Vina San Pedro

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Vina San Pedro

2. Vina San Pedro is part of the 3 largest wineries of Chile. In 1994 Compana Cervecerias Unidas purchased 48.4 % of VPS shares, gaining partial ownership.
Through several different implementations CCU increased the number of customers and increase domestic sales, something VPS had been struggling with. In 1997 Matias Elton was appointed president and was put in charge of growing furthermore the domestic market, increase quality, expand sales and achieve further economies of scale. How should he go about it and how fast?

3. In order, to come to a decision it’s important to first look at both markets the domestic and international to see where the opportunities lie. Chilean market is said to be mature only 4 %
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And that is an advantage because by living in the North American market, he knows the cultural difference and tastes of that area and he also knows the right people. He seems to have a good grasp of the financial situation. In order to reduce costs he rents harvesting machines instead of buying them, which allows in saving a good amount of money per year. He’s brought in a consultant, Jacques Lonton from France to develop broader product strategies and adjust final mixing formulas. Elton has reorganized the company so that everyone clearly knows what their function is and who to report to. The management know-how of Elton will help VSP keep organized when expanding.

Corporate advantage has thought us; that any successful business begins with a vision. And when a company’s resources are critical to the success of its business, the result is competitive advantage. VSP is armed with a clear vision that was put in place by CEO Jottar to support the future of the company. VSP depends on its resources, the grapes to make money therefore they have a great advantage over many other wineries because they are growing the original rootstock from Europe, making it the only one in the world, making it very valuable. They have experience as they have been running for more than 400 years, expertise and skills. They have good management from Elton, labor laws are very relaxed, temporary workforce easily available and new packaging offer from Combi-Bloc to make it the

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