supply&demand

Question 2

Using a specific example, illustrate how weather can greatly affect wine production levels :

Answer 2

2013: high spring and summer rainfall in (usually dry) Castilla-La Mancha increased wine production in
Spain to 45.3m hl.
vs.
2017: spring frosts in much of Europe depressed global wine production to its lowest in 50 years. In
Castilla-La Mancha, production fel to 32.5m hl.

Question 3

Broadly explain the concept of supply and demand, as it pertains to wine consumption

Answer 3

If demand exceeds supply => Prices likely to rise.
Some consumers will be willing to pay more for certain wines (if thought that no alternatives are available)
Others will be unwilling, seeking out cheaper options.
If supply exceeds demand => Prices likely to fall.
Producers may have to lower prices in order to remain competitive.
Consumers then have greater choice of cheap wines.

Question 4

Identify the factors that can influence the Demand for Wine

Answer 4

Social Factors
Economic Factors
Legislative and Political Factors

Question 5

Identify the categories of SOCIAL FACTORS that influence the demand for wine

Answer 5

Changes in (SHaRP) :
Spending Patterns
Consumption Habits.
Reputation.
Consumer Preferences

Question 6

Identify the categories of ECONOMIC FACTORS that influence the demand for wine

Answer 6

ECONOMIC FACTORS that influence the demand for wine
Strength of the Economy
Fluctuations in Currency Exchange
Changes to the Market

Question 7

Identify the categories of LEGISLATIVE AND POLITICAL FACTORS that influence the demand for wine

Answer 7

Wine Laws
International Trade
Laws Prohibiting or Limiting the Sale of Alcohol
Taxation
Government Policies to Reduce Alcohol Consumption

Question 8

Describe the fluctuations of global wine consumption from 2003 to the present (5):

Answer 8

Global wine consumption :
Steady increase in wine consumption from 2005-08, mainly due to increased consumption in USA and
China.
Sharp decline in 2008 (global economic crisis) due to less spending on non-essentials.
Gradual increase as economy recovered from 2010-12.
Decline in 2013-14, due to less wine consumption in EU, particularly France and Italy.
Consumption gradually rising from 2015-present, starting to plateau; US consumption rising, China
beginning to decline slightly (end of rapid growth)

Question 9

Though wine consumption worldwide has not reached pre-2008 recession levels, which categories of
wine have gained in popularity/consumption (2)?

Answer 9

Rosé and sparkling wine consumption has increased significantly.
e.g. sparkling wine consumption has increased annually by an average of 3% between 2002-2018

Question 10

Describe the general trends of wine consumption over the last 2 decades for the following countries:
USA
France
Italy
Germany
China

Answer 10

Generally, consumption levels have fallen or become “static” in traditional wine-drinking countries
(France, Italy, Germany), while consumption in “non-traditional” countries has risen significantly.
USA: steady rise to over 30m hl in 2019, overtaking France as the world’s largest consumer by volume
in 2011.
FRANCE: gradual decline from over 30m hl to ~25m hl.
ITALY: sharp decline until 2015, when consumption levels began to rise again.
GERMANY: remained static, ~20m hl.
CHINA: experienced rapid growth till 2013, eventually leveling out

Question 11

Identify some reasons behind the USA’s increased wine consumption from 2003-2019

Answer 11

USA’s increased wine consumption from 2003-2019 :
Wine has increasingly become part of the mainstream culture, increased willingness to try new wine
types.
Globalization of the food and bev industries (growth of MNC’s increased availability of wine from
different regions, countries).
Increases and improvements in wine production domestically

Question 12

Q11
Identify some reasons behind CHINA’s increased wine consumption from 2003-2019 (2):

Answer 12

Growing middle class, desire to show wealth and status by shifting from local drinks to wine.
Desire to consume imported wines (at first, primarily French, but more recently Australian and
Chilean wines: less expensive due to bilateral trade agreement)

Question 13

Identify and explain different factors that have possibly led to declines in wine consumption (4):

Answer 13

Younger people drinking less wine: wine seen as old-fashioned; popularity of other drinks (e.g. gin in
Spain); less time spent in bars/pubs due to more social media interaction.
Health concerns: increased awareness of alcohol’s negative effects on health, e.g. the “Loi Evin” in
France, discouraging excessive drinking and depressing wine consumption.
Changes in lifestyle: busy lifestyles = shorter meals and less time spent drinking; tradition of drinking
wine at lunchtime (prevalent in EU) disappearing as employers are forbidding the practice, or it
being regarded as socially unacceptable.
Reduced availability of cheap wine: lower volumes of inexpensive, bulk wine being produced/sold/
consumed, e.g. due to vine pull schemes intended to reduce over-production; drinkers switching to
other, cheaper alcoholic/non-alcoholic drinks

Question 14

What are the main trends in terms of Changing Consumer Preferences?

