scholarly journals Factor endowments, markets and vertical integration. The development of commercial wine production in Argentina, Australia and California, c1870-1914

2011 ◽  
Vol 29 (1) ◽  
pp. 39-66 ◽  
Author(s):  
James Simpson
Keyword(s):  
Organizational Structure ◽  
Vertical Integration ◽  
New World ◽  
Wine Industry ◽  
Alcoholic Beverages ◽  
Market Demand ◽  
Wine Production ◽  
Factor Endowments ◽  
Grape Quality

AbstractGrape quality and the nature of market demand played a major role in determining the organizational structure of the wine industry in the three decades prior to 1914. In contrast to Europe where grape growing and winemaking were specialist activities, in the New World winemaking and selling were often integrated. This encouraged the appearance of large industrial wineries producing wines that could be branded. Differences within the New World itself can be attributable to the nature of demand and, in particular, to whether wine was considered an article of primary consumption (Argentina), or whether it competed with other, more popular alcoholic beverages such as beer and spirits (Australia and California).

scholarly journals The genetic improvement of grapevine cultivars and wine yeast strains: Novel approaches to the ancient art of winemaking

2003 ◽  
Vol 22 (1) ◽  
pp. 31-43
Author(s):  
I. S. Pretorius
Keyword(s):  
Wine Yeast ◽  
Wine Industry ◽  
Market Demand ◽  
Wine Production ◽  
Yeast Strains ◽  
Quantum Leap ◽  
Grape Quality ◽  
The Cost ◽  
Grape Varieties ◽  
Grape Cultivars

The widening gap between wine production and wine consumption, the shift of consumer preferences away from basic commodity wine to top quality wine, and the gruelling competition brought about by economic globalisation call for a total revolution in  the magical world of wine. In the process of transforming the wine industry from a production-driven industry to a market-orientated enterprise, there is an increasing dependence on, amongst others, biotechnological innovation to launch the wine industry with a quantum leap across the formidable market challenges of the 21st century. Market-orientated designer grape cultivars and wine yeast strains are currently being genetically programmed with surgical precision for the cost-competitive production of high quality grapes and wine with relatively minimal resource inputs and a low environmental impact. With regard to Grapevine Biotechnology, this entails the establishment of stress tolerant and disease resistant varieties of Vitis vinifera with increased productivity, efficiency, sustainability and environmental friendliness, especially regarding improved pest and disease control, water use efficiency and grape quality. With regard to Wine Yeast Biotechnology, the emphasis is on the development of Saccharomyces cerevisiae strains with improved fermentation, processing and biopreservation abilities, and capacities for an increase in the wholesomeness and sensory quality of wine. The successful commercialisation of transgenic grape cultivars and wine yeasts depends on a number of scientific, technical, safety, ethical, legal, economic and marketing factors, and it therefore will be unwise to entertain high expectations in the short term. However, in the light of the phenomenal potential advantages of tailor-made grape varieties and yeast strains, it would be equally self-destructive in the long term if this strategically important “life insurance policy” is not taken out by the wine industry. This overview highlights the most important examples of the way in which V. vinifera grape varieties and S. cerevisiae wine yeast strains are currently being designed with surgical precision on the basis of market demand for the cost-effective, sustainable and environmentally friendly production of healthy, top quality grapes and wine.

scholarly journals NEW WINE IN OLD BOTTLES: A CASE STUDY OF INNOVATION TERRITORIES IN "NEW WORLD" WINE PRODUCTION

2003 ◽  
Vol 07 (04) ◽  
pp. 501-525 ◽  
Author(s):  
DAVID AYLWARD ◽  
TIM TURPIN
Keyword(s):  
Regional Development ◽  
Comparative Advantage ◽  
New World ◽  
Policy Research ◽  
Wine Industry ◽  
Wine Production ◽  
National Policies ◽  
Knowledge Intensive ◽  
Industry Policy

This article applies the concept of "innovation territories" to explain the recent export success of the Australian Wine Industry. Recent data collected from four "New World" wine producing countries are contrasted in order to investigate "innovation territories" that in the Australian context transcend geographic and policy boundaries. The international comparison shows that these territories can be mapped and their interaction compared. A major finding from the study is that one of the major contributors to Australia's success in gaining comparative advantage in this industry is the way local and national investments in R&D have transcended geographic and policy boundaries. Coordination driven by strong national policies is required to make this happen. This suggests that "knowledge intensive clusters" driven by national policies can be turned to advantage for regional development. The present study serves to sketch out how the idea of innovation territories might be operationalised for the purpose of future industry policy research.

scholarly journals The Changing and Flexible Nature of Imitation and Adulteration: The Case of the Global Wine Industry, 1850–1914

