An impact analysis of the Australian wine industry over the past decade

Martin, Johannes J. G. (2001-12)

Thesis (MBA)--Stellenbosch University, 2001.

Thesis

ENGLISH ABSTRACT: This study project investigates the impact of major factors that influenced the Australian wine industry over the past decade. The project starts of with an in-depth look at the history of the Australian wine industry whilst simultaneously comparing the plantings and growth in production within their industry from 1994 to 1997 to that of their operations when the industry started out in 1788. The thesis concentrates on the factors that characterized the global wine industry during the mid 1990's that were: • Wine trade would continue to grow in terms of volume in spite of a continuing fall in the quantities consumed worldwide. • Commitments undertaken by signatories to the GATT's Uruguay Round Agreements in Marrakech in 1994 would ensure that trade develops not just within trading blocs but amongst them too. • New World and Eastern-European exporters would threaten EU dominance of international markets. Furthermore, focus is placed on the driving forces within the current global wine industry with special emphasis on the new world countries showing growth in production and consumption in contrast to the old world countries predominantly. Taxation gets investigated from a consumer, producer and the Australian government's point of view as well as a comparative model between Australian wine consumption and consumption in the rest of the world during the pre-tax period as well as the post-tax period. Chapter 6 looks at Vision 2025 that the Australian wine industry developed due to a need identified to become globally competent by the industry themselves. Emphasis is placed on the whole issue of one industry turning a production-driven wine economy around into a market-driven industry with every participant within the industry "marketing" a set of strategic objectives that will ultimately benefit their whole industry. Chapter 7 looks at the Australian wine industry from an objective point of view whilst benchmarking the industry against the major global wine trends as well as against quality performances of the global role players. Emphasis is placed on the differences and similarities that Australia's wine booms have in common as well as the lessons that any upcoming wine producing country have to learn form Australia's wine boom such as: o Developnew market opportunities o Develop a long-term vision for sustainable growth o Invest in the latest technologies o Develophealthy relations with growers and marketers o Investment in product differentiation through promotions o Attract the necessary resources Finally, focus is placed on South Africa's Vision 2020 and how the local industry will benefit from the objectives been set out to be achieved.

AFRIKAANSE OPSOMMING: Hierdie studieprojek ondersoek die impak van verskeie invloedryke faktore wat 'n beduidende rol gespeel het in die Australiese wynbedryf die afgelope dekade. Die projek begin deur te kyk na 'n indiepte studie van die Australiese wynbedryf se geskiedenis terwyl daar gelyktydig vergelyking getref word tussen die aanplantings van die Australiese wynbedryf vanaf 1994 tot 1997 aan die eenkant teenoor die operasionele sy van dieselfde industrie met sy ontstaan in 1788. Die tesis konsentreer op die faktore wat die globale wynindustrie gekenmerk het tydens die middel 1990's. Hierdie faktore was onder andere: • Die wynhandel het aanhoudende groei getoon ten spyte van die wêreldwye tendens van 'n afname in wynverbruik. • Verpligtinge aangegaan deur ondergetekendes tot die GATTUruguay rondte van samesprekinge in Marrakech in 1994 het verseker dat wynhandel nie net binne handeisblokke plaasgevind het nie, maar ook tussen hierdie handelsblokke. • Die nuwewêreld produserende lande, asook die Oos-Europese lande het 'n beduidende bedreiging vir EU-beheerde markte begin word. Verder is fokus geplaas op die dryfkragte binne die globale wynindustrie met spesiale verwysing na die nuwewêreld produserende lande wat groei toon in die aanplantings van wingerde, die produksie van wyn asook die verbruik daarvan - in kontras met die ouwêreld produserende lande. Belasting word ondersoek vanaf n verbruiker, produsent en die Australiese regering se oogpunt af. n Vergelykende model word geskets waarin daar gekyk word na Australiese wynverbruik voor die belastingimplimentering asook daarna. Hoofstuk 6 kyk na Visie 2025 wat deur die Australiese wynbedryf ontwikkel is as gevolg van 'n behoefte wat geidentifiseer is om globaal mededingend te wees. Klem is geplaas op die proses van n wynindustrie wat ontwikkel het vanaf 'n produksie gedrewe industrie na 'n markgedrewe industrie met elke deelnemer in die industrie wat die strategiese doelwitte van Visie 2025 slaafs "bemark" met die wete dat hul hele industrie uiteindelik daarby sal baat. Hoofstuk 7 kyk na die Australiese wynindustrie vanaf 'n objektiewe oogpunt terwyl die industrie gemeet word teen globale wyntendense asook teen die kwaliteitsvertonings van die globale rolspelers. Fokus is geplaas op die verskille en ooreenkomste tussen Australië se twee wyn groeitydperke asook die lesse wat daaruit te leer is vir enige opkomende wynproduserende land. Hierdie lesse is: o Ontwikkel nuwe markte o Ontwikkel 'n langtermyn visie vir volgehoue groei o Investeer in die nuutste tegnologie o Ontwikkel gesonde verhoudings met kontrak wingerdplanters en bemarkers o Investeer in produkdifferensiasie deur promosies o Verkry die nodige hulpbronne Laastens is klem geplaas op Suid-Afrika se Visie 2020 en hoe die plaaslike industrie daarby sal baat indien die uiteengesette doelwitte behaal sou word.

Please refer to this item in SUNScholar by using the following persistent URL: http://hdl.handle.net/10019.1/49687
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