Answer 14

Increased demand for :
Rosé (esp. in USA)
Sparkling wine : ex Prosecco sales (esp. UK / USA); expansion of Prosecco DOC boundaries in
order to increase production and meet demand.
Lower-alcohol wines (health concerns)
Decreased deman for :
Sweet wines : ex Med. sweet German wines, e.g. Liebfraumilch (used to be popular in ‘50’s, 60’s,
70’s) = some brands have completely disappeared, while others, e.g. Blue Nun, have reinvented
themselves in order to survive.
Fortified wines (15-22% abv)

Question 15

Explain how Changes In Reputation can affect wine consumption

Answer 15

Reputation (region, producer, individual wine or grape) can fluctuate, leading to rises and falls of
demand.
Reviews from reputable publications / critics (e.g. Jancis Robinson in the UK, Wine Spectator in the
USA) can encourage producers to raise their prices in subsequent vintages.
Online influencers / Key Opinion Leaders (KOLs) can impact the desirability of specific wines/
producers.
Presence/exposure in pop culture, e.g. films, TV, music lyrics, celebrity endorsements, can increase
exposure and popularity

Question 16

Explain how Changes In Spending Patterns have affected wine consumption habits

Answer 16

The rise of ‘premiumization’; the willingness to spend more on individual bottles of wine because fewer
bottles are being purchased.
Price-sensitive markets (Germany, UK) :
Most consumers are unwilling to pay more than the lowest price possible for the desired style of wine.
Fierce competition = lower prices for consumers, but fewer options as selling wine at this pricepoint would
be unprofitable for many producers.
Producers hope to build up ‘brand loyalty’ over time as part of marketing campaigns, thereby avoiding the
problem of passing on production costs to the consumer.
Non Price-Sensitive Markets (France, USA) :
Consumers are more willing to pay above the min. price for a wine they perceive to be higher in quality
than the cheapest option.

Question 17

What is a PRICE-SENSITIVE MARKET?

Answer 17

A
A market in which many consumers are unwilling to spend more than the lowest price possible for a certain
product, regardless of affluence, e.g. Germany and the UK

Question 18

Explain how the Strength of the Economy can affect wine consumption habits :

Answer 18

Sales of wine will change with the level of consumer disposable income (i.e. the amount of money a person
has after paying taxes

Sales will :
Decrease : When DI falls, as in a recession, wine consumers are likely to trade down to cheaper wines or
switch to other, less expensive alcoholic drinks (e.g. beer or cider). For example, during the recession
following the 2008 financial crash, demand for Champagne shrank whilst that for other, cheaper sparkling
wines grew.
Increase : When an economy is growing, such as has been seen in China, disposable income increases
and consumers are often willing to buy more expensive wine. As explained above, the emerging middle
class in China has driven the increase in wine sales and demand for aspirational wines, such as those from
Bordeaux and Burgundy, has increased

Question 19

Explain how Fluctuations in Currency Exchange can affect wine consumption habits :

Answer 19

A
Particularly significant in PRICE-SENSITIVE MARKETS.
If wine-exporting country’s currency strengthens :
Exporting become more expensive :
Producers may have to lower prices to remain competitive.
Keeping the price stable will result in decrease of sales
Importing become less expensive (barrels, corks, yeast …)
Alternatively, if wine-exporting country’s currency weakens :
Exporting become less expensive.
Keep price stable which would boost sales (e.g. 21st C. boom in Argentinian wine exports due to weak
Peso.)
Increase price to improve profits.
Importing become more expensive

Question 20

Explain how Changes to the Market can affect wine consumption habits (3)

Answer 20

When products disappear from the market, this creates opportunities for competition.
e. g. if supply of Brand A Zinfandel decreases, demand for Brand B may increase.
Limited quantities also create the opportunity to raise prices (real/perceived scarcity).
Introduction of a new, lower-priced or better value wine may eat into demand for other similar wines,
causing producers to lower prices or search for alternative markets.