2020 ◽  
Vol 94 (2) ◽  
pp. 347-371
Author(s):  
Teresa da Silva Lopes ◽  
Andrea Lluch ◽  
Gaspar Martins Pereira
Keyword(s):  
Economic Growth ◽  
Intellectual Property ◽  
Local Government ◽  
New World ◽  
Wine Industry ◽  
Alcoholic Beverages ◽  
Global Trade ◽  
Old World ◽  
Global Economic Growth ◽  
Trade And Investment

The first wave of globalization, from 1850 to 1914, is considered to be a period when global trade and investment increased at a steady pace, impacting on global economic growth. Yet that evolution was not consistent across all industries. This article explains why, during that period, global trade in wines and other alcoholic beverages was reversed. Apart from diseases that affected vineyards in the main wine-producing countries of the Old World, various factors in the New World—including local government incentives and the presence of consumers (immigrants) with acquired habits of consumption from European countries—created strong incentives for the imitation and adulteration of wines. This study looks at the strategies used both by the imitators in expanding their businesses and by the innovators to survive in institutional environments that were weak with regard to the protection of their intellectual property.

Vertical coordination in the Chinese grape market

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Linda Bitsch ◽  
Shuo Li ◽  
Jon H. Hanf
Keyword(s):  
Supply Chain ◽  
Industrial Development ◽  
Wine Industry ◽  
Global Development ◽  
Vertical Coordination ◽  
Wine Production ◽  
Content Type ◽  
Wine Consumption ◽  
Grape Quality ◽  
Chinese Wine

PurposeRegarding the global development of the wine industry, China has gained a notable share in terms of wine consumption, and its domestic wine production has increased steadily since 2000. The wine production process requires close coordination between growers and processors to avoid disruption and instability in the supply chain of the wine grapes. However, vertical coordination in the Chinese wine regions has received little attention. Based on the existing theoretical background on vertical coordination, this study aims to detect the evolution processes of vertical coordination in the Chinese grape market.Design/methodology/approachExploratory qualitative research fits with the aim of this study. From December 2018 to January 2019, interviews with grape growers and wine processors of various Chinese wine-producing areas took place. After transcribing all recorded files into text, a qualitative data analysis following the approach of Mayring (2015) was used to analyse and interpret the data.FindingsThe models of vertical coordination in the grape supply in China vary between the producer's requirements on grape quality/quantity and the arrangements of grape supply chains, which are diverse depending on regional strategies of the local government.Research limitations/implicationsHowever, in this research, the authors did not get into details on the organization of the contractual coordination, and due to the limited access to grape growers, the relationship between farmers and processors cannot be analysed in detail. With a better understanding of the coordination relationship and enhanced contract enforcement, the vineyard management and grape supply chain management can be better performed, inducing a steady industrial development.Originality/valueRegarding the global development of the wine industry, China has gained a notable share in terms of wine consumption, and its domestic wine production has increased steadily since 2000. However, vertical coordination in the Chinese wine regions has received little attention. The study provides a first insight into the grape market structures, as very little is known.

scholarly journals Organizational Structure and Operation of the Illinois Wine Industry

2014 ◽  
Vol 43 (1) ◽  
pp. 104-124 ◽  
Author(s):  
Jason R. V. Franken ◽  
Kevin J. Bacon
Keyword(s):  
At Risk ◽  
Organizational Structure ◽  
Vertical Integration ◽  
Wine Industry ◽  
Farmers Markets ◽  
Vertical Coordination ◽  
Quality Matters ◽  
Direct Sales ◽  
Adequate Quality

This study examines vertical coordination in the wine industry emerging in Illinois. We find that quality matters as temporal issues related to grape perishability increase the probability of written contracts being used to procure grapes. Holdup concerns related to sourcing adequate quality grapes and at-risk investments in grape storage and winemaking equipment lead to vertical integration. In general, larger wineries must obtain some grapes from outside vineyards and sell wine predominantly through tasting rooms and distributors. Smaller wineries rely more on direct sales to retailers, festivals, and farmers' markets. Marketing outlet selection also reflects the types of wine produced.

scholarly journals Techniques for Mitigating the Effects of Smoke Taint While Maintaining Quality in Wine Production: A Review

Molecules ◽  
2021 ◽  
Vol 26 (6) ◽  
pp. 1672
Author(s):  
Ysadora A. Mirabelli-Montan ◽  
Matteo Marangon ◽  
Antonio Graça ◽  
Christine M. Mayr Marangon ◽  
Kerry L. Wilkinson
Keyword(s):  
Global Perspective ◽  
Wine Industry ◽  
Wine Production ◽  
Specific Data ◽  
Main Research ◽  
Initial Severity ◽  
The Subject ◽  
Available Information

