Examples Chapter 2 Flashcards

1
Q

Give examples of price difference in land based on prestige/appellation.

A

Land in Napa Valley 10x more expensive than in Central Valley

best parts of the prestigious Médoc AOCs can reach 100x generic Bordeaux AOC.

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2
Q

Example of country with low labour costs?

A

Chile

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3
Q

Example of high vs low labour intensive land to cultivate?

A

More labour per hectare in steep Mosel

vs

California’s Central Valley where can mechanise

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4
Q

Example of region where labour is expensive or herd to find?

A

Coonawarra

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5
Q

Example of expensive and cheap grapes to purchase?

A

cheaper varieties (e.g. Airén, Ugni Blanc, Colombard or Semillon)

more expensive variety (e.g. Chardonnay)

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6
Q

Example of wine suitable for air tranpostation?

A

Beaujolais Nouveau to Japanese Market or to trade fairs

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7
Q

Example of travel which can be efficiently covered by road?

A

Epernay to Brussels

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8
Q

Example of travel which would be inefficiently reached by road?

A

Mendoza to New York

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9
Q

Example of deep-sea transportation?

A

from the USA, South America or Australasia to Europe

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10
Q

Example of travel time for deep sea?

A

journey time from Australia to the UK is typically 40 days

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11
Q

Volume of bulk wine and share in total transportation?

A

Bulk exports from non-European to European countries accounted by volume of exports:
- 23% in 2001
- 43% in 2010

For world wine exports by volume:
- 34% in 2018

Spain (55 per cent)
USA, South Africa, Australia, Chile exported more than 40 per cent of their wine exports as bulk wine

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12
Q

Value share of bulk wine exports?

A

In 2019:
34% world’s wine by volume was transported in bulk
8% by value.

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13
Q

Example of lost wine in huge amounts:

A

in 2013, container ship MOL Comfort broke and sank off Mumbai.
with two containers of wine from New Zealand’s St Clair winery destined for Sweden

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14
Q

Example of different wine labeling requirements:

A

EU: abv to the nearest whole or half unit, USA: permits a 1.5 per cent variance
also requires health warning

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15
Q

Typical distriutors margin?

A

5 - 25%

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16
Q

Marigin in different POSs?

A

Specialist wine retailers: 30–50%
Bars & Restaurants: as much as 66%

17
Q

Examples of bodies helping with marketing?

A

Consorzio in Italy

Verband Deutscher Prädikatsweingüter (VDP) in Germany

generic trade body:
Wines of Australia
Wines of South Africa