Question 21

What are the three differents approach countries/states have in terms of regulating the sale of alcohol
(Laws Prohibiting or Limiting the Sale of Alcohol) :

Answer 21

The sale of alcohol can be :
Prohibited : in a number of countries, such as Indonesia and Iran
Tightly-controlled : for example, through state-owned monopolies in countries such as Sweden, Norway
and Canada, or, in the USA, the three-tier system. Any such controls inevitably limit the supply of wine
and usually increase prices.
Freely available : there is usually a minimum legal drinking age and sales of alcohol are generally limited
to particular hours of the day

Question 22

Explain how Gov’t Policies to Reduce Alcohol Consumption can affect wine consumption habits:
Name 3 specific policies:

Answer 22

Many countries desire to reduce excessive alcohol consumption; illness, injuries, strain on health
services, crimes caused by drunkenness.
Three famouse policies in order to achieve that :
The “Loi Evin”; introduced by France in ‘91, restricted advertising of alcoholic drinks = significant
reduction in wine consumption in France.
“Minimum Unit Pricing”; introduced by Scotland to reduce availability of cheap alcohol, min. price of an
alcoholic drink is GBP 0.50 = a 750ml bottle of wine (9 drinks) must be at least GBP 4.50 (previously
could be GBP 3)
Lowering the Blood Alcohol Concentration (BAC) limit for drivers in order to prevents accidents caused
by drunk drivers

Question 23

Explain how Taxation can affect wine consumption habits (2):
Identify an example of both INCREASED and DECREASED consumption

Answer 23

Gov’ts impose taxes and duty on alcoholic bevs, which can reduce consumption due to higher prices,
but gov’ts also gain revenue from taxes. Therefore, it must be handled strategically.
Ireland : Major difference between tax on still (€3.19/bottle) and sparkling (€6.37/bottle) has greatly
reduced the demand for the latter.
Hong Kong : Importation duty on wine abolished in 2008, intended to make HK the “wine trading hub” of
East Asia. Caused a massive increase in auction sales of fine wine there.

Question 24

Describe the changes in global wine trade/exports since 2003 :

Answer 24

Global wine exports have more than doubled since 2003, from around €15 billion to over €30 billion, despite
minor dips here and there, e.g. 2008 global recession

Question 25

Using the EU as an example, explain how trade agreements/relations can affect the price of wine

Answer 25

Customs duties are applied to imported goods, usually as a source of revenue for the gov’t, but
sometimes as a form of protectionism, to encourage the consumption of local products.
EU members enjoy tarrif-free trading between member states, meaning that products can be affordable
even if imported from another country in the EU.
Tariffs are still applied to products imported from most (e.g. Australia), but not all (e.g. South Africa/Chile),
non-member states. This means that, within the EU, wines from S Africa and Chile enjoy a competitive
edge price-wise over those from Australia

Question 26

Explain the potential effects that ‘Brexit’ could have on wine consumption in the UK :

Answer 26

Unclear yet whether the UK will still benefit from free-trade agreements from the EU.
If not, UK could negotiate its own free-trade arrangements with any country it wants, e.g. Australia, which
could make Australian wines cheaper than EU wines.
Given that the UK is generally a Price-Sensitive Market, this could greatly alter wine-buying habits of the
British public

Question 27

Using Argentina as an example, explain how trade restrictions can hinder wine production :

Answer 28

Early 2010’s, trade restrictions were imposed, increasing the costs of wine imports, winery equipment,
barrels, cork and yeast => significant increase in wine production costs.
Gov’t also imposed restriction on foreign ownership of land = curtailing foreign investment which had aided
in rapid growth of wine production.

Question 29

Identify some examples of purposely imposed/politically motivated restrictions on wine imports.
How do these restrictions affect trade relations?

Answer 29

Examples :
US vs. China : China has imposed tariffs on US wine in response to US tarrifs on Chinese products.
US vs. EU : Tariffs imposed on Spanish/French/UK/German wines in retaliation to subsidized loans to
Airbus.
Embargo (complete ban on imports/exports to/from a particular country); e.g. Russia wine imports have
fallen considerably due to trade embargos imposed both ON Russia and BY Russia.
Trade wars create negative feelings among consumers, leading to a reduction of purchasing those
products based on principle alone, even if restrictions are lifted

Question 30

Explain how the creation/existence of Geographic Indications and Protected Denominations of Origin can
affect supply/demand of wine

