Free Essay

International Wine Market

In: Business and Management

Submitted By tomperkins
Words 324
Pages 2
A justification for your choice of international market. The justification should employ specific data from research conducted.
Justification of Wine in China

The wine market in China is growing at an expediential rate. According to Wine into China wine market report for 2011-2012 (2012), the annual growth for the wine industry in China exceeds 10%, while the global wine industry is around 1%. Large amounts of increase in the conception of wine in China have lead to the government establishing the country’s first wine exchange. The Chinese are drinking wine with meals on a daily basis, which is a recent trend in the market place. With the high increase in demand would lead to the belief that marketing in this segment will help in the growth of Kudler Fine Foods. The market place is becoming increasingly sophisticated in their desire for finer wines (Chinese wine investment market proving 'increasingly sophisticated, 2012). Having an increased demand and growing trend in the marketplace for the product means there is a large opportunity for growth and higher revenues. If Kudler Fine Foods markets effectively the ability to enter the current marketplace will help with the revenue goals and objective of the company. Marketing the Kudler Fine Food’s wine in Supermarkets and restaurant should be the initial focus to entering the market. According to Supermarket becomes a mainstream of wine selling (2012), “It is said wine sales of supermarket shares 30% of the total sales in China. Comparing to the average 70% of many other countries, China has great potential in growing the market.”

Reference:

Chinese wine investment market proving 'increasingly sophisticated'. (2012). Retrieved from http://www.wines-info.com/En/html/2012/9/228-47188.html

Supermarket becomes a mainstream of wine selling. (2012). Retrieved from http://www.wines-info.com/En/html/2011/11/228-41203.html

Wine into China wine market report for 2011-2012. (2012). Retrieved from http://www.wineintochina.com/chinawine.htm…...

Similar Documents

Free Essay

Market Growth Imported Wine in China

...Market Growth of Imported Wine in China By Yuki Mabuchi Brief Introduction With rapid growth of Chinese GDP over the past few years, China is now the world's fastest growing wine consumption market and yet still has huge potential as a market growth. Since Wine drinking is considered a healthier alternative to spirits and somewhat trendy, red wine is particularly popular in China. However, 90% of the wine consumed in China is still produced locally, and it is marketed as low price wines. Therefore, it is impossible for imported wines to compete with Chinese wines on the price. Each imported wine company are challenged to find their differentiation and own marketing tools. Even though market percentage for imported wines is 10%, the prospects for continued growth are huge because of the rapid increase in wealth and increasing urbanization of the population. The main topic for my research is to analyze market growth of imported wines in China followed by Chinese WTO regulations. The research estimates the impact of market growth according to import tariff rate which declined to 14% since China joined WTO. In addition, all imported wines are subject to a range of additional taxes, duties or fees, such as liquor tax, education tax, value-added taxes and consumption taxes. These taxes, duties and fees are taken into account in the analysis which estimates the impact of a tariff reduction on the retail price of imported wines......

Words: 568 - Pages: 3

Free Essay

Organic Wines Market Analysis

...MM110 Assignment 1 Market anaylsis of organic wines in australia xiangyun Dai, SID:220113354 MM110 Assignment 1 Market anaylsis of organic wines in australia xiangyun Dai, SID:220113354 2013 2013 Unit coordinator: Fredy-Roberto  Organic Wines Organic wines are made from wine grapes produced under organic agricultural practices, as defined by the International Federation of Organic Agriculture movements as the ‘production system that sustains the health of soils, ecosystems and people. It relies on ecological processes, biodiversity and cycles adapted to local conditions’ with its core principle in achieving high yields without artificial fertilizers and pesticides (IFOAM, 2008). With over 11 million certified hectares of land, the Organic agricultural industry in Australia has received rapid growth in the recent years due to the trend to a more ‘healthy, and environmentally responsible’ consumer culture and a willingness to pay more for their values (Remaud, 2008). In the following years the industry is expect to continue to receive respectable double digit growth. The recent growth in organic produces has translated well into the growing market for organic wine (107% growth during 2010-2012) and it is expected to continue into the future (Mascitelli, 2012). While the average consumer are not so willing to pay the premium for the ‘organic’ label on their wine, research have found that a significant cluster (~14%) of Australians are willing to pay up to a 9%......

