Premium Essay

Global Wine Industry

In: Business and Management

Submitted By niharikagaur1
Words 272
Pages 2
4/26/12

FedEx Express - International Courier & Shipping Company
India Home | Customer Service | Site Index

Search

Go!

International Services Ship Track

Domestic Services Manage My Account Customs Tools

About FedEx
FedEx provides access to a growing global marketplace through a network of supply chain, transportation, business and related information services. NEWS: C l i ck h e re fo r m o re co m p a n y n e w s a n d i n fo rm a ti o n Journalists and Media Relations Newsroom

Eu ro p e , Mi d d l e -Ea s t, In d i a n s u b -co n ti n e n t & Afri ca Awards and Recognition Benefits of Using FedEx FedEx Facts FedEx Story Fraudulent Use of FedEx Name ISO standards 9001:2008 & 14001:2004 Senior Management list FedEx Sports ATP World Tour Roland Garros European Rugby Cup (ERC)

So ci a l R e s p o n s i b i l i ty a n d Pe o p l e

Worldwide Network

FedEx Overview

Careers at FedEx Corporate Governance Diversity at FedEx FedEx Community The Environment

Europe, Middle-East, Indian sub-continent and Africa Asia Pacific Canada Latin America-Caribbean United States

Advertising Annual Reports Corporate History Corporate Structure Executive Bios Investor Relations Thought Leadership

Global Home | Service Info | About FedEx | Careers at FedEx | Write to FedEx | fedex.com Terms of Use | Privacy Policy |

This site is protected by copyright and trademark law s under US and International law . All rights reserved.© 1995-2012 FedEx

www.fedex.com/in/about/

1/1...

Similar Documents

Premium Essay

The Changing Structure of the Global Wine Industry

...International Business & Economics Research Journal Volume 2, Number 9 The Changing Structure Of The Global Wine Industry Michael A. Roberto (E-mail: mroberto@hbs.edu), Harvard Business School Abstract This paper examines the distinctive economic structures that exist in the wine industry in various regions of the world, and it identifies the critical forces driving changes in the structure of this industry. The paper accomplishes these objectives by applying concepts from industrial organization economics, agency theory, and the field of competitive strategy. T he economic structure of an industry affects the intensity of competition and the average profitability of firms in a particular market.1 While strategy scholars have debated the extent to which industry structure explains differences in firm profitability, virtually no one disputes the idea that structural forces have a sizeable impact.2 More recently, researchers have demonstrated that industries exhibit substantial structural differences across various geographic markets around the world. These structural differences are driven by institutional heterogeneity and contrasting patterns of historical development. 3 Over time, the structure of a global industry can change dramatically. In particular, many industries have experienced consolidation in recent years. Industry consolidation raises several important questions for scholars and practitioners. First, why do these structural shifts take place?......

Words: 7130 - Pages: 29

Premium Essay

Effect of Information Technology on Employee Performance

...components. IMC is therefore not just a concept relating to consistency or synergy—it is also a strategic process (Van Zanten & Bruwer 2002a). This is in particular the case of when and how IMC manifests itself at the wine region level, in which case the integration of all the marketing communication efforts of the wine region in order to achieve a strong brand identity is of the utmost importance. The Coonawarra wine region (Geographical Indication) is located in the South East corner of South Australia and is famed for its unique terra rossa soil and bold-flavoured red wines, in particular Cabernet Sauvignon. About 5,000 hectares of vineyards comprise the Coonawarra grapegrowing area. The region currently boasts 16 operating (production-type) wineries and 22 cellar door sales facilities. Around 700 people (full-time equivalent) are employed in the vineyards, wineries and cellar door facilities. The region produces on average about three and a half million cases of wine per annum. A significant portion of Coonawarra wine COMMUNICATIONS INTERNAL INTRA-REGIONAL unplanned messages product & service messages ) initiated by planning group ( planned messages ( planning group ) CONFIRM SAY DO community support, unsought local media support, industry and government body support workshops and seminars, liaison...