Answer 30

Demand :
Consumers may be drawn to certain GIs or PDOs based on prior enjoyment of those wines or the
strength of their reputations.
Creation of a GI may increase recognition/demand for wines from that region and result in increased
prices.
Supply :
European PDO rules can be very strict, limiting options for grape varieties, production methods,
maturation periods, etc… which can increase costs and make responding to shifts in stylistic popularity
difficult.
In contrast, GIs outside the EU are relatively free to react more quickly to changes in preferences,
whether to certain grapes or styles

Question 31

Using China as an example, explain how sudden changes in legislation can have significant effects on
wine consumption/purchasing (4):

Answer 31

In 2012, China’s new president Xi Jinping, moved to stop ‘lavish gifting’, the custom of showing respect
to business colleagues / customers / suppliers by giving gifts paid for by gov’t money.
Traditionally, the more expensive the gift, the better, with super-premium wines, e.g. First-Growth
Bordeaux and Grand Cru Burgundy wines, being the norm.
This “Anti-Extravagance” campaign sought to prohibit the gifting to/from gov’t officials of luxury wines/
spirits.
Demand for these wines dropped almost immediately,

Question 32

Q30
Who are currently the top 5 wine-producing countries in the world?

Answer 32

A
Italy
France
Spain
USA
Argentina

Question 33

Which 5 countries have the greatest area under vine?
What consideration may be taken when comparing a country’s land area under vine and its level of wine
production

Answer 33

A
Spain
China
France
Italy
USA
Statistics regarding land under vine include not only grape plantings intended for wine production, but
also table grapes. e.g. the majority of China’s vineyards are intended for table grape production (#2 in
land under vine), while its wine production is comparatively small (7th-10th worldwide, varying from year
to year)

Question 34

What has the general trend been in terms of area under vine worldwide?
What are some factors that have caused this trend (4)?

Answer 34

Total area under vine has dropped significantly, from ~7.8 million hectares in 2003 to ~7.4 million
hectares in 2019, whereas world wine production remained stable.
Factors causing this trend :
Vine pull schemes
EU restrictions on planting new vineyards
Conversion of vineyard land to other uses
Abandonment of rural areas

Question 35

How have Vine Pull Schemes affected vineyard land acreage ? Which countries used this concept ?

Answer 35

Vine Pull Schemes :
By mid ’80s, EU wine production was much greater than demand, became known as the “wine lake”.
Nat’l gov’ts and EU itself paid growers to pull up poor quality vines, especially in S. France, Italy and
Spain.
Several hundred thousand acres of European vines were pulled up.
This concept has also been used in Australia, NZ and Argentina

Question 36

In which year did the USA overtake France to become the world’s largest consumer of wine?

Answer 36

2011

Question 37

Why does vintage variation in the EU have such a significant impact on global wine production (2)?

Answer 37

Vintage variation :
Europe is particularly vulnerable to vintage variation.
The EU contains over half of the world’s vineyards, so bad vintages have a major impact.
e.g. 2017 saw severe frosts, hailstorms and heat waves across Europe, which lowered their wine
production by 14%

Question 38

How has Climate Change affected / threaten to affect wine production capabilities on a global scale ?
How can these effects influence the market

Answer 38

Climate change :
More frequent weather hazards
South Africa : Serious droughts
California : Wildfire and low rainfall has reduced the state’s underground aquifer to nearly zero.
Chile’s gov’t predicts that 95% of the country’s vineyard’s will experience water shortages by 2050.
Climate Hazards => Reduced yields => Lower volume => Shortage of supply => Higher prices
(which customers may be unwilling to pay).

Question 39

Identify the factors that influence the supply for wine :

Question 40

Identify the factors that influence the supply for wine :

Answer 40

CHAVLEN :
Conversion of vineyard land to other uses.
Human factors.
Abandonment of rural areas.
Vine-pull schemes.
Legislation
EU restrictions on planting new vineyards.
Natural factors

Question 41

How have EU restrictions on planting new vineyards affected vineyard land acreage (3)?

Answer 41

Vine Pull schemes + restrictions on new plantings part of broader policy to limit wine production.
Since 2016, rules have been slightly relaxed, allowing up to 1% annual growth of vineyard area already
planted.
Plantings in France/Italy have already begun to rise again

Question 42

How have conversions of vineyard land to other uses affected vineyard land acreage ?

