of high quality wine grapes. Many wines that are grown in this area include Cabernet Sauvignon, Pinot Noir. Sauvignon Blanc, Zinfandel and Merlot. Napa Valley enjoys a dry Mediterranean climate which allows for a high quality of premium grapes. ("Napa Valley American Viticultural Area (AVA).") Raymond and Justin conceived a unique idea for their winery. Rather than producing multiple varietals, they would focus on a single wine – Cabernet Sauvignon. Specifically, their goal was to produce a delicious wine from the genesis and to achieve this goal, they committed to an extensive aging program of twenty-five months in American oak barrels, and fifteen-twenty months of cellaring in a bottle. ("Our Story.") As a result, the first harvest from Silver Oak’s Alexander
Bonny Doon Vineyards, a successful winery business based in Santa Cruz, California, has grown from selling 5,000 cases of wine a year in 1981 to 200,000 cases a year in 1999. To keep growing and be more profitable, the business must choose amongst three possible strategic directions. The first strategy is to start importing wines from Europe into the United States. The second alternative is branching into a retail outlet for unusual wines of great value, accompanied by a high level of service. Lastly, the business’ D.E.W.N could be expanded to include wines not made by the company itself but by other wineries that follow the same values and philosophy.
Ms. Quintana CEO of Northern Napa Valley Winery Inc. was considering conducting business with Trans Continental stores to sell excess grapes from the 2008 harvest. Prior to making a decision Quintana must determine how much of the harvest should be retained for the production of Northern Napa’s own red table wine. Quintana realized that the quantity of red table wine produced is closely associated to the sales.
It depends on what types of products one plans to produce using the land. Since the winery business requires high investment in real property, it is important for one to make an investment decision on what market segment it wants to play in. Napa Valley is widely known as a good place for staring a vineyard and the land price is relatively higher than anywhere else in the US. The initial investment would affect the cost structure, which eventually drives up the price of wine. For example, budget wine consumption is very price sensitive and some competitors are trying to maintain their competitiveness with a lower price. If a company decides to produce wines from the winery in Napa Valley, soon, it would be forced to put a premium on the wine price to maintain a level of margin and ,eventually, the company would lose its competitive edge if it is a price player.
Smaller firms such as the family run operations in Europe may not be able to realize these same cost efficiencies. Furthermore, grapes represent 50 to 70% of a winemakers COGS, thus the competition for sourcing high quality grape growers is quite high. Just as Mondavi does for 75% of its purchases, most premium wine makers enter into long-term contracts with growers to not only ensure that their demand is met but also to make sure that they receive grapes that are consistent in quality.
Valley Winery was founded in 1933 and has risen to be the largest domestic producer of wine in the US. The company has more than 40% of market share in the US and
The Variety of grapes planted in Grand Valley vary widely and the yield percentage is relatively low. The styles in wine vary from dry white and red with ice wine as well. Ice wine is a sweet and concentrated wine made from grapes that freeze on the vine. There are many different varietals of wine used in the Grand Valley which include red wines, white wines, and rose wines. White wines consist of merlot, Shiraz, and Cabernet Franc and rose wines consist of Rose’. The TTB, which is the Alcohol and Tobacco tax and trade Bureau, imposes many different requirements on an Ava such as evidence of the name of the proposed AVA is locally or nationally known as referring to the area, historical or current evidence that the boundaries are legitimate, evidence that growing conditions such as
Rivera Vineyards, Inc. is a collection of several companies including, Blas Rivera Vineyards, Linda Vineyards Inc., BR Co. and Oasis Distributing. Their primary business is growing and shipping table grapes. These vineyards are located on 2,000 acres in Coachella Valley, California. Rivera Vineyards, Inc. has over 1,800 employees. Fifty-seven employees were involved in a harassment suit, initially filed by Virginia Mejia and Rosario Taylor. The primary parties involved are Latino farm workers (victims), Rivera Vineyards, Inc. (employer), and the Equal Employment Opportunity Commission (U.S. federal government agency).
This winery doesn’t take itself too seriously – on your way up the road to the “twisted” tasting room, there are wacky signs and rubber chickens in the trees. But the wine? That’s seriously good. They host concerts throughout the year, have great spots to picnic and a basket of toys on the porch, as well as a swing for the kids, so they can play as you
Since Cork’d inception in February 2006, the company was designed for and by wine lovers. Time showed that this industry had such a demand that needed more dedication and that is when
Also, California has Unique Temperature patterns are critical for growing wine grapes because the warm days and cool nights of California, especially the coastal regions, have a large effect on the grapes and the wine they produce. Beside, Warmer temperatures typically produce riper, sweeter grapes, which in turn lead to higher alcohol content wines. These warmer temperature grapes also produce fruitier wines typical of California Wines. Cabernet grapes especially need these warm temperatures. Grapes grown in the cool regions of the California coast tend to be less ripe, less alcohol
E. & J. Gallo Winery was founded by Ernest and Julio Gallo in 1933. Since then it operated as a privately owned and family-operated corporate. The Gallo family is very knowledgeable from growing grapes process until to own and operating distributorships. Hence, Gallo Winery must retain this family business and pass it to another generation. In short they are advised to concentrate on their single business, such as concentrating on growing grapes. They can conduct an in-depth research and development on growing grapes. Hence they can have a better resource which is grapes from their competitor. Maintaining on their single business is an idea for them to reduce the size
The United States wine industry is a 12 billion dollar industry and is composed of 7,000 wineries and around 1,800 different companies. The three major companies within the industry are Constellation brands, E&J Gallo, and The Wine Group Inc. The industry has made its way through the economic crisis at a better rate than some of the other U.S industries however in order for them to continue to see any type of growth it is important that they acknowledge their issues and find ways in which they can rectify them. The majority of the issues among the industry are problems that cannot be directly controlled by individual wine companies. Therefore it is imperative that wineries find away to use these issues to their
The Mondavi Corporation has over 8,000 acres of vineyards in its portfolio. This company is constantly searching for new vineyards and ways to grow the finest grapes to harvest. Even though Napa Valley, California is where most of their vineyards are located, Mondavi has vineyards worldwide.
Another target population are travelers that typically come from the United States, however, approximately 10% are from other countries.
The Cabernet Sauvignon grape is a small thick skinned, blue-purple grape with lots of seeds in proportion to its size(A-150). There are two main reasons that Cabernet Sauvignon continues to thrill our palates and table. The first is its ability to adapt to the soil and climate. The second is its ability to resist plant viruses and diseases (B-38). Two significant sites for Cabernet Sauvignon are Bordeaux, France and Napa Valley, California (A-152). In France, the ancient gravel of Bordeaux holds heat, which allows the vines to stay warm while at the same time preventing the vine from truly thriving. It is the barely surviving that makes the flavor, so intense and produces the highly sought after fruit (A-152). In California’s Napa Valley it is the ability of the rocky and volcanic soil of the alluvial (fan??) to hold water and nutrients, which creates the signature flavor (A-153). When it comes to bottling Cabernet Sauvignon it is rarely bottled alone. In Bordeaux it is usually part of a team of red grapes that includes either