Words: 4870 - Pages: 20

Premium Essay

My Case

...102 JULY–AUGUST 2003 > VOL 18 NO 4 > WINE INDUSTRY JOURNAL M A R K E T I N G Rob van Zanten, Johan Bruwer and Karen Ronning FUNDAMENTALLY, Integrated Marketing Communications (IMC) refers to the process of integrating and coordinating the various communication elements commonly known as the ‘promotional mix’. The promotional mix is usually considered to consist of advertising, sales promotion, personal selling and public relations, although some marketers may add other elements such as publicity, direct marketing or sponsorship as major components. IMC is therefore not just a concept relating to consistency or synergy—it is also a strategic process (Van Zanten & Bruwer 2002a). This is in particular the case of when and how IMC manifests itself at the wine region level, in which case the integration of all the marketing communication efforts of the wine region in order to achieve a strong brand identity is of the utmost importance. The Coonawarra wine region (Geographical Indication) is located in the South East corner of South Australia and is famed for its unique terra rossa soil and bold-flavoured red wines, in particular Cabernet Sauvignon. About 5,000 hectares of vineyards comprise the Coonawarra grapegrowing area. The region currently boasts 16 operating (production- type) wineries and 22 cellar door sales facilities. Around 700 people (full-time equivalent) are employed in the vineyards, wineries and cellar door facilities. The region produces......

Words: 4812 - Pages: 20

Premium Essay

Global Wine War 2009: New World Versus Old

...Global Wine War 2009: New World versus Old “We have the people, expertise, technology and commitment to gain global preeminence for Australian wine by 2025. It will come by anticipating the market, influencing consumer demand, and building on our strategy of sustainable growth.” — Sam Toley, CEO of Australian Wine and Brandy Corporation. “By phasing out the buyback of excess wine and increasing incentives for farmers to uproot their vines, the EC reforms will only bring in the New World’s agro-industry model. We need to protect the age-old European model built on traditional vineyards.” — Jean-Louis Piton, Copa-Cogeca Farmers Association. In 2009, these two views reflected some of the very different sentiments unleashed by the fierce competitive battle raging between traditional wine makers and some new industry players as they fought for a share of the $230 billion global wine market. Many Old World wine producers—France, Italy, and Spain, for example—found themselves constrained by embedded wine-making traditions, restrictive industry regulations, and complex national and European Community legislation. This provided an opportunity for New World wine companies—from Australia, the United States, and Chile, for instance—to challenge the more established Old World producers by introducing innovations at every stage of the value chain. In the Beginning1 Grape growing and wine making have been human preoccupations at least since the times when ancient Egyptians and Greeks...

Words: 8224 - Pages: 33

Premium Essay

Global Wine War

...Global Wine Wars Perform a STEEP analysis to understand the general environment facing the global wine industry. How will the wine-producing countries/companies be affected by external factors? Social: There is a 20% drop in worldwide wine consumption but consumers demand more on premium wine (10 liters to 15 liters in EU) and less on basic wine (31 liters to 18 liters in EU). There is a decline in wine drinking culture, rise in importing countries, and growing demand in Asia markets. Figure [ 1 ]: Wine Consumption Per Capita Figure [ 2 ] World Wine Consumption 2002-2006 hectoliters (000) Technological: Change in the grape growing and wine making process from labor to specialize machinery and equipment. Other practices such as night harvesting, reverse osmosis, and trellis system also increase the quality and quantity of the grapes. Environmental: Environmental factors can greatly affect traditional grape growing and wine making because the quality and quantity of the wine can be affected by climate such as temperature, rainfall, humidity, and such. While the new practice of wine making can divert such effects by sourcing grapes and wines from the unaffected regions. Economic: While the economic downturn can make the basic wine consumers look for cheaper wine, it has little effects on the premium wine and upper segment. Political: One of the biggest factors that affects the global wine industry. Rules and Regulations in EU caused the region more......

