Robert Mondavi

Published: 2021-06-29 06:57:08
essay essay

Category: Business

Type of paper: Essay

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Robert Mondavi Winery (RMV) reaches only 2% of the US market which makes up 13% of the global market and has limited exposure in European countries which make up 53% of global wine consumption. Until RMW added Woodbridge (a premium class wine), their marketing campaign relied on educating consumers at their wineries and limited advertising in wine publications.


Threats:
* The large beverage companies entering the market are a real threat, with low barriers to entry and extensive distribution networks, retail outlets and global experience.
* These companies have experience in beer, wine, soft-drinks and hard liquor distribution.
* RMW only controls 7% of the grapes used to produce their wine. This threatens supply if any large company decides to pay a higher price for California grapes. Vineyards are very susceptible to the weather, and infestation can destroy an entire vineyard.

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