Words: 1259 - Pages: 6

Premium Essay

Australian Vintage Limited Entering Poland Wine Market

...Vintage LTD (AVG) The Australian industry The Australian wine industry is the 4th largest exporter in the world, exporting over 400 million litres a year to a large international export market that includes “old world” wine-producing countries such as France, Italy and Spain. There is also a significant domestic market for Australian wines, with Australians consuming over 400 million litres of wine per year. The wine industry is an important contributor to the Australian economy through production, employment, export and tourism. The Australian Wine export market was worth 2.8 billion Australian dollars in June 2007, and had a growth rate of 9%pa. Of this about AU$2 billion was accounted for by North America and the UK, and in this key latter market Australia is now the largest supplier of still wines. 2007 statistics for the North American market show that Australian wine accounted for a 17% share of the total value of U.S. imported wine, behind France with 31% and Italy with 28%. Australian Vintage Limited Australian Vintage Limited is a leading Australian wine company, known as McGuigan Simeon Wines until February 2008, when shareholders voted to change the name. Today Australian Vintage Limited is at the forefront of the Australian wine industry. Crushing 9% of total Australian annual production, its vineyards and grape supply capacity extend through some of Australian’s most captivating and diverse wine regions including the Hunter and Barossa Valleys, as well......

Words: 1866 - Pages: 8

Premium Essay

International Market

...Global market opportunities will help a firm gain more opportunities, establish factories, enter a collaboration with a foreign partners that will help the firm overall with its goals, and help improve performance. For the case with Advanced Biomedical Devices, ABD, the question was whether the company was ready or not to internationalize it’s company and start exporting its products to foreign locations. Already being successful in the United States, ABD’s top management team decided to strongly commit internationalize and will pursue foreign markets. Although ABD has decided to internationalize, there are still questions to answer about foreign warehousing, international employees training, after-sales service, foreign inventory management, and foreign pricing. These are the questions that need to be answered by the management team and Dr. Richard Bentley, founder of Advanced Biomedical Devices Inc., before they move on to the foreign markets. 1. ABD’s products are in a state of readiness to begin exporting to Europe. One reason as to why they are is because the product sells well domestically. The products that are being sold in the United States are likely to succeed abroad because they have similar needs and conditions exist. Another reason why ABD’s products are ready to export to Europe is because the product is unique and the features are difficult to duplicate, making it one of a kind. The Speedheal’s competitive advantage in portability and convenience make it very...

Words: 294 - Pages: 2

Premium Essay

International Financial Markets

...INTERNATIONAL FINANCIAL MARKETS Topic 1 THE STRUCTURE OF THE INTERNATIONAL FINANCIAL SYSTEM Agenda   Recent developments in international financial markets The components of the international financial market  The eurocurrency market  The international equity market  The international debt market  The foreign exchange (currency) market Globalisation of financial markets  The global economy has undergone through a number of structural changes in the past few decades:  Real changes  liberalization of product and factor markets, allied with technological developments  increased output in many countries and particularly in the previously centrally planned economies  Monetary changes  a global commitment to maintain low rates of inflation after the boost in inflation in the ’70s  Financial changes  growing completeness and integration of world financial markets, fueled by deregulation and technology 3 Globalisation of financial markets  Realities of global financial markets:  Short-term nature of capital flows  High turnover in financial markets  Multiplicity of agents  High number and complexity of instruments  High speed with which market participants react to new information  Global reach of financial institutions  Implications:  Growing integration of financial markets, including emerging markets  Better financing of current account deficits  Financial contagion risks 4 How developed are the......

