Increasing Globalization in the Wine Industry

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Recommended: The global wine industry in the last 10 years

Increasing Globalization in industry: The idea of new world wine producer and old world wine producer has come from the demand and supply. Earlier Western Europe was the chief consumer of wine. Nowadays ‘THE NEW WORLD PRODUCER’ has shown a big hike in production and consumption of wine. France, Italy, Portugal, Spain were considered as old wine producers. Argentina, U.S, Chile, South Africa, Australia and New Zealand are known as new world wine producers.
Some characteristics of wine industry:
• Transfer of important equipments, machinery and technical knowledge to the area of production.
• Mergers and acquisitions leads to structural changes in wine market.
• Reunion of wine industry.
Beginning of 21st century witnessed rapid changes in international wine market. Over this time wine industry has taken a new level in the market. The free entry and exit of players in wine market leads to high competition in market. Hence companies face emerging need to rethink on their production, variety, innovation, pricing in order to compete with the competitors. Globalization holds a great importance in wine trade. Due to globalization only now countries are interlinked with each other which offers a huge and open market to all consumers. People now have more choices and comparsion in the market. It has also proved beneficiary in terms of reduction in trade obstacles, cost effectiveness, promoting countries towards international marketing. Globalization only made it possible to trade around the world as it was never before. Thanks to globalization which created a new approach to business and making business more export oriented.
Growth rate changes in long term industry: The study attempts to show rapid growth in export of wine in la...

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...states is the largest wine consuming nation in term of revenue. Of the total wine produce U.S alone import 30 percent of wine. U.S is well known for its highest per capita wine consumption, retail wine stores, online sale of wine and use of wine in medicine and drugs. The most popular wine variety in U.S is sweet red blend, malbec, moscato. With time companies are paying much attention on new branding and packaging of wine like tetra packs. Also consumers cater to buy wine of superior quality now. Companies are raising price of wine due to shortage of quality grapes in market. Amecia mainly import wine from Spain, New Zealand, Argentina. Beer is also taking place of wine for some consumers. Female consumers of wine in even more than men in U.S. Due to craze of social networking sites people like to talk and post about wine on them like sharing on facebook n twitter.

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