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The Environment of Murfatlar

In: Business and Management

Submitted By SimonaNistor
Words 1319
Pages 6
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 decline came even in a time when large manufacturers in Romania had finalized extensive investment programs, both in production, as well as a new branding and market positioning. The year 2009 has not provided the prerequisites for such growth in previous years, local manufacturers and big industry estimated that 2010 will not bring any better news. It will be a year of growth, given that consumers will migrate from one manufacturer to another but also from the wine of the medium and high quality to a low one.
While announcing the premises years for the wine industry, which is in the process of winning investment, the market crisis has collapsed all levels of local producers in the wine industry. Lack of access to bank loans for further investment, lower sales volume, changing consumer behavior were some of the factors leading to compression of the wine market. Syndrome "full stack" had subsided, customers migrating to a traditional area of trade, tempered with a greater penchant for price and quality.
The trend of migration of low-price consumer segment is reflected in the evolution of the wine market, which last year fell to 10% in...

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