Words: 3627 - Pages: 15

Premium Essay

Market Segmentation for Wine in Singapore

...MARKET SEGMENTATION Segmentation factors The significant rise in Singapore’s wine consumption, in recent years, has lead to the rapid increase in the number of brands looking to enter this seemingly attractive market. In order for Seabrook to gain a competitive advantage and market their Pinot Noir and Shiraz successfully, they need to ensure that they effectively segment their potential customers in order to maintain focus, save resources and provide measurability. Market segmentation is a useful tool used to identify categories of consumers or groups of firms that are likely to use or buy a product or service (Hall & Winchester, 2001). It is the process of defining and subdividing a large, homogenous market into clearly identifiable segments of consumer, who have similar needs, wants and demand characteristics. Market segments ideally should aim to be measurable, sizeable, accessible and actionable. Once segments are established an organisation should then chose to target the segment they believe they can serve most effectively. Therefore, Seabrook should aim to segment consumers in the market by a combination of the following bases: • Demographics – Age, Gender, Income • Psychographics – Life style, Social Class • Behavioural – Benefits sought, Brand loyalty, Type of users. Through the use of all three bases, four wine consumer segments based on Spawton’s (1991) wine consumer model, can be derived. These four segments consist of the ‘Connoisseur’, the......

Words: 928 - Pages: 4

Free Essay

International Law and Global Market

...International Law and Global Market Name Bus 311 Business Law Instructor Date In this research paper, I will talk about International Laws and the Global Market. We will define International laws and its power. Questions like why are there international laws also will be answer. Who creates International laws and who enforces them? Are they really necessary? All this questions will be answer and explained. We will also talk about the Global Market. The effects that international laws have on the Global market will also be discussed. What constitute the Global Market? Who controls it and how do we keep it from collapsing? America as a country plays a big part on the Global Market; we will discuss the effect of our economy in it. Sources of International Laws * What is International Law? We all know that the law exist and can be applied to everyone. If a person enters into a legal agreement and that agreement is broken then the party that is breaking the agreement can be sued. There are penalties or punishment for anyone who breaks the laws that our judicial system has established. It can definitely be easier to deal with problems and laws when they are in our own country. It is a reality that our country deals with other countries when it comes to buying products. It is also a reality that we can’t just disregard other countries laws. When it comes to dealing with two countries involve, we need international laws. International laws are the laws that......

Words: 2749 - Pages: 11

Premium Essay

International Market Entry

...International Marketing Marketing Wine in the Chinese Market Executive Summary China’s demand for Western wine has rapidly increased. This has created a market opportunity for high end, quality wine companies from Australia to export their products to China. The product that will be focused on is Glandore Wine from the Hunter Valley. The report will focus on exporting this product into the Chinese market. There should be a strong focus on building brand reputation and maintaining long-term business relationships. There are multiple entry types into foreign markets yet Chinese regulations limit the mode of entry. The recommended mode of entry for Glandore wines is a Joint Venture. The decision between product standardisation and customisation is an important aspect of strategic decision-making. It is recommended that Glandore does not customise their core product of wine, however it is recommended that other product attributes are customised to appeal to the Chinese market. When promoting Glandore wine in the Chinese market there should be use of advertising, public relations, sales promotion and personal selling. Table of Contents Executive Summary ……………………………..…. 2 1. Introduction ………………………………………………... 4 2. 2.1 Market Entry………………………………………………4 2.2 Recommendations ………………………………………5 3. 3.1 Product Standardisation and Customisation ……..…..7 3.2 Recommendations…………………………………….….7 4. Promotion in China 4.1 Push......

Words: 3549 - Pages: 15

Premium Essay

China Wine Market

...China wine market 1.1.2 Asia wine market SWOT Analysis Strengths—Huge background, High-quality products, K/A (Key Account)Customer communication system, Mystery of France. Weaknesses--The confusion wine market, how to make our brand become a well-known   brands, how to open the sale channel Opportunities--Huge market demand, purchasing power &private consumption growth, Traditional viniculture present, the right distribution partners, the good advertising partners Threats--Aggressive producers, Domestic product, Consumer acceptance 1.2 China wine market general introduction As we all know, Asia market now is a new develop market, it is still confusion (the wine law, the regulation).So, we choice the focus market in Asia--China to enter, this will reduce the trouble of our market development. We should be aware that the Asian market, 95% wine consumption is face to the civilian population, only 5% high-end products sells to truly rich wine collector. Of course, with the further development of Asian economies, which 5% people will continue to expand. For the past few years, the maximum annual production of Chinese wine was about 30 million tons; it was less than 2% of beer output and 6% of Chinese liquor production, also it was only 1% of the world wine production, and the consumption per head was equivalent to France, Italy, Spain and other developed countries by 0.5%. China’s demand for wine will be reaching 600,000 tons by 2010, thus, the wine industry in......

