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Argentina Wine

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Submitted By jjones11
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Argentina Wine
My company has become interested in selling wine. My company will consist of a few stores throughout the country along with an online store. My company will be different than others by not carrying local wine. My company is based in the United States but is investigating in to selling imported wine from Argentina.
The United States wine industry has been increasing in sales since the early 90’s. In 2014 just 893 million gallons of wine were sold in the United States. California produces about 90% of American wines. Though Americans are the top consumers of wine throughout the world, our production only account for 8% of wine produce in the world.

Malbec one of the wines Argentina produces in large quantities is one of the favorite cheaper wines in the United States. About 94% of restaurants in the United States serve Malbec. So there is a defiant demand for this wine. The United States being the largest importer of Argentina wines can be seen as either a strength or a weakness. Strength is that you know it will sell, and it is essay enough to import. The weakness is that there is a chance that the supply is already meeting the demand. This wouldn’t be such a bad effect on online stores but actual stores would need to research to make sure the market is not already covered in their area. The best reason to not import wine from Argentina is the new labor price increase. Some farmers are saying that is almost 40%. This will make the cost of wine rise and there may no longer be any Argentina wines under ten dollars. This makes the Argentina wine market for 2016 will be a large risk. Works Cited
Export.gov - Home. (n.d.). Retrieved January 29, 2016, from http://export.gov/
The Wine Institute. (n.d.). Retrieved January 29, 2016, from http://www.wineinstitute.org/
WineAmerica. (n.d.). Retrieved January 29, 2016, from http://wineamerica.org/

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