Answer 42

In many areas, wine grapes are of lower agriculture value than other crops, causing farmers to switch for
better profitability :
Elgin, S. Africa: Grapes to Apples
Madeira: Grapes to property development for tourists
Santa Clara Valley (Silicon Valley): Grapes to business development
USA: Grapes to pistachios and almonds
り良い: 収益性
南アフリカ、エルギン：ブドウからリンゴへ
マデイラ島：ブドウから観光客向けの不動産開発まで
サンタクララバレー (シリコンバレー): ブドウからビジネス開発へ
アメリカ: ブドウからピスタチオ、アーモンドまで

Question 43

How has abandonment of rural areas affected vineyard land acreage((面積） (3)?

Answer 43

Trend of younger people leaving rural areas to live/work in urban areas.
Reduces workforce and leaves family rural estates w/ no one to take over.
rural economies suffering from lack of labor and investment; difficult to work vineyards are being abandoned,
even in prestigious GIs
若者が地方を離れ、都市部に居住・就労する傾向。
労働力を削減し、家族の田舎の土地を引き継ぐ者がいなくなってしまう。
労働力と投資の不足に苦しむ農村経済。作業が困難なブドウ畑は放棄されつつある
名門GIでも

Question 44

How have human factors affected global wine production ?

Answer 44

Human factors resulting in higher production volumes :
Modern vineyard management techniques = Higher production volumes without reducing the quality.
Better site selection / clonal selection / improved canopy mgt / pest and disease control / mechanization
have all contributed to more consistent and greater levels of production.
Modern winemaking techniques = Higher quality wine can be produced at prices consumers are willing to
pay
人的要因により生産量が増加:
現代のブドウ畑管理技術 = 品質を落とさずに生産量を増やす。
より良い場所の選択 / クローンの選択 / 林冠管理の改善 / 害虫および病気の管理 / 機械化
これらはすべて、より安定した、より高いレベルの生産に貢献しています。
現代のワイン製造技術 = 消費者が望む価格で高品質のワインを生産できる
支払う

Question 45

Using Spain as a case study, explain how reduction in acreage under vine does not necessarily equate
to lower production levels ブドウ畑の作付面積の減少が必ずしも生産レベルの低下につながるわけではないことを説明します。

Answer 45

Traditionally, average yields in Spain have been lower than those in France or Italy, due to its very dry
climate and traditional low-density planting systems.
Nowadays : Relaxation of laws banning irrigation have led to higher-density plantings, increasing the
production and offsetting the loss of vineyard land

Question 52

What is the main legislative influence on the supply of wine (2)?

Answer 52

The increasing number of GIs around the world.
GIs limit the amount of wine produced by defining the geographical areas in which grapes can be grown,
as well as the maximum yield (in Europe

Question 52

How do legislative regulations differ between inside and outside the EU?

Answer 52

Inside the EU :
AOPs / DOC(G)s of France / Italy define much more than just the geographic areas of the GIs. They are
very restrictive in terms of : which varieties may be grown, yield levels, winemaking and maturation
techniques, all leading to a reduction in the volume of production.
Outside the EU :
GIs simply define geographical areas and lack the restrictions found within EU’s PDO system, e.g. AVAs
in the USA, Wines of Origin in S. Africa or GIs of Australi

Question 52

What are the 2 main aims of creating GIs?

Answer 52

To define the style of wine produced in a particular region (especially in the EU).
To bring supply and demand more in line and reduce the risk of downward price pressure.
特定の地域（特にEU）で生産されるワインのスタイルを定義すること。
需要と供給をより一致させ、価格下落圧力のリスクを軽減するため。

Question 53

Is there an over- or under-supply of global wine prodcuction

Answer 53

OVERSUPPLY of wine.
However, this has been reduced in recent years to due rising consumption levels in the US and China.

Question 53

Explain how creating GIs can reduce the risk of downward price pressure

Answer 53

GIs gives the producer more control over the price, as the retailer cannot source wine from elsewhere in the world.
If a retailer is seeing high demand for inexpensive Sauvignon Blanc, they are able to select SB’s from
around the world, switching regions/countries from year to year in order to sell the cheapest options.
However, if retailer is seeing high demand for SB from a specific area, e.g. Marlborough, they must buy from there.
地理的表示により、小売業者は世界の他の場所からワインを調達できないため、生産者は価格をより細かく管理できるようになります。
小売業者が安価なソーヴィニヨン・ブランに対する高い需要を認識している場合、以下から SB を選択できます。
世界中で、最も安価なオプションを販売するために、年ごとに地域/国を切り替えています。
ただし、小売業者が特定の地域（マールボロなど）からの SB に対する高い需要を認識している場合は、そこから購入する必要があります。

Question 54

How often is there an UNDER supply of wine (2)?

