Argentina Uncorks Malbec; World Ready for a Glass

1. Identify the marketing strategies that have helped Argentina’s wine industry expand beyond its home market and reach consumers in all parts of the world.

Argentina’s wine industry has expanded beyond its home market and has reached consumers in all parts of the world thanks to winemakers’ concentration on cultivating Malbec grapes. Certainly, the industry has found an area in which it excels and was able to export specialized wines that appealed to a more global market, particularly the American market.

2. Even though the Malbec grape is well known in Argentina, consumers in other countries are less familiar with it. What recommendations do you have to help increase consumer understanding of, and appreciation for, Malbec-based wines? In order to help increase consumer understanding of, and appreciation for Malbec-based wines, Argentinian wine makers could promote their wine production by informing consumers on the processes that they use to produce the wine. By promoting the Malbec grape as a local product, and a true Argentinian cultural wealth, consumers may be seduced by the “exotic” nature of the product.

3. The forces of supply and demand affect many industries, and the wine industry is no exception. Currently the world is awash in an ocean of excess wine. Many winemakers in France, Australia, and other countries are struggling financially. Given this situation, what can Argentina’s wine producers do to maintain or increase their market share?

Given the ocean of excess wine affecting the global market today, Argentina’s wine producers should focus on the quality of their wine rather than the quantity produced in order to maintain or increase their market share. Indeed, to maintain its market share, the value perceived by the consumer is where success truly lies.

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