Words: 503 - Pages: 3

Premium Essay

Global-Wine-War-2009-Case

...9-910-405 AUGUST 13, 2009 CHRISTOPHER A. BARTLETT Global Wine War 2009: New World versus Old “We have the people, expertise, technology and commitment to gain global preeminence for Australian wine by 2025. It will come by anticipating the market, influencing consumer demand, and building on our strategy of sustainable growth.” — Sam Toley, CEO of Australian Wine and Brandy Corporation. “By phasing out the buyback of excess wine and increasing incentives for farmers to uproot their vines, the EC reforms will only bring in the New World’s agro-industry model. We need to protect the age-old European model built on traditional vineyards.” — Jean-Louis Piton, Copa-Cogeca Farmers Association. In 2009, these two views reflected some of the very different sentiments unleashed by the fierce competitive battle raging between traditional wine makers and some new industry players as they fought for a share of the $230 billion global wine market. Many Old World wine producers—France, Italy, and Spain, for example—found themselves constrained by embedded wine-making traditions, restrictive industry regulations, and complex national and European Community legislation. This provided an opportunity for New World wine companies—from Australia, the United States, and Chile, for instance—to challenge the more established Old World producers by introducing innovations at every stage of the value chain. In the Beginning1 Grape growing and wine making have been human preoccupations at least......

Words: 8880 - Pages: 36

Premium Essay

Wine War

...CASE REPORT: Global Wine Wars: New World Challenges Old (Harvard Business School Case # 9-303-056) NMI 1. How did the French become the dominant competitors in the increasingly global wine industry for centuries? What sources of competitive advantage were they able to develop to support their exports? Where were they vulnerable? French wine makers also face challenges that are not internal to the industry. For instance, France lost market share in the United States due to informal boycotts in the wake of the Iraq war. The rise of the euro against other currencies, such as the 30% increase relative to the dollar in the last few years, has put French wines at a comparative cost disadvantage. But consensus among experts is that the primary threat to the French export market is internal to the industry: the inability of the appellation system to appeal to what is becoming a global way of understanding wines (Business Report, 2004). France is the largest overall producer of wine, at 5.3 billion liters of wine in 2001, 20% of world production. France has traditionally set the standard for quality wine as well as defining these standards. French viticulture laws mandates four levels of quality as 1) Appellation d’Origine Contrôlee (AOC) 2) vins délimite qualité supérieure (VDQS) 3) vins du pays and 4) vins du table. French wine makers also face challenges that are not internal to the industry. For instance, France lost market share in the United States due to informal......

Words: 1180 - Pages: 5

Premium Essay

Global Wine Wars

...In most societies, wine can be found as a component of celebration or religious ceremony, but in today's world wine has been put into a new arena- a battlefield of tradition and innovation, where old world conservatives clash with new world revolutionaries. The difficulty of producers to achieve "branding" and to establish themselves in a modern, global market has caused the two conflicting worlds to adjust their practices. Wine-makers and new industry players alike find themselves challenged not only by each other but also by the ever-evolving market they find themselves in. In the following paper group ten collectively presents the research and case analysis of the article, “Global Wine War 2009: New World versus Old”, written by Christopher Bartlett. This paper will present the goals and constraints of the new world Australian wine industry breaking into the United States, along with our competitive analysis. We will show you the hurdles that this new world industry faces in a competitive environment and outline their strengths and weaknesses. After identifying the central problems, we will present alternative strategies that the Australian industry can use and the best alternative to take. Finally, we will present a way to implement the best alternative decision. Viticulture, or the cultivation of grapes, spread throughout the Mediterranean region under the Roman Empire and as wine drinking grew in popularity, was soon used in liturgical services, as monasteries started...