Smoke taint has become a prominent issue for the global wine industry as climate change continues to impact the length and extremity of fire seasons around the world. Although the issue has prompted a surge in research on the subject in recent years, no singular solution has yet been identified that is capable of maintaining the quality of wine made from smoke-affected grapes. In this review, we summarize the main research on smoke taint, the key discoveries, as well as the prevailing uncertainties. We also examine methods for mitigating smoke taint in the vineyard, in the winery, and post production. We assess the effectiveness of remediation methods (proposed and actual) based on available research. Our findings are in agreement with previous studies, suggesting that the most viable remedies for smoke taint are still the commercially available activated carbon fining and reverse osmosis treatments, but that the quality of the final treated wines is fundamentally dependent on the initial severity of the taint. In this review, suggestions for future studies are introduced for improving our understanding of methods that have thus far only been preliminarily investigated. We select regions that have already been subjected to severe wildfires, and therefore subjected to smoke taint (particularly Australia and California) as a case study to inform other wine-producing countries that will likely be impacted in the future and suggest specific data collection and policy implementation actions that should be taken, even in countries that have not yet been impacted by smoke taint. Ultimately, we streamline the available information on the topic of smoke taint, apply it to a global perspective that considers the various stakeholders involved, and provide a launching point for further research on the topic.

scholarly journals A SAM-Based Analysis of the Economic Impact of Frauds in the Italian Wine Value Chain

2021 ◽  
Author(s):  
Donato Romano ◽  
Benedetto Rocchi ◽  
Ahmad Sadiddin ◽  
Gianluca Stefani ◽  
Raffaella Zucaro ◽  
...  
Keyword(s):  
Value Chain ◽  
Food System ◽  
Value Added ◽  
Activity Level ◽  
Wine Industry ◽  
Full Time ◽  
Italian Economy ◽  
Wine Production ◽  
Italian Wine ◽  
The Impact

AbstractThe objective of this paper is twofold: firstly, it analyzes the evolution of frauds in the Italian wine value chain over the period 2007–2015, and then, using a properly disaggregated social accounting matrix (SAM) of the Italian economy, it simulates the impact of wine frauds on the national economy in terms of growth, employment, value added and income. The wine industry is the sector most exposed to frauds within the Italian agro-food system accounting for 88% of total value of seized agro-food outputs. Most irregularities (95%) are made by only three agents, specifically individual wineries, bottlers-wholesalers and retailers. We estimated industry-specific SAM multipliers to assess the share of the Italian economy depending on irregular wine production. These activities account for 11.5% of specialized permanent crop farms output and over 25% of wine industry output. This is a sign of vulnerability of the wine industry: should a food scandal/scare determine a drop in consumers’ demand, the negative effect on production activities of these sectors may be large. The SAM was also used to perform an impact analysis adopting a counterfactual approach. Results show a slightly positive increase of value added (6 million euro) along with an overall decrease in the activity level (an output loss of 406 million euro and more than six thousand full time jobs lost). This contractionary effect can be explained with fraud rents. Indeed, the extra-profits from frauds do not activate the economy circular flow as most of them leak out to exogenous accounts such as the public administration and the rest of the world.

scholarly journals Robust design of flash evaporators for must concentration applications in wine production

2018 ◽  
Vol 19 (2) ◽  
pp. 207
Author(s):  
Thomas Quirante ◽  
Yann Ledoux ◽  
Patrick Sebastian
Keyword(s):  
Environmental Impact ◽  
Product Quality ◽  
Robust Design ◽  
Volume Fraction ◽  
Wine Industry ◽  
Design Solution ◽  
Wine Production ◽  
Target Values ◽  
Industry Area

In recent years, flash evaporation processes have received an increased attention in the wine industry for must concentration applications. Specific constraints related to the wine industry area had lead to many improvements of flash evaporators initially designed for seawater desalination. In particular the quality of the vintage, the transportability of the system and the environmental impact are of main interest. Moreover, the preliminary design of such systems must also consider robustness criteria. Obviously, variations of temperatures and flow rates of liquids at the inlet of the process can dramatically impact the quality of the product at the system outlet. In particular, deviations from the target values of temperature and alcoholic volume fraction can lead to a severe degradation of the vintage. As it is common in product design to have multiple performance measures, the robust design problem is addressed using a multi-objective approach. A trade-offs is introduced between two main design objectives: (i) the improvement in overall performance (product quality, transportability, environmental impact and costs) and (ii) the lowering of the sensitivity of the product quality under uncertainty. These main objectives are related to several elementary objectives corresponding to design criteria and a preference aggregation method is used to formulate the two different design objectives. Objectives are linked to weighting parameters values equivalent to priority levels. The selection of the most preferred design solution is discussed according to different trade-off strategies. The generation of the Pareto set is addressed by the non dominated sorting genetic algorithm NGSAII. From computing results, our recommendations concern the compromise between performance and robustness of flash evaporators. In this context, the final alcoholic volume fraction of the wine is the most sensitive parameter, which justify to maintain a high value of evaporative capacity when designing this type of system.

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