Words: 4074 - Pages: 17

Premium Essay

Marketing Strategies and International Market

...MARKETING STRATEGIES AND INTERNATIONAL MARKETS Before talking about how transnational companies enter new markets and develop on the old ones, we should clearly understand the very concept of marketing in general, as well as have an idea of ​​what kinds marketing strategies exist in the world today. THE CONCEPT OF MARKETING The situation with the definition of "marketing" is the same as with many modern terms. In the world literature there are so many definitions of the term "marketing", here are just few of them: «Marketing - a human activity aimed at meeting needs through the exchange»; «Marketing - social and managerial process by which individuals and communities by creating products and exchanging them get what they need»; «Marketing - is the process of planning and implementation of design, pricing, promotion and realization of ideas, goods and services through the exchange of satisfying goals of individuals and organizations»; «Marketing - social process aimed at meeting the needs and requirements of individuals and groups through the creation and suggestion of valuable goods and services and sharing with others ; As you can see, what all these definitions have in common is that marketing is directly connected with the exchange of goods and services to meet the needs. Consequently, it is impossible to give a truly complete and accurate definition of "marketing" because it covers absolutely all spheres of human life. Many people believe that marketing is just......

Words: 1937 - Pages: 8

Free Essay

International Market

...Syllabus International Marketing Marketing 774 INSTRUCTOR: Dr. Chuck Hermans E-MAIL: ChuckHermans@MissouriState.edu PHONE: 836-8373 OFFICE: GL244 =============================================================== NOTE: This Syllabus is not a contract. This document is a guide to assist you in preparing for the course lectures and other requirements. The Professor may and will likely modify assignments, lectures, dates and times at his discretion. Any such changes will be announced in class in advance. REQUIRED: 1. Cateora and Graham (2013), International Marketing, 16e, McGraw-Hill Irwin, NY.   2. Journal Articles and Cases on Blackboard (Some May Require Password: MKT474) Sign into the course Blackboard site at http://blackboard.missouristate.edu/. Please review and make corrections to your contact information. This is especially important if you have an e-mail address that is not on the MSU network. You may miss class information from the instructor if this is not correct.   STUDENT RESPONSIBILITIES: This is a graduate course. As such, you are expected to be prepared to DISCUSS the material in the on-line discussion forums. 1. Read, study, and analyze all assigned chapters & articles prior to class. 2. Always have a few questions prepared in advance of class related to the topic material. 3. Participate in class discussions. 4. Question the lecture material. 5. Turn in assignments on time. 6. Participate in......

Words: 1449 - Pages: 6

Free Essay

Wine Market

...Brochure More information from http://www.researchandmarkets.com/reports/3080731/ Bolivia: Wine - Market Report Analysis And Forecast To 2020 Description: The report provides an in-depth analysis of the Wine Market in Bolivia. It presents the latest data of the market value, consumption, domestic production, exports and imports, price dynamics and food balance. The report shows the sales data, allowing you to identify the key drivers and restraints. You can find here a strategic analysis of key factors influencing the market. Forecasts illustrate how the market will be transformed in the medium term. Product coverage: Wine Data coverage: - Market value - Volume and dynamics of production - Volume and dynamics of exports/imports - Producer prices, import/export prices - Market trends, drivers and restraints - Forecast of the market dynamics in the medium term - Per-Capita Consumption Why buy this report? - Get the full picture of the market - Assess future market prospects - Adjust your marketing strategy The report will be provided within 3 working days after ordering. Contents: Table Of Contents 1. Introduction 1.1 Report Description 1.2 Research Methodology 2. Executive Summary 2.1 Key Findings 2.2 Market Trends 3. Market Overview 3.1 Market Value 3.2 Per-Capita Consumption 3.3 Market Forecast To 2020 4. Production 4.1 Production In 2007-2013 4.2 Harvested Area In 2007-2013 4.3 Yield In 2007-2013 5. Imports 5.1 Imports In......