Words: 3136 - Pages: 13

Premium Essay

Global Wine War

...the increasingly global wine industry for centuries? What sources of competitive advantage were they able to develop? Where were they vulnerable? By the Christian era, wine became part of the liturgical services and monasteries planted vines and built wineries and the European nobility began planting vineyards as a symbol of prestige, competing in quality of wine they serve on their table, i.e. start of premium wine market. French wine producers became the dominant competitor as a result of four reasons. First, their geographic and climatic features played significant role. As France is in the middle of Europe culture with suitable climate and soil condition for harvesting grape, had accrued first-mover advantage and established its place as the dominant competitor in the global wine industry. Second, they became the first high-quality wine market and gained a lot experience. Especially, the negociants traded wine between France and other countries and this worked as word-of-mouth effect, increasing the reputation and dominance of French wine. Third, they used the latest innovations such as mass production of glass bottles, the use of cork stoppers and pasteurization. These innovations increased the stability and longevity of wine which allowed the transportation of wine to distant places, and birth of global wine market. Lastly, the government support made significant effect on the reputation and improvement of French wine industry. Government controlled the wine production......

Words: 1737 - Pages: 7

Premium Essay

Business Analysis

...Table of Contents 1. Introduction 1 2. Wine Manufacturing Industry and External Environment 2 2.1 Wine Manufacturing Industry 2 2.2 External Environment 6 3. Porter’s 5 Forces Analysis 10 3.1 Threat of New Entrants 11 3.2 Bargaining Power of Buyers 12 3.3 Threat of Substitutes 14 3.4 Bargaining Power of Suppliers 16 3.5 Rivalry within the Competitive Arena 17 4. Conclusion 19 Reference 21 1. Introduction Captain Arthur Phillip brought grape vines from Brazil and the Cape of Good Hope to Australia when his fleet arrived in Botany Bay, located in Sydney, in 1788, according to Wine Australian which is one department of Australian government. Since that Australia had made a history of producing and exporting wine. In 1854, a barrel of fortified wine was exported to London, which is the first reported Australian wine export (Wine Australia, 2012). Subsequently, Australian exports in wine have boosted at an extraordinary rate especially in recent years, reaching the record level in 2007. Today, Wine Australian also point out that Australia is the fourth largest wine exporter in the world, constituting about 4% of total world wine production, and export over 800 million liters to international wine market and as a result, it produces a contribution of around A$3 billion per year to Australian economy. Australian wine exports to more than 100 countries; mainly two biggest markets are United Kingdom and United State. Besides, there are other significant......

Words: 5380 - Pages: 22

Premium Essay

Global Wine War Case Study

...Global Wine War Case Analysis The global wine war has taken many turns since the 17th century. The largest impact was the immergence of New World wine makers. The largest disadvantages the Old World wine makers battled were the strict government classifications and controls. These rules prevented them from being able to become more efficient, innovative, and different. Before the New World entered the global wine industry, Europe dominated the industry. France became a dominant competitor for centuries because of its existing sources of competitive advantages and the advantages they were able to develop over time. France’s strong wine production and culture took root centuries ago. By the Christian era, wine became part of the liturgical services and monasteries planted vines and built wineries. The European nobility began planting vineyards as a symbol of prestige and competed in the quality of wine they served on their table; this was the start of the premium wine market. French wine producers became the dominant competitor as a result of many reasons. Their geographic and climatic features played a significant role. France is located in an area that has a suitable climate and soil condition for harvesting grapes. They also became the first high-quality wine market and gained a lot of experience for their huge domestic market. They used the latest innovations, which included mass production of glass bottles, the use of cork stoppers and pasteurization. These......

Words: 1056 - Pages: 5

Premium Essay

Global Wine Wars

...the dominant competitor in the global wine industry due to the low effect of the five forces of competition. The main barriers to entry that kept the threat of competitors low for the French were incumbency advantages, unequal access to distribution channels and restrictive government policies. This first barrier, incumbency advantages, can be explained by the domestic French Wine Industry in the late 18th to mid 19th century that was already supporting 1.5 million families for both the growing of grapes and other wine-related businesses. France already had a domestic market for the growth and cultivation of vineyards that was able to provide French producers with a steady supply of agricultural inputs. Secondly, France possessed a domestic distribution system that created the second barrier to entry for competitors, unequal access to distribution channels. Their domestic market already utilized a distribution system by selling wine in bulk to merchant traders called negociants who would blend and bottle wine before distribution. With advances in both bottling and pasteurization allowing for long distance transportation of wine, France was in a premier spot to take advantage of exporting wine. Finally, as the wine industry continued to grow, the French Government created new barriers to entry by implementing a classification system that greatly benefited the French. This barrier to entry, restrictive government policies, allowed French wines to differentiate their......

