General Analysis of wine industry and Murfatlar
Wine Market has some features that customize the overall food market. In this market, competition between different types of products plays an important role, outlining the size of supply and demand. The substitution effect plays an important role in the competition between alcoholic and nonalcoholic drinks, as an essential element of this market.
Wine market is a mature market whose development is strongly affected by favorable or unfavorable consumer habits and by buying behavior of consumers of wine. In traditional producing countries and consuming wine, wine consumption decreases rapidly while the consumption of quality wine grows slowly.
As in other industries, the wine market…show more content… nobilis) leading to the super concentration of the sugar of grapes, an essential factor in achieving liqueur wines.
Technical factors (technical equipment available) and their influence upon the obtained product is adapted to each variety of wine. Tradition and experience are worth now made using the most modern winemaking technology.
Porter’s Diamond 1. Factor conditions
Murfatlar wine is a market leader with a market share of 32%. In other words, one of three bottles purchased in Romania is Murfatlar.
Current and potential customers:
77.0% of cases bottled wine consumer purchases to 0.75 L. 67% of people who purchase wine are men and only 23% of buyers are women. The occupation categories are better represented among consumers of wine are those committed with secondary education (27%), employee education (26%). Follow students (19%) and those without a job. 47% of wine consumers have secondary education and 38% of wine consumers are college graduates. Only 15% of consumers have primary education.
Competition and potential entrants
Wine market recorded a total turnover of 400 million euros in 2010 and is expected to maintain this value in 2011, according to representatives of wine producers in Romania. Laura Musat, PR Manager of Murfatlar, says that the market has evolved and even though because of the crisis the consumers are spending less on the wines, their standards and increasing demand cause in increase in premium