A look at the strategic management of wine salability.
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Paper Summary:
This paper examines how, like any marketed item, wine has a demand for salability and marketing finesse. It looks at how, with recent changes in the regional availability of wine and the ever-changing market in the modern, fast-paced, global economy, salability has become key to determining the value of the product. It shows how current market research associated with the role of quality in sales has determined a strong correlation between status and perceived quality and how, because of the focus in the wine industry on measured quality, it is one of the most likely industries to be sighted for examples of market change and demand.
From the Paper:
"A law enacted in 2000 protecting Napa Growers and sellers from name infringement, ?requires at least 75 percent of the content of Napa-labeled wines to be from the Napa Valley.? (Ryan 2004) is being challenged by a marketed lower quality grower who uses the Napa name regardless of the non-Napa grape content of their wine. ?Bronco is a major industry presence, selling more than 10 million cases of wine in 2002. It controls several inexpensive labels like ForestVille and Charles Shaw, also known as ?Two-buck Chuck.? Though clearly the wine production being detailed in such an example is not of the caliber associated with wine quality by a standard set of guidelines, and it can be argued that the progressive exposure to wine in any form can leads to a growth in consumer interest in quality products, progressively, the truth is that quality growers often feel challenged by those who produce cheep table wine for mass consumption."
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