Words: 1025 - Pages: 5

Premium Essay

Competiting in International Markets

...STRATEGIES FOR COMPETING IN INTERNATIONAL MARKETS: A GLOBAL INDUSTRY PERSPECTIVE Why Companies Expand into Foreign Markets Companies opt to expand outside their domestic market for any of four major reasons: * To gain access to new customers, raw materials, capital, skills and expertise – expanding into foreign firms offers the potential for increased revenues, profits, and long term growth even more so when home markets are mature. * To achieve lower costs and enhance the firm’s competitiveness - Sales volume from one country isn’t enough to fully capture manufacturing economies of scale. * To capitalize on its core competencies - A company with a competitively valuable competency or capability might be able to leverage themselves and make this competency work in a foreign market, too. * To spread its business risk across a wider market base - Companies may move abroad to diversify their risk associated with being in a single economy (e.g. foreign exchange risk, political risk). If the economy in one area falls, the firm might be ok in different economic markets. In addition to why companies expand into foreign markets, there are four other situational considerations unique to international operations: * Country to Country Cost Variations – Differences in wage rates, workers productivity, inflations rates, energy costs, tax rates, government regulations, etc crate sizeable variations in manufacturing costs from country to country. Plants in some......

Words: 3082 - Pages: 13

Premium Essay

Fine Wine Market Outlook 2012

...Fine Wine Market Outlook 2012 Contents Introduction Methodology The Fine Wine Market in 2012: Challenges and opportunities Survey findings 5 6 7 10 PROFESSIONALS’ WINE NETWORKING Connecting professionals with a shared interest in wine In your city, and around the world With colleagues in the sectors that matter to you Few things form stronger bonds between people than a shared passion for wine. Whether you’re an experienced wine collector or just embarking on wine discovery, we can help power your networking by connecting you with like-minded professionals, in the elds you tell us are relevant to your business and career. The service is free, private, and condential. Simply register your interest at www.wineyields.com, and we’ll contact you privately to set up introductions with complimentary professionals who’d like to share a glass or two. A free reader service, from Wine Yields F INE WINE INVESTMENT SPECIALISTS Best prices for fine wine We have an excellent reputation as advisors on investment grade wines; we trade in them on a daily basis and so are well placed to recommend what and when to buy and sell. We supply the trade and private collectors at the same highly competitive prices. We charge no management or performance fees. • Top prices paid for your wine • Highly regarded fine wine blog • Professional storage available Pantone PMS 273 • Daily fine wine news and extensive news library Pantone 273 Cmyk Suite 5, Claremont House, 22......

Words: 10894 - Pages: 44

Premium Essay

International Market Entry and Development

...Companies globalize in order to target a larger market. With a larger market, companies can increase their profit from the services and products that that would be accessible to a higher number of consumers. To go global, companies must begin with a strategic plan and then move on to full implementation. They must also develop a knowledge base through marketing research to ensure that that the right choices are being made. Companies must also concentrate on market entry through exporting and other low-cost, low-risk international expansions alternatives. With globalization comes great opportunity for growth but also the many challenges of entering brand new markets. CEO’s and marketing executives face marketing decisions that can affect the future of the company for many years to come. They must employ strategic planning to match new markets with products and corporate resources more effectively and efficiently to strengthen the company’s long term competitive advantage (Czinkota & Ronkainen, 2010). Daily decisions then fit into the company’s overall strategic marketing goals. Companies that implement a formal strategic planning process will increase profitability as well as improve various nonfinancial objectives. The first step of the strategic planning process is assessment and adjustment of core strategy. This begins by defining the business that the strategy is being developed for. Companies must understand exactly the business that is being conducted......

Words: 2135 - Pages: 9