Words: 1872 - Pages: 8

Premium Essay

Vincor and the Wine Industry

...The Wine Industry and Vincor Vincor International Inc. is in the business of selling premium wine to discerning wine drinkers. The company relies on its firm resources and capabilities from which it derives its distinctive competencies. These include the ability to produce market and distribute premium New World wines to a growing market of customers around the world. The total estimated world market is worth approximately $190 billion dollars (U.S.). Vincor’s strategy is based on its distinctive competencies (such as world renowned wine making experience, vineyard development and ownership, and the ice wine product/brand) and centres on an acquisition and takeover formula (sometimes with a joint venture component). The company believes that in a highly fragmented wine industry the only companies that are going to survive, grow and maintain a competitive advantage are those that can rationalize their cost structures, achieve economies of scale and control their distribution channels effectively. Synergies in marketing, sales forces, administration and other overhead factors can drive down per unit costs and make Vincor more efficient. By lowering its cost structure, Vincor can pass lower costs to consumers and gain market share in a global market place. Vincor has surmised that the best way to do this is expand, through a combination of equity and debt financing to take over competitors, whenever there is a good “strategic fit.” The industry in which Vincor......

Words: 1672 - Pages: 7

Premium Essay

Mondavi and the Wine Industry

...The global wine industry is divided in two areas, which are the Old World Countries and the New World Countries. The Old World countries are those located in Europe, while the New World Countries are Australia, United States, Chile, and South Africa. During the past few decades, global consumption of wine had been increasing. While the demand of premium wines was increasing, the consumption of inexpensive wine was decreasing. In Europe, families owned small vineyards and most of them produced wine for their own consumption. On the other hand, in the New World, larger firms owned wineries and competition was strong. I will use Porter’s Five Forces to analyze the global wine industry. Threat of New Entrants: Low; Entry Barriers: High (-) I would say that in the global wine industry, the threat of new entrants is low and the barriers to entry are high. This is due to the fact that the acquisition of new land and labor to produce wine requires a large amount of capital. Known brands spend a large amount of money on technology, innovation, and advertising, so it would be hard for independent wineries to start their own production, especially in New World countries and be profitable. Additionally, price per acre in the United States is really high, and a new piece of land takes several years to produce revenue. Also, the wine industry is already a mature one and consumers have their preferred brands of high quality wine, therefore obtaining a large share in the market......

Words: 1035 - Pages: 5

Premium Essay

Factors Explaining Nature, Spatical Patterns and Future Directions of a Winery

...Describe the biophysical, ecological, economic and sociocultural factors that explain the nature, spatial patterns and future directions of a global economic activity you have studied INTRO The factors that explain the nature, special patters and future directions of viticulture include the biophysical, ecological, economic and socio-cultural factors. BIOPHYSICAL FACTORS The ideal temperature for growing grapes depends on the type of grape. For growing white grapes, ideally the temperature should be 19°C and for red grapes, 21°C. Reaching this ideal temperature is important because it is how the vine produces the sugar needed for plant growth, which influences the colour and flavour of the grape. The scientific reason for this temperature requirement is due to the enzymes involved in sugar production, and the ideal working temperature for these enzymes. Insolation refers to the level of solar radiation; this has an impact on the rate of photosynthesis and therefore affects the amount of plant growth. For this reason there is a certain longitude where grapes grow best. Aspect affects the amount of sunlight received on the vineyard. In the southern hemisphere north and west facing slopes are ideal as they receive more sunlight. Excessive wind results in grapes being damaged and vines become stressed, if there are strong winds it can break off shoots and cause damage which results poor growth and decreasing levels of photosynthesis. Vines generally require approximately......

Words: 1662 - Pages: 7