Answer 54

Quite rare, though it can happen e.g. in 2017 (bad harvests across EU).
More common to see an undersupply of PARTICULAR wines

Question 55

What is the most obvious problem of having an UNDERSUPPLY of wine (4)?

Answer 55

Not having enough wine to sell, disappointing clients and consumers.
Can lead to strained business relationships.
Retailer may choose to impose financial penalty or cancel contract with producer if required volume is
not available.
They may also seek out cheaper alternatives if undersupply leads to increased prices, especially in
Price-Sensitive Markets
販売するのに十分なワインがなく、顧客や消費者を失望させています。
緊張したビジネス関係につながる可能性があります。
必要な数量が入手できない場合、小売業者は金銭的なペナルティを課すか、生産者との契約をキャンセルすることを選択できます。
また、特に価格に敏感な市場において、供給不足により価格が上昇した場合には、より安価な代替品を探すこともあります。

Question 56

What are the aims of PDO governing bodies in the EU (2)?
2 examples?

Answer 56

To set and enforce rules.
e. g. actively limiting the amount of wine released per year, ensuring the market is not oversupplied in
order to maintain price levels.
To assist with marketing.
2 e.g.s: Comité Champagne, Sherry Consejo Regulador

auto_awesome
原文の言語: 英語
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ルールを設定し、施行するため。
e. g.年間にリリースされるワインの量を積極的に制限し、市場に供給過剰にならないようにする
価格水準を維持するため。
マーケティングを支援するため。
2 例: シャンパーニュ委員会、シェリー コンセホ管理者

Question 57

What is the main criticism of the European PDO system ?
What was the response to this criticism

Answer 57

Strict rules makes EU producers unable to compete with their counterparts in less heavily-regulated
regions.
1970’s: creation of the French Vin de Pays category (basis for the European PGI system) to allow greater
freedom. 85% of grapes still have to come from defined geographical area, but producers have more
freedom in terms of which grapes are used, and viticultural / winemaking practices.
For certain areas, e.g. South of France, PGI wines = extremely important, production and quality have both
increased significantly since VdP’s introduction

Question 58

Q50
What are the challenges to a producer if there is an OVERSUPPLY of wine (2)?
What are some options available to producers who face these challenges (2)?

Answer 58

Challenges of oversupply :
Oversupply leads to producers being unable to sell off stock, unable to free up winery equipment/tanks,
may be forced to sell at much lower price than desired.
Selling at a lower price can lead to devaluation of the “brand” (ie. how the brand is seen) and cause lasting
damage.
Options to face oversupply :
Find new markets/outlets, but this takes time, may only be an option for producers that already have
contacts/distribution in those markets.
Sell the wine to retailers, deep discounter, restaurants or bars who will bottle the wine under a different /
private label
剰供給の課題:
供給過剰により、生産者は在庫を売却できなくなり、ワイナリーの設備やタンクを解放できなくなります。
希望より大幅に安い価格での販売を強いられる可能性があります。
低価格での販売は「ブランド」（ブランドがどのように見られているか）の価値を低下させ、長続きさせる可能性があります。
ダメージ。
供給過剰に直面するための選択肢:
新しい市場/販路を見つけるが、これには時間がかかり、すでに市場や販路を開拓している生産者のみが選択できる選択肢となる可能性があります。
それらの市場での連絡先/配布。
ワインを別の/別の条件で瓶詰めする小売業者、ディスカウント店、レストラン、バーに販売します。
プライベートブランド

Question 59

What advantages do large companies (wine conglomerates) have in terms or coping with undersupply
(3)?

Answer 59

3 examples?
A
Large companies have a wide range of wines at different price points, of different styles and regions
of origin.

もっている
大手企業は、さまざまな価格帯、さまざまなスタイル、地域のワインを幅広く取り揃えています。
起源の。
たとえば、ポートフォリオ内の特定のワインが供給不足の場合、代替品が選択されることがあります。
また、さまざまな市場に販売することもできるため、供給不足により価格が高騰した場合でも、
ワインが増加しても売上が減少すると、彼らは代わりに価格に敏感でない市場に焦点を移すかもしれない。
e. g.トレジャリー・ワイン・エステート、E&J ギャロ、アコレード・ワインズ they are also able to sell to many different markets, meaning that if undersupply causes the price of a
wine to rise and sales to drop, they may shift their focus to less price-sensitive markets instead.
e. g. Treasury Wine Estates, E&J Gallo, Accolade Wines